A 2 way revolution

Industrial and bricks and mortar businesses are overcome by their need to ‘get on line’. Guess what? Digital and startup businesses need to ‘get off line’. It turns out that this revolution is a two way street. The new eco system is wide, and we ignore either side at our peril.

Here’s a fun example of the digital getting physical:

[vimeo=http://vimeo.com/58580261]

twitter-follow-me13

Memorise this

The most outdated form of learning is memorising. Other than the ability to write and speak – it’s hard for me to see a future for memorising anything when I have access to the knowledge of the world, in real time, in my pocket.

So why do we still ask kids to memorise lists, States, Ex Presidents and the first 20 elements of the periodic table?

The really valuable part of computing power is the ability to process the data, the RAM. The hard drive (the storage) is less expensive and I’d say not as important. How often do we go into our files to find that presentation, spreadsheet or file from 2 years ago? – Almost never.

I think it’s a lot like our human brains, the real value is in problem solving, not rote memorising. Ironically personal computers seem to be moving back to the way they began – without the potential to store data locally. The data stored on our hard drive is quickly moving to the cloud and away from our computers. And it’s my contention that we should do the same thing with memorsing stuff and outsource that to the micro chip as well.

twitter-follow-me13

Being friends with breakfast cereal is over

Attracting and serving fans has been a past time of brands for the past few years on Facebook. To the point where the accumulation itself became the objective. And while I keep looking for the cracks to appear in Facebook it seems to be able to continue to grow despite its huge size. Maybe the barriers to exit the service are too high for consumers to leave? Maybe the FOMO and connectedness matters too much? But one thing I am sure of is how I feel about it personally, and from a marketing perspective.

It made sense at first: After the 50 years of the top down TV industrial complex – a period when we got told and sold, it was novel to have a direct connection with the brands. To be able to talk to the big brands in town felt good. For once our opinion was more than a letter or ‘non caring’ customer service 1800 agent. I mean they had to care, it was all on display for everyone to see. A poor response from any brand would result in a digital lynch mob attack. Finally we had the respect we deserved as the supporters of the brands. It was the connection we always wanted. It seemed to make sense for both parties. So we all connected in every way we could – and filled our digital dance card.

Then we discovered we didn’t have much in common: Both us and the brands struggled with our new found direct connection, our co-operative digital love affair. We’d read each others stuff, try and be loyal to each other and support the give and take element in this new world. We even designed new products together, made advertisements for each other and really embraced the new tools we were afforded. But it got kinda boring. I mean how many conversations can we have about breakfast cereal, tomato sauce and canned tuna? So the brands took their lessons and got wise. They realised that they had to live a layer outside of what they sold in order to create value beyond what they actually sold. They realised they had become a resource and knowledge bank in related realms to thrive in a social world. So cereal became about diet and health. Frozen meals became about a life well lived and what’s on in the city and dish washing liquid became about tricks and tips around the house. The campaigns and related brand pages sprouted like mushrooms And all this worked out pretty well…..for a while.

Until it became a spam fest: At first, we got useful information and respected and rewarded brands in the process. So brands did what brands do. More of what works, and copied those who did it first and best. The great likenomics battle of 2010 and beyond…. Until everyone’s feed was so full of junk – it became like the letter box we have no joy in opening – A letter box just filled with flyers, bills and credit card offers. The dance floor wss too full, the music was too loud. In a social media marketing sense it is the equivalent of 3am and we all just want to get some sleep already. We are over it. I don’t think I am exaggerating here, it is probably how most of us feel right now. And I haven’t even touched on all the people we said ‘yes’ to on facebook, who we haven’t seen since grade school. Like I said, it was interesting and novel at the start, but it is very difficult to care for the babies of someone you have seen in decades.

So now I’m done: Yes, there are some brands I love. Some whose products and services really matter to me. But it is certain that none of these brands ever find their way into my shopping trolly, are my finance provider or power my home. Yes, non of them are boring products from the industrial era. The only brands I play with and want to converse with are those I spend my spare time with. That’s my current definition of where I draw the line on being ‘friends’ with a corporation. And I really think it’s over for most brands trying to make their way in the social sphere – even though the numbers and analysis on brand engagement on social forums probably don’t show it yet.

Yes, brands need social: It is foolish to think that brands shouldn’t be in social media, or use the tools. It is the first place we’ll go to find them – their facebook page, or find their twitter handle. And you can be certain we’ll want an answer within seconds. It is the new call centre and probably alot of other things as well. What it isn’t, and wont ever be, is part of peoples social life. I’m betting people will gravitate back to saving that for other humans.

It’s in our make up: There only so many relationships we can have in life. Whether they are people or personified brands, we are genetically programmed to only be able to manage so many interactions. Dunbars number is the simplest way to explain this phenomenon. It’s a basic safety mechanism that ensures stability and safety, and it’s what will drive us back to a limited number of social interactions (physical & virtual).

Brands need to know where they belong: The key element to all this is knowing where we belong in peoples lives. I’m far more likely to interact with a brand that I invest my spare time with. The brands that play in my passion space. The other brands I am happy to purchase, need to understand that they are associates, micro interactions, whom I do not have time for or want dealings with outside of what they thing they actually deliver.

It’s time everyone (brands & people) realised where they belong, and took a human approach to our connections. If everyone tries to maximise social connections simply because the gates have been opened, we’ll end up with closed doors and reduced potential for trust with the connections we actually want to have.

twitter-follow-me13

The truth about technology

I happened upon this TED talk just yesterday from the ever clever Kevin Kelly. It is approximately 3 years old but it really blew me away. In fact, the thing that it does best is demystify technology. It reminds us that we are all technologist, that we all create different forms of technology as humans and that we all benefit from it.

A great little piece I took from it was my favourite invention from the last 50,000 years – Grand Parents. You’ll see what I mean once you watch it. Enjoy!

[youtube=http://www.youtube.com/watch?v=GS1xL1qcBa4]

twitter-follow-me13

Motivation & Administration

A part of life ‘on-line’ is that it requires a certain amount of administration. Stuff needs to be set up, logged in and authorised. It’s also a big part of getting people into a start up. So we most often ensure that the barriers to entry are reduced…. we let our new users do the admin later. Maybe, on their next visit. The only problem with this is that administration should always be undertaken when motivation is the highest, and that’s usually at the start of a process or project.

twitter-follow-me13

A story from Sir Tim

I had the good fortune this week to meet the inventor of the world wide web Sir Tim Berners Lee. He is currently touring Australia and after he gave a public lecture at Melbourne University, I was lucky enough to attend a private session thanks to the AUDA and meet him personally.

Firstly, I’d like to say he was a total gentleman, who is very humble for all that he has given us. Over drinks I asked him what seemed like the first non techie question he’d been asked all night, and his answer I found totally inspiring. The dialogue is below:

Me:Tell me how it feels to have created something everyone loves and uses every day…. How do you cope with all the attention and adulation?

Tim: “Well, I’m just Tim, a normal guy around campus. But, it is interesting you asked that, because I made a conscious decision to avoid the public sphere for the first 10 years after I created it. I didn’t do any interviews or make any public appearances. Mainly so it wouldn’t interfere with my family. About 10 years into the web I received a letter telling me that I was to receive the Millenium Prize in Finland. It turned out that the ceremony happened to be on my son’s birthday. So I wrote back to them saying that I couldn’t make it on that day as it was my son’s birthday. That I could come if they changed the date. They then wrote back to me saying something like… ‘You don’t understand Tim, this is like a really big thing, and the dates can’t be changed….’ And then I wrote back saying, ‘No, you don’t understand, nothing gets in the way of my family, I’m very honoured, but you’ll have to give it to someone else.’ Well – in the end they were determined that I come and suggested they fly our entire family over so that we could still celebrate his birthday as a family, and so that I could still get the prize, and that they would pay respect to my sons birthday at all the ceremony. So I asked my son Ben and he was ok with it. In fact, he really enjoyed his birthday as entire auditoriums sang him happy birthday and he had something like 5 birthday cakes while we were there.”

I thought this was cool and grounded. In fact, it’s a terrific thing when someone you respect greatly, gives you more reasons to respect them after you’ve actually met.

(A photo with Tim – He said ‘Send me a copy of the photo!‘ – but I’m sure he says that to every fan boy who asks for a picture.)

TBL1

tbl2

twitter-follow-me13

Persuasion & Startups

This video was a nice reminder of what motivates people in life. I dig the animation, but I did think that the examples were kind of naff. In the spirit of de-naffing – I thought I’d list out the 6 key motivators, and then give an example of how a startup can employ it in a cool way that makes sense.

According to the science these are the key drivers that persuade people to take action.

  1. Reciprocity
  2. Scarcity
  3. Authority
  4. Consistency
  5. Liking
  6. Consensus

Reciprocity: Be the resource first. Give to an audience something valuable, without asking for anything in return. Advice, information, news, utility. When I think of this, I think about the freemium model. I think about Google serving data points and monetizing later. How can your startup help in the first instance?

Scarcity: One of my favourite marketing strategies is when brands who know they have something cool and limit the distribution of their thing. Invites to Google+ and Pinterest come to mind, as does the retail strategy of many premium goods. This also has an important impact on our ability to price more profitably.

Authority: People want to deal with experts. One thing smart startups can do these days is build credentials in related spheres to what they sell. Smart brands do thought pieces on their industry, share intimate knowledge they have learned, and even give away perceived trade secrets. This is a smart way to fast track reputation and gain authority. A company blog is a great start. Talking at relevant industry conferences, getting articles published and mini doco’s are also great ways of developing a brand as an authority. Another old school method is gaining borrowed interest via sponsorships.

Consistency: In a world of exponential change and category fragmentation, it would be easy to think we desire unique and changeable experiences. But the opposite is true. While our tastes are becoming more niche, every niche experience we have we want to be consistent with our expectations. In technology Apple does it extremely well with their interface. But the true master would have to be McDonalds. When it comes to homogeneity of experience, they are the true masters. A simple question we can ask ourselves is this: How will the system we are building facilitate a ritual? Humans are creatures of habit and certainty – brands that serve this, have a chance at generating loyalty.

Liking: While this doesn’t appear in many strategy documents, people do business with people they like. The science says we like people and companies that are similar to us, and co-operate with us. When it comes to startups, a fast track to doing this is to personify the brand. Have a set of values that people can relate to, to stand for something politically and environmentally. The days of corporate fence sitting and both party political donations are over. The best way to be likable is to take a stand and find the people who value what we do. The others are irrelevant.

Consensus: With humans being social animals, we look for decision validation within our reference group. This doesn’t mean that the wisdom of crowds is right. In fact, it might mean the wisdom of a closed group of people we trust. My best current example is that the popularity of Facebook and its ever growing user base assures me that it isn’t right for me.

While it is hard to do all of these, it’s a nice reminder of the type of activity we need to undertake to inspire people to take action.

What are some of the methods that you’ve used?

twitter-follow-me13