World Innovation Forum 2010 at New York City, Presentation by ex-Chief Scientist, Andreas Weigend on Social Data Revolution

1. Andreas Weigend @aweigend www.weigend.com

3. Who creates data? Production: Data is digital air How will this data be shared? Distribution: Everyone is a publisher What will this data be used for? Consumption: Behavior changes

4. A Shift in Language Share Distribute Interpret Empower Collect Solicit Mine Segment

5. Technologies Enabling Innovation 1800’s: Transport energy  Industrial Revolution 1900’s: Transport data  Information Revolution 2000’s: Create data  Social Data Revolution

6. In the last sixty seconds…

7. us.hsmglobal.com/contenidos/… bit.ly/WIF2010

8. Waves of Innovation 1990’s: Search  find 2000’s: Social  share 2010’s: Mobile  create  Social Data Revolution

9. Social Data Revolution How the Changes (Almost) Everything

10. Agenda

11. ConnectingComputers

12. ConnectingPages

13. ConnectingPeople

14. Underlying?

15. Data The amount of data each person creates doubles every 1.5 … 2 years 2x time?

16. Data The amount of data each person creates doubles every 1.5 … 2 years □ after five years  x 10 □ after ten years  x 100 □ after twenty years  x 10000

18. Since then… + Computation + Communication + Sensing

19. 1 billion connected sensors

20. 40 billion RFID tags

23. Pay-as-you-drive car insurance (GPS)

24. Monitors your excercise and sleep

25. 99% DNAoverlap

26. Time Scales Data, Technology: ~1year Social Norms: ~10 years Biology: ~100k yrs

27. Agenda

28. C2B Part I:

29. +1 800-4-SCHWAB

31. You knew all of their friends

32. You knew their secret desires... what would you do?

33. Amazon.com helps people make decisions… …based on reviews

34. Customers whoboughtthis item alsobought…

35. Customers whoviewedthis item alsoviewed…

36. Customers whoviewedthis item ultimately bought…

37. Social proof: Put your money where your mouth is

38. How do you know peoples’ secret desires? World Innovation Forum

41. 1.35% Adoptionrate 4.8x 0.28% Connection data Traditionalsegmentation

42. Business Customers

43. C2C = Customer-to-Customer Customers share with each other

44. C2C Part II:

45. Amazon.com Share the Love

46. Result:Amazingconversion rates since customer chooses Content (the item) Context (she just bought that item) Connection(she asked Amazon to email her friend) Conversation(information as excuse for communication)

47. Purpose of communication:to transmit information? Or is information justan excuse for communication?

48. What do my friends think of this product?

49. Social graph targeting Provide list of prospects

50. Fraud reduction Provide risk scores

51. Social network intelligence

52. C2W Part III:

53. Amazon.com: Public sharing of interests

54. Add on-line features to off-line products…

55. Consumers- Engage- Share- Connect 3 times per week

56. “We are not in the business of keeping the media companies alive.” Trevor EdwardsNike Corporate Vice President forBrand and Category Management “We are in the business of connecting with consumers.” Q: Or rather in the business of facilitating consumers to connect with each other?

58. Create tweets

61. Insights Part IV:

62. Customer Product Brand

63. From controlled production for the masses… … to uncontrolled production by the masses

66. Consumers discussing ideas

67. Consumers helping consumers

70. Corner / Oversized Rooms: Rooms Ending in: 04 Oversized, Corner Room, Quiet Room 24 Oversized, Corner Room with North Times Square Views (Higher Floors are Preferred Rooms to Avoid: Rooms Ending in: 01, 21 Possible Ice Machine / Elevator Noise 08, 17 Limited View Rooms

71. Group buying… “get a better deal”

72. E  Me  We-business From e-business… (company focus, Web 1.0) …to me-business (customer focus , Web 2.0) …to we-business (community focus , Web 3.0)

73. Innovation Dead data  Live data Collect and analyze  Create, share, experiment Internal  External “Most smart people don’t work here.” Bill Joy

74. Questions Part V:

75. Audience Question 1 Do you have any advice on how we can be authentic in the era of Social Data? For companies with limited resources, what are the costs of some of the suggestions you mentioned in the talk?

76. Audience Question 2 What is the most important ingredient for a successful innovation strategy? Do you have any specific suggestion for traditional companies: how can we learn more about the culture change of the Social Data Revolution?

77. Thank you! @aweigend Andreas Weigend | www.weigend.com