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There will be                  blood
                                Why the Web 3.0 will be more 1.0 than 2.0




Chris Bernard
January 22, 2008
Houston Technology Center, Houston, TX
User Experience Evangelist
chris.bernard@microsoft.com
www.designthinkingdigest.com

(Look for me on LinkedIn, Facebook and Twitter)   (Images used for educational purposes. Soure: iStockPhoto except where noted)
There will be                  blood
                                Why the Web 3.0 will be more 1.0 than 2.0
                                                           How we can avoid it!




Chris Bernard
January 22, 2008
Houston Technology Center, Houston, TX
User Experience Evangelist
chris.bernard@microsoft.com
www.designthinkingdigest.com

(Look for me on LinkedIn, Facebook and Twitter)   (Images used for educational purposes. Soure: iStockPhoto except where noted)
How much blood?
A lot.
           A lot.
        Tears




Sweat




                         Blood
Why?
Because social media is the new black.
It’s our glue.
So, where is the blood?
Influences
Standards
Source: Frank Ramirez, Ramirez Design and Luke Wroblewski, LukeW Interface Designs, with minor technology updates by Chris Bernard
Web standards
HTML
   CSS
Javascript
De facto standards
Proprietary standards
Lots of channels, lots of skills.
Workflow
The Players
Concept: Courtesy www.identitymine.com
Concept: Courtesy of Jon Harris, a Microsoft buddy
Concept: Courtesy of Jon Harris, a Microsoft buddy
Concept: Courtesy of Jon Harris, a Microsoft buddy
Concept: Courtesy of Jon Harris, a Microsoft buddy
Concept: Courtesy of Jon Harris, a Microsoft buddy
Concept: Courtesy of Jon Harris, a Microsoft buddy
New Players?
 Concept: Courtesy www.identitymine.com
New Players?
 Concept: Courtesy www.identitymine.com




            Integrator
         layout, animation,
         events, integration
New Players?
 Concept: Courtesy www.identitymine.com




            Integrator
         layout, animation,
         events, integration
Digital marketing
The good old days.
Radio
Print
Television
until…
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy


                         The essence of marketing
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy


                       The new marketing model
                                           Transactional                        Relationship                    Collaborative
                                             Marketing                           Marketing                       Marketing

  View of value                  Value is associated with a           Value is associated with           Value is associated with
                                 company’s offering. Maximize         customer relationships. Maximize   experiences. Maximize value
                                 value in exchanges                   lifetime value of relationships    of co-created experiences


  View of market                 Place where value is exchanged between customers and the firm.          Market as a forum where
                                 Market is separate from the value creation process                      value is co-created through
                                                                                                         interaction and dialogue


  Role of customer               Passive buyers to be targeted with   Portfolio of relationships to be   Prosumers – active
                                 offerings                            cultivated                         participants in value co-
                                                                                                         creation


  Role of firm                   Define and create value for          Attract, develop, and retain       Engage customers in defining
                                 consumers                            profitable customers               and co-creating unique value



  Nature of Customer             Survey customers to elicit needs     Observe customers and learn        Active dialogue with
  Interaction                    and solicit feedback                 adaptively about customers         customers and communities




  Source: Mohan Sawhney, Kellogg School of Management
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                        Blendtec: quot;Will it Blend?quot;
      • $50 marketing spend, 2006 revenue up 43%
      • 6 million hits in 5 days
      • Was 3rd most viewed video on Youtube
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                                               Monk-e-mail
    •     100 million played
    •     25 million unique visitors
    •     $0 marketing support post launch
    •     25% traffic increase
    •     157% click thru



          “History's third-greatest
          human achievement,
          after only democracy
          and Velcro.”         AdAge
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                              Mentos and Diet Coke
    •     Original video downloaded 20M times
    •     10K copycat videos
    •     215 million mentions of Mentos brand
    •     $10M in free marketing / 20% rise in sales
    •     Coke sales rose 5-10% as well
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                               Lego Digital Designer

                                                        •   Free design studio
                                                        •   Online 3D Gallery
                                                        •   3,000-piece models
                                                        •   1 million+ downloads
Community Impact
Design, social media and
    advertising are converging,
creating disruption in how software
 and Web sites are designed and
       how we create them.
Social media
http://jezebel.com/348148/seven-kids-hang-themselves-in-the-name-of-social-networking
Source: Wired
Control
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy


                         ―Unmeasured‖ marketing
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy


                 Marketing – and life – going digital

      •       (U.S.) 97% of College students have computers
      •       94% cell phones
      •       34% use Web as primary news source
      •       15% are logged into IM around the clock
      •       70% use social networking sites
      •       85% of adults access Internet or cell phone
      •       28% play videogames
      •       13% watch TV on something other than a TV
      •       In 2007 video game sales > music sales
Privacy
Optimization
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy


     Percentage of U.S. marketing spent on advertising
             1996: 55%                                                     2006: 33%




                          “We’re not in the business of keeping the media
                          companies alive. We’re in the business of
                          connecting with consumers.” Trevor Edwards, CVP Global
                          Brand and Category Management, Nike
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                                          More examples

                                               As Customers Flock to the Web, Intel
                                               Gives Chase With Its Ad Budget


                                                               EA Joins Forces with
                                                                Energy Company



                                                         Toyota advergame on Xbox Live
                                                                       to promote Yaris
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                                        Warner Brothers
    • 66% recall rate
    • 60 % of gamers said the
      adverts ―added to the
      environment.‖
Concept: Courtesy of Jamey Tisdale, a Microsoft buddy



                                                Burger King
      •    Promotional price of $3.99 (US)
      •    3.2 million games sold
      •    Earnings up 40%
      •    Same store sales up 4%




                  Burger King Is In The Video Game
                  Business; Earnings Up 40%
                  Thanks to XBOX
Where is the blood?
There are cracks in the support
systems for our existing models
Trouble is here.
The mechanisms we have available
 are more versatile and complex.
Source: Frank Ramirez, Ramirez Design and Luke Wroblewski, LukeW Interface Designs, with minor technology updates by Chris Bernard
It impacts how we work together




Source: International Design Magazine
It impacts our workspace
It impacts how we need to think




Source: Hasso Plattner Institute of Design
It impacts how communicate
There is opportunity.
How to differentiate
                        Unmet



              Feature            Distinct
              Upgrade            Value

Articulated                                 Unarticulated


              Commodity         Taken-For
                                 Granted



                          Met
―Because the purpose of business is to
     create a customer, the business
enterprise has two, and only two, basic
  functions: marketing and innovation‖




                         Peter Drucker
Social media touches both sides of that equation.
Generate Memories
Emotional Connection
It’s real.
Concept: Courtesy of Rob Girling, Artefact.com buddy
 Concept: Courtesy of Jamey Tisdale, a Microsoft



                 Building a Marketing Platform
                            Web                        Mobile



                ERP                                       Point of Sale



                Community                               Ad Systems
Why does this way of thinking add value?
…especially to social media?
Concept: Courtesy of Rob Girling, Artefact.com




                                                 Desirable



                                                  Efficient




                                                  Usable




                                                   Useful




                                                 Functional




                                                              10
                                                               1
Concept: Courtesy of Rob Girling, Artefact.com




                                                 Desirable



                                                  Efficient




                                                  Usable




                                                   Useful




                                                 Functional




                                                              10
                                                               2
Concept: Courtesy of Rob Girling, Artefact.com




                                                 Desirable



                                                  Efficient




                                                  Usable




                                                   Useful




                                                 Functional




                                                              10
                                                               3
Concept: Courtesy of Rob Girling, Artefact.com




                                                 Desirable



                                                  Efficient




                                                  Usable




                                                   Useful




                                                 Functional




                                                              10
                                                               4
Concept: Courtesy of Rob Girling, Artefact.com




                                                 Desirable



                                                  Efficient




                                                  Usable




                                                   Useful




                                                 Functional




                                                              10
                                                               5
Concept: Courtesy of Rob Girling, Artefact.com




                                                 10
                                                  6
Concept: Courtesy of Rob Girling, Artefact.com




                                                 107
Concept: Courtesy of Rob Girling, Artefact.com



                                                  Lovemarks…
       1.     Pursue radical not incremental innovation
       2.     Commitment to respect
       3.     Make it easy
       4.     Tell the truth
       5.     Nurture integrity
       6.     Never pull back on service
       7.     Deliver great design
       8.     Talk to Value
       9.     Deserve trust
       10.    Never fail the reliability test


        Source: www.Lovemarks.com – Kevin Roberts
        Source: Envisioning desirable software in the age of internet fatigue, Robert Girling, Artefact
Silverlight Airlines
It impacts everyone
Concept: Courtesy of Rob Girling, Artefact.com



    …and it’s where Microsoft sees the future


                 Creating                            Optimizing            Growing
                                                     Audience Reach

                                                       Touchpoints

                                                 Design and Development

                                                   Analytics / Decisions

                                                      Infrastructure
What’s this mean for us?
Great thinking is expected…
…all the time.
Everywhere.
Call to Action
• Understand all your channels
• Get fuzzy (You’re not just a social media
  expert, Web designer, marketer, you’re all
  those things—and a consumer too!)
• Get T-Shaped, work with others that
  complement your specialty
• Get heterogeneous, our future is a mix of open
  and closed, shared and private, being incontrol
  and knowing when to let go.
Where to learn more
                                              www.designthinkingdigest.com




         www.microsoft.com/design




               www.microsoft.com/expression
New platforms to advance our work
Thank You!

Chris Bernard
chris.bernard@microsoft.com
312.925.4095
www.designthinkingdigest.com
Look for me on Twitter, Facebook and Linked In

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There Will Be Blood: 'Got Social Media' Presenation by Chris Bernard

  • 1. There will be blood Why the Web 3.0 will be more 1.0 than 2.0 Chris Bernard January 22, 2008 Houston Technology Center, Houston, TX User Experience Evangelist chris.bernard@microsoft.com www.designthinkingdigest.com (Look for me on LinkedIn, Facebook and Twitter) (Images used for educational purposes. Soure: iStockPhoto except where noted)
  • 2. There will be blood Why the Web 3.0 will be more 1.0 than 2.0 How we can avoid it! Chris Bernard January 22, 2008 Houston Technology Center, Houston, TX User Experience Evangelist chris.bernard@microsoft.com www.designthinkingdigest.com (Look for me on LinkedIn, Facebook and Twitter) (Images used for educational purposes. Soure: iStockPhoto except where noted)
  • 4. A lot. A lot. Tears Sweat Blood
  • 6. Because social media is the new black.
  • 8. So, where is the blood?
  • 11. Source: Frank Ramirez, Ramirez Design and Luke Wroblewski, LukeW Interface Designs, with minor technology updates by Chris Bernard
  • 13. HTML CSS Javascript
  • 14.
  • 15.
  • 17.
  • 18.
  • 19.
  • 21.
  • 22.
  • 23.
  • 24. Lots of channels, lots of skills.
  • 26. The Players Concept: Courtesy www.identitymine.com
  • 27. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 28.
  • 29. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 30. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 31. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 32. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 33. Concept: Courtesy of Jon Harris, a Microsoft buddy
  • 34. New Players? Concept: Courtesy www.identitymine.com
  • 35. New Players? Concept: Courtesy www.identitymine.com Integrator layout, animation, events, integration
  • 36. New Players? Concept: Courtesy www.identitymine.com Integrator layout, animation, events, integration
  • 38. The good old days.
  • 39.
  • 40.
  • 41.
  • 42. Radio
  • 43. Print
  • 45.
  • 46.
  • 47.
  • 49.
  • 50.
  • 51.
  • 52.
  • 53.
  • 54. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy The essence of marketing
  • 55. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy The new marketing model Transactional Relationship Collaborative Marketing Marketing Marketing View of value Value is associated with a Value is associated with Value is associated with company’s offering. Maximize customer relationships. Maximize experiences. Maximize value value in exchanges lifetime value of relationships of co-created experiences View of market Place where value is exchanged between customers and the firm. Market as a forum where Market is separate from the value creation process value is co-created through interaction and dialogue Role of customer Passive buyers to be targeted with Portfolio of relationships to be Prosumers – active offerings cultivated participants in value co- creation Role of firm Define and create value for Attract, develop, and retain Engage customers in defining consumers profitable customers and co-creating unique value Nature of Customer Survey customers to elicit needs Observe customers and learn Active dialogue with Interaction and solicit feedback adaptively about customers customers and communities Source: Mohan Sawhney, Kellogg School of Management
  • 56. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Blendtec: quot;Will it Blend?quot; • $50 marketing spend, 2006 revenue up 43% • 6 million hits in 5 days • Was 3rd most viewed video on Youtube
  • 57. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Monk-e-mail • 100 million played • 25 million unique visitors • $0 marketing support post launch • 25% traffic increase • 157% click thru “History's third-greatest human achievement, after only democracy and Velcro.” AdAge
  • 58. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Mentos and Diet Coke • Original video downloaded 20M times • 10K copycat videos • 215 million mentions of Mentos brand • $10M in free marketing / 20% rise in sales • Coke sales rose 5-10% as well
  • 59. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Lego Digital Designer • Free design studio • Online 3D Gallery • 3,000-piece models • 1 million+ downloads
  • 61. Design, social media and advertising are converging, creating disruption in how software and Web sites are designed and how we create them.
  • 63.
  • 64.
  • 68. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy ―Unmeasured‖ marketing
  • 69. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Marketing – and life – going digital • (U.S.) 97% of College students have computers • 94% cell phones • 34% use Web as primary news source • 15% are logged into IM around the clock • 70% use social networking sites • 85% of adults access Internet or cell phone • 28% play videogames • 13% watch TV on something other than a TV • In 2007 video game sales > music sales
  • 71.
  • 73. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Percentage of U.S. marketing spent on advertising 1996: 55% 2006: 33% “We’re not in the business of keeping the media companies alive. We’re in the business of connecting with consumers.” Trevor Edwards, CVP Global Brand and Category Management, Nike
  • 74. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy More examples As Customers Flock to the Web, Intel Gives Chase With Its Ad Budget EA Joins Forces with Energy Company Toyota advergame on Xbox Live to promote Yaris
  • 75. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Warner Brothers • 66% recall rate • 60 % of gamers said the adverts ―added to the environment.‖
  • 76. Concept: Courtesy of Jamey Tisdale, a Microsoft buddy Burger King • Promotional price of $3.99 (US) • 3.2 million games sold • Earnings up 40% • Same store sales up 4% Burger King Is In The Video Game Business; Earnings Up 40% Thanks to XBOX
  • 77.
  • 78.
  • 79.
  • 80.
  • 81. Where is the blood?
  • 82.
  • 83. There are cracks in the support systems for our existing models
  • 85. The mechanisms we have available are more versatile and complex.
  • 86. Source: Frank Ramirez, Ramirez Design and Luke Wroblewski, LukeW Interface Designs, with minor technology updates by Chris Bernard
  • 87. It impacts how we work together Source: International Design Magazine
  • 88. It impacts our workspace
  • 89. It impacts how we need to think Source: Hasso Plattner Institute of Design
  • 90. It impacts how communicate
  • 92. How to differentiate Unmet Feature Distinct Upgrade Value Articulated Unarticulated Commodity Taken-For Granted Met
  • 93. ―Because the purpose of business is to create a customer, the business enterprise has two, and only two, basic functions: marketing and innovation‖ Peter Drucker
  • 94. Social media touches both sides of that equation.
  • 98. Concept: Courtesy of Rob Girling, Artefact.com buddy Concept: Courtesy of Jamey Tisdale, a Microsoft Building a Marketing Platform Web Mobile ERP Point of Sale Community Ad Systems
  • 99. Why does this way of thinking add value?
  • 101. Concept: Courtesy of Rob Girling, Artefact.com Desirable Efficient Usable Useful Functional 10 1
  • 102. Concept: Courtesy of Rob Girling, Artefact.com Desirable Efficient Usable Useful Functional 10 2
  • 103. Concept: Courtesy of Rob Girling, Artefact.com Desirable Efficient Usable Useful Functional 10 3
  • 104. Concept: Courtesy of Rob Girling, Artefact.com Desirable Efficient Usable Useful Functional 10 4
  • 105. Concept: Courtesy of Rob Girling, Artefact.com Desirable Efficient Usable Useful Functional 10 5
  • 106. Concept: Courtesy of Rob Girling, Artefact.com 10 6
  • 107. Concept: Courtesy of Rob Girling, Artefact.com 107
  • 108. Concept: Courtesy of Rob Girling, Artefact.com Lovemarks… 1. Pursue radical not incremental innovation 2. Commitment to respect 3. Make it easy 4. Tell the truth 5. Nurture integrity 6. Never pull back on service 7. Deliver great design 8. Talk to Value 9. Deserve trust 10. Never fail the reliability test Source: www.Lovemarks.com – Kevin Roberts Source: Envisioning desirable software in the age of internet fatigue, Robert Girling, Artefact
  • 109.
  • 110.
  • 111.
  • 112.
  • 113.
  • 114.
  • 116.
  • 118. Concept: Courtesy of Rob Girling, Artefact.com …and it’s where Microsoft sees the future Creating Optimizing Growing Audience Reach Touchpoints Design and Development Analytics / Decisions Infrastructure
  • 120. Great thinking is expected…
  • 123. Call to Action • Understand all your channels • Get fuzzy (You’re not just a social media expert, Web designer, marketer, you’re all those things—and a consumer too!) • Get T-Shaped, work with others that complement your specialty • Get heterogeneous, our future is a mix of open and closed, shared and private, being incontrol and knowing when to let go.
  • 124. Where to learn more www.designthinkingdigest.com www.microsoft.com/design www.microsoft.com/expression
  • 125. New platforms to advance our work