Business Model Innovation Open Data

Business Model InnovationPolicies and practices in Archives Harry Verwayen July, Budapest SUN Course

1. What is a Business Model?

“A business model is the logic ofan organisation to create value” See: Osterwalter & co, Business Model Generation

Why is this relevant to policy makers in archives?

The Business Model Canvas See: http://www.businessmodelgeneration.com/

Value Proposition Activities Relationship Resources Stakeholders Partners Channels Costs Beneﬁts‘The business model describes the logic of our organization to create and deliver value’

2. Case study:Nationaal Archief joins Flickr the Commons

The archive sectoraims to preserveour heritage andmake it broadlyaccessible

Digitization is apowerful tool toreach those goalsand create addedvalue. But how doesthis affect ourbusiness model?

We picked up the canvas and got to work

Here is the result...

The project made 400 photo’s of theNational Archive available on Flickr- The Commons

Why? Reach a larger audience

Why? Reach a larger audience create user- participation

Why? Reach a larger audience create user- participation (through social tagging)

Here’s how thismapped out on thecanvas:

The ‘old’ model looked something like this

Cost structure isclear. Value creation is subsidized

In the new model things had drastically changed

Open ContentIn the new model things had drastically changed

Open Content PlatformIn the new model things had drastically changed

Internet Open Content PlatformIn the new model things had drastically changed

Technology driven Internet Open Content PlatformIn the new model things had drastically changed

Technology driven Internetsocial tagging Open Content Platform In the new model things had drastically changed

Results: >1 million page viewsResults: >2000 comments Results: >14000 tags http://beeldenvoordetoekomst.nl/nl/news/evaluatie-pilot-nationaal-archief-joins-ﬂickr-commons

the experiment shows thatphoto’s on ﬂickr were viewed160 times as much as on our own site...

After evaluating the success, NAintegrated flickr into it’s regular activities.It published recently it gets 5000 visits onFlickr daily.

You see the point?

3. Let’s watch a short film watch the film here: http://vimeo.com/36752317

4. Case study 2:The Problem of the Yellow Milkmaid

The Rijks Museum found out that yellow copies of Vermeer’s Milkmaid became so persistent on theweb that visitors started to believe the original was a fake... See: White Paper, The Problem of the Yellow Milkmaid on pro.europeana.eu

At Europeana we used this as a case study toinvestigate the risks and beneﬁts of pushing foropenly licensed metadata in the cultural heritage sector See: White Paper, The Problem of the Yellow Milkmaid on pro.europeana.eu

We started our investigation with ‘real people’ in mind: End User

Who have many different ways to access our material... Access to Cultural Heritage End User

We looked at these as different spheres in a universe...Public Private(Europe) TEL books Europeana Athena Europeana Travel search scholar APEnet Access to Cultural Heritage (Netherlands)national Royal Library Communityarchive End User sound & vision wikipedia Public (France) (national) Commons culture.fr bibliothéque nacionale

Each with their own characteristics

Each with their own characteristics dPublicly funde ro p e l Agenda for EuSupport Digita ophyOp en Data Philos TEL Europeana Athena Europeana Travel APEnet

Which dictate the ‘logic of value creation’ (or business model) d el M o e ss in B us T he

We found that ours had very much been ‘supply driven’

As we had aggregated millions of objects and made them available through one speciﬁc interface b rary ch LI l Dut Roy a TE L APENET National Archive 2008-2011 e vrL ou rchief Drents a

As we had aggregated millions of objects and made them available through one speciﬁc interface b rary ch LI l Dut Roy a ea na Euro p CC TE L -B D Y -N ig ita C l APENET National Archive 2008-2011 e vrL ou rchief Drents a

While this had been an essential pre-requisite for access and distribution....

It did not allow for re-distribution through Linked Open Data...

Fast growing sites such as History Pin

Or even Wikipedia!

We felt we needed to change our perspective

To the demand side

It became clear that aggregation was still neccessary...

But the portal setup didn’t cater to the needs of wildly differing customer segments...

Who have their own workﬂows and preferences for accessing information

The key to this was changing the licensing framework

But how does this affect the business model of our partner institutions???

What do you do?

We organised a series ofworkshop, this one with anemphasis on the risks &rewards of opening upmetadata

Here is what we found out:

All participants perceived 3 risks and 3 rewards of opening up data as mostimportant:

Creation of metadata can be found in 3 different places their businessmodels

1. Metadata as a key activity

Basically...

Metadata is created as part of the mission of the institution tomake the material more accessible...

In this model, beneﬁts quickly outweigh therisks

2. Metadata as a key resource

Metadata is considered an asset used to improve the value of theobjects

Initially, risks seem to outweigh rewards...

But strong case studies, technical developments and differentperformance indicators would alter this equation...

3. Metadata as a core value proposition

This one is the most difficult....

Metadata in this case is created as a value proposition byitself...

Directly generating revenue for theinstitution

Very few institutions make money this way,and over time, beneﬁts will outweigh therisks

What was the result of this excercise?

from september 1 2012 all europeanadata will be released with CC0 license

But we are not quite there yet...

We still need strong case studies that show the value ofopening up data, better metrics to measure success in adistributed online environment and technical developmentsfor identiﬁcation and tracking. But above all, we need daringpolicy makers and cultural professionals who are willing totake a risk for the beneﬁt of culture and society!

How about you?

What kind of innovation do you have in mind? Value Proposition Activities RelationshipResources StakeholdersPartners Channels Costs Beneﬁts

Thank youHarry Verwayenharry.verwayen@kb.nl

But strong case studies, technical developments and differentperformance indicators would alter this equation...

Value Proposition Activities Relationship Resources Stakeholders Partners Channels Costs Beneﬁts‘The business model describes the logic of our organization to create value’

Business Model Innovation Open Data

by Harry Verwayen on Jul 02, 2012

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