About 10 years ago, the main-frame generation ceded control the PC generation. Right around now, the PC generation is ceding control to the IM generation (or is the mobile generation?). Advances in technology and changes in user habits have profound implications on how brands engage with (employ, market to and entertain) this generation. This Blog-Post considers the first aspect of this generational shift - how does one reach the IM generation. Future blog-posts will center around engaging with the IM generation and finally, monitoring all that user-generated content .
It has been wonderful being at the center of two generational shifts (yes, I am dating myself) because some of the lessons learned from the first, can applied to the second. The PC generation demanded more and more powerful PCs, better user interface design and more real-time updates - rather than batch jobs that ran overnight. No longer was a little green cursor on a black screen sufficient or reams of paper reports with data processed overnight timely enough. Users were willing and capable of write their own SQL queries to find out real time numbers, but did not expect that data to be pushed to them. Improved user interface design meant that some thought was given to how the user navigated through the product, fewer trips to the server (since connections were slow) and some sharing of information (generally 1:1) with basic work-flow.
How times have changed!
The IM generation expects to be in charge of their user experience. They want to personalize, broadcast and contribute - all instantaneously. They will not be “talked-to”, and expect to talk back to the widest audience possible. Status updates are the perfect example of this shift in thinking. The user is in control of how often she updates her status and the data is broadcast to her friend-list or even company wide. The user experience is of ultimate importance - the IM generation will discard any tool that has a steep learning curve or is too expensive (for some, anything greater than free is too expensive). They expect to be reached via multiple platforms - stand-alone sites, social media and mobile apps and will engage with those apps asynchronously. Their apps live in the cloud, as does their data. They have access to community opinions and trust them over advertising.
Content has been de-coupled from the medium. Users can now watch movies and TV shows on-line or on their iPods/iPhones. E-mails can be accessed via smart-phones. In some countries smart-phones can even replace credit and debit cards. mCheck is a fantastic company operating in India that allows users to pay mobile bills, buy airline tickets, pay insurance premiums etc on their mobile phones. Smart phones also add the location dimension to apps, allowing such mash-ups as using geo-location to provide audio commentary about historical landmarks and buildings close by.
From a channel perspective, how should you respond to this historical shift? We recommend that brands engage with users via multiple mediums - stand-alone sites, social media, mobile apps and off-line venues. The most important aspect is to provide a way for users to share the app with their friends and to give them a reason to keep coming back. Popular one-shot wonders have no legs. Which specific platforms you use depends on the nature of your brand and the ability to sustain engagement via multiple channels (think beyond just launch). Even a modest budget can yield great dividends from a highly viral campaign .
Differential pricing can also help attract users. Case in point - I first tried out Things (task management software) on my iPhone. The cost was $9.99 (high for iPhone apps, but the reviews were uniformly great, so I coul not resist). I became so addicted to the app and its great design, that I ended up buying the Mac version at $49.95. A similar strategy of even Free-mium (where a certain level of functionality is given away free with tiered pricing for additional functionality) is a great way to get users to try before they buy.
A multi-channel approach invites the user to interact with the brand based on their convenience and has a better chance of capturing mind-share. Each of the channels can drive traffic to the other. For example if your stand-alone site is the main focus, then social media, mobile apps, twitter etc can all drive users to the stand-alone app. It is also likely that users will settle on the one that makes the most sense to their daily lives. For some people, social media is as integrated into their lives as brushing teeth, for others mobile apps make more sense since they are not tethered to a laptop. One other possibility is to roll out channels incrementally providing the opportunity to re-engage with current customers and enroll new ones. Feedback from earlier iterations can be incorporated and new features can be added based on the strengths of the channel.
So what did I learn from the main-frame to PC shift? Those that denied it and stuck their heads in the sand swiftly went the way of the dinosaur. Unfortunately this lesson needs to be re-learned. I still encounter firms that have their fingers in their ears and pretend that all of this will just go away. Those organizations (and people) that embrace change and learn the new rules quickly will have first mover advantage. Forward looking organizations recognize the great opportunities in this disruption. They see this as a chance to reach users in new ways and re-imagine user interactions. They will will have to, either because they recognize the advantages, or because their competitors are already there.
