The document discusses the challenges large companies face in serving connected individuals, highlighting the importance of transparency and customer involvement in innovation. It contrasts small scale operations that engage customers directly with large scale production processes, advocating for a shift in the value chain towards customization and co-creation. The author emphasizes the need for businesses to reevaluate their roles in this evolving landscape and consider whether they are playing a 'small scale game' or a 'large scale game.'

1. Small Scale vs. Large Scale stuck in the middle Raimo van der Klein http://contributionmarketing.wordpress.com

2. The Origin BIG companies have difficulties serving the connected individuals. Transparancy show the real resources/assets of companies(read competitive advantage). Distribution has become a commodity.

3. The Scale Effect The customer connection will be handled by those who know and serve.. Small scale companies(or individuals) are connected and will challenge global players in the “small scale game”. Customer involvement in innovation/production will add value in the chain. Customer side “ small scale game” Production side “ large scale game” A-brands

4. Examples Customer side “ small scale game” Production side “ large scale game” Pimped car FIAT Production Plant P2P distribution Operator Access Unique design Tee Onlineshop Factory Adidas Zissou Adidas Factories/research Recommendations Amazon Distribution User Generated Content MTV Artists A-brands

5. The Value chain shift Low Transparancy High Open platform Product Facilitation User Generated Products Co creation Customization Customer Relationship bus.* Pr oduct innovation and commercialization Businesses* Infrastructure Management Businesses* Crafting Mass Marketing Brands Standardization Retail Pressure on Innovation Open Innovation Pressure on Production Pressure on Attention Contact Facilitation * John Hagel Outsourcing “ Small Scale Game” “ Large Scale Game”

6. Small Scale Game More tools to add value. Navigation Social Marketplaces Recommendations Customization Profiles Comparisons P2P distribution

7. Large Scale Game Value through scale and openness Customization facilitation Materials Research Direct access/contact China Low cost

8. The Middleman(Brands) PRESSURE.. Adidas Zissou case Customer drives: Innovation Recommendations Reputations Marketing Sales “ Small Scale Game” Production facilitates: Co-creation Customization “ Scientific” innovation Open research “ Large Scale Game” Value moves away How to create TRUE value?

9. Deflation of the Brand’s value in the chain.. Refocus on your contribution in the valuechain.. Do you play the SMALL game or the LARGE game?

10. The choices Define clear connected groups Know them better than they know themselves Create a platform to innovate and co-create Make great products(tools) for this small group you know Serve your public “ small scale game” “ large scale game” Facilitate customization Focus on research Open production(wholesale) Be the best or cheapest Scale matters..

11. Some Exceptions..

12. (Vertical) Icons ?

13. Amazon will facilitate a User Generated Products Platform

14. Power2thePeople

15. About Author Raimo van der Klein is a marketing and sales professional who worked previously for several large retailers and has been involved in “Connecting People” for the past 6 years. Raimo worked at Nokia Networks as a Product Marketing Manager and worked for Nokia Mobile phones as a Key Account Manager. Currently he is working as Principal Innovation Manager at KPN in the Netherlands. Responsible for social networks and blogging. Current interests involve: Mobile Marketing, Social Networking, Social sharing, Social Search, RFID, 2D Barcodes, Co-creation, Crowdsourcing, Context awareness, Gadgets, Sustainability, Strategic CSR. For more information contact me at [email_address]