Earn While You Scroll: Inside Mode Mobile’s Business Model with Dan Novaes
Timestamps are as accurate as they can be but may be slightly off. We encourage you to listen to the full context.
Podcast Summary
In this compelling episode, host Ryan Alford sits down with Dan Navias, co-founder and CEO of Mode Mobile, who transformed $1,000 in birthday cash into a $2 million business by age 20. From trading Pokemon cards and reselling magazines in middle school to launching the world's first "earn phone," Dan shares his fascinating journey of entrepreneurial pivots and the breakthrough insight that attention is the new oil (01:00). The conversation explores Mode Mobile's revolutionary business model that pays users for their smartphone activities—listening to music, playing games, and shopping—while helping brands acquire customers through micro-rewards rather than traditional advertising. Dan explains how they're building an "EarnOS" operating system (13:58) that turns smartphones into income-generating devices, with partnerships planned for major carriers like Verizon to launch the world's first free phone plans powered by user attention monetization.
Speakers
Dan Novais
Co-founder and CEO of Mode Mobile, the 2023 Deloitte's #1 fastest growing North American software firm. Brazilian entrepreneur who built his first $2M business by age 20 and has since raised $60M through crowdfunding, creating innovative "earn as you go" smartphone technology.
Ryan Alford (Host)
Host of Right About Now, the #1 business podcast with over 1M downloads monthly and 400+ episodes. Business strategist focused on cutting through the noise to deliver actionable insights for ambitious professionals and entrepreneurs.
Key Takeaways
Turn Micro-Opportunities Into Million-Dollar Insights
Start small but think scalable—Dan's Pokemon card arbitrage became a $2M business by age 20. Look for information gaps, price disparities, and unmet needs in everyday transactions. (06:00) The key is pattern recognition: what works in one market often transfers to adjacent opportunities.
Pivot Relentlessly Based on User Behavior
Mode Mobile emerged from studying who actually used their failed music app—lower-income users with time but limited money. (14:29) Every "failure" contains actionable data about your real market. Interview users obsessively, then rebuild around their actual needs, not your original vision.
Test Bold Hypotheses With Minimum Viable Experiments
Dan flew to Hong Kong without appointments to launch a phone everyone said would fail. Start with 5,000 units, not 50,000. (15:55) The goal isn't perfection—it's proving core assumptions. Would people buy hardware that pays them back? The answer funded their next phase.
Transform Attention Into Measurable Action
Data alone is worth ~$100/year per user, but data + attention + action becomes exponentially valuable. (23:20) Stop thinking "engagement metrics"—start thinking "conversion pathways." The smartphone is now the first screen; build your business model around that reality.
Master the Art of Strategic Constraints
Don't pay users to install apps—they'll delete immediately. Instead, structure rewards around meaningful engagement over time. (23:11) Constraints force better user experiences and sustainable unit economics. Design friction that filters for committed users, not casual browsers.
Statistics & Facts
- Four out of five employers who post on ZipRecruiter get a quality candidate within the first day. (00:42)
- 56% of Americans don't have $1,000 in their savings account (2022 data when the economy was performing well in the first half). (26:10)
- People spend 30-40 hours per week on their phones on average, with younger generations spending 50-60 hours - representing one-third to one-half of their waking life. (14:59)
