Think Digital!

I was listening to my 14 year old son discuss the relative merits of an iPad versus his iTouch with a buddy of his. Now my kid is Apple’d out – MAC, iPod, iTouch. No wonder he was intrigued by the iPad as all things Apple is inherently good in his world view.

“It makes no sense”, I hear my son saying”, “why would Apple want people to think of iPad as a computer – it would kill their other business”. He then declared; “To me, this is a bigger and better iTouch that I would use at home.”

His friend thought for a minute and replied simply; “Yeah, but Steve Jobs thinks this is the new way people will use computers. Maybe, Apple wants to be the Microsoft, Dell, AT&T and Google all wrapped up in one.”

At first I was surprised at the thoughtful way these kids were getting right to the business heart of the matter. What is an iPad anyway? More interestingly though, as a marketer, I was eager to ponder what implications the iPad’s “position” might have on its astonishing 1MM sell through.

Clearly, the physical sleekness of the device drove a big part of the sell through. Surprisingly though, the huge gap in how “Junior Consumer”  was interpreting iPad’s main function, a.k.a. hyper cool entertainment device versus Jobs’ declaration that this is “the most important thing he has ever worked on” usually spells D-I-S-A-S-T-E-R, but that seemed not to matter in this case.

This disconnect is amplified when one realizes that the iPad may well be the computing version of a wolf in sheep’s clothing because it becomes the gate/ portal and police of what services or apps or content comes out of that portal. I kinda hope my son’s friend was wrong and Apple is not interested in displacing other devices and services providers from Judy Consumer’s world. Uh – no – that’s not likely. So it seems to me that the shiny iPad Apple carries a time delayed poison within that will, ultimately, bind Judy Consumer to the Apple franchise with little hope of escape.

OK – I admit – I am playing drama queen here. But it seems in maybe 5 years, our digital world will be defined by a few major players – maybe a handful – who will deliver all information, content, communications and commerce to us.

The “so what” of all this mega aggregation of services is that Judy Consumer will have fewer choices and higher prices. In the future world of information services wars, over time, Judy Consumer will lose out just like she ultimately did in the telecom wars of the past (I am battle hardened veteran of those wars). The final result being that, in fact, when choices go down, pricing goes up.

If iPad is meant to be the point of entry for a new way of computing that inextricably ties hardware to services – I worry (yes – I am a Jewish Mother and we worry.) I worry that it will be harder for competition to evolve and over time we know without competition, Judy Consumer pays more for less.

So I wonder – do you think the iPad is a merely step up from an iTouch as a hyper cool content consumption device or is the iPad Steve Jobs’ attempt at creating a new computing paradigm (hence explaining his sentiment that this is the most important thing he has ever done)?

I fear my son’s opinion on this matter is borne of youthful naïveté. I think I’ll go read Snow White again … at least that has a happy ending.

Judy Shapiro

I admit a certain hyper sensitivity to all things security when it comes to Internet. I worked at CA and then Comodo – both heavy players in the online security world. I learned about the scary things that can happen if you go online alone. It is not a pretty picture.

So it’s no wonder that I tend to have a zero tolerance to bad online security practices – among my friends, my family, my peers.  I have even less tolerance (is that possible?) for online security industry practices that can allow 1,000 PCs to get infected before an ad is checked for malware.

That’s right! I recently learned that all the ad serving platforms check ads in their networks after it has been served. In the case of Right Media I am told an ad is served 1,000 times before it is checked. If the ad is malware – oh well – 1,000 PCs are likely to get infected. I was shocked TBH. And I was even more shocked to learn that according to all the large ad serving platforms it seemed perfectly OK (at least the 4 large ones) to check ads after they have been served already.  I had the chance to press a rep from Right Media for an explanation about why are ads not checked before they are served. It was explained to me that the sheer tonnage of ads would make checking everything before it ran impractical.

That answer seemed pretty lame actually. And one does not have to look hard to see how this causes problem up and down the ad market value chain. Recently, TechCrunch and The Drudge Report were hit with malware on their sites served up by an ad in the network. http://news.cnet.com/8301-27080_3-20000353-245.html. The backlash was felt by the likes of Michael Arrington who had to explain the issue to his audience. I felt his pain, more keenly felt because I knew there was little he could do to make it better. It is likely to happen again – the only question is when.

Here we see most blatantly the bad things that happen when you detach consequences from accountability as is the case here. The ad server networks are the ones who serve up the ads, good or bad, but if there is fall-out, it is largely felt by the site that delivered the ad. That ruptures the basic laws of accountability and consequence which ultimately leaves at least 1,000 PCs infected with malware every time there is a virus outbreak.

Now I really do not understand the technological limits of checking ads within an ad networks – but how can it be OK to permit ads to be served before they are checked? Could it be that 1,000 is too small a number to worry about? And as the number of ads being served grows, will a higher 10,000 threshold be OK? Then maybe 100,000 will be a tolerable number?

Here is a challenge to the industry. Elinor Mills’ article on this subject mentions Bennie Smith, a vice president of exchange policy at Yahoo’s Right Media who I invite to respond here. Maybe I it got it wrong. Set the record straight – please – I really want to be wrong.

Better yet – I would love to start a dialogue to solve the problem – between agencies, ad networks, advertisers and the security industry. Sometimes talk is not enough. An alternative is needed – an alternating current. But more on that coming…

Judy Shapiro

I was reading about Google TV which comes on the heels of all the iPad buzz which comes on the heels of the new Verizon Incredible launch and so on ….

All these efforts seem to transcend the desire to sell a device. It seems that these devices are designed to fight for the  digital fidelity of “Judy Consumer”. In essence, these companies want her to commit to a monogamous, long term relationship with them as the sole provider of all of her communications, commerce and content consumption.

These are pretty high stakes for “Judy Consumer” since it is not just about buying a product – it is about making a long term commitment.

My advice to “Judy Consumer” – proposals for a long term relationship may sound seductive but choose wisely – breaking up is not so easy to do.

Judy Shapiro

Time was before the advent of social media, corporate communications programs were well organized. You had your corporate brand strategy and position which was then communicated via well understood channels such as investor relations, PR, advertising and so forth. In this well oiled marketing machine, individual corporate thought leaders were used to support the corporate message and in this model the goal was clear: create a clear brand value proposition at a corporate level that customers would trust to do business with. The ultimate top down model.

That was then. This is now and the model is turned upside down.

In today’s social networked world, trust is not generated by the corporate communications machine. It is generated by a dynamic I call the Law of One — the brand proposition is carried by an individual who can create trust on behalf of the brand.

In the new socially connected world – individuals are far more effective at conveying trust in social networks than corporate spokespeople or an army of communication specialists. In this new world, non employees or line employees can be the most vocal and valuable trust creators.

Tapping into this dynamic requires a new approach commensurate with the opportunity.  For example, creating a programmatic approach to systematically create personal brands for company “experts” or thought leaders or front line employees integrating existing company social networks, affinity networks with a coordinated approach to content distribution. For non employee trust champions, driving these engaged individuals to a corporate sponsored community driven by a shared interest is a key way to harness and leverage the Law of One within the social network experience.

The new corporate branding machine – creating trust one person at a time.

Judy Shapiro

There are others before me who gratefully acknowledge the marketing lessons their grandparents taught them, e.g.  Eric Fulwiler and I now happily contribute to this chorus of gratitude.

It was my Yiddishe Grandmother, long gone before social media ever hit, who when I think about it, was a “maven” (Subject Matter Expert) in the world of social media. I’ve seen her work the social “networking” dynamic at level that few people get to encounter and it’s probably why I am so bullish on social media’s potential to be the major platform that will drive marketing for the next decade.

To appreciate why she was such a powerful teacher requires a brief understanding of her life. My Grandmother, Margit Grosz was born at the beginning of the 20^th century in Hungary – the daughter of a highly respected and mystical Hasidic rabbi. She married a young Rabbi and by the time World World II crashed in on her world, she had nine children. On December 3, 1944, she and eight of her youngest children marched into Bergen Belsen, (my father was the “oldest” at 15 and my youngest uncle a mere baby of about 8 months).

This story should have had a tragic end, but in fact she did the remarkable – she was able to save every single one of her children after having endured six months in the death camp. After the war, her influence broadened and she helped thousands as the “Rebbetzin”, literally meaning Rabbi’s wife but also conferring on her the honorary title of spiritual leader, of the shattered Hasidic survivors. As one her oldest grandchildren (out of 100ish), I often accompanied her on her expeditions (reluctantly I must admit) but  I had the chance to witness first hand how to create a thriving socially connected set of networks to the benefit of all. Her wisdom influences me today as I think about how to harness the power of social networking to achieve business results.

This list, inspired by her, I dedicate to her.

1. Keep it simple, direct and honest.

Perhaps the most powerful way to explain this point is explain how my Grandmother saved her children in Bergen Belsen. I will let my father’s account describe what happened next (written when he was in his in fifties):

The morning after our arrival, we were ordered to line up for “appel”, which was roll call. It commenced at 8:00 a.m.  One day, the snow was ankle deep and it was bitter cold. My youngest brother, Chaim, at only eight months was nursing. My mother tried her best to keep him warm and quiet in her arms. The other children were crying bitterly. The one-eyed officer suddenly approached my Mother and began to yell in her face; “What are they crying about? I have my job to do.”

My Mother answered simply; “Listen – can’t you hear the cries of my children?”

Then that one-eyed sergeant announced; “From now on, your children can remain in their bunks. I will come inside and count them in their beds every day.”

What is remarkable is that her simple, direct one line appeal, which seemed wholly inadequate, would have achieved such life savings results. This story cemented in my mind the power of direct engagement. Over the years, I saw again and again how her direct and simple approach achieved results beyond what would have been expected. I saw her get CEOs of major corporations to make major donations of money, goods and services and I saw politicians agree to her requests. Simplicity, directness and honesty is a powerful engine for influencing.

2. Keep engaging.

I never knew until my twenties that sometimes family fights resulted in a complete break down in communications. I had never witnessed it. In my world, if a family dispute escalated to the point of a complete rupture, she forced open the lines of communications. In her mind, keep engaging to keep people connected – no matter what.

That is true in social media too. One must keep the community engaged with people, management and technology. One must manage the interactions so that everyone can feel safe to participate.

3. Make sure everyone in the community benefits.

She had a remarkable ability to use the power of her diverse networks to the benefit of all. I saw how she fluidly moved from one network to another creating loose, cross network associations to achieve a task at hand. She got the CEO of Dupont to donate a huge shipment of contact paper twice a year to redecorate the heavily worn surfaces of the synagogues in the neighborhood (they could not afford new furniture). She then used the leftover it to redecorate and brighten desolate rooms in state run mental institutions for children. (Sidebar – It turned out years later, I learned that my husband’s uncle was a patient in one of the institutions she rehabilitated and who clearly remembered “The Rebbetzin”. What are the chances of that!!)

Translating this lesson to social network marketing means to learn to mix it up and create ways for different networks to cross pollinate so the there is exponential benefits to everyone.  For instance, create programs that pair x-genr’s looking to break into a new career with career veterans. Or create a program that pairs PC savvy kids from distant continents who share a similar passion. Well orchestrated, this is a potent power that can propel social networking programs.

4. Be generous with your time, talent and experience.

This lesson can be a challenge in today hyper connected, on call 24/7 business life. In the case of my Grandmother, if she was short of funds to buy gifts for kids over the holidays, she herself would crochet little dolls for them (and yes – she drafted us grandchildren to help her crochet her dolls). She devoted her time happily until the job was done.

In the context of social media marketing, this means showing social networking courtesy. If asked to donate your network to a good cause – do so. You can also create ways for members to be able to easily connect with each other by providing technology to enable video chat. Show communities how paying it forward always pays back in spades.

5. Assume the best in everyone.

I remember when I was little, my Grandmother was talking to a woman who had lost everyone in the war had become very bitter.  “How is it that you have no hate in your heart” in reference to a German neighbor. My Grandmother answered simply: “Eich hub niescht kan breraira”, “I have no choice”. In her mind, judgment or hate had no place in her world because she understood that it was a poison pill more harmful to her than anyone else. Instead, she assumed people to be of good character and intention and she operated accordingly.

This lesson holds true as we manage our social networks. We should assume that most people in communities are well meaning and well intentioned. Once we are guided by this principle, it puts a clear context for moderation business rules and community participation.

6. Be brave.

The most powerful way to bond community members is to be brave and share honestly with others. Being vulnerable demonstrates a strength that encourages others to gain courage. I learned this lesson when I observed her bravery time and again to venture outside her comfort zone to get what she needed for her community. Imagine the scene when my Grandmother, the Chasidic Rebbetzin who barely spoke English, went marching into the office of Dupont to ask for help. I admired her courage.

Bravery in the social media world requires guts and a willingness to put our company selves out there. A case in point is the recent Pepsi promotion where they used “crowdsourcing” to create their newest flavor. That kind of bravery encourages greatness in your community and in your marketing.

7. Create scalable intimacy.

There has been much research to suggest that our human brain can handle a community of, at most, about 150 people. A community larger than that and the cohesion begins to deteriorate. Similarly, it has been observed that, for instance, Twitter groups of a few hundred are intimate and interactive. Once you pass that threshold and cross into a group of thousands, interaction stops. My Grandmother understood this principle intuitively because she organized her social networks according to maternal line – not married couples. This was her uncharacteristic “data file system” which allowed her to manage multiple family groups of optimal size efficiently despite the vast expanses of family connections.

This lesson is probably one of the hardest for marketers to address because they need scale in order to achieve meaningful results, yet they must maintain the intimacy that social media allows. The trick, therefore, is to create tightly knit communities with synergistic interests that can bind but can scale too. An example, a book lover’s community where different genres can break off into micro communities. This might mean having hundreds of communities concurrently, but companies like Google, Dell and HP have developed programs to manage these diverse communities using lots of new technologies. At a smaller scale, there are self serve platform like SocialGo that help a company to manage groups efficiently.

8. Treat everyone with respect.

Seems obvious yet is surprisingly hard to execute in the social network world of today. The trick, as my Grandmother taught me is to refuse to categorize anyone according to stereotype segments. In her world she was blind to ethnicity, skin color, religious affiliation and or wealth. To her everyone was truly created equal and the simplicity of this approach created powerful allies for her. This principle applied to digital social networks would yield comparable results.

9. Think of others – not just yourself.

I leave this lesson for last because it was her hallmark and it was what made her beloved among the entire Hasidic community around the world. Translated to social media, it means that your goal for the network should be to create place for true connectivity and community – and not just for commerce purposes. It means introducing tools (e.g. video chat) and opportunities that enable connections and bonds that are can enrich all members.

If the orientation of the community is focused on the community — then there is a foundation for success. Focus outward before you focus inward.

There you have it – these 9 power lessons shape how I think about social networking today. I hope it inspires you too.

Judy Shapiro