Memorial Day Weekend always officially kicks off the summer season and serves as a reminder that, if you’re looking for funding, carpe diem – investors are about to unplug for the season.
We’ve long mentioned that no one stays on top forever – times, tech and tolerance change – and you’re aware by now that the socials are under attack. By governments and users. Last week, CrossFit, Inc. Suspend(ed) Use of Facebook and Associated Properties, reporting, “Recently, Facebook deleted without warning or explanation the Banting7DayMealPlan user group. The group has 1.65 million users who post testimonials and other information regarding the efficacy of a low-carbohydrate, high-fat diet. While the site has subsequently been reinstated (also without warning or explanation), Facebook’s action should give any serious person reason to pause, especially those of us engaged in activities contrary to prevailing opinion.”
This is not an advert for Crossfit. It’s a heads up to entrepreneurs that it’s not game over. With all of the missteps on the part of the socials, the heat is on. It’s now open season and time to focus on the problems that they’ve created and that someone somewhere will solve – by building a better mousetrap. You want to be a unicorn? Solve a big problem that a lot of people are having, and a lot of people are having problems with the behemoths, including Facebook (and its properties), Twitter, Amazon (and its devices), and Google.
As Tracy Chadwell of 1843 Capital said at our investor breakfast: “People don’t buy cool technology. People buy solutions.”
So do investors, if you’re going that route.
And make sure to have a business model that doesn’t depend on brokering Big Data. As we’re learning, with Big Data comes Big Problems.
There’s air back in the sector. Breathe it in and while you’re at it, do make sure to get out there and enjoy the sunshine as well as we go onward and forward.