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In their ads, Apple Computer urges people to "think different," using photos of celebrated innovators like Einstein, Edison, Picasso and Frank Lloyd Wright to remind us that progress is often made by those who defy convention and look beyond the accepted ways of doing things.
One example of Frager's eclectic insights: A few years ago, while vacationing on Fire Island, an upscale resort community off Long Island, Frager noticed that vacationers were taking the ferry back to the mainland to get cash, while local merchants were simultaneously taking cash back to the mainland to deposit in their bank accounts. As it so happened, Frager's brother-in-law worked for a company that sold ATM machines. Frager realized that someone could install a private ATM machine to "recycle" the cash locally. He pointed this out to the owner of a local grocery store, who took his advice. The store now makes more money off the transaction fees than they do from their regular business! "All the elements were there," says Frager. "Complementary needs, and a technically feasible solution. But nobody had thought of buying and operating an ATM machine on their own; they had bought into the notion that only banks can operate them. So here they were, shuttling cash back and forth on the ferry. Vacationers were spending hours that they'd much rather spend enjoying themselves, plus ten dollars to take the ferry, while the merchants were accumulating cash all day and losing sales because people were cash-poor. The solution was obvious to me, because I hadn't limited my thinking."
"Most people in today's society are 'farmer'
types," he continues. "They follow set routines, and expect set results.
Only a small percentage of people, well under ten percent, are what
I call the 'hunter' type. "Hunter/gatherer societies lived their lives
constantly roaming and searching for food, and the people who lived
in these societies had to be very aware of their surroundings at all
times -- eyes constantly looking about, always ready to jump and go
after their prey, or avoid some predator that was about to make lunch
out of them. They had to be able to find things that are normally well-hidden,
notice even slight changes in their peripheral vision, and react to
them almost instinctively. They also had to be 'on the spot creative',
able to adapt quickly to unpredictable and rapidly changing conditions."
"That's all well and good, but it means that, over time, the 'hunter' mentality has become increasingly rare. And now that we're in an era of rapid and dramatic change, the ability to innovate and improvise, to 'think different,' is suddenly very valuable once again." The "era of rapid and dramatic change" Frager refers to is being driven by the Internet. "The Internet is sparking a Digital Renaissance, where information, knowledge, and connectivity win the day. Economies will thrive as Internet time juices the velocity of money, creating new streams of economic wealth. Interest rates will plummet as true pricing and competitive information comes to the hands of every consumer, bringing forth an era of greater competition and lower prices. Plentiful bandwidth will spur unparalleled levels of creativity and multimedia presentation. Interactivity will replace passiveness."
He sees big potential in helping companies do business with other companies, an area known as business-to-business electronic commerce. Accordingly, he's setting up a community of both business-and-consumer-oriented Websites, under the name Domain Success, to provide a panoply of services to businesses eager to stake out a position in cyberspace. His inspiration was the presentation of Shopping.com, a Web-based operation that provides access to a complete range of consumer-goods vendors under one "roof." Frager first became aware of Shopping.com when he saw a TV commercial during the impeachment hearings in November, 1998, and bought some shares, which appreciated handsomely when the fledgling company was purchased by Compaq for $200 million. But he also recognized that it was the Idealab! thinking behind it that made it so attractive. He then realized that he had the experience, resources and "field-real" perspective to create and showcase his own ideas. So he started conceiving and registering domain names and now positions Domain Success to be the Idealab taken to the next level: not just great internet ideas, but great internet ideas made profitable. Frager believes that a greater potential for success in the business-to-business sector has not yet been recognized. Some of the services to be offered under the Domain Success umbrella are obvious: advertising, marketing, on-line ordering capabilities. Others are less so -- but, like the Fire Island ATM machine -- offer previously overlooked opportunities. "I don't want to 'give away the store' by talking about these in detail just yet," he states. "I learned that lesson when I found out that the ATM was generating $200,000 a year for the store owner, when I gave him the idea for free."
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