2010 Digital Trends Part 1

[Part 1]

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But first

a quick pinch of salt...

“There is no reason anyone would want a computer in their home.”

Ken Olson, president, chairman and founder of Digital Equipment Corp. 1977

“I think there is a world market for maybe five computers.”

Thomas Watson, chairman of IBM, 1943

“There’s no chance the iPhone is going to get any significant market share. No chance.”

Steve Ballmer, MSFT CEO 2007

“Computers in the future may weigh no more than 1.5 tons.”

Popular Mechanics, forecasting the march of science, 1949

#1

(REAL)time now.

&

live.

#1

(REAL)time now.

&

live.

So what is happening now?

g n i k l a t e r a e l , p s o e m p a f e r o t s s t e Lo m i t l a e , R h . . c . r t a e s abou e m . i s t n l o a i t a Re t c e p x e e m i t Real y? wh

% 9 1

t e n r e t of in ter t i w T se u y e h yt a re s a h w s o o n et c i v r users e s, s e r v l e e h s t or ano about them ut others. o es b t a a s d e p u at d p u e e or to s

0 0 8

3 .

27

ts e e w t n millio un lr a u n n na a h t i w ets e y a w t d r n io pe l l i b 0 f1 o e t a r

n millio y b h t n o m a s e at rs d e p s u U s IM d statu n A l ai M o o Yah

40

ook b e c a nF o i l l i ma m o r f y a d a s e . t e a c d n p e i u d status ion-plus au ill m 0 5 3

+65

ults d a e n i f onl o s e used g e A v a h who 18 -24 dated p u r o r Twitte online s a statu

2% 4%

55 – 64 5% 45 – 54

10%

20%

35 – 44 19% 25 – 34 18 –24

Sources: Pew Internet And American Life Project, Facebook, Yahoo, Pingdom

r e v e n e v ’ e w s n a a s ’ e e m r e y h g t o t l a o h n t h e c . r w a Te o w n a g e r n i o n m e p g n p e n a i t h be u s b g i r n i t h n t o f c o y t l e lo v i t c a e r ’ e w d An

“live-streams�

People using technology to share what they do, buy, think, and watch

...creating more and more information.

How are we dealing with it?

a digression

?

No, it’s not a joke.

“The GScreen Spacebook was designed to help you get more done in a mobile environment”

Maybe not...

." e r o m f o r p l e nd h y s g n n i o t ur ati o Get r y b i r v e sw om n t a n a u h o "P ny e it h d w n i g f to elin y e l f n e o icity) h t , s e a l l i p —t ob euro m N ( g . n l i l vibrat brated at a vi never

?

More seriously, we’re looking to practically integrate the increasing infomation overload into our lives via technology filters like

Real-time search.

What is so different about real-time search v. normal search? o Relevancy is important, but timeliness is the essential part.

o It is getting an idea of what people are talking about or interested in now.

o The potential is to combine: -

tic a h p s a re l t e e na e tw o h i t t a f %o vers g value" 5 n 5 o . c 0 o 4 .55% are ass alon onal o 37 % have "p lf-promoti o 8.7 5% are se am o 5.8 5% are sp s. o 3.7 % are new o 3.6

on-the-spot peer reviews recommendations discovery offers and time sensitive calls to action social media connections/referrals instant information updates.

How are people already approaching real-time search? o Bing & Google are already working on integrating Twitter into their search results.

o “We don’t know enough about what kinds of queries people would issue against real-time data to know how monetizable it is.�

Marissa Mayer, Google

And people are exploring new(ish) tools Mentionmap maps the topics of conversation heating up in your social graph.

Practical approaches to search and other real-time trends...

Temporal cues in your search query determine the relevance of time and change the priority of your results e.g. If you search for “snow conditions at your favorite ski resort, you’ll find updates from other users who are there and sharing the latest and greatest information.”

Real-time online collaboration o A Business benefit of the real-time trend. o Part of the shift from batch analytics and waterfall processes, to real-time analytics and agile processes.

o Using Google Wave and add-ons like SAP’s Gravity.

o Enable groups of people to collaborate on projects without the cost or infrastructure investment of a Sharepoint-type solution.

Sources: Top 15 Technology trends for Enterprise Architects to watch, Forrester; Google

Real-time customer service

o Visible staff involvement in problem resolution. o Reacting and responding to questions and issues quickly and transparently, #twelpforce: 13,000 queries in the first two months. o Engaging in real human conversations.

Real-time dialogue

campaigns

Brands stimulating and aggregating streams of relevant conversations and associated content.

Platforms for entering and harnessing the dialogue that is already happening.

* BRAND ND DESTINATION NAT FLA FLASH MICROSITE MIC

da e i l p s im y a w l eps, a t s n t o i x tinat ithout ne -user� s e D * end dw “ n e m e r finit ke the te li a bit

Time sensitive offers designed for life-streams o Integrated into real-time experience with a sense of NOW. o Urgency because traditional marketing campaigns (like TV progs) now can be filtered and time shifted (and even forgotten as our content collection piles up).

NB: Facebook have changed the rules...again.

“The next phase of media, I’ve been thinking, will be after the page and after the site. Media can’t expect us to go to it all the time. Media has to come to us. Media must insinuate itself into our streams.”

Jeff Jarvis

Real-time eCommerce

o

As retailers move closer to real-time inventory management, it increases the possibility of more widespread dynamic demand led pricing.

o

Consumers can be alerted about price changes as they happen.

o

They can even group together to negotiate bulk discounts.

What does it means for the site owners?

More time on site but fewer page views.

Decreased server costs with fewer page refreshes and DB calls as sites move from polling to real-time push.

Advertising analytics nightmare.

8 hours = 1 pageview but 100’s of opportunities to see an ad?

How can you tell which story in the stream was read and which was missed?

Source: Ted Roden New York Times

If you tap into a “live-stream” of first or second hand experiences and thoughts, how can control the flow and tell

what is relevant?

tn e t n o c f o n o i s sat i i l t a a n h o rs yw e l p n o c i g t Seman and showin ng i r e t l a i u. f s o e y d i o v t nt pro a v b e l e a e t r a w d c s i t low n l a a t a m e th s k r e o h ss w T o e “ r c m a a fr ed s n o u e m r nd com a d nd e a r e a s h i s r ). erp C t 3 to be n e W , ( on s” i e t i a r c a i l d n u app o b y t ni u m m co

is m a e str e e h t h t t t a o h t n e s i s i a n t Recog ta and “da a d t. l h l i g t i s s n i GFUL r N o I N ” EA M T truth S MO ≠ T al c CEN o E v R by ”. d d e MOST e k n c r ce n hija o t c e y g l Don’t y or “over rit o n i m

Source: Richard MacManus, RRW

Content is rapidly pushed down the stream by

4,000 articles/videos a day.

“Low quality”, high search visibility “farmed” content.

Lots of people, saying lots of different things, all expecting a response, now.

They’re waiting. How do you deal with

expectation culture?

CMO

Customer listening

Customer participation and design

Customer operations

, n g i s e d er s m o s t s e u n i re c s e h u w b e l a ctur i u c r t o s S w business cted to businesssgroup

ocu nne a ne f o e c s m le�. i i p t o k l c e a a p e nd ar a e feedb k a i t l a “ R, s ,d P e y s r g s o o e l l c o gita pro chn i e d t f g o n and i m n s g i i l n b i a t t m a co men icip t t ts, r r c a a u p p d t m o u o r gp abo No c n i s i n g g i n isi des advert ng is about ces. i n t e e i r k r e ma exp d n a es servic Sources: David Armano, Dachis Group, Razorfish

Domin

o’s Piz za any one?

a e t a e r lc l i w . c . et n h o c i t n c u a re , la l n a o t i i t g c i a Every and visible d ic l b t u n p a “ p o l inst o e t v e e s d n o spo e ds t s. r t e e e l d i n t p u a so w e o PR ships” in r n e g a n n a o i m t ust rela j t o s n n e o i u t g a o s l ni a dia g r o ent i nd l a c s o n t o n i i at d c e i t n a r u g e? m l o m r o c e c o Inte r vi ned i e s b / p m i o sh n o i t as a c a l re r e m o cust

Real-time has only limited applicability to someone sitting at a desk in front of a computer beyond news and dialogue,

where is the real benefit?

off h c t i u sw in g o h y t e t ’ m n o do do s d n “Why a creen s r ead?” u t o s y n i r in g o b s s le

honest.

iPhone + iTouch Users = 8x AOL Users 8 Quarters After Launch 60

Mobile Internet

Desktop Internet

iPhone + iTouch

Netscape*

Launched 6/07

Launched 12/94

50 Subscribers (MM)

~57MM

40 Mobile Internet

~25MM

NTT docomo i-mode

30

Launched 6/99

20

~11MM Desktop Internet

10

AOL* v 2.0 Launched 9/94

~7MM

Q1

Q3

Q5

Q7

Q9

Q11

Q13

Q15

Q17

Q19

Quarters Since Launch iPhone + iTouch

187%

increase in mobile social network audience for YTD July ‘09.

NTT docomo i-mode

18.3 million

AOL

unique mobile social network users.

Netscape

65 million people use Facebook on a mobile device.

Source: Mary Meeker, Morgan Stanley, “Economy + Internet Trends”, October 2009; Neilsen Global Mobile – Strategies for Growth

Mobile Internet Outpaces Desktop Internet Adoption

“The majority of the real-time search boom will be in its convergence with another rapidly growing industry, mobile computing.

[Offering people] real-time recommendations based on your current location using an application that aggregates information from real-time searches as well as social sites like Yelp and Urban Spoon...... local advertisements and “limited time” discounts on your mobile.”*

Social Periphery *Rob Diana

Social Periphery & Mobile Social Networks Local networks of sensors and devices

Content & relationships as intelligence

Context & Location as filter

GPS, location & bespoke sensors

RFID & NearField

Global Services and Communities

Mobile & mixed media applications/tools

Communities & forums

Social networks

Blogs, UGC & niche sites

Barcodes, QR codes and markers

Dynamic communication based on action and relevance (Ambient awareness/Social Peripheral Vision)

Physical objects in intelligent environments

Brands as the filter and the enabler.

Ideas must be “good enough to share”

On is off/Off is on as physical and digital worlds fuse

Helping us plan for now and what’s next.

by David J. Carr davidjcarr.wordpress.com Based on Nokia’s Mobile Gateway & Jyri Engestrom

From palm of your hand social feed integration as standard,

to 24hr location-based content streams and documentaries (The Grid),

to third-wave mobile applications and hardware extensions to monitor anything from our finances to our health and fitness.

And e-readers/tablets.

Even playful location-based social periphery tools.

Augmented reality moving beyond marketing gimmick.

a digression

What do these tools mean for our relationships?

a digression

Can we challenge 150?

a digression Pre-digital society: Closer, less diverse discussion networks, more geographically clustered? <150 (Dunbarâ&#x20AC;&#x2122;s number)

>150

Number of Relationships

>150

Geographical proximity

Geographical proximity

Digitally-enabled society: More diverse discussion networks, more geographically spread? <150 (Dunbarâ&#x20AC;&#x2122;s number)

>150

Geographical proximity

Geographical proximity

Sources: Pew Internet And American Life Project,

Number of Relationships

>150

a digression

Mobile & (REAL)time More timely information More connections More opportunities to meet up in the real world

More live experience

#1

(REAL)time now.

&

live.

digital experiences we participate in and use, experiences that break out into the real world.

Whatâ&#x20AC;&#x2122;s helping this happen?

On is off/Off is on. mobile phones to cars and tube tickets, in a world of cheap, fast & always on Wi-Fi, an unconnected device is unusual.

From

More live interfaces with the

real world.

“A year from now basically every new phone that’s sold will have [Near Field Communication].

It’s a two-way, bio-directional RFID communication link that makes this device work as a tag or as a reader.”

Sony Ericsson’s VP of systems architecture, Håkan Djuphammar

? s l l a B

a digression

Ardui no & Home made hardw are hackin g

These sensors, technologies and devices are helping brands move from messaging to

digitally-enabled, increasingly live, real-world experiences.

The shift to digital experiences enables more shared â&#x20AC;&#x153;watercoolerâ&#x20AC;? moments...

...access to “exclusive” live events...

...and even the feeling of live and unfiltered brand engagement or consumer control.

What influences do digital experiences have on consumers?

65.3%

report a digital experience changing their perception of a brand

97.1%

report that the digital experience has influenced purchase

24%

have produced digital content in order to enter a contest

Source: Razorfish Feed

= Engagement

Engagement = Quantity or Time

Engagement = Depth & Quality

a digression

even extends to changing marketing from pure comms to creating

useful, useable & delightful services/products

a digression

...or enabling live, real-time responsive retail POS and outdoor. digital retail pos

grocer rs use y lists.

70% of

people their p m roduc t selec ake at the tion fixtur e.

Sources: GMA Report 2009, ACNielsen â&#x20AC;&#x153;Actionable Shopper Insightsâ&#x20AC;?

16% of

Only shopp e

#1

(REAL)time Real relationships and relevant information at the speed of now.

&

Real, live experiences and engagement beyond advertising.

What could

mean for

our clients?

o Audiences are mobile – we need to widen digital touch points and become the enabler & filter for people, - Help them now and help them plan for what they are doing next.

o To do this will require moving beyond a website-centric model to a distributed platform.

- Enable customers to engage in the channel they prefer/have available and track them through fragmented journeys with a single identity - Serve only what’s relevant in current need state and location

o Customer feedback will be dynamic and real time – the crowd will express what it wants through its behaviour as well as communicating preferences and views.

- An ‘open source’ approach should be considered, tailoring our propositions (function and content) to needs and feedback in real time

o Social CRM combining social listening tools with CRM systems tied back to company data to track influencer financial value and help us respond to their needs faster.

o Customers will automatically connect with people they have something in common with, experiences are logged and shared automatically, so weâ&#x20AC;&#x2122;ll need to only serve up relevant content for people to make better decisions.

- Personalise and aggregate their offers and promotions as part of shopping experience, make it easier for them to share a good deal and not to miss out - Deal expiry alerts in their streams, use networks to share trackable offer codes

o If everything is connected then there are increased engagement opportunities: but we need to design accordingly and appropriately. o Can we extend communications to packaging/POS giving them a layer of digital information or utility? o The increase in digital noise for people will mean that our brand will have a key role to carry the relationship.

- Hard to compete for share of attention - Human reaction to mask out noise - We need to help them by making sure all interactions and communications have the value exchange firmly in their favour

#2

The sky didnâ&#x20AC;&#x2122;t ffall ll

&

The trough isnâ&#x20AC;&#x2122;t that disillusioning.

#2

The sky didnâ&#x20AC;&#x2122;t fall

&

The trough isnâ&#x20AC;&#x2122;t that disillusioning.

â&#x20AC;&#x153;Intensifying solvency concerns about a number of the largest US-based and European financial institutions have pushed the global financial system to the brink of systemic meltdown.â&#x20AC;?

Dominique Strauss-Kahn, International Monetary Fund 12 October 2008

'Spending cuts “could cause strikes on scale of 1970s” Daily Telegraph, 1 August

“Help ordinary people or we face a summer of turmoil” Sunday Express, 1 March

Then this happened.

UK total weekly earnings growth: year on year % 8

7 6

Christmas bonuses disappeared and wage growth turned negative for 3 months as people â&#x20AC;&#x153;accepted realityâ&#x20AC;?.

5 4 3 2 1 0 -1

Then a cautious level of stability returned. The Chartered Institute of Personnel & Development revised its unemployment predicitons for 2010 from 3.2m to 2.8m

-2 -3 -4 -5 -6 2006

2007

2008

2009 Source: ONS

GDP Growth Forecasts even turned positive…but led by the new powerhouses of China and India.

IMF Forecasts, 10/09 Country / Region

2007

2008

Difference from 7/09 IMF Forecasts

2009E

2010E

2009E

2010E

USA

2.0%

0.4%

-2.7%

1.5%

0.3%

0.6%

Euro zone

2.7

0.7

-4.2

0.3

0.6

0.6

UK

2.6

0.7

-4.4

0.9

-0.2

0.7

China

13.0

9.0

8.5

9.0

1.0

0.5

India

9.4

7.3

5.4

6.4

0.0

-0.1

Russia

8.1

5.6

-7.5

1.5

-1.0

0.0

Brazil

5.7

5.1

-0.7

3.5

0.6

1.0

Developed Markets (1)

2.7

0.6

-3.4

1.3

0.4

0.7

Emerging Markets (2)

8.3

6.0

1.7

5.1

0.2

0.4

World

5.2

3.0

-1.1

3.1

0.3

0.6

Now -4.75

Source: Mary Meeker, Morgan Stanley, “Economy + Internet Trends”, International Monetary Fund (IMF) World Economic Outlook (WEO) database, 10/09.

Note: (1) IMF equivalent of “advanced economies”; (2) IMF equivalent of “emerging and developing economies”

A competition to call time on the plummet.

Even if we might still be in the eye of the storm?

Uncertainty as we move into 2010 means weâ&#x20AC;&#x2122;re looking backwards more than forward.

And it is recent history that is our anchor.

2009.

A year of outrage...

...serious money worries...

n o i l l i r $4 t ) n t 5 7 . (ÂŁ2 ational

) tern The In y Fund (IMF ar from s e s Monet s o e of l t a m i t es nch. u r c t i d the cre

...global health scares and...

...even a bit of euphoria. (remember that?)

But one year on and both the hype and honeymoon are fading memories.

How have we changed?

Firstly...

1. Denial

2. Anger

3. Bargaining

4. Depression

5. Acceptance

Source: K端bler-Ross model

We’re rebalancing.

10%

UK Household Saving Ratio

8

6

4

2

0 -2 2004

2005

2006

40% Secondly...

2007

are adding to emergency fund

2008

2009

“It has been a tremendous lesson in how to live within your means and separate wants from needs.”

U.S Female, 47 Resource Interactive research interviews

â&#x20AC;&#x153;90% of the U.S. respondents said that their households had reduced spending as a result of the recession.

McKinsey Quarterly, March 2009

a digression

Source: Kelly Mooney, Resource Interactive; JWT 2009

It’s not all hairshirts and honest appraisals. of 18-29 year olds agree with the idea “My generation is being dealt an unfair blow because of this recession.”

Even if it was often their parents borrowing money to fuel a Generation Y spending spree.

The nineties and the noughties promised us that everything would be

NASA

Kanye “I’m gonna let you finish” West

Now we wonâ&#x20AC;&#x2122;t believe the hype or the promises,

Madoff

because we know you have pay for it eventually.

of technology can falter.

Even the promises

Issues of trust & dependancy with the cloud. When Gmail went down in Feburary & September…Count the cost:

25m users, 33% affected; average of $50 per hour lost productivity, $415m per hour economic cost...

“What's driving usage on the network... are things like video, or audio that keeps playing around the clock. And so we've got to get to those customers and have them recognise that they need to change their pattern, or there will be other things that they are going to have to do to reduce their usage.”

Ralph de la Vega, head of wireless at AT&T

But equally we wonâ&#x20AC;&#x2122;t believe

because that didnâ&#x20AC;&#x2122;t come true either.

So, thirdly.

Weâ&#x20AC;&#x2122;ve changed our perspective to a more realistic view.

#1

d n a n o ti a t n e e m i w r s e n p a x e e m s s y e e L n o w o m h h s t i y l r a e l c risk w , ys a w nd l a a l t u s f u m ng i n a e m e l p e. o u l pe a v e l i h w worth

c i s 2 a b #eliver on our tivity must a D e r , C y . t i s l e i s b promi iver on usa re l o f e e d b t s r e firs f f o . â&#x20AC;? d s n e l a t s utility ls and whi l e b â&#x20AC;&#x153; y an

eMarketer May, 2009

% 1 6

e b o t t wa n nd a s e d co r a er b h n t a o c n s o able to nformation i access rices. â&#x20AC;&#x2122;p stores

9%

ne o h p l l ce a d e ut o us b a d en i r f a ge a . s g s n e i p m p t sho e l to tex i h tw c u d o a pr

% 4 3

ed k o o l have ce n o t s lea t a w vie e r e se. n a i l h c n r o pu a at an g n ak i m e r befo

% 2 6

of UK ne i l n o t ul s g. n n o i c y u s b r e re o f e b shopp ies t i n u comm

Source: Business Week, HitWise, Quidco/YouGov, BIGresearch and Resource Interactive, August 2009

Coupon sites have been the second-most-visited category on the Internet, behind job sites, for a year.

Moms with teens said the internet...

Helped me become a smarter shopper; product reviews and ratings, blogs and product information has helped me make more informed purchases..

Source: BIGresearch and Resource Interactive, August 2009

Helped me save money through access to easier price comparisons, coupons, and deal alerts.

Source: Mintel

Half of British consumers now buy on promotion but it is not all about money off and discounts,

itâ&#x20AC;&#x2122;s about value.

includes help with making purchase decisions and rediscovering lost skills so you donâ&#x20AC;&#x2122;t have to pay someone else to do it.

For businesses this means

% 0 9

trust om r f s n tio a d n e . w m o m n o k c re ey h t e l p o the pe

If people appear to be asking more questions, but less trusting of advertising...

% 0 7

trust t a h t s ion n i p o er m u . s e n n i l co n o d e t s o are p

Source: Neilsen, Trust in Advertising 2009

trust and transparency.

For businesses this means

trust and transparency.

t! n e t n o c l a i r o t edi

% 0 7 s! e t i s b e w d n a br

trust

Source: Neilsen, Trust in Advertising 2009

...but this has forced some brands to use technology and content to start talking in a less hyberbolic, more transparent and open, almost human way.

% 9 6

trust

A new realism about technology and its effects.

#2

The sky didnâ&#x20AC;&#x2122;t ffall ll

&

The trough isnâ&#x20AC;&#x2122;t that disillusioning.

VISIBILITY

Peak of Inflated Expectations

Plateau of Productivity

Slope of Enlightenment

Trough of Disillusionment

Technology Trigger TIME Innovators

Early Adopters

Early Majority

Late Majority

Laggards

Source: Gartnerâ&#x20AC;&#x2122;s Hype Cycle

“Label it and you can sell it.”

- Anonymous

Remember “New Media”?

The legacies of revolutions are sometimes more interesting and longer lasting.

Just as Creativity

Social Media

“It’s real people having real conversations about real objects and ideas.”

Why do people really use social networks?

Flirt

Teens Adults

Promote yourself or your work Make new business contacts Organise an event for a cause

Make plans with friends Stay in touch But w conne hat about cting with

brand

s?

0

10

20

30

40

50

60

70

80

90 100

Sources: Pew Internet And American Life Project, Tara Hunt

Make new friends

a digression

Gurus sold a future of people worshipping brands by “friending” them and having “conversations”.

15,740

Social m “ninja edia exper ts, “gu s” & “ super rus”, Twitte s t ars” o r (+3.5 n x sinc e May !)

bout a t a h w OK, but ing with connect

? s d n bra

Have you ever followed a brand on Twitter?

Yes 25.50%

Phew, there it is.

Have you ever “friended” a brand on Facebook or MySpace?

Yes 40.10%

No 74.50%

% 8 4

se o h t f o d e n o i t en m d n ra n o b a h c r w a a who s ter did rese it w T n o d. n a r b that

Sources: Razorfish Feed ‘09, GigaTweet, Penn State, Performics

5

s n o i t n e m d n a ion l n br l i o i l m l i m 50 1 , r e t . t i h t w n T o m on r e y p a d s n a tio n e m brand

No 59.90%

What is the primary reason you follow a brand on Twitter?

23.5%

I am a current customer

43.5%

Exclusive deals or offers Other people I know are fans of the brand

6.3% 22.7%

Interesting or entertaining content Service, support, or product news Other

What is the primary reason you “friend” a brand?

3.5% 0.4%

32.9%

I am a current customer

36.9%

Exclusive deals or offers Other people I know are fans of the brand

6.2% 18.2%

Interesting or entertaining content Service, support, or product news Other

5.0% 0.7%

But why? Offers. So what can we do?

Source: Razorfish Feed ‘09

BRAND

THEIR

Get out of their way.

Their networks route around censorship, gaps or blocks.

“People’s lives don’t revolve around your brand, they revolve around life.”

Mike Arauz

Design our brands & services for desire paths.

Enable our commercial relationships in the context of their real relationships.

Practice true customer-centric behaviour, integrated into all business processes, not a silo or a channel, horizontal not vertical...

8 Signs of Customer-centric Behaviour • You send customers to other websites.

• You measure how many people refer their friends to you as success (Net Promoter Score).

• When budgets get tightened, you tighten operational costs.

• Active influencers are adding you as friends on social networks.

• You work with your competitors towards better customer experiences for all.

• You know you compete for your customers’ attention with everyone.

Source: Tara Hunt

• Your only customer service policy is to do right by the customer.

• Your customers are doing things with your product you never dreamed and are posting videos.

...and throughout the entire consumer decision-making process.

Increase in number of brands/solutions being considered. Attention paid to advertising, WOM & online research with information gathering key

Start with a shortlist of brands/solutions

Active & Passive Loyalty Active Loyalty fuels advocacy but Passive is a larger audience On-going exposure Closure & the moment of decision

Consumer builds expectations based on experience to inform their next decision journey

Source: McKinsey

Social program development (strategy)

Social program integration (operations)

Social Social program program management measurement (execution)

(analysis)

And yes, social program management (execution) can be in the form of a campaign.

Listen Listen to what the target is doing in the real web and social arena

Understand Segment target into tribes, give them something to join

Engage Create a relevant and interesting Social Object

Measure, React & Respond

Engage via tribesâ&#x20AC;&#x2122; preferred platforms with multiple interfaces

Send

Tribe 1

Tools, widgets & apps

Social networks & personalised content pages

Track results and optimise, monitor and triage for react and respond conversations

Social networks

Use paid for media to additionally stimulate and spread

Send

Tribe 2

Enable, encourage and optimise for sharing

Communities & forums

Videos & content Mobile and video sharing sites

Online ads, IM & promo links

Blogs, UGC & niche sites

Tribe 3

Ideas & assets

Websites & email

As long as it is â&#x20AC;&#x153;good enough to shareâ&#x20AC;?.

100 social “agents” who reviewed Ford’s new Fiesta through Twitter, blogs, video, and events 4.3 million YouTube views 500,000+ Flickr views 3 million+ Twitter impression 50,000 interested potential customers, 97% don’t own a Ford currently.

What is Crowdsourcing? â&#x20AC;&#x153;Crowdsourcing is a neologism for the act of taking tasks traditionally performed by an employee or contractor, and outsourcing them to a group of people or community, through an â&#x20AC;&#x153;open callâ&#x20AC;? to a large group of people (a crowd) asking for contributions...The term has become popular with businesses, authors, and journalists as shorthand for the trend of leveraging the mass collaboration enabled by Web 2.0 technologies to achieve business goals.*

*Definition Crowdsourced from Wikipedia

One view of crowdsourcing â&#x20AC;&#x153;successâ&#x20AC;?.

1

Company has a problem.

5

Crowd vets the solutions, company gains advertising.

2

Company broadcasts problem online.

6

Company rewards the winners and gains PR.

3

Crowd asked to give solutions.

4

Crowd submits their solutions.

7

Company owns winning (and non-winning) solutions.

8

Company profits from increased profile and IP.

Source: Daren C. Brabham

More sites, more crowds, more competitions, more innovation?

Problem broadcast to an increasing number of people

Problem broadcast to an increasing number of people

The crowd without the expertise or the answer.

Individuals with the expertise & the answer.

But Wikipedia is crowdsourcing and that works great?

a digression

“The Trouble with of Crowdsourcing” How do you keep a secret when someone’s life depends on it?

“I find the term ‘crowdsourcing’ incredibly irritating. Any company that thinks it’s going to build a site by outsourcing all the work to its users not only disrespects the users but completely misunderstands what it should be doing.

Your job is to provide a structure for your users to collaborate, and that takes a lot of work.”

“One of my rants is against the term ‘crowdsourcing’, which I think is a vile, vile way of looking at that world. This idea that a good business model is to get the public to do your work for free. That’s just crazy. It disrespects the people. It’s like you're trying to trick them into doing work for free.”

Jimmy Wales, founder of Wikipedia

Wikipedia is not a crowd, it is “a community… a dedicated group of a few hundred volunteers.”

A platform for collaboration...

Collaborative Platforms... ...thrive when â&#x20AC;&#x153;reputation (of participants) is a critical component of the service mechanism.

The reputation of participants will derive from the quantity (how much, how often) and quality (how useful) of their contributions.

Accreditation (of content) is provided by experts and by the community. Recent, relevant content regarded highly by participants with a good reputation becomes the most visible.â&#x20AC;?

Made by Many

Be an advocate of

them

, so they become advocates of

you

.

These â&#x20AC;&#x153;crowdsourcingâ&#x20AC;? platforms can engage fans or create fans through discussion or consumer collaboration

but people can see through manipulation. (and yet another photo upload competition.)

Crowdsourcing support and marketing in return for low prices.

Crowdsourcing where a Streetview car canâ&#x20AC;&#x2122;t go. low prices.

Channeling your global fansâ&#x20AC;&#x2122; passion to be part of something larger and more engaging.

(Sour, Hibi No Neiro)

Crowdsourcing ≠ something for nothing.

It’s a creating a platform to share value.

A reason to share

INDIVIDUALS

A reason to share

SMALL GROUPS

NETWORKS

#2

People need reasons to pay attention to brands and extra value to restore lost trust.

&

It’s not technology that’s exciting, it’s the real reasons why you do it.

[Part 2]

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#3

Going beyond greenwash.

&

Looking after whatâ&#x20AC;&#x2122;s local.

#4

Developing world leading the game.

&

↑↑↓↓←→←→BABA or We’re all Playful.

www.chemistrygroup.co.uk

Part 2 to follow...

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