Category Archives: News

Top 10 business models 2010


He guys,

I came across this presentation about the top 10 business models of 2010.

Some of them are quite known by now, like Groupon, Spotify.com, Flattr.com, while others are less known, like PatientsLikeMe.com and paywithatweet.com.

Complete list:

Patientslikeme.com, Flattr.com, Groupon.com, Spotify.com, PayWithaTweet.com, HumbleBundle.com, Quirky.com, Airbnb.com, Clickworker.com, Kickstarter.com.

Interesting to see is that quite lot of them actively involve the consumer. For instance at PatientsLikeMe.com people can give feedback about their expierence, and other people can learn about that through the forum, simple as that. Only thing provided by patientslikeme.com is the forum and the network.

Quirky.com offers a co-creation platform, where it pays out all the influencers.

The presentation gives an example for all the business models, and describes the rationale behind the model (how it makes money in the end).

Can you think of the most innovative business models of 2011?

Rihan

Online vs. Print Ad-spending, some expectations.


According to a study by eMarketer in 2012, for the first time in US history, the ad spendings on online advertisement will surpass the spendings on printed ads in magazines and newspapers. Since we had a slight discussion during the UnMe Jeans roleplaying part in class about different media types to use as promotional tool I thought it might be interesting to share some of this study’s findings with you all, my dear companions.

Expected for 2012 $39.5 billion will be spent on online ads, which is an 23,3% increase compared to the spendings in 2011 ($32 billion). This while spendings on printed ads are expected to be $33.8 billion, according to the great analysts over at eMarketer. A +23,3% change in online ad spenditure is quite a lot, especially because the fact that a year before (2010 vs. 2011) the same rate was calculated at +23%. Looking at the upcoming years eMarketer expects the online advertisement spendings to keep growing up to $62 billion in 2016.

US Online Ad Spending, 2011-2016

Taking a look at the printed ad spendings, the study expects a 10,3% downfall by 2016 compared to 2011. While in 2011 these spendings were $36 billion in 2016 they’re expected to be $32.3 billion. Compared to the online growth, i think this decline isn’t that bad actually. Reading the article i expected much more. Here’s the graph..

Continue reading Online vs. Print Ad-spending, some expectations.

One Useful Internet Tool


Hi everyone,

May be some of you are already familiar with this website, but for those  who doesn’t know it I think it will be interesting to see. The website is called http://www.decide.com/ and it is designed to help you with big electronics purchases at the right price at the right time.

In other words, Decide.com uses clever prediction algorithms to warn you if the price of any given electrical product is about to drop, increase, stay the same, or if a new model  is about to be released. So you’ll know exactly when to buy the camera, laptop, smartphone or plasma TV that you want to have. It’s a great tool, in my opinion, may be according to some not so practical in your decisions, but it is always fun to check future prices. They give a 77% of accuracy in their price predictions, so go and see if they are right ?

Do you think you would trust it and use it for some future electronic purchases ?

Greetings,
Georgi

Crowdsourcing Tourism


Another synonym word of open innovation widely used (especially) in the business literature is Crowdsourcing…”the act of sourcing tasks traditionally performed by specific individuals to a group of people or community (crowd) through an open call” (see Wikipedia).

An interesting industry which lately uses the voices of the crowd, an industry which empowers consumers into creating value and also into supporting the brand values is tourism. Traditionally, tourism industry operated on a one to many communication scheme where ministries of tourism held responsible for the promotion and the branding of tourist destination abroad.

india future of change

India was one of the first countries that officially invited everyone in order to promote and create brand value. And by everyone, I mean everyone!! Locals, tourists, professionals, amateurs, young, old, educated, uneducated…Everyone. How? By using open discussion interfaces online, by asking and interviewing people in the streets. By introducing initiatives that engage people to India. India as a country, as a destination, as a cultural heritage (http://www.indiafutureofchange.com/). By organizing contests, they gave incentives to the people to participate in this discussion.

Back in Europe, Cyprus recently initiated a branding project in order to revitalize the brand value of Limassol. How they do it? By combining private initiative and public support. By engaging everyone in discussion. By extensively using social media and interacting with locals and tourists. Based on the joint input, they created a new city logo, and a new branding campaign!!

Lastly, Sweden offered the control of the official Twitter account to the people of Sweden. Sweden in that way, has created the world’s most democratic account. The direct results: In one month, the number of followers increased drastically and word of mouth made that story viral. Not bad to start with. Time will tell whether this utter freedom can have beneficial long term effects or will just end in….loss of control of the content and abuse!!

Do you know other examples? Local or global? Would love it if you shared!!

Dimitris T.

Customize your bike, Ridley Bikes


Ridley Bikes, renowned for painting and designing frames, launched with great pride the new Ridley Customizer. On the microsite of Ridley Bikes, dealers and consumers can build their own design on their Ridley frame. The Customizer provides a wide range of colors and the combinations are too numerous. The customizer can only be used for full carbon Ridley frames.

Marketing director Anthony Kumpen: “If we allow consumers to design their personalization Noah, we check our competitors. Ridley, already one of the most copied brands in the bicycle market, competition is already ahead by our consumers their bike of their dreams to be realized through the customizer. “After the consumer’s color composition has determined, can design be printed (in pdf format), which he joined his local Ridley dealer can go to his order. The frames are painted with Ridley in Belgium. There are no standard decals used, everything is custom made ​​by our own designers Ridley. The design is a solvent free water based paint applied to the frame. Ridley Bikes, founded in 1991, is a leading manufacturer of racing, cyclocross and mountain bikes. Ridley Bikes is the market leader in the Benelux area of ​​racing.

Co-creation in sustainability, how we can make the world a better place…


Sustainability has become a very common and broad term nowadays. In my opinion the focus in Holland lays too much on the environmental aspects. But what about humanity? I understand that it seems to be more beneficial to invest for example in solar panels, fuel efficient motors etc. than to invest in poverty.  Off course we also need to protect our environment otherwise it would be hard for humanity to survive. Until recently it was quite normal to assume that our governments and NGO’s like Unicef and Oxfam Novib are taking care of the problem. Several cases and studies however have shown that development aid (our tax money)/donations do not reduce poverty. The lack of transparency with a number of NGO’s does not help either.

In this post I want to share two successful examples where Dutch organisations focus through co-creation on both environmental and especially human aspects of sustainability. I really believe that these are better alternatives than developement aid and donations to old-fashioned organisations. It may seem small scaled, but looking at the overall process the effect and involvement seems high.

Enviu  (www.enviu.org)
This organisation, located in Rotterdam, communicate that they are innovators in sustainability. Their core business is to develop sustainable and social innovations and bringing them to the market. They work together with a large group of young entrepreneurial people, senior executives, corporate partners and universities to co-create these innovative businesses.
Below you can find a video which explains what Enviu is and does, aslo take a look at the WOW projects on the website (Dutch & English). Quite interesting…

Continue reading Co-creation in sustainability, how we can make the world a better place…

Your Film Festival


YouTube is launching their own film festival, named ‘Your Film Festival’. It’s a global competition to find the world’s best storytellers and provide one deserving entrant with an opportunity to showcase their film during the 69th Venice Film Festival. Entrants should submit a 15’ short film and upload it on youtube.com/yourfilmfestival from February 2 to March 31, 2012.

The viewers on YouTube choose the final ten movies that will be showed at the Venice Film Festival during august. The finalists will be assessed by a jury with chairman Ridley Scott and the overall winner gets $500,000. This competition is inspired by the documentary ‘Life in a day’.

This is a good example how to get customers involved and also to find new movie talents. I’m sure it will attract a new potential customers that usually don’t go to a film festival, or talent that think their movie won’t be showed at such an prestigious film festival like ‘La Biennale di Venezia’.

The announcement on YouTube:

Roy van den Hoogen

Mass Customization – You Bar


After seeing the Personal MM’s example during the previous presentation, I was wondering if there were more cases of mass customization and customer involvement regarding food. There is a company which produces nutrition bars which can be fully customized. Customers can select their own prefered ingredients and name their own bar. There is a video of the making proces on their website for those who are really interested in the proces.

http://www.youbars.com/

Furthermore, while I was looking for this nice example, I stumbled upon this blog post which states the different kinds of mass customization and a nice corresponding example.

http://replicatorinc.com/blog/2009/04/6-types-of-mass-customization/

Richard Wang

Gamification?


There was an interesting blog about gamification on the blog website of Delta Lloyd. The idea is to use smartphones in order to make insurances (which is the product that Delta Lloyd sales) more interesting.

They haven’t thought of an idea yet, but they have looked at a website called statefarm.com. In this website you can see that they have built an application for the iPhone to measure your driving skills. This application gives you a score about your acceleration, breaking and cornering skills. Customers get involved and can compete against their friends in order to improve their driving skills.

If companies like Delta Lloyd can implement such apps, customers can get highly involved and the brand equity will increase. In this day and age, everybody has a smartphone and they can all use this application for the sake of fun, but also for the sake of learning.

You can find the blog here, it is written in Dutch.

Shayan Khan

Health app


I saw a couple of days ago something about a health app on a blog. It was very interesting to read about it!

Jeroen Bakker (owner of a company: Lab1111) created the app. The company analyzed more than 3000 nourishment products from different supermarkets, together with some nutritionists.

The app shows for example which potato chips is the healthiest in his kind. To use the app you only need to download it and scan the barcode (with your camera) of the product you did choose.

The assessment is indicated with grade tings based on kcal, salt, sugar, saturated fat, etc. You see the products in three color levels: green, yellow and red.

To see a picture of the app, press the link: http://img265.imageshack.us/img265/9375/boodschapp.jpg

If you want to download the app, name: Boodschapp ( it is for free!)

The effect of Social Media !!!


Social Media like You Tube, Facebook, Twitter etc have undoubtedly a huge impact on the consumers, either positive or negative. Inspired by the discussion that we have in the class about UnME Jeans case, I remembered a representative example of negative effect of Social Media. Musician Dave Carroll was travelling with United Airlines when he and other passengers saw baggage-handling crew throwing guitars on the tarmac in Chicago O’Hare on his flight from Halifax, Nova Scotia to Omaha, Nebraska. He arrived at his destination to discover that his $3,500 Taylor guitar had indeed suffered a broken neck. He tried to communicate with the Airlines but to no avail. He talked with three different employees who showed completely indifference towards him. Carroll says that his fruitless negotiations with the airline for compensation lasted nine months. Then, Carroll wrote a song and created a music video about his experience. The lyrics include the verse “I should have flown with someone else, or gone by car, ’cause United breaks guitars.” The song “United Breaks Guitar” became an immediate YouTube and iTunes hit upon its release in July 2009.  It amassed 150,000 views within one day, prompting United to contact Carroll saying it hoped to right the wrong. The video garnered over half a million hits by July 9, 5 million by mid-August 2009, and 10 million by February 2011. Media reported the story of the song’s instant success and the public relations humiliation for United Airlines. The Times newspaper reportedthat within 4 days of the video being posted online, United Airline’s stock price fell 10%, costing stockholders about $180 million in value. What is for sure is that United Airlines lost a lot from this reaction.

Who earned???

The company of Taylor Guitars!!!

P.S I really like that song!!!!

Markopoulou Natali

The Next Big Thing ?


It’s finally here. Mass customization, or the practice of offering consumers the ability to customize products to their liking before purchasing them, is poised to turn manufacturing on its head and revolutionize business. Hallelujah!

But haven’t we heard this before? Indeed, mass customization’s revolutionary impact was touted as the next big thing in 2000. And in 1993. And also in 1970. That’s right, as early as forty years ago, business thinkers were predicting the dawn of mass customization and extolling its paradigm-shifting impact on industry.

But according to a new report by Forrester, in 2011 we truly are on the verge of seeing mass customization arise and provide a viable alternative to the process of homogenized mass production that has been so prevalent since the days of Henry Ford. And we largely have the Web and related technologies to thank.

Previously, mass customization faced several obstacles to really becoming a viable option for businesses. Incomplete implementations, cost overruns and primitive digital interfaces all made it difficult for mass customization to work.

Continue reading The Next Big Thing ?

Lego Co-Creation


Lego is a great example of a traditional company that has made ​​its own co-creation. Lego has the nerve to transform from a manufacturing company withnearly 1,000 product numbers, to a co-creationmodel with thousands of product numbers. Co-creation is now an essential part of the Legocompany. It makes use of a giant Legocommunity, more than 2.5 million members. With these members, they develop formal relationships. These are people who get their income from activities with Legobricks. For example a professional Lego artist who creates works of art commissioned.

Consumers can upload their own designs with the best Lego into production. The best ones receive 5% royalty on sales. Per week, more than 3,000 are designs uploaded. They are better every year. Thanks to the internet, adults can see that there are also other adults who love Lego. They used to think that they were the only ones and kept the secret. The participation of adults in this community is therefore exploded.

The strength of a community


Communities can be very strong. I add a link (in Dutch though) where you can see the strength of the community even it is not payed by anybody.

www.voetbalnederland.nl

This is a website for Dutch amateur football team. Every club and even every team can register on this site. What are the benefits and fun you can have? It is a website where you can post the score of a match, who played, for what competition you played and who scored the goals. You can even add pictures, stories about a match and everybody can see this.

Some of my friends who I play with in a team do use this. When you ask them why they put time and effort into this, they say it is fun and you can follow your competitors in a funny way as well. And everybody likes it to know how many times they scored in their history.

Companies are apparantly also interested. You see some sponsors who support this site, and ofcourse give discounts to people who visit the site.

I just wanted to show you the strength of a community even though people are competitors of each other, but are willing to help and inform each other.

Greets, Boudewijn

Mass customization: luxury in lower price?


Recently I bumped onto a very interesting article relative to the mass customization, seen from the perspective of housing. More specifically Noguchi & Hernandes-Velasco (2005) referring to the housing needs in Mexico, they distinguish three categories of homebuilders in Mexico: production, semi-custom and custom homebuilders.

The production homebuilders are organized for high volume production and they produce the ready built homes. They provide a number of standard designs/models and the customers can compare the attributes of each model in order to choose. In this case the high volume work results in low price.

The semi-custom builders combine characteristics of ready built and custom built homes, working, as the previous, on predesigned plans. In this case there is the option based on the pre-existing model to extend it in order to cover the needs of the prospect buyer. But, due to this fact, the high volume work is lost, and as a result the price is higher.

Continue reading Mass customization: luxury in lower price?

Interesting Stories About Open Innovation ..


As I was searching for open innovation and its benefits I came across a site named ideaconnection.com. It is a company which gives businesses access to the world’s most creative and innovative people, who work collaboratively to solve problems and develop innovations.
The point is that in this site you can find some open innovation success stories. The most interesting thing is that there are not only businesses that use open innovation but also towns or cities such as Birmingham, United States, that are benefiting from open innovation. Specifically, the charity of the city launched an international on-line contest called Prize2theFuture to solicit ideas for how best to use a city parking lot next to its Railroad Park. The residents were submitting ideas to make the city better and the prize for the winner was $50.000.
Another interesting story is that in California an open innovation competition encourages the inputs of local residents into the creation of new laws.
It is worth to take a look at these stories…

http://www.ideaconnection.com/open-innovation-success/

Chara Tsifaki

Most innovative company 2011


As you can see at the link below, four out of the top 5 of the most innovative companies are internet companies or a company who has to deal with the internet and computers:

1. Apple
2. Twitter
3.  Facebook
4. Nissan
5. Groupon
http://www.fastcompany.com/most-innovative-companies/2011/

For me it was obvious that Apple was placed on #1 and Facebook was in the top 5 as well. The most surprising company is Nissan. But after some research I found out that they focus on the new way of dealing with the environment: be as sustainable as possible. They still work with closed innovation, with their own knowledge. The other firms are more open innovators.

My post about the open innovation pitfalls stated that companies move towards open innovation. Obviously not all companies move towards open innovation, even though they want to meet the expectations of the customers.On one hand you can say Nissan is doing very good with their innovation, because they are placed number 4. On the other hand if you look at the sales within the Netherlands in 2011, they can not be found within the top 10 (http://www.autozine.nl/enquete_verkoop.html). So this might rise the question: when you innovate as a firm, is it necessary to listen to your customers? Thus use a way of open innovation?

Pitfalls of crowdcasting


During the last class (Monday January 16th in the morning class) we discussed about the open innovation after the Lays ‘Maak je Smaak’ case. Open innovation has some pitfalls. In the article below you can read about these pitfalls.

I found this article on a Dutch website, so I translated into English. It is about crowdcasting: Crowdcasting is a problem-solving and idea-generating tactic in which a corporation disseminates details of a specific problem or situation to a carefully chosen group of people for possible solutions. The process is often conducted as a contest. The results may be used to resolve difficult or complex development and marketing issues.”( http://searchcrm.techtarget.com/definition/crowdcasting)

(Translation of ‘De Valkuilen van Crowdcasting’, http://www.frankwatching.com)

Innovation is for many organisation the keyword of success. The definition is used a lot, but most of the times people do not understand it. Research showed that the biggest successes can be achieved when using open innovation with the help of consumers and other companies. Sometimes it does succeed, sometimes it does not. How is this possible? Below the three most common pitfalls of crowdcasting will be dealt with, crowdcasting is a very popular way of open innovation.

Continue reading Pitfalls of crowdcasting

Online Safety & Co-Creation


Just a small paranthesis: if there is someone else out there that is a freak like me when it comes to purchasing things online 🙂 .. http://mashable.com/2012/01/16/zappos-phishing-scams/  you can never be too safe 🙂 …

Yes, I am a relatively late adopter of everything there is on the Internet, nor am I an enthusiast of creating my own things on-line even though I am starting to be more comfortable with the idea. And while we talk in class about designing your own shoes, and make your own T-shirt and Greeting Card etc. and  customization of all sorts  I’m thinking why do people need to do that? when there are designer and real creative people that will do it a million times better than us. For me the challenge is to find those people  🙂 ..(just a little thought)

Consumer Empowerment: Is it just a trend?


One rich source of information on recent and upcoming trends, trendwatching.com , already in 2004 spotted a substantial rising trend regarding the phenomenon of companies working closely with consumers in order to create design, produce, develop or promote their products (Customer Made).

Shifting to the latest consumer trend report of January 2012, we can see that consumers’ active involvement in the value creation process is still thriving. Crowd-based problem solving is expected to be the core source of ideas, especially given that contributing will be more effortless than ever before (Idle Sourcing). One of the facilitating drivers is the increasing capabilities of the available interfaces. Screens are expected to be more interactive and consistently on (and online within “the cloud”) (Screen Culture). Even in situations that were considered difficult to “intrude”, consumers are becoming increasingly active and powerful. Health related mobile applications and online interfaces, gives the opportunity to consumers (patients) to satisfy their implicit desire for control by discreetly tracking and managing their health on their own (DIY Health).