Saturday, March 10, 2012

Groundswell Part 3


The Groundswell Transforms


            In this third part of Li and Bernoff’s book Groundswell, the authors focus upon the transformation that occurs once the groundswell has occurred. In Chapter 11, the authors focus upon the necessary transformation within a company for a groundswell to occur. Companies must give up some of their control to reap any of the benefits of the groundswell. In a case example about the Dove Evolution video, the authors estimate the savings of the company at millions. 





The Youtube sensation, which has over 5 million views, is compared to the Dove Superbowl ad, which had about half of this amount and cost $2.5 million for a 30 second slot. 





The evolution video was free to Dove, and came as a result of the company’s embracing of the groundswell. This led to far lower costs and a much wider viewing audience. However, to attain these prizes, the company had to relinquish a great deal of control into the hands of its consumers.
            The authors also speak about the internal groundswell, or the groundswell within a company of its employees. It is “all about creating new ways for people to connect and work together, and to that end, it is about relationships, not technology.” As with the groundswell at large, it is the relationships that matter and are the driving force behind this groundswell, and as with the groundswell of consumers, the groundswell of employees allows individuals to connect and to better themselves and their products. The formation of a community allows each person to tap into others resources, therefore becoming much more effective. The authors speak about Blue Shirt Nation, or the community of Best Buy employees. 





Best Buy invested in their employees to build a technological network of email and forums that enabled employees to cut through a great deal of red tape and become far more effective, reducing frustration for both themselves, and for their customers.
            The groundswell is an infinitely powerful force, because those in the groundswell are the consumers. As the groundswell transforms and grows in power, it reshapes industry as we know it. Previously in history, only a select few could create the media, and those selling the product carefully crafted advertisements. As consumers grow more and more informed and savvy about products, they are becoming integral to corporations. The insights and communities formed by consumers can make or break products, and as such, these communities and the ideas that they form are being taken seriously in a way never thought possible or viable by executives everywhere. 

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