If you haven’t noticed, Apple, Google and Amazon creating an environment ripe for the digital entrepreneur. Below are 8 reasons why 2010-2020 will be the decade of the entrepreneur focused on internet, mobile, software, ebook or music.
1. Open Distribution. Distribution will no longer be controlled by wireless carriers, music publishers, book publishers and brick-and-morter stores. Anyone can create digital content and distribute with very little friction through iTunes, Amazon, Android market, internet, etc…
2. Less Expertise Required. 10 years ago you needed an web expert to create a web site. Today, choose from a slew of online and opensource tools to create a site with little expertise. 2 years ago it was difficult to create ecommerce and monetize content or sell goods online. Today, create a merchant account in minutes through paypal or google. 1 year ago it was difficult to create mobile apps. Today, create and publish your own apps in minutes using online tools.
3. Lower Investment Required. 6 figure infrastructure and team of system administators? No thanks, I’ll take cloud computing for $100/mo. Sales team? Not necessary with open markets. Entrepreneurs will have an advantage over legacy competitors with this high overhead.
4. Social Marketing. Social networks are revolutionizing discovery of new products. Sales for digital content will be generated from recommendations through friends and their network. Entrepreneurs utilizing social networks effectively to always generate a great ROI vs a big company advertising campaign.
5. New Monetization Methods. Companies with high overhead and legacy monetization methods are at a disadvantage as new monetization models emerge. The larger companies will be the last to take advantage of freemium, virtual goods, micro transactions and ad-supported models.
6. Innovation. Technological changes are occuring faster than large company executive teams can manage the information and push product ideas down to developers. Meanwhile, entreprenurial developers are engrossed in tech forums, blogs, API discussions, protyping and quickly iterating on new versions with new features.
7. Niche Markets are Small Projects. Entrepreneurs will have a great deal of success in niche markets that can be accomplished with a team of 1-4 team members. No longer do you need a team of 20, 30 or 50 developers to start a company.
8. The best stuff wins. Open stores, social marketing and community feedback will ensure the best stuff wins. A larger company with an inferior products no longer has an advantage over an entrepreneur.
If you are an entrepreneur then start working on your next digital venture now. No need to raise capital with Apple, Amazon and Google giving you the tools to bootstrap and compete with the big guys.