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Vertical Integration: From Mobile Jiu Jitsu to Making Grappl App | Mike Cragholm | USMC
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📢 Q: How do you start a fitness company and scale it?
💡 A: Create an app and service that unites all similar business owners and potential customers. 🤔
When Mike Cragholm told me about it, it sounded a bit crazy. After hearing his explanation, I realized he created a profitable win-win-win scenario for his company, fitness business owners (jiu jitsu instructors), and clients through vertical integration. Let me explain.
After Mike Cragholm, a retired Marine Corps infantry officer, started his business, Space Coast Mobile Jiu Jitsu, he noticed that it was difficult for potential customers to find his business and other jiu jitsu companies online. Instead of relying on search engines or other major applications, he created Grappl App - a web-based application designed to connect customers with jiu jitsu instructors. According to Mira Norian, vertical integration is "a strategy that allows a company to streamline its operations by taking direct ownership of various stages of its production process rather than relying on external contractors or suppliers." (1) In this case, he vertically integrated the internet search activity by creating Grappl App, which substitutes most search engines. Some may call this upstream or backward integration. Of course, he needed help with starting this new company.
In this episode, we discuss his entrepreneur journey, finding the right talent to make his vision become a reality, adapting business plans, the Jiu Jitsu Entrepreneurs Mastermind (JJEM), and so much more. Links to his business and other good information are provided below.
Mike on LinkedIn - https://www.linkedin.com/in/michael-cragholm-8a2b01b2/
Grappl App - https://www.grapplapp.io/
Space Coast Mobile Jiu Jitsu - https://www.spacecoastmobilejiujitsu.com/
IG - https://www.instagram.com/spacecoastmobilejiujitsu/
IG - https://www.instagram.com/grapplapp.io/
Footnote 1: Hayes, Adam, "What is Vertical Integration?" Investopedia, July 25, 2024, https://www.investopedia.com/terms/v/verticalintegration.asp
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