A new generation values personal freedom and wants to take control of their work and leisure. They believe in people, not banks and rather than work for one company for 30 years, they prefer to collaborate in networks on various projects for short periods of time. The spread of web technologies, which foster mass collaboration, is creating a variety of new tools. These tools enable individuals to work together online in huge groups to achieve mutual goals. At the same time, the disintermediation is everywhere. Technological change, globalization and other international trends continue to reduce the number, size and role of business intermediates in many industry sectors. This led to development of micro and peer-to-peer lending.
P2P lending, also known as “social lending”, lets individuals lend money directly to other individuals and businesses. Just as eBay removes the middleman between buyers and sellers, P2P lending companies like Zopa and Prosper eliminate financial intermediaries like banks and credit unions. Why did it become a popular alternative? Keep reading this post
When it comes to funding, there are two dominant options: equity and debt. Similar to equity approach, debt investment carries some degree of risk but represents a loan, typically with an interest. In general sense, debt is a purchase of bonds or debt obligations. This is a heedful approach to receive fixed return since the bonds are backed by issuing company: if the bond goes into default the organization will receive a poor credit or bond rating and the investors can obtain a profit by seizing the company’s assets. So the level of risk is associated with the underlying debt investment’s rating – those that are rated lower are more likely to default.
Keeping that in mind, investors today are looking for alternative investment approaches to diversify their portfolios – and debt provides many instruments to do so: Keep reading this post
At 80 million strong, the Millennial generation has defined itself as a generation of change-makers: they are known for their collective passion for social causes, their entrepreneurial spirit, their grassroots organizing abilities and their eagerness to reinvent and create new models for change. Millennials is a group who are oriented toward the future, who don’t want their lives to revolve around money. No matter their background, young adults share a sense of entrepreneurship. That innovative spirit can limit the amount of risk millennials are willing to take with their investments.
Born in 1980 – 2005, Millennials grew up in the age of Internet and social media, which enables new ways to invest: shared economy via P2P lending platforms and crowdfunding. Only 26% of Millennials invest in stocks – comparing to 58% of Baby Boomers. Keep reading this post
While traditional advertising such as TV and newspaper ads and digital marketing such as sponsored links on Google help build brand awareness, they increasingly do not resonate with target audiences – especially with Millennials. And even with the explosion of review applications and sites like Yelp, word of mouth – recommendations made by friends, co-workers, or neighbors you know and trust – is still the most effective way to win new customers: 84% of consumers say they trust recommendations from family, colleagues, and friends about products – making this information source #1 for trustworthiness.
Word-of-mouth referrals create real value that is why companies spend approx. $2 Billion on word-of-mouth marketing with around 30% of that for food and drink brands. This type of marketing improves the effectiveness of marketing campaigns by over 50%. Over half of purchases inspired by social media sharing occurs within 1 week of sharing or favoriting and 43% of social media users report buying a product after sharing or favoriting it on Facebook, Twitter, or Pinterest. Word-of-marketing is the new black: Millennials ranked word-of-mouth as the #1 influencer in their purchasing decisions about clothes, packaged goods, big-ticket items (like travel and electronics), and financial products. Baby Boomers also ranked word-of-mouth as being most influential in their purchasing decisions about big-ticket items and financial products.
Word-of-mouth is the most valuable form of marketing – the one that consumers trust above all others and the one that is most likely to drive sales for your company, WHAT IS THE BEST WAY TO GET YOUR CUSTOMERS TO PROMOTE YOUR BRAND AND PRODUCT? Word-of-mouth is triggered when a customer experiences something far beyond what was expected – and good customer service is not enough: 39% of respondents say monetary or material incentives such as discounts, free swag or gift cards greatly increase their chances of referring a brand. Unfortunately, there is no single formula for word-of-mouth success – but it starts with creating a culture that encourages your clients to consider themselves valued partners in your business. Keep reading this post