Thursday, November 11, 2010
The 80-20 to declutter just about everything in life.
Friday, November 5, 2010
Making choice easy....
Often on the web, you get told what products you might like. On many sites you get told what the top 10 in your genre are(I’ve discovered some very cool stuff on internet radio stations like Last.fm ). These recommendations work well because:
a. You can serendipitously discover new stuff you hadn’t heard of.
b. The merchant can sell more stuff(often obscure stuff that you wouldn’t have known otherwise).
One reason this works so well is that we all love to be surprised. We all love to discover and stumble upon stuff.
What would be cool is if this experience were replicated in offline markets. Often, customers don’t quite know what they want. It is possible to create experiences that help people make decisions, even if you don’t quite have the precision of an algorithm-generated recommendation.
Imagine if your waiter gave you suggestions for new dishes (my favourite restaurant does this – I suspect they’re not alone). Or if you had clothing shops or supermarkets that had a board listing out the top 10 products from yesterday.
Most marketers approach this indirectly – they mark bestsellers at a discount, or advertise them more heavily. It’s not often that people have tried out telling customers up front – “these are the top 10 products – you should consider buying one of them”.
Being simple and direct is an easy way to prompt a customer to make an impulse purchase. If it’s worked so well online, it should work offline too. This is something I’d love to see being tried out.
Monday, August 2, 2010
On how to ruin an ad by breaking promises.
What do I get? A blank screen. A flash screen that takes 45 seconds to load. Still, that tagline is promising. Maybe these guys are good. Good things come to those who wait, eh?
When it finally did load, this is what I get:
Mhmm. Lots of questions here that the website refuses to answer.
a. If I do want to advertise, what can they do for me?
b. And precisely what is the extraordinary advertising work that they promise in the tagline over there?
c. What exactly are all these images and icons? I mean, they’re randomly pretty, but do they mean anything?
d. How is any of that going to help me make money? Or advertise?
e. Why should I care?
It’s a pity, really, that they’ve ruined all the anticipation built by that tagline by having a fancy-but-pointless website.
Of course, after some navigation I find that it’s a local agency based in London. So, what were they doing showing an ad to folks in India? What were they smoking? Not only is this unproductive for them, but it’s such a waste of *my* time, when I realize they’re in London and I cant deal with them anyway.
If they get their targeting totally wrong, they talk to all the wrong prospects when they pitch their own business, why should any client trust them with his business, anyway?
Wednesday, April 7, 2010
Guarding against negative Black Swans
But then, it isn’t *that* difficult to spot some of these Black Swans in daily life. And just as important, to do something about them. Within a day after reading the book, I noticed quite a few areas that I could make Black Swan proof:
Automobile crashes: Wear a helmet/seat belt. Sure, the odds of crashing are small, but when you do the odds are it’ll be dangerous.
ATM machine failures: Don’t wait till the morning of a journey to draw money. Once, an ATM swallowed up my card with painful consequences. Now, by going to an ATM the day before traveling, I can always borrow from a friend in the event of the ATM going bonk.
Pickpockets: Keep your credit cards in different pockets. Keep money in 3 different places on you – some in a bag, some in wallet, some in a shirt. Also, take cheques along on journeys.
If you notice, in each of the above, the cost of protection is very small compared to the loss itself. Therefore the behavior change required to guard against these events is relatively easy, provided you’re aware of the need to take steps.
Wednesday, February 10, 2010
Chase the new or grow the old?
What should you do? Separate your new ventures and existing businesses. They need different kinds of people to run. Hunters and farmers. Studs and fighters.
Existing and new businesses are different cups of tea. It makes sense to manage them separately.
The one reason Buzz might just click....
Remember Wave? You had to go over to wave.google.com . In hindsight, what killed Wave was that it was at a different URL. Its ‘incompatibility’ with something users were familiar with was too much of a barrier.
Anything new faces a lot of friction and inertia. If someone told you to go deep sea diving, you wouldn’t take the plunge right away. You’d hem and haw and ask around and inquire. You’d make sure your fears are allayed before you take a step.
One way to overcome that friction is to build a bridge from the old to the new, and make that bridge easy to traverse. That’s something Goog seems to have done astutely with Buzz.
(and what is the one thing that might kill Buzz? The fact that it hasnt really thought about privacy. And has refused to learn from Facebook's mistakes.)
On common men, and laziness in word choice
The Hindu reports that the media was exhorted to ‘fight for the common man’.
Okay. So common man who? Chap making under 3k a month? Slum dweller? Footpath dweller? Rickshaw driver? What about me? Am I a common man?
Which of those would you want the media to ‘fight for’? The one man with the lowest income of the lot? All of the people below a certain income level? Everybody on earth?
I have a problem with lazy statements like that. Even if the statement is sincere, you cant ‘fight for’ everyone, unless you have infinite time, energy and media space. And what’s worse, if you attempt ‘fighting for’ everyone, you end up making a difference to no one.
The reason why people say pointless things, perhaps, is that they have nothing to say.
Sunday, February 7, 2010
On measuring simplicity
http://www.addedbytes.com/code/readability-score/
It is useful to pick any one of the measures and follow it consistently. I like the Flesch Kincaid Grade Level, since it is easy to interpret. It roughly gives the number of years of schooling it
would take someone to understand the content.
The lower the score, the simpler the piece is. Typically, a score above 12 indicates fairly convoluted writing. Some of the best long form copywriters I know manage consistent scores of under 6.
This is a good way to objectively measure how simple/crisp your writing is.
PS - Thanks for this tip to John Fancher, whose copywriting I've been very impressed by.
Saturday, February 6, 2010
When free isnt really free
When I bought some t-shirts yesterday, I turned down the offer of the wrapping and plastic covers. These were free, but they were also unnecessary. I might even say they imposed on me the cost of cleaning up their clutter at home.
Just because something’s free, it’s not necessarily a nice thing. For one, nothing is truly free. Consuming a ‘free’ good has an opportunity cost to it. You might even get more utility by paying for something compared to consuming something else for free. Government hospitals are free, but they’re so bad you and me don’t seek treatment there.
See the parallels with the world wide web? The marginal cost of producing another web page is close to zero. Everything on the web is free. It’s no longer an economy of scarcity, it’s one of abundance. It’s easy to show up, anyone can do that.
Being there is no longer enough to make people want to engage with you, deal with you. On the world wide web, you've got to give more compelling reasons to stay with you.

