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'Electronic
                                                       commerce and the
                                                       promise of a 24-
                                                       hour society'
Dr. Derek Nicoll
     E-commerce and the promise of a 24-hour society      Page 1
     May 8th, 2002
My main research project over the last 10
years:
The role and situating of new technology from
the consumer perspective and experience:
i.e. ‘smart’ products and new communications
systems, shaping and in turn being shaped, by the
routines and practices of people in their everyday life
at work and at leisure



                  E-commerce and the promise of a 24-hour society   Page 2
                  May 8th, 2002
Research and other Projects


Cambridge Interactive Television Trial (1993-1997)
Project Newspad (1995-1997)
Design Council/Edinburgh University Management School ‘Towards
Information Intensive Products’ (1996 - 1999)
24hourworld Ltd. (1999-2001)
ICSTM- NexTV - Developing New Business Models for Interactive
Television (2001-2002)


I-Tv’96 use of web for advertising/booking (1996)
I-Tv News - Online newsletter collaboration with CARAT - (1996-2001)


                        E-commerce and the promise of a 24-hour society   Page 3
                        May 8th, 2002
Beyond technology - business


                               Firms are broadening the range of products
                                                    and services on offer-
Emerging                                                      Outsourcing-
                                         Creating new value propositions-
 business and                                           Strategic alliances-
                                          Becoming virtual organisations-

 organisational                                   Extending global reach-
                                        Desire to get closer to customers-
                                      Customising products and services-
 trends                                Merging, acquiring and demerging-
                                    New competition from new entrants in
                                                      established markets-


               E-commerce and the promise of a 24-hour society   Page 4
               May 8th, 2002
Beyond technology - people

                                           The rise of the „24 Hour society‟ -
Emerging                           Ever wider choice in goods and services-
                                                      People‟s lack of time -
 markets                                          Changing demographics -
                                                               Individualism-
 societal,                                              Ageing populations -
                                                     Emphasis to adapt and
                                                   assimilate ideas quicker-
 cultural and                                 Demand for new experiences-
                                                    Easier access to travel -
 consumer                             Wider exposure to global influences -
                                                    New tastes, new habits-

 trends
              E-commerce and the promise of a 24-hour society   Page 5
              May 8th, 2002
The user-consumer the four
   dimensions Use, who, what, why
                                                              and when
                                                                             Usability - how
Usability and
                                 Technology                                  easy and
usefulness -
                                                                             convenient to
the
                                                                             operate, how
relevance,
                                                                             intrusive, how
benefits,
                                                                             invasive
pleasure and
experience
     Content &                                                      Connectivity
     Services
                                                    Usage - periods,
                                                    frequency, patterns of
                                                    use
                 E-commerce and the promise of a 24-hour society    Page 6
                 May 8th, 2002
Contextual usability -
                                          unpacking the use process


                      USE                                                        USABILITY
            Individual and particular
         situations and circumstances                                     How easy and satisfying the
                     of use                                              product is to access and use –
                                                                           qualities of the technology




               USEFULNESS                                                          USAGE
  How valuable the product is and becomes                                The patterning of use shaped
  relevant to existing and evolving activities                                   by contexts




                       E-commerce and the promise of a 24-hour society              Page 7
                       May 8th, 2002
Contextual usability -
                                          unpacking the use process


                      USE                                                        USABILITY
            Individual and particular
         situations and circumstances                                     How easy and satisfying the
                     of use                                              product is to access and use –
                                                                           qualities of the technology




               USEFULNESS

  relevant to existing and evolving activities




                       E-commerce and the promise of a 24-hour society              Page 8
                       May 8th, 2002
Contextual usability -
                                          unpacking the use process


                      USE                                        resistance      USABILITY
            Individual and particular
         situations and circumstances                                     How easy and satisfying the
                     of use                                              product is to access and use –
                                                                           qualities of the technology




               USEFULNESS
  How valuable the product is and becomes                                The patterning of use shaped
  relevant to existing and evolving activities                                   by contexts




                       E-commerce and the promise of a 24-hour society              Page 9
                       May 8th, 2002
Contextual usability -
                                   unpacking the use process


                 USE                                      resistance      USABILITY
       Individual and particular
    situations and circumstances                                   How easy and satisfying the
                of use                                            product is to access and use –
                                                                    qualities of the technology




                                                                            USAGE
                                                                  The patterning of use shaped
                                                                          by contexts




                E-commerce and the promise of a 24-hour society              Page 10
                May 8th, 2002
Contextual usability -
                                          unpacking the use process


                      USE                                        resistance      USABILITY
            Individual and particular
         situations and circumstances                                     How easy and satisfying the
                     of use                                              product is to access and use –
                                                                           qualities of the technology




               USEFULNESS                                                          USAGE
  How valuable the product is and becomes                                The patterning of use shaped
  relevant to existing and evolving activities                                   by contexts




                       E-commerce and the promise of a 24-hour society              Page 11
                       May 8th, 2002
Contextual usability -
                                       unpacking the use process


                     USE                                      resistance      USABILITY
           Individual and particular
        situations and circumstances                                   How easy and satisfying the
                    of use                                            product is to access and use –
                                                                        qualities of the technology




                                                                                USAGE
               USEFULNESS                                             The patterning of use shaped
  How valuable the product is and becomes
                                                                              by contexts
  relevant to existing and evolving
  activities




                    E-commerce and the promise of a 24-hour society              Page 12
                    May 8th, 2002
Contextual usability -
                                       unpacking the use process


                     USE                                      resistance      USABILITY
           Individual and particular
        situations and circumstances                                   How easy and satisfying the
                    of use                                            product is to access and use –
                                                                        qualities of the technology

                                     User experience

                                                                                USAGE
               USEFULNESS
                                                                      The patterning of use shaped
  How valuable the product is and becomes
                                                                              by contexts
  relevant to existing and evolving
  activities




                    E-commerce and the promise of a 24-hour society              Page 13
                    May 8th, 2002
Considering ‘e’ from
the user perspective


            What continues to be
                the basic value
                      proposition
                  of e-, t-, and m-
                 commerce over
                traditional forms
          of commercial activity?

                 E-commerce and the promise of a 24-hour society   Page 14
                 May 8th, 2002
The promise

    making convenient
      a vast variety of goods, information
      and services                                                        24 Hours
                            Making them                                   everyday
   . . . through             available
    multiple
                                                               . . . from local - and where
    platforms - PC,
    TV, telephone, mobile                                            appropriate - global
    devices, Microwaves? . .                                                sources
    .
                   E-commerce and the promise of a 24-hour society        Page 15
                   May 8th, 2002
*Technology within the rise of the 24-hour society
(Kreitzman BT and First Direct study)

* Users and businesses leveraging the opportunities
of the global 24-hour world via the internet
*An increased interest by technology developers of
users’ everyday routines, tastes, habits and lifestyles
over 24 hour cycles - the search for new uses for
chips



                                E-commerce and the promise of a 24-hour society   Page 16
                                May 8th, 2002
The driving force of any
economy is the allocation and
direction of scarce resources.
In most economies to date the
focus has been on material
goods . . .


          E-commerce and the promise of a 24-hour society   Page 17
          May 8th, 2002
Where this was solely gold,
precious stones, tea, salt or
money . . . Now included is
intangibles such as time:
*That most enduring and pervasive human quality-
unless we‟re bored we never have enough

*Getting and maintaining people‟s attention (eyeballs)


               E-commerce and the promise of a 24-hour society   Page 18
               May 8th, 2002
inform,
                                                                   entertain, buy,
                                                                   sell, advertise,
                                                                           procure,
                                                                supply, connect,
Deliver, develop, from                                             contact, unite,
 the user perspective:                                          affiliate, produce
                                                                and manufacture
 eliciting, emphasising
                                                                  and many other
 and facilitating 24 hour                                                 activities
 opportunities to:                                                        currently
                                                                       practised in
                                                                 some other way,
                                                                       or yet to be
                                                                             known
              E-commerce and the promise of a 24-hour society   Page 19
              May 8th, 2002
There are two basic ways in which to begin
providing for a “24hourworld”
*The business systems approach: To create added value by re-
engineering business processes and supply chains. Innovation here
considers how to automate and streamline procurement, ordering,
manufacturing, supply and distribution. Benefit: Can lead to time and
cost savings for firms and consumers. Problems: system may not meet
he requirements or expectations of future users and partners
*The consumer orientated approach: To endeavor to capture what people
use and do in their everyday lives at home and at work and to bring such
knowledge to bear in the design of new technologies and systems. Done
properly this can lead to more „meaningful‟ „natural‟ (and thus more
successful??) technologies. Benefit: Can lead to new technologies and
services more sympathetic to the needs and requirements of people as
they conduct their everyday lives. Problems: can be difficult to elucidate
implicit user needs and requirements



                      E-commerce and the promise of a 24-hour society   Page 20
                      May 8th, 2002
The problem of learning from the user-consumer
As with many new (radical) innovations there can be a difficulty in
elucidating or even using user needs and requirements to guide
innovation:

Regarding demand for new media:
                                                    NO NEED
                                                    NO USE (Punie, 1999)

A recent survey carried out by Radio Rentals revealed that over 25% of Britons
had not heard of digital TV, 60% had not heard of set top boxes, and 80% did
not know that digital TV will eventually be phased out completely.




                        E-commerce and the promise of a 24-hour society   Page 21
                        May 8th, 2002
-
                    Adventure
                                                Demand for, and supply of,
                      Food -
                      Style -
                                                  different goods, services
                    Sports -                        information etc. across
                         Kids   -                            24hour cycles
                Wellbeing -
                                                                                                               Local, globally or
                    Gardening-
                                                                                                               temporally
                                                                                                               accessible
                        News -
Outside the home 24hours                  Edinburgh                                          Within the home 24hours
                         Cars -

                      Property -
                                                                                      Time            one time
                                                                                                     zone, one
                                                                                                    person, their
         Products/services Axis -
                                                                                                     day, their
         Different products required
         over 24hour cycles                                                                           „24hourworld‟

                                    E-commerce and the promise of a 24-hour society                Page 22
                                    May 8th, 2002
-
            Adventure
                                        Demand for, and supply of,
             Food -
             Style -
                                          different goods, services
            Sports -                        information etc. across
                 Kids   -                            24hour cycles
       Wellbeing -
                                                                                                       Local, globally or
            Gardening-
                                                                                                       temporally
                                                                                                       accessible
                News -
                                                                                     Within the home 24hours
                 Cars -
Frankfurt
             Property -
                                                                              Time            one time
                                                                                             zone, one
                                                                                            person, their
Products/services Axis -
                                                                                             day, their
Different products required
over 24hour cycles                                                                            „24hourworld‟

                            E-commerce and the promise of a 24-hour society                Page 23
                            May 8th, 2002
*Increased technical performance has given rise to and prompted the
development of software which takes advantage and utilizes new
prowess. This creates a momentum which is to varying degrees
independent of any direct business or end-user need (i.e. Sharrock and
Anderson, The user as a scenic feature of the design space and Grudin, . . .
designers are less able to grasp "user logic", tending more to rely on more familiar
and immediate "logics" that are useful in other problem-solving arenas, such as
software or interface design problems.)

*But the future suggests technologies which become „smarter‟ thus
more personal and intimate, this intrinsically drives the need for more
(personal and intimate) knowledge of the prospective user, their
individual differences, their idiosyncrasies. How are they to be
codified and then represented by technical and service function?
*consumer and market research policy is to large extent undeveloped
compared to technology acquisition and implementation




                           E-commerce and the promise of a 24-hour society   Page 24
                           May 8th, 2002
Ongoing research:

—How to assist managers to understand technology from the customer
 experience - its potentials and possibilities to organise, assist,
 surprise and delight important areas - banking, mobile ‘lifestyle’
 technologies, flexible contracts

—Most importantly; realise how human and socio-cultural trends - such
 as the rise of the ‘always-on’ society and the ‘24-hour world’ begin to
 ‘cocoon’ people. They drive new needs independent of and
 dependent upon emerging technology

—Understand potential use value against richer and deeper
 understandings of possible and actual use contexts




                            E-commerce and the promise of a 24-hour society   Page 25
                            May 8th, 2002

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24hourworld2

  • 1. 'Electronic commerce and the promise of a 24- hour society' Dr. Derek Nicoll E-commerce and the promise of a 24-hour society Page 1 May 8th, 2002
  • 2. My main research project over the last 10 years: The role and situating of new technology from the consumer perspective and experience: i.e. ‘smart’ products and new communications systems, shaping and in turn being shaped, by the routines and practices of people in their everyday life at work and at leisure E-commerce and the promise of a 24-hour society Page 2 May 8th, 2002
  • 3. Research and other Projects Cambridge Interactive Television Trial (1993-1997) Project Newspad (1995-1997) Design Council/Edinburgh University Management School ‘Towards Information Intensive Products’ (1996 - 1999) 24hourworld Ltd. (1999-2001) ICSTM- NexTV - Developing New Business Models for Interactive Television (2001-2002) I-Tv’96 use of web for advertising/booking (1996) I-Tv News - Online newsletter collaboration with CARAT - (1996-2001) E-commerce and the promise of a 24-hour society Page 3 May 8th, 2002
  • 4. Beyond technology - business Firms are broadening the range of products and services on offer- Emerging Outsourcing- Creating new value propositions- business and Strategic alliances- Becoming virtual organisations- organisational Extending global reach- Desire to get closer to customers- Customising products and services- trends Merging, acquiring and demerging- New competition from new entrants in established markets- E-commerce and the promise of a 24-hour society Page 4 May 8th, 2002
  • 5. Beyond technology - people The rise of the „24 Hour society‟ - Emerging Ever wider choice in goods and services- People‟s lack of time - markets Changing demographics - Individualism- societal, Ageing populations - Emphasis to adapt and assimilate ideas quicker- cultural and Demand for new experiences- Easier access to travel - consumer Wider exposure to global influences - New tastes, new habits- trends E-commerce and the promise of a 24-hour society Page 5 May 8th, 2002
  • 6. The user-consumer the four dimensions Use, who, what, why and when Usability - how Usability and Technology easy and usefulness - convenient to the operate, how relevance, intrusive, how benefits, invasive pleasure and experience Content & Connectivity Services Usage - periods, frequency, patterns of use E-commerce and the promise of a 24-hour society Page 6 May 8th, 2002
  • 7. Contextual usability - unpacking the use process USE USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USEFULNESS USAGE How valuable the product is and becomes The patterning of use shaped relevant to existing and evolving activities by contexts E-commerce and the promise of a 24-hour society Page 7 May 8th, 2002
  • 8. Contextual usability - unpacking the use process USE USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USEFULNESS relevant to existing and evolving activities E-commerce and the promise of a 24-hour society Page 8 May 8th, 2002
  • 9. Contextual usability - unpacking the use process USE resistance USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USEFULNESS How valuable the product is and becomes The patterning of use shaped relevant to existing and evolving activities by contexts E-commerce and the promise of a 24-hour society Page 9 May 8th, 2002
  • 10. Contextual usability - unpacking the use process USE resistance USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USAGE The patterning of use shaped by contexts E-commerce and the promise of a 24-hour society Page 10 May 8th, 2002
  • 11. Contextual usability - unpacking the use process USE resistance USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USEFULNESS USAGE How valuable the product is and becomes The patterning of use shaped relevant to existing and evolving activities by contexts E-commerce and the promise of a 24-hour society Page 11 May 8th, 2002
  • 12. Contextual usability - unpacking the use process USE resistance USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology USAGE USEFULNESS The patterning of use shaped How valuable the product is and becomes by contexts relevant to existing and evolving activities E-commerce and the promise of a 24-hour society Page 12 May 8th, 2002
  • 13. Contextual usability - unpacking the use process USE resistance USABILITY Individual and particular situations and circumstances How easy and satisfying the of use product is to access and use – qualities of the technology User experience USAGE USEFULNESS The patterning of use shaped How valuable the product is and becomes by contexts relevant to existing and evolving activities E-commerce and the promise of a 24-hour society Page 13 May 8th, 2002
  • 14. Considering ‘e’ from the user perspective What continues to be the basic value proposition of e-, t-, and m- commerce over traditional forms of commercial activity? E-commerce and the promise of a 24-hour society Page 14 May 8th, 2002
  • 15. The promise making convenient a vast variety of goods, information and services 24 Hours Making them everyday . . . through available multiple . . . from local - and where platforms - PC, TV, telephone, mobile appropriate - global devices, Microwaves? . . sources . E-commerce and the promise of a 24-hour society Page 15 May 8th, 2002
  • 16. *Technology within the rise of the 24-hour society (Kreitzman BT and First Direct study) * Users and businesses leveraging the opportunities of the global 24-hour world via the internet *An increased interest by technology developers of users’ everyday routines, tastes, habits and lifestyles over 24 hour cycles - the search for new uses for chips E-commerce and the promise of a 24-hour society Page 16 May 8th, 2002
  • 17. The driving force of any economy is the allocation and direction of scarce resources. In most economies to date the focus has been on material goods . . . E-commerce and the promise of a 24-hour society Page 17 May 8th, 2002
  • 18. Where this was solely gold, precious stones, tea, salt or money . . . Now included is intangibles such as time: *That most enduring and pervasive human quality- unless we‟re bored we never have enough *Getting and maintaining people‟s attention (eyeballs) E-commerce and the promise of a 24-hour society Page 18 May 8th, 2002
  • 19. inform, entertain, buy, sell, advertise, procure, supply, connect, Deliver, develop, from contact, unite, the user perspective: affiliate, produce and manufacture eliciting, emphasising and many other and facilitating 24 hour activities opportunities to: currently practised in some other way, or yet to be known E-commerce and the promise of a 24-hour society Page 19 May 8th, 2002
  • 20. There are two basic ways in which to begin providing for a “24hourworld” *The business systems approach: To create added value by re- engineering business processes and supply chains. Innovation here considers how to automate and streamline procurement, ordering, manufacturing, supply and distribution. Benefit: Can lead to time and cost savings for firms and consumers. Problems: system may not meet he requirements or expectations of future users and partners *The consumer orientated approach: To endeavor to capture what people use and do in their everyday lives at home and at work and to bring such knowledge to bear in the design of new technologies and systems. Done properly this can lead to more „meaningful‟ „natural‟ (and thus more successful??) technologies. Benefit: Can lead to new technologies and services more sympathetic to the needs and requirements of people as they conduct their everyday lives. Problems: can be difficult to elucidate implicit user needs and requirements E-commerce and the promise of a 24-hour society Page 20 May 8th, 2002
  • 21. The problem of learning from the user-consumer As with many new (radical) innovations there can be a difficulty in elucidating or even using user needs and requirements to guide innovation: Regarding demand for new media: NO NEED NO USE (Punie, 1999) A recent survey carried out by Radio Rentals revealed that over 25% of Britons had not heard of digital TV, 60% had not heard of set top boxes, and 80% did not know that digital TV will eventually be phased out completely. E-commerce and the promise of a 24-hour society Page 21 May 8th, 2002
  • 22. - Adventure Demand for, and supply of, Food - Style - different goods, services Sports - information etc. across Kids - 24hour cycles Wellbeing - Local, globally or Gardening- temporally accessible News - Outside the home 24hours Edinburgh Within the home 24hours Cars - Property - Time one time zone, one person, their Products/services Axis - day, their Different products required over 24hour cycles „24hourworld‟ E-commerce and the promise of a 24-hour society Page 22 May 8th, 2002
  • 23. - Adventure Demand for, and supply of, Food - Style - different goods, services Sports - information etc. across Kids - 24hour cycles Wellbeing - Local, globally or Gardening- temporally accessible News - Within the home 24hours Cars - Frankfurt Property - Time one time zone, one person, their Products/services Axis - day, their Different products required over 24hour cycles „24hourworld‟ E-commerce and the promise of a 24-hour society Page 23 May 8th, 2002
  • 24. *Increased technical performance has given rise to and prompted the development of software which takes advantage and utilizes new prowess. This creates a momentum which is to varying degrees independent of any direct business or end-user need (i.e. Sharrock and Anderson, The user as a scenic feature of the design space and Grudin, . . . designers are less able to grasp "user logic", tending more to rely on more familiar and immediate "logics" that are useful in other problem-solving arenas, such as software or interface design problems.) *But the future suggests technologies which become „smarter‟ thus more personal and intimate, this intrinsically drives the need for more (personal and intimate) knowledge of the prospective user, their individual differences, their idiosyncrasies. How are they to be codified and then represented by technical and service function? *consumer and market research policy is to large extent undeveloped compared to technology acquisition and implementation E-commerce and the promise of a 24-hour society Page 24 May 8th, 2002
  • 25. Ongoing research: —How to assist managers to understand technology from the customer experience - its potentials and possibilities to organise, assist, surprise and delight important areas - banking, mobile ‘lifestyle’ technologies, flexible contracts —Most importantly; realise how human and socio-cultural trends - such as the rise of the ‘always-on’ society and the ‘24-hour world’ begin to ‘cocoon’ people. They drive new needs independent of and dependent upon emerging technology —Understand potential use value against richer and deeper understandings of possible and actual use contexts E-commerce and the promise of a 24-hour society Page 25 May 8th, 2002