4.6 • 1.3K Ratings
🗓️ 9 August 2023
⏱️ 10 minutes
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0:00.0 | All right, so a big VC firm shows where the economy is currently at right now and how this is going to affect your growth big time in the world of marketing and business. |
0:08.3 | So I'm going to reveal some slides over here. This is from CO2 and they did a summit called East meets West. So basically like Asia meeting kind of the West and they did the summit. |
0:18.3 | And I wanted to share some slides of here and Neil, I'm pretty sure you haven't seen this. Maybe you have, but I'm pretty sure you're going to read this after when I link you after we're done recording today. |
0:27.1 | So there's a bunch of slides here and you can see my screen. Yes. Yeah, but I can see your screen. Is it bigger now? |
0:35.1 | Not for me, but it could just be because we're on Riverside. |
0:39.1 | Oh, you know what here. Let me do this real quick. Let's do this. Okay, here we go. All right, you see this. |
0:47.1 | Yeah, yeah. Okay, cool. So you can see what's going on in the economy right now. |
0:53.1 | Where my cursor is, the green is showing the Magnificent 7. This is Microsoft and video Google Apple meta Amazon and Tesla. So people are like, oh my God, the economy is up, you know, the SMP is up 20% this year. You know, who's really lifting it up. |
1:07.1 | It's these seven companies. The rest, the 493 other ones. Yeah, but a lot of us know that right like Apple has really crushed it this year. Google has meta has done extremely well in video because of the AI boom has done well. |
1:20.1 | But yeah, you know, and you can continue reading and didn't get you off. But that's where most people get it wrong. It's not the economy's booming. It's a handful of companies. |
1:29.1 | And it's actually more than just those seven that have been growing, but those seven are really big outliers than market caps are massive. |
1:37.1 | But you're also seeing some smaller companies grow up with the majority of companies aren't growing at that scale or pace or anything like that. |
1:43.1 | Anyway, so my point was my point was actually for this slide over here. So you can see this right now where my cursor is. Yeah. |
1:49.1 | So I'm going to pull it to the top over here. So new market regime. So end of free money is indeed over. So you can see on the left side over here if you're not watching this. |
1:58.1 | So basically there's a left column that says yesterday. So maybe the last 10 years or so prior to 2022 was a lot of the era of free money. Right. |
2:07.1 | So the rules of the game previously were there's free money. You can get interest. You can get loans for relatively cheap and there's abundance of growth, right. |
2:15.1 | We're talking about huge valuations for companies, right. Capital drives growth growth at all costs. Now in today's reality, the rules have changed where it's a 5% risk free rate. |
2:25.1 | Okay. So that means that you can go put your money into treasuries or something like that and earn 5% on your money. Okay. |
2:30.1 | Previously, you had to put your money into growth stocks, right. Because that's just how it worked and potential for lower growth now. |
2:35.1 | And then now you're seeing rational valuations, innovation and execution drive growth and profitable growth, right. |
2:41.1 | And so this is what I wanted to talk about for this podcast. It's like the regime has changed and you also have to adjust your marketing accordingly or else your growth is going to suffer any thoughts on this to start. |
2:51.1 | No, we got a special message from our sponsor. |
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