Weeks ago, I had shared a series of ways that entrepreneurs can use to raise funds for their business startups. Techniques covered in the series included bootstrapping, bartering, the TTP Code, borrowing, crowdfunding and Venture Capital. It is important to know that as crops of entrepreneurs and project developers emerge on daily basis, the growing league of creators therefore begin to struggle for the attention of the few investors who are willing to spare their money to support a new idea. The truth here is that investors become more scarce.
The scarcity of investors are not bad in itself as it is one of the economic drivers of life transactions. Without scarcity, no one would ever pay for anything. There would be an infinite supply of everything, no one could make money, which means we couldn’t exchange it for goods and services. It is also important to note that the struggle for investors attention could be solidly linked to the information which they are predisposed to. When an investor get's to see a multiple call from creators, he (investor) is limited to those he can respond to amid very unique options. In this blog, I'll attempt to share why entrepreneurs should be educated on the "economics of attention".
The explosion of information at our fingertips over the recent years, comes with a great battle for attention. There are information creators everywhere and most of them are sharing competitively important information to one set of target audience. The reduction in monopoly which is believed to reduce the prices of products and services also comes with a new demand that didn't exist previously and that is the "attention demand".Today, advertisers want your attention before you watch the next video on YouTube; your friends want your attention on SnapChat, Facebook, and text; and your colleagues and every marketer out there want your attention in your inbox. John Hagel, Co-Chairman, Centre for the Edge, Deloitte once said:
“We each have only 24 hours in the day. Where we choose to allocate this attention will increasingly determine who creates economic value and who destroys economic value.” - source
This is the reality we have come to see today and we must face it. Even content creators on a cryptocurrency powered blockchain like Hive are all in want of attention. Where attention demand is not created for curators or content consumers, then efforts put in content creation becomes a waste.
What should the Producer/Entrepreneur/Creator Do?
Since every producer and entrepreneur or creator desires that his product be patronized or that he wins the attention of an investor, there are salient questions that should be answered:
- How do I measure attention?
- How do I predict attention trends?
- What are the ways to to interpret attention data effectively?
- How do I win the battle for attention?
Being able to answer the questions above places the Producer or Entrepreneur or Creator in an advantaged position of having patrons or investors. Where attention data cannot be measured, predicted, and interpreted, the Producer or Entrepreneur or Creator cannot set-up an adequate marketing strategy to communicate his business or project to the target audience.
Attention demand has become a currency that should be acquired and owned in today's tech and information markets. Firms/organizations who own it lead in the marketing trend and they always have patrons. Where product marketing is not aimed at creation attention demand, then the tool just got wasted.
Some lofty and novel products have been created in the markets but go extinct because the anticipated "scarcity" effect has not been created. The prospective patrons must see the product as scarce before they deem it a worthy product for investment.
I would be glad to share thoughts with you on this subject. Let's maximize the comments section of this blog post.
How can an entrepreneur optimize his market and earn patronage for his products and service with with the attention demand?