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Want to Transform Your Business? The Power of Pull

As a consultant a lot of my work since the late nineties has been looking at how by using semantic technologies, data navigation techniques and internet scale identity product strategy can be subtely tweaked to better fit the rapidly evolving needs of consumers first, business second.

Why? Well for anyonewho has read The Cluetrain Manifesto it’s obvious, for everyone else; quite simply when a business actually places the needs, wants and desires of their customers above those of the business (or it’s share holders) then they thrive.

Since being back in London I’ve been lucky enough to meet many interesting people sharing similar ideologies.  From the wonderfully enthusiastic Jonathan MacDonald and his “Every Single One of Us” movement to the truly inspiring millitant in Adriana Lukas and “her” Mine project.   All these projects, startups and thinking pretty well follow up on where Cluetrain left off, each takes a slightly different direction or stance.

Thus far though, for all their efforts I have yet to see any single project offer up good solid advise on why business should adopt the thinking of placing the consumer in charge let alone pragmatic guidance on practical use cases for identity, semantics and generally doing things in this way.

I can’t even remember how I stumbled upon “Pull” now earlier in the week.   Twitter most likely but I could see instantly that the author (David Seigel) and his team at The Power of Pull had obviously been paying attention to all the work put in over the years by a great many technologists, marketeers, anthropologists et al.

I’m not even going to try to describe the book, rather I will paste verbatim their own description below;  BUT for those that have heard me talk on identity, privacy, trust, semantics, data – in fact ANYTHING over the last ten years then you simply must go and buy this book, read, remember, acknowledge and move your business forward.

Anyway here is David’s own blurb…

How the pull paradigm and the semantic web combine to help businesses face the challenges of the future.

The Problem

On the Web today, we see millions of web sites, each of which presents web pages and documents. These are simply electronic versions of the old paper-based ways of doing things: writing checks, filing taxes, looking at menus, catalog pages, magazines, etc. When you search for something on Google, you get a list of web sites that may or may not have what you’re looking for, based on keywords found in the text. You have to look at each one and decide whether it answers your question. Google doesn’t know where the information or answers are; it just knows which pages have which keywords and who links to them.

Our information infrastructure isn’t scaling up very well at all. The average person now sees over 1,000,000 words and consumes 34 gigabytes of information every day. Mike Bergman estimates white-collar workers spend 25% of their time looking for the documents and information they need to do their work. One billion people are online now, and 4 billion have mobile phones. Exhaustion of IPv4 addresses (limit is 4 billion) is predicted for sometime in 2011. By 2030, there will be a minimum of 50 billion devices connected via internet and phone networks. Our information infrastructure is built to haul electronic versions of 19^th century documents for humans to read, and it’s keeping us from using information effectively.

The solution to our information problem is the semantic web and the pull paradigm.

The Semantic Web

The semantic web is nothing less than an overhaul of our information infrastructure, according to these basic principles:

• Electronic information will become unambiguous. Another word for semantic is unambiguous. In the Semantic Web, we declare what we mean in precise, standardized terms. Data that is semantic means exactly the same thing to any system or person who uses it.
• Data will become findable. Already we are seeing the emergence of the Open Web, where information lives online and can be found easily. There will be central repositories and central hubs that link information together. This is called “linked data in the cloud” and is the next trans-formation after services and software go online (see linkeddata.org). Humans now use 1% of all electricity to power data centers. The percentage will quadruple in ten years.
• Data will be reusable. We’ll keep all our data online in semantic formats and use it over and over by pointing to it. Data will become like Lego building blocks of information that can be combined and recombined to suit each particular task.
• Data will be interoperable. We won’t have to translate from one system to another. As an example, Edgar.gov will soon become a cloud-based hub for XBRL data from companies reporting results. Since everyone uses the same standards, all the software will be able to tie into the original sources of data and use it in the way that’s most meaningful to the subscriber.
• Devices will be ubiquitous. There won’t be any more computers as we know them. Apple OS and Windows as well as Google Android, iPhone, Blackberry, TVs, and book readers will all be replaced by Net-based screens of all sizes that simply see the web and do everything online. The market for netbooks is currently growing at 40% per quarter vs notebooks’ 20%. Prices will drop through the floor. Screens will be on your wrist, on your car dashboard, or on your wall, and they will connect to the net, where everything will take place.
• Systems will be flexible. We’ll start using flexible knowledge models and declarative systems that use data, rather than encoded processes, to drive business systems. Today’s procedure-driven software has already broken (most enterprises spend 80% of their IT budgets on maintenance). Tomorrow’s flexible systems will be adaptive – they will respond in real-time to business events and change themselves daily as the business environment changes.
• Real time. The semantic web lets us close the gap between what happens in the real world and when we know it. When the processes and products themselves generate the data, we will go to a real-time economy that will be much more efficient than our time-lagged way of doing things today.

The Pull Paradigm

We are making the transition from pushing information to pulling it, and that will change everything. Originally, the TV networks sent out signals for shows according to a schedule that benefitted their advertisers. Then, VCRs let consumers watch when they wanted and skip the ads. Now on-demand services let consumers watch a handful of TV shows whenever they like. The future is online, where you can find and watch any video ever recorded any time you like on any device.

• This will happen in all industries. People will pull information to them whenever, wherever, however they like. People will use online data lockers to store and guard their information, and that will replace today’s computers. It will power everything. We’ll store all our preferences there, so rather than managing music we’ll manage our preferences. This will allow us to (finally) use software agents to look for things on our behalf.
• Many processes will invert, in favor of the customer. No longer will we “push” things through the supply chain. Instead, customers will “pull” items through. Consumers will pull services on demand. Marketing will change from outbound messaging to responding to queries. We won’t search for things; we’ll say what we are looking for and let things find us instead. Software will cost 10% of what it costs today and will be much cheaper to maintain. Everyone will be both a producer and consumer of information that becomes part of the ecosystem.
• Account portability will be a leading indicator. When people can port their accounts from one vendor to another, the power in the relationship will flip. An early project is called Vendor Relationship Management, which will get the whole process rolling, in the same way that the video recorder did for television. Imagine if you could port your entire checking account or brokerage account to another bank and have the new bank understand everything – that’s the semantic web. It promises to cut the cost of health care by 25%, and that’s just the beginning.
• The result is the performance economy, where companies can’t afford to be on the other side of the table from customers. In the performance economy, you gain only when your customers do. Many industries will be flattened. It’s just getting started, but this model will come to dominate in the 21^st century.

See? Like I said – go buy this book.

Update: There is a podcast interview with David Seigel over on the excellen IT Conversations website with the good Mr Windley and for those wanting a quick 62 minute intro it’s a great place to start.

Probably Not – In Reply to Tepilo Ending Need for Estate Agents

Sticking comment here as can’t be arsed with yet another signup or login just to comment.

Let me start of with I’m not coming out to defend the Estate Agency industry as a whole.  Much of their reputation is well deserved there are a great many sharks.  However there are also plenty of super well trained, nice, kind, informed and helpful agents too.  Just like any industry I guess.

Today Mike Butcher has a guest post up on the Telegraph’s website entitled “Does Sarah Beeny’s free property website herald the end for estate agents?”

Well simply the answer is no it won’t.

The whole FSBO (for sale by owner) model is well understood in America, Australia and NZ where a homeowner takes control of the whole marketing and negotiation process in selling their home.

The system works for a percentage but the last research I saw this was something like < 10% of all FSBO resulting in sale.

The reasons are simple.  Most people are not trained in marketing and in English based cultures haggling (negotiating) is a skill long forgotten.  For anyone in the UK the latest adverts by MoneySupermarket.com starring comedian Omid Djalili even mention the “cringe gland” being prevalent in the English where haggling is concerned.

The problem for many is that, quite rightly, their house is not a property it is a home. Somewhere they are emotionally tied to and when it comes to the business of selling a home removing that emotion is critical.

Why?  Well for a start the biggest killer in selling a property is price.  Too high and no one will even view the place, or at least if they do they will most likely be disappointed having expected it to have been better than it is – after all it is priced in a higher bracket with better properties.  Too low and most people will avoid it thinking there is something wrong.  Pricing is key.

Without training or at least access to decent quality comparable sales data it is really hard for a homeowner to get the pricing right.  Sure there are valuers or surveyors but they cost money and the whole point of FSBO is to avoid cost, right?

The second part to removing emotion from the process problem lays in mentally detaching oneself from the home and treating it as a commodity to be sold.  Trust me on this, it’s hard.  And without that detachment even the simplest of selling tools such as presenting the home for sale is a tricky task.  Home prep is not about clean and tidy, it’s so much more. Sure clean and tidy matters but it’s more about creating a space which prospective buyers can visualise as being their own not yours.   Try removing all personal effects, photo’s, pictures, that lovely family heirloom brass plate from the wall and living in the space for a while.  Your home stops being your home.  It’s hard.

And so back to Beeny’s new website, Tepilo.  I’ve seen a number of these “market your own home and save on fees” sites along with magazines, papers and even shops come and go over the last 10 years.  Sure this one has a “celebrity” name behind it.  Sure people are becoming ever better equipped with internet based resources for pricing, marketing and finding property.  But…

An estate agent does this for a job often 7 days a week. The good ones are formally trained (and where available qualified) and armed to the teeth with better information, better skills, more time.

There are amateur mechanics out there who will tinker with their cars.  I don’t.  Sure I could learn a few skills but when it comes down to the safety of my family I’m the first to throw the work to a local garage.  It’s no different in the internet space.  Anyone can get a copy of Dreamweaver or Frontpage (they still do that?) and knock up a website – will it be any good?  Maybe.  Could a professional have done a better job, probably.

Finally every agent understands fees are a sticking point when competing for business.  You can always try to haggle just don’t forget they haggle for a living.  More importantly find yourself an agent who can offer you more value in using their services than they cost, they should be able to prove their track record on this so just ask.

Installing Husband 1.0 – A Tech Support Plea

In response to the recently very popular Upgrading Girlfriend 1.0 joke (it’s had hundreds of hits from a forum in Australia over the last two weeks) the following came through on the email – via my Mother-in-Law!

Dear Tech Support,

Last year I upgraded from Boyfriend 5.0 to Husband 1.0 and noticed a distinct slow down in overall system performance, particularly in the flower and jewellery applications, which operated flawlessly under Boyfriend 5.0.

In addition, Husband 1.0 uninstalled many other valuable programs such as; Romance 9.5 and Personal Attention 6.5, and then installed undesirable programs , such as NHL 5.0, NFL 3.0 and Golf Clubs 4.1.

Conversation 8.0 no longer runs, and Housecleaning 2.6 simply crashes the system.

Please note that I have tried running Nagging 5.3 to fix these problems, but to no avail.

What can I do?

Signed,

Desperate.

The response…

DEAR DESPERATE,

First, keep in mind, Boyfriend 5.0 is an Entertainment Package, while Husband 1.0 is an operating system.

Please enter command: ithoughtyoulovedme.html and try to download Tears 6.2 and do not forget to install the Guilt 3.0 update.

If that application works as designed Husband 1.0 should then automatically run the applications Jewellery 2.0 and Flowers 3.5.

However, remember, overuse of the above application can cause Husband 1.0 to default to Grumpy Silence 2.5, Happy Hour 7.0 or Beer 6.1. Please note that Beer 6.1 is a very bad program that will download the Farting and Snoring Loudly Beta.

Whatever you do, D0 NOT under any circumstances install Mother-In-Law 1.0 (it runs a virus in the background that will eventually seize control of all your system resources).

In addition, please do not attempt to re-install the Boyfriend 5.0 program. These are unsupported applications and will crash Husband 1.0.

In summary, Husband 1.0 is a great program, but it does have limited memory and cannot learn new applications quickly. You might consider buying additional software to improve memory and performance. We recommend: Cooking 3.0 and Hot Lingerie 7.7.

Good Luck!
Tech Support

Ads in My Twitter Stream – What Happened to Informed Consent Hootsuite?

A couple of days back I chose to follow my normal course of behaviour and play with any new Twitter clients for my much loved HTC Hero.  As yet there has been nothing on par with the truly awesome Gravity client on Nokia’s Series 60 by @janole so anything new gets a fair go.

I’d seen reviews of Hootsuite’s new client and after throwing a nice shiny baked ROM at the Hero I was able to download and install Hootsuite Lite.  There is a paid for version ($1.99 at time of writing) but as the only additional benefit I could see was the ability to handle more than 3 Twitter accounts (and I use but 1) there was little point in spending the cash just to see if it works.

Setup was simple enough, even though the you get hassled a couple of times to create a new Hootsuite account before being offered a connection to your Twitter account.

Now I’m not going to review the application other than to say it’s very usable, has some decent thinking around navigation and handles a Twitter account admirably – at least on par with the current leader Seesmic in my opinion.  But something odd happened after a feed refresh sometime on Saturday.

I was out and about, hit refresh and a curious new message appeared in my stream from someone I don’t follow.  This in itself given Twitter’s problems of last weeks with random tweets appearing was nothing too odd but this tweet had a different coloured background and the format of the message was odd.

I quickly sent out a tweet to the crowd asking if anyone else had seen these “ads” but everyone who responded hadn’t. Was this the first inkling of the much talked about Twitter advertising model.  If so it was pretty well exactly what I had expected it might be but had no knowledge of it having yet been enabled.

Of course being out and about research was a little hard to do.

So yesterday I sat down for half an hour and did some digging.  It turns out that Hootsuite have partnered with a third party Twitter advertising agency called 140Proof who’s model is to sell advertising messages injected directly into one’s stream by the client application.  They look and feel like tweets but they aren’t – they are put there ONLY in the application stream.

They are inoffensive and not at all obtrusive, as I said they pretty well looked and felt how I would expect a Twitter ad to be BUT I hadn’t asked for them and more importantly I couldn’t recall ever being informed that I was going to get them.  There were no signup T&C’s with the mobile app, no details easily found on Hootsuite’s web page, nothing.

A little more digging and it turns out that, according to this article on Techcrunch that,

Twitter clients pass 140 Proof a user ID list (with no names) and the public information contained in a Twitter users profile, and on the advertiser side, advertisers bid on ads to be directed toward users based on keywords in tweets, followers, as well as device, location and platform. 140 Proof’s algorithms calculates Twitterer’s “persona” based on public tweets and who they follow and serves ads to users based on this data.

YOU WHAT?  So without my permission Hootsuite passes my PI and graph to a third party who then does their thing with it, sells that bundle (anonymously granted) and throws back a targeted advert!

Now sure my stream is public and viewable by all but that doesn’t make it acceptable for a business to utilise that information for their own gain without at least first asking for permission.  What happens if you have a private non-publicly viewable Twitter stream?  Does Hootsuite not work or do they just blindly continue to pass that data on to 140 Proof?

I don’t mind the ads, they make sense, they (in theory and assuming I pay them attention) pay for Hootsuite to offer up their client for “free” (read no money there) but informed consent is required.

For the record NOT one of the adverts I  have seen over the last couple of days has been even vaguely “relevant” nor have I clicked through on any.

I’ll be having a chat with some people over just what consent they should have obtained as surely there must be a requirement in the EU but it’ll be more interesting to see just what sort of lifespan the 140 Proof model will have once Twitter actually do get their advertising live.

UPDATE: I am interested to hear from anyone who has knowledge of the BT/Phorm case being brought by the CPA;  specifically the abuse of Regulation of Investigatory Powers Act (RIPA).

If Hootsuite are intercepting my profile and tweet stream and shipping it off (hashed or not) to 140Proof for analysis and spam would this constitute a breach also?

Don’t get me wrong I don’t want Hootsuite punished I just wonder if this is/were the case what would be their knowledge of the issue and how would the choose to address it.

Can PI Ever Be Considered IP?

I have my own thoughts on whether or not personal information can be defined as intellectual property but I’d really love to hear some more opinions before espousing my own.

Please do comment especially if you have strong opine that falls one side of the fence or another.