Like Chapaa

  • Introducing MyCDBag [Interview]

    Posted: May 25, 2011, 11:02 am by wham

    Dear readers, today’s interviewee is Paul Abwonji. He is a nairobi-based developer and the man behind MyCDBag, Water Framework, and I-sentIt.

    Q. You’re quite an achiever, tell us about you.
    My names are Paul Kevin, developer by heart. I enjoy non-cliche media and gamming. I taught myself most of what I know and I develop web applications(Java and php), video games(Mobile and PC) and mobile apps for smart phones.

    Q. How did you start?
    Well, ever since I was very young I always loved developing products and items that are cool and procatical. I never had a liking for theory in innovation, so I always took a practical approach. My first ever project was www.plus254.com, a website that would have all of Kenya’s entertainment in one site in a social network scene. This was back in 2006, I had a team of reporters, developers, marketers and a programmer. It was fun, I must admit, but we lacked direction and discipline.

    Q. Tell us a little about MyCDBag
    MyCDBag is basically cloud music. This idea came to me 2 years ago, I have love for music and I know afew mucisians. So, its a platform that will allow users and artists to directly interact with each other on their terms. A platform that will change our music industry and show people that music is not just a business, its fun. The name MyCDBag was coined up while working on a project with no name. I had first wanted to call it ‘M’ but domain names cannot be that short . Alot can be put in it, and we want to start with music and grow.

    Q. What do you hope to achieve with MyCDBag?
    I hope to bring out more recognition to the music industry. We have great artists and upcomming artists, most whom lack motivation due to piracy and expenses incurred when producing music. Music is a career, and all careers have their own edge to them. I want the site to help artists become artists. MyCDBag has an anti-piracy tool that allows artists to be alerted when one of their songs or albums is in use by someone other than themeselves. The technology will enable fans to follow artists from any device and from anywhere.

    Q. What challenges did you face and how did you overcome them?
    First of all, I was not so good in design. This is actually the second version of the website, with a better design. I partnered with a friend who I think is the best out there when it comes to design, Paul Bombo. The second challenge was mamnagement, so I partnered with another friend, Michael Otieno.

    Q. What are the challenges of being an entrepreneur in Kenya?
    The biggest challeng I got was laziness. I personally would prefer sleeping over working. I currently have a job and balancing that with code is a real challenge also.

    Q. What was critical to your success?
    Great friends and a project that I love. Hard work and plenty of research

    Q. What about the competition and marketing, how do handle that?
    Competition is crucial, otherwise you are not in business. There is alot of competition and big names with alot of funding to do things we cannot do. To handle this, we get personal with the users of this service. Target the artists who are comming up and offer them something we are happy about. Its all about delivery and product belief.

    Q. Do you think that in order to “make it big” online you have to live in a Western country? Or does Kenya offer more or less the same opportunities?
    You can “Make it big” from anywhere in the world as long as you believe in your product and in yourself. Kenya, currently has alot of untapped opportunities. Sometimes you will want to get sponsorship from a company that you know is good for your product/service and they shut you down. It happens, but as an entrepreneur you should know that everything in life is not easy and you should not let others determine your business mood for you.

    Q. Where do you see yourself and your business (es) in the next 5 years?
    I see myself helping others build their business, I know the struggle and I would like to see more online businesses come up. As for MyCDBag, there are alot of plans in play for the next 10 years, a step by step process that is really fun. I hope to chenge the music industry as it is.

    Q. If you had to do it all over again, what would you do differently?
    Launch sooner Version 1 had a simple layout, but I had to srap it off tio make room for new technology.

    Q. What advice do you have for internet business entrepreneurs in Kenya?
    Dont limit yourself on technology, follow your dreams and if its done, do it better.

    That’s all for today readers. If you’d like to hear more from Paul Abwonji, please visit his website www.riswolde.com .

  • Water Framework is a php API framework developed to server as an API base for I-sentit – in development
  • I-sentIt – A communications API for all platforms using Email and SMS. It will have a mobile and desktop client.
  • Email : paul.kevin[at]riswolde.com
  • Twitter : @paul_kevin, @mycdbag

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  • The Coming Disruption: Teen Knowledge Work

    Posted: May 23, 2011, 9:27 am by Kelvin

    Dale Stephens is 19. If you or your business would like to consult with him for a day, his published rate on his website is $5,000. Imagine that, a 19 year old who is confident enough to charge Kshs 400,000/- a day for his consulting services.

    Dale’s story is from an interesting articles titled The Coming Disruption: Teen Knowledge Work (click to read it).

    The article describes the phenomenon that is young people (mostly barely out of their teens) are no longer getting employed but choose to try their hand at starting businesses. This is a very major change from just a generation ago when our parents would seek and hold on to jobs for most of their lives.

    What do you think of this new trend? I’m all for it – instead of adding onto the high unemployment numbers, young people should instead try to create jobs – ama?

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  • On Online Jobs…

    Posted: May 19, 2011, 10:21 am by wham

    So recently we’ve been getting a whole lot of emails from people wanting us to “hook them up” with online jobs. The emails usually sound like they were written by very sincere very qualified people who just want to make money online.

    It seems the question on every one of these people’s mind is “How exactly do you get an online job?”

    The sad truth is that this is an area that is very much a target of scammers i.e. it is very easy to get cheated while trying to ‘find an online job’. Why is it so? Because most of the time the people looking for online jobs have little knowledge on how to go about it and most of them are too desperate to get an online job therefore they believe anything and quickly jump at the thought of joining up yet another juicy online program that promises easy riches.

    What no one tells you is that working online is hard. Extremely hard. It is just as hard, if not harder, than working offline, or anywhere else. Look, no one is going to give you free money – sawa? So if you see someone promising easy overnight riches then you should be wary of two things:

    • That person is probably going to steal from you in some way
    • The ‘job’ is going to be nothing like he described it (if it exists) and certainly in no way easy

    Now, this is not meant to scare you. Legitimate online jobs do exist. In fact, most of the people who write for Like Chapaa earn a significant portion of their money online.

    The important thing is to be prepared to work incredibly hard. When you start working online, you will quickly realise that your competition is Indians, Pakistanis, people from Eastern Europe and people from many other countries in the hundreds. The people with jobs are far fewer than the people who want jobs so you will have to work that much harder to be seen and considered from amongst the crowd.

    The fruits of your labour, however, are very sweet. I would argue that money made online ni tamu kushinda zote zingine!

    We’re preapring some more articles on this topic due to public demand so stay tuned to Like Chapaa. In the meantime, have a look at these classics:

    See you soon.

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  • Updates on Receiving Payments Online in Kenya

    Posted: May 17, 2011, 6:10 pm by Kelvin


    We recently wrote about two new ways to convert money in your PayPal account into money in your hands in Kenya. These were:

    But there is bad news. It seems the currency exchange method may be risky in that you can get scammed. As for Babawatoto.com, at least on Like Chapaa reader has complained that babawatoto.com do not accept requests originating from within Kenya.

    We reached out to babawatoto.com for their views on this issue and this is the response that we got:

    Kevin,

    Thanks for your email.Due to past and current fraud concerns,we dont process any orders originating from Kenya or with a Kenyan paypal address.

    Regards,

    Customer Support,
    Babawatoto Online
    Email: Info@babawatoto.com
    Web link:http://babawatoto.com

    SO there you have it. If you live in Kenya then babawatoto.com will not help you and, indeed, there are literally no ways to withdraw your PayPal money from within Kenya. How sad.

    As far as receiving payments online from within Kenya, here is the situation thus far (thanks to yeronly):

    1. Paypal – there’s a comprehensive review about this in this (likechapaa) website. The best we have come to withdrawing in kenya without minimal hustles, from reviews of products offered, is babawatoto (sending money to ones mobile) whose advantages are those of mobile money transfer, and disadvantages include a bit expensive and quite low limit (upper limit is ksh. 20,000 for which the charge, at current exchange rate of ksh. 82/dollar is around ksh. 2,300 ). However, babawatoto.com has confirmed that they do not serve requests originating from Kenya.
    2. Moneybookers – Allows wire transfers to local banks; could get challenges being paid by US clients from this. some (entities) will deduct as much as 5% if this is the mode of payment. With your P. O box number, they send a confirmation code to P. O box (received one within a month’s time), once confirmed, your transfer limit is increased.
    3. Alertpay – allows wire transfers; main undoing, as is for moneybookers, is that most clients in the US will prefer Paypal.
    4. Payoneer – this is a mastercard that is issued via partner websites (e.g. Elance, freelancer.com, etc; one must be a member at one of such partner sites to apply). one applies via a street address (e.g. Ngong road, Mombasa road, Kikuyu; then one provides ones post office box – via email – for shipping purposes). Waiting time varies, but received their card within a month. Withdraws in any mastercard supported ATMs (recently since barclays never charges for ATM withdraws, it is the best bet). Card activation $ 12. Standard loading i.e. depositing money to card (2 days) they charge $ 2; some other premium loading – immediate loading i.e within 2hrs they charge $5. monthly maintenance $ 3 Paypal does not allow withdrawing to this card unless you create a virtual US account at Payoneer which attracts additional charges.
    5. Wire transfer – used only one bank for this and it charged ksh. 600 and exchanged at lower-than-market rates. The best option here: create a dollar (foreign currency) account, withdraw money once in, exchange in a forex bureau (their rates are a bit high than banks’), deposit your ksh back if you please.

    And that’s how it is! Currently.

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  • Safaricon Uncovered!

    Posted: May 16, 2011, 10:44 pm by tranx

    Safaricon

    Look at the above image keenly….introducing Safaricon.co.ke! This is a whole website dedicated to nothing but the bashing of Safaricom. Notice the close similarity to Safaricom’s own website www.safaricom.co.ke It seems the big green giant has really annoyed some people…

    What do you think of this? A stroke of genius, or just misguided miscreants?

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  • Success is not your friend

    Posted: May 16, 2011, 8:15 am by Crystal

    It’s been over six months since I wrote anything here, and it’s been a pretty interesting six months. By interesting, I mean I was never bored … because I spent all my time pulling hair off my head. It’s a good thing I have so much of it, or I’d look a lot like Donald Trump.

    The reason I’ve been so quiet is I fell into a slump. I had a bad depression, and when I started to recover, my business was failing. I didn’t get any new clients and I sabotaged the ones that I had. I was too depressed to work, so I canceled two clients. A third client used my work without paying for it, which was the last straw. I focused so much on what I’d lost that I lost what I had. It was sh*t scary. My business no longer seemed viable, so after a lot of soul searching and crying, I decided to kill my pride and get a job. It was the second-saddest decision I’ve ever had to make.

    As I type, I’ve spent the last three months in a series of interviews with an advertising firm. I had four meetings and even met the MD, so I was pretty sure things were in the bag. I met met some of the staff and even saw the exact spot where my desk would be. I was getting a Mac laptop from the deal and everything! I built my castles in the air, started negotiations to move into a new flat, met with a broker at AAR, talked to some banks about a mortgage, and moved my baby girl to a new school. It was crazy, but I was feeling positive.

    On Monday this week, I finally got the call. The job wasn’t going to come through. I spent the next 24 hours veering between torture and panic. I have just under 20 days to raise 50K and get a new job, and I don’t quite know where to start. It’s not the coolest place to be.

    But as I dust out my CV and do some job trawling, a strange thing is happening. I’m being pushed back towards my dream gig. See, I had focused so much on the shiny new job that I’d forgotten what I already have. I’ve been freelancing for just over a year, and I have a list of satisfied clients. Every one of them praised my work, and when I sit back and think about it, nothing makes me happier than writing. It makes me wonder why I’m so quick to run away from it.

    My logical side says I have a baby to look after and bills to pay. Lots of people that I know are moving back into employment, and others are getting disillusioned with the hustle. They were proud of me for dropping my ‘biashara mentality’ and hitting the tarmac. But I couldn’t help feeling like I was dying a little inside.

    There are a million different ways to look at it, but here are the lessons that I’ve taken from this mess.

    1. Success is not you friend

    When I started freelancing, I did great. I was so scared that I didn’t bid for over a month, but when I finally did, I landed a gig within five minutes of bidding on GAF. I got four jobs the first time I did a bid on Elance. I felt like that was the norm. So when I went a month without a new job on Elance, I lost faith. I bid less and less, which meant my success rate dropped. In the end, I went four months without new work, so I gave up on Elance.

    Luckily, my brother referred me to a job on oDesk, and it looked so good that I put all my efforts in it and ignored Elance completely. One month later, I had done 10,000/= worth of work for  client on oDesk. I also did 10,000/= worth of work for a client in Rwanda that I got through my work here on Like Chapaa. They both skipped with the money, and without the safety nets and accountability of Elance, I was screwed and depressed.

    I decided I had failed as a freelancer and went job hunting. On the tarmac, my first phone call led to an interview, and that was followed by four more interviews and an average of two follow-up calls every week. Then that fell through. I was left feeling that if I could go this far in the interview process and fail, then there was no point trying at all.

    My dad gave me a theory a few weeks ago. He said we had our first failures too late in life, so we hadn’t developed coping skills. I think he might be right. In both cases, if I had started with some minor failures, I might have been steeled enough to not give up. Success spoils you. It thins your skin. To be really good at what you do, you have to fall, fall again, then fall again and again and again. Falling down teaches you what you need to get up.

    2. Sometimes, the answer isn’t what you think it is

    When I left my job in Tanzania, I thought I was fed up with employment, and that I needed to work for myself. Technically, freelancing isn’t entrepreneurship. But it isn’t quite the rat race either, so it seemed like a decent idea. I freelanced for a year, and then I gave up and decided I need to go get a job. After one failed try, I felt terribly confused. I felt like I couldn’t do anything right.

    When I finally got out of my head, got some good advice, and started to look at things critically, I decided it isn’t a black or white thing. It isn’t an either/or. I can work on my freelance and look for a job. Neither is exclusive. This wisdom seemed ridiculous to me. After all, I suck at multitasking, and we all know what happened to the hyena at the crossroads. Tarmacking is a full time job, and hustling is three. Plus, I have a baby to look after. I can’t possibly do it all – there’s just one me!

    But here’s the thing. Suppose I don’t try to do it all. Suppose I try to give each bit 80%. I can be an 80% mum by getting my Little One to polish her own shoes, pack her own break, and clean up when she’s done playing. I can be an 80% tarmacker by doing one interview or application a day instead of spending the whole day working my CV. I can be an 80% hustler by spending 6 hours  day on freelance tasks. That way I don’t really have to multitask, and have my eggs in different baskets. When it comes to a point where I have to choose – like if I land a really good job – then I’ll deal with it.

    3. Pat yourself on the back

    You have to take time out to congratulate yourself. Last week, I saw a tweet by Harry Karanja aka @startupkenya that I really liked. It said:

    If you wake up every morning, to hustle, day in day out without at least once grossly rewarding yourself, yours is a sad existence.

    Yesterday, I was sitting around moping. Half the year is gone and I feel like I haven’t done anything. My project for the year was to get a 9 to 5, and six months later, I still don’t have one. But then my friend and mentor gave me this quote:

    ‘She who plants weeds cannot expect to harvest flowers.’

    If I focus on all the stuff I haven’t done, there’s no way I’ll end up feeling fulfilled. If I was to look at it objectively, I would see that I’ve actually done a lot this year. I’ve made peace with myself emotionally. I’ve moved my baby to a better school which is much closer to home, so she can sleep more and is less grumpy. I’ve made connections that have opened lots of doors and continue to do so. I’ve discovered skills and abilities I didn’t know I had. I’ve dealt with Zuku and Safaricom Customer Care without killing anyone. They’re actually getting quite good by the way. I’ve become better friends with my mother. So while I may not have the job card that I wanted, in some ways, I’ve done a lot more.

    4. Self enterprise is not fun

    We all have this idea that when we quit our jobs and work for ourselves, it’s going to be an endless party. So when we end up feeling stressed and miserable, we feel we must be doing something wrong. We feel like we’ve made a mistake and wonder if it’s too late to go crawling back to the boss. At least, that’s how I felt late last year. Here’s an excerpt form an article I read last week It lists 100 Rules For Being An Entrepreneur.

    Rule No. 1: It’s not fun.

    I’m not going to explain why it’s not fun. These are rules. Not theories. I don’t need to prove them. But there’s a strong chance you can hate yourself throughout the process of being an entrepreneur. Keep sharp objects and pills away during your worst moments. If you are an entrepreneur and agree with me, please note this in the comments below.

    Here’s another excerpt from an article I found yesterday, courtesy of Twitter. It’s from Epic Living, and it tells you when you should give up on your self-starting dream … and when you shouldn’t.

    Picture this, you’re moving through life wondering where you fit in.  You’ve played many roles.  You’ve tried finding happiness in what everyone says you should be happy with.  But, alas, you’re still looking.  Every day you’re looking.

    This is tough and lonely work.

    If we’re honest, we’d admit that the purpose/mission has at one time or another whispered to us.  Trouble is we’re not a very honest culture.  The art of lying to oneself is very much the norm.  And so it goes, the whisper.  The proverbial, “this is what makes me come alive” or “I belong in this space.”  Do you listen or try to ignore?  So now you know.  It’s calling you and maybe you’re one of the few that listens.  Your first step out into the great unknown is a dip (thank you Seth Godin).  Maybe it’s skepticism, maybe it’s envy or maybe it’s flat out fear on your part.  Before long you begin to wonder what you’ve done and is it too late to turn back.  Turning back always has your number on speed-dial.

    There is a reason Cortez burned the ships in the harbour.

    Let me be clear, sometimes you should give up.  I think we know when that is.  The time to give up is not when you’re being refined by the crucible of exhaustion and doubt.  And believe me, that’s when many do give up.  I’ve always believed that no one can truly play a part in changing the world until they have felt pain and loss.  By the way, that’s what everyone else has experienced.  And is experiencing in some way.  The audience is looking for someone who is unwavering in integrity and has a passion to solve the problems.

    At this point, I’ve decided to distribute my eggs. I’m looking for new baskets, and I’m also putting some in the fridge, in the shelf, on the cupboard … and I’m even putting a few in the frying pan. Sometime soon, I may have to decide on one location for my basket, but in the meantime, I’m keeping my options open.

    5. Dreams whisper, but they whisper loud

    Quitting my job to follow my dream was probably the dumbest thing I ever did. But in many ways, it was also the smartest. I was happier last year than I’ve been in a while, and it was all going great until sh*t hit. When things got heavy, I assumed I was lost. But just because you fail doesn’t mean you’re on the wrong path. It could just mean you were near a puddle and some overlapper splashed you. Maybe you bought the wrong shoes for the journey, or you were plying Rhino Charge in a Vitz. Maybe you simply got distracted by a chicken trying to cross your road.

    As I trawl the net looking for jobs to take me away from my dream, I keep finding neon signs that yell ‘Go Back’. I’m veering away from freelancing, but all indicators are pushing me home. So as much as I’m pounding the tarmac, I’m also taking a fresh look at my ‘side gig’. I’m keeping an open mind, looking for ways to develop, thickening my skin for rejection, and gathering champagne for success. I think that’s the biggest thing my failure has taught me, and it’s a pretty useful lesson. So don’t be so desperate to succeed. Sometimes, you learn more from falling to the ground than you do from staying on your feet.

    Crystal Ading’ is a professional author, editor, rock lover and mother. Her work is available through www.threeceebee.com.Similar Posts:


  • Is it Hard to Make Kshs 100,000/- A Month Online?

    Posted: May 15, 2011, 11:22 am by wham

    Here’s a very interestiing answer to that question (from Quora.com):

    How difficult this will be is all relative, of course, but it is definitely possible. Being a developer already should remove the biggest barrier. I would break this up into a few different stages.

    Ideate a Profitable Product
    It’s easy to come up with an idea that seems good to you. Finding an idea that can be profitable is a lot harder. While sometimes people simply stumble upon them, there is a process to finding good ideas. I recommend you read this article by Paul Graham on the topic: http://www.paulgraham.com/ideas

    The easiest way to come up with something is to find something in your daily or weekly routine that could be improved. “I always wish this product did X” or “If only I had a product that could do Y for me.”

    Identify a problem and come up with a solution. Sometimes this is a product that is entirely new, but usually it’s an improvement of an existing product. This is key: you don’t have to revolutionize a market, you simply have to do one thing better than everyone else.

    Apple’s products aren’t inherently better than others on the market, but they sell because of their image. Zappos is so successful because of their customer service. Find a problem, come up with a good solution, then figure out how you can set yourself apart.

    Building the Product
    This part should be fairly cut and dry for you, but don’t think it’s easy. If you have always worked as a developer in a team, especially a corporation, you’re in for a shock when you have to build everything yourself. In regards to a web app, this likely means creating the database structure and interactions, server side logic, front end programming and design.

    Keep in mind that you will be the one maintaining the code. You can’t simply pawn it off to someone else, or expect others to track down bugs. So take the time to write good, quality code. This is the best tip I have for saving time later (once you get users bugs mean support requests, upset customers, and maybe refunds).

    If you are a developer but not a designer, you might want to spend a little money to either hire a designer or pay for a theme for the front end. Presenting your product in a professional, attractive manner is of huge importance for gaining paying customers. No one wants to break out a credit card for a site with a poor design.

    Marketing the Product (Getting your first customers)
    This is another area that people often think will be easy. The “if you build it, they will come” mentality only works if you’re Kevin Costner. Getting your site listed on Hacker News and the dozens of “startup” listing sites that have popped up is valuable – it gets you some good backlinks and maybe a little buzz. Don’t expect to get any paying customers from that exposure unless they are your target audience.

    Finding where your target audience is and meeting them is really the key. If your customers are going to be single mothers, hanging out on Hacker News might connect you with a handful of them, but you need to find out where your customer spends their time online. Do whatever it takes to ingratiate yourself to them. Don’t dive in head first advertising your product, but spend a little time getting to know those social circles each day while you are still building the product. This will pay off ten fold.

    Write. Write a lot. Not only about your product, but about your market, what they’re interested in, what they hate, what they find useful, etc. Have about 10 blog posts ready to go when you launch your product, and publish no fewer than 1 a week afterward. If you’re building a web app, chances are there isn’t much for search engines to index. So you need a blog.

    Supporting the Product
    The biggest area for supporting a product is customer complaints or questions or support. Have a good system setup using UserVoice or GetSatisfaction.

    Ask them for valuable feedback. Don’t ever stop asking, and when they tell you respond to them. It doesn’t always have to be a “I’ll add that next week,” but even a “that feedback doesn’t mesh well with the goal of my product” will win over customers.

    I recommend reading through this short article series by Tom Buck:
    Building a web business that makes $500 a month – It’s one of the most ‘down to earth’ accounts of a single person building a profitable side project.

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  • The Content Business in Kenya

    Posted: May 9, 2011, 6:08 pm by Kelvin

    By ‘content’, this post refers to movies/videos, music, computer games and other similar media but NOT “text-based” content.*

    Now, the question is: can a ‘content based’ business thrive survive in Kenya? The sad truth may very well be a big NO.

    Case in point: Silverbird Kenya. This once vibrant cimena company looks like it is shutting down in Kenya! If you look at the image below, you will see that their website has been suspended adn their Twitter account (@silverbirdkenya) lies dormant. What could have happened? What may have caused this company’s downfall.

    Silverbird Kenya Offline


    Well, there is this court case.

    Additionally, I believe it is very difficult to run a content-based business successfully in Kenya. Here, piracy is rampant – you can get DVDs of brand new movies at Kshs 40/- in town!! How can you compete with that? Indeed there is a thread over at Skunkworks Kenya that makes this very point. It would seem that “competing” with piracy is one of the reasons of Silverbird’s failure in Kenya. How sad.

    But can any other content based business survive in this market? Music and games are equally well-pirated in Kenya. I would estimate hardly anyone in Kenya ever buys an original game or music album. Although we must note that this is the case not just in Kenya but pretty much everywhere.

    However, local music seems to be doing ‘okay’ and I would attribute that ‘success’ to the very strict attitude towards the piracy of local music. It is sad that this same attitude is not extended to cover other forms of content. I believe this shines some light on what needs to be done for ‘content’ businesses to thrive in Kenya. Very strict anti-piracy laws have to be introduced and enforced in this market or the producers and legitimate distributors of the content we consume so voraciously will continue to suffers.

    However, even as we talk about anti-piracy measures, we must face the truth: it is much, much easier to get your hands on pirated stuff than to buy it legitimately. This means that the type of content that consumers will get will be the one that is easier to find i.e. the pirated stuff. This is not a “Kenyan thing”. It is the same everywhere. Even so, in the face of overwhelming piracy worldwide some content producers have found ways to survive and maybe even thrive. Surely we can learn from this?

    The main idea here is that we’re in a new era – one in which it is easier to get pirated stuff than to get the legitimate content. This means that the old rules of the content business are changing or have changed. It is time for the players to change how they play. You can stand and shout all day waiting for the government to intervene to save your business but there are better ways to spend your energy – you can build your content business in a way that is is as immune to piracy as possible. It requires that you change they way you think about how to run a content business.

    For example, a music band in the US realised that their album sales were plummeting because people could just download their music for free. What did they do? They started giving away their music for free online. More often than not, people who download your music actually like you and if you give them a way to access your content as easily as through piracy, they will pick the legitimate way. This particular music band’s strategy let them build a huge online fanbase. But how did they make their money? Well, now that they had so many fans, whenever they performed at concerts they almost always had the tickets sold out. I would call that “thinking outside the box”.

    Another example is Netflix. In the USA, piracy also thrives. Netflix is a company that allows very easy access to legitimate (i.e. not pirated) movies. Well, guess what? Now that one can get movies easily and legitimately through Netflix, online movie piracy rates are going down in the USA. Interesting, eh?

    While I believe that piracy is wrong, I also believe that it is not going away any time soon. Content producers should realise this. We’re in a new age that requires new ways of doing business.

    The only way to decrease piracy is to compete with it and offer products that are superior to their pirated counterparts.

    Something to ponder: the introduction of strict anti piracy law in Kenya will definitely lead to the immediate bankruptcy of hundreds of people who make their living by selling pirated content. Is this a good thing?

    *In my view, the ‘textual content’ business is very different and deserves to be treated as such.

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  • Two Kinds of People in The World

    Posted: May 4, 2011, 6:22 pm by Kelvin

    Just read an amazing article by Chris Dixon:

    You’ve either started a company or you haven’t. ”Started” doesn’t mean joining as an early employee, or investing or advising or helping out. It means starting with no money, no help, no one who believes in you (except perhaps your closest friends and family), and building an organization from a borrowed cubicle with credit card debt and nowhere to sleep except the office. It almost invariably means being dismissed by arrogant investors who show up a half hour late, totally unprepared and then instead of saying “no” give you non-committal rejections like “we invest at later stage companies.” It means looking prospective employees in the eyes and convincing them to leave safe jobs, quit everything and throw their lot in with you. It means having pundits in the press and blogs who’ve never built anything criticize you and armchair quarterback your every mistake. It means lying awake at night worrying about running out of cash and having a constant knot in your stomach during the day fearing you’ll disappoint the few people who believed in you and validate your smug doubters.

    I don’t care if you succeed or fail, if you are Bill Gates or an unknown entrepreneur who gave everything to make it work but didn’t manage to pull through. The important distinction is whether you risked everything, put your life on the line, made commitments to investors, employees, customers and friends, and tried – against all the forces in the world that try to keep new ideas down – to make something new.

    Which kind are you?

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