February 27, 2008 |
John Gallant, Network World, Inc. – Digging in Deep with Customers
|
|
Digging in Deep with Customers One of my favorite ways to spend a free moment is reading about military history or watching documentaries about the pivotal battles and campaigns of the past. I’m fascinated by stories of great leaders and armies who turned the tide at critical moments – like Col. Joshua Chamberlain of Maine whose defense of Little Round Top ensured a Union victory at Gettysburg, or the Navy dive-bomber pilots who – nearly out of fuel – tracked down and sunk four Japanese carriers at the Battle of Midway, or Gen. George S. Patton, who raced across Europe with the German Army collapsing before him to the Rhine in World War 2. Running through these narratives are the key decisions and analyses that enabled one force – often undermanned and facing difficult hurdles – to defend a homeland or capture a beachhead against long odds. I bring this fascination with strategy and battle planning to the IT marketplace in which we’re all engaged. I love to watch how established vendors maneuver to defend their positions – through product innovation, sales tactics, pricing, M&A, marketing, etc – and I’m fascinated with how newcomers to markets prepare their assaults on entrenched providers. In fact, a lot of the language we use reflects the theme of battle – from entrench itself, which means to dig in for defensive purposes, to price wars, turf wars, new product salvos and launches, and strategic alliances. Over 20 years as a journalist, I spent a lot of time talking to executives of large and small IT companies about their market strategies and tactics, trying to understand what it takes to win business and establish a dominant market position. Much as I love technology, I enjoyed those discussions much more than conversations about speeds and feeds and hot new features. (For example, I recently was able to engage Juniper CEO Scott Kriens, during the launch of Juniper’s new switch line, on what it would take to dislodge Cisco from IT shops.) While most of the questions were mine in these discussions, it wasn’t unusual for these business leaders to turn the tables and ask me – based on my work with IT buyers – what I thought it would take to dislodge a market leader or protect an entrenched position from new competitors. There are no pat answers to those questions. The responses change based on the maturity of the market, the cost and strategic importance of the technology, economic conditions and many other factors. Analyzing what’s required to win new business or, equally important, maintain account control may be the single most important success factor for IT suppliers. There’s a graveyard full of startups whose shiny technology couldn’t open doors and win dollars. But those premature victims of the bruising IT wars lie beside some grizzled old veterans who once dominated the landscape but fell prey to nimbler, craftier companies. One of the goals I set for myself and Network World upon becoming CEO was to establish a research program to help our marketing partners, advertisers and exhibitors to understand what it takes to get entrenched and stay entrenched, and I’m pleased to report that our first survey initiative is underway. Using our 10,000+ member research panel, we’ll be exploring what makes customers choose suppliers in a wide variety of vertical market segments – i.e., security, servers, storage – and what takes a vendor from being just a supplier to a true strategic partner. We’ll also explore what makes buyers swap vendors out and try another solution. We’ll explore customer perceptions of many IT companies – probably yours included – and find out whether customers believe you even want their business, among other things. Our first survey is focused on the security market and we look forward to sharing those results with you, our marketing partners. Stay tuned to ITiki as we dig deep into these issues. Thanks. JG |
|
5 Things to Consider When Planning a Web 2.0 Solution Web 2.0 technologies are changing the way online solutions are being developed. The popularity of social websites like Flickr, MySpace and Youtube and technology that promotes collaboration such as blogs, wikis, tags and widgets have made Web 2.0 functionality an important consideration for enterprise development. When planning these solutions there are many things to consider. Recent technology advancements have resulted in a flurry of solutions in many categories. The tree will eventually shake out; standards will evolve. Will your project stand the test of time or go the way of the Betamax? Here are 5 things to consider when planning a Web 2.0 solution. 1. Social Networking Standards Google has created a solution called OpenSocial. This platform provides a common framework developers can use to deploy applications on any social network that chooses to participate. There are many websites implementing OpenSocial, including Engage.com, Friendster, hi5, Hyves, imeem, LinkedIn, MySpace, Ning, Oracle, orkut, Plaxo, Salesforce.com, Six Apart, Tianji, Viadeo, and XING. The APIs make it easy for developers to build applications quickly using quality code. You can build complete applications that can be either hosted on the Google network or on your own server. There are three common APIs, defined by Google with input from partners, that allow developers to access core functions and information at social networks: 1. Profile Information (user data), 2. Friends Information (social graph), and 3. Activities (events, updates, rss feeds). When planning solutions that include registration functionality; social tools and/or consumer generated content be sure to look at OpenSocial. Even if you are building an enterprise solution or do not intend to leverage 3rd party applications it’s important to keep your options open, you never know how your business requirements can change in the future. 2. Online Identity Management OpenID is a decentralized system to manage your identity. With OpenID enabled sites you do not need to remember traditional authentication tokens such as username and password. Instead you only need to be previously registered on a website with an OpenID "identity provider" (IdP). Since OpenID is decentralized, any website can employ OpenID software as a way for users to sign in; OpenID solves the problem without relying on any centralized website to confirm digital identity. OpenID is still in the adoption phase and is becoming more and more popular, as large organizations like Yahoo, AOL, Microsoft, Sun, Novell, etc. begin to accept and provide OpenIDs. Today it is estimated that there are hundreds of millions of OpenID enabled URIs with nearly ten-thousand sites supporting OpenID logins. When developing your next solution you should consider this as an alternative for password and account management. 3. Mobile devices There are numerous businesses and solutions geared toward mobile device formats such as mobile advertising, gaming, mobile social networks and mobile widgets. There’s a large contingency advocating creating experience optimized for the small screen. There are technical solutions that provide this today: compressing/down sampling proxy servers and micro browsers, like Opera Mobile, which can tailor any website to small display (using Small Screen Rendering technique). Mobile browsers must still download an entire page (with graphics and other related files) which, if not optimized for mobile phones, can be time-consuming and expensive to download. dotMobi (.Mobi) is a foundation dedicated to delivering the Internet to mobile devices with the premise being sites provide an alternative experience (www.bmw.mobi) optimized for the small screen. There’s a free testing tool to check your website for mobile readiness called Read.mobi. Should you be considering an alternative small screen version? With the success of the iPhone touch screen technology and increasing mobile bandwidth will there be a need to provide small screen experiences in a few years? As we see with phones and cameras by integrating the user controls into the touch screen the entire face of the device and be a screen, resulting in a much larger viewing area. When planning how the solution will leverage the mobile channel you need to consider if it’s a long-term or short term solution before designing functionality for devices to ensure the investment will pay off. 4. Technology Selection We need to also consider new ideas in system architecture. A pillar of Web 2.0 is service-oriented architecture (SOA). Large scale start-ups leverage the web as a platform using distributed services such as Google’s Open Social, Amazon Web Services, OpenID, and many SaaS solutions. One example is USAtoday.com. When the site was redesigned as a social network news site they used white label social networking platform Pluck. From the user perspective the functionality is part of the site, but functionality that allows users to register, comments on articles, add tags, promote and demote news stories and manage their profiles are all provided from the Pluck services via a JavaScript proxy. Centralized services provide the opportunity for your applications to exist in a highly scalable environment. If you tried to replicate the elastic cloud computing services provided by Amazon it would cost millions of dollars. Because of the business model allowing a high volume of subscribers to use the service the service is provided at a very low cost. This model has been a disruptive force allowing high profile websites like Meebo and Twitter to provide scalable services at a fraction of the traditional infrastructure costs. Additionally there are options for delivering rich media content. If your solution depends on large format video or delivering Flash applications there are providers that can dramatically improve your delivery resulting in much higher quality experience that the end user doesn’t have to wait to download. Bitgravity offers impressive high-definition content delivery services and a live broadcast solution with a different approach than popular CDNs (content delivery networks) such as Akamai and Limewire. 5. What’s Next? Web 3.0… Today navigation is often site specific; better navigation, taxonomies, ontologisms, user generated tagging, better search functionality. One example is the powerful Endeca guided summarization technology. This engine powers almost half of the top 100 commerce sites today. It delivers layered navigation that allows users to quickly filter content down to a finite set of results. It can do this by consuming all kinds of disparate data sources and indexing them using their proprietary MDEX engine. The theory being that the search results experience should be no different than the navigation experience. Look at the following sites, navigate to a sub-topic level and then try entering that topic name into the site search to see how that works: www.forrester.com, www.homedepot.com, www.buzzilions.com. What if the content didn’t have to be indexed? What if the content could be expressed not only in natural language, but also in a format that can be read and used by software agents, thus permitting them to find, share and integrate information more easily? That is the Semantic Web theory as first defined by internet inventor Tim Burners-Lee. There has been lots of buzz but there haven’t been any mainstream solutions. One Semantic Web tool that is close to market is a called Twine, a venerable Wikipedia on steroids, this information platform provides a glimpse into what’s possible. Another example is Exhibit, a semantic web application framework developed from the research in the Haystack group and the User Interface Design group at MIT CSAIL, and maintained by the SIMILE project. If you are building a solution that is more than a simple content site; that will serve up a large amount of content, data, records and grow significantly over time; you need to look into leveraging Semantic Web technologies such as RDF, EBML, OWL, SPARQL, XSL, GRDDL etc. In Conclusion About Dean Whitney |
|
Why Fears of Online Customer Negativity Are Overblown So why is Dell now being hailed as a social media innovator whom Jarvis himself recently praised in BusinessWeek? It’s because, in Michael Dell’s own words, “[Online] conversations are going to occur whether you like it or not…[Y]ou can be a better company by listening and being involved in that conversation." If only more companies were so open-minded. In my recent discussions with marketers and publicists, the issue of negativity has repeatedly come up as a reason to avoid engaging in online conversations with constituents. These fears are understandable, but they’re also overstated. Here are some reasons why. Like it or not, customer conversations are probably going on right now about your company and its products. As Michael Dell said, these discussions will happen with or without you, and if they turn negative, your silence will only work against you. Most companies have a few dissatisfied customers. Unless those people tap into a much deeper well of negative sentiment, there’s little damage they can do. And even when they do turn negative, an open and constructive response is the best defense. Angry customers usually just want to be heard, so listening and responding works wonders. Last fall, AT&T had a minor crisis when one of its customer service representatives insisted that a couple pay for a satellite dish that was destroyed, along with their home, in the California wildfires. The story logged more than 40,000 views on Consumerist.com and became a top story on Digg.com in just a few hours. However, AT&T issued a clarification and a retraction within just six hours and the story quickly died. Negativity isn't always a bad thing. When channeled constructively, it can lead to insights that make products better and can even help identify new markets. After all, most people learn more from their mistakes than from their successes. Southwest Airlines CEO Gary Kelly discovered that in late 2006, when he proposed on the Southwest blog that the company might do away with its controversial open seating policy. Hundreds of customers took the time to tell Kelly that they thought that would be a very bad idea. Southwest listened and, in the process, avoided a customer relations gaffe. The quickest way to blunt criticism is to show that you take it seriously. That doesn’t mean doing what your critics want. It does mean showing respect for their opinions. Finally, keep in mind that negativity isn't all that common. While a few high-profile incidents have attracted attention, research studies have established that bloggers are six times as likely to recommend businesses and products as they are to criticize them. Even when negativity does crop up, loyal customers will rally to your side with amazing speed. People understand that companies can't please everyone, and they're willing to give you the benefit of the doubt for doing your best. Just two months ago, the Transportation Security Administration launched a blog. Few organizations have a more thankless mission, and response from angry travelers was swift and predictable. But the TSA was ready, and its open and constructive response has already started turning around the critics. TSA appears committed to using the blog to explain its policies and to demonstrate that there are real reasons – and real people – behind its decisions. I predict it will have much success. Paul Gillin is a writer, speaker and content marketing consultant specializing in technology and new media. He specializes in social media and the application of personal publishing to brand awareness and business marketing. Paul is a veteran technology journalist with more than 23 years of editorial leadership experience. His book, The New Influencers, was published in 2007. His website is www.gillin.com and he blogs at www.paulgillin.com. |
|
Trend Report — Using Web 2.0 for B2B Marketing (Part 2) Blogging If you are blogging for a company, or from an organization, be sure the check on corporate guidelines before starting out. Keep the format short, one or 2 screens long, and always use an engaging title. Engage the readers by providing take-aways, asking questions, and provoking exchange of information or opinion – invite comments. The purpose is truly about dialog, not monolog. Link to other sites, authors, publications and especially other blogs to further the collaborative and educational aspect of the blog. Use a subscription form to get updates through RSS and email. Podcasting/Videocastings Format is important. Keep it short – no more than 5-7 minutes ideally for a podcast. Videocasts are best in even shorter forms – 3-5 minutes will hold your audience’s attention. Commit to some frequency – a weekly or monthly series will build momentum. Use 3rd party sites and services for delivery (i.e., YouTube, blinkx.com, ifilm.com and others) along with posting these on your own site. Costs will vary based on quality. Handheld camcorders, mikes and minimal staging will create inexpensive but perhaps less effective marketing tools. Elyse Tager is founder and Principal of Elymedia, an online and traditional media agency that has worked with many of the world’s most recognizable brands from Microsoft to PowerBar. With twenty years of executive marketing experience in direct response, coupled with ten years in Internet marketing, Elyse has gained a thorough understanding of both media and how they interact. This depth of experience and knowledge has benefited her clients as they strategize marketing objectives in the online and offline worlds. Elyse can be reached at elyse@elymedia.com, or (510) 864-1892. |
|
MARKET RESEARCH: Print in Today's Media World In order to provide insight into these questions, Network World commissioned Research Concepts, LLC to conduct a research study focused on how IT professionals use the print edition of Network World. The study was fielded in December 2007 among Network World print subscribers. A total of 514 respondents completed the survey and they represented a diversity of job functions, industries, company sizes and ages. First, we found IT professionals are still reading print. In fact, they make the time to read it. Respondents indicated they spend an average of 61 minutes reading Network World. Interestingly, the time spent with the publication has doubled over the past 10 years – from an average of 30 minutes in 1998 to 61 minutes today. We discovered six main benefits related to getting information in print and they are summarized here. #1: Readers Can Concentrate
#2: Readers Like the Portability of Print
#3: Print Gets Noticed when Passed Along
#4: Accidental Discovery in Print
#5: The Print Trust Factor
#6: Print is Timely
The Value of Print Find out more |
|
IDC Insight: SWA Market IDC has sized the worldwide market revenue for software appliances (SWA), for the first time, in 2007 at $16 million. This emerging market has barely even lifted off the ground, but IDC is forecasting the market to grow to almost $700 million by 2011. Until recently, the ground swell for SWAs has been built up by VMware and small startups focused on the opportunity like rPath. Now application and operating system vendors are starting to realize this market is for real and are starting to join the fray. We predict the following trends in the software appliance market, in no particular order of importance:
Brett Waldman is a research analyst for IDC’s System Infrastructure research group. In this position, he drives the research agenda for IDC's software appliance marketplace. He is responsible for forecasting the opportunity associated with software appliances as well as monitoring the trends impacting adoption of the emerging form factor. He also conducts research on the developing software appliance ecosystem analyzing the emerging roles, numerous participants, and disruptive business models. Additionally, he provides research and analysis on server and client operating environments including Linux, Windows, Unix, Netware, OS/390, and OS/400, as well as related infrastructure software. Prior to joining IDC, Mr. Waldman was an equity analyst at Kaufman Bros. L.P. covering Security Software and Enterprise Applications. Mr. Waldman also brings with him several years of industry experience as an IT consultant for small and medium sized businesses. Mr. Waldman holds a B.S. in Computer Science from the University of Massachusetts at Amherst and Master’s of Business Administration from the Isenberg School of Management at the University of Massachusetts at Amherst. |