WOW!! MJ, I just learned more from those 1140 words than probably ANY book I have ever read.
While my business has not failed, I do understand why it hasn't taken off like the rocket I had envisioned. Much like your example (actually, very, VERY similar), I created my business out of my passion; custom automotive metal fabrication. I build custom fabricated metal parts for auto restorations, resto-mods, 4X4's, one-off customs, etc. Mostly, I have about a dozen parts that I have designed and manufacture in my shop. I built a CNC plasma cutting table to cut large runs of parts and, along with the mounting hardware and install instructions, sell them on various auto/truck forums and eBay.
All this time, I thought I WAS providing a service and/or product to the gear heads, a product that THEY wanted. I am starting to come to realize that I am merely providing a service and/or product that I wanted for MY project, and knew that there would be others that would also want them, and would pay for them.
Items that I am producing are available elsewhere in the aftermarket, and are nothing new. And I know that the largest majority of my sales are from the folks that either know me from the different boards, or folks new to the boards that simply read the threads and see that I have something they haven't seen because they don't have a lot of exposure to the various aftermarkets.
Basically, my business is totally wrong from the get-go. What I saw was an opportunity to take my passion, my hobby, and make money. I am starting to see that I am offering them a product of
my design and ideas, where as I should be offering them a product of
their design and ideas.......

I am trying to sell what
I want, what is in
my head, and not what they want or need.
MANY rep points added for you!