Be Careful, It Bites!

The internet has now made everyone a publisher, but here’s an example of a publisher without an editor, one who forgot that the internet is a two way conversation.

When it comes to brands, being stupid, ungrateful or deceptive can be also highly consequential thanks to the internet.

To paraphrase Clay Shirky (an esteemed web consultant and Professor at NYU): “Prior to now there were only 4 periods where media changed enough to merit revolution. First was the movable printing press. Then the telegraph and the telephone. Then moving images and sound. Then the television and radio revolution. But there’s a curious asymmetry in the previous revolutions. The stuff that was good at creating groups was no good at creating conversation, and vice versa.
The Internet is the first medium that’s natively good at supporting group conversation. That’s the first big change. What this provides is organization without organizations. It provides groups of people to come together and coordinate themselves without needing a manager. That’s the first of three big changes created by the media environment.”

And that’s the thing . . .

Take the example of HSBC Bank. HSBC was in a drive in the UK for new customers. One of their selling points was penalty free banking, and on this basis they signed up thousands of new customers. However the reality was that they were charging a 140 pounds penalty when a customer would go into overdraft.
HSBC had an advantage. Students were scattered for the summer. People would never even notice.
However, for lack of a Financial Regulator, we now have the greatest Regulator of all . . .
One person made a Facebook group: Stop the Great HSBC Graduate Rip-Off!!! Thousands joined the group immediately. They started talking to the media. They planned a protest. But the protest never happened because HSBC changed their tune.

HSBC didn’t change their policy because their customers were upset. They changed their policy because their customers were upset and coordinated. The fusing of the delivering information and coordinating the people who come to look at it makes this medium different than the mediums that have come before.

The internet is a revolution: it gives power to the people. We don’t have to sit back and be impassively bombarded by brands; we don’t have to occasionally stomach hypocrisy or deception. The more enlightened brands are learning to engage with consumers through this medium – they are open to traffic coming from the other direction, and they are listening.

HSBC have now opted to siphon the accounts of less web savvy Pensioners. (HSBC, if you are listening, I disclaim that previous statement).

Jim Murray – Prosperity