For me, the most interesting ideas were on 'constructing value' for a previously unknown product. First, you need to have a compelling free offering so there is minimal risk to customers trying your new product. Secondly, you should take the lead in setting the perceived value of your new product by using an 'anchor' of premium pricing even if you end up selling at a discount to it.
"We really enjoy the work that we’re doing and we don’t want to cheapen it. Consciously or unconsciously — probably both — we’re trying to create a manageable way to earn a living and still maintain our sanity. We value time as much, if not more so, than money."
"The basic pattern of openness is that better access to information and better systems lead to better decisions and better living. This general principal is broadly accepted, but we're just now discovering that it also applies to the minutiae of our lives."




In the meantime, here’s some footage I shot of their show at The Echo on Monday night (YouTube HD doesn’t quite do the 1080p footage from Kelly’s Canon 5D Mark II, aka my dream camera, justice):
And here are the photos:
Kelly (and her camera) had to leave a couple of songs into the Edward Sharpe set (I had told her they went on at 10pm and they didn’t end up starting until 12:30am). So, what you see here is just them getting started — to give you a sense of where it ended up, Alex, the lead singer (formerly of IMA Robot), spent a good deal of the show shirtless in the audience. I’m actually kinda glad I didn’t have the option of documenting the rest of their set, because I got to go crazy with the rest of the crowd instead. But I’d gladly give up a night of rocking out in order to have the opportunity to properly document this incredible spectacle. Dave, call me! 
P.S. I first discovered Edward Sharpe and the Magnetic Zeros through the most excellent NPR All Songs Considered Live Concerts podcast (originally via Ian, of course).
Update: Here’s some video of the opener, Fool’s Gold:
I have 1 more Edward Sharpe video, but it’s just barely over YouTube’s 1GB upload cap. So, I guess I’m gonna keep it to myself for now.
]]>And some quotes:
"The aesthetic quality of a product – and the fascination it inspires – is an integral part of the its utility."
"Things which are different in order to simply be different are seldom better, but that which is made to be better is almost always different."
(And on a personal note, my late grandma had Rams's Cylindric T2 lighter in her apartment when I was a kid and I always got in trouble for playing with it, but its design fascinated me.)
Last week, our friend (and first client) Joel Moss Levinson, aka Happyjoel, appeared in a CBS Evening News with Katie Couric segment called Cashing In on YouTube (watch it below). For Joel, this follows an appearance on the Tonight Show with Jay Leno, a profile in the New York Times, and (our personal favorite) being named an AccessHollywood.com Rising Star. As you can see in the clip below, the majority of this coverage has been driven by the novelty of Joel’s success. He’s a guy who subsists entirely by making amusing music videos for products for which he has no personal affinity — what news producer wouldn’t love this story?!
For us though, the real story isn’t the wackiness of Joel’s success but rather how he has achieved it. Of course, having the ability to come up with witty lyrics about how awesome watermelons are and the time and energy to scour the interwebs for brands looking to crowd-source their marketing are necessary, but they’re not sufficient. Michael Buckley, the other online video personality covered in the CBS News segment, told the NY Times “I was spending 40 hours a week on YouTube for over a year before I made a dime.” Like Michael, Joel does a lot more than just what you see on screen. Arguably, making the videos is the easy part (at least for someone like Joel) — the real challenge has been building and cultivating the loyal fan-base (or as Joel calls it, his “contest voting army”) that has made him such a newsworthy phenomenon.
As of this writing, Joel has:
Each of these relationship channels has different strengths and weaknesses, and we have achieved a good measure of success using them in concert through best practices and a substantial time commitment. But, the system is far from perfect. In addition to the redundant work required to build and maintain relationships through all these various channels, it is very difficult to identify and de-duplicate the individuals across them, and it is basically impossible to have a cohesive view of what is going on in your fan universe.
While 800 lbs brands like Britney Spears or 50 Cent have enough clout to ask their fans to sign up for new services, the rest of us need to find effective ways to reach our potential fans where they already live online. YouTube, Facebook, Flickr, MySpace, and other popular social media services provide access to their huge existing audiences, but the relationships you build through them have to be on their terms. We’ve learned from experience in the trenches with clients like Joel and Handsome Donkey, and we’re hard at work on a solution that gives independent online media brands the best of both worlds: access to existing social media audiences with greater control over the fan relationships it generates. So, stay tuned!
]]>As predicted, MySpace users are getting pissed off that the social network they originally chose for its openness is now denying them access to the best of breed services they desire.
There will never again be *one* destination that provides *everything* a user wants and needs. The only way to be ubiquitous is to be completely open and allow users to use your product (whether it be a homepage on which they can embed any service they choose, or a service they can embed in any homepage they choose) how they see fit. Openness is now a viable basis of competition, and you will be undercut by a more open competitor if you are too closed.
MySpace thinks that they built YouTube, and maybe they did. But, where would MySpace be without all those users embedding and watching YouTube videos on MySpace long before there was a MySpace video player? A smaller piece of the pie can be worth more, if the pie itself is made bigger by allowing distributed innovation to create value for your consumers in ways that you can’t or wouldn’t.
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