Many years ago there was a restaurant in my neighborhood.
This place did business like crazy.
Almost every night there was a queue out the door and down the block.
Then…disaster struck.
What happened was this:
Whoever owned the place decided to shut it down for remodeling. I have no idea how long this took…must have been a month or two. When it opened back up, the momentum was gone and the magic could not be recaptured. The crowd had moved on to somewhere else. And just over six months later this restaurant closed for good. Yes, I’m sure they were making money, but the ripple effect of shutting down eventually took them out.
This example reminds me of what’s happening with Facebook right now.
By all accounts the social media giant is circling the drain.
To start with, their share price has fallen by about 70% during 2022.
What’s more, the company is now planning to begin large-scale layoffs.
(According to reports, thousands of people are being let go.)
But why is all of this happening?
Well, it all goes back to the example I gave at the start of this message.
You see, Facebook isn’t actually Facebook anymore, is it?
Oh no, Mark Zuckerburg decided to “remodel” his business and turn Facebook into Meta…
…and now the magic is gone.
The point here is that you should never up-end your business too much.
Don’t make too many sweeping changes all at once.
You want to avoid altering your core business model or entirely rebranding the business.
Don’t replace what works with something completely untested.
(Does anyone actually want the Metaverse, I don’t think so?)
Make too many sweeping changes too quickly and you’ll upset the apple cart.
Anyway, most of this will be of very little use to you.
Just wanted to share my thoughts on something you may find interesting.
Alastair Walton