The Hula Hoop

[The Story Teller]

The Hula Hoop​

“Experience is not what happens to a man; it is what a man does with what happens to him.”
—Aldous Huxley​

Wham-O Manufacturing Co.’s original mega-hit product was a financial failure. It began when a friend brought an Australian exercise hoop to Rich Knerr and Spud Melin. The two were already marketing several sports articles and thought the hoop looked like fun. They called the item a Hula Hoop, trademarked the catchy name, and began promoting the hoop in parks, where kids would gather around for a look and then run to their local store to buy one. Wham-O gave away “seed” hoops on beaches and college campuses to get the craze going. The company’s marketing plan was outstanding, and the Hula Hoop took America by storm. However, there was a problem with the success.
Although they had applied for a patent, more than forty competitors entered the market, drawing on the promotion that Wham-O had already begun (and paid for). It was too late and too expensive to force the competitors out of business. Although millions of Hula Hoops were sold, the fad was short-lived and, in the end, the company lost money on the toy. However, the advertising placed Wham-O in the public eye. The company became a household name. Also, the Hula Hoop experience prepared the firm to better protect its next popular product, the Frisbee flying disc. The Hula Hoop was brought out again several years later, and although it was not as popular as it was initially, Wham-O made money the second time around.
Consider This: A loss may really be a success in the long run. It can give you experience and exposure, and prepare you for the next challenge.
Submitted by Richard