Bob Moesta is a guy I follow because he really understands consumers and how they make decisions about the products they use (or don’t).
1/2 Too much choice drives non-consumption. Anxiety of being wrong or too much to learn to make a decision.
— Bob Moesta (@bmoesta) October 20, 2016
As I was doing research for my book, I often discussed the ideas with friends; friends who had a lot of experience investing, but perhaps not enough empathy for those who don’t.
The conversation would always turn to other ways to invest besides dividend reinvesting. One time, a friend even brought up investing in gold!
The challenge of choice
This presents one of the challenges for people who want to start investing. There are too many choices. Bonds. Stocks. Mutual funds. Real estate. ETFs. (Gold!) And so on.
And so people don’t start.
This is what I’ve done with the book. I don’t try to teach everything about investing, or even everything about investing in stocks. In fact, I narrow the conversation down to just 50 or so companies (if you’re in the US, the number varies in other countries). I narrow it further by helping people who are starting modestly, or want a way to learn about investing while they’re investing so they can grow their investing expertise.
Getting focused as a creator is experienced as simplification by your customer
So, if you restate the question from “what should I invest in?” or “how should I invest?” to “I have $250 and want to start investing so that I can learn more about investing as I progress, how should I start? And, what can I do to stay motivated?”… well, now you’re onto something.
The complexity makes it hard to get started. That doesn’t mean a simple solution has all the answers. Or, even is always exactly correct. But, simplification is powerful in its own right. Narrowing down choices to help people get motivated to start. And, then providing a path for growth to empower people to live a more wealthy life. That’s the magic formula for any product.
My book is available for pre-order on Amazon & iTunes. I expect to release the digital versions in late November or early December, with paper copies available slightly afterward. Sign up to be notified when they’re released.