Extractive summaries and key takeaways from the articles carefully curated from TOP TEN BUSINESS MAGAZINES to promote informed business decision-making | Since 2017 | Week 373, November 1-7, 2024 | Archive
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What if Microsoft let OpenAI go free?
The Economist | October 28, 2024
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3 key takeaways from the article
- Since 2019 Microsoft has provided more than $13bn in cash and computing capacity to OpenAI, a once-penniless startup that is now at the forefront of generative artificial intelligence (AI) and, as of its most recent fundraising round, worth $157bn. In exchange, Microsoft has gained the exclusive right to run OpenAI’s models on Azure, its cloud-computing business.
- So far it has been a wildly successful partnership. Funding from Microsoft has helped OpenAI build bigger and better large language models (LLMs). That technology, in turn, has been incorporated into Microsoft’s various software products. The ties between the two have allowed Azure to chip away at the lead of AWS, Amazon’s cloud-computing division.
- Yet OpenAI sometimes chafes at the ties to its wealthy benefactor. Many believe that Microsoft should loosen its grip. They have their eyes on the half of the cloud-computing market still controlled by AWS. Gaining access to that would increase OpenAI’s already dominant position in the provision of LLms, lifting revenues that are expected to be upwards of $3.5bn this year.
(Copyright lies with the publisher)
Topics: Technology, Artificial Intelligence, Open AI, Microsoft, Google, Amazon, Cloud Computing, Regulations, Competition
Click for the extractive summary of the articleCall it a spectacular modern-day version of Renaissance patronage. Since 2019 Microsoft has provided more than $13bn in cash and computing capacity to OpenAI, a once-penniless startup that is now at the forefront of generative artificial intelligence (AI) and, as of its most recent fundraising round, worth $157bn. In exchange, Microsoft has gained the exclusive right to run OpenAI’s models on Azure, its cloud-computing business.
So far it has been a wildly successful partnership. Funding from Microsoft has helped OpenAI build bigger and better large language models (LLMs). That technology, in turn, has been incorporated into Microsoft’s various software products. The ties between the two have allowed Azure to chip away at the lead of AWS, Amazon’s cloud-computing division.
Yet like Michelangelo with the Medicis, OpenAI sometimes chafes at the ties to its wealthy benefactor. Some of its board members and other investors have told The Economist they believe that Microsoft should loosen its grip. They have their eyes on the half of the cloud-computing market still controlled by AWS. Gaining access to that would increase OpenAI’s already dominant position in the provision of LLms, lifting revenues that are expected to be upwards of $3.5bn this year.
Those championing more commercial freedom for OpenAI argue that although Microsoft might resent sharing models with AWS, in the long run its equity stake in OpenAI would mean it would benefit from the model-maker gaining broader market access. Antitrust concerns also bolster the case for giving OpenAI greater independence.
Microsoft has already begun reducing its dependence on OpenAI. Satya Nadella, the tech giant’s boss, was reportedly shocked when Sam Altman, his counterpart at OpenAI, was briefly ousted last November, before being quickly reinstated. Since then Microsoft has been hedging its bets, including by adding LLMs from Mistral, a French AI firm, and others to its line-up and hiring nearly all the staff of Inflection, an OpenAI rival, including its boss, Mustafa Suleyman.
Microsoft and OpenAI are in the process of renegotiating the terms of their relationship as the model-maker changes its corporate structure from a non-profit to a profit-making entity. There may also be a looming sunset clause. OpenAI is believed to have the right to dissolve its commercial ties with Microsoft if its models reach a level of superhuman capability called artificial general intelligence. What that means in practice is subjective, but some AI enthusiasts argue it could be only a few years away.
Amazon, for its part, would be delighted to gain access to OpenAI’s models. But Amazon has neither a big software business where it can demonstrate its AI capabilities nor an LLM whizzy enough to compete with those of OpenAI or Google.
The long-running trend in cloud computing is away from exclusivity towards more open relationships. Like the Medicis, Microsoft may well go down in history for having spotted creative genius early on. But its hold over OpenAI may not last forever.
show lessWho Thinks China’s Not an Economic Powerhouse? China
By Dan Murtaugh et al., | Bloomberg Businessweek | October 2024 Issue
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3 key takeaways from the article
- How can the world’s second-largest economy be simultaneously “developed”—at the cutting edge of science and technology—yet still be officially classed as “developing”—allowed concessions on emissions and access to global funds? A point of contention that will loom over November’s United Nations climate summit in Baku, Azerbaijan.
- China likes to think of itself as a hybrid superpower, a compromise description that serves its diplomatic goals. In climate finance, though, the position is untenable. If a nation is considered developed, it’s expected to pay into a $100 billion-a-year UN pot. Developing nations not only have no such obligation but can also use the money to mitigate the impact of hotter summers and more frequent storms.
- US and European leaders will push China to join their ranks and begin paying up. But Beijing is set on defending its developing-nation status, which allows it to spend formidable amounts of money to advance global climate goals but on its own terms.
(Copyright lies with the publisher)
Topics: Environment, Global Warming, China, USA, Developed Countries, Developing Counties
Click for the extractive summary of the articleHow can the world’s second-largest economy be simultaneously “developed”—at the cutting edge of science and technology—yet still be officially classed as “developing”—allowed concessions on emissions and access to global funds? A point of contention that will loom over November’s United Nations climate summit in Baku, Azerbaijan.
China likes to think of itself as a hybrid superpower, a compromise description that serves its diplomatic goals. In climate finance, though, the position is untenable. If a nation is considered developed, it’s expected to pay into a $100 billion-a-year UN pot. For the US, this meant an estimated $9.5 billion in 2023. Developing nations not only have no such obligation but can also use the money to mitigate the impact of hotter summers and more frequent storms.
US and European leaders will push for the country to join their ranks and begin paying up. But Beijing is set on defending its developing-nation status, which allows it to spend formidable amounts of money to advance global climate goals but on its own terms.
The case for classifying the economic and political powerhouse as developed is compelling. China is the biggest source of greenhouse gas emissions. It has more steel mills and oil refineries than any other nation, an expanding nuclear weapons arsenal and, as Hoekstra noted, a major space exploration program. The US House of Representatives last year voted unanimously that China should no longer be allowed to call itself developing.
The case for China remaining, on paper, as a developing country is no less persuasive, though. Despite steady increases in recent decades, its median income still falls below the threshold for developed countries. While the glittering skylines of megacities such as Shanghai and Shenzhen are home to some of the world’s wealthiest people, the country still has hundreds of millions living below the poverty line. But the real disagreement here isn’t economic—it’s political.
Western nations will struggle to get China to edge toward adding to the global piggy bank. Climate diplomats who’ve spoken to their Beijing counterparts this year have said the country will not shift its position. Instead, Chinese envoys offer commitments that the country won’t draw from the fund, leaving money for poorer countries, and say it will boost its climate financing through other channels. “Instead of putting money into this big pot that it has little control over, it would rather spend the money in a way that it has a lot more say in,” says Yao Zhe, global policy adviser for Greenpeace East Asia in Beijing.
But that leaves China to figure out a way to persuade wealthy nations to raise the funding target—without its help. To get there, Beijing may need to prove it’s paying its fair share in its own way. According to one research China allocated poorer nations about $45 billion of funds that could be strictly defined as climate finance over the decade to 2022. That’s about 6% of the total mobilized by developed economies. On a bi- and multilateral basis, its financing was on par with the UK’s and just behind that of France, Germany, Japan and the US.
It’s true that China also invests heavily overseas in areas that aren’t traditionally considered climate finance but still play a part in the energy transition. Those investments have helped put China on the verge of peak emissions more than half a decade before its own target.
show lessOpenAI brings a new web search tool to ChatGPT
By Melissa Heikkilä | MIT Technology Review | October 31, 2024
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2 key takeaways from the article
- Until now, ChatGPT was mostly restricted to generating answers from its training data, which is current up to October 2023 for GPT-4o, and had limited web search capabilities. Searches about generalized topics will still draw on this information from the model itself, but now ChatGPT will automatically search the web in response to queries about recent information such as sports, stocks, or news of the day, and can deliver rich multi-media results. Users can also manually trigger a web search, but for the most part, the chatbot will make its own decision about when an answer would benefit from information taken from the web.
- But despite the enhanced ability to search the web and cross-check sources, the tool is not immune from the persistent tendency of AI language models to make things up or get it wrong. Another risk is that the current push to access the web through AI search will disrupt the internet’s digital economy. By shielding the web behind an all-knowing chatbot, AI search could deprive creators of the visits and ‘eyeballs’ they need to survive.
(Copyright lies with the publisher)
Topics: Technology and Humans, Artificial Intelligence, Search Engine, Regulations, Competition
Click for the extractive summary of the articleUntil now, ChatGPT was mostly restricted to generating answers from its training data, which is current up to October 2023 for GPT-4o, and had limited web search capabilities. Searches about generalized topics will still draw on this information from the model itself, but now ChatGPT will automatically search the web in response to queries about recent information such as sports, stocks, or news of the day, and can deliver rich multi-media results. Users can also manually trigger a web search, but for the most part, the chatbot will make its own decision about when an answer would benefit from information taken from the web.
While ChatGPT search, as it is known, is initially available to paying customers, OpenAI intends to make it available for free later, even when people are logged out. The company also plans to combine search with its voice features and Canvas, its interactive platform for coding and writing, although these capabilities will not be available in today’s initial launch. OpenAI is the latest tech company to debut an AI-powered search assistant, challenging similar tools from competitors.
These new tools could eventually challenge Google’s 90% market share in online search. AI search is a very important way to draw more users. But it is unlikely to chip away at Google’s search dominance. Microsoft’s high-profile attempt with Bing barely made a dent in the market. Instead, OpenAI is trying to create a new market for more powerful and interactive AI agents, which can take complex actions in the real world. The new search function in ChatGPT is a step toward these agents.
It can also deliver highly contextualized responses that take advantage of chat histories, allowing users to go deeper in a search. Currently, ChatGPT search is able to recall conversation histories and continue the conversation with questions on the same topic.
ChatGPT itself can also remember things about users that it can use later —sometimes it does this automatically, or you can ask it to remember something. Search doesn’t have this yet—a new web search starts from scratch— but it should get this capability in the next couple of quarters. When it does, OpenAI says it will allow it to deliver far more personalized results based on what it knows.
But despite the enhanced ability to search the web and cross-check sources, the tool is not immune from the persistent tendency of AI language models to make things up or get it wrong. Another risk is that the current push to access the web through AI search will disrupt the internet’s digital economy. By shielding the web behind an all-knowing chatbot, AI search could deprive creators of the visits and ‘eyeballs’ they need to survive.
show lessStrategy & Business Model Section
Brittle, Anxious, Nonlinear, and Incomprehensible: Welcome to the ‘BANI’ world
By Raj L. Gupta et al., | Fortune | November 5, 2024
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3 key takeaways from the article
- Welcome to the BANI world—Brittle, Anxious, Nonlinear, and Incomprehensible. This new paradigm has replaced the familiar VUCA (Volatile, Uncertain, Complex, Ambiguous) framework. The shift from VUCA to BANI is evident in three key areas. First, the speed of change has accelerated dramatically. Second, BANI acknowledges the complexity created by the interconnectedness of our global systems. Finally, the emotional impact of change has intensified. BANI highlights the widespread anxiety and polarization of our era, in which responses can accelerate crises.
- Success in the BANI world demands a top-to-bottom transformation of corporate leadership and governance.
- A five-part framework for this radical shift: redefining the Board by recognizing that every seat counts; adaptive leadership – the ability to navigate constant change and ambiguity with agility and resilience; reimagine the C-Suite as a collaborative, cross-functional team to drive agility and innovation; AI Integration; and measure success while taking a more holistic approach that focuses on long-term value creation through three-to-five-year Total Shareholder Return.
(Copyright lies with the publisher)
Topics: Strategy, Business Model, Agility, Resilience
Click for the extractive summary of the articleWelcome to the BANI world—Brittle, Anxious, Nonlinear, and Incomprehensible. This new paradigm has replaced the familiar VUCA (Volatile, Uncertain, Complex, Ambiguous) framework. The shift from VUCA to BANI is evident in three key areas. First, the speed of change has accelerated dramatically. While VUCA acknowledged constant change, BANI recognizes the increased velocity of change. Second, BANI acknowledges the complexity created by the interconnectedness of our global systems. In a deeply intertwined world, risks are nonlinear and contagious in ways that are often unpredictable. Finally, the emotional impact of change has intensified. BANI highlights the widespread anxiety and polarization of our era, in which responses can accelerate crises.
Success in the BANI world demands a top-to-bottom transformation of corporate leadership and governance. A crucial element of this transformation is the need for Boards, CEOs, and C-Suite executives to reassess the composition and responsibilities of their respective roles. We propose a five-part framework for this radical shift.
- Redefining the Board: To provide effective oversight, Boards must recognize the value of every seat at the table. Successfully navigating complex, nonlinear challenges requires a broader definition of diversity to include experiential and cognitive diversity and the goal of true inclusion.
- The New CEO: The ideal CEO profile has changed dramatically in the BANI world. Adaptive leadership – the ability to navigate constant change and ambiguity with agility and resilience – is now paramount. This adaptability must be coupled with technological fluency, not just a surface-level understanding of tech trends, but the ability to leverage that knowledge strategically to drive business growth and innovation.
- Reimagining the C-Suite: The C-suite, once a collection of siloed experts, must be reimagined as a collaborative, cross-functional team to drive agility and innovation. This change requires a focus on cross-pollination of ideas, encouraging executives to work outside their traditional domains and bringing fresh perspectives to challenges. Rapid experimentation should be at the core of C-suite operations, fostering a culture of iterative learning that can keep pace with the nonlinear nature of the BANI world. In addition, data-driven decision-making must become the norm, leveraging AI and analytics for real-time insights.
- AI Integration
- Measuring Success: In tandem with AI integration, organizations must redefine their performance metrics for the BANI world taking a more holistic approach that focuses on long-term value creation through three-to-five-year Total Shareholder Return (TSR) rather than quarterly results. This approach should be complemented by stakeholder capitalism, measuring impact across all stakeholders, not just shareholders.
Connecting for growth: A makeover for your marketing operating model
By Biljana Cvetanovski et al., | McKinsey & Company | October 28, 2024
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3 key takeaways from the article
- Achieving marketing aspirations and goals has become more challenging than ever as capabilities and tech have gotten more sophisticated. Marketing leaders are responsible for traditional marketing functions (such as brand, creative, and consumer insights) and for newer digital channels (such as performance marketing, retail media, and social media marketing). Consequently, the job of growth-marketing leaders has gotten more complex as they increasingly wear multiple hats in their organizations.
- With the world of marketing becoming more expansive and complicated, achieving growth means defining a new holistic marketing operating model. Marketing leaders must deliver across four pillars of marketing excellence. They need to execute a clear marketing strategy with insight-led growth, produce best-in-class efficiency and effectiveness via marketing performance, and champion the latest and highest-impact tech-enabled marketing use cases, all while building a fit-for-purpose operating model.
- To succeed, marketing and growth leaders can focus on three areas: connecting teams through organizational structure, connecting ways of working through governance and culture, and connecting expertise to growth drivers through capabilities.
(Copyright lies with the publisher)
Topics: Strategy, Business Model, Marketing
Click for the extractive summary of the articleAchieving marketing aspirations and goals has become more challenging than ever as capabilities and tech have gotten more sophisticated. Marketing leaders are responsible for traditional marketing functions (such as brand, creative, and consumer insights) and for newer digital channels (such as performance marketing, retail media, and social media marketing). All this is table stakes. Now CMOs’ scope has expanded to include functional topics that span AI, commercial, design, innovation, and product capabilities. Consequently, the job of growth-marketing leaders has gotten more complex as they increasingly wear multiple hats in their organizations.
With the world of marketing becoming more expansive and complicated, achieving growth means defining a new holistic marketing operating model. Such a model encompasses a strong organizational structure, clear processes, and reinvigorated capabilities under the rubric of a clear strategic direction. This model more seamlessly connects the dots across the wide-ranging responsibilities of high-growth marketing leaders.
Marketing leaders must deliver across four pillars of marketing excellence. They need to execute a clear marketing strategy with insight-led growth, produce best-in-class efficiency and effectiveness via marketing performance, and champion the latest and highest-impact tech-enabled marketing use cases, all while building a fit-for-purpose operating model. To succeed, marketing and growth leaders can focus on three areas:
- Connecting teams: Organizational structure. The first imperative for reenergizing and reimagining a marketing operating model is to take a good, hard look at how well a company is organized for growth. To be effective, CMOs need the ability and agility to consistently work across functional silos, build and scale capabilities, share best practices, and set cascading growth objectives. Sometimes, the disjointed nature of an organization can be a challenge. Critical remedies include dismantling barriers to mobilize cross-functional teams for growth, driving strategic priorities cohesively, and developing areas of excellence for new capabilities.
- Connecting ways of working: Governance and culture. The second imperative for a new marketing operating model is to define clear governance that helps an organization pivot quickly and adapt to a changing consumer landscape in an agile way. CMOs can pave the path by shaping the right governance and culture to encourage entrepreneurialism for growth.
- Connecting expertise to growth drivers: Capabilities. To achieve companies’ growth agendas, marketing leaders must make bold, meaningful investments in growth capabilities. This includes existing but potentially underdeveloped areas, such as creativity, as well as analytics and data. It also includes cutting-edge capabilities, such as gen AI. Partnerships and outsourcing of specialist capabilities also remain crucial, as does balancing new and existing capabilities.
Design Products That Won’t Become Obsolete
By Vijay Govindarajan et al., | Harvard Business Review Magazine | November–December 2024
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3 key takeaways from the article
- Many commercial offerings today can change and expand to suit users’ evolving needs. Such products offer enormous potential to companies and their customers.
- Such products have been helping customers overcome seven challenges: age-related developments, age-related challenges congenital limitations, desire for novelty, shifting learning needs, technological evolution, and shifting performance needs. Companies can meet those challenges in four distinct ways: configurable hardware, preconfigured software, updatable hardware, and updatable software. Across these categories of products, there are several ways companies can separate themselves from the competition: increased engagement, flexible market response, continual innovation, and positive social impact.
- Several pricing and business models for adaptable products can help companies grow the value pie and share it with their customers. These are: charging premium pricing, charging for upgrades, positioning products as services, offering complementary products, providing complementary services, monetizing maintenance, establishing brand communities, and providing resale and modification services.
(Copyright lies with the publisher)
Topics: Strategy, Business Model, Marketing, Product, Sustainability
Click for the extractive summary of the articleMany commercial offerings today can change and expand to suit users’ evolving needs. Such products offer enormous potential to companies and their customers. Their ability to evolve can greatly extend their useful life, eliminating or postponing the need for replacements and allowing users to become more familiar with them, two factors that increase customer value.
Building a product that grows isn’t always as easy as updating software, however. Knowing what consumers want today can be difficult; now companies will have to predict what customers will want five or 10 years from now. That will require firms to rethink how they develop and design new products. And because adaptable products may be harder to build or repair than traditional ones, companies will need to figure out how to avoid driving up the total cost of ownership. Despite those concerns, it is believed that products that grow will serve businesses well.
The authors’ study of the market for adaptable products, which looked at more than 150 products from a wide variety of industries, reveals that they’ve been helping customers overcome seven challenges, including some they’ve been addressing for decades: age-related developments, age-related challenges congenital limitations, desire for novelty, customers often lose interest in products that stay the same, shifting learning needs, technological evolution, and shifting performance needs.
Companies can meet those challenges in four distinct ways. The approach that works best for your company will depend on your industry expertise, the new product, and your technical acumen.
- Configurable hardware. Some products have hardware that can be adjusted to users’ needs.
- Preconfigured software. Some products learn from and adapt to the user to improve her experience as her knowledge of them evolves.
- Updatable hardware. These products are designed for customization and repair.
- Updatable software. Unlike preconfigured software, some software receives constant updates that enhance products over time.
Across these categories of products, there are several ways companies can separate themselves from the competition:
- Increased engagement. A product that grows allows a company to forge valuable longer-term connections with customers. With both digital and analog products, the company can involve customers throughout the product life cycle, bringing them into the product development process and regularly probing them for insights into new opportunities rather than just gathering their feedback on existing products.
- Flexible market response. Products that grow allow companies to react quickly to changing market demands and evolving consumer preferences. The strategic integration of adaptable features can also help companies attract new customers without undertaking a product overhaul.
- Continual innovation. Unlike products with static designs, products that grow may require regular improvement even after they reach the hands of customers.
- Positive social impact. The longer life of products that grow shrinks their environmental footprint.
Several pricing and business models for adaptable products can help companies grow the value pie and share it with their customers. These are: charging premium pricing, charging for upgrades, positioning products as services, offering complementary products, providing complementary services, monetizing maintenance, establishing brand communities, and providing resale and modification services.
show lessPersonal Development, Leading & Managing Section
Building Mastery: What Leaders Do That Helps — or Impedes
By Lynda Gratton | MIT Sloan Management Review | October 29, 2024
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3 key takeaways from the article
- This is a time when we are all asking how best to prepare for a long working life. With expanded life expectancies and fast-paced technological development, this is a necessity.
- However, to make this highly adaptive and flexible model work, there must be strong threads running through a person’s life that bring stability to their working experiences and working identities. One such thread is mastery — the capacity to create a deep body of knowledge and skills, in the way that craftspeople master their crafts. The foundation of this kind of command is micro skills — those skills that we each build that together add up to a capability and whose combination is valuable and unique.
- Five takeaways are important based on a research: mastery is an idea whose time has come again; mastery is still built through observation, repetition, and feedback; demonstrating mastery to others is a challenge; companies don’t always step up to support mastery; and GenAI is seen as a partner rather than a threat.
(Copyright lies with the publisher)
Topics: Leadership, Learning, Skills, Training, Lifetime Career
Click for the extractive summary of the articleThis is a time when we are all asking how best to prepare for a long working life. With expanded life expectancies and fast-paced technological development, this is a necessity. The idea here is that rather than taking the straight path of full-time education, full-time work, and then full-time retirement, every individual creates their own individualized sequence of stages. However, in thinking through this idea and seeing it play out in careers and communities throughout the world, it’s clear that to make this highly adaptive and flexible model work, there must be strong threads running through a person’s life that bring stability to their working experiences and working identities.
Over the past two years, the author’s research and observations have been about these strong threads. One such thread is mastery — the capacity to create a deep body of knowledge and skills, in the way that craftspeople master their crafts. The foundation of this kind of command is what the author calls micro skills — those skills that we each build that together add up to a capability and whose combination is valuable and unique. Over the period of a working life, areas of mastery are explored and added to — in part through the recombination of existing micro skills and the addition of new ones. The following five takeaways emerged from one of the session she did along with her team with 96 attendees from 23 countries who represented over 23 organizations from the higher education, HR practices, oil and gas, management consulting, and legal sectors.
- Mastery is an idea whose time has come again. Current domains of expertise cited included project management, negotiation, coaching, managing a complex team, strategic thinking, and stakeholder management. When looking forward and describing future areas for development, many said that mastery would come from the human-plus-machine interface. Many specifically referred to mastery built with AI.
- Mastery is still built through observation, repetition, and feedback. The answer from the attendees reveals that what worked for the glassblowers in medieval Venice still works today i.e., advancement through three stages: apprentice, journeyman, and master. Online learning, which we have put such store in, failed to be seen as a significant development option in building deep proficiency, if we can trust the feedback of the small attendees.
- Demonstrating mastery to others is a challenge. Walk around the glassblowing shops in Venice, and it’s clear who is the apprentice and who is the master. But how does a master demonstrate their work and burnish their reputation when there isn’t a way to certify their qualifications? Comments included “sharing case studies of my work,” “LinkedIn,” “testimonials,” and “being exemplary.” Some made comments along the lines that they hoped that if they did good work, then their network and connections would do the rest. Others simply said, “I don’t.” It’s not easy to do.
- Companies don’t always step up to support mastery. Mastery can take decades to really develop. Lack of organizational support has emerged as the main tension when it comes to developing mastery.
- GenAI is seen as a partner rather than a threat. The arena how AI could help or hinder is quite cloudy, So it’s no surprise that when asked, “What is your attitude to AI and your own mastery?” nearly half of webinar attendees — 44% — responded, “I don’t know.” Still, of those who had a point of view, 36% agreed that AI “could really help me develop mastery.” Only 11% said they were “worried it will speed up work and reduce my practice time,” and just 9% were “concerned it will stop me learning.”
Yes, we do want to build mastery, and, yes, we have a sense of the role of practice, learning from masters, and feedback. That puts the role of the leader at center stage: to be seen as actively developing high levels of expertise and skills for themselves while giving others the space and connections to develop their own mastery.
show less17 Tips To Craft Irresistible B2B Marketing Emails
By Expert Panel | Forbes Magazine | November 7, 2024
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2 key takeaways from the article
- In the crowded space of B2B marketing, your emails need to stand out to avoid being overlooked or deleted immediately. But how do you ensure your message gets the attention it deserves?
- Here, 17 Forbes Business Development Council members share insights on what makes a marketing email impossible to ignore: tailor your message to the recipient’s role and objectives; leverage a mutual connection, if possible; add a personalized subject line; address your readers’ specific needs; provide value with unique and data-driven insight; show concrete benefits in the subject line; highlight a relevant industry trend or surprising statistic; quickly articulate the problem you’re going to solve; demonstrate understanding of your audience’s unique challenges; get to your value proposition quickly and succinctly; consider adopting a casual and authentic tone; follow a formula for memorable, readable emails; present key facts or a comparative analysis of competitors; reference your recipient’s content or social media; leverage persona-level targeting and customization; focus on how a consumer might feel successful when using your product; and consider using a subject line tool.
(Copyright lies with the publisher)
Topics: Marketing, Communication, Personalization, email
Click for the extractive summary of the articleIn the crowded space of B2B marketing, your emails need to stand out to avoid being overlooked or deleted immediately. But how do you ensure your message gets the attention it deserves? Here, 17 Forbes Business Development Council members share insights on what makes a marketing email impossible to ignore. These practical tips can help you create emails that not only grab your audience’s attention but also entice them to keep reading.
- Tailor Your Message To The Recipient’s Role And Objectives. A B2B marketing email should be tailored to me, my role and my objectives, but to make it compelling, it has to also tie in some event or issue that could impact my business. Tailored solutions with an event and deadline will make the message compelling.
- Leverage A Mutual Connection, If Possible. Marketing emails can be more compelling when referred or endorsed by a mutual connection. Similar to job referrals, a mutual connection can add credibility to the email and prompt the recipient to address it in a timely manner.
- Add A Personalized Subject Line. A personalized subject line is one feature that would catch my eye in a B2B marketing email. It shows that the sender has done their homework and is offering something specifically relevant to me, increasing the likelihood that I’ll read it through.
- Address Your Readers’ Specific Needs. A straightforward, clear and personalized message catches attention. When an email addresses the recipient’s specific needs and delivers a tailored, direct message, it cuts through the clutter.
- Provide Value With Unique And Data-Driven Insight. For example: “Our recent study shows a 30% increase in ROI for companies using our solution.” This immediately provides value and piques the reader’s interest in learning more.
- Show Concrete Benefits In The Subject Line. Have a strong, attention-grabbing subject line that clearly conveys the value or benefit of the email’s content.
- Highlight A Relevant Industry Trend Or Surprising Statistic. An impactful subject line that highlights a relevant industry trend or surprising statistic is crucial. If the headline hints at solving a pressing issue or offering valuable data, it grabs reader’s attention and drives him/her to read more.
- Quickly Articulate The Problem You’re Going To Solve. Making the conversation “real”—by addressing the problem to be solved head-on—goes a long way.
- Demonstrate Understanding Of Your Audience’s Unique Challenges. A feature that would captivate attention in a marketing email is a meticulously crafted, personalized introduction addressing the audience’s unique business challenges.
- Get To Your Value Proposition Quickly And Succinctly. There needs to be a clear statement upfront on what they would gain by going through the email and how the content or offering is relevant for their business and their customers.
- Consider Adopting A Casual And Authentic Tone. What really could catch a reader’s eye in a marketing email is when it talks to him/her like a friend would—just casual and real. It draws the rader in because it feels authentic. It’s like someone’s actually talking to the reader, not just trying to sell something.
- Follow A Formula For Memorable, Readable Emails. Have one head message, one paragraph and a one-minute readable within three sentences, as well as three sizes of fonts and three highlighting colors maximum. For the successful B2B marketer, it’s essential to make an impact with email marketing to convince and lure customers to click. Additionally, they should follow the marketing storytelling strategy. In particular, long sentences without bullet points make the email pointless and spam.
The others are:
Present Key Facts Or A Comparative Analysis Of Competitors
Reference Your Recipient’s Content Or Social Media
Leverage Persona-Level Targeting And Customization
Focus On How A Consumer Might Feel Successful When Using Your Product
Consider Using A Subject Line Tool
show lessEntrepreneurship Section
5 Things Entrepreneurs Can Learn From the Harris and Trump Election Campaigns
Written by Elizabeth Gore | Inc Magazine | November 6, 2024
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2 key takeaways from the article
- The Kamala Harris campaign has raised a record $1 billion in just three months. Can you imagine pulling that off in your next venture round, and that fast? The Trump campaign kept consistently raising money through his loss and four years of civilian life to the tune of $371.9 million between January 2023 and September 30, 2024. Could you bring that kind of funding to your company if you fail at a major milestone?
- Five areas to replicate for the entrepreneurs: keep the message simple, use influencers, along with digital reach deeper into your community with your products physically (direct sale/message), keep your product messaging consistent, and make sure that a day doesn’t go by without a message going out about how awesome your company is.
(Copyright lies with the publisher)
Topics: Startup, Entrepreneurship, Marketing, Consistency, Advertising, Promotion
Click for the extractive summary of the articleThe Kamala Harris campaign has raised a record $1 billion in just three months. Can you imagine pulling that off in your next venture round, and that fast? The Trump campaign kept consistently raising money through his loss and four years of civilian life to the tune of $371.9 million between January 2023 and September 30, 2024. Could you bring that kind of funding to your company if you fail at a major milestone? There are also record sales of branded merchandise for both parties sold through social media, TV, and snail mail—from pocket knives to bibles to tennis shoes. So what can you glean from the Harris and Trump campaigns for your business? Here are five areas to replicate:
- Simple messaging. Have you noticed how simple both campaigns’ messaging and slogans are? Harris’s one word: freedom. Trump’s: MAGA. They also have utilized some word choices over and over. For Harris: weird, joy, prosecutor. For Trump: America, great, winning. It is said that most Americans’ comfort level is reading at an eighth-grade pace. This means simplicity, repetition, and common words. When you read billboards or see commercials, these same principles stand. In marketing your product, follow these tactics so customers understand quickly and simply what you do, what you are selling, or who you are. Remember: KISS (keep it simple, stupid).
- Use of influencers. Both campaigns have used third-party endorsers to promote their candidacy, from Oprah to Kid Rock to former presidents. They have social-media influencers getting out the vote on TikTok, Snapchat, and Instagram. Podcasts have also been a major tool. Our trust level is higher with people we already follow or feel local to us. We will sometimes believe and trust what they say more than the candidates themselves. Who is helping you market your products? Get testimonials from individuals with large followings, as well as your everyday customers. Push testimonials out often, and ask others to share your messaging. Make sure you are using social media and related tools to sell your goods on these platforms.
- Ground game. How much snail mail have you received about local and federal elections? How about yard signs in your neighborhood, or someone knocking on your door to say why they support a candidate? Do you know why? It still works. Snail mail, local conversations, and seeing who your neighbors are supporting sways your opinion. Before you go digital-only, think about how to reach deeper into your community with your products.
- Consistency. Candidates use the same messaging over and over and over. You will hear patterned points that are made in every speech. Their TV commercials will echo those song sheets. It generally takes us hearing something seven times before it sinks in. Keep your product messaging consistent in all advertising and marketing. Also, encourage your employees to talk about your company in the same way. If your customers were asked to describe your company, would they all say the same thing?
- Momentum. Have you seen the candidates crisscrossing the country, not letting a day or even an hour go by without a push for their candidacy? You will see them and their spokespeople promoting all the way until the polls close. Take advantage of blitzes in your business. Use holiday momentum, back-to-school season, and surges in the economy to increase receipts. Don’t ever slow down, and make sure that a day doesn’t go by without a message going out about how awesome your company is.
How to Build a High-Converting Landing Page — The Design Tips and Best Practices You Need to Know
By Alex Quin | Edited by Chelsea Brown | Entrepreneur Magazine | November 6, 2024
Extractive Summary of the Article | Listen
2 key takeaways from the article
- Designing a high-converting landing page can enhance your conversion rate by up to 300%. The key elements of a high-converting landing page include a hero image or video, a unique selling proposition and an effective, strategically placed call to action.
- To further boost conversion rates, you should optimize lead magnets, build trust and credibility through social proof and ensure the landing page is mobile-friendly. It’s also important to utilize A/B testing and continuously refine your landing page to meet your audience’s preferences.
(Copyright lies with the publisher)
Topics: Marketing, Online Storefront, Content Marketing, Website Development
Click for the extractive summary of the articleDid you know that when a landing page is designed properly, it can help to enhance your conversion rate by as much as 300%? Landing pages are responsible for converting visitors into customers, and this is why they are a very important element in the marketing mix. Some of the most important and effective recommendations for creating conversion-focused landing pages are:
- Key elements of a high-converting landing page. Three considerations are important hero image or video, unique selling proposition and call to actions. Humans are inherently visual creatures, and we gravitate towards visuals because they play a crucial role in effectively conveying key messages. A hero image or hero video is the first thing a visitor notices when they are on your landing page, and it helps to create the first impression. When creating one, select high-quality images or professionally produced videos that are relevant to your product or service offering in order to avoid misleading the audience. Choose pictures that will make your audience react in a way that you want them to. Second, marketing statistics reveal that landing pages that have a clear USP are 220% more effective than the ones that are without one. A good unique selling proposition (USP) provides the clients with information on what makes your product or service different from the rest. It is very important that it grabs the attention of the visitors and makes them stay for more information. A USP should be brief but clearly state your product’s benefits and what sets it apart from the rest. Finally, a call to action (CTA) is one of the most important parts of your landing page, and it directs the visitors to perform the intended action. But for it to be effective, it should be placed in strategic locations and have a design that makes it easily noticeable. A good rule of thumb is to place the CTA at the top of the page so that it is easily seen without scrolling down. It is also possible to add more CTAs in other areas of the page, like after highlighting the benefits or after a testimonial.
- Lead magnet design and optimization. It is important to strike a balance between the number of form fields you have to ensure that your visitor’s interest is not lost. Fewer fields result in higher conversion rates, which is why it is recommended to create 3-5 fields. Organize form fields in a sequence that helps the user complete the form smoothly, and position forms where they will not require scrolling to be seen. An effective form must be pleasing to the eye, efficient and easy to complete. Design elements can greatly improve your form’s usability and completion rates. Maintaining the page’s clean look, using contrasting colors for the form and the submit button and making sure that the form is easily accessible can significantly increase conversion rates.
- Enhancing trust and credibility. Trust is a crucial factor when it comes to conversion. In fact, data reveals that consumers who read testimonials are 58% more likely to make a purchase. Testimonials and certifications can add a lot to credibility if included in your landing page. It would also help if you placed customer reviews and feedback in strategic positions to give visitors insight into how other users have benefited from your services or products. Making offer details and policies clear and transparent also increase trust and eliminates barriers.
- Optimizing for mobile and speed. Adopting a mobile-first approach guarantees that your website is easily accessible from all devices, which is essential for avoiding high bounce rates and keeping the audiences engaged. Similarly, the time it takes to load your landing page is crucial in determining conversion rates. To boost speed, images must be optimized and not large; large files should be avoided. Clean code should be used, and you should partner with a fast and reliable web host.
- A/B testing and ongoing optimization. Understanding what resonates with your audience is crucial, and that’s why A/B testing is essential. A/B testing involves experimenting with different elements of your landing page, such as headlines, images, calls to action (CTAs) and layouts, to identify what works best. When you optimize all these components, you can tailor the landing page to meet your audience’s preferences, ultimately enhancing conversion rates. Quick load times are always a bonus and reduce the likelihood of users leaving the page due to slow loading.
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