Bank crises, Public Debt crises, currencies under pressure – certainly something is not going in the right direction at the moment. While I am not really clear yet who is making the money on all that, I am pretty sure we will have inflation, a lot of inflation. Thinking about this and its consequences for the web world, I came to love Twitter. Why? Read on.
What bankers suggest to do about inflation, is to invest in “real” things, a house, company shares, and gold. In fact, they suggest to invest in the opposite of liquidity, in things that inflation can’t eat away. But, you know what? None of them says to invest in users. Yes, users. Users are inflation-resistant. And while investing in users was something for businesses only in the past (where it was called customers), thanks to Twitter, Facebook and Co., today everybody can do it and add followers.
One of the first to realize this value is Ashton Kutcher. He’s got now over 8,000,000 followers on his twitter account.
What will be the inflation of those 8 million users? Will they be worth less if inflation rises to 5, 10, 20% ? No. They will be worth the same, they will not be affected by inflation. Let’s do an example to understand this a bit better.
Today, Ashton Kutcher “tweeted” about the new episode of Two And a Half Man, the famous TV series starring him now. He tweeted the following:
Do you know how much it would cost to use for example Google Adwords to reach out to such a large audience? Let alone other traditional forms of advertising. As well, you’d need to pay Google with real money, money that inflation will eat up quickly. Ashton Kutcher will be able to continue to send tweets to his followers, even if Google’s Cost per Click rises due to inflation. That is a rock-solid investment where you wouldn’t even need to spend money on.
Disclosure: All this, of course, as long as these are real users, not fake ones, as TechCrunch correctly observed. Fake followers/users to your user base are what inflation is to currencies – it depreciates its value a lot.