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Digital
Identity and
The New
Consumer
Austin, TX | July 18, 2013
3 #janrainaustin
Welcome & Introductions
Tweet questions or observations to
@reggiewideman with #janrainaustin.
We’ll do our best to incorporate them into
the conversation.
4 #janrainaustin
What’s Digital Identity & the New Consumer?
Digital Identity – “a set of data that
uniquely describes a person or a
thing and contains information about
the subject’s relationships to other
entities.” – Wikipedia
The New Consumer is faced with
embracing their digital identity as a
currency with which they transact
with brands.
5 #janrainaustin
The Mission: Help Me, Help Me.
1. Define the new consumer.
2. Investigate how the new consumer interacts
with brands via their digital identity.
6 #janrainaustin
Digital Identity Manifested As . . .
Social Media Activity
Connected and Wearable Devices
Activity (data) from Digital Services
Distributed Digital Content
7 #janrainaustin
Coca-Cola & the Business of Being Social
• “We didn’t see any statistically
significant relationship between our
buzz and our short term sales.” –
Eric Schmidt, Senior Manager,
Marketing Strategy and Insights,
Coca-Cola
• “social play(s) a crucial role at the
heart of our activations—that
creates marketplace impact,
consumer engagement, brand love
and brand value.” – Wendy Clark,
SVP Marketing, Coca-Cola
8 #janrainaustin
Social Business & Digital Identity
• Where do the social presences of
brands intersect with the digital identities
of consumers?
• Can brands quantify value or is
consumer engagement, brand love and
brand value enough to justify a multi-
channel strategy that includes social?
9 #janrainaustin
Theoretical Points of Intersection
• Location (Geo)
• Time
• Digital Context (Device)
• Platform (Facebook, Tumblr, etc)
Where and when a brand engages with me
should have a lot to do with who I am.
10 #janrainaustin
The Tip of the Spear
• Social activity is the front line of
consumer engagement.
• It’s a critical tool in the marketing tool kit.
• It’s cheap and flexible.
Quantified value? Sure. Okay. Is consumer
social engagement enough? It depends.
11 #janrainaustin
XBOX ONE, Gamers Zero
• XBOX ONE was going to
require a persistent internet
connection and would have
digitally managed the market
for selling or giving away used
games.
• Microsoft reversed this
decision after a severe public
outcry and some trash talking
from Sony at E3.
Game
Developers
Gamer
Strict
DRM
v
12 #janrainaustin
What do I own and why do I want to?
Humanity is experiencing
an evolution in
consciousness. We are
starting to think
differently about what it
means to "own"
something. – Josh Allan
Dykstra, Fast Company
13 #janrainaustin
Disruptive Business Models Give Consumers Power
These services change how consumers
relate to products and consumption.
14 #janrainaustin
F@#king Millennials!
79 million millennials in the US with a purchasing power of
170 billion. They Spend 82% of their income. They don’t
want to own anything.
15 #janrainaustin
I Fought the Law and I Won!
• Social activity caused MS to change their
business model for Xbox One (and
apologize!).
• Rappers get famous from mix tapes before
they ever get signed.
• Social buzz & Kickstarter green lit a
Veronica Mars movie.
• The New Consumer owns the Go To
Market Strategy.
16 #janrainaustin
A Comic Approach
“And so why not take a swing at some good publicity,
especially in the afterglow of the nerd DRM apocalypse
of the Xbox One.”
– Kyle Wagner, Gizmodo
17 #janrainaustin
Manufacturing Digital Experience
• Netflix, House of Cards and the Manufacturing of a
successful consumer experience
• Because of consumer data, Netflix can now answer
the question of whether a show will be a hit.
18 #janrainaustin
Big Hits Via Big Data
• House of Cards is the most
streamed content on Netflix in the
US & around the world.
• The show was green lit by Netflix
based on a big data Venn Diagram
of popular content (i.e. Kevin
Spacey, Fincher’s films and the
original British House of Cards
mini-series).
• Multiple trailers were shot to
promote the series and the one a
viewer saw was based upon their
viewing habits.
19 #janrainaustin
But Data Isn’t the Only Factor
• A revitalized Arrested Development and
new series Hemlock Grove, greenlit by
the same data model, were less
successful.
• “Data can only tell you what people have
liked before, not what they don’t know
they are going to like in the future.” –
John Landgraf, President & GM, FX
Networks
20 #janrainaustin
Warning: Philosophizing!
If one day every individual’s
content will be defined by
their previous interests, will
we lose the sense of artistic
discovery that’s essential to
the human experience?
Could brands paint
themselves into a corner
with respect to whom they
think their customers are?
21 #janrainaustin
Considerations for the New Consumer
How open
should I be with
my data?
22 #janrainaustin
Be Safe Out There Kids.
• Take a thoughtful approach to your
relationship with brands.
• Use your social currency to influence
brands.
• Enjoy the transparency: this is new.
23 #janrainaustin
What’s Next?
• Tomorrow: Real-Real Time Marketing by
geo, interests and purchase history.
• Next Year: Influencer driven marketing,
interest-based cross-selling, .
• Next Gen: Real time consumer driven
supply chain management.
24 #janrainaustin
Questions from the Twittersphere
Tweet questions or observations to
@reggiewideman with #janrainaustin.
25 #janrainaustin
Thank You!
We’d Love to Hear From You:
Stacy Gomez, Senior Account Executive
stacy@janrain.com, @sgomezmerized
Reggie Wideman, Digital Strategist
reggie@janrain.com, @reggiewideman

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Janrain's Digital Identity Presentation: Austin, TX, July 16, 2013

  • 3. 2 #janrainaustin Digital Identity and The New Consumer Austin, TX | July 18, 2013
  • 4. 3 #janrainaustin Welcome & Introductions Tweet questions or observations to @reggiewideman with #janrainaustin. We’ll do our best to incorporate them into the conversation.
  • 5. 4 #janrainaustin What’s Digital Identity & the New Consumer? Digital Identity – “a set of data that uniquely describes a person or a thing and contains information about the subject’s relationships to other entities.” – Wikipedia The New Consumer is faced with embracing their digital identity as a currency with which they transact with brands.
  • 6. 5 #janrainaustin The Mission: Help Me, Help Me. 1. Define the new consumer. 2. Investigate how the new consumer interacts with brands via their digital identity.
  • 7. 6 #janrainaustin Digital Identity Manifested As . . . Social Media Activity Connected and Wearable Devices Activity (data) from Digital Services Distributed Digital Content
  • 8. 7 #janrainaustin Coca-Cola & the Business of Being Social • “We didn’t see any statistically significant relationship between our buzz and our short term sales.” – Eric Schmidt, Senior Manager, Marketing Strategy and Insights, Coca-Cola • “social play(s) a crucial role at the heart of our activations—that creates marketplace impact, consumer engagement, brand love and brand value.” – Wendy Clark, SVP Marketing, Coca-Cola
  • 9. 8 #janrainaustin Social Business & Digital Identity • Where do the social presences of brands intersect with the digital identities of consumers? • Can brands quantify value or is consumer engagement, brand love and brand value enough to justify a multi- channel strategy that includes social?
  • 10. 9 #janrainaustin Theoretical Points of Intersection • Location (Geo) • Time • Digital Context (Device) • Platform (Facebook, Tumblr, etc) Where and when a brand engages with me should have a lot to do with who I am.
  • 11. 10 #janrainaustin The Tip of the Spear • Social activity is the front line of consumer engagement. • It’s a critical tool in the marketing tool kit. • It’s cheap and flexible. Quantified value? Sure. Okay. Is consumer social engagement enough? It depends.
  • 12. 11 #janrainaustin XBOX ONE, Gamers Zero • XBOX ONE was going to require a persistent internet connection and would have digitally managed the market for selling or giving away used games. • Microsoft reversed this decision after a severe public outcry and some trash talking from Sony at E3. Game Developers Gamer Strict DRM v
  • 13. 12 #janrainaustin What do I own and why do I want to? Humanity is experiencing an evolution in consciousness. We are starting to think differently about what it means to "own" something. – Josh Allan Dykstra, Fast Company
  • 14. 13 #janrainaustin Disruptive Business Models Give Consumers Power These services change how consumers relate to products and consumption.
  • 15. 14 #janrainaustin F@#king Millennials! 79 million millennials in the US with a purchasing power of 170 billion. They Spend 82% of their income. They don’t want to own anything.
  • 16. 15 #janrainaustin I Fought the Law and I Won! • Social activity caused MS to change their business model for Xbox One (and apologize!). • Rappers get famous from mix tapes before they ever get signed. • Social buzz & Kickstarter green lit a Veronica Mars movie. • The New Consumer owns the Go To Market Strategy.
  • 17. 16 #janrainaustin A Comic Approach “And so why not take a swing at some good publicity, especially in the afterglow of the nerd DRM apocalypse of the Xbox One.” – Kyle Wagner, Gizmodo
  • 18. 17 #janrainaustin Manufacturing Digital Experience • Netflix, House of Cards and the Manufacturing of a successful consumer experience • Because of consumer data, Netflix can now answer the question of whether a show will be a hit.
  • 19. 18 #janrainaustin Big Hits Via Big Data • House of Cards is the most streamed content on Netflix in the US & around the world. • The show was green lit by Netflix based on a big data Venn Diagram of popular content (i.e. Kevin Spacey, Fincher’s films and the original British House of Cards mini-series). • Multiple trailers were shot to promote the series and the one a viewer saw was based upon their viewing habits.
  • 20. 19 #janrainaustin But Data Isn’t the Only Factor • A revitalized Arrested Development and new series Hemlock Grove, greenlit by the same data model, were less successful. • “Data can only tell you what people have liked before, not what they don’t know they are going to like in the future.” – John Landgraf, President & GM, FX Networks
  • 21. 20 #janrainaustin Warning: Philosophizing! If one day every individual’s content will be defined by their previous interests, will we lose the sense of artistic discovery that’s essential to the human experience? Could brands paint themselves into a corner with respect to whom they think their customers are?
  • 22. 21 #janrainaustin Considerations for the New Consumer How open should I be with my data?
  • 23. 22 #janrainaustin Be Safe Out There Kids. • Take a thoughtful approach to your relationship with brands. • Use your social currency to influence brands. • Enjoy the transparency: this is new.
  • 24. 23 #janrainaustin What’s Next? • Tomorrow: Real-Real Time Marketing by geo, interests and purchase history. • Next Year: Influencer driven marketing, interest-based cross-selling, . • Next Gen: Real time consumer driven supply chain management.
  • 25. 24 #janrainaustin Questions from the Twittersphere Tweet questions or observations to @reggiewideman with #janrainaustin.
  • 26. 25 #janrainaustin Thank You! We’d Love to Hear From You: Stacy Gomez, Senior Account Executive stacy@janrain.com, @sgomezmerized Reggie Wideman, Digital Strategist reggie@janrain.com, @reggiewideman

Editor's Notes

  1. We’re very fortunate to work with so many leading brands out there across multiple industries such as media, entertainment, retail and consumer brands. Companies like Coca-Cola, Samsung, MTV, NPR, Universal Music Group, Sears and Dr. Pepper Snapple Group have all vetted and ultimately chosen to partner with us.
  2. The New Consumer is faced with embracing their digital identity as a currency with which they transact with brands. The maturation of distributed devices and digital identities, including social and other online identities, has created an unprecedented opportunity for targeted value-based interactivity. We will ask the question: What do these interactions or transactions look like and how are brands and consumers using this new “channel” to influence the other? This breakfast event will cover recent examples of digital identity in the consumer marketplace and the new customer experiences that have arisen as a result of this sea change - from distributed devices and content to personalization of the product development cycle and new sources of use and consumer data. 
  3. Chasm between capability and execution.The points of intersection are as important to who I am as a consumer as my online activity.
  4. Talk about comparative models (iOS & Google Play – Licensed content that can be removed from the App Store without user consent.Millenialbehavoir– Steam – The grandfather of on demand PC gaming.Casino Video Lottery – The great grandfather of digital identity management in gaming.)Samsung and Jay-Z, Magna Carta Holy Grail – Not available digitally on Amazon, Deluxe version with extra tracks not available on iTunes.
  5. From The Atlantic http://www.theatlantic.com/business/archive/2012/03/why-young-americans-arent-buying-cars-anymore/255001/79M millennials in the US with a purchasing power of 170 billion per year according to Comscore. Millennials spend on average 82% of their income according to Nielsen. http://www.factbrowser.com/facts/12829/,
  6. Childish Gambino, Drake, Nikki Minaj.Bill McComb, CEO of Fifth & Pacific (owns brands like Juicy Couture, Kate Spade & Jack Spade and Lucky) published an article last week claiming that the consumer is the new CMO and that brands should consider them their boss. http://www.linkedin.com/today/post/article/20130711175740-265633822-the-consumer-is-the-new-cmo
  7. http://www.nytimes.com/2013/02/25/business/media/for-house-of-cards-using-big-data-to-guarantee-its-popularity.html?pagewanted=all, http://www.salon.com/2013/02/01/how_netflix_is_turning_viewers_into_puppets/, http://www.fastcodesign.com/1671893/the-secret-sauce-behind-netflixs-hit-house-of-cards-big-data, http://news.techworld.com/applications/3437514/netflix-foretells-house-of-cards-success-with-cassandra-big-data-engine/