Seinfeld

Denny Hatch is the author of six books on marketing and four novels, and is a direct marketing writer, designer and consultant. His latest book is “Write Everything Right!” Visit him at dennyhatch.com.

Stephen H. Yu is a world-class database marketer. He has a proven track record in comprehensive strategic planning and tactical execution, effectively bridging the gap between the marketing and technology world with a balanced view obtained from more than 30 years of experience in best practices of database marketing. Currently, Yu is president and chief consultant at Willow Data Strategy. Previously, he was the head of analytics and insights at eClerx, and VP, Data Strategy & Analytics at Infogroup. Prior to that, Yu was the founding CTO of I-Behavior Inc., which pioneered the use of SKU-level behavioral data. “As a long-time data player with plenty of battle experiences, I would like to share my thoughts and knowledge that I obtained from being a bridge person between the marketing world and the technology world. In the end, data and analytics are just tools for decision-makers; let’s think about what we should be (or shouldn’t be) doing with them first. And the tools must be wielded properly to meet the goals, so let me share some useful tricks in database design, data refinement process and analytics.” Reach him at stephen.yu@willowdatastrategy.com.

In this series, I have been emphasizing the importance of statistical modeling in almost every article. While there are plenty of benefits of using statistical models in a more traditional sense (refer to "Why Model?"), in the days when "too much" data is the main challenge, I would dare to say that the most important function of statistical models is that they summarize complex data into simple-to-use "scores."

When I came across the obituary of Milton Levine, it struck a chord deep within me.

Here was a 43-year-old salesman of toys and novelties watching some ants at a July 4, 1956 picnic when he suddenly saw his future—the ant farm—a 6” x 9” two-sided plastic frame with sand, tunnels and live ants busily doing their thing as mesmerized kids watch and learn.

A half-century later, kids are still enthralled with ant farms. The basic model sells for $10.99.

Last year, Levine sold his business for $20 million. His website, UncleMilton.com has a slew of wonderful scientific gadgets for kids.

Milton Levine—described by one magazine writer as “anty-establishment”―gave pleasure (and inspiration) to millions of kids, made pots of money, obviously had great fun and went to the great beyond at 97.

Life doesn’t get any better than that!

So what does a fledgling entrepreneur do following a “eureka moment?”

How do you translate an idea into a profitable business?

My suggestion: go the dry test route.

I spent 15 years creating dry tests for clients and my own little business—the WHO’S MAILING WHAT! newsletter and archive service—started out life as a dry test.

Technically the dry test is illegal, but many years ago I discovered a possible loophole.

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