Article

Addendum & Extra Notes

April 21, 2023

Written by Rei Llazani | 2 minute read

So, what are examples to establish defensibility?

There are many routes (and like I mentioned in the main article: there is no simple, cookie-cutter answer), but here is a single application that one of my portfolio companies (MadeMay) is emphasizing: focus on implementing direct relationships with clients; and for example, without relying too much on 3rd party services like Google. Nobody knows what will exactly happen with AI in the next few years, but it is not crazy to predict that many businesses who rely too much on Google will suffer if most, or all, their customers are sourced from Google searches. (I often hear AI is a threat to Google. What about the companies that rely way too much on Google?)

To be clear, my point here is to diversify and emphasize relationships over any vehicles aka distribution “means to an end”. You should still continue to utilize vehicles to your advantage.

More than ever, embed your relationships with your core customers because this is what matters most in a changing environment.

For instance, 50Pros is doing this by directly adding the 50Pros platform to hiring companies' “toolbelt” of resources. Our goal in establishing these partnerships is to be their trusted friend and source of information as it pertains to discovering and engaging with the listed agencies. 

This is an area where we get asked a lot of questions. Whereas competitor platforms like Clutch have focused on duplicating content by literally creating “sister sites” for SEO purposes (watch 46:57 - 47:57 from their Founder), we are taking the relationship-driven approach.

As the market continues to become further saturated, particularly with AI, our prediction continues to hold strong that people will gravitate towards people & businesses they know and trust. Inevitably, this includes the component of social and economic stratification – which has many benefits and is one of the reasons 50Pros exists. That is, to serve a higher-end niche, accentuated by a limited & exclusive network, that is built on relationships and community first and foremost.

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