1. Entrepreneurship
Ref: 0126
Case Study: No Marketing Budget? Win Over
Bloggers Instead
Photographer Ron Henry knew his camera strap was a winner. Now he just
needed to get the word out on the cheap.
The Company: BlackRapid
Start-up Funds: $5,000 for a website, banner advertising, and product samples
After 15 years as a professional photographer, Ron Henry wondered why he had
never come across a comfortable camera strap that positioned his camera readily for
quick shots. After pondering the idea for a few months, he went to a local hardware
to buy materials to make his own strap. The resulting creation allowed his camera to
hang upside-down at his side and glide into place easily when he was ready to
shoot. It also minimized strain on his back and shoulder, which got him thinking:
Could I make a business out of this?
Shortly after, Henry launched his Seattle start-up, BlackRapid, with just $5,000
borrowed from Kurt Peterson, a long-time friend and entrepreneur. He tapped a
nearby manufacturer to source materials and produce a first run of 80 straps. With
the rest of his start-up funds, he set up a website for taking orders that also included
a demo video produced by a friend for free. He also bought a banner ad on Digital
Wedding Forum, an online community for wedding and portrait photographers. On
January 1, 2008, BlackRapid made its first sale.
For further information on this handout and the consulting
and coaching programs available please contact: Page 1 of 2
Image Group International
Asia Pacific Head Office
T: (+61 3) 9824 0420
E: info@imagegroup.com.au
www.imagegroup.com.au
©2012

2. Although Henry bought a banner ad to launch his business, he couldn't afford to rely
on expensive advertising to attract customers. Instead, he scoured the Web for
photography blogs that reviewed products and sent the bloggers free camera straps
to try. "I knew the business was going to be built on word-of-mouth," he says.
Despite his frugality, Henry faced the prospect of losing money on every sale. He
had paid $27 each to have the straps manufactured, but when he took them to a
local camera shop, the owners said customers wouldn't pay more than $20 a pop.
Henry refused to lowball his product. "I said, 'We have to go for $50,'" he recalls. "We
did it, and people accepted it." BlackRapid sold out its initial run of 80 strips quickly,
turning a profit almost immediately. Six months later, Henry found a manufacturer in
Taiwan to produce the straps at lower cost, which further boosted his company's
margins.
By the end of 2008, BlackRapid had sold more than $400,000 worth of camera
straps. The company, which now has 15 employees and $6.2 million in annual sales,
has since added other accessories to its lineup, including lens caps and camera
bags. That success convinced Peterson to take on the role as president of
BlackRapid. Henry, for his part, continues to develop new products as the company's
chief creative officer.
The Experts Weigh In
Stick to Your Guns
Henry did a good job bootstrapping his company. He started with something he knew
very well. He also kept his initial investment very low and stuck to his guns on price,
which first-time entrepreneurs are often afraid to do. He also used social media to
promote his business, rather than using more expensive means of marketing.
Greg Gianforte
Founder, Bootstrap Montana
Bozeman, Montana
Follow Your Passion
The beauty of starting a business based on your passion is that there’s an infinite
journey ahead. I like that Henry was responsive to customer feedback, but also
stayed true to his own requirements. I also think it’s great that, in the end, he realized
he was the product innovation guy and brought on someone else to do the other
work. It would have been even better if he had had a co-founder upfront.
Bijoy Goswami
Founder, Bootstrap Austin
Austin, Texas
For further information on this handout and the consulting
and coaching programs available please contact: Page 2 of 2
Image Group International
Asia Pacific Head Office
T: (+61 3) 9824 0420
E: info@imagegroup.com.au
www.imagegroup.com.au
©2012