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CRM and IIW

It just occurred to me that everything being worked on at IIW is meaningful to CRM. I had been thinking that only the VRM stuff was meaningful, but I realize now that all the IIW stuff is, because — from a CRM perspective — it’s all about customer empowerment. And empowered customers are entities that CRM will welcome, sooner or later.

Here’s the list of IIW topics on the IIW home page:

  • Open Standards that have been born and developed at IIW – OpenID, OAuth, Activity Streams, Portable Contacts, Salmon Protocol, SCIM, UMA ….
  • The Federated Social Web
  • Vendor Relationship Management
  • Personal Data Services -  collection, storage and value generation
  • Anonymity Pseudonymity and Reputation Online (think google+ controversy)
  • Legal Innovation including, Information Sharing Agreements, Data Ownership Agreements and the development of “trust” frameworks.
  • NSTIC – the National Strategy for Trusted Identities in Cyberspace (it uses the term “user-centric identity” 4 times & “citizen-centric identity” once)
  • Cloud Identity and the intersection of enterprise ID and people (consumer) ID

With this in mind we (a bunch of VRM and IIW people) decided that Wednesday afternoon is when we’ll have the VRM+CRM session, although we can have CRM sessions anytime, because the whole workshop is an unconference and participants choose the topics. But if you’re into the future of CRM, that afternoon session will be a good one to hit.

There is also the whole next day, currently thus described:

Thursday is Yukon Day: One of the longtime themes of IIW is how identity and personal data intersect.  Many important discussions about Vendor Relationship Management (VRM) have also taken place at IIW.  In recognition of how personal data and identity are intertwined, the third day of the IIW, will be designated “IIW + Yukon” and will stress the emerging personal data economy.  The primary theme will be personal data control and leverage, where the individual controls and drives the use of their own data, and data about them held by other parties.

This isn’t social. It’s personal.  This day you can expext open-space style discuss ions of personal data stores (PDS), PDS ecosystems, and VRM.  One purpose of Yukon is to start to focus on business models and value propositions, so we will specifically be reaching out to angels and VC’s who are interested in personal data economy plays and inviting them to attend.

Yukon” is a play on “You Control.”

So, if CRM is your thing, IIW would be a good place to see what’s coming in CRM’s direction.

Look forward to seeing some of ya’ll there.

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We’re doing something different at next week’s IIW: inviting investors. So here’s a pitch that should resonate with investors — especially in Silicon Valley, where IIW happens (appropriately, at the Computer History Museum in Mountain View)…

Here’s a chance to check in on development work on a huge new disruptive market play: empowering customers as independent players in the marketplace, and building new businesses that serve liberated customers who want choices other than those between silos and walled gardens.

We’re talking here about equipping demand to drive supply, rather than just the reverse. (Which is fine and necessary, but it’s been done. A lot.)

We’re talking about creating tools and services proving at last that free customers are more valuable than captive ones.

We’re talking about how much more can happen in a marketplace where customers collect, control and selectively share their own data, for their own purposes — which nobody on the vendor side needs to guess about, because the customer knows, has the intent, and has the money.

We’ve been working on these tools for awhile now. My own work, both through IIW (which I help organize) and ProjectVRM at Harvard’s Berkman Center, has been to encourage development of tools that liberate and empower customers in the marketplace. Thanks also to the good work of allied efforts, many of these tools now exist, and more are coming along.

These tools fall into many categories. Some are open source efforts that equip developers with essential building material. Some are commercial efforts at the angel or pre-angel stages. Some are already funded. Some are existing businesses looking for partners. Whatever breed they are, all should be interesting to investors looking to place bets on customers, and on companies that align with customer interests and intentions in the marketplace.

IIW — which stands for Internet Identity Workshop — has always been about development. Since 2005 we’ve been getting together twice a year to share ideas and move work forward. As a workshop, it’s organized as an unconference. No speakers, no panels. Participants suggest topics and everybody breaks out to rooms and tables where those topics get discussed, whiteboards get marked up, and in many cases code gets shown and improved.

On Tuesday and Wednesday, May 3 and 4, the workshop will follow the usual routine. But on Thursday, May 5, we’ll visit a new topic which we’re calling “Yukon”: a one-word play on the line, “You control your own data.” As it says here,

Something New: IIW + Yukon: One of the longtime themes of IIW is how identity and personal data intersect. Many important discussions about Vendor Relationship Management (VRM) have also taken place at IIW. In recognition of how personal data and identity are intertwined, the third day of the IIW, May 5, will be designated “IIW + Yukon” and will stress the emerging personal data economy. The primary theme will be personal data control and leverage, where the individual controls and drives the use of their own data, and data about them held by other parties.

This isn’t social. It’s personal. This day you can expext open-space style discussions of personal data stores (PDS), PDS ecosystems, and VRM. One purpose of Yukon is to start to focus on business models and value propositions, so we will specifically be reaching out to angels and VC’s who are intersted in personal data economy plays and inviting them to attend.

Whether or not you’re an investor, or just friends with some (as pretty much all of us are these days), you’re invited. Looking forward to seeing you there.

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In The Data Bubble, I told readers to mark the day: 31 July 2010. That’s when The Wall Street Journal published The Web’s Gold Mine: Your Secrets, subtitled A Journal investigation finds that one of the fastest-growing businesses on the Internet is the business of spying on consumers. First in a series. That same series is now nine stories long, not counting the introduction and a long list of related pieces. Here’s the current list:

  1. The Web’s Gold Mine: What They Know About You
  2. Microsoft Quashed Bid to Boost Web Privacy
  3. On the Web’s Cutting Edge: Anonymity in Name Only
  4. Stalking by Cell Phone
  5. Google Agonizes Over Privacy
  6. Kids Face Intensive Tracking on Web
  7. ‘Scrapers’ Dig Deep for Data on the Web
  8. Facebook in Privacy Breach
  9. A Web Pioneer Profiles Users By Name

Related pieces—

Two things I especially like about all this. First, Julia Angwin and her team are doing a terrific job of old-fashioned investigative journalism here. Kudos for that. Second, the whole series stands on the side of readers. The second person voice (you, your) is directed to individual persons—the same persons who do not sit at the tables of decision-makers in this crazy new hyper-personalized advertising business.

To measure the delta of change in that business, start with John Battelle‘s Conversational Marketing series (post 1, post 2, post 3) from early 2007, and then his post Identity and the Independent Web, from last week. In the former he writes about how the need for companies to converse directly with customers and prospects is both inevitable and transformative. He even kindly links to The Cluetrain Manifesto (behind the phrase “brands are conversations”).

In his latest he observes some changes in the Web itself:

Here’s one major architectural pattern I’ve noticed: the emergence of two distinct territories across the web landscape. One I’ll call the “Dependent Web,” the other is its converse: The “Independent Web.”

The Dependent Web is dominated by companies that deliver services, content and advertising based on who that service believes you to be: What you see on these sites “depends” on their proprietary model of your identity, including what you’ve done in the past, what you’re doing right now, what “cohorts” you might fall into based on third- or first-party data and algorithms, and any number of other robust signals.

The Independent Web, for the most part, does not shift its content or services based on who you are. However, in the past few years, a large group of these sites have begun to use Dependent Web algorithms and services to deliver advertising based on who you are.

A Shift In How The Web Works?

And therein lies the itch I’m looking to scratch: With Facebook’s push to export its version of the social graph across the Independent Web; Google’s efforts to personalize display via AdSense and Doubleclick; AOL, Yahoo and Demand building search-driven content farms, and the rise of data-driven ad exchanges and “Demand Side Platforms” to manage revenue for it all, it’s clear that we’re in the early phases of a major shift in the texture and experience of the web.

He goes on to talk about how “these services match their model of your identity to an extraordinary machinery of marketing dollars“, and how

When we’re “on” Facebook, Google, or Twitter, we’re plugged into an infrastructure (in the case of the latter two, it may be a distributed infrastructure) that locks onto us, serving us content and commerce in an automated but increasingly sophisticated fashion. Sure, we navigate around, in control of our experience, but the fact is, the choices provided to us as we navigate are increasingly driven by algorithms modeled on the service’s understanding of our identity.

And here is where we get to the deepest, most critical problem: Their understanding of our identity is not the same as our understanding of our identity. What they have are a bunch of derived assumptions that may or may not be correct; and even if they are, they are not ours. This is a difference in kind, not degree. It doesn’t matter how personalized anybody makes advertising targeted at us. Who we are is something we possess and control—or would at least like to think we do—no matter how well some of us (such as advertisers) rationalize the “socially derived” natures of our identities in the world.

It is standard for people in the ad business to equate assent with approval, and John’s take on this is a good example of that. Sez he,

We know this, and we’re cool with the deal.

In fact we don’t know, we’re not cool with it, and it isn’t a deal.

If we knew, the Wall Street Journal wouldn’t have a reason to clue us in at such length.

We’re cool with it only to the degree that we are uncomplaining about it—so far.

And it isn’t a “deal” because nothing was ever negotiated.

On that last point, our “deals” with vendors on the Web are agreements in name only. Specifically, they are a breed of assent called contracts of adhesion. Also called standard form or boilerplate contracts, they are what you get when a dominant party sets all the terms, there is no room for negotiation, and the submissive party has a choice only to accept the terms or walk away. The term “adhesion” refers to the nailed-down nature of the submissive party’s position, while the dominant party is free to change the terms any time it wishes. Next time you “agree” to terms you haven’t read, go read them and see where it says the other party reserves the right to change the terms.

There is a good reason why we have had these kinds of agreements since the dawn of e-commerce. It’s because that’s the way the Web was built. Only one party—the one with the servers and the services—was in a position to say what was what. It’s still that way. The best slide I’ve seen in the last several years is one of Phil Windley‘s. It says,

HISTORY OF E-COMMERCE

1995: Invention of the Cookie.

The End.

About all we’ve done since 1995 on the sell side is improve the cookie-based system of “relating” to users. This is a one-way take-it-or-leave-it system that has become lame and pernicious in the extreme. We can and should do better than that.

Phil’s own company, Kynetx, has come up with a whole new schema. Besides clients and servers (which don’t go away), you’ve got end points, events, rules and rules engines to execute the rules. David Siegel’s excellent book, The Power of Pull, describes how the Semantic Web also offers a rich and far more flexible and useful alternative to the Web’s old skool model. His post yesterday is a perfect example of liberated thinking and planning that transcends the old cookie-limited world. The man is on fire. Dig his first paragraph:

Monday I talked about the social networking bubble. Marketers are getting sucked into the social-networking vortex and can’t find their way out. The problem is that most companies are trying small tactical improvements, hoping to improve sales a bit and trying tactical savings programs, hoping to improve margins a bit. Yet there’s a whole new curve of efficiency waiting in the world of pull. It’s time to start talking about savingtrillions, not millions. Companies should think in terms of big, strategic, double-digit improvements, new markets, and new ways to cooperate. Here is a road map

Read on. (I love that he calls social networking a “bubble”. I’m with that.)

This week at IIW in Mountain View, we’re going to be talking about, and working on, improving markets from the buyers’ side. (Through VRM and other means.) On the table will be whole new ways of relating, starting with systems by which users and customers can offer their own terms of engagement, their own policies, their own preferences (even their own prices and payment options)—and by which sellers and site operators can signal their openness to those terms (even if they’re not yet ready to accept them). The idea here is to get buyers out of their shells and sellers out of their silos, so they can meet and deal for real in a truly open marketplace. (This doesn’t have to be complicated. A lot of it can be automated. And, if we do it right, we can skip a lot of the pointless one-sided agreement-clicking friction we now take for granted.)

Right now it’s hard to argue against all the money being spent (and therefore made) in the personalized advertising business—just like it was hard to argue against the bubble in tech stock prices in 1999 and in home prices in 2004. But we need to come to our senses here, and develop new and better systems by which demand and supply can meet and deal with each other as equally powerful parties in the open marketplace. Some of the tech we need for that is coming into being right now. That’s what we should be following. Not just whether Google, Facebook or Twitter will do the best job of putting crosshairs on our backs.

John’s right that the split is between dependence and independence. But the split that matters most is between yesterday’s dependence and tomorrow’s independence—for ourselves. If we want a truly conversational economy, we’re going to need individuals who are independent and self-empowered. Once we have that, the level of economic activity that follows will be a lot higher, and a lot more productive, than we’re getting now just by improving the world’s biggest guesswork business.

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nick_givotovsky

I remember talking to Nick Givotovsky the first time at an early Internet Identity Workshop, when he pulled me aside to share some ideas, and immediately stripped my gears. The guy was as smart as they come, and articulate to an extreme equaled by few. I had to stop him every few sentences to get him to dumb it down a bit, or at least to let me catch up. Many conversations followed, in many settings. Every encounter with Nick was engaging and mind-sharpening.

We became friends — or as close as people get when they’re mutually engaged in a number of projects, and enjoy each other’s company, as well as each other’s minds and hearts. I called him “Nicky G.”

Best I can recall, Nick came to nearly every IIW, plus workshops on VRM, networking and much more. He always contributed, always brought a warm smile and good sense of humor. He was serious, but didn’t take himself too seriously. A rare combination. Also notable was Nick’s mode of engagement. He was always original, often challenging, but never hostile or obstructive. And his mind was always open, always curious, always ready to step up and participate.

As I recall, the last I saw Nick was at the IIW this past May. He left a bit early to get back to his farm in Cornwall, Connecticut. I remember him talking about this old tractor he had, and how much he enjoyed operating it. He died this last Friday after falling off (what I assume is) that tractor. More of the story is here and here. (I share those links there for the record, but they are not pleasant reading.)

Nick’s last post on one of the many lists in which he participated told the story of his older brother’s death. “I think he did it astonishingly ‘right’, if such a thing can be said of dying,” Nick wrote.

Alas, Nick died wrong. And way too young. He was just 44. He leaves his wife and two kids. Plus many shocked and saddened friends.

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The Internet Identity Workshop , aka IIW, started as the Identity Gang way back in ’05, and has since grown (thanks more to Kaliya and Phil than to yours truly) to become a fixture event in the calendars of many developers and other folks supportive of development work toward working user-driven identity systems. (These today include…

(That’s somewhat abbreviated from the list here.)

What’s cool about IIW is that we have a large bunch of individuals and outfits working in converging directions, creating and/or mashing up solutions to problems faced by individuals needing to control and assert their identity information in the digital world. For all the activity going on here, the whole field is still brand new, with lots of work left to be done before it’s ready for Prime Time, which has been going on in any case since the commercial Web was born 1.5 decades ago. More importantly, much effort is made by everybody involved not to foreclose progress or lock out other solutions where development vectors converge or cross. it’s the only thing like it I know.

What also rocks is that progress happens at every single IIW, sometimes a great deal of it. The whole thing is about doing. We have participants, not just attendees.

There is, however, urgency. Making sure we get our usual space at the Computer History Museum in Mountain View depends on getting enough registrants today.

Do that here.

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