Think Week

Part III · Choosing a bet · Chapter 9 · 8 min read

Sweet spots: 12 moves

Don't search empty space. Start from a proven success and apply one move to it. Twelve moves, with real cases, and what the AI era broke.

In this chapter
  1. The master formula
  2. 1. Subtract: unbundle a big flexible tool
  3. 2. Narrow: same product, one segment's words
  4. 3. Move: same thing, new place
  5. 4. Cross: X + Y
  6. 5. Package: raw tech → one job
  7. 6. Invert: do what the leader can't
  8. 7. Rebuild on a shift
  9. 8. Own the query: audience first, product second
  10. 9. Sell shovels
  11. 10. Go boring or small
  12. 11. Productize a service: sell the outcome
  13. 12. Arbitrage: buy cheap here, sell dear there
  14. What the AI era broke

The master formula#

You're never the force that moves the market. You surf its waves. With 10–20 factors in play, choosing a sweet spot can make things 2–20× easier, and choosing wrong can make them impossible. What you're looking for is a market hole.

Master formula

Success ≈ Demand × Hole × Access × Edge × Durability

  • Demand: people already want this, ideally already pay for it.
  • Hole: the gap between what they want and what exists.
  • Access: you can reach them cheaply (your query is affordable).
  • Edge: why you: skill, audience, speed, or knowledge others lack.
  • Durability: how long until the hole closes (competitors, the platform, AI).

The factors multiply. If any one is zero, the result is zero. Try it:

Preset to the WordPress publishing idea scored in Chapter 12. Because the scores multiply, the weakest factor matters most.

How to make the huge space searchable: start from a proven success (demand already proven) and apply one move. 50 successes you know × 12 moves = 600 candidates, and every one of them starts with proven demand.

In the tables, the AI era column means: born = started in the AI era, holds = still fine or growing, hurt, broken.

1. Subtract: unbundle a big flexible tool#

flexible tool − options + one segment's whole job = new product

Case Move Result AI era
Ghost WordPress, minus theme/plugin chaos, plus publishing and paid memberships publishers' default holds
Shopify website builder, minus everything except selling public company holds
Substack Ghost, minus setup, plus payments and a reader network writers' default holds
Linear Jira, minus settings, plus speed and strong opinions startups' default holds
Tally Typeform, minus complexity, plus "type it like a doc" $6M ARR, ~11 people, no VC holds
Plausible Google Analytics, minus 90% of features, plus privacy ~$3M+ ARR, bootstrapped holds

The limits are the product. WordPress has too much flexibility; a good product needs constraints.

2. Narrow: same product, one segment's words#

product for everyone → same product for one segment (their words, their channels)

Case Move Result AI era
ConvertKit (Kit) stuck at ~$1–2k MRR as "email for authors" → "email for professional bloggers"; founder moved customers' lists by hand $5k → $97k MRR in 2015 holds
WP Rocket free caching plugins were complicated → "caching that just works", paid only category leader holds
Pedialyte children's rehydration drink → repositioned for adult hangovers big growth holds

No new code, only a new answer to "who is it for?" This is the "copy it, put it in the right place" hole.

3. Move: same thing, new place#

proven in place A → copied to place B (country, language, platform)

Case Move Result AI era
Zalando Zappos for Germany public company holds
Grab Uber for Southeast Asia, plus motorbikes and cash public company holds
Shopee Taobao's model for Southeast Asia regional #1 holds
Haravan, Sapo, KiotViet Shopify / POS for Vietnamese shops with local payments and support local leaders holds

Local advantages (payments, laws, support, relationships) survive AI. Pure translation doesn't.

4. Cross: X + Y#

a segment needs X and Y; X-experts ignore Y, Y-experts ignore X

Case Move Result AI era
Klaviyo email marketing × online-store data IPO 2023 holds
Figma design tool × browser × real-time teamwork IPO 2025 holds
3Blue1Brown math × animation (built his own tool) top math channel holds
LearnDash, GiveWP, MemberPress, The Events Calendar WordPress × courses / donations / memberships / events real businesses, several acquired holds

WordPress × a niche survives because it lives inside the customer's site, with their data and daily work.

5. Package: raw tech → one job#

raw capability + one job + one segment = product; the user never sees the tech

Case Move Result AI era
remove.bg image model → one "remove background" button bought by Canva, 2021 hurt
PhotoAI (solo) fine-tuned image model → "photos of yourself" ~$100–140k/month born
HeadshotPro (solo) same tech → "LinkedIn headshots" reportedly six figures/month within a year born
Cal AI (two teenagers) vision model → "photograph food, get calories" $30M+/year, acquired by MyFitnessPal born
Jasper GPT-3 → marketing copy huge in 2022, then ChatGPT did it free broken

Wins on speed and distribution; dies when the platform ships the feature. Take the cash, or turn it into move 8 or 11.

6. Invert: do what the leader can't#

the leader earns from M; doing X would hurt M → X is safe for you

Case Move Result AI era
Rank Math Yoast earns from Premium → give those features free 4M+ installs holds
Obsidian Notion is cloud → local files you own small team, profitable holds
Plausible, DuckDuckGo, Proton Google earns from tracking → privacy all growing holds
Granola other note-takers send a bot into your call → no bot $1.5B valuation (2026) born
TypingMind (solo) each lab wants you in its app → one app for all models ~$130–150k/month born
OpenRouter a lab can't send customers to rivals → neutral router growing fast born
n8n Zapier is cloud-only → open source, self-hosted, AI agents $100M ARR (2026) born (pivot)

The best kind of hole: the leader chooses not to fill it. It stays open as long as their business model does.

7. Rebuild on a shift#

proven market + a shift (new tech, ranking rule, behavior) → rebuild before the leaders move

Case Move Result AI era
Cursor code editor, rebuilt around AI $100M → $1B ARR in 2025 born
Gamma PowerPoint, rebuilt around AI $100M ARR, ~50 people born
Lovable site/app builders, rebuilt around AI $100M ARR in 8 months born
Base44 (solo) same idea $3.5M ARR in 6 months → sold to Wix for $80M born
Astra, GeneratePress speed started to affect ranking → beat heavy multipurpose themes lightweight-theme leaders holds
Elementor, Bricks users wanted visual editing; devs wanted speed category leaders holds

The "third timing state" from Chapter 8: proven demand, a slow leader.

8. Own the query: audience first, product second#

free value to one niche → an audience you own → learn their pains → sell with almost no ad cost

Case Move Result AI era
WPBeginner → Awesome Motive free tutorials → audience → WPForms, OptinMonster, AIOSEO… one of the biggest WordPress companies plugins hold, tutorial traffic hurt
Midjourney Discord was the product and the community ~$500M revenue (est.), no VC born
Pieter Levels builds in public, so every launch starts with an audience several $M/year, no employees holds
Lenny Rachitsky newsletter for product managers → paid subs, podcast top paid newsletter holds
Tailwind UI free framework → docs traffic → paid UI kits revenue down ~80%, most engineers laid off (Jan 2026) broken

An audience that finds you through Google is rented, and AI cut that path. Tailwind's docs traffic fell 40% while the framework got more popular. An audience that knows your name, face or inbox is owned, and survives.

9. Sell shovels#

a wave creates many builders → sell what all of them need

Case Move Result AI era
ThemeForest, WP hosts shovels for the WordPress wave theme authors report big sales drops hurt
Stripe shovels for internet commerce huge holds
Surge AI expert training data for AI labs ~$1.2B revenue, bootstrapped born
Supabase default database for AI app builders $30M → $170M ARR; most new DBs created by AI tools born

Sell to AI builders, not against AI.

10. Go boring or small#

unexciting but essential job + tech people ignore it → little competition, loyal customers

Case Move Result AI era
ServiceTitan software for plumbers and HVAC IPO 2024 holds
Toast, Mindbody, Procore restaurants / studios / construction leaders holds
Constellation Software buys hundreds of tiny niche software firms one of the best stocks of 20 years holds

"Too small for the big players" protects a solo person.

11. Productize a service: sell the outcome#

a service done by hand → fixed scope and price → then software/AI does most of the work

Case Move Result AI era
37signals, Mailchimp agency work → Basecamp / Mailchimp both huge holds
WordPress care plans "fix my site" → monthly subscription many profitable agencies holds
Intercom Fin support software → charge per question AI solves fast-growing born

Customers want "done", not a tool. When AI does the work, AI is your cost, not your competitor.

12. Arbitrage: buy cheap here, sell dear there#

Case Move Result AI era
Dropshipping, private label cheap goods + ads margins gone hurt
Affiliate / niche content sites free Google traffic → commissions wiped out by AI answers broken
Offshore dev shops cheaper developers AI shrinks the gap hurt

The gap always closes. Fine for quick cash, bad for a 4,000-week plan.

What the AI era broke#

Case What happened Formula that broke
Chegg value fell from $14.7B to ~$0.1B; 45% of staff cut selling answers and information
Tailwind UI revenue down ~80% selling code/templates to docs traffic
Multipurpose themes big drops; leaders split into "Classic" + new products flexible templates for DIY users
Jasper ChatGPT did the same for free thin layer on someone else's model
Affiliate sites Google answers directly depending on search traffic

What broke: selling information, templates, generic content or thin wrappers, and relying on search traffic.

What survives:

  1. Trust, and an audience you own.
  2. Living inside the customer's daily work and data.
  3. Products that get better when AI models get better.
  4. Selling shovels to AI builders.
  5. Holes the leader structurally can't fill.

Exercise

Write down 30 successes you know well in your own field. Apply the 12 moves to each. Run the four kill filters from Chapter 8 on the results. Look deeply only at the survivors.

Takeaways

  • Five factors, multiplied: a zero anywhere is a zero overall.
  • Start from proven demand plus one move, never from empty space.
  • The strongest holes are ones the leader chooses not to fill.
  • Avoid anything shaped like templates, information or thin wrappers.

Sources: Tailwind layoffs · Base44 / Wix · Gamma · Cal AI · Surge AI · PhotoAI · Lovable · Midjourney · Chegg · Tally · n8n · Supabase · ConvertKit · HeadshotPro · ThemeForest sales drop