Open discourse on Open Source surfaces familiar problem

I’m just on my way home after a great evening at the BT Centre for ‘An evening of open discourse’, which was an open self organising evening of discourse around open source, open data and open APIs.

There was a great panel initiating the discussion and debate, with Doc Searls, Karim Lakhani, Blaine Cook, Kevin Marks, Jeremy Ruston and Lars Kurth. A good enough panel for me to overcome the fact I was by far the least code-aware person in the auditorium by a factor of almost infinity. And then some. But given the fact I blog about microblogging exclusively on www.140char.com, the chance to listen to a former lead developer at Twitter and the principle co-author of OAuth was particularly of interest, even amongst one of the more accomplished panels I’ve seen.

Luckily, although I’m not an Open Source coder, I’m very much a believer in the opportunities it brings, and interested in the history of it’s continued evolution, and the human elements and personalities involved – and I knew enough to follow all the technical references, which was nice.

But problem the most reassuring thing for me was that it seemed the main two elements of the debate were two non-technology issues:

  • How do commercial and Open Source interests co-exist either alongside each other or in a hybrid model?
  • How you can assemble, motivate and integrate a community.

Those are two areas where I’m less ashamed of the fact I use Open Source tools, but I’ve never built even the smallest part of one!

And obviously the community model is of huge interest, and it was surprising in some ways to hear that there’s still a widespread admission of a lack of understanding about how communities might work in the Open Source developer world, which has been around for decades longer than the current assumed knowledge of a large group of marketing people in the social networking world.

Which probably shows the difference between people who deal with code, and those who might deal more in packaging and branding.

But it’s also clear that there’s still a huge learning for a lot of people around the fact that starting Open Source/crowd-sourcing/social networking/user generated content isn’t something that unleashes the ‘magic internet pixies’ who come and provided free coordinated, organised and harmonious free labour. One reason colleagues can manage to stay civil on many occasions is the fact they’re getting paid to be there!

The biggest challenge definitely seems to come for those businesses, such as Symbian, Sun or Linden Labs who have attempted to open up what was formerly a closed system, and then how those changes have sometimes struggled to be integrated into the rest of the business, and to motivate the open community in the way that was correctly, or incorrectly envisaged by the business originally.

Much the same as magazines sometimes suggested that when they unleashed ‘Commerce, Content, Community’ (the revised ordering of importance), that the content and community elements would take care of themselves.

Hence why communities don’t have hierarchies, shared beliefs, infighting, rules, standards, laws etc.

Oh wait.

I’ll try and expand more on communities across technology/networks and on and offline in the future.

 

There were also some really interesting insights, such as the power distribution of open source projects, in that, as expected a very small percentage of people do a lot of the work. But the perhaps surprising insight is that all of the new/novel ideas about the project came from the Long Tail, who might turn up, contribute one novel aspect from a different viewpoint, and then disappear – but their ideas make the project.

Kevin Marks did a good job of separating out the two principles of having open code which everyone might use, and having open standards which would allow different code to interoperate, and that the key sign of the gold standard is when two people can interoperate without even knowing the other exists.

And Blaine provided some really good insight into the early days of Twitter when it was more like 5 employees than 150 – such as the conscious decision not to develop an official Twitter client, and his introduction of the Twitter API as the push towards opening everything up.

It was definitely a great event, and I’ve got a lot of appreciation for the efforts of the organisers. Plus BT Centre look kinda cool from what I saw of it…

Ads and Paywalls won’t save newspapers and magazines

Numerous newspapers and associations of publishers are discussing the topic of paywalls for specific content or entire sites in an attempt to ‘create value by beginning to charge for it’ in the words of the American Press Institute.

Sadly for that plan, it’s not 1998 or 1898, and I’m not sure how charging for something creates value. The value that should have been created was lost when sales teams bundled online advertising as a free or low cost ‘added value’ bonus to print advertising, at a time when online adverts were capable of getting a decent click-through rate – and then not investing in helping advertisers to utilise new opportunities to better connect with their prospective customers.

The end result is that display advertising is generally decreasing in direct effectiveness and value (although there can still be branding benefits), and attempts to offer more innovative solutions generally fail because advertisers find it too much of a leap from simply booking the biggest reach at the lowest price they can negotiate. Those advertisers that are more innovative, meanwhile, have already started learning that they can create their own content and interaction directly with customers.

And the paywall debate continues to ignore the problem.

Instead it’s simply gouging consumers instead of advertisers.

I already have a paywall around newspaper content – which is one reason why I don’t buy print content. Every day I walk past racks of printed content protected by a cover price, because I can quickly access a wealth of equivalent content online, tag it and save it, interact with it, and often interact with the authors of it – whether bloggers, or increasingly mainstream media employees.

Want an example of ways to monetise a piece of content effectively – this is probably my favourite example of making the most of it.

It means investing in the content creators in your company who can connect and leverage levels of interest – whether they’re a celebrity columnist or an editorial assistant. It’s easy to forget the passion people feel for their favourite title or writers when you’re stuck inside the bubble all day.

It means creating value worth paying for and then offering people the chance to invest in it. And people need to be able to judge and justify the value for themselves – not be forced. Think forcing people works? Bugmenot begs to differ.

And it means creating value for the businesses who are looking for new customers.
I’ve seen companies move advertising budgets because a commercial person switched companies after giving them great service and helping them learn better ways to connect and make sales. If that person was able to educate more businesses, the demand from competitors and other companies would follow.

The problem is that doing all this requires more work, which could reduce the profit margin – but I’d rather have a small profit that can grow, rather than heading for losses.

US print advertising sales

US print advertising sales

U.S print ad sales dropped 28.28% in the first quarter of 2009, losing more than $2.6 billion in ad revenue. There’s a lot more analysis on Alan Mutter’s Reflections of a Newsosaur, including breakdowns by category, but losing almost a third of the value suggests U.S. print ad sales are reaching terminal velocity, and the rest of the world isn’t going to be far behind.

Online sales also fell by a record 13.4%.

That doesn’t mean businesses don’t need to sell as many widgets and doohickies than ever.

It means they can’t see enough value in print or online newspaper advertising to use a recession-hit budget.

And those that survive the recession will have had a crash course in finding alternatives which are more cost-effective and justifiable. They won’t be rushing back.

Why MLM will kill Twitter with their business model…

Interesting article, and a chance to test the PressThis bookmarklet for WordPress 2.7:

Why MLM Will Kill Twitter (Hint: because They Have a Business Model) – Marketing & Strategy Innovation Blog.

Looking at how multi level marketers and business models that can extract value can have a major effect on Twitter, particularly as spam models only need a relatively small conversion rate, and people are so eager to retweet a message without examining it!