Nerd For Tech
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Nerd For Tech

Patterns of disruption

Participating in a hackathon organized by a telecom operator of my beloved country helped me spot what is a disruption pattern. God knows how long I have been interested in patterns because of my interest in cognitive science that taught me how our brain use pattern matching and how our life is made easier by this skill of pattern matching that we apply in our everyday life without knowing. That’s with patterns that we leverage the power of analogy for coming up with new ideas and understanding of things and I have been using this skill for business models discovery.

This pattern that I have spotted two days ago is about the disruption of a chain of value that can be a product or service distribution channel or a supply chain mainly everywhere where a vertical or horizontal relationship is built with incentives and profits at stake. Then I should agree that connecting and sharing with others is very insightful at least for me in this particular case because I was studying this kind of disruption into the financial markets without being aware of its application into the telecom market and very likely in many more other markets. it is important to source data about disruptions in every kind of market and to see how and why they happened in order to validate the application of this pattern of disruption that I have spotted. Incentives and fees are at the core of the parameters that drive this particular disruption pattern.

Discovering this disruption pattern reminded me that how Paypal got traction by giving money for acquiring users and going viral could be the weapon of the next African fintech leader. Some African fintech disruptors are starting to zero fees but the next step will probably be about paying users but those who will apply this disruption model will need to find a profit model outside of transactions that will let them cover the loss and make a profit. Playing with the delay between deposit and withdrawal and a very good market-making system could be this profit channel that will help a fintech unicorn become this next leader that I am describing.

I was promoting years ago a morel of telecom operator sharing dividends with its userbase. At that time it was maybe too soon to apply this model in a non-tech market like Africa but for those who have enough financial power the time is perfect to start being generous with African financial services consumers by giving them money to join your fintech infrastructure but more than Paypal this will be better if the generosity is recurrent, meaning not only applied when the user signup to the fintech services but during the whole customer lifecycle. For this to happen financial transactions could be transformed into investment decisions that are profitable in the long run to actors behind each transaction.

Money that changes frequently hand is better for the economy because it increases its likelihood of landing on the hand of one who needs it and/or lacks it but this is more true if the base economical system is wide and open to the maximum number of users.

PS: When transferring money from an account to another is at one touch from this smartphone we hold with us every time, a smartphone that almost everyone owning on it is curious to see that generosity and empathy are more and more difficult to see among people, communities, tribes, and families. Generous and empathic organizations are those that will lead the next blockchain’ed economy that is being built layer by layer.

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