May 2008

Sun Mon Tue Wed Thu Fri Sat
        1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 31

Main | April 2006 »

March 25, 2006

The Live Web

It was about 3 months ago that I met Doc Searls. He had come by Krugle at the invitation of  Steve Larsen, the CEO. We went to the local cafe for a cup of coffee. I filled three or four nakins with notes, listening to Doc talk about the live web.  He ratttled off lines like "nothing is ever finished". It was drinking from a fire hose. I had just joined this company to help get them launched - and the deal was, we would try and do it  using no traditional media - we would try to do it using the live web.Doc is still writting about it, as is Newsweek. Newsweek_1 This thing is big, communication is going through it's greatest change since the Internet.  I want everybody in my circle to "GET IT"  and hopefully, "get it FAST".  My company, Momentum , was there at the beginning, helping launch Netscape and we rode the 1.0 wave all the way through.This is bigger. The live web changes everything. One -way communication, (an artifact of the printed page), is finally leaving us. The promise of hypertext   is now real and as a new generation grabs the wheel,  it's morphing the social infrastructure and changing reality as we know it - And once again, "you're either on the bus, or off the bus" .

March 21, 2006

The Krugle Case Study

More Customers, In Less Time, For Less Money - That's the bottom line on the Krugle launch.

Many of you have asked me where I was the last couple of months, so here it is. I took a 3 month contract to launch a company named Krugle - (no, it's not a German pastry-and yes, I tried to change the name as soon as I got there). I was the VP of Marketing, but "VP of the Launch" might have been more accurate - since that was the task at hand.

The Launch Highlights:

- 7 weeks from near zero to live stage launch

- DEMOgod Award

- Coverage in all targeted major technology press

- 35,000 Beta sign-ups in 11 weeks, 45% from off-shore

Krugle is a search engine for source code. Getting them launched was arguably the most successful launch I've been involved with - and certainly the most cost effective. This story makes a tasty case study in marketing in this new flat world, but for now, here's a top level description of events,

Krugle_schedule_2 The project started on Dec 13th and ended March 13th.

One of the first orders of business was to create the overall brand look and feel. With no time to do a formal study, we brought in Ashton Abeck of San Francisco to crank out a series of "web 2.0" looking designs. In the end the search engine window would become the brand, but the search engine was not scheduled to be ready for several months, so we needed to come up with a temporary brand image and marketing presence to instill customer and investor confidence until the search engine was ready. We built a site in two weeks with the help of Brian McNitt cranking out the code

A New Way

From the onset, one of the goals was to launch this company in a new way, leveraging new mediums and methods - not relying on traditional marketing tools such as advertising or even PR. So, we knew we needed a blog. After  some debate,we settled on a Wordpress blog template because we perceived using an open source solution would be important to our customers.  The Krugle blog was, and is, masterfully managed, built, added to and watched over by Chris Locke. (thank you Chris), after we got a  little top-level "how to" advice from blog masters Doc Searls and Shel Israel. Slide002_1

Krugle_blog

 

 

 

 

 

 

 

We used DEMO as the launch platform, journalists on site to ignite the fire, and the blogosphere to spread the messages around the world.

DEMO, for those who don't know, is the one of the premiere venues for launching a new product. From the start-ups point of view, it's extremely efficient and cost effective, with a deep concentration of press and venture capitalists to make it worth your while.

Krugle CEO and Co-Founder, Steve Larsen, along with John Mitchell, Chief Architect, did an excellent job on stage of making a "search engine for code"  look engaging- not that easy to do as a stage performance (watch the show). DEMO gives you six minutes to tell your story - it has to be live and it has to be good.

Steve_1 Much of the value of DEMO comes from the press. In Krugle's case it was the press that ignited the blog community, who in turn, spread the messages around the world. In particular, one of the first articles, by Dan Farber seemed to be most quoted in future blogs.Dsc_0032_2_1

The effect of the press was nearly instant, with site and blog visits gaining momentum from the first hour of the show and continuing for several days.

Krugle_blog_stats_1_2The next major jump in activity after DEMO happened about a week later when Wired On-Line covered the product with a well written story by Dylan Tweney. The Wired article turned out to be more important than the launch event in terms of site and blog visits. It triggered slashdot activity which made for an active day.

It was the combination of exposures that  launched  Krugle into a number one spot on Technorati for the better part of a week, meaning Krugle was the most talked about topic in all the blogosphere during that time.Technorati Krugle_blog_stats_2jpg

And why is all this traffic important to a company just announcinng a product with nothing to sell or even give away? 
Beta sign-ups. The larger the list of signed-up, interested customers, the faster product propagtion upon availability.

The following slide shows the Beta program sign-ups from the web site. Notice the graph simularities to the blog visits.Beta_sign_ups_1


So that's the short version of the Krugle launch, with the other interesting fact being how far and wide the messages were cast. Take a look at the clustrmap map which gives a reasonable estimation of where the blog activity and hence, Beta downloads were coming from:Clustrmap_2

I've been involved with hundreds of product and company launches, but this would be the first time I've seen a product reach so far with so little expense. The reach and velocity of the messages has to be attributed to the viral nature of blogs, "friends telling friends " about a product or service they might find interesting. 

 

 

 

 

 

Marketing 2.0 - Genius.com

Genius

Alright, this entry is going to sound a little like an ad  for Genius.com, and I guess it is in a way - but these guys are my  friends and I want them to do well. I've tried this thing out, I'm using it and intend to keep using it - so, just because I know them, doesn't mean I'm up to anything ...

"Marketing Is  Conversation". It always has been. Marketing 2.0 is bringing us back to where good marketing has always happened - in meaningful exchange between a buyer and a seller. Originally this was just  people meeting, exchanging goods or goods for services. Over the last 50 years, the assembly line of mass media has made personal contact between the buyer and the seller the exception rather than the rule. "One to many" marketing has caused messages to be diluted and to become grossly impersonal. Advertising, as a result, turned to shock value, slapstick absurdity or just surprising stupidity to win eyeballs. The whole thing is broken, (as evidenced by the " Edelman Trust Barometer" blog below, where mass media becomes less trusted every year).

Marketing 2.0 allows for narrow-casting. It allows you again to speak to your customers about things they're actually interested in. Directly, honestly and one-on-one, if you choose to. Sounds good but it's not that simple. Finding customers and figuring out what they are interested in is an age old problem. If you know what they care about, you have a better idea how to treat them respectfully and talk to them intelligently. Which as it turns out, is in the best interest of both the company and their customers. Enter David Thompson and my old friend Robert Seidl, who have come up with a nifty application to help get  companies better in-step with their customers. (Among other things, it allows you to invite people to your site and quickly and easily tell who actually showed up and what they found interesting).

In their words: "Genius.com breaks down barriers (between companies and customers) by empowering individual professionals in organizations to initiate and manage customer interactions and lead generation on corporate web sites, without IT involvement or programming skills". In my words: "anything that lets me have a more intelligent dialog with interested customers is good by me"

Check it out. It's in beta. They say it'll be ready in a about a month and a half.

The Purchasing Funnel

Grabbed this tid bit off of Clear Night Sky (thanks Steve) This nice little article by Cathy Clift, where she describes the classic marketing tool known as the Purchase Funnel, but adds some new information about how blogs and communities are changing the nature of the funnel by changing customer behavior:

The Momentum Version of the Purchase Funnel : Purchase_funnel_5

“There is an estimated 65,000 news groups, 80,000 chat groups, over 1 million Internet communities hosting message boards and 10 million blogs. (now more like 31 million)

Their effect on the purchase process is staggering. For example, based on our work with healthcare clients, we know that while 50% of all patients search for disease and treatment-related information on the web, fewer than 10% go to a branded web site, many opting to read the experience of current patients on message boards and blogs”.

I saw my wife do this several years ago, She had broken her ankle. Yes, she listened to her doctor, but his arrogance made him less than trustworthy in her eyes. She spent hours reading the blogs of people with simular injuries in order to gauge her likely recovery time.

As mentioned in the article, companies need to understand that they are no longer doing the bulk of the marketing. Their customers are doing their marketing for them. The conversation is happening - companies just need to learn how to join the party.

Edelman Trust Barometer

I know this thing has made the rounds, but until this morning I hadn’t actually read the actual document. To me this speaks to why the Cluetrain vision is now coming to life. It’s about trust. Enough people finally got tired of being systematically deceived (advertising), that its finally reached a tipping point. Add that to blogging, which gives everyone an easy way to “work around” the media machine and you have a fundamental shift in customer behavior.

The Edelman Trust Barometer

“Finally, one other point that jumps out is the ever-weightier impact of trust on business and consumer decisions. Our study found that if respondents lose trust in a company, they are highly likely (70% to 80%) not to purchase its products or services. Worse, people do not simply internalize their doubts; they talk to others and spread distrust – with up to 33% now using the web to post their views”.

Transparency = Trust

Marketing Engines

What is it Marketing 2.0 today? I keep re-assessing my definitions as I move deeper into this new world. I try to map 2.0 tactics and language back to the “classic” world of marketing for two reasons. First, it helps make sense of the new world and two, the classic tools are time tested and in the right hands, can help you identify holes in your initiatives you might not otherwise have seen. The old world used the term “ Marketing Vehicle” to discuss anything that “carried” your message to the customer. Today I am floating the term “Marketing Engines”, which better reflects the dynamic properties and potential power of the new tools.

Marketing Vehicles: print, ads (print, static web), trade shows, tele-anything, radio, TV, billboards, direct mail and on and on. These thing have no built in power source, when they run out of fuel, they stop being useful. Marketing Engines, on the other hand are self powered and run as long as your customer community finds them useful. You are only allowed to “win” as long as you have a better mousetrap.

Some Marketing Engines

1. Ecosystem - Blogging – OK, I get it. Customer to customer message propagation.
2. Ecosystem – Community – Other community tools such as Wikis, forums, etc.
3. EVD – “Embedded Viral Dynamics”, tools that are built into the product that, by their nature, increase customer communication with the larger customer community. (share this, comment, contribute here, etc.)
4. EMD – Embedded Marketing Dynamics – Ways to reach the customer in direct conversation through the product. (if you liked that, you also like this). More blatant, but hypothetically of value to the customer.
5. SEO – Search Engine Optimization – Using SEO “the right way”. Let the customers reward you (by clicking / engaging) if you’ve created a compelling product feature.