What drives the revolutionThis is why people do thingsBut before, explain the title
What they buy (that LV bag)Who they do
Illusion of control
Reputation based on traditional institutions?what bestows authority?)Who do we listen to?Past actions? Need for persistent identity
EfluencerKey opinion leaders, main contributors onlineOn average, 55 hours / week online, half of them 8+ hours online / dayBoth social influence and self expression
based on experience, intuition, and data Picture of graph from FosterLeveraging the social graph
based on experience, intuition, and data Picture of graph from FosterLeveraging the social graph“Birds of a feather shop together”Hill, Provost, & Volinsky, Network-based Marketing. Statistical Science 21 256–276 (2006)
MerchandisingDefine viral marketing10 years agoAmazon vs FacebookAmazon is about products, interactions with store, not with friends. No NewsFeed.Facebook is about interactions between friends.
Information the purpose for communication
on averageChange behavior: of individualOf citiesWhy do people do this? They get attention? They get belongingTHIS IS VERY DIFFERENT FROM A SOCIAL MEDIA / TWITTER CAMPAIGN
Lightweight E.g., QR code -- classhttp://www.youtube.com/watch?v=EHlN21ebeakPhone = Proxy for the personCf partner?How do you feel when you leave home without mobile?Playground
Data exhaustOther deep questions:What (if anything) does it mean to own data? (Like who owns the air)But: very different properties from physical goods(1) Ideas here: co-creation. I give you one, you give me one, we both have 2.Different for $$.(2) While data is infinitely replicable, money isn’t.No “UNDO” button in fraud (what if someone has spent the money they stole?)
- (airplanes vs cars) emphasize the qualitative difference on social data - i am NOT talking about transaction data- i am talking about the next quantum leap . - It is like airplanes over roads. cars are still more important than ever of course, but it is a qualitatively different discussion. And even more important than the current numbers is the growth rateMost important number to measure growth is time to doublingAlso 10M (24 * 60 = 1000) ad requests per minute through the ad exchangeshttp://techcrunch.com/2010/11/16/the-future-will-be-personalized/90M tweets / day90000000 / 24 / 60
based on economics of communication
DC: Redo, as discussed in ER
companies thought they own their customer switching costs largely gonecompanies thought they own product -> who knows more about my phone: manufacturer? Carrier? … or the web?companies thought they own brand co-creationcustomers talk about whatever they want to talk about CONVERSATION Ultimately, all about data. Social data.
emphasize how different this is from the past
emphasize how different this is from the past
This is why people do thingBut before, explain the title
Coming soonto a theatre near you:Identity Wars: The Battle to Control Personal DataPersonal data is the doppelganger of the consumer, her very identity as a commercial being. Open the floodgates, as most of the vast quantities of enterprise data generated each day is - one way or another - personal. Data that's transactional, social, local, mobile and on and on.As the leading players jocky for position, control is the name of the game, and the stakes couldn't be higher. We are early in the process of establishing a consumer identity ecosystem, standing on the cusp of major developments. New paradigms will be established and astounding enterprise power stands to be gained. Does anyone own consumer identity data? What precisely does "ownership" of personal data mean? In any case, the objective is not to own the transaction but to control the data it generates. Facebook and Google are central, but dozens of established enterprises and innovative startups are in the game.
How the Social Data Revolution Changes the Way Consumers Make Decisions
e-business me-business we-business:How the Social Data Revolution Changes the Way Consumers Make Decisions Digital Day China Shanghai, 22 Nov 2011
Why this revolution?It addresses the 3 deep needs: Approval Belonging Communication
What is the revolution?Irreversible shift inmindset of customersabout who they are,how they relate,how they make decisions
e-business (company focus, Web 1.0)• Website provides controlled information• Website possibly allows for transactions
me-business (user focus, Web 2.0)• Consumer in the center• Self-expression, 晒 (shai, show off)
we-business (community focus, Web 3.0)• Collective intelligence• The social consumer
Result: Amazing conversion rates since customer chooses Content (the item) Context she ( just bought that item) Connection (she asked Amazon to email her friend) Conversation (information as excuse for communication)
Two meanings of “social”1. Social graph2. Social data Consumer create and share data Knowingly and willingly
Purpose of communication:to transmit information? Or is information just an excuse for communication?
Nike+Customers- engage- connect- 3 times per week on average
Corner / Oversized Rooms: Rooms Ending in: Oversized, Corner Room, Quiet 04 Room Oversized, Corner Room with North 24 Times Square Views (Higher Floors are PreferredRooms to Avoid:Rooms Ending in: 01, 21 Possible Ice Machine / Elevator Noise 08, 17 Limited View Rooms
Product Culture Help people make better decisions Make it trivially easy for them to contribute Give people an excuse to connectNote: Products/services that use social data improve over timeTake the test yourself http://socialdatalab.com/intelligence
Data Culture Do not have Somewhere already Cannot get Can! User will give Must not use Embrace it Be secretive Be transparent Information Information asymmetry symmetry
Company Culture (“DNA”) 1. Facebook Designed for contribution and distribution 2. Google Take whatever you can get 3. Amazon Customer-centric: Help them make decisions
Ingredients for engagement:AdvertisingBrandingCorporate Communication
Ingredients for engagement:ApprovalBelongingCommunication
Twitter: The Illusion of an Audience?Two Monologues are not a Dialogue!
1993“On the Internet, nobody knows you’re a dog”
2011“On the Internet, everybody knows you’re a dog”
e-business me-business we-business email@example.com +86 138 1818 3800 www.weigend.comDr. Andreas Weigend, Social Data Lab