Diffusion – Of Ideas, Infections and Innovations

Quick Read: Why do certain ideas spread faster than others?  Diffusion – a social process where people talk to people is still the way that ideas and inovations spread. Stories from diverse fields like health care and ethnic foods provide further evidence.  

Did you know the story of the humble Doctor’s coat?

Till a major part of the 19th century, a doctor’s coat used to be black in color. Why? Because a visit to a doctor had an air of ‘finality’ attached to it, almost like the solemn nature of a funeral. As per this historical account, until the late 19th century, seeking medical advice was usually a last resort and frequently a precursor to death. The reason? Poor hygiene standards in medical practice.

In fact, back in those days,  a doctor’s badge of a busy practice was their black coats stiffened with blood and remains of previous operations. Practices like washing hands, sterilising instruments were virtually unheard of in medical practice during those days.

Naturally infection became the curse of surgery – becoming the single biggest killer of patients who underwent even uncomplicated procedures. Infection was so prevalent that the discharge of pus from a surgical wound was thought to be a necessary part of healing!

Ever since then, many medical practitioners tried hard to conceive of and spread the idea of basic sanitation as an effective means to combat preventable life threatening infections. But failed.

For e.g, Ignaz Semmelweis published the earliest known studies that showed basic hand-washing to be effective at reducing mortality rates of surgery patients. His findings were known to have offended the doctors! Even Louis Pasteur’s Germ Theory or Joseph Lister‘s concept of antiseptic surgery techniques contributed little to the mainstream propogation of the idea of sanitation in health care.

grossclinic(“The Gross Clinic,” by Thomas Eakins, 1875. Source)

The break through in seeding this key idea came over the course of several years as follows.

It turned out that the key message to teach surgeons was not how to stop germs but how to think like a laboratory scientist. A few pioneering German surgeons siezed upon this idea – of the concept of surgeon as a scientist – and seeded this in their students’ minds, many of whom were young medical practitioners from US and other countries.  The result?

The students swapped their black coats for pristine laboratory whites and returned to their home countries as ambassadors not only for the use of antiseptic practice to kill germs but also to prevent germs.  Evangelising through their own students and colleagues, they finally spread the ideas worldwide.

So, the idea of basic sanitation and sterilization for health care and germ prevention spread not because of academic journals or publications, but because of social diffusion – where people (medical practitioners) talked to people (students).

Spreading a Miraclous Solution. One Person At a Time

In many parts of the world, Diarrhea remains the world’s biggest killer of children under the age of five. ORS (Oral rehydration solution) has been known to be a simple yet effective cure for the illness which required a miraculously easy formulation that can be made at almost every home around the world  (water + sugar + salt).

In 1980, a Bangladeshi nonprofit organization called BRAC embarked on a nationwide ORS adoption drive. How did they go about this? The organization didn’t launch a mass-media campaign. It attacked the problem in a way that is typically dismissed as impractical and inefficient: by going door to door, person by person, and just talking.  

ORT(Door to door ORS Education by BRAC, 1979 . Source)

They hired, trained, and deployed thousands of workers region by region who went door to door through more than 75,000 villages and showed 12 million families how to save their children with this simple solution. Eventually, the knowledge became self-propagating and child deaths from diarrhea plummeted more than 80%  between 1980 and 2005. The program was stunningly successful. (source)

Shifting gears a bit and moving over to Ethnic Foods..

 The Greek Yogurt Revolution In The US

Till 2005, Greek Yogurt was a niche segment in the US with a market value of just about $60 million. But in just 5 years a new brand, Chobani has gone to become one of the most explosive food start-ups ever to hit the market netting more than $1 billion in annual sales and rejuvenated the entire Yogurt category in the US. How did that happen?

Ofcourse, Chobani, under the visionary founder Hamdi Ulukaya,  had a brilliant execution of its mix – from clutter breaking packaging, category defying in-store placement (he is known to have insisted that Chobani packs be merchandised in the main dairy area, not in the specialty section), competitive pricing and appealing flavours.

Chobani(Chobani Ad Campaign extolling its fruity goodness. Source)

But fortunately for Chobani – the timing was just right. Consumers were adopting healthier snack options into their busier lifestyles. So much so that when someone opened a pack of Greek Yogurt, it inadvertently became an instance of conspicuous consumptiona prominent scenario of social diffusion enveloped in a message of healthy tasty snack. 

So each time a pack of Greek Yogurt was opened, it created awareness and generated talkability around Greek Yogurt’s health benefits and unique taste. And this was even before its first mass media campaign. As Niel Sandfort, Director of Marketing at Chobani says..

“Before you even think about mass media or paid media, you have to have your ducks in a row on a number of fronts.”

So by the time, the company embarked on its first mass media campaign, the size of the population that was aware of or bought Chobani at least once, reached a “tipping point“, allowing the product to take hold widely. The result? An explosion in the growth of the Greek Yogurt segment. 

Today, the Greek Yogurt category – once a niche segment –  now accounts for 36 percent of the $6.5 billion in total U.S. yogurt sales (source) with Chobani being the number one seller in the category, with nearly 52% market share in the US!

Perks Of Being A Party Food

Guacamole – is an avocado based dip that originated with the Aztecs in Mexico. But in less than a generation, it went from an unknown Mexican delicacy to becoming part of everyday cuisine as a dip, condiment and salad ingredient. This growth of gacamole  was partly because it’s a party food. i.e., people discovered it when others shared it. 

So in essence, while we yearn for frictionless, technological solutions, people talking to people is still the way that ideas and innovations spread. In fact,Diffusion of innovations – a theory by Everett Rogers that seeks to explain how, why, and at what rate new ideas and technology spread throughcultures – says diffusion as a social process of people talking to people is central in spreading an idea or innovation among the members of a social system.

Meanwhile Sabra – a PepsiCo owned company that sells Middle Eastern food products in the US  – is fretting that 80 million Americans have never heard of hummus

(H/T: to Seth Godin for this riff on Guacamole, to Atul Gawande for this valuable article on idea diffusion in medical practices. Featured Image source 

Selfies And The Art Of Sky Diving

Quick Read: Selfies as a mode of expression via pictures, videos or 3D shapes is gaining main stream traction. GoPro is a fascinating company that took an unmet ‘selfie need’ and expanded it to encompass newer grounds with great success, while gaining a cult like status.   

It is believed that Robert Cornelius took the first ever selfie in the year 1839. 

Ever since then, over the span of  175 years, the humble selfie has evidently made spectacular inroads into our popular culture. Today we see world leaders, hollywood celebrities, protesters in police vans and even the Pope having all smiles for the selfie. No wonder then, today we have:

In fact – given our recent advancements in 3D printing – it is inevitable that we even have the 3D printed selfie today!

twinkind_window_5126(3D Selfies. Source, TWINKIND)

According to this paper, while selfies have been called different names like  a symptom of social media-driven narcissisma way to control others’ images of usa new way not only of representing ourselves to others, but of communicating with one another through images, or even as the masturbation of self-image, the one that stands out the most for me is the concept of selfie as a device to control others’ images of us. 

This primal urge to control others’ image of us seemed to have proven to be a gold mine for a company that is now on its way to a hotly anticipated IPO. Think Video Selfies. And think about all the exciting activities like surfing, skiing, snowboarding, auto racing, river rafting, sky diving etc. And you get the picture.

Hang on. Did we just say ‘Video Selfie’?

GoPro

2002. On a surfing trip to Australia, Nick Woodman wanted to take a selfie. Albeit with a twist. He wanted to capture quality action photos of his surfing. Having met with limited success, his desire for a camera that could capture him surfing in ‘professional angles’ started to take shape. And thus the name ‘GoPro’ was born for his company that would subsequently go on to sell small, waterproof, wearable cameras that you can use while doing exciting stuff.

GoPro-surfing-longboard-600x400(How to take kickass selfies with GoPro. Source)

Today GoPro makes what it calls ‘smaller, lighter, mightier still’ HD video cameras with a 170-degree angle view under their line up of HERO series to capture and produce high quality content along with an entire ecosystem of mounts, accessories, software and applications.

But what makes GoPro an extremely fascinating brand is the street cred that it earned for itself as an unconventional media company. Sample these..

The GoPro Ad: Instead of advertising, the company aggressively hands out GoPro cameras to extreme athletes asking them to simply shoot and bring back their footage. A small in house team then edits the footage, slaps a hip sound track, throws in the GoPro logo and boom – A stunning free GoPro Ad! (Interestingly – given the versatility of the GoPro camera – a lot of footage that they get from users is so astounding that people are known to insist it had to be fake.)

GoPro on YouTube: GoPro’s YouTube channel ranks among the top 100 with nearly 2 million subscribers and 455 million views of its 1600+ videos posted till date. In fact as per this article, the number of videos with “GoPro” in the title has grown so much—60 percent from 2012 to 2013—that watching 2013’s crop alone would take you 2.8 years. Reportedly GoPro is expected to make about $1.7 million per year from its YouTube channel alone.

The GoPro Channel: In CES 2014, GoPro announced plans to unleash its unique brand of action sport videos on Xbox Live for both the Xbox One and 360. In fact, Virgin America inflight entertainment system already lists this channel that features curated GoPro content where users will also be able to purchase GoPro products directly online.

Expanding cultural footprint of GoPro’s media content: GoPro has strategically carved an outsized cultural footprint for itself by being part of several high points in recent history. Take the recent opening ceremony of the Sochi Olympics, where many athletes were seen filming themselves with GoPros or Felix Baumgartner‘s record-breaking jump from 128,100 feet for the Red Bull Stratos mission. Chances are that you must have seen the footage filmed by one or more of the seven HD GoPro cameras used in the mission.

(GoPro Super Bowl Ad 2014 featuring the Red Bull Stratos mission)

GoPro, Apple and Red Bull: While some observers see GoPro as a company that clearly wants to create a kind of ecosystem, similar to that of Apple, with a devoted fan base addicted to its hardware and software and a thriving core of creators and consumers, there are also those that think, GoPro could make for a new sort of hybrid company, the way Red Bull is both a drink maker and powerful media brand.

Jason Stein, founder of Laundry Service, a digital media agency in New York even says:

“Red Bull has become this media entity, created around the lifestyle of people who drink Red Bull, GoPro is doing the same, but the reason I think they have more potential is that their product is an actual media device.”

Hence analysts expect that GoPro could create revolutionary possibilities in content creation and consumption in the days to come. This article even speaks about a future possibility where the company could sign agreements with sports leagues to place GoPros within the games. So when you tune into your NBA or NFL or IPL, imagine getting a live feed from whichever player you want!

Beyond Hardware

Evidently the GoPro story is no longer about a hardware maker that had captured two-thirds of U.S. sales and 45 percent of the global pie of the pocket digital camcorder segment (source).

It’s about software and experiences. It’s about enabling awesome creative expression and adrenaline packed content production – the non traditional way. It’s about brilliant marketing that is inspired by this unique culture. All borne out of one key human need – to be able to influence other’s image of us by showcasing those fleeting experiences and moments that (we think) could define us.

Like perhaps a selfie.

3D Printing, Value Chain and Lawyers

Quick Read: 3D Printing as a technology can can have revolutionary implications on all the 3 key stages of a value chain –  Manufacturing, Distribution and Retail. And not to forget lawyers!

Let’s Start With Manufacturing

Today Lego finds itself going to war with the 3D Printing technology. Why?

Because, what has happened over the last decade to music, newsprint, film and photography now seems to be threatining the world of shapes and objects. As this Washinton Post says..

Soon hobbyists…. will be able to craft their own (lego) bricks, thanks to 3D printers that make fabricating those plastic parts as convenient as going to Toys R Us. With such technology, entire structures can now be reverse-engineered, reduced into a pile of components and snapped together in minutes. 

Lego’s sophisticated molding process that currently enables it to produce 55 billion Lego pieces a year is probably not under an immediate threat from the 3D printers. But once the technical challenges like being able to meet the established tolerance levels for finish, texture and fit of various materials and being able to operate at scale are solved, which –  many experts believe is just a matter of time – Lego might be at a major  risk.

lego_ironman(Lego Ironman, Source)

So the recent remarks from Lego’s CFO John Goodwin who said “3-D printing is a fascinating development and certainly opens up a lot of new avenues” gain significance as a first ever major acknowledgment by Lego about the impending storm.

This has even led to some analysts predicting that the future for Lego could be as an Intellectual Property publisher of the digital models of their blocks, not unlike the modern record company which doesn’t actually create physical tracks anymore but just owns the IP rights of their music.

Moving Over To Distribution

Distribution (and inventory management) are known to be Amazon‘s expertise. But faster shipping can come at a price. For e.g, in Q1 2013, Amazon’s shipping costs were 4.7 percent of revenue (source). So it has reportedly been testing the grounds for newer, cheaper and faster delivery methods like drones.

But here is – what could potentially be – the billion dollar question. 

What if the whole value chain starting from maintaining inventories of raw materials, industrial scale manufacturing, packaging, palletising, shipping, bulk breaking, transporting, warehousing to distributing were to become redundant? What if we manufacture goods just in time near the final destination?  

As this article says, that’s where 3D printing comes in –  by producing goods in exactly the ordered configuration precisely when they’re needed, 3D printing is ideal for filling gaps in the supply chain (which reduces uncertainty), keeping inventory low more generally (which saves companies money on shelving) and reducing waste (which occurs when the goods aren’t sold).

Called as Just In Time manufacturing, UPS has already started to venture into this business model in a small but significant way. And the initial results are reported to be more than encouraging.

3D Printer UPS Store(3D Printer at a UPS Store, Source)

So when the largest shipment/logistics company in the world begins such seemingly ‘odd’ experiment around On demand 3D printing, it can only indicate one thing.

Even the distribution behemoths are swearing by the mantra – if you can’t beat them join them. 

And Finally Speaking Of Retail

This year’s SXSW – the annual music, film, and interactive festival being held in Austin as we speak now (from March 7 – 11) has been generating a good amount of buzz.

Oreo‘s Trending Vending Machine is an example.

Envisaged by Mondelez as a fun experiment with Twitter, the concept is a mash up between the vending machine experience and social media based real time marketing. Named, Trending Vending Machine, it has been offering the SXSW attendees Oreos with 3D printed flavours picked from trending tweets and delivered to the attendees in 2 minutes (source). This marketing effort includes the hashtag #eatthetweet.

While this certainly makes for a pretty good engagement driving initiative by Mondelez where the world of social media hashtags meets cookie cutter biscuits – literally, the underlying story here could be that of the emergent possibilities of 3D printing in the retail sector where:

  • Inventories for the retailer are non-existent and limitless at the same time!
  • Shopper engagement becomes the norm, in fact the key enabler for the whole set up
  • And finally personalisation becomes a category code, and not just a fancy differentiation strategy

In fact, going by this logic, 3 D printers could even upend the very concept of retail sector as we know it today!

After all, why would anyone even bother to walk down an aisle when all they need to do is perhaps just download a design, chose a nearest 3D printer and click PRINT?

Or shall we call it MAKE?

Some food for thought on a related note: Thanks to 3D Printing, professions like Intellectual Property and Law can be in good demand for a long long time to come!

(Featured Image: 3D Printed edible Lollies at CES 2014, Source)

The Allure Of Being Limited: Part 2/2

Quick Read: Value as a concept to a consumer has 2 key dimensions: perceived benefit and perceived cost of a product. But the moment a third dimension called ‘availability’ is introduced, the equation becomes intriguing and interesting, especially when the former is limited – in reach or time.

Imagine someone unboxing a case of 20 blind boxes – each box contains a sealed wrapper that holds a mystery toy within.

For each foil he unwraps and realises the actual toy within – a miniature character –  he lets out an exclamatory ‘aah’. The look and feel of this miniature character makes him marvel at the detail and the exquisite craftsmanship that must have gone into its make, while he also makes a mental note to himself regarding its probable name and where it fits in the larger family of its ‘toy clan’.

And this goes on for each of the 20 blind boxes containing a mystery miniature character within.

Box after box.

And did I tell you that he is an adult in his 30s?

Difficult to imagine, right?

No worries.  For there are thousands of videos here showing this very story unfold. Box after box.

This video here is a good representative version. (strongly recommended dose of some infotainment before you read further)

What did we just see?

Adults –  acting like kids on a christmas morning, unable to contain their excitement as they hold their breath while they unwrap a foil to discover a pretty little toy character within.

Welcome to the world of Urban Vinyl and Designer Toys – a world where toys become prized possessions and collectibles because of two reasons: 

  1. They are works of art designed by prominent international pop culture and graffiti artists.
  2. They are produced in limited quantities  – some as few as 10 to a maximum of 2000 – thereby becoming some of the rarest toys of that kind to be ever made.

Qee series produced in Hong Kong by Toy2R,  Be@rbrick from Japan and the Dunny series produced by Kidrobot are some of the most prominent examples of Designer Toys and Urban Vinyl.

Let’s take Kidrobot – known to be the Mecca of Designer Toys enthusiasts – founded in the US in 2002 by Paul Budnitz. It calls its limited edition Designer Toys as an innovative cross between sculpture and conceptual art, offering not only a powerful medium for today’s international fashion designers, illustrators and graffiti artists, but also the creative canvas for emerging street trends and pop art.

And due to these toys being ‘limited edition’ in design and make they retail anywhere from $5 to $25,000, and many appreciate in value over time. (source)

Kidrobot Dunny(At the intersection of Art and Cult –  The Kidrobot Dunny, Source)

A few more fascinating details regarding Kidrobot and its Dunny Series Designer Toys:

  • Packaging: Each Dunny Designer Toy comes in a foil wrapped inside a blind box. These blind boxes are identical in every way to any other box in a given set so nobody knows which toy is inside. A foil is used to wrap the toy so nobody can open the box and peek inside. (also shown in the unboxing video above)
  • Product Assortment: While the outer case would have some indication of what characters to expect inside, not all of them can be expected to be contained within. Each toy character would have an odds ratio indicating its probability of occurrence within a set. Interestingly there are some characters called ‘chases’ with unknown odds called out as ‘?/??’, while a few are shown mysteriously only in silhouettes. Occasionally, they also include ‘super mystery figures’ that aren’t even indicated on the box, which tend to be some of the rarest ever made of the kind!

Kidrobot Official Dunny Series 2012 Checklist & Ratios(The odds ratios as printed on the cases of Dunny Series 2012, Source) 

  • Kidrobot’s approach to marketing is anything but ordinary: Read here a short interview with Paul Budnitz where he reveals how he has taken a marketing approach opposite to that of most companies.
  • How Kidrobot manages its creative capital: Kidrobot’s approach to distribution of decision making power within the company, its open source design strategy, and how it regularly commissions rock star designers rather than in house artists in order to let a sort of ‘fluidity’ permeate the entire company makes for a fascinating read.
  • Tie ups and Partnerships: Given the cult level popularity and the artistic appeal of Kidrobot’s limited edition toys, it naturally makes for a very coveted partner. For e.g., in Jan 2014 CES, Samsung Galaxy partnered with Kidrobot to land the message about the brand being a new touch point in artistic expression.

samsung_kidrobot_0235wtmk-1280x878(Samsung partners with Kidrobot in CES 2014, Pic source: Slash Gear)

And so it goes on – a fascinating story of how a bunch of unassuming tiny vinyl toys have grown to become icons of pop culture that regularly pull in rabid fans and ardent collectors, who neither mind queuing up for hours outside its stores nor forking out hundreds or even thousands of dollars to buy these designer toys while making its company a multi million dollar brand that it is today.

And when one reads this, sometimes all one can manage to say could be …

…while perhaps even wondering on a wishful note to oneself  damn! where can I get one myself!!”

(Featured Image: Set of Huck Gee’s Night & Day Raku 8” Dunny released in 2011.These were a limited edition of just 500 sets.source)