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2007’s dumbest moments in business according to Fortune (and me)

December 29th, 2007

Being the end of the year, everyone jumps in on Top lists, both retrospectively and looking to the new year. Fortune created its list of 101 Dumbest Moments in Business in 2007. From the peanut gallery, I can’t help but comment on their list and add a few of my favourite dumbest moments of the year in business and technology.

From Fortune’s list…

8. KFC/Taco Bell rats video in NYC

Did you really need a video to remind you KFC/Taco Bell is likely to kill you? Apparently, a million people did.

16. Microsoft’s PR firm sends writer own background document

Now that’s probably one of my worse nightmares when handling the PR aspect of a project. I’ve never had 13-pages long background files on anyone, but certain short notes which are helpful in remembering how to handle certain difficult people would probably not be received too well, should it fall in the hands of the person profiled.

17. Cocaine energy drink

Well, the marketing team can’t say they didn’t see that one coming when they picked the name. While I don’t approve of the choice of name, find another product that can call itself “Censored” or “NoName” yet keep a supposedly cool cachet to it due to its previous name.

36. Best Buy

“The state of Connecticut sues Best Buy for setting up in-store kiosks set to a website that looks identical to bestbuy.com but lists higher prices than those they would actually find online.” That was a marketing disaster waiting to happen, and I personally would have put that far higher on the list. For someone to actively commission this mock-site is beyond words. How else do they screw their customers?

46. Johnson & Johnson throw a hissy fit at the Red Cross for infringement of its trademarked red cross

Here, J&J’s PR team definitely could have spent a bit longer doing their homework and evaluating how to best put a positive twist, some sort of partnership with the Red Cross rather than getting all uppity about the international symbol of rescue, safety and health being used on First Aid Kits.

51. Apple threatens to sue a 9 year old for sending ideas

Here, good ol’ AAPL could have taken a kinder approach to responding to this child. After the public uproar, the little girl received an apology for the otherwise formal and harsh response from the legal department.

58. Taco Bell “It doesn’t pretend to be mexican food”

It doesn’t pretend to be edible either, does it?

59. Radiohead “In Rainbows” available freely

Fortune gets snipey about it, saying Radiohead will follow shortly with an album called “In Debt”, but TUAW echoes my thoughts – Fortune is utterly wrong in its calculation. Only the labels have been starved from their fat paychecks in this deal, with Radiohead clearing over twice what it usually would on an album.

65. Verizon Wireless realises it’s not God

Verizon Wireless attempts to stop messages from a Pro-Choice American association to its own opted-in subscribers, but gets overruled. Good. Mobile carriers are facilitators of communication, not a censorship office.

70. Circuit City shoots itself in the food badly

In a cost-cutting exercise, Circuit City shows 3,400 of its best employees the door. Nobody ever taught these guys about the 80/20 rule where a few of your employees either make up most of your sales or, at least, serve as positive motivators for the rest of the team.

Vero’s list of top dumbest moments of 2007

1. Twitter claiming upgrades every time it went down.

Don’t get me wrong, I love Twitter, I love their approach and style, and while I’ve never met the team face to face, they all seem like a bunch of people I’d love to work with.

However, when your community is made up of the cream of the crop of early adopters, you can’t take ‘em for a ride, or they’ll head over to The Next Big Thing. So Twitter, in the future, a bit more honesty and transparency would be very welcome when you’re flippin’ us the bird.

2. Facebook Beacon launches without asking users to opt in first.

This was a fundamentally stupid mistake. There’s a fine line between giving users useful services and features, and being invasive 1984-stylee!

I find it shocking that anyone thought they were doing users a service by opting us all in by default. Coming from an email marketing background, I appreciate how difficult it is to convince users to opt-in of their own accord, but sharing this much information without our explicit permission is downright disgusting. As one of the articles on this topic said, what if I was buying a book called “Coping with AIDS”? It’s not all about purple scarves and ruined Christmas surprises, it’s personal lives that could be ruined by it.

Thankfully, Facebook did well in listening to feedback and sorting the situation as quickly as possible.

3. Apple plays hard balls over iPhone in the UK, gets fewer sales

Against any past mobile culture in the UK, Apple chooses to charge a significant amount for the iPhone regardless of the contract it is purchased on. The Register comments on the tumbleweeds rolling by on launch night. Brits and Europeans aren’t blinded enough by Apple to fall head over heels when the deal isn’t good enough.

Hopefully, Apple will shape up to the culture in the next round of iPhones.

4. A few idiots rob the blogosphere from Kathy Sierra’s writing and insight.

I still haven’t forgiven the mean kids who’ve caused Kathy to stop blogging. It may have felt like a funny joke at the time, but their impact is greater than they realise. Her style was unique and enlightening for people in my area of work. It may have been 9 months now since Kathy’s stopped writing but her words still carry.

What are the dumbest business moments of 2007 in your eyes?

Let it snow!

December 27th, 2007

Just a short video of the snow today. Lovely big snowflakes falling softly while we’re comfortably sitting indoors.

YouTube Preview Image

BT Complaint Letter: A few words of advice

December 27th, 2007

On December 11th, it was flagged up to me that our account had been debited by British Telecom for an unusually high amount. The cheeky bastards had helped themselves to £233 my money via Direct Debit, when the monthly amount I expected to be taken every month was a measly £10.49. The reason behind it was some unwarranted billing for work done outside our property some time ago.

I promptly wrote to the BT Chairman, their press room, Ofcom, Otelo and blogged my letter. Whether the knowledge that the issue was public made any difference to the pace at which BT dealt with it, I’ll never know. What I know is that the money is, two weeks later, back in my account after I was informally told over the phone that it would be back last week. Still not too bad.

What grates me is that there’s been no apology. I fought the charge and got a refund, but BT still seemed unapologetic about having taken the funds over an issue for which I wasn’t supposed to be charged.

This leaves me with a few words of advice to everyone who may not be keeping a close eye on their finances:

Speak to your bank about setting a limit on direct debits when you expect monthly payments to be regular. It’ll avoid random high charges like this. Check your online banking once a week and sanity-check any spending that looks unexpected. Setup “monthly bill” payment rather than “full bill” with each service where your cost may vary and where maintenance work may be slipped onto the bill. Get everything you can in writing, or record phone conversations. I’m seriously considering recording conversations with customer service agents from now on to avoid “he said, she said” arguments where it’s my word against theirs. Anyone got suggestions on the best way to record all calls to/from a house line?

Google Reader Shared Items: And what about the usability?

December 27th, 2007

Everyone and their dog is complaining about Google Reader introducing the “friends’ shared items” functionality a few days ago, which enables users to share a selection of their feeds with friends. However, when introduced, Google automatically shared the existing “shared” feed, rather than letting users opt in. This caused an upheaval from people who, I suppose, had something to hide in their shared feed.

Google Reader Shared ItemsWhat has shocked me most with the crash landing arrival of this new feature is the poor usability of it. When Scoble suggested Google should add more granular control over privacy settings, he also asked readers to share feeds. I popped into my own Google Reader and looked for an easy way to find Robert’s feed and share my own with a few people. Stumped. Completely. There is no easy way to “request” a feed from someone you’d like to follow, just as there is no way to share yours with someone who isn’t already a Gmail contact.

It’s quite obvious that the Google team will improve on this as soon as they recover from their Christmas meals, but I’m honestly surprised that the feature was released as-is. Some thinking is needed on the ease with which one can share, unshare, specify what should be shared, who it should be shared with and how it should be shared.

Until then, if you’re looking for my feed, it’s right here – I’ve been on fire today and added loads to my shared items. I promise to be more reasonable with the number of stories shared in the future.

Reminiscence: Reaching for your dreams

December 23rd, 2007

Meeting for dinner with old high school friends, originally met some 12 years ago when we were rather younger, unavoidably sends me down Memory Lane. Tonight, literally, in fact, since I had to cross campus to come back to my sisters’ cute apartment above a pub within spitting distance of their classes.

These friends now work, like me, in fields they love, doing stuff they’re passionate about. Paola’s a journalist with an astonishing amount of experience under her belt for her age, and ju (lower case j, capital J is a whole different high school person…), who’s running along with some top notch production crews, doing lights, sound and all sorts of stage stuffs.

We work in very different worlds, but there are a few things that seem to ring true with all three of us.

We all left the family nest and our hometown as soon as the opportunity arose to further our budding careers by taking a gamble and working somewhere else. We worked our asses off in high school… (Well, they did, I kind of freeloaded off ju in music theory, for one. I do apologise for that, in hindsight.) Joking aside, we did work hard and spend a lot of energy on extracurricular activities. We all made a point of being pro-active in making our passions happen, rather than taking on normal desk jobs and just hoping it would happen by some form of magic.

Looking back, I can’t help but be proud that while we were what one might consider to be slightly uncool… or outright losers, probably… we’re now getting to a stage where we can live our dreams. As Hugh says, “Then you get to a certain age and you realize that the time for “One Day” is over. You’re either doing it, or you’re not. And if you’re not, a feeling of bitter disappointment starts hitting you deep into the marrow.”

I don’t believe in waiting til “a certain age” comes. I’m making the most of where I am now, what I’m doing and I’ll be damned if I let anyone else control my destiny. Thankfully I’m married to someone who’s even more energetic and passionate about achieving dreams now rather than “some day in the future”, so it’s a good match.

My dad would suggest that one also needs to stop and smell the flowers, but I don’t think we struggle to do that either. In fact, early tomorrow, I’ll probably go for a stroll around a frozen Sunday morning university campus again for old times’ sake.

Spending Christmas with the family

December 21st, 2007

Reason #3 spending Xmas back at home is worthwhile: Talking Julie into eating an uncooked Pogo (corn dog) covered in Nutella for the measly sum of $12 in small change.

Complaint Letter follow-up: British Telecom (sort of) sees sense

December 20th, 2007

A week ago, I shared my complaint letter to British Telecom with readers, and it seemed to have had an impact! Many of you seem to have had issues with either BT as well (some sound far worse off than me!) and others with Direct Debit in general.

On Tuesday morning, I turned my phone on to find a voicemail asking me to call back Linda Duggan at British Telecom. Speaking to Linda, she assured me the refund for the full engineer visit charge would be refunded today. (As an aside, no, the money isn’t in my account yet, so whoever said “they promised you’d have it in your account by Christmas… but Christmas of what year?” will probably turn out to be right.)

So the outcome is as follows: I got my money back after a bit of whinging, I got an explanation on how to change my direct debit from “Full bill” to “Monthly bill” but nothing resembling an apology for taking the money in the first place.

The first lesson we all get out of this is that we need to keep a very close eye on our finances because companies will unapologetically take excessive funds out of our accounts without so much as a notification. I discovered there was a difference between Full bill and Monthly bill payment, and will ensure, from now on, that only the authorised amount gets debited.

The other lesson is that you shouldn’t be afraid to be forward and take your complaint straight to the top. Faffing with call centres won’t get you anywhere, they are not interested in your problem. Go to the chairman, the press office, the customer relations officer, and follow-up on it regularly. Don’t let it slip, be prompt in dealing with it when you discover the problem and you’ll get resolution.

Do promotions, coupons and incentive programs have any value on mobile?

December 17th, 2007

[Crossposted from the Taptu blog]

Sitting in my parents’ living room in Canada, I’ve seen just how much unrequested mail they receive, flyers from supermarkets and furniture shops to clothing and hardware stores. Junkmail and couponsEach one is filled with “50% off” claims and coupons. It’s a quaint tradition that is now being shoehorned into new technologies like mobile.

Mike writes about it saying that marketers tend to think of the mobile as a fantastic advertising medium, “always on, highly person, uniquely identifiable users”. That much is true, isn’t it?

“So I end up reading about things that the folks in the industry generally tend to term “The Starbucks Exampleâ€. It’s the example where a service could somehow figure out you’re near a Starbucks (whether it be location based services or some kind of near field communication system like Bluetooth) and push you a coupon (â€RIGHT THEN!â€) for 25 cents off your latte. [...] How often do I really want 25 cents off my latte? Is it really worth all the other junk I get in return for it?”

While maybe I’m more of a sucker for Starbucks than Mike may be, in theory, I can quite comfortably see a Bluetoothed voucher for 25p off a latte cause me to detour towards the overpriced coffee store on the way to my destination. However, it’s an extremely slippery slope, and encouraging Bluetooth marketing exercises would probably result in a heavy influx of untargetted marketing messages to my phone, which I definitely would not welcome.

Coming from an email marketing background, I know quite how poorly some “marketers” can choose to understand data protection and user privacy, giving themselves artistic license over what “opt-in” means. Carlo also echo’ed my suspicion that too often, bluespamming is so untargetted that it gets a very poor conversion. So let’s scrap Bluetooth marketing!

An unprompted SMS is even more invasive than Bluetooth marketing, since it can disturb me during a much needed holiday nap, so that’s out too.

This leaves us with user-initiated promotion. This is like the mobile equivalent of double opt-in in email marketing – Far tougher to achieve user participation but cream of the crop conversion rates as a result, since you’re only reaching those who are actively showing interest. The best example I can think of for this is Orange Wednesdays, a promotion that’s been running successfully for over 3 years, launched by Orange and Flytxt in the UK. Orange customers get a 2 for 1 discount on movie tickets on Wednesday nights, feeling they’re getting a great deal at 50% the usual ticket price, while cinemas get a fresh influx of visitors in an age where the big screen is suffering from lower footfall every year. Brilliant deal!

Using a word which needs to be texted to a shortcode is a reasonably low-effort option for the mass market, while QR codes scanning is only a suitable solution if uber-nerds are the target market. Ask anyone else what that stamp-sized black and white garble means and you’ll get an uninterested shrug.

The bottom line is that it’s got to be simple and non-intrusive, something that not all marketers can achieve successfully!

What are some of the best mobile marketing campaigns you’ve seen? What’s the wildest ideas you’d like to see using mobiles? At what point is a discount, a promotion or an incentive good enough that it should be allowed to interrupt our life?

Seven years of blogging

December 16th, 2007

I was about to leave a comment on Robert Scoble’s blog when he posted that he was celebrating seven years of blogging, and looking back at what had happened in that time. Having blogged for about the same length of time, I’m also amazed at how much things have changed. Thought I’d write my own entry.

In 2000, I was graduating from High School, starting Uni in Communication. I think that at that stage, I was hoping to be a news researcher for the CBC, or work in media somewhere. I had a severe addiction to the Internet – as confirmed by my parents, who could never receive a phone call due to my hogging of their phone line for dial-up access.

Having created my first website in 1994 during a “Discover the internet” summer course, over the years, writing online came in different incarnations, most too vague in memory and now lost in the ether somewhere on the web.

In the spirit of year-end retrospect life reviews, here’s what’s happened in the past 7 years or so…

In those years, I survived…

Started University in Comm, with no career clearly defined in my mind. Met a Brit who stole my heart. Took a year off Uni to go live in England. Loved it and vowed to return. Finished University, graduating with flying colours and a conviction that I’d work in that wild world of the web, working in marketing, PR, communication or something along those lines. Moved to the UK permanently, bought a house. Got married. Learned to drive and bought my first car. A dozen jobs of varying level of responsibility, in creating teaching resources, youth care research, publishing (x5 jobs in editorial and marketing), marketing & biz dev in the hotel industry, email marketing, blogging & community evangelism in mobile tech, and thrown somewhere in there, I started my own web dev/marketing agency. Damn, not bad unh? Joined far too many social networks too. Tried a dozen GTD apps (yet I’m still as disorganised as I ever was) Saw my little sister Jo get engaged to her high school sweetheart, to be married a few days from now. Bought a new house and organised an imminent house move (didn’t know about that one yet, did ya? More on that later!)

There’s probably a lot more stuff I could add, but in this early morning jetlagged haze, I’m realising quite how nice the thought of croissants and jam, sitting at the dining table with my parents for the first time in a year and a half sounds.

I’ll have a drink (of eggnog or coffee) to the next seven years, at the end of which I’ll still be blogging – or publishing my thoughts online in one shape or form, whatever the terminology is then!

Complaint letter: BT stole my Christmas shopping money

December 13th, 2007

[Updates at the bottom...]

Today, I’m pissed off. I’m really pissed off. British Telecom, lovingly known as BT, is the largest provider of all things fixed phone line in the UK. Like a bully nicking your lunch money, BT has gone into my bank account, using our Direct Debit authorisation as an excuse to debit £233 instead of £10 this month.

Below is my letter, addressed to the BT Chairman. I expect that copying the Telecoms Ombudsman, Ofcom and BT’s own press room will get them off their butts, but if you know anyone in a position to help (since the BT call centre had no interest in our problem whatsoever), please feel free to do so. I’d really like to sort this out before Christmas.

BT, you’re messing with the wrong girl!

FAO Sir Michael Rake, Chairman
British Telecom Head Office
BT Group plc
BT Centre
81 Newgate Street
London EC1A 7AJ

12 December, 2007

Dear Sir Michael Rake,

REFERENCE: XX012345678 – Unauthorised Direct Debit from Customer

I’m writing to get resolution on an issue that was brought to our attention by our bank yesterday. On 20th November, BT took, without our permission, £233.59 by direct debit from our account instead of the usual £10.49.

The explanation given by BT customer service is that the funds were taken following OpenReach engineer visits to our property. This goes against any previous discussion we had with the Faults department and the engineers themselves.

Before each visit, we spoke to the Faults department and took very careful steps to ensure that it wasn’t our equipment that was at fault, to get confirmation that the problem was on BT’s side and avoid charges, should an engineer come by. Unplugging all equipment and removing the faceplate, we then asked BT to run the line test. Each time we did this, the Faults team ensured that we were not going to be charged because the system was flagging a fault on their network, “near our property”.

This required a total of three engineer visits, and as many days off work on my part or my husband’s which, needless to say, inconvenienced us immensely. The first engineer replaced the connections outside, making the line quality and our Internet connection abruptly get worse, introducing heavy static onto the line. The second engineer attempted to fix the heavy static by replacing the faceplate inside the property, to no avail. He claimed that the capacitor in the faceplate was faulty, but this turned out to be false.

Finally, the third engineer worked out that the crackling on the line was caused by the cable connections outside being corroded and could reproduce the crackling by simply moving the cable. He found water damage on the outside connections and stated that he was amazed the previous two engineers had not found that problem earlier.

He changed the connection outside to heavy duty silicon based connections and said that, as a precaution, he changed the cable from outside to the back of the faceplate. This significantly improved the line quality for both voice and internet connection quality.

Based on conversations with the Faults department, they reassured me every time that there would be no charge and that the line tests had proved as much. However, on November 20th, the direct debit of £233.59 was taken from our account, without warning, taking our account into overdraft. On investigation with your thoroughly uninterested customer service team, we discovered that the charge was for the engineer visits above.

We should not be covering the costs incurred by engineers’ incompetence and repeated attempts, especially when the work to rectify the problem was done outside of our property on the BT network.

I feel that BT has behaved unethically by charging us after guaranteeing over the phone that we would not be charged, and furthermore charging us without even notifying us! The £223 taken above our usual monthly bill should NOT have been added to the Direct Debit, as the agreed Direct Debit is for £10, not for BT to have a free for all at my expense.

According to the Direct Debit Guarantee provided by HSBC, “if the amounts to be paid or the payment dates change, HSBC Bank plc will notify you 10 working days in advance of your account being debited or otherwise agreed”, and BT did not follow this legally binding guarantee.

BT Customer service has our mailing address, home phone number, both mobile numbers, and email addresses and unquestionably should have notified us ahead of time to allow us to flag up that no charge should be taken.

I expect the full amount for engineer visits to be refunded immediately, as you’ve taken my shopping fund for family and friends this Christmas. For my faith in BT to be restored in any way, I need a confirmation that I will be able to limit the amount which can be debited without prior notification.

Please respond promptly, sending a copy of all communications via email, to ensure I hear back from you as soon as possible and receive confirmation that the funds are returned to our account.

Best regards,

Vero Pepperrell

CC: BT Newsroom
Otelo, Telecoms Ombudsman
Ofcom

[Update 13 Dec @ 10:50am: The Ofcom Watch blog has already picked up on my complaint letter. I'm sure that BT's press room will be thrilled to see that the letter is reaching beyond my 26,000 monthly readers and onto other blogs within half an hour of being posted.

13 Dec @ 10:58am: The BT Newsroom has promptly responded to my email and said that the complaints department would be in touch soon. Must admit, impressed by speed of reply.

14 Dec: Less than surprised... I've not heard a peep from BT today. Is that going to stop me? Oh no it won't! "Oh yes it will!" Oh no it won't... Oh wait, I'm getting into panto mode here.

20 Dec: We hopefully have resolution. I've been promised yesterday that the funds would be in my account today and the full amount would be refunded. I'll believe it when I see it but here is my follow-up post.]


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