Tomi I Ahonen is blind–and wrong!

by Neicole on January 4, 2010

in Uncategorized

Well, this certainly wasn’t what I had planned for my first blog post of the new decade, but…Yesterday, I RTed Mark Jaffe’s post. This post was in keeping with some of the other thinking Mark’s done, and I liked what it had to say.

I was surprised later to see a rude tweet appear in my @ list:

tomiahonen Ridiculous clueless article!!! by RT @markjaffe @neicolec “The Mobile Kings Will Lose Their Reign In 2010″ http://bit.ly/6sDxB4

I responded to @tomiahonen, and we had a nice tet-a-tet in 140ct. That being not the best venue for such a discussion, I decided to move it to my blog. 

I’d never heard of Tomi I Ahonen before. Researching him, he is indeed a prolific author and seems to be well-respected in the community. He tweeted that he’d been up for many hours and was very tired, so I’m trying to give him the benefit of the doubt and assume that his rude tweets were a result of that. As far as I can tell, that tiredness  also caused him to fail to closely read Mark’s blog. (Hence the “blind” part of this post’s title.)

Tomi (in his tweets) completely misrepresented what Mark said. That’s unfortunate, because someone who is so well-respected and has such a large following should be especially careful and sure of themselves when they malign the name of others.

In my (and perhaps Mark’s) defense, here’s my rebuttal to you, Tomi:

First, I took Mark’s post to be talking about the US market, though it’s true that he didn’t explicitly say he was talking about the U.S.  As you pointed out in your tweet, the USA market is a “laggard,” so some of what he says may not apply internationally. Second, we should be clear here: I’ve never called myself an expert in mobile, though your tweets implied that. Third, although his post title suggests these events happening in 2010, the details don’t predict all of this occurring in 2010. If you didn’t read it closely, you might have missed that, though.

Point 1:

Your tweet:

tomiahonen Sorry RT @markjaffe @neicolec – no, in 2010, even in the US, the Google phone will not somehow end up as dumb pipes. Won’t happen. No way

I absolutely admit I know very little about this aspect of the business. I haven’t read much about this. But Mark’s post didn’t say this was going to happen. He didn’t say the carriers (or Google) were going to be a dumb pipe, he said that’s a prediction we’ve heard for a while. “We have heard this one for a while – the carriers will soon be a dumb pipe, and a commodity at best, if they don’t respond quickly to the changing forces in the mobile industry.”

The post then says that Google could discount their phones, and If this comes to pass, the carriers may potentially no longer have control over the distribution of new handsets and may have to completely reassess their revenue streams to a model less dependent upon control and power.”

He’s not predicting this will happen, he’s saying it’s a possibility. From what I’ve read, I don’t see any flaw in his logic. Again, I’m not an expert on this, but it seems possible, if Google really decided to take that gamble. Whether they would or not, is questionable, and probably unlikely.

 Related articles (http://www.pcmag.com/article2/0,2817,2357131,00.aspand http://www.csmonitor.com/Money/new-economy/2009/1214/Could-a-new-Google-phone-the-Nexus-One-challenge-mobile-service-contracts).

Point 2:

Your tweets:  

tomiahonen Sorry RT @markjaffe @neicolec – sorry. as to 2nd prediction, Google may grow strong but again, NO WAY will become bigger than iPhone apps

tomiahonen @neicolec there is no way no way no way in any kind of conditions, that Google will be selling more in their apps stores than Apple in 2010

Again, in your tweets, you misrepresented Mark’s post. He didn’t say that Google’s app store was going to surpass Apple’s. It doesn’t say that anywhere in his post.  He said “Once again, the king may have to figure out another way to conduct business so that the current successful model of superiority and lack of competition is replaced by a market-based model of competitive advantage.”

He simply pointed out that Apple will now have competition andwill need to work to provide competitive advantages. In our tweet exchange, you tweeted to me about other competing smartphones, which only support what Mark is saying. The market is maturing. Apple hasn’t had any real competition in the US. The Droid has enough hype that it really is competing. When you have competition in a market where you’vehad none, your business model necessarily has to change. That’s all Mark pointed out.

Point 3:

Your tweets:  

tomiahonen Sorry RT @markjaffe @neicolec- and the third prediciton, most outrageous – SMS to end? for your idiotic reasons? U call yourself expert?

tomiahonen @neicolec so he doesn’t say what these are, even, but the ‘more interesting messaging’ will now in 1 year grow to be BIGGER than SMS? yeah..

Again, Mark’s post didn’t say SMS was going to end. And nowhere did it say that that these more interesting messaging methods will grow BIGGER than SMS in 2010.  The post said messaging was going to change and continue to shift to more interesting formats, “In 2010, the floodgates will open…” Mark is not alone in saying that.

The post also reads, “Furthermore, many brands have now begun to build their opted-in mobile lists and are ready to deploy more interesting messaging technologies that are better suited to excite and engage their audiences than simple SMS text.” He rightly says that the broadcast model doesn’t work effectively, as that’s not what mobile phone users want. In our Twitter discussion, you agreed with that:

tomiahonen @neicolec but I agree with you future is smart mobile ads. All must be opt in. All must be not just interactive but engagement. Then love it

 and

tomiahonen @neicolecall the big authors of explicitly mobile ad books by the biggest experts, say mobile is new medium, different from web, dont copy

That’s exactly what Mark said in his post and has said in previous posts. If you agree with him, then why are you lambasting him?

Mark’s post said “Secondly, because with an opted-in list, brands can…and their opted-in audience expects them to… provide messaging that is targeted, interesting and engaging, or they will opt-out. The kingdom of agencies, ad networks and other ecosystem members who make a living from mobile advertising, need to readjust their models to benefit from these SMS messaging trends.”

Again, his point was simply that we are quickly moving (in the US) to better methods of marketing/advertising to users, and that those doing traditional mobile advertising and broadcast SMS will need to adapt to those better strategies.

The experts that you pointed me to in your tweets say the same thing. Kim Dushinski, one of the people you directed me to in your tweets, specifically references communication, engagement, and relevance as important factors in mobile marketing. That’s exactly what I took Mark to be talking about. 

Alan Moore, your coauthor, also said about a survey of 1500 under 20 year olds in the UK by Q Research in 2007 (old data):

“If asked simply would they be willing to receive ads on the phone, 68% said no.

But if the question is changed to offer “targeted ads” it jumps to 71% willing to accept! If the proposition involves coupons and discounts, 76% say yes.”

Other experts and studies agree that straight, broadcast SMS and standard banner ads aren’t going to cut it. It’s the opt-in, relevant, and valuable messaging that Mark was talking about which will cut it. So, the experts you referenced in your tweets are making the same point that Mark was making:  mobile advertisers and agencies in the U.S. need to use new, personalized, targeted, and engaging models with opt-in as a core component–not old-style broadcasting.

Tomi, next time, I suggest you actually read the post you’re dissing. And try to find a better way to sell your books than maligning other people.

{ 8 comments… read them below or add one }

markwschaefer January 5, 2010 at 5:46 am

Disclosure: I don;t know of any of these folks. I have seen the same behavior over at my blog. Some folks have a tendency to scan a post (at best) make an assumption abuot the content and then try to rip the logic to shreds. They of course end up mkaing themselves look like fools.

I wonder the broader implications of this. We are already in information overload, it’s just going to get worse — what are the implications for how we read and what we read?

Neicole January 5, 2010 at 12:07 pm

Interesting that you should bring that up, Mark. The topic that I planned on posting this week is about exactly that. Will probably post it later in the week.

Tomi Ahonen January 5, 2010 at 12:24 pm

Hi Neicole and readers of your blog

Thanks for blogging about our chat on Twitter yesterday. I appreciate the post and acknowledge you have done a fair representation of what we discussed and also appreciate the effort you went to to copy excerpts etc.

Now. To the original postings I made on Twitter, on Mark Jaffe’s article at the Mobile Marketing Watch. His article is clearly entitled “The Mobile Kings Will Lose Their Reigns in 2010″. It was not entitled ‘the kings will start to get some rivals’ or something like that. Clearly ‘kings’ to ‘lose their reigns in 2010′. That means – literally yes, I am taking this written commentary literally – literally in 2010.

If you now want to say, that Mark Jaffe posted that title but didn’t mean it, then you win. I have nothing more to say. But three kings he identified in the article – Carriers, Apps Stores and SMS ads – he said ‘lose their reigns in 2010′ and that means – they no longer are on top on December 31, 2010.

Now, it appears Mark Jaffe runs a consultancy that specializes in ‘breaking through to the next level’ as he says on his website. That is well in line with his provocative article title, suggesting that new champions will take the reign during 2010. He even suggests several of them but not all and not very clearly.

In his article he talks of Google’s ‘ad funded’ phones somehow usurping current US carrier phone sales models (with subsidies and 2 year annual contracts). This is the first king to go (carrier subsidised phones) and Google to be the suggested new king.

Then he suggests that Google’s app store will overtake the ‘king of kings’ of the Apple App Store – not stated explicitly, but implied if ‘three kings lose reign’ and Apple App Store is listed as ‘king of kings’ and Jaffe specifies that Google is doubling its sales within months already in 2009. What else can the reader expect, than that the king to lose its reign is this Apple App Store and during 2010 the only suggested replacement is Google app store?

And of the third king, SMS messaging based ads, Jaffe lists only what he calls ‘more interesting messaging technologies’ but does not even list them. He even says these are not yet deployed in 2009 but are ‘ready to deploy’. And yet this third king should succumb to these p0tential new rival messaging solutions during 2010.

Well. These three kings will not be deposed in 2010 and I said so in my first tweets. I think it is irresponsible to pose as an expert, write for a respected mobile industry publication like Mobile Marketing Watch and make such outrageous suggestions. And it shows a total lack of understanding of the mobile telecoms industry whether for the world or for the USA to suggest that Google ‘ad funded’ phones would obliterate the carrier subsidised phones market – this means that Americans would have to start to pay 600 dollars for iPhones for exmple rather than 200, won’t happen in a year.

Similarly the numbers are totally astronomically unfeasible for Google app store to bypass Apple app store, either globally, or in USA in one year. Astronomical scale involved. And of these mysterious new messaging services to overhaul SMS as ad channel during 2010 – won’t happen.

His article was completely wrong. He promised 3 kings to be disposed. He promised that in 2010. He said they were carrier cellphone handset sales, Apple app store and SMS ads. None of that will happen in 2010 nor in 2011. It is a long shot for 2012-2015 time scale under the best of odds.

If he wrote realistically and we would disagree about the future, I’d be happy to let the matter be. Who knows, its forecasting. But his three predictions are all totally beyond reason for 2010.

On Twitter yesterday I did take each of these 3 items individually and Twittered on each of the three, to my best ability, to show each of the three ‘kings’ are ’safe’ during 2010. Incidentially I would not bother to mention a given random ’single’ error of a given article, almost any mobile telecoms article has some errors. But he talked of ‘three’ kings and each of those three parts to his story were totally wrong. Not partially wrong, where this is potentially feasible, or part of that might happen in 2010. Totally wrong, so much so, it is totally impossible even for 2011 – even if you double his time scale for giving him 100% error margin – it still won’t happen to ANY of the three kings.

If I was not perfectly clear, I apologize. If you or your readers feel I was rude, I am sorry for that, I don’t like to be thought of as rude.

But Jaffe was totally wrong on all 3 counts. This was one of the most incompetent articles I have read in my long career in telecoms. These 3 kings will continue to reign in 2010 I can promise you that with all possible credibility my Oxford lecturing, my nine published books etc can muster. More than that, should it happen that one of these 3 kings somehow be deposed in 2010, I will be most happy to write into my next book in 2011 to acknowledge you Neicole and Mr Jaffe,and write that I was wrong in January 2010 and you two were right.

I kind of doubt Jaffe would be writing in his next book that Tomi Ahonen was right and he was wrong in each of his three predicitions for 2010.

Fair?

Tomi Ahonen
http://www.tomiahonen.com

Neicole January 5, 2010 at 3:00 pm

Fair enough, Tomi. I think the difference is that I did not take his title literally. Titles have to be catchy and enticing (hence the title of my post). I looked more to the substance of his post. I agree with you that if Mark was truly proposing the kings would be deposed in 2010, he’s wrong. But I agree with Mark’s actual points in the article.

I also have the benefit of having read other of Mark’s postings, so I probably understood the context of his SMS posts more than you might.

FYI: with regard to the Nexus, I don’t think Mark was suggesting a $600 price for the unlocked phone. He was saying they might discount it heavily to make it affordable, and could do so because of their size and the ad revenues they expect to make.

In any case, I think you and are actually closer to agreement than our Twitter discussion suggested. We just applied the title differently, it seemed.

As for rudeness, thank you for the apology. 23 hours up will do that to you!

Tomi Ahonen January 5, 2010 at 4:08 pm

Hi Neicole again

One really important thing I had intended to write to you but of course I had forgotten it by the time I hit [submit] was, that on the three points that he discusses in the article – that carriers in US have punitive policies tied to subsidies; that Apple could use some competition; and SMS spam ads are bad – I totally TOTALLY agree with those sentiments. That part is good, he has good ideas in his story. But why not write about those, and entitle his article accordingly. There is no possible way these three ‘kings’ could be deposed in a year or two, but they are worthwhile goals and over a longer while, they will actually happen there in the US market where mostly these matters have been far since passed in the more advanced parts of the mobile industry like Japan, Scandinavia etc.

He had good points within the story, but he did make that – sorry – silly title and outrageous claims. I did feel it my job to take him to task on those. Incidentially Mr Jaffe has also written to me on Twitter and we’ve had a very civil chat there, where he also seemed to suggest that he did not mean it to happen in 2010 haha… But I don’t want to put words in his mouth and he did not explicitly say he hadn’t meant it, so perhaps any readers who are interested can go read his comments to me from today and make up their own minds haha..

Thank you Neicole, cheers. Yeah, sleep helps bring balance :-)

Tomi Ahonen :-)

Mark Jaffe January 5, 2010 at 6:32 pm

Tomi,

Thank you for taking the time to explain yourself in a more civil manner in this forum, and for the apology for your prior comments that were not.

Mea culpa on the headline. I did not intend for anyone to take my headline literally as headlines are, by design, written with the intent to draw the reader into the article. As for the content of the original post, I think Neicole has written a brilliant analysis.

I appreciate the areas on which we have agreement and respect your opinion where we do not, as predictions are supposed to provoke thought and discussion. Nevertheless, I would encourage you to take future objects of your commentary in context and in their entirety.

After all, you certainly wouldn’t have wanted to base your thoughts on an essay like “A Modest Proposal” by Jonathan Swift solely upon its title:)

Mark

Neicole January 5, 2010 at 10:03 pm

Thanks to you both for commenting and clarifying. It’s rewarding being able to have a virtual conversation and come to a better understanding. I’m glad there are areas we can agree. And then agree to disagree on others.

charlesbrooks February 4, 2010 at 5:38 am

Having been a part of the Online Universal Work Marketing team for 4 months now, I’m thankful for my fellow team members who have patiently shown me the ropes along the way and made me feel welcome

http://www.onlineuniversalwork.com

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