IS Undergrads Class 19

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MEASURING OCE Unique visitors; Page views; Session time; Click-throughs; Registered members; Frequency of postings; Read-to-post ratio; ... measure the community’s health but say little about the community’s value

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Transcript of IS Undergrads Class 19

Page 1: IS Undergrads Class 19

MEASURING OCE

Unique visitors;

Page views;

Session time;

Click-throughs;

Registered members;

Frequency of postings;

Read-to-post ratio;

... measure the community’s health but say little about the community’s

value

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ROI: Community members are worth more

• Assisted buy– Forrester: 30% of cummunity members are there to

seek help in buying

• Self-selection of advertising targets– Forrester People are 27 times more likely to respond

to email they volunteered to receive

• Repeat visits– Bain: Value of purchases by repeat visits is 57%

higher than that of first visits

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Customers online, really

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Varieties of online customer practice

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Two types of innovations

An innovation is a MANUFACTURER innovation when the developer expects to benefit by SELLING it.

An innovation is a USER innovation when the developer

expects to benefit by USING it

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Two types of innovations

Users:

Functionally novel

innovations

First nutrition bar

Manufactures:

Improvements

Better tasting

nutrition bar

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First device used in field built by:

Innovations

Affecting% User User Mfg.

Gas

Chromatography83% 10 2

Nuclear Magnetic

Resonance

Spectrometry

80% 12 3

Ultraviolet

Spectrophotometry100% 6 0

Transmission

Electron

Microscopy

72% 44 17

Total 77% 72 22

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IM is a User Innovation

• 1987 MIT Lab for Computer Science

had1000s of workstations and

difficulties diffusing system admin info

rapidly. Developed “Zephyr” instant

message system.

• MIT students begin to use for general

instant messaging.

• Other universities adopted Zephyr-like

programs

First Commercial Product 9 years later

• 1996 Israeli firm Mirabilis put out

comml product ICQ

• 1998 Mirabilis acquired by AOL

Not all users are created equally

Expect to obtain high

benefit from a solution to their needs. (Such

users are more likely to innovate – “Necessity is

the mother of invention!”)

Have needs that foreshadow general

demand in the marketplace

Lead

users

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Exercise

New fashion trends start on the street and the high school playground

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Exercise

New fashion trends start on the street and the high school playground

Imagine you are the CEO of Christian Dior, how would you use online communities to capture user innovations in fashion?

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Varieties of online customer practice

Joao Vieira da CunhaInformation systems 20

Network armies...

…are products of the Internet Age, united not by geography but by common cause and technology that lets them communicate freely and instantly. There's no leader, no command and control structure, just a potent ability to mobilize. (...)

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Joao Vieira da CunhaInformation systems 21

Network army defined

• Affiliation based on ideology, not geography

• Public communications

• Communities and individuals with disparate agendas, aligning on a common purpose

• “Influencers” vs. formal “leadership” or organizational infrastructure

• Examples: anti-globalization coalition; terrorist networks; bloggers

Joao Vieira da CunhaInformation systems 22

“The marching avatars are digital simulacra of today's exploited masses of neoliberalism: précaires, precari@s, precari, cognitarie, contingent knowledge and service workers.We are a mixed bunch, a heterogeneous multitude of precarious jobs and lives. Yet we have not spawn out of fordist assembly chains, but out of dystopian retail chains and office spaces. “

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Joao Vieira da CunhaInformation systems 23

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Varieties of online customer practice

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F/OSS

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What is Free/OS software?

Free to copy

Free to make derivative works

Free to redistribute

Usable by anybody for anything

Royalty-free!

Broad rightsViral licensing

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Joao Vieira da CunhaInformation systems 29

SourceForge

The largest home for open Source Projects

.8 Million Users / 75 Thousand Projects

1 Million Emails a day

Market Cap? Redhat $3 Billion, Yahoo $40B

UK municipalities are increasingly on OpenOffice

The numbers

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The server market

Joao Vieira da CunhaInformation systems 32

The potential of OpenSource

• No Scarcity of Talent

– The entire planet

• No Scarcity of Ideas

– Ideas aren’t scarce

– What’s scarce is people in the right context

• No Scarcity of Effort

– to debug, polish, document.