What is the real impact of New Presence?

Source: saunderslog.com

A week last Friday, Jim Courtney stopped by the iotum offices to chat about Talk-Now, our New Presence application for BlackBerry.  He’s written a fabulous piece for SkypeJournal on New Presence, Talk-Now, and what it means for individual users.  Here’s a few thoughts that build on what Jim has written.

We can all relate to the problem Talk-Now solves on an emotional level — it lets us know when the people we need to speak with are available, so we don’t have to play telephone tag.  But what does that mean more concretely.  What would you tell the CFO of your company if you were asked to justify the value of presence?

Jim references a recent Cap Gemini study, which points out that 82% of all calls end in voicemail.  In that study, the probability of connecting with a human being when making a call was just 18%, and it took 3.15 call attempts prior to each successful contact. 

There’s enough data in that Cap Gemini study to build a mathematical model which you can use to answer the question: "What would it mean if you could increase the probability of connection?".  It yields some suprising results.

The Cap Gemini study say. tha. it takes 3.15 failed call attempts on average before a successful connection is made, whic. implie. that sometimes the caller simply abandons future attempts.  That is to say, if I am trying to reach you, I may just give up, or complete the conversation by email, or in a hallway.  In th. Cap Gemini study. you can comput. a 9.79% probability tha. after each attempt no further attempts will be made.Â. With that piece of information, we can now model what happens in repeated attempt scenarios.Â. 

It turns out that i. the probability of connecting is just 18% on each attempt, then for every 100 people you wish to talk with. you wil. reach just 69 of them.  Wow.  The other 31 are people you’re never going to talk with by telephone.  And in order to talk with those 69 peopl. you will likel. make 384 separate call attempts. 

That i. the productivity cost of telephone tag. 384 calls to reac. 69 people.  31 people missed all together. 

So, what would the world look like if you could increase the probability of making a connection, perhaps by employing a presence application.  Th. chart below shows that an increase of as little as 7% in connection probabilit. results in a 28% reduction in the number of calls you need to make. Moreover, you’re talking to more of the people you need to reach as well. To your CFO, that’s money in the bank.

impact_thumb3.jpg

Moreover, although it seems a little counter-intuitive, when you leave fewer voice mails, your carrier earns more money.  Presence actually drives more communications network minutes, because successful person to person calls are much longer than voicemail calls.  An increase of 7% in connection probability drives a nearly 10% increase in networ. minutes used. 

There you have it.  Presence increases customer satisfaction, reduces telephone tag, and drives higher revenues for carriers.

Everybody wins.

That’s also the reason that the New Presence model is so important.  Our society isn’t going to become a society of people setting their away/busy status every step of the day.  Presence will never succeed if that remains the model..  Until presenc. become New Presence &ndash. completely transparent, intuitive, and natural &ndash. we’ll never see these benefits.

A couple of footnotes:

  1. The Cap Gemini study is probably applicable to business calling in general.  For the study, 9,000 workers call detail records were tracked and analyzed for a whole year.  That’s an awful lot of calling records.
  2. For the math geeks out there, attached is an explanation of how the model works. Enjoy.
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Published on February 24th, 2007 under ,


Last 20 posts tagged "presence"

TelePresence From AT&T is Coming; But Not for Your Home- Yet

Source: alanweinkrantz.typepad.com

AT&T is getting ready to start deploying Cisco’s TelePresence solution. 

This is a business - or rather enterprise solution and not something for the home.

So, why I am writing…

Published on April 21st, 2008 under , , ,

Deloitte TMT Predictions

Source: saunderslog.com

Live notes from Duncan Stewart’s presentation this morning:
The TMT predictions are a 1 year snapshot.  These are the hot areas for the next 12 months. 
— Internet —
The rising…

Published on January 24th, 2008 under , , , , , , , , ,

Nokia and Facebook sitting in a tree…

Source: saunderslog.com

You know the rest of that old rhyme, I’m sure.
One by one the dominoes are falling.  First there was Apple with Facebook on iPhone.  Then RIM with Facebook on Blackberry, and Microsoft…

Published on January 21st, 2008 under , , , , , , ,

Presence back in the news

Source: saunderslog.com

After a brief respite, presence continues to be in the news.
In Presence is the dial-tone of the 21st century, author Chris Talbot writes primarily about Unified Communications systems,…

Published on December 11th, 2007 under , , , , ,

Parlano, the group chat provider, acquired by Microsoft

Source: snapvoip.blogspot.com

The purchase might help Microsoft compete with rivals IBM and Cisco in the red-hot unified communications market.With billions of dollars at stake in the market for unified communications, Microsoft…

Office Communications Server 2007, (OCS/2007) what is it?

Source: snapvoip.blogspot.com

OCS/2007 has been released for manufacturing by Microsoft. It is usually two to three weeks after a product is released to RTM, we could expect to see to product on the shelves for sale.At its…

Presence 2.0

Source: saunderslog.com

This morning I had the good fortune to be part of Enterprise 2.0’s panel (chaired abley by Melanie Turek) on Presence 2.0.  Five panelists, including myself, Parlano’s Nick Fera, Microsoft’s…

Published on June 20th, 2007 under

The new voice of presence

Source: saunderslog.com

I missed this one over the weekend.  Tom Howe has tied together the New Presence and mobility themes we’ve been pushing at iotum into a neat post that concludes:
The new voice in the network…

Published on April 10th, 2007 under ,

Three worthwhile pieces on “Presence”

Source: saunderslog.com

The value of presence is one of those topics that gets lots of debate.  Three recent examples that I’d like to draw your attention to include:
Gary Kim’s Why "Presence" is Coming,…

Published on April 5th, 2007 under

Is Presence a Stinky Red Fish?

Source: saunderslog.com

People keep sending me interesting new blogs.  Take ThreeDimensionalPeople, for instance.  Authored by Stephen Johnston, a London based Nokia employee, it’s got all kinds of nifty stuff…

Published on March 27th, 2007 under

Chris Gare and The Magic of Presence

Source: saunderslog.com

I. The Magic of Presence, Chris Gare has popped out a nice overview of some of the innovative presence companies out there today.  I gave him a call this morning, and we chatted for 30…

Published on March 27th, 2007 under

Courtney on New Presence

Source: saunderslog.com

I just came across Jim Courtney’s Getting Presence Right, in which he outlines his experiences using iotum’s New Presence application Talk-Now at CEBIT.  It’s a wonderful post, offering som…

Published on March 22nd, 2007 under

What is the real impact of New Presence?

Source: saunderslog.com

A week last Friday, Jim Courtney stopped by the iotum offices to chat about Talk-Now, our New Presence application for BlackBerry.  He’s written a fabulous piece for SkypeJournal on New Presence,…

Published on February 24th, 2007 under ,

Angel.com’s presence driven personal assistant

Source: saunderslog.com

I’m rooting for the team at Angel.com.  They’ve submitted an entry into the O’Reilly and StrikeIron Mashup contest coming up at ETel next week, combining their IVR with the iotum Relevanc…

Published on February 23rd, 2007 under ,

Calendars and buddy lists: both flawed presence metaphors

Source: saunderslog.com

I’ve had a fascinating backburner conversation concerning the role of calendaring in the New Presence model.  Calendars are a marvelously rich source of input to New Presenc…

Published on December 28th, 2006 under

“New Presence” and identity

Source: saunderslog.com

Phil Windley says that we’re going to need better identity structures before the New Presence can emerge.  He asks whether there is a business need which is strong enough to drive presenc…

Published on December 26th, 2006 under

Mobility and the “New Presence”

Source: saunderslog.com

I have a running gag going with a close friend of min. (I’ll call him Wesley, after his favorite Star Trek character) who works fo. Research In Motion.  Scrupulously polite. my…

Published on December 21st, 2006 under ,

“New Presence” and the Voice 2.0 Manifesto

Source: saunderslog.com

Presence will drive a fundamental change in the way that communications networks are used today. Today, callers have no way of knowing whether the party being called is available,…

Published on December 19th, 2006 under

Unifying presence on the desktop

Source: saunderslog.com

Jean-Louis Seguineau, and Mike Gotta have a little riff going on topic of aggregating presence on the desktop.  What they’re talking about is the idea o. a broker which would aggregat…

Published on December 18th, 2006 under

Hictu!, an online web address book with presence

Source: saunderslog.com

Ever wanted to consolidate all of your address books and buddy lists in one place.  The folks at Abbeynet are addressing that problem with Hictu!, an online address book and presence service. …

Published on December 11th, 2006 under
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