Advertiser, politico, and arts enthusiast. Product of Far West Texas.

#blog

The Rentership Society

The classic American modus operandi: owning a car, a house with a white picket fence, and having 2.5 kids.

Renting:  the Anti American Dream (no hyphen intended).

Or, is it?  Wired recently published an article asking its reading to abandon ownership for services such as Netflix and now the Kindle Lending Club, where Amazon users can lend their bought books to anyone for up to 14 days.

Interestingly, this isn’t just an online phenomenon.

Other noteworthy startups like SnapGoods and Zilok allow their users to rent their lawn mowers, blow torches, and even their XBox 360s, for timespans as short as a day.

I was also personally affected. After my wreck that totaled my car, I began to use a new service available in central Austin and Ulm, Germany, called car2go. Drivers in these cities could rent Smart Cars (provided by Daimler AG) by the minute, along with free gas, free parking in public spaces, and free insurance.

I admit, it helped me in the short term as I searched for a new car.  That short term turned out to be 5 months.  Although I have a new Chevrolet Cruze (client), I still find value in using the little cars to go downtown and take a taxi back home.

I’m not going to bloviate the issue and say that ownership is going away completely into some misguided utopia (an oxymoron, if you ask me).

But, I will say there will be a mix of services and products that will curve and fluctuate based on the economy, availability of accessible public transportation, and scarcity. Just ask Blockbuster.

A historical perspective on how to verb yourself

If you eat beef, then you’ll relate to this article. Let me explain. When one sits at the dinner table, we take the time to eat beef and not cow (or pork and not pig).

A little thing called history comes into play. Back in the day, there was a lot of fighting. And, I mean a lot of fighting. Plundering, if you will.

With that, the victor was often left to rewrite history and culture. Hence, cultures changed based on hierarchies. Forced hierarchies. Peasants who referred to cow as their meal were just that, peasants. Whereas, people in higher classes such as the French, after they invaded England, were left to eat the same animal with a fancier name: beef (du boeuf).

Want another example? The Arabs who were in Spain for over 800 years left their mark in politics (alcalde), science (algebra), and manufacturing (alfombra). Why? Because with every forced takeover of a country, comes forced takeover of a language based on the expertise the victors bring.

The French won food and partying (RSVP, anyone?). The Arabs were nerdy. And, America won just about everything else. Well, forced takeovers are still there. But, far more powerful are the industries that have the influence. This, in turn, leads to language transformation. Google it. Here are my tips on how to verb yourself:

  1. Don’t verb yourself!
  2. Give people a stake in what you do.
  3. Be innovative. Coke did it. (In Texas, we ask for a coke. Then, the waitress asks, “What kind?”)
  4. Don’t verb yourself!

Full disclosure: I don’t eat beef and I still relate to this article.

On the front page of @NYTimes

The New York Times did a little experiment last night during President Obama’s speech to Congress regarding health care. Their social media editor, Jennifer Preston, asked followers to reply with their comments via Twitter. So, I did! And, poof! My comments, selected from a few highlighted tweets, appeared on the front page.

@mattreyes featured on @NYTimes

I’m glad they are off to a good start with this sort of bottom-up integration, and more so with their new set of tools announced yesterday.

Podcast: Why all the warfare in marketing?

Terms in marketing have a war-like connotation and there are reasons for that:

Click to listen: Why all the warfare in marketing?

History

  • Pre-rennaissance (Dark Ages)
  • Merchant class
  • Perceived competition from aristocracy
  • Charters were set up for corporations
  • Marriage between kings and corporations began a conquest that has not ended

Terms

  • Targets (extracts value from the people)
  • Forces (sales)
  • Revolutions (astroturfing)
  • Capture (attention)
  • Competition (closed source)

Business is better achieved not by warfare but by diplomatic tactics.

Why cool can’t be bought (or faked)

Ever been to a shindig and the popular, Nickelback-lovin’ rock ‘n roller dude walks in and tries to fit in with the cool kids, only to make himself look like a fool because his fashion is about 2 years old and probably got his coach to negotiate his grades? Yeah, that guy.

I really don’t mean to sound pretentious, but hear me out. Southwest Airlines isn’t cool because it bought its way there. They didn’t pay for a report to tell them “X percent of people enjoy listening to safety rules before a flight in a lighthearted fashion.” At least I hope they didn’t.

And, being on Twitter and Facebook doesn’t make them cool. Even if you coached your client on how to effectively use these tools, they could still hopelessly fail. Why? Because you can’t buy luv (I sure am giving SWA a lot of attention here, but I’m a huge fan). Who wants statistics written about what is cool? I’d rather tell my clients how to enable “cool” and then let them figure it out themselves.

Why cool can’t be bought (or faked)Here are some of my tips:

  1. Be an owner who knows your industry and is actually passionate about it. Don’t be this guy.
  2. Innovation should be your business model. Not the type that comes from reports entirely (not discounting them), but the type that comes from the experts, your employees (yes, even on the assembly line) and your customers.
  3. Intuition. If you know that hurting the environment is bad and your product is a contributor to this problem, then fix it! It’s as simple as that. Sure, it costs money, but “in the long run” investments are now instantaneous thanks to the tools of transparency online.
  4. Design matters.
  5. And, lastly, have some fun. Life is too damn short to worry about TPS reports.

And, no, I wasn’t beat up by jocks growing up (in case you’re wondering).

Marketing the medium

One thing that really upsets me is the way marketers view digital media. It really does. I don’t mean to go to negative-town, but I really need to explain it to those who just don’t get it.

If Philo T. Farnsworth , the inventor of television, were alive today, he would tell you about all of the hell David Sarnoff put him through.

I’ll let you research their story, but the point is, television and radio were made to be biased against interaction or control, whether intentional or not. Television without a remote control created an atmosphere where one would almost forcefully watch through commercial after commercial after commercial.

Unless one had a child (the hacker) at the set at all times to help you change the channel if an advertisement came on (trust me, this was my childhood job), your bottom line was set to unfortunately rely on corporate entertainment.

OK, so what’s done is done.

Interaction occurs. People can now fast-forward through those ads and forget about them entirely.

And, if product placement occurs, there are surely more places to find better entertainment for free (or, for goodness sake, play outside, even an outsider can do this as he/she now has easier access to find other outsiders to go to, let’s say, a renaissance faire).

The point is, I’m upset that marketers think that digital media is for them. It wasn’t set up to be. Sarnoff isn’t alive.

They can be part of the medium. But, marketing the medium will surely hit the path of least resistance.

The Hacker Generation

In order to understand how we got here, we’ve got to understand where we’ve been.

While Generation X was the Slacker Generation, I’ve deemed ours the Hacker Generation

Below is a algebraic representation of how the controllers (the elite) beckoned new media capabilities to the masses.

Put simply, if all you could do is believe, then the controller (the God[s]), as it was dogmatically accepted, could only hear about the good, the bad, and the ugly happening below.

Once priests/monks knew how to read, then all the masses could do is listen. And so on…

So, now we are at a point where we can (and have) become the programmers. The Hacker Generation With open APIs abundant in several applications, this is the new wave of business and entrepreneurship, on a highly localized level.

With a cooperative, collaborative model set to benefit applications and its community, business has changed from a top-down, scarce (closed) model to an bottom-up, open source (abundant) one. And, it benefits the whole. This doesn’t just apply to online applications, offline hacking can occur too.

My advice to small businesses: allow all of your workers to learn every single part of your business (yes, even your janitors). But, the only way to achieve this is if there is an open incentive for them to do this (you can figure this out on your own). You want all of your employees to care about your organization. Ideas are abundant, don’t let them be scarce.

Individualism is an out of touch PR term

It usually goes like this:

X&Y brand is bringing you the latest [insert contest or promotion here] for you to express your individualism and creativity.

I’ve been forced to write this false sense of a term in a press release before, even after I persistently fought against using it, especially because of the demographic. First introduced by political economist Adam Smith, he argued the economy should be based on greed without much regard “to any overarching scheme of goodness or justice.

Example of why Adam Smith was wrong

Rushkoff, on the Media Squat, even went so far as to say that Game Theory, and, in particular, the Prisoner’s Dilemma, is a misnomer and has been proven wrong. Human beings, he argues, are set apart by rational thought.

The digital age and its influence on business just goes to show that collaboration trumps this false sense of competition (and scarcity).

Nothing of me is original. I am the combined effort of everybody I’ve ever known. - Chuck Palahniuk

Success is only achieved by the purpose.

What is false scarcity?

I always bring this topic up when I speak with clients, organizations, and people. But, here are a few examples of false scarcity:

  • Pop music. For as long as radio has been around, there has been little to no real distribution of music. Why? Well, radio was (and still is) based on a top-down medium. Crowdsourced services like Last.fm, Pandora, and, to an extent, MySpace, have proved success and have finally found real markets to serve. For proof, check out Last.fm’s blog post of Most Unwanted Scrobbles. Talk about a false scarcity for music.
  • Energy. Of course. What is more top-down than the OPEC mafia? I really do not believe how they can set the prices they set for their markets. It seems as if real-time supply and demand are at their fingertips, when it really isn’t. Furthermore, innovation for new sources of energy were stifled throughout much of the 20th century (ahem, car companies, et al.).
  • News. I’m not talking about investigative journalism (which can be scarce at times), but the other 90% that occurs in our daily lives.
  • Currency. Douglas Rushkoff (when can’t I not quote him in a blog post?), brings up great historical truths about economies of abundance that existed in the mythical “Dark Ages”. It wasn’t until after the Aristocracy gave the merchant-class bourgeoisie titles to industries that currency became scarce…falsely.

There are more (diamonds, transportation, etc.), but thank goodness we have something that helps alleviate this problem left over from the Renaissance. Collaboration will almost always trump any false economic models.