The collaborative economy is an opportunity for all companies

I hate writing about the next big thing because it is usually trite, clichéd or just hype, but I read a great piece in the Harvard Business Review about the collaborative economy (“Sharing’s Not Just for Start-Ups” by Rachel Botsman) that I wanted to share. Most of us have come across and probably used start-ups leveraging collaboration or sharing, companies such as Airbnb (where people share excess rooms with travelers) or Uber and Lyft (where people who need a ride can find a driver who is looking to earn extra funds. In and of itself, this is an exciting space with many promising early stage companies, from peer-to-peer lending (money club) to online lessons (Udemy). What I found interesting in Botsman’s article is how this opportunity can be extended to many other businesses.

There are great opportunities in the collaborative economy to create additional revenue streams (which may supplant their core business at some point) or provide channels for user growth. Botsman starts by discussing Marriott, the hotel chain, which rolled out an offering in conjunction with LiquidSpace so people and businesses could book excess conference rooms at market clearing prices. Not only did this initiative create a new revenue stream for Marriott by generating income from rooms that were sitting unused, it also helped grow the customer base. Continue reading “The collaborative economy is an opportunity for all companies”

Analytics 3.0

As many know, I believe end-of-year predictions have zero value and I prefer to look at important trends that are already unfolding and will impact readers next year. The most important trend right now for people in the social media and gaming spaces, as well as almost anyone in the tech space, is the evolution of analytics. Thomas Davenport, author of the seminal work Competing on Analytics, recently wrote an article in the Harvard Business Review about Analytics 3.0. Just as Analytics 2.0 transformed the gaming space, allowing companies like Zynga, Playfish and Disney to leap over established competitors, Analytics 3.0 can reshape as dramatically the gaming ecosystem. Analytics 3.0 is a new resolve to apply powerful data gathering and analysis methods not just to a company’s operations but also to its offerings—to embed data smartness into the products, services and games that customers buy.

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A brief history of analytics

To understand best the impact of Analytics 3.0, it is helpful to understand 1.0 and 2.0 and their impact. Analytics 1.0 ushered in an objective, deep understanding of important business phenomena and gave managers and leaders the fact-based comprehension to go beyond intuition when making decisions. Data about sales, customer interactions, production processes, etc., were recorded, aggregated and analyzed. For the first time, analytics were used to compete by creating greater efficiency: making better decisions on key issues to improve performance. Continue reading “Analytics 3.0”