Pricing Soylent Efficiently


#1

New blog post:

Hadn’t seen anyone comment on it yet.


#2

Rosa Labs raises Soylent price a bit:

OH MY GOD SOYLENT SHOULD CLEARLY BE SO MUCH CHEAPER EXPLAIN YOURSELVES

Rosa Labs explains exactly how they decide on Soylent pricing:

*crickets*


#3

I found it quite interesting. I believe it would be good for anyone who is thinking of starting up a product-based business to read in order to understand (at a very basic level) how things like cash conversion work and how to structure cash flow. They briefly mention forecasting, but in the startup I worked with, forecasting was one of the trickiest things to accurately represent in the models.


#4

I find it interesting that you can use the term “very basic level” to describe anything about that article. :stuck_out_tongue_winking_eye: Though I was tired when I read it, I am clearly unqualified for their call for data analysts.

I also liked the part about “dividends to investors.” I’ve been wondering for a year and a half how one can enter that “investor” category.


#5

It was extremely well written, but still somewhat over my head. What kind of course would I have to take to get a more in-depth understanding of it all?

@spartamets, ditto. I’d gladly throw a pretty chunk of my portfolio into RL.


#6

I can’t speak for anyone else, but for me; I was in a graduate-level entrepreneurship program in which I learned a great deal through hands-on experience. In the program, over the course of several semesters, we formed a group, came up with an idea for a business, modeled and made a business plan for the business, attempted to get funding for the business, and implemented the business. Then at the end, you had the ability to keep going with the business or not. I could go into details of our business model and its success, but it would probably bore people.

Like anything else, looking at information like that for the first time, it will not be intuitive. However, if you look at and refine the business model information over the course of months and months, it gets more intuitive and you know it like the back of your hand.

My response is probably not helpful at all and I am sure there are courses out there that teach this sort of thing, but I have always learned best through experiential learning.


#7

Yeah totally. “Forecasting” should really be re-named “guessing” when it comes to start-ups.

I had read about Amazon’s payment terms trick before. It’s all good but that stuff does seem a bit more like pure gaming of the monetary system than actually creating value in the world.


#8

Nothing new to see here. Just the usual optimization of the time value of money. Whoever can grab it and hold it the longest wins. Win-lose.

I would take a wild-ass guess that Rosa Labs also uses just-in-time (JIT) inventory, which is part of the same philosophy. It works well except when it doesn’t and shipping delays ensue.


#9

Please don’t use such derogatory swear words on this forum.

shudders :anguished:


#10

God damn Canadians.


#11

You mean you dont lazy evaluate every single thing in all of your programming soylent drinking


#12

“Efficiency” best I can tell is how long they can sit on your money before delivering product vs how long they have to sit on inventory? It took RL 6 months to fulfill my first order… A few months from the 2.0 pre-order to delivery and this (holiday) week they took my money on Monday, printed a label and I suppose sometime next week will get around to fulfilling my order… Efficiency!

Of course on the flip side it seems all the 1.5 I’ve received in the last 3 months has been 4-6 months old… So there is that.