Making Things Work Better

What do you desire?

If you don't start asking yourself this question today, will you ever?

One of the largest problems in business is largely avoidable.

It's caused by the friction of competing priorities and employees managing the risk of their businesses and the risk of their own careers. Opting to take the safe path limits their business to mediocrity, and they think ensures safety for their own careers (while generating mediocrity there as well).

At the end of the day you end up with a very mediocre business, filled with very mediocre people that feel secure.

Everyone can agree there's a better way to do things.

That process that's broken. That product that doesn't live up to anyone's expectations. That problem around employee retention. That other thing that everyone knows could be better.

It's easy to point to something and understand that things could be better. It's much harder to actually make something better.

No one wants to give anything up.

It's so hard to actually make things work better because no one wants to give anything up. Those broken processes, which we all know are broken, are still processes and creating new ones is hard.

"What if the new and improved 'thing' isn't better after all? Someone will be upset, and they'll point the finger at me."

So, often what we end up with is something that is less risky in the meantime, doesn't advance the business' goals, and keeps people 'tucked into the corners' in companies longer than is beneficial.

How to make a positive change.

1. Get data on things that don't work properly. How much time is spent? How much money is lost? What is the opportunity cost to continuing on the current path?

2. Propose new solutions. Consult with peers that also understand the risk of under-performance, subject matter experts, managers, and front-line employees.

3. Get/project data on new solutions. Having some forecasts/metrics up front about new solutions that you're proposing make people feel better about a change.

4. Get used to being measured and held accountable. It's likely that things are broken, because no one was actually held accountable in a meaningful way. Volunteering to be responsible will only put you in a positive light.

5. Evangelize success or progress. Offering updates on the new 'thing' will show that you're invested and have fully taken responsibility for effecting change.

What do you mean, you "didn't notice" until now?

Social media can turn your latest product short coming or service failure into a meme, parody Twitter account, or blog.

http://theamazingios6maps.tumblr.com

Charlene Li said in a HBR article in 2011 that: "In a world filled with real-time, tell-all social media, your ability to hide from your failures is, well, non-existent."

Even previously 'untouchable' brands aren't immune. Obviously by now everyone is aware how inaccurate the new maps function is on iOS6 - prompting a wave of new demand for 3rd party map apps. It has also spawned a Tumblr site for hilarious (or frustrating) screen captures of off-the-mark locations.

So - the question is, when the locals "take up arms" how will you react? With so much connectivity (users to companies & users to users) there is no appetite for sweeping things under the rug. The act of trying to cover something up is worse than the original error.

Gary Vaynerchuk has said many times that the "consumer's bullsh!t radar" has never been better. People know when you're not being upfront, honest, and when you don't care.

Perhaps that what makes the Domino's Pizza campaign from a few years ago so refreshing. A company coming out and saying "this thing we made sucks, and we're going to do better because you told us how bad it really was."

Even Apple's horrendous new maps app (and user's reaction to it) on iOS6 has generated an open letter of apology from Tim Cook.

But, I have to ask...

Do you mean to tell me that no one at Domino's knew they we're making terrible pizza? And, for so many years?! And, that some focus group really made people realize, "hey, this isn't as good as we keep saying?"

And, Apple, one of - if not - the most innovative and smartest companies in the world didn't know that the 'new maps' was worse than the old maps? There wasn't one engineer, designer, marketer, or executive that said - "this just doesn't work right!" I bet Steve Job's wouldn't have needed to write that same letter Tim Cook did.

Product and service quality should be everyone's responsibility - and everyone should be empowered (or required) to speak up when things don't look, feel, or work just-right.

There are thousands of case-studies written on companies that stopped caring and doing things the right way, let someone else be the next one.

Apple Store Unavailable while iPhone 5 is Announced

First images released - live blog of event located here.

The World According to Amazon: Things Change

@Alexia covers Amazon and the evolution of reading.

Porsche Dealer Creates Instant (and Personalized) Direct Mail

Cheap? Probably not. Awesome? Hell yeah.

Pfaff Porsche, in Toronto, took a car, parked in front of prospective customer's homes and took a picture. Then they created a one-off direct mail piece and slipped it into recipients mailboxes.

And...even better - this campaign has metrics! 32% visited a website to book a test drive.

Avoiding risk and the danger of CYA

Seth Godin recently wrote a blog post entitled "A hierarchy of business to business needs" - it struck me immediately as completely true and I printed it out and stuck it to my cork board. If you'll notice, the list is in order of primary needs on down. 'Avoiding Risk' - is number one, 'Making a profit' is last. Frightening stuff.

Lets say, that this is true for only 50% of businesses (but, I think you'll agree that number is probably larger) this means that half of all people going to work everyday are first and foremost looking to minimize their risk - both of their organization and personal. Not make a better product. Not listen to customers. Not make a better work environment for their employees. But instead, minimizing risk.

This is just dripping with CYA. And, when you're busy covering your ass, and avoiding risk, you're missing opportunities.

Instead of finding something, you're avoiding something.

Fred Wilson - How to Build a Strong Company

In the April issue of Inc. Magazine, they had a full page picture of Fred Wilson from Union Square Ventures (they've invested in companies like Tumblr, Foursquare, Twilio, Etsy, Zynga, and others). The quote that appears next to Wilson jumped off the page at me. Try and read this and not agree. Impossible.

This quote should be required reading for every manager, at every company.

Launch. Inc. Magazine. April 2012. Page 27

"You have to start with culture, values, and a commitment to creating a fantastic workplace. You can't fake these things. They have to come from the top. They are not bullshit. They are everything."

You read more from Fred Wilson, on his blog: avc.com

Responsys Interact 2012

Last year, I wrote a blog post recapping my attendance of the Responsys Interact 2011 user conference. This year, I'm lucky enough to find myself working for Responsys as a Customer Success Manager. As such, I attended the event again this year - in San Francisco.

Acquisition vs. Relationships
Of the many great themes presented this year - one stood out violently to me: Are you an "Acquisition First" or "Relationship First" company? As marketers, this will be the question of our time I think. Companies that get this right will find themselves left standing. These will be companies that reinvent customer experience and loyalty.

Acquisition First Companies:

Obsessed with the first purchase (ever say or hear "...yeah, but we just need revenue.")
You market the price/product (race to the bottom)
You have to sell your product (this is a hungry beast)
Use digital to drive traffic ("how many clicks did we get?")

Relationship First Companies:

Obsessed with third/fourth purchase (building loyalty)
You market the experience (how do your customers feel about their purchase?)
Your customers sell it for you (your best sales reps don't actually work for you)
Use digital to tie everything together (create one experience, digital and offline - together)

Tough questions that likely require transformational efforts to move from acquisition- to relationship-first.

charity: water (donate)
Last year, Blake Mycoskie from TOMS Shoes showed up and gave an amazingly inspirational speech about his charity and his one-for-one model. This year, Scott Harrison from charity: water matched Blake's enthusiasm for doing good. His charity works to provide clean water to communities in Africa.

After an extremely emotional presentation, I was inspired to donate my upcoming 31st birthday to charity: water. Please consider donating to this great cause and sharing this charity with your friends and family.

Earth, Wind, and Fire
Just like last year, this year's event entertainment was amazing. Six-time Grammy Award winning legends Earth, Wind, and Fire performed an amazing show open only to conference attendees. Here's a video I shot front row for the song Shining Star.

You can get a full recap on the event on the Responsys New School Marketing blog.

SXSW Recap: Learn to Code

Sixth in a Series

Learn to Code and Make the Software You Want
Nate Westheimer - Co-Founder, Picturelife Inc. (personal blog)
Vinicius Vacanti - CEO, Yipit.com (personal blog)

This session was lead by Vin and Nate, two self-described "business guys" who became technical founders of their own start-ups. They want you and I to become technical founders too, that why they put this session together. 100% inspiring.

Have an idea you want to put into action? Don't look for a technical co-founder. Try and build it yourself.
The only prerequisite is having an idea that you need to build. (Need to build, not want to build)
According to Nate and Vin, its easier than you think.
They both reported having a "sweat lodge experience" - where they took a 5 day chunk of time and did nothing but learn to code. This is all they did.
At its core, building something involves a user on one end, a server, and your app. (Dont over-complicate it).
In the beginning don't worry about security, scaling issues, beautiful code, or maintainability. None of those things matter if you're just learning.
If you don't know something - its okay, there are plenty of resources to help you!
Both consider UX the only thing that matters.
If you have a question you cant answer, wait 24 hours before asking for help. This will force you to learn.
Both had some great resources for just getting started:

No matter how many notes I include in this post, it wont capture the essence of this session, listen to the entire session on the SXSW website - link below.

If you have ever wanted to build something and didn't know where to start - this session was for you (and it still is for you, you can listen to audio of this session on the SXSW website.) As a matter of fact, this session inspired my good friend Chris Knutson and I to take the free online class, Programming Methodology, from Stanford.

SXSW Recap: Barry Diller & Ali Velshi

Fifth in a Series

State of the Content Industry 2012
Ali Velshi - Anchor & Chief Business Correspondent, CNN
Barry Diller - Chairman & Sr Exec, IAC

Barry Diller continues a storied career in media business. His conversation with CNN's Ali Velshi was humorous, pointed, and unapologetic. The conversation bounced around wildly and often deviated from Velshi's matter-of-fact style as Diller offered his raw opinions and thoughts on the industry. Notes below.

Diller stated that (rather obviously), Technology is providing the biggest and most radical shift in how people access content.
À la carte content delivery through multiple personal devices is the future.
Location-based technology has to happen.
He doesn't tweet - because his wife (fashion powerhouse Diane von Fürstenberg) tweets their entire life apparently.
Diller understands that sometimes you do things that maybe you don't even like, but you are able to add value - so thats what you do.
He seems excited about the new show Fashion Star - which connects those on the show, people watching, and retailers.
He doesn't really believe in the word "entrepreneur" - he called it pretentious, he says "it's work" and that's what everyone should be doing.
However, immediately after that he said if you're not an entrepreneur, you're not allowed to exist as a young person (think about that!).
In business, unless you're adapting everyday - you'll be wiped out! (are you listening Corporate America?)
Diller mentioned Hatch Labs, which is basically an incubator and 'hot house' for corporations.
Best quote of the whole discussion: "If there is no commercial purpose, then there is no purpose."
He's interested in the search of actual questions returning actual answers.
Finally, he wrapped up with a discussion on Aereo - a new service which lets you watch live TV on your mobile device without having to have a cable service subscription. Right now its available in New York City only for just $12 a month. Check it out here.

Bottom line is this: Barry Diller has a serious track record of success and he's focused on things that create long-term value, even though he isn't on Twitter (which obviously hasn't hurt him one bit. Are you listening 'social media gurus'?). He's also the Chairman of one of my former employers, Expedia, Inc. You can listen to audio of this session on the SXSW website.

SXSW Recap: Real Time Data

Fourth in a Series

Does Real Time Data Make Us Better Consumers?
Josh Reich - CEO, BankSimple

I love data. It doesn't get the mainstream coverage like social media - until lately that is. For over two years I've been talking about how "...data is the only thing that matters..." much to the delight of those around me I'm sure. Now though...data, big data, and enterprise data are words that you read on blogs, in magazines, and hear about everywhere. This session was basically made for me.

This was set up as what SXSW calls a 'Core Conversation' where the attendees are expected to help lead the session and guide the discussion. In attendance was Felix Salmon from Reuters, he had some great input. Felix is probably one of the most well known finance bloggers. I had the opportunity to meet him last year at a session he was moderating on innovation (or lack of) in online banking.

The conversation kicked-off by yours-truly talking about real time data and its impact on the health and fitness industry. New gadgets like Fitbit and the Nike Fuel Band now provide real time feedback in our search to be healthier. This was quite serendipitous, as Johan Voet from Foodzy was in attendance to discuss his platform and how they use real time data.

Other applications were discussed and services such as Chartbeat were talked about. Chartbeat actually provides real time analytic data for multiple industries. Data visualization as a whole was briefly talked about and how it provides much needed context for often overloaded 'data consumers' - now that so much data is available.

Because so much data is available, and so many things can be measured, there was some lively talk about measuring the right things. What is the impact on behavior with so much feedback? Are we effecting change on the correct behavior? Deep questions with only an hour to discuss.

There's no getting around it - there continues to be tremendous investment in data resources and I think the wave of start-ups focused on leveraging and finding new uses for data will grow exponentially.

"Data: it's the only thing that matters!" - Me

SXSW Recap: Creating User Demand

Third in a Series

Give Me an Invite! Creating User Demand at Launch
Eric Vishria - CEO, Rockmelt
Erick Schonfeld - Editor, TechCrunch (recently departed)
Michael Seibel - CEO, SocialCam

I had pretty high expectations for this session, given the speakers and the topic - but, I found it to be a little light and more conversational than I expected. Regardless, the information shared was valuable (and a good reminder) of things to consider when launching a new project.

Understand what strengths you have and which channels best communicate these.
Ask the question: "How can we get the users we want?"
Launch and find bugs with a tight Beta test group.
Craft a statement about what you want your product to be (a product mission statement).
Usually, the traffic obtained from a PR push will end up being worthless - real value usually comes from the second wave after the initial buzz.
What are the different user types for your product? How will they use it?
Never underestimate the amount of traction required to get something up and running.
Social sign-on (or login) works well for some products because it reminds people who they know that might also be interested in the product and lets user's 'hook up' their friends.
Build something and launch it, dont wast a lot of time and money on stuff until you know your product works and people like it. Seibel shared an example from Justin.tv where he said they ultimately ended up wasting a lot money on stuff that was too early.
Know what your minimum viable product is!
Vishria said that initially they had ignored the audience outside of the United States - which was a mistake as most of their users are from other countries.

Overall, a good session.

SXSW Recap: A Better RFP?

Second in a Series

OMG Your RFP is Killing Me
Joe Rinaldi - Director of Business Development, Happy Cog
John Stephens - Marketing Director, Dell
Todd Nienkerk - Partner, Designer, and Developer, Four Kitchens

Before I went to this session, my depth of knowledge of RFPs was not exactly encyclopedic. I knew that companies put them out and vendors reply with as much (or as little) information required. Companies (clients) often use them to distill vendors down to a common denominator, usually price.

For the leaders of the panel, that was the creative equivalent of a straight jacket. They had some ideas about building a better RFP.

From a vendor's perspective, there is often a tremendous amount of effort that goes into preparing an RFP. In one example a firm spent 30-40/hours per request and had an opportunity cost of $5,000 - $7,000. The numbers continued to tell a story when only 16% of their work actually came from responding to RFPs. 84% of their work came from their personal network or word of mouth. Furthermore, they could actually go on a client visit and pitch work for $2,000 or $3,000 - much less then the opportunity cost of responding to RFPs. The vendors at this panel actually found that they got drawn into RFPs from 'sexy brands' and the likelihood of getting that work is already small.

They had some suggestions for both clients and vendors on improving the process.

For clients:

No spec work.
Allow for technical or creative responses.
Don't "level the playing field" - let people be themselves.
Require speaking to the people that will be working on your project.
Beware of low bids.
Pre-select, research, and evaluate vendors before putting out RFPs.

For vendors:

Ask how many other vendors are invited to bid.
Ask yourself: "is it really worth the time/effort to respond?"
Are vendors with existing relationships already invited to respond?
How did the client find out about you?
Require a face-to-face meeting
Offer alternatives (the evaluation process itself is often negotiable)
It's often okay to ruffle feathers in a procurement department
Ask: "What is the budget?" (if there is no budget, the project may be unfunded)

At the end of the session - everyone agreed, RFPs bring in a small, but not insignificant, portion of work - but, it really all comes down to personal relationships. Which is true for so many things in life!

SXSW Recap: Time to Build Something!

First in a Series

This was my second year at SXSW Interactive. As much as I was inspired and in awe last year, I couldn't help but feel this year was getting over-hyped well before taking off for Texas. So many blog posts, twitter mentions, and sessions getting pimped, I almost had SXSW overload before I even left.

I was wrong. Yes, it was busy: the line for everything was 50% larger this year - and the registration process was so horrendous that it prompted a public apology from organizers. But the people at SXSW are some of the brightest, most talented, driven, and inspiring technology/internet/marketing professionals today.

I think my favorite part of SXSW is that people on panels and leading sessions aren't just sharing some cool ideas - they've actually done something! They've built something. They've working with great people. They've taken something to the point of sharing it with the world.

If SXSW doesn't inspire you to design and build something to share with the world - then, I'm guessing nothing will.

2012 SXSW Interactive Photos

Photos from SXSW have been posted!

Click here to check them out.

Understanding Data isn't an Option

Fantastic article from McKinsey Quarterly on Big Data and what it means for your business. Understanding what data you have and how to put it to work for you is not a "nice to have" anymore.

Excerpt:

The top marketing executive at a sizable US retailer recently found herself perplexed by the sales reports she was getting. A major competitor was steadily gaining market share across a range of profitable segments. Despite a counterpunch that combined online promotions with merchandizing improvements, her company kept losing ground.

When the executive convened a group of senior leaders to dig into the competitor’s practices, they found that the challenge ran deeper than they had imagined. The competitor had made massive investments in its ability to collect, integrate, and analyze data...

Read the full article here.

Gary Vaynerchuk talks about the "Interest Graph" and the growth of Pinterest

A great video where Gary flexes his predictive ability, and talks about the "Interest Graph" - the network of interests and hobbies that has died off with MySpace (yes, you did read that correctly). Check out the video, and check me out on Pintrest - maybe we have a few interests in common.

Steve Jobs Explains How to Change the World

"...everything around you that you call life was made up by people that were no smarter than you, and you can change it...once you learn that, you'll never be the same again."

Data Driven: Foursquare & Zagat

Social media sites don't always make it easy for advertisers to segment and market directly to consumers - and most users of these sites don't necessarily want to be marketed to while they're trying to have conversations with friends and family.

But sometimes there is just an application of marketing that makes sense...something that just feels perfect. It's really the right message - at the right time. And, it usually involves understanding and leveraging data.

Back in October I was on a business trip in Seattle...and we walked from our hotel to meetings about six blocks away each day. One morning, while on the walk, and before we darted through the Occupy Seattle protest site we ducked into Andaluca, a little spot on the corner of Olive Way and Fourth Ave - just a few blocks away from the Pike Place Market.

In my travels, I always make a habit to check in on Foursquare - mostly because of the tips that people leave. I've learned more about restaurants and dishes from those tips than I would learn in two or three trips to restaurant - if I had the time to go that often.

Upon my check in at Andaluca, I was 'rewarded' with the 'Foodie" badge.

The 'Foodie" badge is offered to users who have checked-in to five Zagat rated restaurants. It also comes with a 50% off offer code for a premium membership to the Zagat website.

In this case, Zagat has successfully used its data from which restaurants they have reviewed and matched it with user behavior and check-in history data to offer a compelling offer code to those most likely to be interested in their product.

Instead of blasting out a 50% off offer code to everyone, regardless of their level of involvement with dining, they have been able to reach a very specific audience using actual user behavior - based on historical data.

Understanding your data and getting it in a place where you can use it can make all of the difference between a boring campaign to existing contacts and a powerful, targeted, lead-generation campaign that yields customer acquisitions.

Do you know where your data is?