Archive for the ‘Retail’ Category

CMS evolution, publishing revolution?

May 29, 2007

Around this time five years ago I was evaluating the Content Management Systems (CMS) marketplace for silicon.com. We had spent several weeks looking at the main players in the market. They were big, expensive, monolithic products when you look back at them now, requiring a significant investment in licensing, hardware and consultancy to get them set up. We had just settled on a solution when the business was promptly acquired by CNET and the project shelved!

Looking back at those products today explains a lot about the current state of on-line publishing. The high cost of entry meant that smaller publishers just couldn’t afford to get on-line in any meaningful way so they had a local developer build them a basic CMS to get them running. When confronted with multi-million pound proposals from the suppliers, most of the major publishers decided to build an in-house team to create their own systems from scratch.

The landscape today looks very different, the explosion of the blogging phenomena combined with the proliferation of open source applications and new technologies such as XML, RSS and AJAX mean that literally anybody can now publish on-line without needing to understand design, HTML or know how to build a CMS.

Architecturally, the blogging platforms such as WordPress and Blogger very effectively (although quite simply) separate the four main components of a CMS, content, categorisation, functionality and design as shown in the diagram below: -

small-cms-model.gif

You sign up, choose the presentation layer from a selection of styles, the platform providers create the functionality for you and provide you with the creation and categorisation tools so all you need to do is to create the content.

Mainstream content management systems are only now starting to provide similar flexibility for publishers. Open source products such as Drupal and Joomla now offer a viable way for smaller businesses to get on line effectively. Like the blogging platforms, they introduce the opportunity to create multiple sites, cost effectively, by re-using functionality, content and platforms. But how many publishers are actually taking advantage of this? Often, even where publishers have multiple sites, many are still designed and built in isolation from their stablemates as businesses fail to understand the benefits of one platform.

My favourite illustration of how this works is www.visitwales.com. It shows perfectly how this can be put into practice to create multiple, speciality sites from a single content management system.

  • The country sites all use the same content apart from the “Holiday Packages” and “Travelling to Wales” sections.
  • The foreign language versions use the same functionality as the rest of the sites but with local language translations of the content.
  • Finally, the activity based sites utilise all the same weather, accommodation, history content from the country sites and add specific editorial for that topic.

All the sites run on the same CMS and the editorial teams are not even aware that they are sharing a system.

The problem for all those publishers (large and small) that built their own systems is that they now have such a huge “cost of exit” that it’s almost impossible to migrate to this model. The small publishers probably don’t even have access to their original developers (one story I heard recently was of a developer that emigrated to New Zealand to be a car mechanic!).

The large publishers are desperately trying to adapt/re-engineer their legacy systems for web 2.0 and don’t have the resources (or the will) to migrate to a new platform.

On the flip side, anybody deploying a CMS now has a multitude of cost effective options, especially if the requisite thinking in terms of scale is carried out. I’ve already talked about the retailers entering the content fray but those off-line publishers who originally held back, now have a great opportunity as do any new pure play on-line publishers. In the visitwales example above, the cost of adding, say a canoeing site, is simply the creation of the appropriate content and some design work. This is truly scalable content management.

There are many publishers in between the individual bloggers and the CNET/Reed/EMAP’s of the world who can now start to make inroads into the multitude of valuable niches too small to be of interest to the big boys. Finally it seems they have the tools to make this possible. The CMS evolution continues but the real on-line publishing revolution hasn’t even started yet…

Microsoft, retailers and content

April 2, 2007

ChinwagWent to a great event last week, Chinwag Live! Where the great and the good were discussing Pay Per Click (PPC) advertising on a panel, expertly moderated by Mike Butcher. One of the panellists was Nigel Leggatt from Microsoft who obviously came in for some stick as the man from the big company.

Fair play to Nigel though (Google and Yahoo were invited but declined), he admitted that although the launch of Adcenter wasn’t perfect, that they had a long way to go but that than despite their lower than anticipated volumes, that their click through rates were better than the competition. This was borne out by the agency bods both on the panel and around the room.

What was interesting was that the highest value referrals were from content sites where there was a noticeable difference in user behaviour. These users spent less time on MSN and clicked through faster to the customer site, Microsoft’s analysis being that they were much further down the buying path having researched the products thoroughly.

Common sense you might think but what’s interesting about this to me is why the major retailers haven’t latched on to this. Finding a retailer site that has quality content linked to their products is an almost impossible task.

Mothercare do a decent job, as do Comet with their Knowledge Centre but they are in the minority in an area where you would expect the retailers to be strong. They have experts in pretty much whatever field they operate in, have access to all the manufacturer research and content and the ability to deliver the products. They are as independent as any editorial team (promotions notwithstanding) and should be a valuable, trusted source of information before making a product choice.

Until they get it, the niche content providers are having a great time filling a gap but how long until the Wal-Mart’s, Tesco’s and other high street names cotton on and start driving their own traffic via editorial content through to the purchasing point?

Infinite choice = overwhelming confusion

March 6, 2007

Following on from my previous post, I’ve been spending a lot of time looking at retail sites over the last few weeks and it struck me that they have the ultimate infinite choice problem.

What’s really interesting is how poor most of them are when it comes to filtering the products they sell in a way that is meaningful to the user. Even the market leaders are way behind the price comparison engines like shopping.com and pricegrabber. There is a lot we can learn from these guys who live and die by getting the user to an affiliate as fast as possible.

In retail that means making an on-line sale, in publishing it could mean downloading a whitepaper, watching a video or reading a review. So what does it take to create great filters? The answer is simple, anything the user will recognise is a great filter. Here are my top 5

  1. Brands - some users will buy brands way above all other criteria
  2. Price - likewise some users will buy based on price rather than quality
  3. Editorial recommendation - the trusted third party
  4. User recommendations/ratings - 62% of people trust their peers more than anybody else
  5. Automated recommendations - “users who bought this, also bought that”

Obvious common sense stuff, so why aren’t more retailers/publishers doing this? Two reasons, firstly, you can’t do comparisons if your data is dirty and most big databases of content or products are very messy. Secondly, tying user opinions/ratings to that content is not always straightforward. Integration between E-Commerce systems and Content Management Systems is usually pretty light resulting in disconnected data.

What the price comparison engines have invested in is great data tools so that their databases are as clean as possible. This lets them create all manner of filters , safe in the knowledge that the results will be right. It’s time for the rest of the on-line world to take that on board as the volumes of content increase exponentially otherwise overwhelming confusion will reign.