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• W94596816 abstract "Dave Hadden looked at the clock by his bedside. It was 5 am, but he felt wide-awake. His mind was buzzing with ideas about his latest project, the motion sensor liquid soap dispenser that he had developed. All this time, he had not felt any urgency in rushing his invention to market. Then, a few days before, his friend Lance had sent him a website showing a Lysol dispenser with similar features. Dave realized that he had to move quickly if he wanted to commercialize his invention. He didn't feel ready to drop the whole soap dispenser project into which he had already invested a lot of time, energy, and money. Should he invest further in this project that had held so much promise? The Entrepreneur Dave Hadden had shown signs of being an entrepreneur from a young age. guess it was in my blood he mused. When I was five my mom tells of finding me with a wagon full of flowers I'd pulled up from our yard, selling them door-to-door. As an Engineering major at San Jose State University, Dave had his own fixit company. Upon graduating in 1964, he secured his first job at Fairchild Semiconductor Company. He worked at Fairchild for nearly five years, then embarked on his own entrepreneurial career, which included founding three start-ups, of which two successfully acquired. He founded his third company, Arlo Inc., in partnership with his wife, Joan. Dave reminisced, I've always invented around a core technology. Over the last 40 years we've had about seven very successful products, a few dozen that OK, and several hundred failures. But, financially, the successes more than made up for the failures. Dave declared, discovered early on that I could make a lot more money working for myself than for someone else. At the same time, he and Joan were more interested in having free time than seeing how much money could make. With that philosophy looked [to develop new] products that could generate a great cash flow, but probably not the kind of company that could be sold for millions or ever go public. We deliberately decided that wanted to be a virtual corporation. have no employees, work out of a home office and contract out all of our manufacturing or license products ... I leverage my time by licensing. That way I get paid for the value of what I actually accomplished, not for the hours I worked on it. And, it allows me to spend most of my time doing what I enjoy, namely, creating products. I'm results-oriented, not process-oriented. Motion Sensor Liquid Soap Dispenser In 2005, Dave began working on applying motion sensor technology to develop a new liquid soap dispenser product. Convinced that it was a good idea, he invested nearly $100,000 of his savings plus a lot of time into its development, trying to get Procter & Gamble to see the dispenser as the razor that would allow them to sell more blades (soap), since a hands free dispenser could be a new category for them in a mature industry that lacked significant innovation. In retrospect, Dave mused, we too early with our idea. We got indications about a year ago that the timing might be right for the product now, with all the concerns about germs and hand sanitizers. He continued to refine the product, and decided to survey potential customers to evaluate its demand. Soap Industry In 2009, the US soap and detergent manufacturing industry included about 650 companies, with combined annual revenues of more than $30 billion. The top 50 companies generated about 90% of revenue (First Research 2010). It was about evenly split between the consumer and commercial segments. Both segments highly competitive, and large companies spent millions to maintain market share. Major companies in the consumer sector included divisions of Procter & Gamble (P&G), Unilever, Colgate-Palmolive, and Dial (a subsidiary of Henkel). Scale advantages in almost every aspect of operations presented major challenges for smaller manufacturers. …" @default.
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• W94596816 date "2011-01-01" @default.
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• W94596816 title "To Market or Not: Should Arlo Inc. Commercialize Its Soap Dispenser Product?" @default.
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