In 1975, Gary Dahl working as an advertising executive at the time, launched the sale of the pet rock which quickly transformed him into a multi-millionaire. This enormous profit is much more impressive considering it only took him six months to achieve his multi-millionaire status and the extremely low cost of the product.
The pet rock sold for $3.95 and estimates state Dahl sold over 5 million of his pet rocks in a six month period. Even more, each pet rock was purchased for a few pennies and Dahl estimated that the packaging and accompanying manual cost him under 30 cents per rock in bulk to produce. Therefore, assuming incidentals and delivery cost Dahl another 65 cents per rock, then Dahl was profiting 3 dollars per rock. With these totals Dahl earned over 15 million dollars during a six month period in 1975 which would be estimated at $56,166,419.02 today.
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Stories like this point out how important marketing is. You can have venture capital and logistical planning, but if you marketing sucks you will make less than a pet rock. Have always loved this story, thanks for the refresher Sahar.
In 1979 I ran into some of the pet rock folks. The event was unrepeatable. I believe this was a one time event and gives folks the idea that they can easily achieve such wealth with ’such a simple idea.’ Do not be deceived, these were bright folks, with luck. Trick marketing ideas should not be any sort of practical business model. Best of luck out there.
Respectfully