I wrote a series of posts over a year ago on Corante's Brandshift on co-creation. Since that group blog has slowly died out (replaced by Corante's Marketing Hub), I'd like to salvage these posts and bring them back for discussion. Co-creation is one of those trends that will have a major impact on businesses in the coming months and years... it's a result of the emerging networked economy: a grassroots, bottom-up, self-organizing way of living and doing business. More on self-organizing systems later; for now, here's the first in a series of 7 or 8 posts on the subject of co-creation. I unfortunately can't bring over all the insightful comments, but hopefully we can generate a new discussion.
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We're getting into some juicy conversation in John Winsor's recent post. There's a comment that I'd like to bring to the forefront because it's an oft-misunderstood idea: co-creation.
"...good products are good products, they don't need
transparency or co-creation. Co-creation is what people on the outside
want when they want to associate themselves with cool products. You
don't let the slimy masses in to medocritate the product, you keep them
striving to be a part of the clique."
There are different levels of co-creation; how far you take it
depends on your product and industry. Here are a few terrific examples
of deep co-creation:
1. Open-source software. No explanation needed.
2. Google's new API for online ads. An article in eWeek reports:
"There are a lot of things Google hasn't thought of that
people could do with their ad campaigns," said Nelson Minar, a Google
software engineer. "One of goals is to enable advertisers and third
parties to create tools for their own purposes."
3. Lego's Lego Factory,
where kids design new Lego models using a Digital Designer and submit
them to competitions. This is a primary source of ideas for new Lego
products.
In each of these cases, no one made assumptions about what customers
wanted. Customers were brought directly into the process. In shallower
levels of co-creation, customers aren't directly involved in designing
products... but companies still seek to understand customers' mindsets,
desires and unmet needs.
Apple is one of those anomalies where one man had an aesthetic
vision, created a company and products in his own image, and everyone
jumped on the bandwagon. If you think you can replicate Apple's success
in this fashion, go for it; but I'd suggest that some form of
co-creation is infinitely easier. BTW, I do believe that Apple's brand
is a form of co-creation: the "in-crowd" that formed around the Apple
brand was created by customers, not by Apple.
Companies who view customers as "slimy masses" can never be
successful in the long run; it is those customers who make corporate
existence possible. Customers smell arrogance like a dog smells fear.
Microsoft is a great example of a company who became incredibly
successful based on following their own vision... which ultimately
resulted in customer resentment. Now with over 1200 Microsoft employees
participating in the blogosphere, the company has actively, publicly
entered into dialogues with customers. Robert Scoble gets a ton of suggestions from customers and passes them on to the right folks internally. Microsoft is beginning to co-create.
Does this mean we should always do what customers say? Of course
not. But we should always be listening to them to ensure that our
products and services maintain relevance in today's rapidly changing
environment. We design products and services that people will buy...
and we find out what people will buy by listening, observing and
participating in dialogues. There's a terrific example of this in the
book "Hardball" that discusses how Whirlpool co-created their new line of appliances by deeply understanding the life of a woman named Gail.
If anyone has other examples of co-created products and services,
I'd love to hear about them. This is a tidal-wave trend; customers want
to be heard, and they will buy from those companies who demonstrate a
willingness to listen. Sure, we could say that co-creation is just pig lipstick
for customer research... at the shallower end, perhaps. But the concept
of co-creation goes much deeper and farther than the traditional idea
of research. In co-creation, customers truly feel like they are a part
of the company (family, ecosystem, etc.) and that their voice is heard.