Introduction.
Today’s consumers are empowered by the internet and increased connectivity. They have become more brand sceptical. They are also better able to create many products and services for themselves if they want. Some Web 2.0 and Open Source businesses have successfully managed to integrate these consumers into their business strategies and activities. Their business models are radically different than those of traditional businesses. However design and branding literature is still created mostly from the traditional business perspective. Therefore new research needed to be done.
Aim.
This research project aims to create the rules of viable business models and strategies based on consumer integration, Web 2.0 and Open Source approaches.
Methodology.
The methodology consisted of literature and internet studies, blogging and seminars. Also interviews with fourteen experts were done to obtain a wide variety of insights. They have their backgrounds in traditional businesses, Web 2.0 businesses, one-woman business, global brands, consultancies and manufacturing. Also action research was conducted by developing prototypes, like “Pigodivo” and “Amor et Labor” which were tested and reviewed by a small group of users in an iterative process.
Findings.
The results showed that it’s very important for business to integrate users to become more competitive. Web 2.0 applications and Open Source thinking are very good ways to do this. The interviewees confirmed these findings and expressed how their company found ways to integrate consumers. Co-creation projects were discussed with their strengths and weaknesses. Action research with Pigodivo (collaborative innovation) and Amor et Labor (open design platform) were compared. Problems with too much openness and collaborative innovation were highlighted.
Discussion.
Currently Web 2.0 and Open Source approaches are used to create personal intangible products or services or for tangible goods to create personal experiences.
Collaborative innovation may be done best in small settings. Otherwise they can be done in mass settings by asking for individual contributions and supplying feedback tools to other users so they can nominate the best ones.
Businesses will become facilitators of user (consumers and employees) communities and design will be at the heart of that. Moreover the Co-Value Transaction Business Model is explained as a highly effective consumer driven business model. In the near future more advanced manufacturing techniques will become common good allowing users to take full control over their lives. Currently barriers are that consumer driven businesses may be slow and that they might not align with internal corporate management structures. Consumer driven businesses should behave ethically and communicate clearly. Finally one should understand that democratizing innovation is not always the best option.
Recommendations.
In the recommendations it is discussed whether the world has changed or our perception. It is suggested for business people to over think it very well before truly opening up. This revolution may start small, with maybe only a few people inside the company who are seeing it through the eyes of users. Furthermore it is mostly learning by doing and design thinking will be important throughout this process.
Further studies should be done on the future of manufacturing techniques, as they may enable the user to take complete control.
Or... download the Windows Media File (big screen / high res), 18 MB.
07-05-2007: Working on several platforms and projects, which will be launched soon. The videos are online again.
29-11-2006: The videos are removed again for an undetermined period of time.
24-11-2006: The (high res) video is online again! The bandwidth problem is solved and an extra (low res) Google video link is added. Please show them to anyone who may be interested.
25-10-2006: Thanks everyone! It's great to receive such enthusiastic response.
06-10-2006: My video is in the news.
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Other projects. My curriculum vitae and portfolio (with other interesting projects!) can be viewed here.
Further information. Of course not all outcomes of my research project (which took more than 9 months) are mentioned in this video. Alternative models, company specific strategies, golden rules, futures and other important topics are left out for time and confidentiality reasons. This video is only an 11 minute "snack size" summary for those who are interested or still unfamiliar with the topic.
But if you need advice for your consumer driven business or project, or if you have any further questions, please feel free to contact me as I'm more than willing to help you. info@webtwobusinessmodels.com