At just 28 years-old, Tobi Skovron knows what it takes to turn an idea into a multi-national business – hard work, determination and a really great product. His idea? “A backyard in a box” called The Pet Loo.

In 2006, Tobi and his wife Simone formed Pup-Pee Solutions Pty Ltd which manufactures The Pet Loo and a line of pet waste management products. They launched their hero product, The Pet Loo, the same year. The invention received a kick-start from Australian national television show 'The New Inventors' when the public voted it Australia's favorite new product.

Pup-Pee Solutions is now Australia's leading designer and manufacturer of pet products which it exports to more than 75 countries, including the United States. In 2009 Tobi moved to Los Angeles with his wife Simone and dogs Subii and Coopa to grow Pup-Pee Solutions’ U.S. business.

Direct Marketing Digest: What was your life like when you were young? Were your parent’s business owners, or show other entrepreneurial traits?

Tobi Skovron: I was born and raised in Sydney Australia. My parents were hard workers that wanted to ensure their kids (my sisters and I) didn’t go without. My dad was an entrepreneur who changed the landscape of his industry and some twelve years after his passing, his products and ideas still lead the automotive industry –www.asnu.com.

My inspiration is my father for doing things his way and my main motivation is to make my family (wife, mum, sisters and extended family) proud. It is the support of my immediate family that drives me and without their support and encouragement I wouldn’t be half way to where I’m right now. I value my support structure and it’s a large part of who I am.

 

DMD: Were there any business people you looked up to, or wanted to be like?

TS: Not really business people, more athletes.

It takes hard work, not just talent, to become the best in your field. Michael Jordan was my childhood hero, not only because he was the best in his era but because he was a competitor, a hard worker and the kind of person who was in the gym first and last to leave. He didn’t just happen; it was the years of hard work that made him into the Michael Jordan the world knows!

 

DMD: What was your first work experience?

TS: I was a Junior Basketball coach at my school and local club. The lessons I learnt doing layups and playing defense still guide the way I run my day-to-day business.

 

DMD: Why did you want to start your own business?

TS: For anyone that knows me personally, they know I am a highly motivated individual. While I respect corporate structures and the 9-5 grind, it’s just not for me.

I love to conceptualize, create, package, sell, deliver, expand and everything that goes along with running your own business. Working for someone is not even a consideration – I need to do my own thing, my way, from beginning to the end, it makes me tick!

 

DMD: Were you entrepreneurial at an early age? For instance, did you sell lemonade on the corner, shovel sidewalks or deliver newspapers? And if so, did your parents push you that way, or was it more part of your DNA?

TS: Yes, it is in my blood, it’s in my family and I believe I’m a born leader!

My parents didn’t push me, but my mum certainly gave me the support I needed. She has been on the sideline from day one, cheering me on. Recently, my father-in-law has been a great mentor and supporter even coming with me on round the world trips.

 

DMD: Were you involved in another business before you started the business you're in now? If yes, What happened with it?

TS: I was involved in a corporate health company and on the side ran private sessions as a personal trainer. Personal training was never a long term career, but is certainly built my skill set and gave me experience in strategic planning and setting goals. It also taught me how to deal with people, take care of those people and ensure they achieve their goals – I believe these are the basic skills of any CEO.

 

DMD: Did you ever have a business idea you didn’t act on?

TS: No, never. I do what I say and say what I feel.

 

DMD: How did you get into the "business you're in now"? How did the “Big Idea” come to you?

TS: It all came about from “need” from there it evolved into “if I need this, who else does”. Simone, my wife and I moved into an apartment with our dogs – we were both working long hours and needed a solution to those in between times when we couldn’t take our dogs outside to “do their business”.

 

DMD: Did you layout a detailed business plan for it, or was it more a napkin-sized outline?

TS: Everything is detailed, but I’ve moved away from the “business plan” and focused on the “strategic plan”. I believe it’s the daily strategy that delivers the results. I see the “strategic plan” as the short terms goals – as in what is on today and the “business plan” is the long term program – as in this year’s goal!

 

DMD: How did you finance your start up? i.e. Savings, Family, Mortgage, Loan, Angel, Private Investors?

TS: I borrowed some money from a family member. This gave me enough to register patents, and get some samples made up. From there, I sold, sold, sold. For the first year and a half I didn’t take a salary, and put everything we made back into the company. I worked two jobs and some ridiculous hours to make it happen.

Today, there is no debt in the company, we are cash flow positive and self sustaining. The initial loan was paid back almost overnight after generating fantastic interest and sales.

 

DMD: What are your thoughts about having and/or dealing with business partners? Some businesses partnerships seem to thrive, while it destroys others. If you had partners, how did you decide on an exit strategy?

TS: We established an exit strategy before we entered into the agreement. I believe it is important to stick to what you’re good at and allow others to do what they are good at.

Pup-Pee Solutions has three shareholders; everyone brings different skills to the company so in our case we’ve thrived. Early on we established that during business hours, it’s strictly business and nothing personal. Just like “white line fever” in sport – once you cross that line, you do what you have to do to win the game (in an ethical manner, of course) but at the end of the day it’s great to celebrate successes together.

 

DMD: Did you have a detailed spending plan in place for the money you started with? If so, in ballpark percentage terms, how was the money spent; (product/inventory, marketing, employees, tools/equipment, location of operation.) Or was it more, I have this much money to start and I’m going to wing it the best I can?

TS: Our start-up money was spent protecting intellectual property and creating some off-tool samples. From there the business had to stand on its own. Our first sales allowed us to manufacture inventory, do more marketing and promotion, then hiring new people. After a year we could better forecast growth, we added structure, more people and more inventory.

 

DMD: As your business progressed, was your growth self-financed through its own success? Or, did you need to raise outside money to grow? If you needed outside capital, how did you get it?

TS: Totally self financed. I don’t like to be in debt, so our aim is to sell, sell, sell, and reinvest revenue into expanding the company. We don’t spend what we don’t have, or borrow to make things happen.

 

DMD: What worked the best for you when you start promoting your company?

TS: The concept of The Pet Loo was great in theory but we needed to demonstrate this to retailers who reluctant to carry a new product, unproven in the market. I backed my products by giving well-known retailers The Pet Loo on consignment for 30 days. On the back end, I invested in PR to gain exposure in the media, drive traffic to my website and stores.

 

DMD: What DID NOT work for you?

TS: Giving payment terms to retailers. Some retailers early on took advantage and dodged paying bills when they became due.

 

DMD: Was there any big break that really got you off the ground?

TS: I applied to go on an Australian television show called The New Inventors and received a letter thanking me for my application and informing me that if my invention was chosen I’d hear back from them within 8 months. I got the call within three days, the following week we were in Sydney filming the show which went to air two weeks later. During that two weeks I recruited a PR firm to ensure every media contact they had watched the show. After that we were inundated with interest, sales and media opportunities.

 

DMD: What is the smartest thing you’ve done while running your company?

TS: I recognized very quickly that while I have the drive and hunger to succeed, it is so important to seek the advice and assistance from mentors and accomplished business people. I believe that we’ve been so successful because I’m not shy to ask questions.

 

DMD: What was the toughest time or “unexpected challenge” you experienced when you started your business, and how did you get through it?

TS: I have met a lot of honest, hardworking people but I’ve also come into contact with some very dishonest and unethical people. Unfortunately, you often find out who’s who the hard way. We had to see out the contractual arrangements we had with one of these people which put us behind, but it taught us an important lesson about forming relationships with the right people for the right reasons.

 

DMD: What do you think was/is the key factor that made YOU successful, when so many others have failed in starting and building a business?

TS: My approach is to deliver innovative products with first class customer service. From day one to date, that’s exactly what I’ve done.

I’ve focused on building relationships with key customers and delivered quality products on time, every time. This builds credibility and encourages word of mouth promotion. The biggest obstacle is to form the first relationship; from there you earn people’s trust and respect and expand your opportunities. People do business with people they like – I’d like to think I’m a likable person and if not, a very hard working, honest one!

 

DMD: When you’re making business decisions, are you more likely to go with your head or your gut?

TS: There is a fine line, I often go with wearing my heart on sleeve but with time learning to create a balance between both – It definitely comes with experience.

 

DMD: When do you do your best thinking?

TS: If it’s not at 3am when I wake with a rush of ideas then it’s definitely when out on my bike at 5:30am.

 

DMD: How have things changed in marketing since you started, and how has it stayed the same? What do you think the future holds for marketing your company?

TS: Right now I’m still doing what I did to get this business to where it is today. Our operations out of Australia are well established. This year I relocated to join my US-based team - I often think to myself “what did I do to get Pet Loo Australia to where it is today” then I work out a strategy for a population 10-times the size.

 

DMD: Do you have any worries about the future that may affect your company? And if so, what are you doing now to be prepared?

TS: When you have a successful product you are bound to become a target for counterfeiters. While we have very strong registered intellectual property (Patents, Copyrights, Trademarks, Design Protection etc.) and plan to protect our rights when threats surface, this causes me the most anxiety.

 

DMD: How educated do you think you have to be to start and build a business? Do you think you need a college education to be successful? Or do you think any average person can start and build a business in today’s world, if they work hard and are persistent?

TS: If you’re passionate, strategic and apply yourself accordingly you’re off to a good start! At Pup-Pee Solutions we have employees with and without degrees. Education is important but if you don’t love what you’re doing it doesn’t matter how many degrees you have. Surround yourself with people who have been successful in their time (advisors), people with common sense, drive, and determination.

 

DMD: Which is more important, talent or experience?

TS: I have drive, energy and vision BUT still have a lot to learn. I’ve implemented a board of directors to advise me and channel my energy – it’s this mix that has put Pup-Pee where it is today.

 

DMD: What is better, Money or Ideas?

TS: In 2003, Simone and I had a fantastic idea – The Pet Loo, being 22 & 23 years old at the time our access to cash was limited. We obviously needed money to bring our “idea” to life and then to market. While money certainly allowed us to get to market I think it’s far more important to understand “profit and loss”. You categorically need to be able to sell product and make a margin on it to make your business sustainable.

 

DMD: What’s the best advice you’ve received?

TS: Don’t live beyond your means. Put simply, if it’s not in the bank, I’m not buying.

DMD: What most impresses you about a person?

TS: Passion, efficiency, attention to detail and initiative.

 

DMD: What’s one thing they should have told you, about being a business leader?

TS: There is no such thing as a 9-5 job. If you have to work all night to meet deadlines – then that’s what you have to do. And, never compromise your values.

 

DMD: In your experience and opinion, is there any industry/business you would advise people to stay away from today. If so, why?

TS: No. Follow your dreams and passion! Do what makes you happy.

 

DMD: Are there any areas you see right now that you think offer great opportunity to get into today?

TS: Certainly. There are many companies in the industry that are folding. I see that as an opportunity to buy brands or companies and incorporate them into our corporate structure. I don’t want to dilute our existing brands but I know that it’s smart to diversify.

 

DMD: Who inspires you now?

TS: So many different people from all areas: Family, my Mum – her strength and determination will rival anyone. Extended Family, my father-in-law – cool, calm and collected in his approach to everything. Sportsman, Michael Jordan – he’s the best there ever was and potentially ever will be at what he did. Business, Richard Branson – I just love his approach and “out of the box thinking.” Immediate circle, Mark Stern – former president of United Pet Group, a global pet industry KING!

 

DMD: What’s the most overlooked secret to success?

Answer: Hard work! Nothing happens over night and sacrifices need to be made along the way. Some people who walk into a pet store will see our products and assume “that guy is making big bucks” but the effort to get it into stores is underrated.

 

DMD: Do you have any pointers or words of wisdom to give Entrepreneurs and small businesses that want to follow in your footsteps?

TS:

1. Surround yourself with people that have been there and done that. Understand where you’re at as a professional and don’t be shy to ask questions and learn.

2. Make sure you get advice from people who aren’t emotionally involved and can be objective about your business idea.

3. Protect yourself and your ideas. Discuss your ideas under confidentiality. If product related, register patents. These are invaluable when dealing with the big customers.

4. Back yourself. Don’t let anyone tell you can’t do it. This only comes into effect after points 1, 2 & 3 have been ticked!

 

DMD: Do you have any words to live by?

TS: Activity leads to results!

 

Personal and Company details if public:

Year Company founded: 2006, after 3 years of Research & Development

Number of employees: 12

Short Company Description: Pup-Pee Solutions are pursuing their goal of being a worldwide solution in the category of pet waste management. Pup-Pee has proven their success in multiple markets worldwide with their product range. More info:www.thepetloo.com

Interviewee’s age: 28

Hometown: Sydney, Australia. Relocated to Los Angeles, California in 2009.

Family: Wife Simone, two dogs Subii & Coopa.

 

Article written by: Direct Marketing Digest 

http://www.directmarketingdigest.com/node/15 

Julianne Dowling | June 9, 2009

 

Featured: Sydney Morning Herald (Click Here to See the Original Article) 

 

It was Ben Stiller as Dave the night guard in Night at the Museum 2 who recently demonstrated how a wacky idea can become big business.

But in reality, unusual ideas need a lot of luck and work to hit the jackpot, while inventers need an entrepreneurial flair to turn them into a sustainable business.

Money matters too. Darrell Nicholls, executive officer at the Industry Development Centre, says initial or start-up funding most often comes from friends, family or personal credit lines. 

While there may be limited access to micro-loans or small government grants, these will depend on you being able to demonstrate a commercially viable business case with a clear market opportunity and  a sustainable model to take the product or service to that market, he says.

To protect your idea you may also need to consider patents, which take time and are costly to obtain.  

Rather than market it yourself, you may decide to license the intellectual property to someone else for a royalty payment, Nicholls said. It's a personal decision and revolves around what funding you have and your skills to develop your idea further. State government programs may offer advice on these choices. 

Whatever you choose, to be a success, you will needs lots of hard work and a passion for what you want to achieve. 

Here's our list of the top ten wacky business ideas that have traction:

1. The bedbug barrier

Tony Abrahams was running a private backpacker hostels and managing apartments around St Kilda for years, and found that bed bugs were widespread.  He says once you had them, it was very hard to get rid of them. So he invented a bed bug barrier, which clips onto the legs of the bed and act as a barrier to access with a sticky resin that traps bugs which crawl up into the bed and bite the occupant. Abrahams won his episode on the New Inventors last month for this entry, and is now developing a mould for mass manufacture. bedbugbarrier.com.au 

2. Rent-a-chook

While minding a friend's chickens for a week, I found these girls to be a lot of work despite the daily reward of eggs. Frankly, after feeding them, cleaning their coop, and filling in holes dug up for their great escape, I was happy to hand them back! Well, with rentachook, you can! You pay $100 for two chooks, a coop and feed, and for six weeks, they're yours. Co-founder Dave Ingham, who grew up with hens in the backyard, says chooks are champion little recyclers, and many urban farming families are catching onto the idea but want to try before they buy…this idea began in Germany with rent-a-duck and is becoming quite popular. rentachook.com.au

3. Doggie accessories

This idea is a goldmine. Take www.doggles.com.au which sells eyewear for dogs; some of it is for fun, some is protective, says owner Jill Doyle. Doyle bought the distribution business three years ago, and while she says consumers are price sensitive, pet owners love the practical benefits. 

With goggles, you're stopping dust and dirt getting into the animal's eyes, she explains, as well as getting UV protection.  

Farmers with working dogs are interested in doggie eyewear;  owners with dogs on utes like them for the dust protection; and owners with breeds, such as German Shepherds, which are vulnerable to eye disease relating to UV light, also find them handy. 

If your dog has had eye surgery, then goggles are also helpful. Jill Doyle, who owns a foxy chihuahua cross, says it's a full-time business, but you need a wider range so she has reflective travel vests, eco-friendly bowls made out of recycled plastic bottles, apparel, such as sweatshirts and jumpers ("Elderly people like to put a warm jumper on their dog,"), and monster toys and baby bears all made out of cotton.

Pets are children so they get treated in the same way. I haven't got into pet prams yet, that's a niche market for older women, who may have trouble walking, or for arthritic dogs. Doyle says the downturn hasn't really hit the pet industry hard: I wouldn't say we're recession proof, but it's a bit like your child, you don't deny your pet. 

4. Smashing plates for fun

The Venting Place in Tokyo emerged last year where stressed-out Japanese shoppers and businesspeople buy porcelain china plates and cups and smash them up, after donning protective gear.

5. Pet toilet

Developed in Australia by social worker Simone Iglicki-Skovron and featured on New Inventors in 2006, Pet Loos are rapidly becoming a global fad.

 

 

Living in an apartment with dogs, Simone realised the need for a portable pet toilet for an emergency or use at night. The idea also has application for elderly dog owners who found it hard to jump up and open doors whenever their pooch wanted out. Pet loos, and its extension for puppies, is now being exported into the US and elsewhere. www.thepetloo.com

6. Biodegradable burial shrouds

The 'bio-pod' or bio-degradable shroud recently appeared on the New Inventors, and should appeal to those wanting an eco-burial because not much separates you from the earth…you're the compost! 

There are five designs, and inventor Kevin Hartley said he's had constant calls and interest. Funeral Director by day, Hartley has been offering shroud burials in Adelaide since January 2008, and has just bought 20 acres of land dedicated to natural burials. 

''We're currently looking for land to site burial grounds in Brisbane, Sydney and Melbourne and far North Queensland. It's really finding its feet. The cost of a funeral comes down to services,'' he says.

The most elaborate shroud is $1300, which is cheaper than the least expensive coffin. Kevin has been lobbying for crown land for non-profit sites for green burials at the same cost of cremation. 

''Cremation pollutes and uses fossil fuel to destroy an organic body, and is a fairly violent process. It's not nice,'' Hartley says.

As a member of Natural Burial Society, he says choosing your own funeral is a powerfully personal issue.naturalshroudburial.com

7. Green hangers

Green Hangers are recycled cardboard hangers (retailing $5.95 for pack of ten), and Christian Ferrante, one of three founding partners, says that while the concept seems obvious, nobody else made it happen.

Now, the group manufactures in China, runs logistics in Australia, and creates global sales. In Australia, Green Hangers are distributed through Bunnings Warehouse and now Howards Storage with supply into QuikSilver and some hotels and drycleaners.  

''Everyone loves the idea,'' Ferrante says, ''but we still had to drive it, and it's a little more expensive than a wire hanger.  It's living up to our expectations and more,'' he said.

''Our difference is that other models rely on advertising on the hanger while we believe in keeping it simple.'' 

A coat hanger amnesty in September will allow you to dispose of your wire hangers at a drop-off point in Melbourne for recycling!  For details, see greenhanger.com.au

8. Gourmet doggy treats

Hand-made gourmet pet biscuits and cakes were developed by Milly Parker and her chef partner Tony, after a car accident led Milly to find a new source of income. The couple are now in a commercial kitchen and out of their own house, and have sold into several countries, including Harrods in London.happyyappers.com.au

9. Rose petals

Sarah Benjamin and mother Jan Slater developed a business based on rose petals after their family farm's crop of roses failed. Sarah was determined to find a new use which led her to weddings and now, they export and retail the largest colour range in the world. The pair won a finalist award for innovation at the Telstra Businesswoman's awards in 2006 and Sarah says she couldn't be happier. simplyrosepetals.com

10. Genuinely weird stuff

Uncommongoods.com is a funky little online gift store of truly weird stuff (so wrong it's right!), such as recycled necktie wallets, paper made out of elephant pooh or books with titles, such as What's your Poo telling you? Maybe it's for the kids or the big kid in your family but it works! Based in New York since 1999, the store has had been praised for its bizarre and crafty approach. uncommongoods.com

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Launched into the market in July 2006 after 3 years of research & development by young entrepreneurs, Tobi Skovron, 28 and his wife, Simone, 27, from Melbourne, The Pet Loo is an Australian business success story, contributing to the Australian pet market, estimated to be worth US$190 million by 2009 according to Euromonitor International.

 

The Pet Loo is a safe and hygienic device that allows dogs to do their business in a mess free, sanitary manner and is suitable for apartment owners, renters, the elderly, office dogs, boat owners, plush garden owners and grassless backyard owners – the possibilities are endless.

 

It first came to the nation’s attention by winning the ABC’s The New Inventor’s 2006 People’s Choice Award and was later awarded the Pet Industry Association of Australia’s Product of the Year Award in 2006. Since then it has also been the recipient of:

 

* TOP 50 Favourite Exporters - The Australian Institute of Export (Dynamic Business Magazine)
* Best Merchandised Exhibit - Pet Industry Association of Australia
* International Design Award - Short List

 

The Pet Loo is the flagship product of Pup-Pee Solutions Pty Ltd and is headed by Skovron, who has driven Pup-Pee Solutions to achieve extraordinary results. Some of the major achievements include:

 

• Increasing stockists of The Pet Loo in Australia from 0 to over 1,200 nationwide (within 12 months).
• Several Full container loads exported to – a dozen global markets (Including USA, Canada, Hong Kong, Taiwan, UK, Ireland & New Zealand)
• Over 20,000 units sold worldwide (to date)
• Distribution plans in the coming months with a further 30 regions of the world pipelined

• Sales to multiple pet owners from over 73 countries around the world (some include Germany, Switzerland, Italy, Japan, Singapore, Brazil, UAE, France, Greece, Netherlands, Thailand, Puerto Rico etc)

 

The next step for Skovron and Pup-Pee Solutions is several line extensions - MINI Wee, Kitty Kat, WEE Care, WEE Sponge, Whiff Off, Liquid Ate etc. Pup-Pee Solutions already has customers lined up both locally and globally.

 

All Pup-Pee products are perfectly suited to the projected US$2.6 billion Asian pet care product market (according to Euromonitor International and based on 2009 projections).

 

“It’s not about the Pet Loo or MINI Wee, it’s about increasing animal companionship irrespective of one’s living arrangements. From apartment owners to the elderly living in nursing homes, to people in town houses, the list goes on, what we have developed is a solution to a big problem which we hope will see the decrease in animals surrendered and an increase in pet ownership globally” says Skovron.

 

It’s clear that The Pet Loo have pets and their owners wetting themselves with excitement!

 

For Media Enquiries & Interviews:

Nicole Iglicki (USA Office)  +1646 383 8886 | email | Fax: +1646 688 4429
Hannah Forest (Global Office) - Phone +613 9415 8599 | email | Fax +613 9415 8419