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The third installment: From destination to integration

Digital is expanding yet again, from the first editorial version, to a second social version and now the third installment; integration.

Some arguments:

1. Integration is not merely about offering services where people are, it’s about implementing connected technology within our everyday objects, or designing new objects based on the new opportunities and additional meaning introduced by technology.

    Which gives that this could introduce a completely new generation of needs and behaviors: In the words of Donald Norman;

    “Need is created by technology, not the other way around.” Link.

2. With integration we are not only moving from destination sites to aggregate sites, from horizontals to verticals. We are moving from screens to objects, from input devices to sensors and from keyboarded instruments to everyday life.

Jesko Stoetzer’s RFID Sleeve prototype for the Betacup project is a good example. Showing how digital technology, using no screens, no keyboards, just an electronic augmentation and a redesign of an existing object, the cup sleeve. Can improve the coffee experience for enthusiasts, create new business opportunities and increase product sustainability.

3. Microsoft put it carefully in its Europe Logs on Report in April 2009:

    “The use of Internet on PC’s will decrease from 95% today to only 50% the next five years.”pdf

But Microsoft was only talking about our connected lives moving from PC’s to mobile, gaming platforms or “connected TV-boxes”. They where not looking into the emerging opportunities from smart objects, SPIMEs or coffee sleeves.

The Europe Logs on report were looking at machines. But the days when only machines were connected to the Internet is already in the past.

There is an important distinction to make in order to arrive at the conclusion that we are moving into a new Internet era, and that is the one between the machine and the object. What Russel Davies, in his talk “Printing the Internet out and squirting it into things” at the Lift Conference calls the device and the object.

Devices are machines where the structure of the object itself affords no utility, but there is a screen and a circuit board in there offering us a range of opportunities. And object is different, it already has an immediate utility, but technology ads a new layer of meaning.

    “Devices fool us because they look like objects and do all this stuff, and we are kind of hypnotized by their ability to do all this stuff. Where as when you see an ornament in the shop you know exactly what it is and what it is for. And you don’t except more of it. I think some of the delights that some of these can contain is when it looks like a simple object but contains meaning that you weren’t excepting.” – Russel Davies.

Watch live streaming video from liftconference at livestream.com

4. Machines are hubs. Take the mobile phone as an example; it should be (and hopefully will be) connecting people to their objects, not filled with an application for each one (object).

Appvertising and applications belong to machines, and are just scratching the surface of connected technology, it is by and far only the answer to the following question: “What do people want access to all the time?”

Integration as a term is not about access, it’s about turning everyday objects into identities, which enables them to organize, create structure and through feedback add a new layer to spaces in our everyday life.

Bill Moggridge mentions in his book Designing Interactions, that there are not only three (spatial) dimensions to an interface, but also a fourth one; time. We are now building a fifth dimension; the digital identity of the physical object.

The digital life of physical objects is what Kevin Slavin discusses in his talk This Platform Called Everyday Life at the PSFK Conference in New York. This quote where he references a video of a cat molesting a Webkinz:

    “This cat is completely unaware of the most important thing about this particular stuffed animal. Which is that it has a whole other life online. This is a Webkinz stuffed animal. And this cat has no idea. It thinks it’s actually engaging with the thing, and in fact it has a whole parallell life thats going on, that this cat can’t touch. And I want to make it clear, that this is where we are heading, towards a world in which entities have this physical presence as well as this digital presence.”

Conclusion:
The important shift with integration is not that we put technology into things (devices), but that everyday objects with an existing physicality and purpose, get a new dimension and additional meaning: A digital identity.

With these identities comes data, responsiveness, organization and connection.

The next generation is all about connecting our stuff, offering new layers of meaning to our objects, our situations and the world at large.

New Business Opportunities in Retail

Digital’s introduction to retail, be it a slow one, will accelerate as the understanding of the width of web and mobile broadens from being all about destinations, to integration into every aspect of business:

Find the presentation below or at slideshare.net/helgetenno.

As always find the individual slides under CC-license here: flickr.com/everythingnewisdangerous

I’ve included the part of the script describing the three areas of retail I’ve concentrated on; product, in-store and business opportunities:

    Product opportunities
    The product is not just a “brand” living on a shelf or being consumed by a member of the public. It is a character, which within the framework of a strong identity changes its characteristics to fit different roles through the stages of its own lifecycle; from the initial idea, the spark, to its realization (design), its distribution, shelf life, shared product experience and recycling (sustainability). Digital amplifies the characteristics, and helps the identity adapt at each stage.

    In-store opportunities
    The retail outlet is the most important arena for public choice. It is intense in its range of decisions, and numbing in its range of (similar) products. Inside this arena there are limited opportunities within frameworks. Frameworks put in place by the non-digital, non-organic world of cardboard and floor space. Digital transcends the limitations of the shop infrastructure, serving communication through personal devices controlled by a digital brain in “the cloud”.

    In the advertising mindset the retail communication belongs to the “call-to-action” category. But this limits itself both in its expense on resources (financial and labor), scarcity of real estate and limited time span. In the design mindset the goal is rather strength through identity, creating a long lasting top-of-mind preference through establishing an interesting story, sharing values, creating memberships and avoiding the retail rock concerts of advertising.

    Business opportunities
    There are new business opportunities to be explored and discovered through the extension of digital and organic platforms. From engaging the crowds to taking the store to the world – not limiting access to it by physical destination. In categories where products follow patterns and become remarkably similar, it is digital and organic platforms that not only invite customers to explore and discover new, unique experiences. But also develop more layered identities, establishing thicker product relationships, and unwrap new business opportunities.

A special thanks to PSFK which as with a stroke of coincidence launched their brilliant PSFK Future of Retail Report just last week, adding a whole section to my presentation – I’ve been extensively referencing the source.

PSFK Future of Retail Report

I would also ad these brilliant people and publications as they all helped in filtering the cases and surfacing the best ones:

springwise.com
popsop.com
mashable.com
rubbishcorp.com
adverblog.com
Ingmar de Lange
mobilemarketer.com
digitalbuzzblog.com
Zeus Jones
storefrontbacktalk.com
cpbgroup.com
techcrunch.com
Seth Godin
Richard Murray (for giving us the best insight on retail)
and for his brilliant and extensive posts, *Supercollider at geoffnorthcott.com.

future media

A presentation on the future opportunities in media, turning threats into insights into opportunities.

The presentation future media – no more middle men, is an accumulation of a range of relevant thoughts from this blog, put into system.

It’s built as a master slide set (to pick and sort from), but I tried to ad some structure to it by identifying six major “forces” affecting media, and then a short final chapter summarizing a suggested future mindset.

I’ve also chosen to ad a lot of the explanatory text – not just the headlines – into the slides this time, hopefully this will create more context for the people reading the thing online.

Find individual slides available for download under a CC license on my flickr.com account everything new is dangerous.

Find the presentation below, or on my slideshare account slideshare.net/helgetenno.

View more presentations from Helge Tennø.

Thinking outside / igniting the real world component

Adding digital components to increase the engagement in and value created from a TV event, means thinking outside the obvious Facebook chat integration, the PC, online, and even the TV event itself.

outside

In a recent study by Kaiser on the trends of American youth, shared by JWT on their Intelligence blog, there are numbers stating the increase in multitasking while enjoying other mediums (TV, Radio, Computer). No surprise, but the interesting point is what kind of medium they are multitasking with.

    Multitasking is the wrong word here, as the brain can’t possibly do two things at the same time. The correct description would be “switching focus”. As stated by the America Scientist: “psychologists know that multitasking involves switching rapidly between tasks rather than actually performing multiple tasks simultaneously.” JWT has decided to dub the trend Distraction as Entertainment. (But I am having a hard time finding any good articles on their definition.)

From the report:

    “…almost half of kids (47 percent) report texting someone ‘often’ or ‘sometimes’ about what they are watching on TV—an activity that was almost unheard of five years ago.”

The device people were using together with TV is their mobile phone, up to half the kids are using it to keep in touch with friends and exchange ideas in this context.

This is interesting, with almost one in two kids talking with their friends about what they are watching on TV, and using the telephone – not a desktop/PC based social networking application – inspires to think about two things:

    1. The Laptop + TV living room idea is great, but the potential in Mobile+TV might be even bigger. To be frank, the popular TV-event + Facebook chat integration really isn’t that impressive, and seems more like a “lack of imagination band-aid”.

    2. Sending SMS is just a choice in regards to the goal of their communication – it’s simple, cheap or free and communicates short exchanges beautifully. Which means that we should be able to introduce new concepts based on a solid understanding of the context itself, low technological barriers and great rewards.

In my personal experience with games, it’s not the national or big games that create the best engagement; it’s the local ones. And not “local” in the geographical sense, but in a social sense, were one engages an existing group of friends. This is not because friends play more with friends online in comparison to with strangers, but because it enables the real-life dimension. Where the game does not exist exclusively online, but creates a form of social worth (a value defined by Jenkins) that ignites exchanges when the group meets socially in real-life. It becomes a valuable currency even when the game is not played. Something to talk about and share, at school, work or other gatherings outside the computer.

real-life-dimension

Using the game, not to play it online, but in order to share an experience that brings value both to their digital and real worlds (even though it’s the same place), it is the strongest enabler.

As JWT rounds of their blog post:

    “Content creators can turn this trend to their advantage by layering a multitude of media into entertainment, producing an immersive experience designed for simultaneous consumption and engagement.”

And I would ad, that it’s when media, and especially TV, not only plays on what’s happening and created inside media, but also plays on the activities, dimensions and social groups that exists outside media – and with additional ideas and activities outside simultaneous – it becomes really powerful.

To sum it up; its when the layering (as JWT defines it) not only includes media but also includes a real world component, includes the idea of the engagement branching of and existing outside the TV time slot, and adding a local, social dimension, things become interesting. And even though the PC/Laptop is a brilliant tool, the mobile phone might be a better instrument in this context.

Three projects, that all bring different but interesting aspects into this line of thinking; Parking Wars, MTV Backchannel and Fantasy premiere League. (unfortunatley I can’t find any examples with mobile)

And of course, this does not only apply to TV events, but all events. As events are like products; an invitation to become a part of something valuable…

invitation

Expanded version of Seven actionable marketing trends

After publishing the slideshow Seven actionable marketing trends about a month ago, I asked if there was an interest in an expanded version of the slideshow. Elaborating on each trend and including some references and quotes from the insights behind them.

    Unfortunately it has taken me some time to put this together, and I do apologize for the delay. But now the deck has been published via slideshare.net.

I would like to state that the goal of the document is not to work as a coherent presentation, but rather using the slideshare format to comprise and present a collection of valuable ideas that I felt was/is relevant in regards to each trend.

I hope you find the presentation useful, and that there are stuff/slides in there that proves to be inspirational.

As always, if there are any questions or comments, please contact me and I will do my best to reply.

Also, find most of the individual slides available under CC license on flickr:
http://www.flickr.com/photos/everythingnewisdangerous

Find the presentation below, or here:

View more documents from Helge Tennø.

Post Digital Design

How come design for technology is so inherently anti-human that we had to invent a whole new industry around it just to band aid the wounds created by having the wrong focus in the first place?

Behavioral Psychologist Donald Norman has been quoted saying:

    “Each time a new technology comes along, new designers make the same horrible mistakes as their predecessors. Technologists are not noted for learning the errors of the past. They look forward, not behind, so they repeat the same problems over and over again.”

When it comes to design for interactive platforms it seems that the knowledge from existing design practices have been overlooked in favor of designing interfaces more eager to ease the technological development budget, rather than accommodate the human mind.

technlogy-and-design

The problem with this is that it prohibits technology of immersing invisibly into peoples lives, because the technology itself becomes far to visible. We need to understand that it is behavior that initiates innovation, not technology. It wasn’t speed that made broadband the game changer, it was how it removed technology (the dial-up and cost model) from the process of going and being online.

This first film is by Berg and Mag+, its a case study presenting some insights into and visualization of e-Magazines. It presents the kind of thinking needed in order to bring technology into peoples lives

It seems we are at the end of a period where interactive design was mere decoration. Where algorithmic logic and robotic rationality shaped the reasoning behind the interfaces trying to engage people in services, content and marketing.

Design is for humans not robots. And humans should force technology to adapt and evolve, not the other way around.

Both videos where found at the brilliant blog Mobile User Interfaces by TAT, which together with BERG provides a lot of brilliant insights and inspiration into the future of design on interactive platforms.

Seven actionable marketing trends

My six guidelines / marketing trends have received a lot of positive feedback. As someone described it: “A very tangible and actionable list for digital marketing activities” – focusing on leveraging new consumer/media/digital trends.

As a result I wanted to publish it as an own slideshow, a small checklist or inspirational document in case anyone wanted to enjoy it, download it, print it or share it without all the other stuff in the original presentation surrounding it (and with an additional bonus guideline).

In addition to this I’m also thinking of doing the opposite – expanding it, into a more content rich presentation. Including more insights to create a bigger understanding of why each guideline is. And making it more tangible by presenting some known and lesser known examples proving each point.

Inspired by Godin, who said that in the future Amazon will act as a crowd sourced publisher, where if enough people list themselves as buyers of a future novel by a specific writer, Amazon will commission this novel, sell it and distribute it.

So what I am suggesting is that if enough people add a comment to this post, or send me a mention/tweet via @congbo. I will put together the larger presentation and hopefully create a piece of content that would be valuable too both colleagues and clients, planner and brands, marketers and executives.

I’m aiming for about 50 in total, so please comment or tweet if you want it all.

View more documents from Helge Tennø.

Online advertising is changing because the media business model is changing

Online advertising will change fundamentally during the next year to four years. The reason is more unexpected, and with larger consequences, than anticipated.

I’ve written previously on how both the competition to the online ad product (ie. earned media) and our citizens’ change in online behavior should be forcing online media to innovate its advertising and marketing products. Now it seems these symptoms where only the tip of the iceberg: a change in the fundamental business model of the media industry.

In 2009 media has been failing, and it’s failing fast. All hands are on deck and the ability to think disruptively, not only incrementally, has invited people to rethink the whole structure of their business model. This will affect their income strategies and the companies sponsoring these income strategies.

In other words: online advertising is changing, because the media business model is changing.

This is the case I’m trying to make:
Media has been stuck for some time, but the scalability of the online advertising real estate, and the enormous market has kept the ball rolling. Not sensing that the drive for traffic and the drive for more ad space lessened the editorial product and made the media brands invisible.

As Kristin Skogen Lund, CEO of Aftenposten, one of the biggest newspapers in Norway said at a talk last week:

Scott Karp, editor of the Publishing 2.0 blog ads another argument:

    “most newspaper websites sell SPACE for commodity advertising — display ads and classifieds — and thus are hard pressed to compete with ad networks that specialize in selling commodity ad space by the megaton”Scott Karp, Publishing 2.0

amftenposten_skogen-lund_brand

The result is that the display advertising model works just fine for media buyers, but for brands they are receiving a decreasing amount of effect – and compared with the effect from earned media the investment at times can seem as a complete waste. At the same time media companies have brought a knife to a gunfight, they are competing against the networks, a game they can’t win, and are destroying their most valuable possession – their brand – along the way.

So something has got to change!

An incentive for change:
Two important facts where laid out by Skogen Lund at a conference last week:

- Only 5%
Skogen Lund stated that Aftenposten’s online revenue only represented 5% of their total revenue. Scott Karp confirms this as representative for the whole industry:

    “That’s why the newspaper industry is worth about $60 billion offline but only $3 billion online — they only have about 5% of the pricing power that they did when there was only a finite amount of space in for printing ads.” – Scott Karp, Publishing 2.0

scott-karp-5percent

Online advertising in it’s current form is not a big revenue model for media companies, which would incentives innovation. If only one believed that online customers where better customers… Are people worse customers online? Hardly, FEED: The Razorfish Digital Brand Experience Report / 2009 states:

    “Brands that use digital to drive awareness also drives sales: 64% of consumers report making a first purchase from a brand because of a digital experience”FEED 09

So there is nothing wrong with the platform, there is nothing wrong with online, it’s how we’ve utilized it for advertising, and as a business model, that has been completely of the mark.

completely-of-the-mark

- Advertising decreasing, subscriptions increasing
A second interesting fact presented by Skogen Lund was a graph showing how advertising has represented a sharp decline in revenue, while subscriptions a sharp increase this last year. This at the same time as we are seeing niche newspapers, with strong brands and identifiable products, increasing their subscriptions in contrary to the mainstream newspapers which are declining. This tells us that there is an interest in a strong media product, and people are willing to pay for it.

My conclusion is this:
Media is a product (a membership), has always been a product and will continue to be a product. But somewhere along the way someone found that sponsoring it with advertising was a god idea. (Brilliant video for Norwegian readers to be found here (Thx. Freddy)). Which it was, to some extent. But the consequence was that the drive for traffic became more important than building a strong brand and a unique product.

Today when advertising sponsorship is failing as a business model, media has to start charging for something. But since they are left with a generic product it is impossible to charge for content that can be found for free ten other places.

(which is probably why Murdoch is shutting out Google, and also the argument of Mathias Dophner here. They want to protect it before they create it.)

So I anticipate that blood will continue to flow in the Media industry – because there is not enough money to finance all these institutions, and there is not enough strong brands to charge for their product.

Which leaves us with advertising: Advertising online will change because the media business model will change. Media brands seeing that they either don’t need to garbage their stories with competing stories, as Scott Karp says:

    “advertising isn’t more valuable when placed next to premium content because display advertising has so LITTLE value to begin with. In fact, display advertising creates so little consumer value that it actually SUBTRACTS value from high quality editorial content when placed next it.”

Or because they find that people reading their publications are there because they get provided a value, and that brands in a lot of instances can co-produce this value. That NEW BRANDS are value creators, and that NEW MARKETING IDEAS are about creating additional value – not a competition between the attention of stories. And that this value, and a relationship built on trust between the media, the brand and the participant, will create a new, valuable, membership based content system.

brands-can-coproduce

That brands, as Forrester already has anticipated, will sponsor niche arenas where they can build direct relationships with their participants and members. What these arenas are, how large, small, niche or commercial, content, conversation or context based is completely up to our own imagination and creativity.

Companies sell stuff, people buy stuff

Presenting at the iab Interact 2009 in Amsterdam at the end of November, I have been asked to talk about new marketing under the theme of the conference: “It’s the people stupid”.

As my bio states:

    “…As technology becomes invisible, the opportunity for companies to connect with participants arises from its understanding of its fundamental ability to ad value to situations in a persons life.”

The presentation tries to identify the difference between traditional attention based advertising (company centric) and new marketing (human centric). Proposing some challenges/opportunities regarding the former and exploring some of the major mindset changes regarding the latter.

The big idea being a continuation of one of my earlier presentations: That marketing becomes the product, adding additional value, eclipsing it and making it unique.

Marketing being the value provider and products being invitations to next generation memberships and subscription models

View more documents from Helge Tennø.

Mobile Abilities Map Presentation

Mobile is at the forefront of representing a completely new way of thinking about marketing.

But in order to understand this we need to look beyond the SMS and the text voting, and start exploring the real potential of the platform.

Since the Mobile Abilities Map pdf, published two weeks ago, has received a great deal of interest. I thought it would be a good resource to readers if I collected and published my inspiration and ideas to each topic. Hopefully getting some inspirational juice flowing.

- I’ve added links to each resource on slides where this was possible.

I hope people appreciate the presentation, and continue sharing great links on their own blogs (and link back here) or in the comments section on this blog.

View more documents from Helge Tennø.

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