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UNIVERSITY OF JOHANNESBURG
5 of September 2007
Overview of WEB 2.0Markets are conversations
Rosario Sica
e-mail: [email protected]
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Scenario del WEB 2.0Age of “user-generated content”
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TIME December
2006
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A big phenomenon: the barriers of technology fall awayThe era of “user-generated content”
Open encyclopaedia
60 mil. Access a day Over 5 mil of entries worldwide (+107%) (201.000 in Italy, + 80%). 4 million registered users
300 mil pages viewed a day(+122% ultimo anno)
7,5 mil registered users 400 million pages viewed a
day
120 mil registered users[Google bought for $1,6 Bil]
[News Corp bought for $580 Mil]
65 mil users registered
social book marking and folksonomy
( 2003)
business networking and endorsement
social broadcasting( 2004)
Social networking
[Yahoo bought in 2006]
6 mil users registered
sharing photos with people ( 2003)
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Web 2.0: overview
Web 1.0 Static view Browsing HTML
Personal site Content Mgmt system Directory / Taxonomy Top down
Web 2.0 Social platform Feed reader/Syndication AJAX/ Portlet assembled
by the user Blog Wiki Tag/Folksonomy Peer to peer
Web 2.0 facilitates collective intelligence
Collaboration, Capitalization, Knowledge Sharing, ConvergenceSource: www.oreillynet.com
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From Gutenberg to Berners-Lee Some specific phenomena
The users are the goal Target/Segment of the market Hierarchy Taxonomy Production capacity Mass market Top down/Bottom up Push
Discussions
The users are the producers Community Social Networking Folksonomy Reputation and competency Market mass Peer to peer Pull
Conversations
GutenbergThe era of mass media
Berners-LeeThe era of social networking
and conversation
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The cluetrain Manifesto
The end of business as usual Naked conversations
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Theses 1 – 6: Markets are Conversations
….95 theses…
Historically, the authors state, the marketplace was a location where people gathered and talked to each other (thesis 1): they would discuss available products, price, reputation and in doing so connect with others (theses 2-5.) The authors then assert that the internet is providing a means for anyone connected to the internet to re-enter such a virtual marketplace and once again achieve such a level of communication between people. This, prior to the internet, had not been available in the age of mass media (thesis 6.)
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The voice of the customer: market becoming conversation
Companies are developing new ways of relating to the market, thus taking the client inside the processes of communication and innovation of the companies.
This process of innovation concerns all the companies that are already using the mode of conversation with customers to gain a competitive edge and others that are using the web 2.0 to begin a new relationship with the customer.
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The phenomenon of Blog
http://news.netcraft.com/archives/web_server_survey.html
Over 50 million of Blogs (as at 09/2006). Doubling every six months
75.000 Blogs created every day
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Is it true that markets are conversations?The future of the brands is in the interactions withclients, not in the products”
The Blog of the President of Sun Microsistems, Jonathan Schwartz
http://blogs.sun.com/jonathan/
The launch of the Fiat Bravo with the conversations of clients
www.quellichebravo.it
Innovation of new product (Lego Mindstorm) with communities of customers
The Blog of the CEO of DUCATI
http://blog.ducati.com/
The company answer the case
Kriptonite http://www.blogs4biz.info/index.php?title=la_lezione_di_kriptonite_e_kensington&more=1&c=1&tb=1&pb=1
Naked Conversations: How Blogs are Changing the Way Businesses Talk with Customers (Hardcover)
ROBERT SCOLBE
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Is it true that markets are conversations?The future of the brands is in the interactions with clients, not in the products”
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Fiat: a case of innovation in the greatest turnaround of all time
The contest of the turnaround♦ June 2004:
10 bil. € loss in past five years Company on the edge of
bankruptcy.♦ September 2006:
Increase in sales of 21% Market share in Europe up to
7,7% Operating Margin of 1,2%
♦ December 2006: Turnover of 52 bil. €
♦ Business Plan 2007-2010: Market share in Europe over 11% Operating Margin in 2010 over
6%
Case history♦ Fiat Bravo♦ Fiat 500
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The launch of a new product based on conversations with client
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Conclusion
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The “Millennials” Generation
Born 1980 - 2000 Raised with internet Always online Multitasking is their mode of operation They prefer multimedia rather than text
– What they ask?
Working in teams in a collaborative environment Up-to-date technology A forward thinking, responsive and innovative
company
Source: Is Europe ready for the millennials? Forrest Consulting Research, November 2006
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References: Forrester Consulting Research: Is Europe Ready For The Millennials? Don Tapscott and Anthony D. Williams: WIKINOMICS Jane Klobas: Over WIKIPEDIA Clutrain Manifesto: Rick Levine,Christofer Locke, Doc Searls e David Weinberger Thomas Friedman: The world is flat David Kline: BLOG! Community management: Processi informali, social networking e tecnologie Web 2.0 per coltivare la
conoscenza nelle organizzazioni di Rosario Sica e Emanuele Scotti
http://del.icio.us http://www.oreillynet.com http://www.go2web20.net
“A computer without internet is like a paperweight .”
- e-mail: [email protected] -