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Do you know how much an idea is worth?

Today, more than ever, you need to know how much an idea is worth, what your projects cost, and if you want to make them tangible, you need to know the cost, the price, and the competition. Creatives from all over the world and from all walks of life, and even clients, always ask themselves the same question: How much is an idea worth?

The problem is that, on many occasions, you have to bet on an idea without knowing the final result.

A good example is the famous  Operation Triumph The idea was conceived by the production company Gestmusic. At the time, the production company dedicated its time and effort to creating the idea for the programme, and for two years they spent presenting their idea on various television channels. Nobody wanted it.

At the time, TVE decided to buy it and use it to find Spain's representative for Eurovision. Just a few weeks after its launch, the programme was already a national success, with record ratings and participation.

Such was its success that the program's format was sold to more than 20 countries and a film was even made. It seems that That idea, which was worthless for two years, was actually worth a lot., although not everyone was able to realize its value or how this idea could be exploited to put it into successful practice.

Another example is the Chupa Chup: a product that comes from the rather basic idea of adding a stick to a candy. Apparently, it is something simple to think of and almost obvious to many. Something that even a child could have thought of. But an idea as basic as this has been able to create an empire: The company that started selling lollipops now sells motorcycle helmets, pens, duvets and duvet covers, etc. and all with the emblem and the colorful wrappers and the Chuca Chups brand.

Now do you understand the value of an idea?

Now, what is potentially interesting is not It is not in the ideas but in what should satisfy the needs of a group, be executed in a timely manner, all of us who are dedicated to buying and selling, but those of us who are dedicated to selling ideas from scratch, that is, from when they are not worth anything yet but can become the super million dollar idea, it is difficult for us to set a starting price and you always risk going over or not reaching the real price that the idea will have. But, in general, there ends up being 3 basic equations to price a newborn idea:

  • The price/neuron/hour equation, that is, how many neurons and hours you have invested in creating and developing that idea. This option is the fairest for the creator, but sometimes, this equation would result in exorbitant prices, so it is a good reference, but it should not always be applied. I recommend this app that will help you organize your time by project. Clockify
  • The value/neuron/market equation, which is based primarily on what competitors are charging for developing ideas. This option serves as a guide, but it can be of little use to us if we believe that our neurons are more efficient and effective than those of the competition or if we do not know the prices of all competitors by heart. My recommendation is to use this idea only as a guide to position yourself. I hope you know Alexa, google trends either SEMrush.
  • The neuron/expectations equation, or in other words, how much the client is willing to pay for an idea like the one you are selling them. The value/neuron/market equation also comes into play in this equation, since the client will ask for quotes from the competition and will always look for a good relationship between what they consider quality and price. The important thing in this equation is that the client knows how to see the differential that your idea or your ability to develop it offers them. You know the phrase: “The size of the toad is the stone”

My recommendation as a trainer of doers is not to undersell or oversell, find a balance, be fair, both the seller and the buyer have to do their part so that the project is developed and implemented as successfully as possible.

How much do you think an idea is worth? Write to me.