Category Archives: research

IT innovation in Massachusetts: MIT-style business plan competition

Another day, another opportunity to meet Deval Patrick and report on innovation and technology in the Commonwealth.

Actually, it wasn’t just another day: I livestreamed the governor’s announcement of the MassChallenge Venture Funds Competition. His twitter account @MassGovernor picked it up and shared it with the rest of the Commonwealth.

That was, as they say, nifty. I embedded his speech below; Patrick begins speaking twenty minutes in.

Vodpod videos no longer available.

If you listen carefully, you’ll even hear me ask a question about how the Commonwealth will use Mass.gov to make the bidding process open and transparent. Patrick noted my “little camera” and asked one of the VCs involved to come speak at the podium — the Governor was online media-savvy today.

I wrote about the details of the MVFC over on the TotalCIO blog at TechTarget’s ITKnowledgeExchange: “Massachusetts launches MassChallenge Venture Funds Competition

The rest of the day? Well, clearly there’s plenty of passion, desire and insight in the local tech community about how innovation can be fostered, nurtured and funded here in Massachusetts.

I heard about the state of the Mass. IT economy, as described by researchers at the UMass Donahue Institute.

Good data points: The composition of Mass. IT industry is shifting. Hardware/networking shrinking, software/IT services growing. There are more than 176,000 IT workers in Massachusetts, making the industry second only to healthcare. The IT execs surveyed put business costs (71%) at the top of their list of challenges, followed by IT infrastructure (57%). Lck of collaboration in R&D was also cited as an issue.

I heard more substantive evidence of IT’s enabling effect on other industries, including mobile, marketing and robotics, not to mention productivity in general.

I heard, from Akamai’s CEO, that that company exists because of “pure, academic research,” funded by DARPA, that an entrepreneur thought could be made profitable. (Current market cap: 3.84 billion [Yahoo Finance])

I saw, yet again, how well thoughtful event planers can prepare for online participation and use free, open tools to engage participants in real life and extend the discussion onto the Web, capturing the insights and resources shared in a persistent way.

The organizers used one of the large screens to pull in the twitterstream, bringing the online conversation back into meatspace.

There was also a useful collaborative discussion tool for the Communications Breakout Session: @Google Moderator: http://bit.ly/wNinM

I learned about STEM, as referenced by @Google‘s @SteveVintner: http://stemedcoalition.org

I discovered http://theventurecafe.com, located at http://cictr.com, and read a Boston Globe story about it: http://bit.ly/BjGwg

I heard about a digital marketing organization in San Francisco that is working towards creating partnerships between schools and corporations: @SFBig & http://sfbig.com/education

I even had the microphone for a minute and advocated that attendees consider working towards more mentorship, co-op programs and show students how technologists and IT execs worked towards a path to success. I noted the course described by David Brooks in a recent NYTimes OpEd piece on “Genius”: http://bit.ly/11bkVM |

And, of course, that aforementioned livestream netcasted the session on scaling large organizations to the online audience.

I’ve embedded “a dialogue about growing Massachusetts enterprises to scale” below.

Vodpod videos no longer available.

You can read much of the discussion on Twitter at the #innovateMAtech hashtag.

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MIT Panel: “Machines with eyes & texting spies” [privacy]

"Spies and texting eyes panel at MIT"

"Spies and texting eyes panel at MIT"

“Big Brother has nothing on growing up as a minister’s daughter in a small town.”

Shava Nerad, Development Director / former Executive Director of the Tor Project, offered that trenchant observation in the context of a panel on privacy held at the MIT Museum earlier this month,”Machines with spies & texting eyes: The shifting lines of public/private.” As she noted, she’s been writing provocative things on the Internet since 1982 so this isn’t exactly out of character.

Jonathan Zittrain, co-founder of the Berkman Center for Internet & Society at Harvard University, moderated the panel.  Judith Donath (Director of the Sociable Media Group), Aaron Swartz (Founder of watchdog.net and reddit.com) and Benjamin Waber, (Researcher, Human Dynamics Group at the MIT Media Lab) joined Nerad behind the table.

The event put special focus on the MIT Media Lab‘s Sociable Media Group’s exhibition, “Connections.” When asked about the purpose of the exhibit, Donath said that “We wanted people to step back and think about privacy. One mundane step after another has brought us to a deeply transformed world.”

Shava noted that “mischaracterizations of your identity are more likely to result than the real thing at the exhibit.” That result is “an artifact of scraping,” where data is pulled from many pools online without context or interpolation.

In general, the exhibit is meant to pull into focus Donath’s central question: “What is the cost we have to pay in terms of privacy to cement society together?”

You can take a virtual tour of the museum (from 2008) below:

Using the dry wit that makes his public appearances so enjoyable, Zittrain kicked off the panel with an explication of prurient. As he noted, prurient is a “funny word.” It refers to something that attracts you and then a moment later disgusts you. It’s wholly applicable and useful to our relationship with privacy in our changing world, as lifestreaming, Twitter, Facebook and mobile technology rapidly intermingle our public and private selves.

As Norath noted, “we’re all leaving trails of data…email, every time we comment, when we go through FastLane, when we go shopping. Some we’re aware of, some we’re not. There’s a growing shadow behind us.

The privacy panel recognized that the data trails left by teens online may be particularly meaningful for future employment or educational opportunities. Is acting out on Facebook a way of showing off imperviousness?

Nerad noted just how how persistent data is. In reply, @zittrain suggested declaring “reputational bankruptcy” at 18. Hilarity ensued. Shava suggested extending the age to 25.

Regardless, a “data shadow” is a useful metaphor for these data trails that accompany our online activity, especially when combined with the work of the Sunlight Foundation and Watchdog.net, the “good government site with teeth” project started by Swartz. It’s safe to say that we’re all watching each other now. Adding to the lighthearted but thoughtful tone of the discussion, @aaronsw recalled the day @EFF‘s Kevin Bankston was caught smoking by Google Street View.

Benjamin Waber noted that with Bluetooth scans on cellphones you might be able to accurately track who might be infected by a disease. As Zittrain quipped on one case, referring to swine flu, you could even epidemiologically trace it back to “Pig Zero.”

Waber makes the comparison to the membership cards offered by Shaws that enable consumers to receive discounts in return for registering. “If we owned our Bluetooth data, could we sell it? You get something for your data, for giving up your purchasing patterns. If your cellphone distributed certain information, would you be willing to trade it?”

The panel took note of the cultural differences between Japan and the U.S. with regards to @Google Street View. Protections around privacy and awareness of the impact of mobile video on it are greater there, perhaps by virtue of the technological edge that exists with Japanese society. Does greater tech penetration result in greater awareness of privacy issues? An Aussie in the audience notes that this privacy discussion appeared to be predicated by being held in the U.S. “When you’re a net importer of culture, you’re used to skirting around things.”

sociometer

sociometer

In Waber’s case, certainly, one would have to note that the privacy discussion is both academic and our in the real world. He passed around the “sociometer” that Waber and others are using to conduct research with at the Media Lab. Zittrain quipped that it “reminds me of an alithiometer” — a reference to Pullman’s “His Dark Materials” epic fantasy trilogy. This geek guffawed. To be fair,  in many ways, this device is downright magical, at least when its simple form factor is compared to its function. A sociometer is a wearable sensor package for measuring face-to-face interactions between people.

Afterwards, I was lucky enough to go out for Chinese with the panelists , where@zittrain further moderated a “roundtable” on the potential for malicious use of@Amazon‘s Mechanical Turk. @aaronsw @bwaber and @zephyrteachout and others contributed to a vigorous discussion of Google’s role in privacy, dominance of search and the role of citizens and law in encouraging more transparent government and corporate practices.

There’s more on electronic privacy and online governance at the Complexity and Social Networks Blog at Harvard and some thoughtful comments on the event page on Facebook.

Readers interested in privacy may also find WeLiveInPublicTheMovie.com of interest.

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What is the ROI in Social Media? Humana, EMC, MarketSpace, Communispace at MassTLC

Partial map of the Internet based on the Janua...
Image via Wikipedia

A forum organized by the Massachusetts Technology Leadership Council addresses one of the hottest questions in social media: how do you measure the return on investment (ROI) for these platform? The panel, part of a “Social Media Summit” hosted in Microsoft’s Cambridge offices, was moderated by Dave Vellante, co-founder of the Wikibon Project and featured Fred Cremo of Humana, Leslie Forde of Communispace, Chuck Hollis of EMC and Katrina Lowes of Market Bridge. The panel followed danah boyd’s keynote on “social media evolution and digital ethnography.”

Chuck Hollis kicked off the panel by defining the challenge of measuring this kind of interaction and usage. “How do you measure a good conversation? A good idea? You guys are measuring the wrong thing.”

Lowes, whose focus on results and specific case studies throughout, put ROI in the context of creating relationships with Medicare recipients. The campaigns she has been involved with have been razor-focused on measuring all of the interactions, including what people are interested in. She described a partnership with Eons to host and provide discussion groups. Using them, they watch what people are talking about. As people move towards trigger point for Medicare, they watch more closely. As Lowes noted, “you get one chance to get a 65 year old into Medicare. If you can get people interacting with you three times before 64, you become relevant. That will have an impact on conversion rates.” At present, they’re taking a research-based approach to measuring impact utilizing a control group for direct mail and comparing it to the conversion rates of different groups based on a mix of social media presentations.

After a while, the audience grew restive, looking for a measure of hard ROI that could be used to justify social media use. The panelists understand the issues, especially at a large enterprise:

“When executives ask about social media ROI, they’re asking about risk. Why should I change decades of experience?”-@ChuckHollis

Hollis noted, in following, that managing risk in social media is challenging but possible: “negativity is passion that needs to be channeled to constructive conversations,”

Forde also sees the challenges for engagement marketing. With consumers (and users in general on the public Internet, you simply don’t know what you’re going to hear. (Note the Skittles experience). As she noted “in opening dialogue, you get serendipity & surprises.” For instance, Forde cited a case study provided by Kraft. People on their discussion boards were talking about weight loss through portion control. “Why can’t you make a tiny bag?” Kraft listened — and in the first six month, Kraft’s “Calorie Pack” earned more than $100 million dollars of revenue. Forde noted that the marketing campaign and manufacturing cycle in a one third of the time.

Forde noted as well that “It’s amazing how self-policing communities can be.” In her experience, community managers rarely have to step in and intervene. It is necessary, on occasion, to send private emails or direct messages and pull aside members to assert norms. How do you manage risk? Hollis noted that “EMC had a governance board for each project. They met once — and never met again. We never had a problem – but the structure was there to address it if necessary.”

When queried about adoption of social media by enterprises, Lowes voiced a key concern: “Everyone is in love with the technology. They haven’t thought about maintaining the conversations.” In her view, a company needs to have someone passionate to engage people and answer questions. The issue that many organizations are having with community management and conversation curation lies in a widespread tendency to put lower-paid people customer service reps. It’s not about technology or governance. It’s about skills, behaviors and attitudes. In Forde’s view, it’s about “trust, transparency and demonstration of listening.” That means that organization need to allow customers to be heard, with the understanding that it’s crucial to nurturing a long term relationship. That means “building websites around their interests and preferences, raising awareness of a company as a trusted partner,” according to Cremo — not through pushing sales directly.

When I stepped out, however, I returned to a groundswell of pushback for the panel. Where are quantitative social media metrics? Hard ROI? “The problem with social media is that we’re all talking to each other,” as one audience member put it. He stated that the total social media spend is “0.4% of the total annnual advertising budget in Fortune 500.” (That number was cited as $250B). Where’s the real return?

In response, Katrina Lowes offered the most substantive response of the day. “Consider: I’ve got a video to put online or on broadcast. You need to calculate the advertising comparison impact between the two mediums… How much would I have had to pay to get this exposure in traditional media?” She suggest looking at click through rates (CTR) of a cluster demographic from a social media platform or campaign back to the launch page of your website. Measure “Media equivalent purchase value” and conversion traffic, in other words, when it comes to ROI.

Forde noted that it’s also key to consider cultural differences, especially overseas, particularly with respect to hierarchical processes. If decisions are made once a month by a small group, observe how that can be improved. For instance, asynchronous tools can help – a lot – with time to market for products or campaigns. She cited one client where a 52-week time to market was cut to 14 weeks.

Considerable concern still remained in the audience with regard to unleashing social media internally. “What about the sexting that’s going to happen in my company.” Executives are worried about risk.

They should be, as Lowes noted. By tracking & gathering people’s personally identifiable information (PII) at Humana, they’re liable under HIPAA. That’s a major responsibility. Given the longevity & permanency of data on these platforms, organizations must be mindful of measuring ROI in more than conversion; they need to consider the risks of the overall project.

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dana boyd on social media evolution and digital ethnography

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Image by .Andy Chang. via Flickr

dana boyd kicked off a discussion on the ROI of social media in Cambridge with a rapid-fire, necessarily abridged keynote on the history of social networks and their associated digital ethnographies in the United States. dana boyd presented on her research (available at zephoria.org/thoughts). A longer version of her presentation. “Living and Learning with Social Media,” is available online, though without the pretty pictures.

Her first point is that social media isn’t new, either as a concept or platform. It’s just part of a broader part of Web 2.0. She framed Web 2.0 for different audiences in the following ways:

  • For the tech crowd, Web 2.0 is “about a change in development and deployment; constant innovation; perpetual beta; open source/real time”
  • For the business crowd, “it’s about hope. Emerged from bust. Bubble 2.0 followed.”
  • For users: “It’s about organizing communication around friends, communities of interest. Boundaries became blurred.”

One clear distinction boyd made was between social network websites and social networking sites. The former are distinctly not about finding jobs; they’re about finding communities of interest. When rhetorically discussing how social network sites gained traction in the US, boyd cited the network effects created by these self-organizing communities of interest.

When she looked back at the history of these communities, she started with Friendster. (Paul Gillin noted Classmates.com as the first in “Why people love social networks“earlier this week). Friendster, as boyd noted, was designed to be online dating. The three original demographics that populated it were gay men, the “digerati,” and 20-something hipsters that cycle around the playa — aka “burners” at Burning Man.

The trouble Friendster’s leadership found is that “Fakesters started popping up.” These fake profiles, of bands, places or really anything that wasn’t an authentic person with a personal profile, were seen as polluting the community — at least by Friendster’s leadership. They tried to stop it and were faced by a  rebellion. The infusion of Fakesters was followed by another wave: indie rock bands that wanted to connect with fan. Both, in boyd’s words,’ fueled the ire of Friendster and were encouraged to leave. And, in quick order, the early adopters left, moving to Tribe.net or, in the case of those musicians, to Myspace.

Facebook’s introduction followed soon there after, growing meteorically since then, alongside of MySpace. As Boyd noted, however, along with that growth came a series of “digital panics” over culture and risk as embodied in these social networks.

The assumption tended to be that MySpace was about social deviance and sexual meetups, an image that was fueled by sensational reports of sexual predators and exploited teends in the media. Part of this was a division of between Facebook and MySpace in the US that boyd had famously written about in “Viewing American class divisions through Facebook and MySpace” and her subsequent response. Boyd’s dissertation, “Taken out of context,” deals with precisely this issue.

The castes and tribes called out aesthetic differences between the two massive social networks but, as boyd pointed out this was about class. As played out in media, this lens shaped how we understood them, though the websites were functionally and practically quite similar.

For those look for ways looking for ways, to measure the utility or effectives of social networks, Zephoria suggests measuring network density. Look at the activity of clusters. Look at stickiness. If someone is using it but none of his or her friends are, they aren’t likely to stick around. Look for way to measure the health of the community – not just individuals.

When discussing the differences betwen adults and teens, boyd sees fundamentally different cultural, socioeconomic and power structures in play. Teen conversations can look inane from the outside — at best. boyd suggests thinking of them as hallway conversations, part of the process of “digital social grooming.” As she notes, you can have isolated kids in the corner offline too. Wall posts on Facebook are, in her eyes, simply forms of ritualistic hallway talk.

As knowledge workers joined Facebook, they started hanging out with friends — but what they did there was fundamentally different than the teens. Adult are much more likely to create status messages that broadcast outwards, while their “About me” sections are basically resumes, rarely offering up to date bits. Teens are more likely to include what they want friends to know about now.

boyd also noted they way that social media is shifting, including the relevant demographic. The median age of Twitter, for instance, is 31 and shifting higher. Teens aren’t engaging with the site at all. As boyd wryly noted, “for some reason, it’s more the Demi Moore” crowd.

Why? It may be an issue of power, which teens generally don’t have with respect to US society, especially with respect to building digital tools themselves. All of us care about how searchable we are, particularly with respect to the about people who have power searching for data, like law enforcement, potential bosses or academic institutions. We haven’t always been searchable, a reality that boyd put a geeky spin on when she noted that “Mom would have loved to be able to write “grep” or “find” to track me down as a kid.”

Virtual worlds didn’t escape notice. When asked about how social network mixed, boyd first refined the question: “anything that allows us to create social space w/avatars” vs 3D immersive online environments. She noted that teenagers aren’t using Second Life but are using console or online gaming environments to escape and have fun. Such world necessarily require real-time synchronous interaction, which is quite powerful for those who can get online at the same time to play, say, World of Warcraft.

Given that mobile phones are still the number one way to get online, however, there are inherent limits. (That could change if WoW really does work well on the iPhone). Virtual worlds therefore require “dumbing down” or different access patterns. And, in fact, boyd said that “70% of teenagers share the password for their social networking sites with their friends” so that their virtual identities could be curated by others. For the security-minded, this is of course anathema, but for a teenage member of a digital tribe, this is apparently close to the norm.

boyd talked about other cultural differences that vary by country and platform.  Cyworld, for instance, a social network in Asia, is shared family experience. She notes that micropayments are working in Cyworld, sometimes in unexpected ways. “You can buy poop on a friend’s profile, which they then have to pay to clean up.” When she noted that she would “like to see that on LinkedIn,” the audience enjoyed a chuckle. More seriously, however, she observed that as long as teenagers are part of an “oppressed demographic” in the US, our social networks won’t be like Asia. The US market is just beginning to get “all you can eat text messaging plans.” She suggested that the audience “consider the weirdness of someone else having to PAY to receive your message” and the worst cases where cyberbullies blasts someone w/txts, incurring costs.

In closing, boyd noted that social networks and social media in general are here to stay.

As we all create our digital identities, teens and adults alike are aware of the reality of “invisible audiences” that require us to adjust our projections to those who might see us. Once of the central challenges of social media use is how we adjust in the absence of social cues when the rules are still a moving target. The numerous firings that have now occurred after poorly-considered status updates bear witness to this reality. Firing is relatively minor compared to consequences elsewhere, as boyd noted in the the example of journalists in China. They write at two different levels to escape the censors to convey information.

There is now a massive blurring of public and private spheres. boyd doesn’t see privacy as dead — “it’s just very, very, very confused right now.”

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How do you measure social media ROI on Twitter? A ReTweetability Index?

A carpenters' ruler with centimetre divisions
Image via Wikipedia

I was asked a “quick question” about my Twitter use yesterday:

How many user responses do you get from your tweets?

It’s a fair question. As soon as I started thinking about how to answer it, I realized how many dimensions a proper answer should measure and compute that number.

What constitutes  a user response?

A @reply?

A RT?

A FWD using a (via)?

A HT (hat tip)?

A @mention?

There’s “influencer marketing ” metrics to be considered in there too, like whether users can be driven to comment or watch something elsewhere.

If you accounted for each metric on a given tweet, what measurements for the ROI of Twitter use could you generate?

If you’re measuring click traffic, you can see the traffic for @digiphile at bit.ly. That includes links that have been shared on three different Twitter accounts: @digipile, @epicureanist & @ITCompliance. The reach of the first account is dramatically greater, so results vary widely.

In aggregate, my qualitative answer to the original questions has to be:

“It depends.”

There are so many other variables: when I tweet, what I tweet, whether there is a link, if it’s directed to another user or if it includes an identifying source for a link.

Dan Zarrella, a social media and marketing scientist, has been at the forefront of retweet research focused on offering other quantitative models for measuring ROI.

His newly published Retweetability Index ranks Twitterers by his own formula:

[ Retweets Per Day / In(Tweets Per Day) ] / In(Followers)

I’m ranked at 1919 today with an index in the 7000s. I think that means I get a modest amount of user response. For more information, check out what Jennifer Grove ‘s post on Zarrella’s  ReTweetability Index at Mashable.

I’ll ask “How do you measure social media ROI on Twitter?” today and see what other people think.

In the future, I hope Dan and other researchers will create and share formulas or indices that include @replies, FWD, (via),  HTs, @mentions & influencer variables.

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