Written on March 25, 2008 – 8:00 pm
Ernst-Jan Pfauth, editor in chief
During one of the lunches at the LIFT conference in Geneva I met Markus Fuhrmann. He’s the co-founder of Web2Asia. A European service with headquarters in Shanghai that specializes in supporting western Internet companies and Mobile content developers to get a company or service going in China, Japan and Korea. Needless to say, there’s a lot of potential in these rapidly developing markets. Some of their clients are Jimdo (Germany), Xendex (Austria) and Vanilla Live Games. I kept in touch with Markus, and the business he runs turns out to be really fascinating. So I decided to ask him some questions about this hard to comprehend Asian markets.
Markus has a entrepreneurial history in games. His story in China began with an IMBA semester at Tongji University in Shanghai. “In the beginning I both loved and hated it in China, because I started my stay with one week in a Chinese hospital with pneumonia. After recovering and getting used to the cultural and environmental differences, I started to enjoy the dynamics and sheer endless opportunities available here.” He consulted several companies on how to launch in China. When he met his partner George Godula they connected immediately and it made perfect sense for them to team up.
How to bring a product from Europe or the US to Asia
So, when I want to enter the Asian market, what should I take in account? “The East Asian characters. This is a smaller problem for completely web based services but can amount to a lot of work if you have to change your client or back end infrastructure because you forgot to use Unicode and double byte support in the first place. In terms of function and usability there are a lot of things to watch out for, especially in Japan and Korea with the example of mobile phone support, which is crucial.”
“The second important part is the content side. Here you have to take care that the content fits the Asian culture, especially in terms of symbols and language. Another sensible topic is working specifically to local legislation requirements and restrictions on certain content.” I assume Markus is referring to dealing with censorship in China. Which probably brings some conscience issues.
The last part is less complicated and controversial, namely the feasibility of the underlying business model. Markus: “It’s already quite hard to earn money through advertising in Europe and the US, but it is even more difficult to earn money through this model in East Asia. The positive examples have been able to transfer a model of premium memberships, customizable content - micro payments - and value added services.”
Facebook doomed to die
These three different parts seem to create some obstacles for all the global players, since they failed to gain a foothold in East Asia. “One of the most famous examples that didn’t work out in China has been Ebay China, the local competitor Taobao realized that Chinese users prefer much more to buy products instantly than to wait for an auction to end. Same thing with Google; in Korea the company only has approximately 6% of the market share. As for other western hypes, they have yet to make it to East Asia, which are not good signs either. For example, jokes are already going around in China calling Facebook, “fei si bu ke” (非死不可) a transliteration which means ‘doomed to die’.” (more…)
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Written on February 8, 2008 – 4:56 pm
Ernst-Jan Pfauth, editor in chief
A few weeks ago I interviewed Matt Colebourne. He’s the CEO of coComment, a service that makes it possible to keep track of all the comments you make and discussions you’re participating in. Today he captured the attention of 700 LIFT08 attendees when he spoke about the importance of social networking and conversations for companies and bloggers.
Colebourne is the kind of speaker that grabs your attention and won’t let go. “Who’s stressed?” he asked the audience in enthusiastic way, “Don’t worry, I’m here to make you feel good”. He then asked us to imagine that we’re the marketing director of a big brand. “You have a pleasant life, everybody thinks you’re brilliant.” Well, you can guess where this is going. In comes the angry visitor who leaves an ugly comment on the website. It gets picked up and the social media train is gathering steam. Before you know it, the comment ended up on the Digg frontpage. What happened?!
“Opinions are everywhere, people are saying what they want. Whether you like it or not. Trouble is here”, Colebourne said. “Markets ARE conversations, you can view that as trouble or you can engage, excite and use it yourself.” Some more one liners by Colebourne: “Listen to the good, the bad and the ugly” and “Interaction sometimes make your brand more memorable”. And his most important message: “You cannot control, keep talking and listening, don’t be scared”.
“You cannot control, keep talking and listening, don’t be scared”
So to sum it up, Colebourne urges companies and organizations to participate in online conversations, instead of running way from them. It’s a message that would do pretty well at a regular marketing event, yet I think that most LIFT08 visitors were already aware of this revolution. I mean, everybody has read the corporate blogging book Naked Conversations by Robert Scoble - who was sitting front row by the way.
Colebourne is a gifted speaker and I really like coComment, but next time I hope his presentation is inspirational because of the content itself, and not just for the way that he presents it.
Written on February 8, 2008 – 3:18 pm
Ernst-Jan Pfauth, editor in chief
When online marketing expert David Sadigh from IC Agency asked the LIFT08 audience who used the Internet in 1995, he was surprised by the huge response. “In 1995 it used to be a tool for geeks”. The situation has obviously changed, since the Internet is a mass medium now. “Even dogs are about to go online” Sadigh joked (no response this time). That makes it interesting for sales, he said. But the striking thing about the Internet is that the content is the same for everyone, yet we’re all unique and have our own wishes.
Because the content is not adapted to their needs, 98 percent of the visitors leave commercial sites without buying. Yet business pump in 35.5 billion dollars in online marketing on a yearly basis to attract visitors to their site. “Imagine if you had a store where everybody walks in but nobody is buying anything - you would definitely fire the person whose running the shop. Then why do we accept this on the Internet?”
As you might have guessed, Sadigh had the answer to this shocking question. ‘Internet isn’t really born yet”, he said, it’s a new medium, sort of like a 2 or 3 month old fetus”. So because of its new character, we’re not yet focusing on things like customer experience. Well, actually we just started, since Sadigh confronted us with this phenomenon. He urges companies to decode the visitors’ intentions and personalize content according to the decoding. Just like Amazon already did in the early years with the personalized recommendations. It’s just that Sadigh wants us to take it to another level.
How can we do that? What can we personalize? Some suggestions made by Sadigh:
- Intentional targeting, display a specific product related info related to an engine search on that specific model. When somebody searches for family vacations in Italy, you don’t show just a classic Italian picture but go for the family-eating-at-a-big-table photo.
- Geographic targeting
- Event targeting, like showing product info related to a current TV campaign.
- Behavorial targeting, when people buy something on your site, they’re probably there for the third time. So keep track of their surfing behavior and adjust the product related info to that
To be honest with you, I find the numbers Sadigh mentioned shocking, but his suggestions don’t sound revolutionary to me. Maybe he sees them merely as a way to prepare companies for the REAL personalization, or the techniques needed aren’t available yet. To give it a positive twist at the end: things can just get better.
Written on February 8, 2008 – 1:03 pm
Ernst-Jan Pfauth, editor in chief
We - the Next Web Team - are back at the International Conference Center of Geneva for LIFT08. Yesterday was interesting. We met a bunch of interesting people, Robert Scoble interviewed us and the presentations really broadened our view and inspired us in many ways. Although we all had hoped to see more tech speakers.
Anyway, we just saw Guy Vardi from Oberon Media talking about casual gaming and the evolutions in that field. Most interesting point he made: casual games developers are like drug dealers: they know that when they give you the first shot for free, you’ll keep coming back. I’ve interviewed Maarten Brands from Mooh Games a few weeks ago, and he seemed like a nice guy. Yet now I know what his real business secret is.
Games like Warcraft are meals, casual games are snacks
One more thing they’ve got in common, they work where the teenagers and twenty-somethings are. Drug dealers always do business on street corners and in clubs, casual game developers are now approaching people on social networks. Just have a look at your Facebook apps, and you know what Vardi means. It took him quit a while to get there, since he had spend most of his presentation time on the history of casual games. Pong and Tetris, you know the deal. “The most popular games have always been the silly, stupid ones”, Vardi said. “Everybody’s playing them, especially housewives. If a hardcore game is a full meal, a casual game is a snack. And, like my mother says, snacks are not dinner”.
The snack business is booming, especially in Asia. The hottest one around right now is Kartrider, almost every Korean has at least once played the game. Yet I would like to end with another casual game, which is actually a cardboard rip-off: Scrabulous. The developers have a made a Fergie-like video about their copyright battle with Hasbro and Mattel, which I first saw on Mashable. I was waiting for an excuse to publish it and while Vardi’s presentation is of course more than just an excuse for this cool-looking clip, I’d like to show it to you anyway. Enjoy:
Written on February 7, 2008 – 7:55 pm
Ernst-Jan Pfauth, editor in chief
Gen Kanai
This year, LIFT will also organize an Asian edition of the conference. With the session ‘A Glimpse in Asia’, they wanted to warm up the current visitors for LIFT Asia-style. Gen Kanai, a business developer for Mozilla Asia and director of marketing and partner relations for Mozilla Japan, offered an overview of open source in Asia. According to Kanai, there’s a lot to win on the field of open source developing in Asia. He summed up the barriers for open source programmers in Asia:
- Asians have a different style of communicating. They’re not comfortable with the direct way Western people confront each other. According to Kanai, Asians ‘might be intimidated’ when working with people from the West.
- Open Source defacto language is English, so the hurdle for non-native speakers is higher. Also Asian people tend to create islands of groups, such as Mozillagumi.
- In the US and Europe, most programmers work on open source projects after their daytime jobs. Most Asians however, don’t have any free time. Kanai points out that most developers in India work for Western companies and can’t choose how much work they accept.
- Asian open source programmers need institutionalized support.
Despite all the barriers, Kanai urged the attendees to look beyond the stereotypes about Asia. “The continent has contributed to open source”, he said, “Yet we need to do more”. After this visionary speech he couldn’t resist the temptation of promoting Firefox: “Anybody who tells a friend about Firefox, helps the open source community. We can all affect the future of open source”. Next time keep the marketing talk to yourself Kanai, and the applause will be even louder.
Written on February 7, 2008 – 4:19 pm
Ernst-Jan Pfauth, editor in chief
You probably already heard of Nabaztag, the smart Wifi-enabled rabbit with its famous moving ears. Its Facebook app was a real hype, and thousands of users fell for the rabbit’s charms. While most people might see this rabbit just as a funny gadget, its inventor Rafi Haladjian told during LIFT08 that there’s a lot more to it.
Haladjian is founder of several Minitel start-ups and Internet providers in France. His latest venture Violet is the company behind Nabaztag. One day, he was sitting behind his desk, thinking about how he could promote his Wifi services. His eye fell on a rabbit and he had his eureka moment. “With creating Nabaztag, we wanted to make a statement”, Haladjian said, “If you can connect a rabbit, you can connect anything.” Just imagine we made a Wifi-enabled frisk. People would have said, ok, so you can connect frisks now. Yet by connecting something absurd as a rabbit, people think: you can even connect rabbits now”.
After explaining his choice for a Wifi rabbit, Haladjian told about the functions the electronic animal has. I would like to highlight one, namely the speech function. Nabaztag for example updates you on the statuses of your Facebook friends. “Nabaztag tells you about things that are good to know, yet now worth the effort of looking up. The typical Web 2.0 info”.
Nabaztag tells you about things that are good to know, yet now worth the effort of looking up
It’s a great idea. By taking Web 2.0 data -such as Last.fm shouts - off the screen with an Ambient Information Device like Nabaztag, they become more accessible for people who are now only interested in content that IS worth the effort looking it up. Haladjian is also using it as a filter for his RSS reader: “Nabaztag is reading the RSS headlines out loud. I look up the ones that sound interesting.”
We’ve learned yet another lesson at LIFT08: next to the fun-factor, gadgets like Nabaztag also have the potential to change the way we use the web.
Written on February 7, 2008 – 2:51 pm
Ernst-Jan Pfauth, editor in chief
This morning Patrick, Arjan, Babette and me arrived in Geneve for the LIFT08 Conference. We already saw some interesting speakers. For example Genevieve Bell from Intel, who discussed digital deceptions. She told us that when she registered for Yahoo and Flickr, she’d lied about her age and the city she lived in. When she lost her password she wasn’t able to retrieve it, since she had no idea what her registered age was. After discussing some (fun) facts (we tell 200 lies a day) and offering historical context (lying is bad, according to all religions), she concluded that the Web facilitates lying pretty well. We can make crazy avatars that don’t even look like us and children under 13 can just register to social networks if they lie.
Next to gaining access to services and presenting yourself in a cool way, people also lie about things they don’t want to be public. So to sum it up, we lie in order to protect our identity.
Lift captures almost everything that happens, so you can actually watch with us. Check out Bell’s presentation below, or go the special Nouvo Lift page.
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The Next Web Blog is closely associated with The Next Web Conference which is held annually in Amsterdam, The Netherlands. At this event speakers from all over the world come together to talk about, and show of, the future of the Web. (
