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cocreation desk

  1. 1. ENTERING THE WORLD OF CONSUMER CO-CREATION Desk research, April 2007
  2. 2. The flow:- <ul><li>Web 2.0 and user generated content </li></ul><ul><li>Innovation: from traditional model to innovation in the network economy </li></ul><ul><li>P&G: a case study </li></ul><ul><li>Crowd-sourcing and cocreation: examples and common themes </li></ul><ul><li>Communities of creation: “do’s and don’ts”, requirements and research questions </li></ul>
  3. 3. The Internet is changing & it is changing the world <ul><li>Growing BROADBAND distribution is driving the change </li></ul><ul><li>1 BILLION active citizens </li></ul><ul><li>Quantum leap in FUNCTIONALITY and USABILITY </li></ul><ul><ul><li>the result is a shift from the culture of hits to culture of niches - the “Long Tail”, described by Chris Anderson </li></ul></ul><ul><ul><ul><li>3 forces are working for the long tail, away from the “hits”: </li></ul></ul></ul><ul><ul><ul><ul><li>1 – Democratize the Tools of Production (e.g. personal computer becoming a small publishing house) </li></ul></ul></ul></ul><ul><ul><ul><ul><li>2 – Democratize Tools of Distribution (I-Tunes, Amazon) </li></ul></ul></ul></ul><ul><ul><ul><ul><li>3 – Connect Supply and Demands (filters: search engines, blogs, recommendations) </li></ul></ul></ul></ul>
  4. 4. <ul><li>PROFESSIONAL CONTENT CREATORS </li></ul><ul><li>*professional broadcasts </li></ul><ul><li>(news, entertainment, sport) </li></ul><ul><li>SEMI-PROFESSIONALS </li></ul><ul><li>*regional/local broadcasting </li></ul><ul><li>*home video shows and video-diaries </li></ul><ul><li>END USERS & EVERYBODY </li></ul><ul><li>*photo/music sharing </li></ul><ul><li>*blogging </li></ul><ul><li>*co-creating content </li></ul>One to Many One to a Few Everybody to a Few Based on> Georg Trogemann, Academy of Media Arts Cologne The forces of the Long Tail transforms the user into a content creator, blurring the border between creators and between audience and actors
  5. 5. Editorial/Commerce <ul><li>News, magazines www.salon.com news.bbc.co.uk </li></ul><ul><li>Topic specific information sites </li></ul><ul><li>E-commerce amazon.co.uk </li></ul>Prompted <ul><li>Quizzes/Polls/ Questionnaires/ Personality tests www.tickle.com </li></ul><ul><li>Chat </li></ul><ul><li>Bulletin boards (user-to-user) </li></ul>User Generated <ul><li>Blogs </li></ul><ul><li>Online communities topic specific www.basenotes.net www.imdb.com or connection specific www.myspace.com </li></ul><ul><li>Personal websites </li></ul><ul><li>Shared content flikr.com youtube.com </li></ul><ul><li>wikipedia </li></ul>Active “ Static” Interactive User generated and professionally generated content co-exists and overlaps on the Internet
  6. 6. News, magazines Points of available user connection CONTENT GENERATED BY EDITORIAL/COMMERCE : Salon.com & Amazon as example of the most successful sites. Why? People need and seek information and products on the Internet and rely on what other people see/think/experience about information and products. Online information resources E-commerce Rating Reviews Comments Viral sharing Tags Recommendations Messaging Profiles Editorial/Commerce “ Static”
  7. 7. Blogs Points of available user connection USER GENERATED CONTENT : Flickr , youtube and mySpace being the most successful, i.e. those with the most points of available connections between users and the most interesting/fun/provocative content. Topic-specific communities Connection-specific communities Shared content sites Rating Reviews Comments Viral sharing Tags Recommendations Messaging Profiles User Generated Active
  8. 8. USER GENERATED CONTENT : Flickr , youtube,mySpace, Wikipedia - and their road to success
  9. 10. USER GENERATED CONTENT & user generated research: www.grupthink.com : users generate their own questions & surveys
  10. 11. Traditional Innovation Management Innovation in the Network Economy <ul><li>Innovation is governed through a hierarchical mechanism </li></ul><ul><li>Manufacturer organizes innovation as close, autonomous system </li></ul><ul><li>Manufacturer retain full control of the innovation process </li></ul><ul><li>Manufacturer retains intellectual property rights over innovation </li></ul><ul><li>Convergence of industries and blurring of boundaries </li></ul><ul><ul><li>Increasing diversity of knowledge base </li></ul></ul><ul><li>Focus on core competencies </li></ul><ul><ul><li>Increasing need for partnering and collaboration </li></ul></ul><ul><li>Emergent nature of innovation and markets </li></ul><ul><ul><li>Increasing need for adaptability and speed </li></ul></ul><ul><li>Deep connectivity with partners and customers </li></ul><ul><ul><li>Increased ability to co-develop and co-create </li></ul></ul><ul><li>Innovation over innovation </li></ul>CROWDSOURCING & INNOVATION THROUGH COCREATION : from traditional innovation management to innovation in the network economy
  11. 13. Mohan Sawhney, Kellog Graduate School of Management
  12. 14. Mohan Sawhney, Kellog Graduate School of Management
  13. 16. P&G: CONNECT AND DEVELOP PROGRAM - P&G is getting ahead of the game in the area of open innovation & cocreation -2004: the 1st co-created (with companies) product: Magic Eraser Duo P&G : case study – CONNECT AND DEVELOP PROGRAM, at the “edge of chaos”
  14. 17. P&G: Case study: Tremor panels and Vocal point. <ul><li>- P&G is inviting the consumers to co-create, while offering access to new products, music etc. </li></ul><ul><li>More than co-creation, this is WOM marketing on a mass scale… </li></ul><ul><li>P&G is identifying people according to their potential to reach and influence other people (i.e. Connectors and Mavens according to Malcolm Gladwell definition) </li></ul>
  15. 18. User Generated Active Editorial/Commerce “ Static” Prompted Interactive Points of available user connection Rating Reviews Comments Viral sharing Tags Recommendations Messaging Profiles P&G initiative in terms of user generated content. P&G created Capessa to learn more about the interests and products needs of woemn. Capessa will also enable P&G to better understand digital space. The site is a mixture of user generated and editorial content. <ul><li>Bulletin board </li></ul><ul><li>Site 1-2-1 messaging </li></ul><ul><li>Site profiles </li></ul><ul><li>Chat </li></ul><ul><li>Polls </li></ul><ul><li>Online “community”: e.g. w direct user interaction </li></ul><ul><li>Personal blogging for all users </li></ul><ul><li>Posting – sharing personal questions and thoughts and stories as well as videos, photos and links. </li></ul><ul><li>Personal profiles </li></ul><ul><li>Features (both user & editor generated) </li></ul><ul><li>>> Photos </li></ul><ul><li>>> Videos & Files </li></ul><ul><li>Searchable tags </li></ul><ul><li>Media files </li></ul><ul><li>>> Photos </li></ul><ul><li>>> Videos & Files </li></ul>P&G: Case study:- Capessa ( http:// health.yahoo.com/capessa / )
  16. 19. IBM InnovationJam : working with IBMers, their clients and family members from 160 countries
  17. 20. Philips Design : us ing it’s presence in Second Life to gain feedback on innovation concepts, engage residents in co-creation and gain a deeper understanding of potential opportunities in this virtual environment.
  18. 21. Dell’s Idea Storm , “Where Your Ideas Reign”. Users can submit ideas and feedback and other Dell community members can vote on them. The top idea: Pre-Installed Linux | Ubuntu | Fedora | OpenSUSE | Multi-Boot
  19. 22. Cisco Systems : An interactive community that allows customers, parteners and prospects the opportunity to exchange information on networking topics with peers and Cisco experts. <ul><li>Benefits: </li></ul><ul><li>Allow Cisco to continuously capture feedback, used to anticipate and build next generation of products and solutionjs </li></ul><ul><li>Gain information on networking trends, which is used in marketing, sales, engineering </li></ul><ul><li>Grow customer and partner loyalty </li></ul>
  20. 23. <ul><li>3 key themes for Lego consumer community : </li></ul><ul><ul><li>Feedback </li></ul></ul><ul><ul><li>Recommendations </li></ul></ul><ul><ul><li>Innovation/Co-creation </li></ul></ul>LEGO: lesson in consumer intimacy – leading to cocreation - Lego Mindstorms is a line of Lego sets combining programmable bricks with electric motors , sensors .Lego Mindstorms may be used to build a model of an embedded system with computer-controlled electromechanical parts. Many kinds of real-life embedded systems, from elevator controllers to industrial robots , may be modelled using Mindstorms. There is a strong community of professionals and hobbyists of all ages involved in the sharing of designs, programming techniques, and other ideas associated with Lego Mindstorms. (Wikipedia)
  21. 24. Concept share : allows designers to capture feedback in fast and interactive way & speed up the process of innovation. The users are provided with a platform for collaboration and cocreation.
  22. 25. My Penguin : book covers created by readers
  23. 26. CrowdSpirit: Crowdsourcing for electronic products Submit an idea – Vote on it – Earn Money if idea goes to market
  24. 27. Cambrian House ( www.cambrianhouse.com ) : allows members to submit ideas that could succeed on the Internet, then vote for their favourites. Users are also awarded Royalty Points for their contributions: if a product is launched commercially and starts making money, the user-creator will earn part of it.
  25. 28. <ul><li>TBWA London ( www. thebigwhatadventure.com ) </li></ul><ul><li>Cocreation and advertising:-users/participants can create and submit ideas as a response to creative briefs </li></ul><ul><li>once submitted TBWA will own the ideas but will reward people for them (either money or possibility of a career) </li></ul>
  26. 29. Communities of creation: “do’s and don’ts” <ul><li>Balance order & disorder </li></ul><ul><li>Understand what is consumers’ perception of value </li></ul><ul><li>Interact frequently; be open and honest </li></ul><ul><li>Sound like yourself and admit mistakes </li></ul><ul><li>Encourage conversation amongst consumers </li></ul><ul><li>Find your advocates and invite them inside </li></ul><ul><li>Formalize what can be formalize </li></ul><ul><li>Participate: you get what you give </li></ul><ul><li>Inspire, don’t manage your community </li></ul><ul><li>Don’t sell; show passion and share passion </li></ul><ul><li>It is ok to say “I don’t know&quot; </li></ul>Constantly feeding and renewing the creative tension that defines innovation at the “edge of chaos”
  27. 30. Community of Creation: Requirements <ul><li>a common interest </li></ul><ul><li>a sense of belonging </li></ul><ul><li>an explicit economic purpose </li></ul><ul><li>a sponsor </li></ul><ul><li>a shared language </li></ul><ul><li>ground rules for participation </li></ul><ul><li>a mechanism to manage intellectual property rights </li></ul><ul><li>physical support of the sponsor </li></ul><ul><li>co-operation as a key success factor </li></ul><ul><li>a setting in which ideas and prototypes can be tested </li></ul>
  28. 31. Communities of Creation - Research questions: <ul><li>What level of control should the sponsor firm/manufacturer maintain? </li></ul><ul><li>What are the roles and responsibilities of the sponsor firm? </li></ul><ul><li>What are the criteria for selecting the members? </li></ul><ul><li>Can individual contributions be rewarded? </li></ul><ul><li>How should intellectual property be managed? </li></ul><ul><li>How should the community be allowed to evolve? </li></ul><ul><li>What incentive promote long term member involvement? </li></ul>

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