We are currently living in one of the
most uncertain time of the millennium. The Coronavirus pandemic has changed the way
we meet, the way we invest, the way we buy, and most importantly, the way we do business.
There’s no doubt that this isn’t just a period where the economy slows down. This is
much more. This is a period of change. The goal of this video is to, first of all, give
you more perspective on how important this change is, what trends are here to stay, and also, how
you can adapt to them. I will also explain to you why this pandemic and recession is different
from the past ones, and finally, I’ll give you important information on the businesses
that are going to explode in the next months, and especially in 2021.
The Info Race I want you to imagine what society
looked like 15 hundred years ago. We're at the beginning of the middle ages, and
we have two people. The first is a nobleman, and the second person is a regular craftsman,
who produces and sells swords for a living. So, which one do you think has more influence?
Obviously, the noble figure has more power right, and that's simply because he
was born into the right family. And that's the key factor, even in this
present time: having lots of assets, can make the difference between
living a good or a miserable life. Now, in the middle ages, society was composed
of three orders of people: the noble, the clergy and the peasants. They also believed that it
was very important they preserve this division and to remain in the social class where you were
born in order to maintain the general equilibrium. Therefore it was almost impossible for an
individual to go from a low ranking in society to a higher ranking. If you were born a noble, you
would live and enjoy the privileges of a noble, and likewise, if you were born a peasant,
you would live your entire life as a peasant. In those times, your status for the rest of your
life was dictated by the class you were born into. However, that's not the case in
these times. Now it is easier than ever to become wealthy and an influential
person, even if you start with nothing. And that's the case with almost all millionaires
in our society. In the US, for example, according to Credit-Suisse, there are 18.6 million,
millionaires. And according to Investopedia, 80% of them are self-made, first-generation
millionaires. So only 20% of millionaires in the United States inherited their wealth; the
rest of them built their wealth by themselves. So unlike in the middle ages where land
and title deeds played a massive part in determining the wealth of an individual. In our
century, information is the real money maker. The person with the best knowledge and information and
takes action will win, that's simply how it works. So, even during worldwide adversities, some people will profit immensely just because
they have better information than most people, and if you understand and use this concept,
you can become one of those people. But where do you get all that information?
(now isn't that the million-dollar question) Well, there are many sources
you can and can not trust, but your goal should be to look for
unbiased information that you can then act upon. And the goal of this video is to
give you the basics of that information. But before we get into, give this video a
big thumbs up for that YouTube algorithm and comment below what video
you would like us to make next. Why People Buy
Success in business is met by fulfilling a need or want. No matter what industry or specific
niche someone’s in, if they’re successful, they are fulfilling a demand. In other words,
businesses that have many clients solve a problem that many people have, and the more critical that
problem is, the more demand there’s going to be. So, the reason why people buy is simple.
They do it to fulfill their desire or need. If you want to watch a movie, you
have to buy a ticket. If you want to make delicious milkshakes at home, you’re
going to want to buy a blender, and so on. In order for you to understand why the businesses
that I’m about to list will boom up next year, you need to understand one of the most
important principles of economics: the principle of supply and demand. This something thought in school, but
unfortunately, many professors make it extremely boring and long, so I’m about to explain to you in
minutes what my teacher explained to me in weeks. The Principle of Supply And Demand
Supply is, basically, what businesses are willing to OFFER at
a certain time and at a certain price. While demand is what people are willing to
BUY at a certain time and at a certain price. For example, if you are a writer and you want to
sell your first book for $39, you're on the supply side. While, the people that are willing to buy
your book for that price are on the demand side. Now, the principle is relatively simple. I
want you to imagine that you are a writer and a lot of people want to buy
your book because it’s fantastic. So many in fact want to buy your book that you
might not have enough to meet all that demand. And, since there is such a huge demand for the
book and you also want to maximize your profits, you bump the price by $10
and now it's selling for $49. But ever since you increased the price,
many people actually stop desiring the book, because they now think it’s
overpriced, so demand goes down. In business, usually, when demand
goes up, so does the price, since businesses want to make more money. But when
price and supply go up, the demand also falls. Ideally, there has to be a balance between
demand and supply, and that’s the sweet spot that everyone tries to get to, but that rarely happens.
So usually, before a business releases a product, they do a lot of research and testing,
in order to understand what’s the highest price they can charge, and still have a
decent demand for that specific product. If you think about it, it’s the same with the
stock market. When a lot of people want to buy a stock, its value raises. And Obviously, there
are many other factors that influence a stocks, price, demand, and supply. But
understanding this basic concept and keeping it in mind when making business
decisions can make a huge difference. Business Number 1: Logistics and Parcel Delivery
According to Valuates Report, the logistics market is projected to reach 12.2 Trillion Dollars
by 2022. Logistics and parcel delivery is big industry, and it's only going to get bigger, and
yet not a lot is said about it here on YouTube. The business model is basically delivering goods
and receiving a fee for items delivered. Carrier businesses largely rely on economies of scale, so
if 100 items are delivered to the same area, the income to expenditure ratio is much better than
if there was just one. Clients might be a business that needs those goods in order to operate
or regular citizens that buy products online. Obviously, this is a niche that will boom in
spite of the pandemic, in fact, it will grow even faster. This will obviously happen because
more and more people are purchasing things online over buying them via traditional channels
such as stores and malls. Before the pandemic, not a lot of people trusted online shopping, but
due to new health regulations brought about by the pandemic, businesses were forced to turn
to the internet to service and find clients. Most people only had two options: -Go out and possibly risk getting infected. OR
-Stay at home and trust the online shopping. And since most people chose the second option,
they discovered the convenience of online shopping and thus haven't gone back to traditional
shopping. And actually, this is a trend growing all over the world. Because more and
more business are closing down tradition brick and mortar retail stores and choosing instead to
focus on servicing their clients via the internet. The fact that you can buy almost anything
they want and have it delivered to your doorstep with just a bunch of clicks really
is amazing, and that’s the inevitable future. The lockdown has only made the transition from
old school shopping to online shopping faster. If you are thinking of getting into this
industry here are a few things to consider. You will face fierce competition,
and you have to know your customer. Are you going to deliver from business to
customer (B to C), or from a business to business (B to B)? Also, competition is fierce,
so you will have to find a way to innovate. So, instead of being just a regular
delivery business that does business the same old way. Try something new. Take
a look at businesses like Delta Airlines; they’re launching a new project called
“Delta Clean”. The slogan says it all, “a new standard of airline
cleanliness, now and always”. All aircraft will undergo special measures to
ensure sanitizing and health safety friendliness. So if you’re willing to work extra
and provide a delivery solution that has this kind of safety as the main
benefit (along with fast delivery, obviously), you’re going to
win, both now and next year. But if delivering goods doesn't quite do
it for you, then check out the next one. Business Number 2: Health & Hygiene Related Before the pandemic, it was perfectly normal to
shake hands with strangers, hold hands, or hug friends. Now, however, people are very concerned
about having physical contact with anyone. Everyone (well, at least most people)
observe social distancing rules and to ensure they stay sanitized at
all times. With all this going on, it’s no big surprise that many
businesses use “safety” as the main selling point to convince people to
use their services or buy their products. For example, if you’re a restaurant, I’m
pretty sure you want to follow government guidelines to be safe, and you want your
tables to be perfectly clean and sanitized. You do all of this to ensure that people aren’t
anxious when they walk into your restaurant. At this point, you might even want to
advertise that you’re safer and cleaner than all other restaurants,
to get a competitive edge. Well, if a restaurant wants all this to
happen, they’re going to need some help, and that’s when you pop out of
nowhere with a nice phone call that tells them why they should use
your cleaning and sanitizing services. When you start such a business, it's important
to remember what businesses are looking for. They’re not just trying to be clean, they’re also
trying to be seen as clean by potential clients, especially in the tourism sector. So,
along with cleaning services, you also need to provide businesses with a strategy for
opening safely and advertising the new changes. Many businesses are still looking for
this service (not only in tourism), and with the right innovation, this is a huge need
in the market that still needs to be addressed properly. Will you be the problem solver?
Business Number 3: Social Media Marketing Agency A social media marketing agency is nothing
more than an advertising company that focuses on generating sales for businesses with various
techniques and campaigns on the leading platforms. They’re also called SMMAs. Since many businesses
would like to transition to the internet due to the pandemic, all these agencies have popped up!
There are so many, that I’d even call it a trend. So, right now, it probably isn’t a great time
to start a Social Media Marketing business, simply because there’s an insane level of
competition. But the industry truly has potential, and it doesn’t even take that much of an
investment to get started. So, what I would do if I were interested in starting such a business
is, I would wait until the trend fades out. Most of these newly born businesses
will fail for two main reasons: 1. They don’t have any experience and skill. And 2. They aren’t motivated
enough and will give up early. Marketing really is the future, and if you are
serious about this, you should get into it ASAP, learn the necessary skills, and then
start the agency when the time is right. If you want more details about a very specific
strategy for social media marketing agencies let us know in the comments. I’ve
actually met many of these guys, both successful and not, and I came to my own
conclusion about what works and what doesn’t, just tell us if you’re interested
and we’ll get it done soon. The most important thing that you can do
today to elevate your business game is to stay informed at all times. I’m not talking about news
garbage and content that just wastes your time; I’m talking about actual information that
will be useful and critical for your success. Well, you’re actually lucky, ‘cause our commitment
on this channel is to bring highly valuable content to all aspiring entrepreneurs, aspiring
millionaires, professionals, and business people. If you’re looking for the right mentality
and skill to make more money and live a healthier - happier life, Practical Wisdom is for
you. Subscribe today, and enable notifications. So thank you guys so much for watching! Like
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see you guys in the next one.
