Pillars of the Digital Age [v4] #AXASocial

PILLARS OF THE DIGITAL AGE MICHAEL NETZLEY, PHD

I Would Like You to Meet Gen

28 years old, Gen graduated from Singapore Management University and now works in finance.

She lives with her family, enjoys biking and coffee with friends. Her favorite brands include Zara, Nike, Tom Ford and Prada.

Each day she uses Facebook, WhatsApp and Instragram to talk with friends. She doesn’t read a newspaper or listen to radio.

Today Gen is Tweeting with a Hashtag

#AXASocial

Let’s Connect with Gen

ì  Using Instagram or any other photo sharing app, who can

ì  send to my Twitter account @CommunicateAsia

ì  a photo of this event

ì  Including #AXASocial

ì  You have 1 minute

Gen Uses Digital, But Can Still Learn

How Has Media

Evolved?

What Does New Media

Mean to Me?

What Are the Coming Trends?

Meet Gen’s Prof….Michael Netzley ì  Academic Director, SMU Executive Development

ì  Daddy with 3 daughters & 1 son

ì  Champion’s Award, Innovative Course Design and Delivery

ì  Research Fellow, Society for New Communication Research

ì  Visiting faculty positions in Argentina, Berlin, Finland, Slovenia, and Japan

ì  Worked with IBM, IHG, 3M, Singapore Airline, BNP Paribas, Unilever, UOB, Sumitomo Chemical and Shell

Gen & Friends Think of Digital As…

Social Media

Social media is a type of online media that expedites conversation as opposed to traditional media, which delivers content but doesn't allow readers/viewers/listeners to participate in the creation or development of the content.

Source

Sociological View of Social Media

Social Media refers to not only the technology but the cultural and behavioral traits of people communicating and sharing with one another. Through social networks, people are listening, sharing, creating, judging, and innovating in ways that are reshaping relationships (e.g., government to constituents or friend to friend), power bases, financial models, and knowledge.

Gen is Literate

First Media Age: Greece

Greek alphabet and writing led to one of the most productive cultures in all of history

Second Media Age: Print

Chinese moveable type in 11th century, and Gutenberg's Press in the 15th century, brought books to the non-elites of society

Third Media Age: Broadcast

20th century broadcasting brought media into homes, and at a low cost, thus increasing demand while decreasing the supply of media channels

Fourth Media Age: Internet

Everyone becomes their own media company because of infrastructure, Internet, digital technology, and interactive easy-to-use sites.

Web 1.0

Static Text Not Interactive

Proprietary Software

Shouting: One-to-Many

“The one-to-many approach is out…It was replaced by CRM, the one-to-one model. This gave the ability to customize a message. This model was, in turn, replaced by the one-from-one, or search model ”

But all good things must change…

Web 2.0

Impact: McKinsey & Co 2006

h)p://adage.com/abstract.php?ar6cle_id=110899

•  Traditional TV ads becoming less cost effective •  McKinsey says that by 2010 traditional TV

advertising will be 1/3 as effective as 1990 •  50% decline of viewers; 40% hike in fees •  McKinsey also predicts:

– 23% drop in ads viewed due to switching off –  9% loss of attention due to multitasking – 37% decline in message impact due to

saturation


ì  Use of Web 2.0 technologies significantly improved companies’ performance

ì  Networked enterprises leaders vs. companies using the Web in more limited ways

h)p://www.mckinseyquarterly.com/Organiza6on/Strategic_Organiza6on/The_rise_of_the_networked_enterprise_Web_20_finds_its_payday_2716


ì  Use of Web 2.0 technologies continues to grow ì  Social networking 40 % ì  Blogs 38 %

ì  Companies see increasing future investments in new technologies

ì  Both internally and externally networked organizations achieve benefits

ì Why Did This Happen? Networks

We Live in Networks

Networks, not Information

ì  The defining characteris6c of the modern age is networks ì  All socie6es have had informa6on (e.g., Ancient

Athens and Rome) ì  Digital networks are unique to the current age ì  Networks, for the first 6me, can be a sustained

structure for organizing people and work

Developed from the work of Manuel Castells

Space of Places

Source: h)p://www.public.iastate.edu/~cfford/Colonytraderoutes.jpg

Flows: Information & People Source: h)p://www.simon-‐law.com/archives/1274

How We Now Organize

Societal elites are now much less connected to cities [places], and are

instead connected to information flows. Thus, the network serves as

our organizing principle.

Previously, networks were just an ad hoc organizational structure until the

rise of digital technologies.

Gen Was Born Into This World

Share Your Opinion with Gen

ì  What is the single biggest benefit that social media brings to your life? ì  Latest news and gossip? ì  Always connected to

your friends and family? ì  Entertainment? ì  New opportunities to

learn and grow? ì  Saving money?

ì Living in Gen’s World Understanding How Networks Function

Research Says

Emotions Spread via Social Networks

Conclusion: People’s happiness depends on the happiness of others with whom they are connected. This provides further justification for seeing happiness, like health, as a collective phenomenon.

- British Medical Journal 337 (2008) Fowler and Christakis

Obesity Spreads via Social Networks

“You may not know him personally, but your friend’s husband’s coworker can make you fat. And your sister’s friend’s boyfriend can make you thin.”

- Fowler and Christakis (2009) Connected

Political Science: Why Americans Vote

If you vote, then it increases the likelihood that your friend’s friend will also vote….Instead of each of us having only one vote, we effectively have several and therefore much more likely to influence the outcome.

- Fowler and Christakis (2009) Connected

3 Degrees of Influence

25

25

25

25

25

155

Rule: Connections need to be strong; but you need not know the people.

When to Use Strong Ties

ì  Urgent Situation

ì  Dependency for Well Being

ì  Decision Making

ì  Ethos-Based Influence

ì  Access: Doors Opened

ì  Regular Information Flows

ì  Change Target’s Values

Source: Granove)er

When to Use Weak Ties

ì  Speed of Distribution

ì  Less Dependent on Others

ì  Reach Distant Targets with Whom We are not Connected

ì  Innovative Ideas or Models

ì  Episodic Information Flows

ì  Bridge Diverse Groups

Source: Granove)er

ì What It Means For Gen How to Grasp the Opportunity

We Could Not Have Imagined Her World

Share Your Opinion with Gen

ì  What is the single biggest concern that social media brings to your life? ì  Loss of privacy? ì  Feel you must always “be

on?” ì  Being flamed online (i.e.,

publicly) ì  Identity or account theft? ì  Something else?

Digital Brings Risks and Rewards

The Network Effect

Effect that one user of a product or service has on its value to other users

Value of good or service increases when more people use it

Media Diffusion Today

Network Effect: Benefits

ì  You get the latest updates from your contacts

ì  You socially remain “in the know”

ì  You can manage your public persona

ì  You can ask for help or support from your network (i.e., crowdsourcing)

ì  You maintain contact even while physically separated from one another

Proliferation of Media

Attention is a Scarce Resource

Networks & Social Isolation – Related?

ì  Rise of internet, mobile phones and social networks have pulled people away from traditional social settings, which were typically associated with large and diverse social networks

ì  Average size and diversity of core discussion networks have declined

Source: Social Isola6on in America: Changes in Core Discussion Networks over Two Decades

Networks & Social Isolation – Related? “…on Twitter, political talk is highly partisan, where users’ clusters are characterized by homogeneous views and are linked to information sources….” Source: “Birds of a Feather Tweet Together: Integra8ng Network and Content Analyses to Examine Cross-‐Ideology Exposure on TwiDer”

Pew Research Center study (2014) confirms the same finding - little overlap in the news sources different groups turn to and trust

Tech Lowers Cost of Making Weak Ties

Enable the free flow of

info

Peripheral

Cental

Bridging

Expand Your R

esource B

ase

Solv

e

Prob

lem

s

Messages from Peers more Influential

Embedded in

the Netw

ork

DARPA Red Balloon Challenge

ì  2009 challenge on wide area collabora6on

ì  Defense Advance Research Project Agency

ì  $40,000 prize to be first at finding 10 balloons around the United States

ì  How long did the winning team need to find them?

FEWER THAN NINE HOURS

How Did the MIT Team Win? ì  Shared the reward

ì  $2000 correct coordinates ì  $1000 for whomever invited

them ì  $500 for invi6ng the inviter ì  $250 for invi6ng them ì  And so on…

ì  Mass & social media were complementary

ì  Data mining via social media

DARPA Applied

Clay Shirkey’s Cognitive Surplus

ì  The Internet gives us three reasons to no longer be “couch potatoes”

ì  Means

ì  Motive

ì  Opportunity

Means: How We Act

ì  Means of production increases ì  Buying a TV versus buying a

laptop

ì  Everything is an original; no inferior copies

ì  Fluid networks: content flows smoothly between networks

ì  Low cost

Motive: Why We Act

ì  Intrinsic motivation can be powerful ì  Autonomy ì  Mastery ì  Purpose ì  Daniel Pink, Drive

ì  Extrinsic can “crowd out” intrinsic motivation

Opportunity: Where & with Whom ì  Privileged media class with

right to speak disappearing

ì  We can all participate & share directly

ì  “Social Production” or “Commons-Based Peer Production”

ì  Open source software, Wikipedia, or classsic Z-Boys example

How We Use Time ACTIVITY TIME SOURCES

Work (USA) 7.5 hours per day (avg) Bureau of Labor Sta6s6cs

Work (SG) 8.5 hours per day (avg) AsiaOne (1 in 5 works 11+ hours per day)

Television (USA) 2.7 hours per day (avg) 18.9 hours per week

BLS 50% of free 6me

Television (SG) 12 hours per week We Are Social

Internet Use (SG) 25 hours per week We Are Social

Singapore spends 25,000,000 hours each month watching online video (We are Social)

Cognitive Surplus

Twitter & Queenstown

State of Trust in Media

State of Consumer Receptivity

Considering the increased activism of citizens since the 2011 GE, public sector organizations need to actively engage all types of media in order to effectively convey their message. Not doing so is the equivalent of knowingly allowing a one-sided conversation where others set the agenda.

ì Unlocking Gen’s Digital Future Major Trends on the Horizon

Mobility

Indian Farmers Benefit By Going Mobile Mobile-based farm advisory providers help farmers avoid heavy

losses by providing timely information during deficit monsoons

Farmers in distress over weak monsoons and resulting damage to crops

Get in touch with Nokia’s Life Tools seeking advice on what to cultivate

Life Tools provides tips on water and soil moisture conservation, drought-‐resistant seed variants

Top Smart Phone Markets & Share

COUNTRY 2011 MARKET SHARE

2012 MARKET SHARE

2016 MARKET SHARE

PRC 18.3% 26.5% 23%

USA 21.3% 17.8% 14.5%

INDIA 2.2% 2.5% 8.5%

BRAZIL 1.8% 2.3% 4.4%

UK 5.3% 4.5% 3.6%

REST OF WORLD

51.1% 46.4% 46%

Global Growth: Mobile Data by 2017

“Asia has an insatiable appetite for mobile”

“By 2015,one in two people in the world using the Internet will be in Asia and in the region a persons first experience online will likely be on mobile.”

Aliza Knox, Managing Director of Commerce, Google APAC

Mobile Changes…

…the conditions under which people experience your product or service. It also changes what information people want to receive from you.

So What Changes?

ì  Increase in geography-based search terms as people move about and conduct searches (state source?)

ì  Most SEO today does not factor in geographic terms, so SEO must be updates

ì  People rapidly enter search terms by small screen while moving, so mistakes increase, and the search engine must still recognize and find the relevant results (and quickly)

ì  Many search engines driven by ad revenues, so how do you display ads successfully on such a small screen?

Context Collapse

Big Data

Analyzing large data sets—so-called big data—will become a key basis of competition, underpinning new waves of productivity growth, innovation, and consumer surplus

- McKinsey, Big Data: The Next Frontier for Innovation, Competition, and Productivity.

Big Data: Pharma

E-Commerce

e-commerce spending topped more than $1 trillion in business-to-consumer spending. That number represents 21% year-over-year growth, which is expected to continue this year as online spending tops $1.3 trillion.

- Wal-Mart’s e- Commerce Potential, Inc.magazine, 2013

eMart: South Korea

Reality: The Worst Game Ever

ì  Unclear purpose

ì  Little motivation to keep plugging away

ì  Uncertain individual goals

ì  Feedback, infrequent, ambiguous, or missing

ì  Lack of control

Nike+ Makes Reality Better

Real-time Feedback

Turkcell Example

Why Do We Play?

Daniel Pink ì  Autonomy

ì  Mastery

ì  Purpose

ì  From the book Drive

Jane McGonigal ì  Satisfying form of work

ì  Success is within reach

ì  Social Connection

ì  Sense of purpose

Who Killed Rico

ì  Rico: Air New Zealand’s fuzzy mascot

ì  Was “murdered” at a party in his posh new Hollywood home

Who Killed Rico

ì  Air New Zealand teamed up with HASBRO to create the online Cluedo game to let Rico fans find out whodunit.

ì  Suspects included: rapper Snoop Dogg; All Black New Zealand rugby player Ma’a Nonu, 80’s fitness icon Richard Simmons

ì  Par6ally designed to generate more buzz and par6ally designed to end it’s rela6onship with the controversial character that generated global buzz yet rubbed many people the wrong way

Who Killed Rico

Today, Visual Comms is Easy

Special Thanks to….

And a special hat 6p to h)p://www.freedigitalphotos.net/ for the free and great photos of today’s lead character, Gen.

Lots of free and great photos here, so do check it out.

Education

Pillars of the Digital Age [v4] #AXASocial