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In the Cloud, Software Goes Back to its Beginning

altBy Andy Marken

Having been around the software industry from the earliest PC days (and before) it is interesting to see the companies come full circle and the uproar that is surrounding the latest announcements that software would be on a subscription basis.

Much of the furor comes out of a very basic misconception ... that you pay once and you "own" the software.


Manufacturers, Retailers Need to Pull Out All the Stops for Christmas

 

By Andy Marken

You just got the kids back to school and don't even want to think about your first pre-holiday ad or online/in-store Christmas decorations, but there are too many touchpoints that have to be taken care of this year.

After last year's white-knuckle Christmas, everyone in the channel has been working feverishly to ensure consumers forget how they scoured the web and stores looking for bargains.

Actually, we learned a lot from all of efforts to convince folks we had the stuff they wanted to buy, give, share.

Internet of "Things" a Playground for Bad Guys/Gals

By Andy Marken

People love the Internet of Things.

We must because we connect anything, everything – computer, tablet, phone, smart TV, door, thermostat, car, pacemaker, electric meter, bank, coffee shop, train, plane, you name it ... it's connected.

Heck, we have more than twice the things connected than people on the planet and by 2020, we'll have more than 50B of them doing something.

The industry is so great they've put tremendous computer power at the edge.

Been There, Done That, Want to Do More...Lots More

A Certain Age – Life for boomers wasn’t always the Age of Aquarius, but it was a time of opportunity and potential when you could make a change, make a difference. O.K., so it didn’t happen, but they’ve lived to see if the Gen X, Gen Y and younger can do any better. By Andy Marken

Not long ago, we were visiting Hanalei, Kauai and our son innocently asked, "Is this what it was like growing up in the '70s?"

It got us thinking as we approach "that age" that boomers aren't all that bad.

They can't be. After all, the population born between 1946 and 1964 are 80 million strong.

From the potential employee and marketing target perspective, they've been largely ignored, as decision-makers preferred the "sweet spot" 18-49 age group.

But according to the Conference Board and Nielsen's "Most Valuable Generation" reports, maybe we need to take a new look. Especially when Nielsen noted that in five years, 50 percent of the population will be 50-plus.

Wearables Won't Do Much Without Your Help

 

“If I were Iron Man, I'd have this girlfriend who knew my true identity. She'd be wildly conflicted, which would only make her more crazy about me...” – Tony Stark, “Iron Man,” Paramount, 2008By Andy Marken

My mama said, "If you can't say anything nice about someone, don't say anything at all," so I won't say anything about Google Glass.

To its credit ... the stupid thing did raise the awareness of wearable technology and that's a good thing.

But, as Apple's Cook (who wears glasses) said, and we paraphrase, "elegant, sexy it ain't."

Wearables could be the stimulus smartphone and tablet folks need to keep sales climbing, since they have just about peaked as far as the number of people who use them are concerned.

Sure, there will be incremental growth; but it will be much slower and each new customer will be more expensive to obtain.

Chasing Innovative Products is a Long, Hard Trek

images/j2xml/e4/IDA7hbgSnOt9nIqk7Cpq4SAAwoMd8QxSI19zoYBwhE8UKZHFq0voa3CyAQWCv57S7pT4GkrZvVuKlEJsGLJfVb96OoPLM7xcSZ-_3_MM4GjZaTfHeQ.jpgBy Andy Marken

There are certain words most writers love to use.

You know – breakthrough, leading edge, market changing, user defining.

Yes, and the ones headline writers, publicists like best... Innovative, Innovation.

Admit it; we all like to use them to when we're talking about our whatever.

When was the last time you heard any company say, "Yep, we're introducing another great knock-off that is based on the stuff the other guy did and then we changed it ... a little."

The Silent Economy Could Change The Way We Acquire, Use Stuff

It's New, Better – Companies no longer work for a year or more on a new product or device and then roll out something that is spectacularly different. Instead, they roll out a new version with a change here and there so they can tell you how superior it is to the one you bought yesterday. People are becoming less inteIt's New, Better – Companies no longer work for a year or more on a new product or device and then roll out something that is spectacularly different. Instead, they roll out a new version with a change here and there so they can tell you how superior it is to the one you bought yesterday. People are becoming less interested in drinking the Kool-Aid today. rested in drinking the Kool-Aid today. By Andy Marken

You've just gotta' love PC/CE/communications announcements.

You know, the one that:

- Happens just after you got your new ultrabook, tablet, smartphone

- Makes people look at you with pity that you have yesteryear's device

Daughter recently got a new iPhone. Son replaced his tablet. They weren't even a year old fer gawd sake but at that age some status things count.

Frankly, I can't understand how anyone (except the respective company's marketing folks) could be overwhelmed with the new crop of smartphones, tablets, ultrabooks, TV screens, you name it.

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New units are nice, but mind-blowing?

To die for?

Seriously?

I can remember back when moving from one computer generation to the next every couple of years was a real step up.

The new stuff they're "announcing"? NBD (no big deal).

The new devices aren't overwhelmingly superior ... just "new"!

Mind Shift

I got to thinking about the industry's drive for new devices after reading a recent Motley Fool article and Google blog.

Motley Fool asked if perhaps we have reached the point where electronics devices are "good enough" and people will stop paying extra for the latest and greatest.

The Google blog was about Google Mine -- I got a bunch of stuff, people in my circle have a bunch of stuff, I want to use some of their stuff, they want to use some of mine, so we share or rent each other's stuff.

Both were intriguing since we are pushing technology so fast it's hard for people (normal people) to understand it, deal with it, use it.

Slow Down Boss – Technical advances and improvements are coming at us at blinding speed; and for many, it feels like the enhancements are coming faster than they can be absorbed, mastered, used.

Way back in earlier times, people had very few "possessions."

When they moved, they packed up their meager belongings and ... moved.

When they really needed something new, they borrowed, traded, swapped one thing for someone else's thing.

Today, we buy so many things we can't get our cars in the garage because it's full of things ... our stuff.

Picking up and relocating is tough because of all of our stuff.

Moving Time – People continue to accumulate more and more stuff to the point they either say they can't move because of the heavy load or they streamline down to the items that really count and sell/give away the rest.

Not that we use it that much, but it's our stuff.

Recently, our neighbors -- who's kids had "come of age" -- announced they were moving, downsizing. They were probably doing it to make sure the kids didn't move home again.

During the move, they shed a lot of their stuff, keeping memories and selling/donating the rest. A lot of it they hadn't used – probably hadn't even seen -- for years.

This time, they rented a home instead of buying, saying they could use the money to travel instead of property ... "things."

Ownership Downsizing

In talking with the folks at IDC, I found that a lot of younger people have the same idea, rent/lease, rather than buying.

Some have explained that they simply don't have the money what with student loans that need to be paid and trying to build a financial cushion.

They're also renting or buying pre-owned (used) stuff because it's actually a little better for the environment.

If you look around, there are a lot of examples of people making a conscious decision (or because of tight money) to rent rather than buy.

You know:

apartments

cars

houses

bikes

household appliances

lawn and yard equipment

parking spaces

electronics

home security

media

tools

money

office space

The difference between my office and den and the kids' rooms only amplified that generational change.

I have stacks of LPs, shelves of CDs, some DVDs and a lotta' books.

The kids have their iPods, smartphones, tablets, USB sticks, portable hard drives, Pandora, IHeartRadio, iTunes, YouTube and you name it ... tens of thousands of songs, years and years of video and libraries of reading at their fingertips.

Starting With Less

Globally, the three billion consumers in emerging countries won't have to go through my speed bump of analog and digital entertainment; they'll start out digital and probably rent vs. buy.

If they get tired of the content, they simply quit renting it.

And it will all be on some mobile device, so taking their content with them when they move won't be a hassle.

Of course, that's going to put a crimp in all of those special sales, but I can see it happening.

alt

Really Big Sale – Young or old, it doesn't really matter. Tell people there's a really big, limited-time sale and they'll mob the store to buy whatever they can get their hands on it. Really want it? Really need it? It doesn't matter ... it's new and cheap.

It will take a lot of the fun out of shopping for my wife when she can't come home with bags, boxes, delivery trucks to tell us how much she saved.

But with traditional financing being more difficult to obtain, the rent-to-rent and swapping/sharing industries should be really big in the future. Especially since, according to Consumer Reports, the median household income in the U.S. has fallen more than five percent since 2009 (despite what the Fed says).

The researchers note that the number of households with credit histories so damaged that they don't even qualify for credit cards has risen from 27 percent to 35 percent over the past five years.

Global Trend

The U.S. population isn't the only one that has been pared back and is considering an alternative to a new top-of-the-line smartphone, tablet, PC every time they turn around. Google's Mine has probably tapped into this trend as well as the interest younger adults have in doing more with less and sharing/trading goods/products/services.

The idea certainly isn't new. It has been going on since people stood upright and has been a growing part of the economy that few track or cover.

If you look at megacities around the globe, space is at a premium and apartments/homes have shrunk.

People are more careful, more cautious about the physical objects they purchase and more of them have joined the underground sharing economy.

It's a growing movement that enables the sharing of personal resources among members.

Big Market

Forbes recently estimated that the sharing economy is worth $3.5 billion and could double in a few years.

There are a lot of free sharing services out there, but leave it to Google to perfect a way to monetize and handle the sharing transactions

Cloud computing and storage is another form of the sharing economy for personal and business use.

Why upgrade servers and systems/networks every two years and storage devices every time you turn around when you can simply rent it?

Cloud computing, especially a private cloud, makes a lot of sense for businesses because it's about as secure as anything can be in today's "private and secure" world.

From a company's perspective, cloud computing/storage is a lot more reliable, resilient and more economical-- especially when mission-critical IT activities are involved.

The same is true for individuals.

Companies (manufacturers) that take part in the shift could easily do what GE did years ago and establish their own leasing/rental operations.

Not certain how their CFO handles the accounting, but that's his problem.

alt

Newer, Better – Even before the device is worn out, tired or broken, companies are enticing you to upgrade to the new, improved model. Sometimes it has a little more speed, is larger/smaller, has more memory or a new cord. It doesn't really matter because it's a lot better than the one you have ... well, sorta'.

All I know is buying a new device to replace the one we bought for our daughter a few months ago is getting to be really hard on the billfold and credit card.

Then too, since the devices the kids have right now are "good enough," maybe it's time we simply stopped paying extra for the latest and greatest.

We're not quite sure about jumping into the sharing economy just yet because the guidelines as to what is being delivered or exchanged is still evolving.

But as soon as eBay, Google, Amazon get it figured out, we'll take a closer look.

www.markencom.com

The Car ... Your Home/Office Away from Home/Work

By Andy Marken

Other than a beautiful person of the opposite sex, there is probably nothing that smells better and looks nicer than a new car.

With each new model, they are becoming just as difficult for a guy (O.K., me) to understand and figure out all the new options.

I sorta' miss the days when you could just sign the papers, grab the keys and head out.

Now, depending on the make/model, you also have to have a three-day training class and you still don't have a clue!

BYOD Created Business Opportunities, Business Headaches

                            	Image Source - The Time Traveler’s Wife,  New Line Cinema   “I never wanted to have anything in my life that I couldn't stand losing. But it's too late for that. It's not because you're beautiful and smart. I don't feel alone anymore.” – Henry De Tamble, The Time Traveler’s Wife, 2009, New Line Cinema    By Andy Marken

The mobile device industry has been around since 1973 when Motorola's Dr Martin Cooper unveiled the first brick mobile phone; and it muddled along for years, focusing on selling connectivity units for really important people.

Apple changed that around 2007 with the iPhone, which would have been okay if they hadn't followed up with iTunes and followed that up with the App Store.

A little more than five years later, everyone is falling all over each other to develop an app for fun and profit, for their business and to protect your apps/devices from other apps and "them."

Squeezing Profit from Every Video Frame

 “It's a strange profession you have. You take people's lives, make lies out of them.” – Fletcher, “The Final Cut,” Lion Gate, 2004 By Andy Marken

Today, it's not just producing eye-popping content, it's monetizing it ... every bit and byte

Networks, local stations, studios, YouTube (100 hours uploaded every minute), Yahoo, Amazon, Netflix, AOL, others – there are so many choices it's no wonder scheduled show viewership is down.

Thanks to all of the advances that have been in cameras, really good content is easier to shoot, produce, prepare for consumption (viewing).

Customer Service Has to Be Real, Responsive

                                                       “We might just make it. Did that thought ever cross your brain? Well, regardless, I would rather take my chance out there on the ocean than to stay here and die on this island, spending the rest of my life talking...” – Chuck Noland, “Cast Away,” 20th Century Fox (2000) By Andy Marken

Last Saturday, the wife went shopping at Stanford Mall...O.K., so that's not unusual and not particularly exciting or for most males.

The next day, she had a thank you email from the associate (there are no clerks today) encouraging the wife to call or better yet, come by (oh, we know what that means) if she had any questions/issues.

The associate even volunteered to let her know from time to time when there were sales, events she thought the wife would be interested in (whoopee!).

A pretty good customer engagement effort.


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