At yesterday's Influencer Summit, Dr. Uwe Hummel (EVP and Head of Active Global Support) explained to industry analysts why SAP believes so strongly in its Enterprise Support product. In fact, it is so convinced in proactive support and the positive impact on customers' SAP application management and operation costs that it decided to protect them from making the mistake of declining to buy it - by making it mandatory.
We all know how customers reacted to that idea, and how SAP has reconsidered its approach since the initial announcements. Yesterday's session focused on SAP's uniquely innovative program to track the actual benefits obtained by customers using Enterprise Support. SUGEN, the association of independent SAP user groups, agreed 11 application-management-related KPI that it would track at 56 member sites. The first results are now in, and though SAP isn't quite ready to publish them, from what we saw under NDA, there has been a clear and consistent improvement in measures such as 'failed system changes'.
However, even if these results enable SAP to make a convincing argument that enterprise support is beneficial for most customers, it hasn't yet answered the important questions that we've raised on behalf of sourcing and vendor managers:
ACCOR, the global hotel chain, just launched an iPhone application.
This is just one of the many examples of travel brands leveraging the mobile momentum. Airline companies have always been at the vanguard of integrating mobile into their strategies, but it looks like many other travel brands from hotel chains, airports, rail companies, car rental companies, and travel-related brands (from Lonely Planet to luxury brands) are now tapping into existing mobile opportunities and building mobile products that meet burgeoning customer demand.
Travel is indeed inherently mobile. Now that the promise of location-enhanced services is beginning to be fulfilled on mobile phones, travelers are starting to use their devices as personal travel assistants. More than 10% of European Internet travelers use their mobile phones to look up flight or train schedules. Frequent business travelers are the ideal target group, as they are more likely to be regular users of the mobile Internet and are more likely to spend while traveling. More than 30% of them are interested in booking train tickets or checking in for a flight via their mobile phones.
Another interesting announcement was made this morning at the LeWeb conference in Paris, where Orange officially announced the launch of its Application Shop (available in beta in the UK and France for several months). This shop will first be available to 1 million customers in these two countries before being roll-out to millions more customers throughout 2010. For now it gives acess to 5,000 applications.
Replicating Apple's success will not be an easy task and operators should not follow this route. They should on the contrary leverage their key assets to offer:
This past summer, Forrester conducted a series of in-depth interviews of architects to further our understanding of their roles: how they saw the role in the context of their organizations, how they are evaluated by senior management, their key success imperatives and their information needs. We undertook this not just as research to publish, but also to inform how we support individuals in the EA role.
Frankly I am surprised that it took this long. But today, we read in the Wall Street Journal that two major publishers have decided to pull a music industry mistake. Simon and Schuster and Hachette Book Group have announced that they will not release most eBook editions until the hardbacks have been on shelves for four months.
And I quote David Young, CEO of Hachette Book Group, whom the article cites as saying: "We're doing this to preserve our industry, I can't sit back and watch years of building authors sold off at bargain-basement prices. It's about the future of the business."
Correction: This move is about the past of your business.
I'm just being a historian here when I point out that language like "We're doing this to preserve our industry" is a classic symptom of what we at Forrester loving call The Media Meltdown. I wrote a whole report on this ailment and its many symptoms, chief among them is that media businesses attempt to preserve analog business models in the digital economy, even when analog economics no longer apply. This is exactly that scenario.
I have two very important messages to offer the book industry (most all of them clients, so I'm trying to be delicate here, the way a group of friends running an intervention for an alcoholic have to act even if it involves summoning tough love). The first message is the hardest to hear and it will make me some enemies. But the second message offers some hope and I encourage you book types to give it a fair hearing, because I have history and economics on my side.
Overall, Christmas 2009 may be far better for retailers than expected, following a turbulent year for the retail sector. Many retailers have successfully adjusted their tactics to maximize sales and margins — such as reworking their assortments around lower price points. According to Kelkoo, sales in the six weeks to Christmas are expected to reach £44.7 billion this year and account for 18.5% of total annual retail spending. And the best bargains are likely yet to come in the final week before Christmas.
Just thinking about Mexico and the cards it was dealt getting blamed for swine flu. I was recently in Europe, and was surprised to hear friends refer to H1N1 as the “grippe mexicaine” or “Mexican flu”. There is even a dedicated website by the same name — http://www.lagrippemexicaine.com/. You don’t hear that in the US. We may demonize the swines but not our neighbors, the Mexicans. But, even the Mexican press attributes the outbreak to local pigs, hence the theory this particular flu had its origins in Mexico. That theory or the flu itself is blamed in part for the severity of their economic downturn – along with the global financial crisis (and in particular its dependence on the US) and domestic drug wars.
Today the long-anticipated joint venture betweenConde Nast, Hearst, News Corp, Time Inc and Meredith Publishing became official. These firms -- all of them up against the ropes in an effort to deal with declining magazine ad revenue and the lackluster performance of online ad models -- have decided that to face the digital future, they'd rather do it hand-in-hand.
The motivation for the union is simple: eReaders are taking over the book publishing world, meanwhile magazines are left in the dust, with no devices they can call their own.
I mean, really, have you tried to read Business Week on your eReader? It ain't pretty. And on the Kindle, most magazine publishers want to charge you for the painfully slow page turning experience of the device all in exchange for the convenience of automatic delivery to your portable device. So the industry -- seeing a world that is evolving without their interests in mind -- is joining hands to solve two problems:
The official announcements about the Nook went out yesterday and much has been said about the device, such as whether it trounces the Kindle (it does not) and whether the delay in shipping (units you buy today, for example, are expected to ship January 15) will permanently keep the Nook out of the running (it will not).
Because so much has already been said, we paid attention to what hasn't yet been said -- as far as we can tell, by anyone. It's this: the Nook is the first eReader to hit the market that has any kind of social connectivity built in to it. I'm referring to the "loan a book" feature the Nook offers. Read reviews like the one at CNET and you'd think that the book loaning feature is a flop because: a) it only applies to select books (at the publishers' whim) and b) it only lasts for 14 days.
I'm gonna tell you a secret: it doesn't matter how limited today's loan a book feature is, it's a huge step in an increasingly important direction for eReaders.
People share books. They share them, and then they talk about them. A lot. This fact is so critical to the way people read books that it is amazing that none of the eReaders yet offered to the market have any meaningful book sharing built into them. So even though the Nook is shipping late (folks, this is the eReader market, demand has been outstripping supply for the past two years now, stop acting surprised that Barnes and Noble and Sony are experiencing delays), we applaud its arrival because it opens Pandora's social box in this space. Once it's open, this box will set free all kinds of goodies that we are excited to have, including: