the hype cycle

Christopher Frank (VP at American Express) and Paul Magnone (Director at Openet) have written a book entitled Drinking from the Fire Hose – Making Smarter Decisions Without Drowning in Information.  I definitely recommend the book.  In one chapter they reference the ‘hype cycle’, a term developed by the Gartner Group in the mid-90s and used today to evaluate technologies and trends.

The hype cycle is a common pattern seen in people’s expectations when exposed to a new idea or new technology (think Apple products like iPad or social media like Twitter).  People initially get very excited then all to often what is new doesn’t live up to early expectations and only over time does the best use of the new idea or technology become clear.

I just read an article today that appeared in the San Francisco Chronicle raising the question about whether the Pinterest bubble is bursting.  The story points out that monthly active users are down from 11.3 million on March 1 to 11.15 million on April 1 to just 8.3 million today.  The author speculates that Pinterest will continue shedding early adopters (the trough of disillusionment) and then start growing again (slope of enlightenment).

Has your organization or corporation gotten sucked into a hype cycle?  It is easy to do.  The point they make is if you use short-term data to guide your long term business decisions, your win/loss record is going to be somewhat erratic.  They use a conversation about the hype cycle as the basis from which to offer several recommendations, here are a few:

1. Watch out for discussions that focus on “recent trends” and short-term projections.
2. Even if changes are statistically significant, remember to ask yourself, “Are they meaningful?”
3. Always ask yourself whether the short-term change is sustainable.

Great advice whenever you’re analyzing data as part of a strategy development process.  The authors close their book with this quote:

“At the end of the day, it is the golden few who understand the power of data, know the questions to ask to separate the wheat from the chaff, connect it to business, and then use it to engage the customer to achieve revenue objectives.  We have seen innovations missed, opportunities passed by, and customers lost because people did not know how to create and deliver insights.

Amen!

the power of social media – again

This morning on Up with Chris Hayes on MSNBC, one of Chris’ guests spoke about the viral Facebook campaign “Israel Loves Iran” – an effort launched by Israeli graphic designer Ronny Edry to provide everyday Iranians and Israelis who oppose a war between the two countries a space to interact.  As of today the page has 62,648 likes and features images like this:

At a time when diplomatic tensions continue to escalate between governments, social media is creating a space for ordinary people to express their desire to live in peace.

“For there to be a war between us, we must first be afraid of one another, we must hate,” Edry says in this video.  “I’m not afraid of you. I don’t hate you. I don’t even know you. No Iranian ever did me … harm. I never even met an Iranian, just one in a museum in Paris – nice dude.”

There should be no doubt that social media is an invaluable tool for those who wish to prompt collective action.  Time will tell whether or not this effort will have the desired result.  We can hope.

 

inspiration from banking

Over the past 7 years I’ve had the opportunity to work with many banks and credit unions around the United States.  One of my trusted resources for insights into financial services marketing comes from Jeffry Pilcher and his website TheFinancialBrand.com. 

This morning he ran a great article featuring the best of bank marketing on YouTube.  There are several examples worth noting, but this one from Norwegian bank DNB stands out!  As Jeffry describes it:

DNB recruited Norway’s most famous choir, the Norwegian Broadcasting Boys Choir, to sing all of the messages for its automated, touch-tone telebank. For the entire Christmas season, every word on DNB’s phone banking system was sung by angelic voices. The concept is brilliant, the execution is beautiful.

I hope the video inspires you to think a little differently about marketing.  You may view it here.

 

vote. give. grow.

A very busy first quarter has resulted in a quiet blog for the past few months.  But, as you might expect, the topic that would prompt me to post again would be…yes…of course…Starbucks. 

I noticed their latest campaign a few weeks ago while I was in Seattle, and learned more about it this morning in a Media Post article found here.  Essentially the company has introduced a program that enables My Starbucks Rewards members to vote to determine how $4 million in donations to local community and national nonprofit organizations will be distributed.  This campaign also coincides with their Global Month of Service campaign in April - where partners will lead community service projects focused on the individual needs of the neighborhoods where they live and work.

Why do I find this so compelling?  Starbucks knows that promoting its commitment as corporate citizens through meaningful initiatives fosters customer loyalty.  They put their values into action and make certain that every employee is engaged in bringing those values to life (as demonstrated in this video).  How are your employees expressing your corporate values?