Execution is one aspect of making an idea successful, I would say the other is having a business model.

And the latter is very hard as well. Why? Because it is not obvious how to make money online, especially in India.

The obvious way would be to have freemium models such as Flickr and 37 Signals. IMHO, I believe that this is the only sustainable way.

BUT:

1. How can you make this successful in a country like India where people are NOT used to paying for things online especially on a subscription basis? For example, how many people do you know are buying things online that does not have a physical aspect to it? i.e. most people buy movie tickets or pay phone bills online, compared to how many non-techie people do you know who are paying for Flickr or for online storage or similar services?
2. How do you prevent free websites from eating you up? For example, Wufoo did a great job of both execution, including winning awards and having a clear business model. But I am not inclined to using it because Google Forms is free, has no limitations and is a good-enough surveying option. Google doesn’t make money off of this option but they surely have taken away Wufoo’s lunch.
3. Ideas such as scribd.com, and StockTwits are useful and interesting, but even they don’t know how to make money off of it. Heck, even Google is having a tough time in making money off YouTube.
4. Ad-based businesses don’t work in Asia, or so is the impression that I get. Is there a single web application site, NOT a content site, for India that is purely making a business out of displaying ads?
5. I have a feeling that almost all websites that are popular today and that will be popular in the next 2-3 years will have to have a physical component/aspect to it, whether it is payment collection at your doorstep for BharatMatrimony or Zapak running corporate gaming tournaments. This is something that may not be viable for small companies. Perhaps after 2-3 years, things will change.

Bottom line: Without getting funding, and without a clear path to charge for things, how is it possible to make a sustainable web application?

Is this just me or is this the path that every online startup faces?

When I meet people and have a conversation, they eventually ask the question “So, what do you guys do?”

I like to say “We make stuff” but that’s hardly understandable. The best example I like to give is the Swinxs (found via Springwise).

The Swinxs games console is designed for active games both inside and outdoors. The Swinxs console can talk, can recognize, encourages and explains games. It even acts as referee. The console is light, compact and due to its sustainable battery, is easy to take with you to the park, playground or the beach.

My favorite part is that the children get RFID-tagged colorful bracelets to wear. The tags serve multiple purposes from identifying each participant to keeping track of their scores. For example, if there’s a running race, the child can just bring their hand close to the game console at the finish line, and it’ll immediately recognize you and tell how much time you took.

And there are a lot more games to play:

The downloadable games are divided into age and category. The games possibilities are endless and vary from traditional hide and seek to educational quizzes and adventurous games. The games can be downloaded FREE from this website. Stories and music can also be downloaded on the Swinxs, as well as games.

The video demo showcases the product really well:

Kids these days are addicted to gadgets like Gameboys, mobile phones, etc. The Swinxs is in the same category but it actually encourages them to be more physically active as well as more social with other kids.

There are many other salient features that appeal to us:

• It is useful. Especially in terms of providing functionality that is not normally available through any other means.
• The device connects you with the real world. It’s not a world onto its own.
• It is fun.

This is the kind of stuff that we dream of, the kind of stuff that we like to work on.

What’s interesting is such products bridge the offline world and the computer/online worlds. After all, shouldn’t technology be helping you to live a better offline life, than making you spend more time with the technology itself?

Note: Cross-posted to our company blog.

It’s been nearly 5 months since I last quit my job. Five months. Wow. It’s weird because it doesn’t feel that long.

I spent most of the first few months whiling away, and I thoroughly enjoyed it. I did have some plans though. For one, I was hoping to go for an M.S. in the USuAl places but the American universities didn’t think well enough of me and asked me to stay back, heh.

I wasn’t disappointed though. I thought I’ll spend some time in gaining some skills and get back to another job in the computer science areas that I wanted to explore.

But as John Lennon would say “Life is what happens to you while you’re busy making other plans.”

Vikram and I were working on reviving our iPod Charger business and since I didn’t have anything in particular to do, I did some of the running around. However, we still didn’t have a big picture in mind, just that we wanted it to continue.

Suddenly one day, Vikram called from USA and said that he had a brainwave to improve one of our ideas. We had last discussed it nearly six months earlier and shelved it because we didn’t think it would work. It suddenly dawned on us that the improved idea passes all our viable business criteria, especially the parameter that it is actually useful to people, it is doable, and it belongs more in the must-have category as opposed to the nice-to-have category.

After that conversation, everything changed.

Vikram quit a nice cushy job in USA, ditched his H1 visa and is back in Bangalore. He was so sure about this that his colleague Varun also got convinced about the idea and moved back to India.

Here we are, three people who have quit their jobs and working to create a new product. I hate using the latest buzzwords, so I’ll just say, yes we have our own company now. We don’t have any salary and we have lot of work.

A domain name I had registered long ago suddenly came into use. It was going to be the name of our company - IONLAB:

The ion was our first product we created, manufactured and marketed during weekends. Excited by its success, we are now working full-time on making our own products. Hence the “ion” in our name.

We are focused on designs and ideas, and match them to our capabilities. Hence the “lab” in our name, which emphasizes that we are about taking ideas to execution.

We have been having a ball of a time working on our own ideas full-time and gaining experience in expanding our ion business.

Regarding our specific idea, there’s no point in talking about it this early but we’ve described it a bit on our products page.

FWIW, I have no idea how far we will go and what will happen in the future. You may never even hear about us or our product. But one thing’s for sure, we’re going to give this our best shot and we’ll work to make it happen.

As we wrote in our company weblog’s first entry:

We love putting in effort. After all, it’s our dreams and ideas. What can be more exciting than that? As Mark Cuban once said, “The one thing in our business lives is effort. Either you make the commitment to get results or your don’t.”

IONLAB is our dream, our destination.

The next experiment has begun!