There is a service that people are likely to use only once. Send them a DNA sample, they sequence it and send you a report. It is highly unlikely that customers are going to have their DNA sequenced repeatedly. The company fails to introduce any other services that lead to customers sending them more money.
This means a revenue curve that goes up, plateaus, and then drops back down.
It was all right there to begin with. The “good while it lasted” curve doesn’t take a lot of imagination.
Let’s break this down a bit:
There is a service that people are likely to use only once. Send them a DNA sample, they sequence it and send you a report. It is highly unlikely that customers are going to have their DNA sequenced repeatedly. The company fails to introduce any other services that lead to customers sending them more money.
This means a revenue curve that goes up, plateaus, and then drops back down.
It was all right there to begin with. The “good while it lasted” curve doesn’t take a lot of imagination.