Category Archives: Reality checks

September 28, 2015 · 11:28 am

AV Gee Whiz…

If you own a Windows computer, chances are you’ve installed some sort of anti-virus program.  At least I hope you have.  One of the more popular programs of this sort is AVG Anti-virus.  I have it on my old Windows machine and I’ve installed it on my parents’ laptop.  AVG recently updated their privacy policy and it’s caused a bit of a fracas.  It also raises some important issues for the rest of us. 

Let me say at the outset that the manner in which AVG presents their new policy should be a model for the rest of us.  You can (and should) read it here.  It is clear, written in plain language that doesn’t require the reader to be either a lawyer or a technical person. Not only do they explain what data they are collecting but also why they are collecting it.  I bet you can’t find another privacy policy that does so as well as this one does.

So what has happened as a result of AVG trying to be good corporate citizens?  They are getting reamed.  There have been many negative articles and thousands of negative posts written (this thread on reddit is particularly nasty).  You see, AVG made one large change in the policy, which is that it now involves keeping the browsing history of its users and selling the data to third parties.  They actually were collecting most of this data before except there was no mention of selling it to anyone for commercial purposes.

The PC World piece on the controversy summed it up nicely:

AVG’s new policy illustrates exactly why companies tend to drown their data collection practices in legalese. There’s no penalty for doing so, and being transparent only invites more outrage. In that sense, AVG at least deserves credit for helping users make informed decisions. Still, the idea of an anti-virus program tracking and monetizing your browsing history is unnerving, and if anything AVG ought to clarify that point further as it finalizes its new privacy policy.

So I’m at a loss here.  Is it a better idea to confuse your customers?  Is it good practice to be a little less transparent?  I don’t think either of those are true.  Are we all still so naive that we believe all the tracking information companies gather about our every move (and this is true about your mobile device usage too!) is just for their own information so that they can make our user experiences better?  Sure, AVG makes it possible to opt out of some of this, but do we really think most people will read the new policy and do so?

I guess the real question becomes is honesty still the best policy?  What’s your take?

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Filed under Huh?, Reality checks

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September 18, 2015 · 10:45 am

The $1,500 Sandwich

I can’t think of anything more appropriate for our Foodie Friday fun this week than the tale of the $1,500 chicken sandwich. Did you hear about this? As reported in Consumerist (and a number of other places):

A DQ Crispy Chicken sandwich

 (Photo credit: Wikipedia)

Andy George of the “How to Make Everything” YouTube channel posted a video about his efforts to make all of the ingredients he’d need for his entirely homemade sandwich, including: growing his own vegetables and pickling his own pickles, making salt from ocean water, milking a cow to make cheese and butter, harvesting wheat and then grinding it to make his own flour, collecting honey and yes, killing a chicken himself. So how was the ultimate homemade sandwich? Eh.

You can watch the entire video here.  I look at this story as the absolute reason we’re in business: to provide value.  After all, chicken sandwiches aren’t typically sold for $1,500, nor do they require you to think ahead six months when you decide to have one.  Instead, there are businesses performing each step – making salt, baking bread, etc. – and adding the values of quality and time so we don’t have to.

That’s really the question each of us needs to answer: how am I providing value to my customer?  How is what I am giving them in return for the money they’re giving me more valuable to them than doing it themselves?  Of course, one wouldn’t expect consumers to, say, build their own cars.  That’s way more complicated than a chicken sandwich, after all.  Then question then becomes how am I providing a better value to my customer than anyone else trying to solve the same problem for them.

We sometimes hear people (generally, unhappy people) muttering “if you want something done right you need to do it yourself” to themselves.  Our job is to convince them that expression is wrong.  When $1,500 chicken sandwiches become an attractive option, we’re all in trouble!

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September 15, 2015 · 12:15 pm

Undefeated But Beaten

Over the weekend, Floyd Mayweather fought what he claimed would be his last fight. Whether or not you know boxing, there is something instructive in what Mayweather has done. Unfortunately, it’s not about being great. Mayweather is retiring with an unblemished record in the ring: 49-0. This ties Rocky Marciano‘s unbeaten record, but there is a huge difference between the two. That difference makes a great business point as well.

English: Floyd Mayweather, Jr. vs. Juan Manuel...

(Photo credit: Wikipedia)

For the last few years, Mayweather was fighting what are called in boxing “tomato cans.”  Boxers either of far lesser skill or once great boxers past their prime.  He has done so with one notion in mind: not to lose and keep his record clean.  In so doing he can do something greats such as Muhammad Ali and Sugar Ray Leonard couldn’t: retire unbeaten.  That record, though, is criticized for how he hand-picked his opponents rather than fighting the best opponents available, something other great fighters rarely did.  He was more focused on not losing than on beating the best. It’s a shame, and that’s the business point.

No one likes to lose.  That said, what kind of victory is it when we know we’re not being pushed to be our best?  In my mind, the lessons one learns from a tough loss are more important than those learned from an easy victory, mostly because in the unsatisfying walkover there really aren’t any lessons to be learned.  That’s not to say we need to accept losing, but it does mean that we can’t compromise our greatness to avoid the possibility.  The best business lessons often come when we’re on the short end of a decision, and we need to embrace the value of those losses even as we hate losing itself.

I suspect that Mayweather will fight again.  His main focus has always been on making more money in the ring than any fighter in history (something he’s already accomplished) and he’ll win the fight easily because his opponent will be a joke (this last one lost his last three fights previous to fighting Mayweather).  His bank account will shine; his reputation will be further tarnished.  Unlike Marciano who fought everyone both good and bad in his weight class, Mayweather may be undefeated but he’s been beaten, in my book.  Yours?

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