Tag Archives: Nike

An Opportunity Missed: The Olympics-as-a-Platform

Article first published as An Opportunity Missed: The Olympics-as-a-Platform on Technorati. Embedded video of “Rethink Possible” added in this blog post.

The Summer Olympics are very special. Every four years, for over two weeks, people all over the world (even those who are not normally sports fans) spend hours every day engrossed in the innermost details of dozens of sports—at home, at work, at school and at play.

However, in 2012 the IOC had opportunities never seen in any prior Summer Olympics…

olympic_open_data_280pxThis year was not just the first Summer Olympics since social media, multi-media mobile phones, and smart phone (and tablet) apps have become the ubiquitous means that over a billion people use to find and share information, opinion, photos and video globally—and instantly. It was also the first Summer Olympics since the rise in use of Open Data Platforms and Apps Competitions to tap the innovation of thousands of people to create better ways to access information (without adding the cost and complexity of hiring thousands of designers, developers and testers).

The IOC could have taken advantage of this by doing four things:

If the IOC had done this they could have created the biggest, most exciting Open Data and App competition we have ever seen. Not only would this have tapped into the innovation of tens of thousands of developers, it would have harnessed competition between teams who wanted to highlight the technology strength of their countries, their love of their country’s history and culture, and their passion for the athletes representing them in their favorite sports.

Imagine what kind of Apps this global technology could have created:

  • Apps written by ex-gymnasts that combined athlete bios and explanations of events and rules with (official and fan) video of preliminary rounds and the World Championships. Apps that even let the audience score what they saw in real-time.
  • Apps combining location-based data with captured photos and video along the entire 26-mile, 385-year course of the marathon, letting you play back key parts of the race, see every part of the course at once, and cheer on runners via Facebook and Twitter
  • Fantasy Olympic Team apps that let you assemble your own dream team for events and compete with your friends—or globally in the Olympic spirit
  • Training gamification apps that let you record and visually display your running and swimming times (like Nike’s training apps) to understand in new ways the tremendous the speed, strength and endurance of Olympians


AT&T’s Rethink Possible Ad: Imagine if the swimmer did not have to write down the new record (and instead an App logged his times and showed them again every record Olympic Record—and every qualifying round—back to 1896)

Apps like these would have made these Olympics more interactive and participatory than any in history. While we did not get this in 2012, I am keeping my fingers crossed for a 2014 Sochi Winter Apps Competition, and perhaps an even 2016 Rio Summer Apps competition.

The risk of NOT innovating

We are at that time of the year when many of us are working on next year’s strategic plans. A question that often arises is, “What is the risk of [doing something new]?” What is asked less often is, “What is the risk of not doing something new or distinctive?”

‘Innovation = life’ when you court early adopters

In newly emerging markets—be they as high-tech as augmented reality or as low-tech as fashion—the answer is obvious. Innovation is occurring all around you; those who so not innovate enough will be left behind. The challenge here is to stay ahead of everyone else (instead of copying the innovation of others).

Examples:

  • Facebook out-innovated MySpace, Friendster, and everyone else
  • Can you name three competitors of Amazon from the late 90s?
  • FourSquare crushed Gowalla (and is standing up to Facebook)

Innovation allows you to ‘cross the chasm’

When you are entering the tornado, (i.e., when demand takes off and the top leaders are established), the speed of change requires innovation to shift from creation to speeding and scaling execution. You need to be able to out-market, out-deliver and out-support the competition. If not you will find yourself as Chimp (or worse).

Examples:

  • AOL out-ran all other ISPs—including a buy-or-break challenge by Microsoft
  • McDonalds’ innovations in franchising has enable it to serve billions
  • Ford’s Model T made cars affordable for the masses

Innovation keeps leaders on top

When you are the leader, everyone is aiming to displace you. Innovation in marketing and promotion will keep demand for your product fresh. Innovation in partnerships and distribution will create barriers to block you competition. The challenge is ensuring your teams know they have to keep innovating once they have reached the top.

Examples:

  • Intel is still the worlds largest chip maker (in a world with Moore’s Law)
  • GE is the only original Dow Jones stock still independently trading
  • Nike has been the top provider of sporting equipment for decades

Innovation is the only way to disrupt the leader

The familiarity and market share of leaders gives them enormous advantages in terms of cost of sales, speed of sale, distribution, etc. If you are smaller, you cannot disrupt a market leader by being playing “me-too” (unless the leader makes a big mistake). You need to “change the market” by meeting needs your customers did not realise they had or delivering in ways established “leaders” cannot match.

Examples:

  • Salesforce is worth nearly 3x what Siebel was when it sold to Oracle
  • RedBull has wings
  • President Obama’s campaign managers used social media, mobile, and CRM software to raise more money than more-established opponents

Innovation is the only way to ensure life in the future

Clayton Christensen has written volumes on need the foster disruptive innovation to ensure your remain a leader in the future (see my notes below). If you do not invent the future, someone else will—moving your market to a place where they lead (and you do not). If you want to avoid this, you have two option (ones that need not be mutually exclusive): 1) create incubation teams to innovate the future or 2) acquire proven innovators (this can be expensive).

Examples:

  • Apple continuously invents the “next big thing”
  • Amazon is selling more books on Kindle than in print
  • IBM went from typewriters to computers to services (and acquisition of many business information infrastructure innovators)

So what is the risk of not innovating?: your entire future

Notes: This post draws on two of my favorite books, “The Innovator’s Dilemma” and “Crossing the Chasm.” If you like this post, I encourage you to read “iPad’s Climb Up the Disruptive Innovation Cycle” by Hutch Carpenter and “Social Networking Sites, Market Segmentation and the Innovation Cycle” by Digvijay Singh.