Update: Health, AusPost, eTaskr and Slow School

Over recent months, I have blogged about health and the digital economy, the challenges facing AusPost, the progress of eTaskr and the birth of Slow School of Business. Here are some updates on each of these topics:

IMG_0211Apple launches developer platform for health apps

On top of launching “Health” with iOS8, Apple has released a software tool called ResearchKit designed to help researchers and developers build and test new health apps.

I think that while we hear a lot about the Internet of Things (#IoT), health is one area where the connection of the physical and the digital will really deliver tangible benefits (not just a fridge with a screen…).

Australia Post plans to raise the cost of sending letters

In the wake of declining letter volumes (and poorer financial performance), AusPost is considering jacking up the price of letter postage, and introducing a 2-speed letter service.

While this is not a surprising move, it does seem shortsighted. Given the increase in parcel volumes, especially from e-commerce and small online purchases, I reckon AusPost would be better off with more refined domestic parcel rates. For example, using exactly the same dimensions and weight, I can either send an item as a “large letter” for $2.10 (which is perhaps too cheap?), or as a “small parcel” for $7.45 (which is incredibly expensive for an item that might cost no more than $25). Maybe different band rates of 50g, from 100g up to 500g (the current weight limit for a small parcel/large letter) or even 1kg  might be a better option, coupled with improved payment and lodgment automation? Just saying…

etaskr secures seed funding

Described as a “private label elance”, etaskr is a graduate of the AngelCube accelerator program, and was a finalist at last year’s Big Pitch organised by Oxygen Ventures.

Following their appearance at the Big Pitch, etaskr have recently closed $1.3m in seed funding from Oxygen Ventures. As mentioned in an earlier blog, etaskr is starting to see traction among corporate clients, including overseas markets, but the nature of the B2B sales cycle has meant that investors, incubators and accelerators are traditionally wary of such startups. Hopefully, this latest development will start to change market perception.

Slow School founder in the news

Finally, Carolyn Tate, the founder of Slow School of Business has been busy launching a new program of short courses (including Three of the Best) a new website and a new book. Oh, and she’s also become a B Corp. (Declaration of interest: I am a participant in, and adviser to, Slow School.)

Previously featured in Slow Living (required reading for the Slow Movement), Carolyn has taken a simple idea based on collaborative and peer-to-peer learning, and created a potentially disruptive platform for professional development and corporate training. Slow School is also tapping into the growing trend for people to work as independent contractors, freelancers and consultants (rather than permanent employees), and the dynamics of the digital economy where participants are also looking to make deep, personal connections rather than just online “friends”.

The new normal?

Post GFC, we’ve been told to expect a low/slow/no growth environment – that this is the “new normal”. I would add to that digital disruption, non-traditional commercial models and emergent ecosystems as being the other key influences on how we do business in this new environment. From what I have skim-read of the latest Intergenerational Report, the language is still couched in traditional terms of “jobs”, “productivity” and “industries”. Yes, there is mention of innovation, demographics, technology and flexible workplaces (i.e., deferring retirement?), but nothing that inspires me to think our political leaders understand what is really going on within the startup economy and the broader digital movement.

Next week: How to survive a Startup Weekend

AngelCube15 – has your #startup got what it takes?

Startup Victoria‘s first Lean Startup meeting of the year heralded the launch of AngelCube‘s 2015 accelerator program (#AC15), for which applications are now open. A good opportunity to check in with previous successful applicants, and find out if your startup is made of the right stuff.

Screen Shot 2015-02-25 at 10.03.58 amThe info evening was hosted by inspire9, and supported by PwC, and Nathan from AngelCube kicked off proceedings by giving a run down on the accelerator program, the application process, and the type of startups that are more likely to be accepted.

What does the program offer?

  • A 3-month intensive learning and development experience
  • $20k in funding (in return for 10% of the business)
  • Co-working facilities
  • Working with Lean methodology (focus on Product-Market fit)
  • Access to great mentors and advisers, and early-stage investors
  • Participation in a fundraising roadshow (including time in the US)

There is an application form via AngelList, and the closing date is May 10 (but the sooner you can submit the better). From the hundreds of applications, AngelCube puts together a shortlist of 20, of which no more than 10 will likely be accepted.

What is AngelCube looking for?

  • Globally scalable tech startups (think beyond Australia!)
  • In-house tech skills/resources (it’s not really a matching service)
  • Great teams (more than the ideas themselves)
  • Customer traction (ideally revenue-generating)
  • Consumer-oriented solutions (rather than B2B)

What has the experience been like for successful graduates?

Three alumni of previous AngelCube programs offered some personal insights, and then participated in a Q&A with the audience of 400:

Screen Shot 2015-02-25 at 10.02.34 amFirst up was Peter from Ediply, a service that matches students to the course or university of their choice. Given the growth in education and lifelong learning, and the increasing numbers of students (especially from Asia) looking to study overseas, the business seemed like a natural fit for AngelCube. However, it was still a relatively new or unknown sector in terms of end-user or independent services (rather than in-house marketing and enrollment efforts) – which sort of broke one of AngelCube’s rules for acceptance: no established market. Peter stressed that the main reasons for applying were the need to overcome some development barriers, and to get out of a “Melbourne mindset”.

 

Screen Shot 2015-02-25 at 10.03.01 amAsh from Tablo (“YouTube for books”) probably broke another AngelCube rule, in that he was a sole applicant (not part of a team) and he had limited tech resources. AngelCube made him work harder, think big, and keep going – and helped him to become a disruptive force in publishing, with customers in 130 countries collectively publishing 1 million words a day. He’s also closed a C-round of funding, and has some impressive investors on his share register.

Screen Shot 2015-02-25 at 10.03.28 amLastly, David from etaskr (“a private label elance”) had to quit a full-time job with one week’s notice once he got accepted into AngelCube. He even had to Google how to pitch. Plus he came into the program with a totally different idea, got slammed, failed to get customer traction, and ended up pivoting to an enterprise software solution (and broke another AngelCube rule in the process – no B2B, because of the longer sales cycle). Despite having to live on very little money for 6 months (less than $200 pw) the team persevered, and are now starting to get traction, including overseas markets like Holland. His final words were “risk is not something to fear, but to overcome”.

Q&A with the audience

Most of the questions were about the application process for AngelCube, and how it helped the successful startups, particularly with going global. In large part, this due to some great networks, access to high-profile connections (“we got to meet the first employees at Yammer!”) and links to some influential investors. There was also some discussion about how to secure your first customers (mainly via social marketing techniques), and the challenge of enterprise sales (“it sucks, because you need 100 different minds to all say ‘Yes!'”).

Finally, for more insights, please visit these links to previous posts about AngelCube and some of the successful applicants.)

Next week: Help! I need to get some perspective…

The Great #Data Overload Part 3: Differentiating in a #Digital World

Have you noticed that what was once old is new again? In particular, I’m talking about traditional direct marketing techniques, such as door-to-door sales, print circulars, and telephone cold calling. It’s as if businesses realise that to be heard and to get noticed in the digital world, you have to do something different or unexpected, and nobody expects to see a door-to-door salesperson these days!

MBPI mostly work from a home office, and in recent months I have had door-knockers trying to sell me car tyres, energy-saving devices and fire extinguishers. That’s in addition to the telesales calls persuading me to switch phone and utility providers, take out insurance or upgrade my security software (yes, I know that last one is probably a scam). Plus, more and more local businesses and tradespeople are using good old-fashioned leaflets and letter box drops (which is interesting, given that around 58% of local search is done on a mobile device).

Why are some advertisers reverting to this form of direct marketing?

I can think of several reasons:

  • They need to cut through the digital noise and reach their target audience via “novel” promotional tactics.
  • Their products and services are less-suited to on-line or in-app purchasing decisions.
  • Their sales activities are focused on acquiring existing customers from competitors, a conversion process more likely to succeed via personal contact.
  • Or simply, the costs make more sense.

Why is it important to differentiate? 

It’s 10 years since “Blue Ocean Strategy” was published, which stressed the need to stand apart from your competition (“avoid the shark-infested waters”). The message is even more relevant today, because the ubiquity of social media and content marketing platforms means that everyone has access to the same tools, and it’s not that difficult to play technology catch up; and while there may be good reasons for your business to engage with these channels to market, you also need some alternatives, like offering direct customer engagement that is not wholly reliant upon on-line and digital. That’s why some banks are opening more branches as part of their growth and customer acquisition strategy, why some retailers are offering “buy on-line, collect in-store”, and why some service companies are moving to an integrated, end-to-end customer experience, so that customers get the same person helping to resolve their problem from start to finish.

How to differentiate?

Standing out from the crowd (for the right reasons!) is critical to attracting customer attention. Competing on price alone is typically a race to the bottom where nobody wins. Getting noticed, especially when everyone is using the same marketing tools and sales offers, may mean doing something unusual or unexpected (for example, ALDI‘s “anti-ads”) as part of your marketing campaign. Or connecting directly with your audience in a way that doesn’t rely on “Likes”, “Shares” or “Follows”.

Sometimes it’s as simple as as this leaflet (shown above) found in my letter box the other day. At first, I thought it was a flyer for a local bar. Then, I noticed it was promoting a new smart phone app. On closer inspection, the flyer comprised a printed sheet hand-pasted onto a page torn from a magazine. That’s a lot of manual effort to promote a digital product, but using a lo-tech solution that totally makes sense! (No doubt, it appeals to the hipster crowd, ’cause retro’s cool, right?) So, the element of surprise (if that was the intention) worked – it got my attention because I wouldn’t have expected to receive a leaflet for a new app.*

Next week: “Why? Because we’ve always done it this way…”

Notes

* For an interesting story on the power of the unexpected, see Adam Posner’s talk on customer loyalty programs.

 

The Great #Data Overload Part 2: Is #Digital Making Us Dumber?

The pursuit of digital (and by implication, many data-related activities) is making us dumber. Whether it’s constant multi-tasking, the need for instant gratification, the compulsion to always be “on”, or the ease of access to content and connections, there’s actually a law of diminishing returns in trying to capture and engage with all this “stuff”.

Screen Shot 2015-02-02 at 10.24.54 am

Image © 2014 Universal Pictures

Consequently, our decision-making is increasingly governed by a hair-trigger mechanism – a single-click here, a right-swipe there, a “Like”/”Share” here, there, everywhere – which makes the outcome far less important than the instantaneous and self-validating process (“I Tweet therefore I am”). The quality of our interactions and relationships risks being reduced to a single lowest common denominator of the “fear of missing out” (#FoMo).

Current business practises focus on lean, agile and flexible – meaning that we have to get used to operating in a rapidly moving environment. However, agility is not helped by either procrastination or rash calls.

Faced with these demands on our attention, how can we come to a truly informed opinion or considered conclusion? The trick is knowing whether or not you are required to respond (not everything is relevant, vital or critical that it needs your constant or immediate participation – sometimes silence is golden). If you must make a call, then know when you have enough (hopefully, the “right”) data to make a rational and reasonable decision.

How do we build a capacity for calm, considered and constructive engagement with the digital world?

Part of the challenge is changing our (recently acquired) habits and behaviours. Speaking to friends and colleagues, there is a growing realization that reaching for your smart phone just before going to sleep (or as soon as you wake up), or constantly checking for status updates, is a noxious habit. Apart from the impact it has on our brain activity, it is also reinforcing our belief that this is normal, that we are somehow subservient to these devices, and that interacting with the digital environment takes priority over everything else. I know, I’m as guilty as the next person (watching the tennis on TV while checking the cricket scores on my iPhone…), but I am also trying to be more critical of my own digital consumption:

  • Not responding immediately to every e-mail – this is about time management skills as much as anything else; the faster you respond, the more you raise expectations that you will always answer straightway
  • Unsubscribing to mailing lists – in recent weeks, I have been unsubscribing to various newsletters because I was simply no longer interested in them or because they were no longer useful; if something’s important enough, I’ll no doubt find out about it from another source
  • Being selective about social media – I’ve written about this before in the context of authenticity and personal branding; in short, I find it essential to use different social media tools for different purposes (and to use each tool differently). That way, I manage to keep some separation between various parts of my professional and personal lives – at the very least, it acts as a helpful filter between the public and private
  • Choosing on-line connections carefully – this is another topic I have covered in a previous blog; not all our interactions are equal, and other than some basic relationship filters, most social network platforms don’t allow us to distinguish between friends, colleagues, acquaintances, and someone we met at a conference.* So, I generally decline unsolicited “friend” requests if I have not actually met or interacted with the person previously, or if I cannot find relevant mutual connections, or if I do not see what value I can add by being connected to this person.
  • Limiting notifications and status updates – similar to managing in-bound e-mail, I tend to switch off/ignore real-time notifications and updates. Instead, I prefer to check-in no more than once or twice a day, rather than always being logged in.

Finally, I’m hoping to develop a status setting for my smart phone that responds to all incoming notifications with messages such as: “Neither on nor off, merely resting”, “taking a mental pause”, “out to lunch”, or “making time for reflection before I respond”.**

Next week: Differentiating in a digital world

Notes:

* I recently heard about Humin, which is sort of moving in this direction, but it’s really a personalised CRM tool for your smart phone

** Apple’s “Do Not Disturb” function only supports “on/off” with respect to phone calls, and with a limited scope to filter contacts