Archive for business

5 fundamental social design patterns

In the last 2 years, a few different sites have implemented some very successful social designs. I’ll lay out 5 social design patterns here and then follow up with case studies in subsequent posts. These apply to sites with user-generated content where the content is the primary object.

Public Timeline

I’m starting with the public timeline because, while it’s not the sexiest thing on this list, it’s critical for new users as a solution to the cold start problem. The public timeline is the first place new users will look for new content. It’s also how they will determine if they wish to join your community – the size, the tone, the cultural-norms, and the freshness of your community is easily communicated via the public timeline. And, of course, it’s also where new users can find other interesting users, which leads me to my next pattern.

Asymmetrical Follow

This has been written about before, so I won’t say much. Asymmetrical follow means I can follow the updates of a user without their permission. They, in turn, could follow me back but it’s not required. This allows for the kind of preferential attachment characteristic of scale-free networks, and it’s scale-free networks that are primed for viral propagation. When the goal is content distribution powered by network effects, it just doesn’t matter if you actually know the person or not. All that matters is if the person if a reliable source for interesting content. This is why social networks have failed to become anything more than social networks. Remember this graph from Brad Horowitz?

Only 1% of a community are content creators

Only 1% of a community are content creators

Most people’s social networks aren’t large enough to contain more than a handful of super-star content creators. I believe the average Facebook account has 300 users. 1% of that is 3 – not enough to be a valuable source of content. If you think Dunbar’s number is a more accurate group size – which I do not with regard to online communities – then you’re only left with 1 or 2 people (1% of 150 = 1.5). Yes, you can argue that Facebook has done very well for itself living off of soap-opera like content – who is dating whom, who got drunk at what party, what was she wearing?!?) but there are natural limits to that growth. Their commenting feature will help drive page views, but there isn’t a whole lot of new value being created there.

Newsfeed

Nothing shocking about this. Now that your users have gone out and followed their friends and other interesting users, their homepage should now be the newsfeed that aggregates all of that content into one place. But it’s not sufficient just to include the stream of content. You need to also show who contributed that content (and, in the case of re-blogging, the other hands it passed through). Why? Because that’s how you can evaluate the people you are following (and, with re-blogging, discover new people to follow).

Re-blogging

I’m a huge re-blogging fan. It’s the engine that drives the content diffusion through the network. The concept is simple: if someone I’m following shares something interesting, I can easily push that same interesting piece of content out to everyone who is following me while providing proper attribution. Someone who follows me can do the same, and again, and again. This is really powerful, as the people who follow me are most likely not the same as the people I follow. Re-blogging provides a transport device for great interesting content to travel through connected components of the network (which are generally much larger than your immediate social network).

Social Proof

While judging the content someone shares is a decent proxy for evaluating whether or not to follow that person, social proof can help. Show how many followers the person has. Better yet, calculate their influence (like PageRank does for websites). Or, show how many favorites their posts have accrued or re-blogs their posts have had. It’s a quick and easy way for users to ascertain the reputation of a user in the context of your site.

Bonus: APIs and RSS

I promised five, but here’s an extra. Use APIs and RSS to amplify your power. Provide APIs so that others can build tools that extend your reach. Publish RSS feeds so that users can incorporate your interesting content into their existing routines. Make use of other companies’ APIs to publish your content out to them (like publishing to Twitter). It’s very difficult to create new habits, but it’s much easier to go where your users already are (Facebook, Twitter, Google Reader in my case).

Like I said at the start, I’ll be back soon with some commentary on how well (or not) various sites are implementing these ideas. Off the top of my head, I’m thinking about Blip.fm, bit.ly, and Soup.io. I’d love to talk about Etsy, but I feel like it wouldn’t be appropriate.

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Releasing classical music

I was chatting with my friend Dan Nelson today after bumping into him at the Cornell Music Department library. He’s currently a Ph.D student at UPenn studying musical composition. He threw an idea at me and, after some collaboration, we came up with something akin to a Flickr for composed music.

It would work like this:

Everyone who registers gets a tumblog. (Side note: I love Tumblr. I thought about apologizing to everyone who keeps hearing me implement ideas with Tumblr, but I’m not going to. They deserve it for a job well done.)

Composers will use their tumblogs to publish 2 things. One, an mp3 of their composition. Two, a PDF of the score. Composers are encouraged to tag their content for improved discovery.

Everyone can use their tumblr dashboard to follow composers they like and heart music they like. Everyone can also use their tumblogs to re-blog music they particularly like and post about their experience with the music they’ve discovered.

Like Flickr, people can search for music or composers. Like Flickr, you can explore the most interesting compositions. And most importantly, like Flickr, you can pay to have a hard copy printed, bound, and mailed directly to you.

Your market is anyone who buys sheet music – basically every school and private music teacher in the country (and internationally). Sure, some people would just print out the PDFs for free, but I bet enough schools and teachers would pay for the nicely published and bound parts and score to make a profit. Like Chris Anderson has been saying since he wrote the Long Tail, you can be successful even if only a minority of your users pay.

If successful, what we will have done is broken the pre-Internet strangehold of the major publishing houses and academic elitism on composed music, similar to what Vimeo is doing for video and Etsy is doing for handmade goods. Something I thought about when I was at Etsy that applies here is, “An audience for every artist.” We can create a forum for quality composed music with a long tail. We can use social aggregation instead of editorial fiat to discovery great music. We can empower people to try their hand at composition even if they are a one-hit-wonder.

If anyone is interested in helping Dan build this company, please contact me – david.lifson at gmail – and I’ll pass your name along. It’s super simple, engineering-wise; Tumblr’s API is free and easy to use, storing the data and metadata is easy, slap a search index on the data, and you’re done. All that would be left is to set up a business partnership with a printing company like Subito Music, and the task of getting the word out and building up a community. And really, how many startups these days come with a business model, not to mention a highly targeted audience and a trove of user preference data.

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Bezos on Persistence, Patience, Customer Focus

Of the many reasons to admire Jeff Bezos, top billing goes to his unwavering long term vision. Here’s some quotes from this weekend’s NY Times article contrasting Amazon and eBay:

“Our willingness to be misunderstood, our long-term orientation and our willingness to repeatedly fail are the three parts of our culture that make doing this kind of thing possible,” he said.

And here’s another:

We are willing to plant seeds that take five to seven years to grow into reasonable things,” he said in an interview. “You can’t do big, clean-sheet invention unless you are willing to invest for long periods of time.”

And one more:

“At the end of the day, we believe it’s good for all of our sellers to make sure we are protecting the consumer experience first,” Mr. Bezos said. “Our first and foremost goal is to earn trust with consumers. If there are no consumers buying, nothing else matters.”

The rest of the NYT article outlines how far eBay has fallen. eBay had short-term focus (quarterly results) and fell into the innovator’s dilemma because they were held hostage by the hostility and vested interests of their sellers. Consider this quote, via Om Daily:

How bad? The sellers — aka the customers of eBay — are so mad that they are putting out statements publicly denouncing the company. Professional eBay Sellers Alliance (PESA) on its web site wrote:

In the first nine months of 2008, we have observed a substantial deterioration in the value of the marketplace for merchants. Broader e-commerce growth is in the high teens while eBay’s GMV has increased at low single digit rates; a clear sign that eBay is losing wallet share among online shoppers.

Today eBay merchants have an increased level of business uncertainty due to eBay’s poor execution of changes in many areas including seller performance measurement, fees, site search, buyer activity, and seller communication. The result is that merchants are changing their behavior in ways that we believe is not beneficial to the eBay marketplace.

Merchants are pursuing alternate channels for their businesses which are more economical, including launching their own website, participating in other third-party channels such as Amazon and Overstock, and even opening brick and mortar stores.

Whichever way you look at it, that is a big fat F for the company. I think buying new companies might give eBay a near-term lift, but the business is a bureaucratic mess and as a company eBay has had trouble coming to terms with the future. It has failed the innovation test — a metric almost every Silicon Valley company should be judged by — and all it has done is use its monopolistic position to paper over its shortcomings.

When you’ve got buyers needs in one ear and sellers screaming their needs in the other ear every day, you find yourself constantly tested – do you have enough persistence, enough patience, and enough customer focus to succeed?

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The Web, it’s ALIVE!

Doc Searls Weblog · The Live Web

Yes, yes, yes, and yes. The web is a medium for activities – for collaboration and participation. When I read (or hear or watch) something, I want to know who created that content. I want to respond to it (as I am now with this post). I can publish this post out to my friends via a variety of methods thanks to RSS, so that my content can go to where my friends’ are, and not forcing them to come to me.

It’s perfect that at the end of Doc Searls’ blog post he links to Umair Haque’s post called How to Build a Next-Gen Business Now. Read it. Understand it. Expand the pie for everyone.

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Prototype Driven Development

Disclaimer: I have no idea if this works. I thought of this last week as I was walking around with my friend Bre and decided to post it here to get feedback. There are many people who have had far more software development management experience than I have, and I’m very interested to know if they think this idea could work at all.

Summary

Prototype Driven Development (PDD) is a software development methodology that believes that by continuously creating, improving, and interacting with prototypes, software will be launched faster, with higher quality, and with a stronger focus on the customer. This is accomplished by using cross-functional teams to continually iterate on prototypes of gradually increasing fidelity while constantly absorbing input from the team and others.

Waterfall and Scrum

What is Waterfall?

The waterfall method of software development is a monolithic system created at a time when building and testing software was costly – punch cards had to be made or hardware had to be redesigned, so it was critical to figure everything out early in the process because any feedback could be gathered.

The waterfall process looks like this:

At each step, if a problem is discovered or the context of the project has changed, control of the project is routed back to the top of the waterfall.

See http://en.wikipedia.org/wiki/Waterfall_model for a more in-depth discussion.

The traditional waterfall process of software development doesn’t work because it:

  1. is very slow and heavy weight (months to complete projects)
  2. silos creativity between product, design, and development
  3. expects impossible levels of foresight from product (and at times, design) to avoid going backwards and revising all of the documentation
  4. creates lots of documentation that never gets read once the project is complete since maintenance fixes end up changing or adding to the requirements and design
  5. does not provide sufficient progress visibility for senior management.

What is Scrum?

Scrum is the idea that by squeezing the development cycle down from 2-4 months to 2-4 weeks, the development process is less prone to estimation errors and more likely to ship higher quality code faster. The team works off of a backlog of features, with each feature small enough to be accomplished in a matter of days or hours. By reducing the size of a feature, Scrum teams can more quickly react to changes in prioritization and provide more visibility for management into what is done vs. not yet finished. The team has a daily standup, where each person outlines what they did yesterday, what they are doing now, and what blockers they might have. Each person also updates a document describing how much effort is remaining for each of the tasks assigned to them.

The Scrum process looks like this:

See http://en.wikipedia.org/wiki/Scrum_(development) for a more in-depth discussion.

Agile methodologies like Scrum don’t work because they end up like waterfall, just on a smaller scale. Instead of 2 months each of requirements, design, development, and testing, you have 2 weeks of each. This is because there is typically a “cycle zero”, where product and design do a fair amount of planning before launching into the first sprint. This cycle zero is basically the first two steps of the waterfall method. Agile does, however, address some of the problems of waterfall:

  1. is very slow and heavy weight (months to complete projects) Medium weight as the team can react from sprint to sprint (2-4 week cycles)
  2. silos creativity between product, design, and development Product, design, and development meet for a scrum standup every day, so there is frequent communication. Requirements are still created upfront by product and design, outside the Scrum process.
  3. expects impossible levels of foresight from product (and at times, design) to avoid going backwards and revising all of the documentation Foresight is still expected from product / design, but at least the cycles are shorter (2-4 weeks) instead of months.
  4. creates lots of documentation that never gets read once the project is complete since maintenance fixes end up changing or adding to the requirements and design No documentation is needed because of frequent communication. The time and effort spent writing documentation is funneled into making better product
  5. does not provide sufficient progress visibility for senior management. Senior management, at the end of every sprint, theoretically can see a demo of what was worked on. “Potentially shippable code” is the phrase Scrum uses.

Prototype Driven Development

PPD puts usability and adaptability first. By constantly iterating off of a prototype and folding in input from the team, internal users, and usability tests, a product can be created quickly and with high quality.

With PDD, 1-3 engineers meet with a product manager and a designer to kick off a project. The team sits down and discusses the general problem and spends some time (no more than two hours) coming up with the general framework of a solution. It doesn’t matter that the solution isn’t optimal and most details haven’t been figured out. Often times this vague idea comes along with a pencil / whiteboard sketch of the UI.

The team disperses. The developers go and implement the most barebones prototype of the idea – black and white, fake data, no CSS, stubbed code, just enough to start a conversation. The product manager and designer start working on prioritized user stories, interaction design, etc.

The next day, the team meets and presents their work to each other. The devs show off their crude prototype. The product manager presents what she think are the most important activities the product needs to support. The designer lays out his ideas for layouts, user flows, etc. Each idea is vetted by the group and consensus is established. Maybe the product changes direction or maybe one particular use case becomes more important. The team then goes back and iterates again, improving the prototype or design or requirements.

This meeting happens every day at the same time. Each day, there is more clarity than the previous day because the crude prototype continually evolves into a more mature product. Each day, the team is interacting with each other and with the prototype, adjusting course as necessary. Each day, senior management can come in and interact with the prototype and react to it. At any point, the call can be made to lock down the feature set and drive towards launch.

The key point here is that prototype driven development forces everyone involved to focus on the primary activity being modeled by the feature. There isn’t time at the beginning to fuss about colors or CSS since there is only one day to make the prototype a bit more accurate. Each day, the team is evaluating the usability of the prototype, trying it out or asking others to evaluate it. Only when the key activities have been fleshed out will attention turn to the details.

To follow up on the five failures described above, here’s how PDD scores:

  1. is very slow and heavy weight (months to complete projects) Medium weight as the team can react from sprint to sprint (2-4 week cycles) Super lightweight process that can adapt daily
  2. silos creativity between product, design, and development Product, design, and development meet for a scrum standup every day, so there is frequent communication. Requirements are still created upfront by product and design, outside the Scrum process. No silos because everyone is contributing to the creative process every day.
  3. expects impossible levels of foresight from product (and at times, design) to avoid going backwards and revising all of the documentation Foresight is still expected from product / design, but at least the cycles are shorter (2-4 weeks) instead of months. The team is course correcting every single day, so the cost of trying something is very low and philosophical arguments are minimized.
  4. creates lots of documentation that never gets read once the project is complete since maintenance fixes end up changing or adding to the requirements and design No documentation is needed because of frequent communication. The time and effort spent writing documentation is funneled into making better product No documentation, other than an interactive prototype that is available immediately.
  5. does not provide sufficient progress visibility for senior management. Senior management, at the end of every sprint, theoretically can see a demo of what was worked on. “Potentially shippable code” is the phrase Scrum uses. Senior Management immediately has a prototype to evaluate and react to.

Discussion

PDD requires great people. The product manager has to have a relentless focus on the primary goals of the product to avoid feature creep. The designer must be available every single day and be willing to create and throw away many iterations of their work. The designer must be able to work quickly, in low fidelity, and in an environment with ambiguous requirements. The developer must have high levels of comfort with prototyping code, stubbing out code / faking data, and a willingness to edit and throw out lots of code. PDD is like collaborating to write a comic book – there will be lots of editing of the storyline, the graphics, and the words themselves.

Prioritization is outside the scope of PDD. It is assumed that prioritization has occurred, and the team is being tasked with executing on a prioritized project.

Where is QA? I’m not sure. Flickr doesn’t have QA. I think QA can sit side-by-side with the developer and do some variant of Test Driven Development – http://en.wikipedia.org/wiki/Test_driven_development. In this situation, the QA engineer is writing test cases for the specific feature of the prototype the SDE is currently implementing. Since requirements can adjust day to day, the QA engineer needs to be as flexible as the rest of the team in editing their work daily.

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