Posts Tagged ‘ Social Media South Africa ’

The Facebook Effect

I cannot believe it is almost the middle of 2012 and I have not written a single blog post this year. So much has happened I would not even know where to start. I guess when you start a new business you do not have all the time you used to have as a freelance consultant. So for those wondering what I have been up to, check out DOTNXT FACEBOOK PAGE

So this post has been sitting in my ” potential blog posts ” folder for almost 6 months, and with the listing of Facebook this past week and all the buzz around it, I felt it was a relevant time to finally post it. The Facebook Effect is a presentation I put together for a talk I did towards the end of last year. I am always interested in reviewing presentations I did months ago, to see how much is still relevant.

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Secondly, I always enjoy a business / financial angle when looking at the various different social media and other technology phenomenon’s shaping the business world of today. Technology has been my world for the last 5 years, and I am slowly making up my 10 000 hours of analysis. Some interesting facts to note for today:

1. In the Global BrandZ Report done by Millward Brown – technology companies ( including telcoms)  now form more than 70% of the top 10 brands, with McDonalds being the only non tech brand in the Top5. No surprize Apple is number 1 ofcourse.

Locally in South Africa, the picture is painted with a couple of different colours, with Telcoms, Banking and Retail still leading the way.

Read more about the above here: MOST VALUABLE SOUTH AFRICAN BRANDS 2012

2. FACEBOOK IPO: Is the company overvalued? And when will the social bubble burst, if ever? These are questions I cannot answer. According to Reuters debates continue over what Facebook is really worth. With the company valued at about $85 billion at the market close Tuesday, and a P/E of 60 for expected 2012 results, who knows. But one thing will always remain true, the Finance will fail, not the technology. As a very smart lecturer once told me, after the .com bubble burst, the Internet did not go away, in fact the opposite happened, it kept evolving and growing into a key ingredient in all of our lives. The finance of the companies merely enabled by the Internet burst. No difference with the new wave of Social Technologies.

I found the below article ( by the NYT, The Facebook Offering: How It Compares)  really insightful and thought relevant to share here. CLICK HERE FOR FULL ARTICLE

3. Lastly, what does all of this mean for me?

As I always say,

I think we often get so wrapped up in the marketing and technology side of things, and more recently the focus on ” Human Capital ” that the only real missing link for me is ” THE FINANCE ” . We need more Digital Business Analysts. We need more finance people in the technology / marketing industry in South Africa.

Last night on the plane to JHB I read an article about Roelof Botha, and it made me want to find the Sequoia Capital of South Africa. I realize our financial eco system is very different here in South Africa, but to me that poses more opportunity than anything else.

Time to try something new.

A space to innovate, collaborate and close the gap between finance, technology, marketing and people. This new world of DOTNXT where I find myself living in these days.

Till next time,

A

The Changing World We Live In

We all have different opinions and experiences influencing our perception of when the world started changing, personally for me it all started back in April 2005 when Thomas L. Friedman published one of the most influential books probably released that year –

http://www.thomaslfriedman.com/bookshelf/the-world-is-flat
We were entering Globalization 3, and it happened whilst we were sleeping. The world has changed from:
Countries ——>    Companies ——>    Individuals
The world became a flat global playing platform, the product of:

horizontal convergence of the Personal Computer, Fibre Optical Cables, Workflow Software & Standardized protocols, The Internet and later the WWW which brought about a technological revolution that transformed every aspect of business, life & society, which not even the Global Conglomerates could have prepared for.

My favourite flattener and most indulged concept since, that day in April 2005 when I read the whole book in one day, have always been “The Steroids”
“ Technologies that turbo charges and enables information  – digitization; at high speed; wirelessly (mobile) shared on personal devices –
FASTER< FARTHER<CHEAPER and more easily!

And this is exactly where the Google’s, the tweeters, the ipads, the Facebook’s of the world fit in.Soon after the “The World is Flat” , the discovery of things exploded as more and more journalists, authors and bloggers  illustrated the changing world we live in, and each in their own individual right trying to make sense of this phenomena we find ourselves living through.

Think, Freakanomics, Tipping Point, Google, Life Inc, 7 habits of highly effective people, Good to Great, Who moved my cheese? , The Power of Now, The Innovators Dillema and more recently – SUPERCONNECT

Snippets below from a presentation illustrates where my thoughts are floating:

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Opening Keynote at the Creative Company Conference by arne van oosterom (SOURCE)

Soon organizations started changing, with unconventional ways of thinking, where the old age of bureaucracy and people management are influenced by the changing world we live in –

The MEDIA REVOLUTION – key ingredient in the changing world we live in:

And today we are presented with what is called Web 3.0:

Digital convergence is taking on new meaning as we start seeing the proliferation of  the internet across television, mobile devices and any other electronic devices both online & offline. The word interactivity takes on new meaning.

Technological innovations both online and offline brought about a modern day culture recently defined as the “ Innovation Insanity “ The media realized that the power are shifting into the hands of the consumers and publishing took on a different style of make up. People all over the world are realizing the playground is becoming smaller, and we are moving into an era where soon it will be one Global Technologically Connected world we live in.

The impact on society stretches into every industry where technological innovations and the internet changes the workplace, medicine, dating, drinking, eating, feeling, communicating, publishing, designing, developing, etc

In marketing, or real marketing as I like to call it, I feel the fight for digital can end now. It is no longer about budgets shifting or modern vs traditional or above, below, through or ontop of some silly line that no one even knows what it stands for. Technology is supposed to be integrated; it is about making lives better and bringing more relevant offerings. It is about increasing marketing effectiveness, lowering costs for research, it is about involving the customer. It is about publishers – no longer simply producing content, but rather “ packaged information” tailored according to behavioural and social habit analysis.

It is about connecting the dots, between people, products, places, information and this thing called life.

It is about the changing world we live in.

Integrate it.

Social Media, A Strategic Love Affair

Biggest Influencers are your biggest fans

Not only do they know your product backwards, they worship it, they are the best people to sell the brand for you. Ofcourse still be selective, you also need the right type of fans

The Power of Online Social Media

The value of communication in any influencers’ strategy is uncountable. You have to make use of the most relevant medium of communication – phonecalls and sms are annoying, really annoying. Emails have the wrong association – work.  Personal interaction  – cant be on a regular basis – bit too close to home. Social Media is the only way communication becomes an actual two-way dialogue. Its main advantage is that it provides you with a platform where the consumer gets to choose. And the beauty of advanced targeting analysis tools online, is that they work best in social media. Where you can build a brand online first, quick and cost effective, and once introduced into the real world, still maintain the online platform for continuous communication. A platform now already a home to many, just works better. Brand Building Opportunities in a world where the consumer really is king – as they partially developed it – is refreshingly effective. An excellent product brand alignment strategy.

Start an online community – even just a blog at first if investment capital levels are relatively low.
Think IdeaBounty meets TalphaCreative. Think TV meets Telephone.

Research

I did my thesis on a similar concept explored in a mass market. A lot easier to capitalize on community influence, especially when the predominant culture is the Ubuntu culture. One of the stronger cultural influences is collectivism. The power of the individual in product choice is vital. The power of collectivism in communication is just as important.

In a world made up of the bottom of the pyramid,a single social improvement has more impact than 1000 different aspirations. A memory made in reality is worth more than just another empty promise. The collectivism in communication is actually poor logic. The reason why people advertise on Television. However, the part so often left forgotten is the choice of communication. You cant possibly speak to me the way you speak to everyone else, perhaps a select few but definitely not the entire country.
Collective Communication in an online world is even easier. No one way TV screen, but a real time I choose when because you are always there and plenty of cool stuff to do so that I want to come back all the time to come and explore. I actually prefer using email & internet applications to communicate on my mobile phone as I get to choose when, how long and about what I feel like communicating.

The standard one-way message becomes less of a message but a conversation, simply a consumer push strategy.

I am falling more and more in love with Social Media