Slides from a presentation that I gave at the CO-OP THINK 2014 conference in New Orleans, an annual gathering of leadership from Credit Unions. Had a different talk prepared, and then rewrote in the morning of the presentation to focus on what I heard in the presentations the previous afternoon. Won't make full sense without the actual voiceover, but the basic proposal was that new business opportunities emerge from taking a broader view of what business you're actually in; from figuring out how to listen to what potential customers want and provide it; and from focusing on what EXPERIENCE you want to provide for your customers, rather than what MESSAGE you want to express to them. In that context, I talked a little bit about the Veronica Mars Kickstarter campaign, and the real secret to its success: it provided a chance for fans to be heard, and empowered a niche audience to get what it wanted, even though it didn't fit within the existing business model of the television business.

1. reTHiNKing
BUSINESS
MODELS
@ivanovitch
Ivan Askwith
linkedin.com/in/ivanaskwith

2. (wait, who is this guy?)
introductions.
@ivanovitch

3. independent
consultant & producer
@ivanovitch

4. @ivanovitch

5. graduate work at mit
…on pop culture & fandom.
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6. @ivanovitch

7. three
biases
1. Fans and communities matter.
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8. three
biases
1. Fans and communities matter.
2. Marketing isn’t about messaging.
@ivanovitch

9. three
biases
1. Fans and communities matter.
2. Marketing isn’t about messaging.
3. Technologies change. People don’t.
@ivanovitch

10. examining
business models
@ivanovitch

11. “How do we get consumers to understand CUs?”
“How do we get them to listen to us?”
“How do we get them to appreciate what we do?”
@ivanovitch

12. “How do we get consumers to understand CUs?”
“How do we get them to listen to us?”
“How do we get them to appreciate what we do?”
“What do CONSUMERS want and need?”
“What would THEY find most meaningful?”
“How, or why, ARE WE FAILING to provide it?”
@ivanovitch

13. It’s not about you.
It’s about them.
@ivanovitch

14. examining
business models
@ivanovitch

15. @ivanovitch

16. @ivanovitch

17. @ivanovitch

18. Not railroads.
Transportation.
Not petroleum.
Energy.
Not DVDs.
Entertainment.
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19. Businesses will do better in the
end if they concentrate on
meeting customers’ needs,
rather than on selling products.
- Theodore Levitt, 1960
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20. What business
do you think you’re in?
What do your customers
actually want and need?
What business
do consumers think you’re in?
What opportunities emerge
from giving them what they want?
@ivanovitch

21. @ivanovitch

22. one more
challenge.
what if no one
actually wants to
talk to you?
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23. @ivanovitch

24. the
television
business
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25. Television still thinks that
it is in the business of
BROADCASTING
CONTENT
in order to
so that it can
BUILD HUGE
AUDIENCES
MAKE $$$ FROM
ADVERTISERS.
@ivanovitch

26. an interesting
pattern
1. Networks focus on content for the
Lowest Common Denominator.
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27. an interesting
pattern
1. Networks focus on content for the
Lowest Common Denominator.
2. The shows that inspire the most devotion
are often the first to get canceled.
@ivanovitch

28. an interesting
pattern
1. Networks focus on content for the
Lowest Common Denominator.
2. The shows that inspire the most devotion
are often the first to get canceled.
3. Fans of these “cult hits” have no recourse
except to protest the networks.
@ivanovitch

29. the traditional television
business model offers viewers a
take-it-or-leave-it
proposition.
@ivanovitch

30. wait! let’s talk
semantics.
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31. fanatics.
cults.
@ivanovitch

32. customer
n. a person or organization that buys
goods or services from a store or business.
fan
n. an enthusiastic devotee, follower, or
admirer of a sport, pastime, celebrity, etc.
@ivanovitch

33. community
n. a group sharing common characteristics or
interests, perceived, or perceiving itself, as distinct
from the larger society within which it exists.
cult
n. a group or sect bound together by
commitment to the same thing, person, or ideal.
@ivanovitch

34. fans
networks
vs
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35. they fight for it.
When fans love something,
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36. pre-internet

37. internet

38. @ivanovitch

39. @ivanovitch

40. an in-depth example

41. @ivanovitch

42. @ivanovitch

46. didn’t pay the rent.
Passion was great, but it
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47. didn’t pay the rent.
Passion was great, but it
But why not?
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49. @ivanovitch

50. “…But NBC executives made clear on Tuesday
that the renewal came about mainly
because of an advertising partnership
that was suggested to Ben Silverman, a
chairman of NBC Entertainment, by
Subway executives, who were enthused
about the special marketing opportunities the
show afforded the company…”
@ivanovitch

51. @ivanovitch

52. Q: If Castle had its series finale
tomorrow and Fox said to you and
Joss: “We screwed up, let’s try doing
Firefly again.” Would you do it?
A: Yes. Yes. I would examine very closely
Fox’s reasoning — I’m a little gun-shy.
If I got $300 million from the California
Lottery, the first thing I would do is buy
the rights to Firefly, make it on my own,
and distribute it on the Internet.
@ivanovitch

53. @ivanovitch

54. contributed more than
$1 Million.
12,000 fans
No one even
had to ask.
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55. “Shut up and take my money!”

56. hasn’t changed.
yet the core business model
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57. @ivanovitch

58. @ivanovitch

60. Why not let fans influence
what gets made?
@ivanovitch

61. 2005
2013
“You’re an idiot.”
- 2005
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62. 2005
2013
“You’re an idiot.”
- 2005
“No, wait. Come back.”
- 2013
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63. @ivanovitch

64. @ivanovitch

65. @ivanovitch

66. • Propose an idea.
• Set a minimum fundraising goal.
• Set a fundraising deadline.
• No financial ROI.
• Offer other incentives.
• It’s all or nothing.
How it works.
@ivanovitch

67. We had one month to get
$2,000,000.
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68. We had one month to get
$2,000,000.
It took less than
ten hours.
@ivanovitch

73. Has‘VeronicaMars’hintedatthevalue
ofservingnicheaudiences?
Has‘VeronicaMars’suggestedthe
valueofcreator/fanrelationships?
Has‘VeronicaMars’revealedthatfans
aretiredofbeingignoredbynetworks?
@ivanovitch

74. case study.
the rest of the
@ivanovitch

75. Don’t just deliver a movie.
Create a year-long experience.
Don’t just keep the promise.
Overdeliver on it.
Don’t just market to fans.
Build a lasting relationship.
@ivanovitch

77. @ivanovitch

79. @ivanovitch

80. @ivanovitch

81. @ivanovitch

82. @ivanovitch

83. @ivanovitch

84. @ivanovitch

85. interesting
a few
results.
@ivanovitch

86. RESULT 1
creator/fan relationship.
We saw the value of a direct
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87. “This is the best money I’ve ever spent.”
“The movie was great, but this experience has
been even better. I feel so involved.”
“Can we do the next movie on Kickstarter too?”
“I’ll give 10 times as much next time!”
“This isn’t the studio’s movie, it’s ours.”
“I’m getting everyone I know to go see it.”
@ivanovitch

88. @ivanovitch

89. “Whatever anyone involved
does, for the rest of your careers:
I’ll be behind you.”
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90. @ivanovitch

92. RESULT 2
focusing on our fans.
We were praised and criticized
for the same exact thing:
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93. @ivanovitch

94. “Veronica Mars is far less interesting
(except, probably, to its fans) as a movie
than as a potential model for financing
the kind of smaller films that
major Hollywood studios aren’t
much interested in making anymore.”
@ivanovitch

95. 1. Always consider what business you’re actually in.
2. There’s value in serving small, devoted communities.
3. Treat people like partners, not customers.
4. Focus on the relationship. Loyalty will follow.
5. What you’re selling isn’t what you’re selling.
Your brand isn’t your product, but what it means.
@ivanovitch
relevant
a few
lessons.

96. @ivanovitch
1. Could a credit union develop a cult following?
2. How do you turn your customers and members
into fans and collaborators?
3. Where are the national banks failing, and not
interested enough to fix the problems?
final
a few
questions.

97. Thanks!
@ivanovitch
Ivan Askwith
linkedin.com/in/ivanaskwith