The SHINE Series features individuals who I meet on my travels or through my network who inspires me through their mindset, actions and/ or heart to flourish.
For the SHINE series to-date, I featured inspiring people that I know personally. Rick is the exception and that was the first thing I shared with him when we had a video call to connect.
I got to know about Rick through my dear cousin Fiona who asked me if I needed more entrepreneurs for my series. She wanted to connect me with a cool friend of hers who does escape room and is expanding regionally. I asked her to send some links for me to read up on him before I make a decision.
I like Rick’s radical thinking, gung-ho attitude and for his business to not just survive but thrive through the pandemic, there are definitely insights we can learn from his journey. During the call, his enthusiasm and vibrancy shines forth. What I appreciate most is his openness in sharing his learnings. I look forward to meeting him in person when I’m next in Hong Kong, and after learning more about LOST, I am now keen to experience my very first escape room. Till then, here is his story.
Rick Woo – Co-Founder, LOST, Hong Kong
What inspired you to start your journey?
Upon returning from Melbourne in 2010, I embarked on a journey to establish a digital agency focused on assisting corporate clients in designing and developing their mobile apps. This venture thrived in the booming market, and I successfully exited the business in 2013. Subsequently, I recognized the shifting landscape as more people gravitated towards online ventures, leaving a gap in the exploration of offline business opportunities. Motivated by this realization, I conceptualized and founded an experiential business that would become a lucrative venture. Being a passionate puzzle game enthusiast since my youth, I became intrigued by the concept of escape games in Japan. However, I observed that these experiences were low-tech and predominantly centered around scary themes. This observation sparked a vision, leading me to assemble a team of like-minded individuals to create our startup – LOST. LOST stands out as an escape game that we designed and developed, incorporating cutting-edge auto-gadgets. Differentiating ourselves from the prevalent scary themes, we opted for immersive adventure and historical narratives. The result is an engaging and unique escape game experience that captivates participants and sets LOST apart in the market.
What challenges, if any, did you find at the beginning of your journey and how did you overcome them?
Established in 2013, LOST faced a significant challenge when, after years at our initial location, we received notice that the building was slated for demolition. With no choice but to relocate, the task became particularly daunting as we operated 10 distinct escape rooms, each requiring substantial space. Being situated in the prime area of Hong Kong (Causeway Bay), finding suitable premises proved to be a formidable challenge. Complicating matters, during this period, numerous escape room ventures attempted to replicate our success. However, many succumbed to the pressures of high rent and ultimately closed down, contributing to a perception of a declining escape game market. Amid the search for a new location, a noticeable gap emerged, leading people to believe we had exited the market. Upon our return to the scene, we embarked on a revitalized social media strategy to regain exposure. Over a span of six months, we diligently worked to solidify our brand. Gradually, positive testimonials began to circulate, with people enthusiastically sharing their experiences at LOST.
How did you get the idea for LOST and why did you think it would work?
The concept behind LOST is not merely to operate a business but to redefine the escape game market as an industry. While others predominantly focus on haunted themes, LOST distinguishes itself by delving into mysterious adventure historical stories. We explore narratives like the daring escape of the Chinese King, Qin, the legendary prison break at Alcatraz, and the pursuit of hidden treasures in the tomb of Pharaoh. Our commitment to innovation is evident in the incorporation of high-tech auto-gadgets. Unlike traditional methods, we have eliminated the need for keys; instead, we use magical transformations, such as strategically placing books in a shelf to reveal a secret pathway. Thinking outside the box, we recognize that user experience (UX) is paramount. This focus on providing an exceptional experience resonates with our players, resulting in positive word-of-mouth and drawing more enthusiasts to try our games. Beyond the direct-to-consumer (B2C) market, we extend our reach to the business-to-business (B2B) sector. We offer services for team building and corporate training, differentiating ourselves through a unique algorithm known as 16C. This algorithm utilizes sixteen letters starting with ‘C’ to facilitate debriefing sessions for corporate clients. For instance, questions like “How important do you consider Cooperation?” or “What are your thoughts on Curiosity?” and even addressing the potential for Cheating during the game. These value-added components elevate our games, contributing to the success and popularity of LOST.
We understand that you have started LOST Junior, please share more.
LOST Junior stands as a remarkable model, representing an extension of LOST designed to tap into a distinct market segment and cultivate a younger player base. The genesis of LOST Junior emerged from a recognition that many children today find themselves immersed in digital screens. In response, parents are increasingly eager to discover alternative activities that not only engage their children but also provide a constructive and educational experience. Thus, the fusion of “education” and “entertainment,” often termed “edutainment,” became the guiding principle for LOST Junior. Within LOST Junior, we have seamlessly integrated STEAM elements (Science, Technology, Engineering, Arts, Mathematics), offering an ideal platform to unlock the hidden potential in kids. Emphasizing collaboration, LOST Junior eliminates the concept of seniority during gameplay. Regardless of age or familial roles, every participant is recognized for their unique strengths, emphasizing the importance of teamwork for a successful escape. Upon completion of a LOST Junior adventure, each participant receives a certificate issued by us, acknowledging specific abilities and endorsing the child’s role in the game. Designations such as “motivator,” “observer,” and “brain master” are bestowed, contributing to a sense of achievement and empowerment for the young players.
What kind of research did you do before you started?
My venture into the escape game industry is deeply rooted in a lifelong passion for games, particularly puzzles and riddle-solving, stemming from my childhood. As an avid video game enthusiast, I’ve cultivated a keen understanding of user expectations and preferences over the years. This unique blend of personal experience and passion laid the foundation for transforming my interests into a viable business. Leveraging my background in business, I successfully expanded the enterprise into various countries, including Australia, Canada, China, the Philippines, Singapore, Taiwan, UAE, and Vietnam. The exploration of diverse markets not only facilitated business growth but also provided invaluable insights from different perspectives. This journey of expanding into different countries has been a tremendous learning experience, equipping me with a versatile skill set and knowledge base crucial for business expansion.
Knowing what you know now, is there anything you would have done differently?
Over the course of the past decade since launching LOST, my business insights have expanded significantly. Here are ten life and business principles that I’ve learned during this journey which are totally different compared to the early beginning: 1) **Never make decisions when you’re not in your optimal mental state; 99% of the time, it will result in a mistake. 2) **Low-value entertainment is akin to a drug; eliminate it from your life. 3) **Build your personal brand; people place a higher value on your integrity than anything else. 4) **Ensure your personal life is in order before focusing on building your business. 5) **Be discerning in choosing whom you do business with; revenue alone shouldn’t dictate your decisions. 6) **Allocate time for journaling and brainstorming; it clarifies your thoughts and fosters creativity. 7) **Learn how to handle losses and live with failure. Visualizing failure is crucial; it prepares you for challenges, which often precede success. 8) **Remember your humble beginnings; the fear of losing everything shouldn’t paralyze you. 9) **Believe it or not, eliminating alcohol and sugar can have positive effects on both your physical and mental well-being. 10) **Curate your social circle carefully; distance yourself from those who hinder your pursuit of dreams and goals.
How did you persevere through the tough times?
I find great joy in engaging with like-minded entrepreneurs, engaging in deep conversations that prove invaluable when tackling challenging issues. Additionally, I hold a deep appreciation for personal time, which I prioritize through activities like enjoying a glass, going for a run, or practicing meditation. These moments of solitude serve as powerful tools to recalibrate both my mind and body, particularly during tough periods. A mantra I frequently remind myself of is “be a warrior, not a worrier.” Embracing the entrepreneurial journey, I am fueled by a passion for problem-solving and overcoming obstacles. It’s not solely about winning; rather, it’s about the resilience to persist and not succumb to challenges.
What may be one or two memorable experiences you’ve had while running your business?
There was a noteworthy moment at a networking event a few years after establishing LOST. During this time, many operators in the escape game industry were facing closures due to rent issues and a lack of business. In contrast, we were not only thriving but also expanding into overseas markets. At this event, a young man in a suit greeted me, and after exchanging name cards, he noticed that I was involved in the escape game industry. With a puzzled expression, he asked, “Is that the one that closed down?” I couldn’t help but laugh and replied, “If you want to experience all our escape games, you might have to travel halfway around the world!” His shock reflected a lack of awareness about how LOST was flourishing in the market. Another memorable transition occurred as we moved from a digital to a physical business model. Leveraging the success of LOST, we pioneered the world’s first escape game in the metaverse, concurrently establishing our virtual realm, LOST Island. This innovative move garnered attention from various global media outlets, showcasing our business model’s excellence in the realm of Web 3.0. Our ecosystem revolves around two key concepts: “play-to-earn” and “create-to-earn.” In the former, players receive NFTs upon completing our physical games, allowing them to seamlessly continue their adventure in our metaverse. These NFTs become tradable assets once the OMO (online merge offline) game is completed. On the “create-to-earn” front, we encourage everyone to become a game designer by crafting their escape games on LOST Island. The chosen designs will be brought to life by our team, with the possibility of seeing them featured in various LOST branches.
How do you stay on top of industry trends?
Constantly vigilant in the market, we possess a deep understanding of the experiential business segment since our inception. A fundamental principle guiding us is the view that we are our own competition. To propel forward and foster growth, we strive to surpass the accomplishments of our past selves continually. What sets LOST apart is its role as more than just a business; it’s a force for creating and redefining an entire industry. Pioneering initiatives have become our signature, such as being the first to introduce the 16C for corporate training and team building. We’ve also led the way in crafting pop-up escape rooms, showcasing our ability to design and build customized experiences in diverse locations like schools, hotels, shopping malls, and clubhouses. Additionally, we take pride in being trailblazers in introducing kids-friendly escape games infused with STEAM elements – LOST Junior. Our journey extends into the metaverse, where we’ve pioneered the OMO (online merge offline) gaming experience – LOST Island. These disruptive ideas and their execution are the result of the collective efforts of our small yet dedicated team. Our overarching goal is to encapsulate our ethos in a simple slogan: “LOST, we gamify anything!”
What are your tips for growing a company?
Operating a business necessitates a robust and positive cash flow—swiftly generated to sustain ongoing expenses. Hence, regardless of your endeavors, a primary focus should be on the expeditious generation of cash to ensure financial stability. In addition to financial considerations, cultivating an iconic brand is indispensable. When your name is mentioned, it should evoke a clear association with your business, akin to Steve Jobs with Apple, Elon Musk with Tesla, and Jeff Bezos with Amazon. The establishment of personal branding intertwined with your business identity is a gradual process, requiring a significant investment of time to construct. However, it’s crucial to recognize that this hard-earned reputation can be fragile and easily damaged within a short span.
What is a typical work day like for you?
I’m a social individual with an outgoing personality, thoroughly enjoying the opportunity to meet new people and constantly learn. A typical workday for me often begins with an invigorating hour-long run in the morning. This dedicated time not only contributes to my physical well-being but also serves as a space for contemplation, where I can brainstorm ideas to enhance and elevate my business in the market. Mornings are essentially my “me-time,” a period when I focus on self-improvement and creative thinking. Later in the day, I engage with various individuals, such as business partners or clients, to explore potential synergies and collaborative opportunities. As a social drinker, I frequently connect with fellow entrepreneurs and top-tier businessmen for engaging conversations that stimulate my mind and provide fresh perspectives.
What daily habits do you use to help you succeed?
Incorporating a daily run or exercise routine is a valuable habit for every entrepreneur. Running solo, I find joy in savoring each moment, particularly during those challenging instances when the inclination to take a break or quit arises. This practice serves as a training ground for fortifying my determination. It not only keeps my mind dedicated and focused on my pursuits but also prompts introspection—evaluating what went wrong and devising strategies for resolution. Running a business is akin to participating in a marathon. It’s an extensive journey where reaching the goal is paramount, regardless of the difficulties encountered. Much like a solo run, the journey is undertaken individually, with support from others serving as supplements—encouragement, cheering, and occasional assistance with water or energy bars. Nevertheless, the commitment to cross the finish line rests solely on the individual; once initiated, there’s no turning back!
What is your favorite aspect of being an entrepreneur?
The motto “Do not tell me how big your problem is; tell the problem how big your power is!” is a constant refrain in my mind and stands as one of my favorite perspectives as an entrepreneur. As a business owner, the role involves navigating through an array of challenges, spanning finance, marketing, sales, operations, and human resources. A significant consideration is recognizing that each member of the team has their own families, making them personally invested in the company’s ups and downs. Harnessing this as motivation, I relish the opportunity to be an entrepreneur and embrace the challenges. Much like in an escape room, where the number of riddles, hidden areas, and the difficulty of clues remain unknown, what you do have is your teammates to collectively tackle and overcome these challenges.
What advice would you give to someone who is wanting to be an entrepreneur?
Determination is a crucial trait for any entrepreneur, coupled with a profound understanding of one’s strengths and weaknesses. A successful team comprises individuals adept at fitting into their respective roles seamlessly, collectively propelling the company toward excellence. In a thriving organization, there is no place for a singular hero; rather, success is forged through the synergy of teamwork and effective communication.
What do you want to achieve next?
In the next few years, I plan to strategically expand LOST into one or two new countries, delving deep into these markets. Simultaneously, I aim to explore and elaborate on the potential of LOST Junior, ensuring its successful integration. Additionally, the vision involves establishing more outlets to serve as gateways to the metaverse – LOST Island. The ultimate goal is to capitalize on these expansions, working towards realizing the dream of financial freedom.
Any favorite quotes that inspire you to keep going?
“Some beautiful pathways can be discovered when you find yourself LOST.”
This quote is quite inspiring, especially during challenging times, as it infuses you with the energy to persevere.
Who would you love to have a conversation with and why?
My wife is not only my soulmate but also my business partner. I share my thoughts with her extensively, and we provide mutual support to each other. Given her introverted personality and my more extroverted nature, we leverage each other’s strengths to maximize the returns in our partnership.
We heard someone describe you as a running monster. How did you pick up this running habit?
Every decade, I set a new challenge for myself. At 30, I ventured into my first business startup, and by 40, I made the decision to achieve a sculpted physique and create a fitness album. It was during this period that I began running, and over the years, I discovered the profound impact it had on me as an entrepreneur. Running instilled in me qualities such as determination, the drive to surpass my own records, and the resilience to keep going, never succumbing to the idea of giving up.