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Facts & Figures for 3D Lean Learning
Virtual Worlds Seminar
  Business Workshop
Agenda

• Thinking about 3D Web
• Branding
• Current research statistics
• The ‘Ecosystem’ around 3D Web
• Case studies
Thinking about 3D
         Web
• What are you trying to achieve?
• Is it internal or external, private or
  public
• Who are the project team?
• Who will be the ‘owner?
• “Normal” project disciplines apply
Thinking about 3D
         Web
• Is it for brand or product PR?
• Is it for meetings, are they external?
• Exhibitions or conferences?
• Do you have a budget, does it
  include staffing and maintenance?
Virtual Worlds
   Avatar Centric                          Sports
                    Social Platforms

     Social                            Game
                                          MMORPG

                       Branded
     3D Chat                             Adult Games
                        Worlds

                    Virtual Worlds

Entertainment                          Business
                     Virtual World
    City Guides       Generators         Serious Games


                                                    Source:FredCavazza.net
Facts & Figures for 3D Lean Learning
Facts & Figures for 3D Lean Learning
Thinking about 3D
         Web
• Needs an executive sponsor
• Needs a single ‘owner’ who can be
  evangelistic
• IT team’s ‘buy in’ will be required
• Supports the organisations cultural
  values - what are they (really)?
Organizational Culture




                   Source: Richard Barrett
Branding in 3D Web

• Can be expensive to execute and
  maintain
• MTV’s Laguna Beach, Lego Worlds
• Who will see it?
• Best done as a tie in with other
  media
Any benefit so far?




                     Source: Thinkbalm
...and in 2009?




                  Source: Thinkbalm
Was it a success?




                    Source: Thinkbalm
What benefits?




                Source: Thinkbalm
More or less?




                Source: Thinkbalm
Used or pilot for what?




                     Source: Thinkbalm
Deployed for what?




                     Source: Thinkbalm
...and for 2009?




                   Source: Thinkbalm
... and in the future?




                     Source: Thinkbalm
What other options?




                      Source: Thinkbalm
Comparisons




              Source: Thinkbalm
Comparative cost




                   Source: Thinkbalm
Effort to roll out?




                      Source: Thinkbalm
Payback time?




                Source: Thinkbalm
Life cycle?




              Source: Thinkbalm
The barriers?




                Source: Thinkbalm
Comments

• Early adopters do not usually do ROI
• Signs of a maturing situation
• Higher success that many expected
• Where was ‘branding’?
Comments
• Some of the results don’t stack up,
  e.g. host, build, train, implement
• Not all costs being accounted for as
  innovators use ‘volunteers’
• You need to be realistic or it may
  fail
• There is a great deal of positive
3D Web Business Ecosystem

                 Middleware and
               Software Component
                    Providers


 Authoring Tool                 Server &
   Providers                   Workstations
                                                Management
                                                 Consultant                     Enterprise
                                                                                Customer
  3D Web Engine
                           3D Web Builder
   Developers

                                              Systems Integrator




                           Enterprise
                                                  Hardware
                          Integration                                      Comms Provider
                                                Manufacturers
                             Tools
Revenue Flow



                                                                   Source: Stanford Research Institute
3D Web Business Ecosystem
                   Meerkat
                 Middleware and
               Software Component
                    Providers
    Blender                             Dell
 Authoring Tool                 Server &
   Providers                   Workstations
                                                 Management
                                                                                  You
                                                  Consultant                     Enterprise
                                                                                 Customer
  3D Web Engine                                       IBM
                           3D Web Builder
   Developers

 Linden Labs              Electric Sheep       Systems Integrator




                           Enterprise
                                                   Hardware
                          Integration                                       Comms Provider
                                                 Manufacturers
                             Tools
Revenue Flow           Rivers Run Red               Dell                           BT
                                                                    Source: Stanford Research Institute
3D Web Business Ecosystem
                   Meerkat
                                               Project Management?
                 Middleware and                Training?
               Software Component
                    Providers                  Cultural
    Blender                             Dell   Transformation?
 Authoring Tool                 Server &
   Providers                   Workstations
                                                 Management
                                                                                  You
                                                  Consultant                     Enterprise
                                                                                 Customer
  3D Web Engine                                       IBM
                           3D Web Builder
   Developers

 Linden Labs              Electric Sheep       Systems Integrator




                           Enterprise
                                                   Hardware
                          Integration                                       Comms Provider
                                                 Manufacturers
                             Tools
Revenue Flow           Rivers Run Red               Dell                           BT
                                                                    Source: Stanford Research Institute
Return On Investment
travel




5 x (3.5+2) x 10 = $275k
sales




(55+690)/2 x 100 x 0.01 = $373k
reduced attrition




10 x (0.3 + 1.3)/2 x 50k = $400k
efficiency




a x b/c x d = $ek
added value




 a x b/c x d = e
worker compensation




incident number x claim size = $Xm’s
punitive damages




incident number x claim size = $Xm’s
ROI = reduced travel + increased sales +
                efficiencies
+ value added + reduced attrition + reduced
 compensation + reduced punitive damages
                  = $ large
Costs
• Branding used to cost £1/4 million
• Private Olive projects cost £1m+
• Pilot’s cost about £20k+
• Then consider project by project
 • Custom from $100k - $1m
• Be realistic, build is about 20%
Case studies
• BP to save $1-2m per crisis
  management training event, costs
  now recovered in 2 years and saved
  $4m in March 2009
• IBM in a 3 day meeting of it’s ‘Elite’
  saved $350k, but ROI not relevant
• Kelly Recruitment and Accenture
  both use SL to recruit at lower cost
Case studies

Branding examples:
• American Apparel, came and went
• Herman Miller office furniture, ditto
• Coca Cola’s investment in Google
  versus Second Life, 5.6m vs. 27
Common Errors
• Non exclusive space, e.g. lack of
  control, neighbors, closure, etc.
• Poor quality build e.g. scale,
  textures, lighting, aesthetics
• Poor design; beach, palm trees,
  flying rooms, strange and unusual
• 3D Web is, and will be, Second Life
so, ten things...
Facts & Figures for 3D Lean Learning
1. toe in the water
1. toe in the water

2. proof of concept
1. toe in the water

2. proof of concept

3. pilot
1. toe in the water

2. proof of concept

3. pilot

4. end results driven
1. toe in the water

2. proof of concept

3. pilot

4. end results driven

5. train, mentor & coach
Facts & Figures for 3D Lean Learning
6. keep an eye on what’s
  happening
6. keep an eye on what’s
  happening

7. eggs in many baskets
6. keep an eye on what’s
  happening

7. eggs in many baskets

8. ignore the ‘noise’
6. keep an eye on what’s
  happening

7. eggs in many baskets

8. ignore the ‘noise’

9. don’t be a wimp
6. keep an eye on what’s
  happening

7. eggs in many baskets

8. ignore the ‘noise’

9. don’t be a wimp

10. my name is Che Guevara
what to do?
Persevere
Build pilots
Proof of concept
An open mind
Discussion?
Facts & Figures for 3D Lean Learning

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Facts & Figures for 3D Lean Learning

  • 2. Virtual Worlds Seminar Business Workshop
  • 3. Agenda • Thinking about 3D Web • Branding • Current research statistics • The ‘Ecosystem’ around 3D Web • Case studies
  • 4. Thinking about 3D Web • What are you trying to achieve? • Is it internal or external, private or public • Who are the project team? • Who will be the ‘owner? • “Normal” project disciplines apply
  • 5. Thinking about 3D Web • Is it for brand or product PR? • Is it for meetings, are they external? • Exhibitions or conferences? • Do you have a budget, does it include staffing and maintenance?
  • 6. Virtual Worlds Avatar Centric Sports Social Platforms Social Game MMORPG Branded 3D Chat Adult Games Worlds Virtual Worlds Entertainment Business Virtual World City Guides Generators Serious Games Source:FredCavazza.net
  • 9. Thinking about 3D Web • Needs an executive sponsor • Needs a single ‘owner’ who can be evangelistic • IT team’s ‘buy in’ will be required • Supports the organisations cultural values - what are they (really)?
  • 10. Organizational Culture Source: Richard Barrett
  • 11. Branding in 3D Web • Can be expensive to execute and maintain • MTV’s Laguna Beach, Lego Worlds • Who will see it? • Best done as a tie in with other media
  • 12. Any benefit so far? Source: Thinkbalm
  • 13. ...and in 2009? Source: Thinkbalm
  • 14. Was it a success? Source: Thinkbalm
  • 15. What benefits? Source: Thinkbalm
  • 16. More or less? Source: Thinkbalm
  • 17. Used or pilot for what? Source: Thinkbalm
  • 18. Deployed for what? Source: Thinkbalm
  • 19. ...and for 2009? Source: Thinkbalm
  • 20. ... and in the future? Source: Thinkbalm
  • 21. What other options? Source: Thinkbalm
  • 22. Comparisons Source: Thinkbalm
  • 23. Comparative cost Source: Thinkbalm
  • 24. Effort to roll out? Source: Thinkbalm
  • 25. Payback time? Source: Thinkbalm
  • 26. Life cycle? Source: Thinkbalm
  • 27. The barriers? Source: Thinkbalm
  • 28. Comments • Early adopters do not usually do ROI • Signs of a maturing situation • Higher success that many expected • Where was ‘branding’?
  • 29. Comments • Some of the results don’t stack up, e.g. host, build, train, implement • Not all costs being accounted for as innovators use ‘volunteers’ • You need to be realistic or it may fail • There is a great deal of positive
  • 30. 3D Web Business Ecosystem Middleware and Software Component Providers Authoring Tool Server & Providers Workstations Management Consultant Enterprise Customer 3D Web Engine 3D Web Builder Developers Systems Integrator Enterprise Hardware Integration Comms Provider Manufacturers Tools Revenue Flow Source: Stanford Research Institute
  • 31. 3D Web Business Ecosystem Meerkat Middleware and Software Component Providers Blender Dell Authoring Tool Server & Providers Workstations Management You Consultant Enterprise Customer 3D Web Engine IBM 3D Web Builder Developers Linden Labs Electric Sheep Systems Integrator Enterprise Hardware Integration Comms Provider Manufacturers Tools Revenue Flow Rivers Run Red Dell BT Source: Stanford Research Institute
  • 32. 3D Web Business Ecosystem Meerkat Project Management? Middleware and Training? Software Component Providers Cultural Blender Dell Transformation? Authoring Tool Server & Providers Workstations Management You Consultant Enterprise Customer 3D Web Engine IBM 3D Web Builder Developers Linden Labs Electric Sheep Systems Integrator Enterprise Hardware Integration Comms Provider Manufacturers Tools Revenue Flow Rivers Run Red Dell BT Source: Stanford Research Institute
  • 34. travel 5 x (3.5+2) x 10 = $275k
  • 35. sales (55+690)/2 x 100 x 0.01 = $373k
  • 36. reduced attrition 10 x (0.3 + 1.3)/2 x 50k = $400k
  • 37. efficiency a x b/c x d = $ek
  • 38. added value a x b/c x d = e
  • 39. worker compensation incident number x claim size = $Xm’s
  • 40. punitive damages incident number x claim size = $Xm’s
  • 41. ROI = reduced travel + increased sales + efficiencies + value added + reduced attrition + reduced compensation + reduced punitive damages = $ large
  • 42. Costs • Branding used to cost £1/4 million • Private Olive projects cost £1m+ • Pilot’s cost about £20k+ • Then consider project by project • Custom from $100k - $1m • Be realistic, build is about 20%
  • 43. Case studies • BP to save $1-2m per crisis management training event, costs now recovered in 2 years and saved $4m in March 2009 • IBM in a 3 day meeting of it’s ‘Elite’ saved $350k, but ROI not relevant • Kelly Recruitment and Accenture both use SL to recruit at lower cost
  • 44. Case studies Branding examples: • American Apparel, came and went • Herman Miller office furniture, ditto • Coca Cola’s investment in Google versus Second Life, 5.6m vs. 27
  • 45. Common Errors • Non exclusive space, e.g. lack of control, neighbors, closure, etc. • Poor quality build e.g. scale, textures, lighting, aesthetics • Poor design; beach, palm trees, flying rooms, strange and unusual • 3D Web is, and will be, Second Life
  • 48. 1. toe in the water
  • 49. 1. toe in the water 2. proof of concept
  • 50. 1. toe in the water 2. proof of concept 3. pilot
  • 51. 1. toe in the water 2. proof of concept 3. pilot 4. end results driven
  • 52. 1. toe in the water 2. proof of concept 3. pilot 4. end results driven 5. train, mentor & coach
  • 54. 6. keep an eye on what’s happening
  • 55. 6. keep an eye on what’s happening 7. eggs in many baskets
  • 56. 6. keep an eye on what’s happening 7. eggs in many baskets 8. ignore the ‘noise’
  • 57. 6. keep an eye on what’s happening 7. eggs in many baskets 8. ignore the ‘noise’ 9. don’t be a wimp
  • 58. 6. keep an eye on what’s happening 7. eggs in many baskets 8. ignore the ‘noise’ 9. don’t be a wimp 10. my name is Che Guevara

Editor's Notes