Citizen Powered Question Time

The Coalition government’s efforts to involve the electorate in helping to shape policy and spending decisions – what David Cameron describes as the ‘largest public engagement project ever launched by the British Government’ – closely follows a template created by Barack Obama.  For the second year running, Obama has appeared on YouTube in a live question and answer session, responding to video and text questions posted and chosen by the American public – what they describe in America as “a virtual townhall gathering”.   By the time the interview was broadcast last week, over 140,000 questions had been received and 1 million people had expressed their opinion on which of them should be put to the President.

As the host says in the introduction to this particular clip: “This is the internet and on the internet people love to have a more personal relationship with their elected officials.” I have no doubt that Cameron and his team are already planning their own citizen-powered question time.

http://www.youtube.com/watch?v=pWwBdlOJkn4

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The Year of Slacktivism and Hacktivism

This has been the year in which the words ‘slacktivism’ and ‘hacktivism’ made it into the collective dictionary.    In the eyes of many political and social campaigners, what often passes for protest in the digital world – signing an online petition or changing your profile picture on Facebook to demonstrate your support for a cause – is mere tokenism or, in the latest parlance, slacktivism.   Malcolm Gladwell attracted a huge amount of unfair criticism when writing in The New Yorker how this type of low involvement, low risk activism  hardly compares with the political battles of the 1960s, when people literally risked their lives in the cause of civil rights.   By this way of thinking, social media is not heralding a reawakening of popular activism.  It can play a major role in organising protest movements – whether against the imposition of student fees or  what appear to be the tax avoidance strategies of major corporations – but the real battles are still being waged at street level.  It is only when the windows of Topshop in Oxford Street are smashed or the stepson of a former rock star decides to swing on the flag at the top of the Cenotaph that the protest is deemed to be real.

The rise of hacktivism provides a counterpoint to this view that protests or other forms of direct action have to take place in the real, as opposed to the virtual world.  The ability of a loosely aligned group of computer hackers to infiltrate the websites of companies accused of preventing the dissemination of Wikileaks material, has thrown the corporate security experts into a mad panic.  Companies with a significant e-commerce business are particularly vulnerable.  According to The Times, “Cyber security experts report a surge in calls from companies worried about their defences against such attacks.” This underlines how the distribution of power in the online world is asymmetric. All of the advantages now lie with the activists. They have the expertise to use the latest technology – the WikiLeaks team uses cryptography to hide the identity of its people and make it next to impossible to trace content to a specific internet address – and know how to get the online community on their side by playing the freedom of expression card. The activists may still, on occasion, take to the barricades, but the real victories are increasingly likely to be achieved in cyber-space.

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Introducing Loose

The core argument in my new book is that all institutions need to adopt a looser approach to the way that they operate if they are to survive and thrive in our highly complex world. Agility, flexibility and the ability to improvise will become the defining characteristics of successful businesses, whilst those institutions that rely on tight thinking – the imposition of rules, fixed processes, hierarchical structures – and are over dependent on long-term strategic planning, will struggle.

‘Loose’ is a challenging word. For many business experts it appears to espouse chaos, rather than structure, solid organisation and the benefit of accumulated knowledge. It sounds unprofessional and dangerously informal; an excuse to avoid due process, careful analysis and rigorous thought. It may be fine for a freewheeling, technology start-up in Silicon Valley, but how can it make sense for major corporations, employing tens of thousands of people and responsible for satisfying the demands of millions of global customers or for governments trying to balance debt reduction with escalating social problems?  By the time you reach the end of the book, my hope is that this question no longer applies. By describing how looser ways of thinking and operating are beginning to pervade even the largest and most complex institutions, from global corporations to government departments, my aim is to give business leaders the confidence and the ammunition to loosen up.

New patterns of consumer behaviour and changing expectations, new technology, combined with a bewilderingly complex social, cultural, economic, political and environmental landscape, make loose thinking and working more important than ever. Centralised, hierarchical systems made sense in a world in which information and knowledge were relatively scarce commodities and could be tightly controlled, but the decentralisation of knowledge, brought about by the inexorable rise of the internet, combined with a collapse of trust in traditional sources of authority and expertise legitimises the creation of flatter, decentralised operational models.   Rapidly changing customer expectations are also forcing institutions to operate and respond in real time, turning longer term planning and cautious, careful deliberation into luxuries that few organizations can afford.

The book is due for publication on 3rd March. The publishers have produced a booklet for their salesforce, that features the opening chapter and summarises the argument. If you would like a copy, send an email to martin@crowdsurfing.net.  Better still, you can now pre order the book on Amazon.

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Popular Subversion and the Christmas No. 1

The battle for the number one spot in the Christmas music charts has become a very public platform for popular subversion. The campaign that took Rage Against the Machine to the top of last year’s Christmas charts – beating X-Factor winner Joe McElderry - was described by one music retailer as “the greatest chart upset ever.” This year’s Christmas chart battle promises to be even more anarchic, demonstrating the power of social media to help informal communities unite behind a shared interest, whether it is a love of random 80s pop hits or hatred of Cowell karaoke. All it needs is a few passionate individuals with a reasonable understanding of social media and an idea that appeals both to the nation’s sense of humour and (in the wake of our complete collapse of faith in most political and commercial institutions) its appetite for undermining authority figures, especially those wearing trousers with a high waistband.

Some of the songs threatening to drive us mad in the build up to Christmas include John Cage’s 4’33″ (four and a half minutes of silence), which appears to have been chosen purely to provide lovers of weak puns with an opportunity to use the line ‘Cage against the machine‘; The Trashmen’s spectacularly annoying ‘The Bird is the word‘ (AKA Surfin’ Bird) and yet another outing for Rick Astley’s ‘Never gonna give you up.’

None as yet appear to have the subversive or viral potential of ‘Rage’ … so the bookies still have the X-Factor winner as their strong favourite to top the charts, but there is still time for a popular and topical musical cause to emerge … maybe White Riot by the Clash in homage to the recent student protests … or Pink Floyd’s ‘Money’ to mark the return of the City bonus culture.

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Why The Tea Party revels in its lack of organisation

They may come across as a bizarre collection of cranks and extremists, but the emergence of The Team Party movement has important implications for students of consumer behaviour. It started in early 2009 as a largely spontaneous, grassroots protest against the US government’s $787 billion economic stimulus package and Obama’s healthcare plans. Despite its name, it isn’t really a political party, but more of an informal movement, without leadership, structure, coherent narrative or any real discipline. Writing in The New Yorker, Ben McGrath described how “The amateur nature of the operation was a matter of pride to all those who were taking an active interest, in many cases for the first time in their lives, in the cause of governance.”

In many ways The Tea Party is similar in structure, if not in political philosophy, to the anti-globalisation movement, which also embraces a broad range of (often extreme) causes and interests and operates without defined leadership or formal structure. Both are typical of the type of decentralised networks described by Clay Shirky in his book Here Comes Everybody. Shirky talks about how historically we haven’t been able to achieve organisation without some form of institutional structure, typically one built around a hierarchy of authority. The double meaning of the word ‘organisation’ to describe both the means and the outcome – we need an ‘organisation’ to achieve ‘organisation’ – was beyond challenge. Shirky argues that this traditional way of thinking has been subverted by the emergence of online networks which are “enabling novel forms of collective action, enabling the creation of collaborative groups that are larger and more distributed than at any other time in history. The scope of work that can be done by non institutional groups is a profound challenge to the status quo.”

Social media evangelists, such as Shirky, like to depict this type of collective behaviour as largely a byproduct of new media technologies, but I would argue that we are dealing with something far more profound and deep-rooted. For a start, it isn’t simply confined to the internet. It is all too easy to think of consumer empowerment as simply a web based phenomenon, but something interesting is also happening beyond the world of social media: public meetings are suddenly all the rage. Not content with simply meeting in a virtual capacity, people increasingly see value in coming together as a physical community – from single issue protest groups to neighbourhood action groups and residents’ associations. The trend was spotted by The Times Magazine, with Alan Franks, commenting that: “Just when you thought everything had gone virtual and we’d lost our ability to communicate except by Facebook, back comes the public meeting. Suddenly we’re talking again. There are more open gatherings now than 30 years ago, convened for reasons as diverse as the philosophy of Heidegger and the flowering cherry on the corner of Park Crescent that sadly has to go.”

This is potentially even more interesting than the rise of social media. Becoming involved in an online protest movement is relatively easy – you don’t have to move from the computer or mobile keyboard. As Malcolm Gladwell pointed out in a recent article in The New Yorker, which attracted a huge amount of unfair criticism from social media commentators, this form of activism hardly compares with the political battles of the 1960s, when people literally risked their lives in the cause of civil rights. I love the use of the term “slacktivism” to describe this low risk, low involvement form of protest.

In contrast, getting off your backside and attending a public meeting requires a genuine commitment. The people prepared to do this are likely to be the real change agents within society. In the final months of the Labour administration, Hazel Blears – in a thinly disguised attack on Gordon Brown’s clumsy appearance on YouTube – described how using social media was no substitute for real, grassroots political campaigning , such as knocking on doors, setting up a stall in a town centre or debating issues at public meetings. Her comments were seized on by some commentators as an example of political Ludditism, but Blears wasn’t really attacking the party’s use of social media, but making the point that political arguments cannot simply be expressed through digital or virtual channels: sometimes, even the most wired, digitally-savvy politicians have to go face-to-face with the electorate.

This is something that The Tea Party most definitely understands. Its political power and influence has been built on meetings in community halls across the heartland of America, rather than a sophisticated use of new technology, and its use of simple messages – appealing to many Americans’ visceral hatred of central government – has been highly effective at cutting through the media clutter. Obama’s more sober and nuanced analysis of issues may be more appealing to European ears, but the simple rhetoric and tactics deployed by The Tea Party appears to be far more effective in shaping opinion and influencing behaviour.

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Gap in search of backbone

In an all to typical example of how corporations lose their backbone in the face of a social media-based protest, Gap has asked people to suggest new designs for its logo, only a week after unveiling a new corporate identity.

Having no doubt spent hundreds of thousands of dollars developing and researching the new logo – which the company claims to “love” - Gap has simply recoiled in the face of an inevitable social media protest, which doesn’t say much for the integrity of its design development process or the quality of its people and agencies.

As we discussed in Crowd Surfing, the crowd isn’t always right – whether a pitchfork wielding mob roaming the streets or a Facebook protest group.  One of the key skills of brand managers (or crowd surfers) in this new age is to be able to judge situations and decide whether to change policy or direction in response to public criticism.  The time to crowd source the logo was right at the beginning of the development process – doing it now makes Gap look weak and unprofessional.  Some have suggested that this is simply a publicity stunt and that Gap had always intended to involve consumers in the design of its new identity.  If so, and personally I doubt it, it is a pretty oblique way to handle a crowd sourced design brief.

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Managing the Community

Two great examples of how to build online communities were presented at yesterday’s Social Media Academy B-B Conference.  RS Components, working in collaboration with the team at FreshNetworks, has built a community of over 17,000 electronics design engineers from 139 countries in only three months.  The DesignSpark community provides the engineers with free software tools (many of which were developed by community members), discussion groups and unbiased product reviews.  According to Mike Bray, Electronics Marketing Manager, RS Components, the aim is to “Improve customer support, speed customers’ time to market and make it easier for engineers to search, select and use the right components.”

The engineers were recruited through a seeding programme managed by FreshNetworks, focusing on key influencers and supported by trade PR and advertising.  Existing customers were offered the opportunity to become ‘foundation members’ and the local RS Components offices are actively encouraged to support the recruitment programme.  The community is managed by an external PR/social media consultant (who happens to have an electronics degree) and a small internal team.  The company spends around £1 million on building and supporting the community.  It has proven to be so successful that financial analysts have upgraded the target share price of RS’ parent company, Electrocomponents plc., which has certainly made it easier to sell the benefits to a typically cynical CFO.   The people behind the initiative believe that it will become self-sustaining within 18 months, after which time they can effectively hand over control of the community to its members.

The second example was presented by Rory Webber, Marketing and Community Development Manager at Lexis Nexis.    The company has created a closed community for the legal profession, Martindale.com Connected, to support its legal publishing business.  It current has 36,ooo members from 160 countries, who were recruited through a series of exclusive online events, online marketing, email and PR.  Extensive research is undertaken to ensure that the site content covers the most important and valuable subject areas for the community and Webber is also careful to ensure that Lexis Nexis does not use the site as an overt sales platform.  If the members of the community feel they are being sold to, they are likely to walk away, which makes it a difficult balancing act for the community manager.

Webber is one of a new breed of community development managers, combining a knowledge of marketing, PR, sales and social media.  It is easy to envisage that within a few years, this role will become established and highly valued in every major corporation.  In fact, if you are looking for a future-proofed career opportunity in marketing, you could do worse than consider online community management.

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Dell Revisited

Sometimes  it pays to revisit the more well-thumbed case studies to establish whether the companies involved have been able to achieve sustainable success.  Dell featured prominently in Crowd Surfing as we charted its recovery from Dell Hell to the epitome of the new model corporation.   I am currently chairing a series of conferences for Social Media Academy and during yesterday’s conference on the rise of Twitter, was able to listen, at first hand, to Dell’s EMEA Head of Retail Marketing, Mat Finch talking about the company’s latest initiatives.  Finch was honest enough to admit that the company still has much to learn, but his presentation underlined the extent to which Dell has become one of the most effective users of social media.  Here are some of the headlines:

  • All Dell employees are encouraged to be active users of social media.  They are provided with training and a simple set of guidelines and encouraged to talk about whatever interests them.  In the words of Mat Finch, “They are given the freedom to speak and have opinions.”
  • Twitter has become a key platform for Dell, as a means of promoting offers & sales, providing technical advice and supporting specialist communities.  The company likes to think of Twitter as “a feedback loop rather than a broadcast channel.”
  • Over 100 people within Dell are actively Tweeting on the company’s behalf, including Michael Dell. 
  • The company’s use of Twitter has resulted in a significant & measurable reduction in their call centre costs
  • Using Twitter to promote the Dell Outlet (which features remaindered stock) has generated £3m worth of sales
  • IdeaStorm- one of the first structured attempts at crowdsourcing – continues to generate ideas … 14,635 to date, of which over 400 have been implemented

If you are interested in following the other headlines from yesterday’s conference, check out #twitterconf

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We’re all lawyers now

When I was at university, the law students were the ones burning the midnight oil in the library and even after they graduated, they had to go through years of Law School before they could be let loose on the statute book.  It now appears that they wasted their time, because the cuddly Coalition now running the UK has decided that we are all legal experts.  As from today, we have been invited to submit our suggestions for which laws or regulations should be changed; all in the interests of creating “a more open and less intrusive society”.  His royal Cleggness has appeared on YouTube to tell us why this is such a good idea. 

Crowdsourcing new flavours of Walkers crisps is one thing, but applying this approach to the passing of legislation strikes me as being completely superficial.  It will simply provide a platform for unrepresentative, extremist views, from both left and right, advocating such things as the legalisation of cannabis, the removal of speed cameras, the hanging of health and safety officers and the right to lock up anyone who doesn’t read The Daily Mail. 

This is populist politics at its most puerile, giving people the illusion that their opinions matter.  Drafting legislation is a complicated process, with numerous checks and balances built into the system.  It rarely produces perfect laws, but it is far better than legislation which panders to popular prejudice.

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Amplifying the volume of moaning

Interesting post from Ben Bold describing P&G’s frustration with the way that social media appeared to exagerate customer complaints about the latest Pampers product.  When looked at from a positive perspective, social media is ‘word of mouth of steroids’, but, as P&G has discovered, it can also ’amplify the volume of moaning.’  To paraphrase the old tree falling in a forest line, if a customers moans but you can’t hear them, does it make it a complaint?

Ironically the fact that 11,000 people chose to join a Facebook Group demanding that the company bring back the old version of Pampers is a massive testament to the power of the brand.  It should also guarantee P&G’s social media department a decent budget increase during the next round of internal negotiations.

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