May 8, 2021
I make $200k/year writing one-off messages.
And it looks like this, to be precise:
Somebody paid $20.00 for that message. And that’s it.
What is it that we do?
People pay us to tell them if their item is counterfeit or real. We tell them. That’s it.
Sometimes they pay $100.00, some other times they pay $50.00. It depends on the product. In the screenshot below, somebody paid us $100 to authenticate their $12,000+ bag.
But this $100 purchase is an outlier. It doesn’t happen on the daily.
Our bread and butter is the $20.00 service. Sometimes there’s more to it: if our customer’s item is fake and they paid via PayPal or a Credit Card, we can issue them something that looks like this for $60.00. That gets them their money back.
Finding out that Amex, Chase, etc trust a piece of virtual paper that we wrote felt… weird in the beginning. Later we got used to it.
But I jumped the gun telling you this.
One last thing I have to show, however, before going into the body of the post, is some proof to the claim:
And it’s a bit more than $203,000 actually, given B2B deals (a few, with 4 and 5 digits) + some other income. However, most of those $203,138.80 comes from us writing one-off messages to strangers
Well it didn’t start as a business.
In 2017 (I was 19 then) I was learning how to build an app and I eventually found out I hate coding. Don’t get me wrong — I love watching somebody code, just didn’t like writing it. But mid-project I realised it’s not for me and said I’ll finish the app nonetheless.
It was so basic: literally a ‘glorified bookmark folder’ into an app. I made some menus for selecting a sneaker → selecting a colourway → selecting a ‘tells’ (= a way to tell a fake from a real item) → load a page with the guide… I had hosted on… chdaniel.com.
Kinda embarrassing, but yes, my personal website.
No, not a “professional website” that a “company” deserves, with branding, its own domain etc. No, nothing organized. All improvised. Yes, the terms & conditions page was on my personal website.
I keep saying I’ll write the full story one day, but I never got round to it, so that means it’s not that important, or ever on the list of “top 5 things I have to do to grow the business in a healthy manner”.
I eventually published the app and thought ‘okay, that’s it’.
Job done. Launched it on Reddit, had a nice reception, but thought “Okay, just a one-off project”.
The app+website, however, kept garnering views. The following cycle repeated itself:
I just thought I could never do something commercial with this. Or actually wait, scratch that — that thought never occurred to me.
So I kept spending 3 minutes celebrating small milestones, but at about 350,000 all-time users, in April, something happened.
At about 350,000 users, I was:
And yep, we’ve stared with a basic, shabby e-commerce website in April 2019. Scary as it was, we went forward. I’m skipping a lot of details (let me know in the comments if the FULL story of Legit Check would be interesting), but this marks the early stages of starting:
And then we took a few weeks to set everything up. Setting everything up meant thinking how to integrate the paid service within the guides.
And then doing it.
Before we knew it…
Our first $20.00 came before we even went live!! We briefly added only one link on the website.
From all the guides, there was only ONE path to buy this service. Not platstered on every page, not on an annoying pop-up. Nope, we just tested it in one place, as we were still setting things up, and wanted to see (prematurely) what would happen.
Shortly after this purchase took place, I took it down.
A couple of weeks later, when we finally went live, the orders started coming in:
And that felt… like a mixed bag. Exhilarating, thrilling, but the fear of the unknown kicked in. A teen (15) and an almost-teen (21) getting packs of $20 from strangers. In exchange for just. a. message.
“Are we doing it right?”
“Are the people happy? We just send them a message and that’s it…?”
“Are we gonna have people angry at us for just sending an email… is that what a service is? What the…?”
“Is it enough, or should we do more? Let’s do more for them. Let’s do as much as we can. But will they think it’s enough?”
That’s just 1% of what was going through our minds. But hey, leave us aside. Let’s talk about the business.
It was so cumbersome for the customers. I wince if I even think about it: you had to buy a $20.00 service. And then you, the customer, have to forward the $20.00 payment email. Wow.
Then email us with pics, and only then we’d come back to you. Like — who does that? Who pays and then has to make sure they put in the title “AUTHENTICATION SERVICE” (not something else, careful!)
But later on, I made this website, which is actually the one that’s live today. I thought: we really need to look like a trustworthy business, not just two guys that made up this scrappy, light e-commerce.
If you’re wondering who ‘we’ is, I mean myself (22 then) and my then 15-year-old brother
So in October 2019, here we were with a ‘proper’ website. We were SERIOUS now: we looked like a legit company.
Okay… imagine a “Legit Check” (that’s our name) company that didn’t look legit… that’s who we were with the scrappy store. The irony. We now had:
We went from the customer receiving this:
To now, with the proper branding, the customer receiving this:
Anyway, the big unaddressed elephant in the room is: how did we get those customers?
The answer is: a mix of luck (no tip-toe-ing around that) and making use of that luck. Our graph of users looks like this today:
We get 300-400k unique users a month.
These people come to read our free fake vs real authentication guides.
The short story is that we got lucky in the sense that we discovered a format that worked (and dare I even say, on some days when I’m more arrogant: we’ve invented a mini-industry, now that our efforts have birthed competitors) and then we swung for the fences.
So I won’t be claiming it was my intellect, my genius or whatever bs people claim to get VCs to invest in them, or to impress highschool people they anyways hate. It was luck and then we did our best to make use of the luck.
I’ll do my best to bring transparency to this by putting it this way:
We got lucky with: Traffic kept growing while I didn’t do anything. I struck an SEO goldmine without even knowing SEO
What we did with that luck: I learned SEO, established our position, built moats to make sure we keep those #1 positions for ‘fake vs real [name of item]’ searches
We got lucky with: The demand for authentications of items kept growing
What we did with that luck: We made a brand out of it and did our best to make it as trustworthy and professional as possible
We got lucky with: People paid for a product that was far from being done. BigCartel and you have to email us proof of payment, then the pictures
What we did with that luck: It was just a hedge against a a bad bet. What if we spent all those months and we ended up with 0 business? As soon as we saw it was a proper business, we were serious about it
We got lucky with: A high-margin, low-volume, time-based service (95% margins, if need be)
What we did with that luck: Understood that I need to keep an eye on being as lean as possible, if things go bad, but otherwise diversify by investing in new things.
We got lucky with: People paid a lot of money for something we could’ve offered way cheaper. I am being granted the spoil of overcharging, because I want to make use of the time I get (by overcharging) to build more for people.
What we did with that luck: Offered stellar customer support, did the right thing when I had to (refunds that my ego wanted to cling to), over-delivered for the customers etc.
Now that the luck bit has been addressed, the process is this: people come to read the guides, as we rank high for keywords such as ‘Air Max fake vs real’ or ‘Air Max authentication guide’ → part of these people are short on time and not short on money, so they’d rather have us check their item.
Others want to get their money back from a scam, with the $60 Certificate I’ve mentioned above (which gets our customers’ money back with a 99.9% rate of success — or we refund what they paid us, if it doesn’t work).
But if neither of the above is true, they read a free, public guide (see below) and we’re fine with “leaving money on the table”
All in all, everything is handled via the ‘add order notes’ function of our eCommerce system. We write our message there, it gets added to that formatted email, people get the fruit of our service.
Since we’re making this amount of money, we can afford to invest in new, better things. Speaking of money, I share on Twitter public + transparent figures such as:
And if you really want to tag along with the journey, I have a (free) monthly subscription where I document my strategy, thinking, financial results etc. It’s called “Dear Mom/Investors”
The monthly subscription is a place where I put together all the figures I share (randomly, in a scattered manner) on Twitter.
One of these new “things” we’re investing in is a brand-new ordering system: better for the customers and for us
With the current eCommerce system, we got off the ground with a ready-made solution, but now we’re making our own thing. This move has ups and downs, but we’ll get to a point where:
So even if we don’t increase our revenue and it stays the same, we’d have increased our margins as less of our time is tied in.
Why write this now? Because: once our new system is out, as we’ll mature (and we’re building a lot of new stuff) and we’ll no longer be a ‘We put together a scrappy process’ company.
It… just felt right to document this now.
Both to share the lessons at this point in time, and because we’ll no longer be able to make a big claim like the one in the title. If you’ll see the new system out (which I think looks… I’ll just say really well) and we say we’re making $200k, you’ll say “Nice. So what”
This is our story.
This is how we’re making 6 digits as 2 folks who together have 40 years of age. Naturally, it’s not just the two of us right now, but it would be fair to say that the two of us (David and myself) built this.
I wanna keep this short, to just relate the story and not make it look like self-promo
where we’re shooting our shot at becoming a more mature company. In a move that feels eerily similar to the change from the scrappy website to the ‘proper’ website (what I just described above), we’ll see where that takes us.
Plus, we’re connecting better the multitude of things we’re doing: the free guides, the service, the Price Comparison app which I haven’t touched upon, and others
I have this problem:
What would work best there? $50, $49.99, $49.90 or $49? And then… would we get more buyers at a lower price ($45?) to justify the lower prices? Would we make more, with fewer customers if we go for $60?
And then another pricing problem comes up: not every country can afford our prices. Sure, US/UK/CA/etc can, but what about India/Indonesia, where incomes are lower?
Surely if Apple charges $2.5/mo and $5/mo in India, instead of $15/mo and $25/mo in US, we’re leaving money on the table by not adjusting our prices for lower–income countries.
So I’m trying to solve that problem for ourselves, in a new product. We’ll see how that goes.
The annual shareholder letters of Jeff Bezos are where the value is at, not the interviews
The ‘process’, as they call it. But if you don’t document the process, then selective memory and biases can affect what you’ll be preaching when you’re a finished-product.
So posts like these, building in public on Twitter, Dear Mom/Investors, etc → I’m trying to document more of what I’m doing.
Thanks for reading our story.