1. April 2011
This edition covers:
• Revolution 2.0
• The Rise of Social Entrepreneurship
• The Future of Publishing
• Smart Cities

2. The “Youth Bulge”
DIGITAL/YOUTH DEMOGRAPHIC ➔ This “youth bulge” is expected to increase
to 73 million in 2015. This is important as some COMMUNICATIONS TAKEOUT
REVOLUTION 2.0 studies suggest that countries where young
adults make up more than 40 per cent of the
A Unique Movement – in the Hands of Many working age population are more likely to
➔ The sudden and rapid change that has experience armed conflict than countries with
recently swept across the Arab world has taken lower proportions of youth.
the world by surprise. Out of the blue, the
status quo has been challenged and the long- The “Facebook Revolution”
held assumptions about the prerequisites for ➔ The mushrooming of new universities
change have been replaced by mobile phones, across the region has created new spaces for
an Internet connection and a Facebook account. youth to meet and mingle. ARAB YOUTH SURVEY 2011:
➔ It is a unique movement because it does not ➔ The wide and rapid spread of the ➔The single greatest priority for young
have charismatic leaders – unlike the “velvet” information and communication technologies people in the Middle East remains living in
revolution - as much as a common groundswell (ICT) in Arab countries has added another a democratic country, according to the
of opinion. It is revolution in the hands of many, massive new space for gathering, networking findings of the 2010 ASDA’A Burson-
rather than following in the wake of one. and the exchange of ideas. Social media had a Marsteller Arab Youth Survey, the largest
massive impact in mobilising people. study of its kind of the region’s largest
Prerequisites for Change ➔ In Tunisia, once the authorities lifted the demographic. This finding echoes the
➔ For decades, Western governments and Facebook ban, it was quickly embraced by results of the 2009 survey – conducted
commentators did not think the conditions young Tunisians. At the time of the uprising well over a year before the start of the
required for democratic change were present in over two million people, or 20% of the recent regional unrest – which similarly
the Arab world. Instead they saw inertia due to population, were on Facebook. identified the yearning for greater political
inflexibility of religious views, a growing ➔ Shortly after Egyptian President Hosni participation as the defining characteristic
materialism that only engaged the wealthy Mubarak stepped down from power on Friday, of Arab youth.
elites and the rise of activists whose militancy activist Wael Ghonim credited Facebook with ➔ This survey gives policy makers,
and radicalism only served to sabotage their the success of the Egyptian people's uprising. business & political leaders, advertisers &
own attempts to democratise. Ghonim, a marketing manager for Google, the media compelling insights into the
➔ Few foresaw the rise of a “Second Society” played a key role in organizing the January 25 aspirations and priorities of the two-thirds
emerging: namely the “Arab Youth Movement.” protest by reaching out to Egyptian youths on of the region’s people who are under the
Facebook. age of 30. The 2010 ASDA’A Burson-
Demographic Surge Marsteller Arab Youth Survey is important
➔ In the last 30 years, the number of Arabs has Changed Forever reading for everyone who has a stake in
more than doubled, surging from 173 million in ➔ Today’s movement is different: its very the future of this diverse and rapidly
1980 to 352.2 million in 2009. According to the plurality could render it invulnerable to evolving region.
UN, the total population of the Arab region is being hijacked by any particular interest WATCH: AN HISTORIC MOMENT
projected to reach 428.4 million by 2020. The group. It is the dawn of a new power base IN THE ARAB WORLD: Wadah
majority of these are under the age of 24 and not only in the Arab world, but in the world Khanfar, Head of Al Jazeera on TED.com
live in cities. as a whole.
http://bit.ly/gwBosN

3. CORPORATE PURPOSE/CR ➔ Secondly, as charities grow, the distance
THE RISE OF SOCIAL between the beneficiary and the COMMUNICATIONS TAKEOUT
management grows with it. Some charities
ENTREPRENEURSHIP manage to embed client-centred
responsiveness within their structures; cf.
A Certain Disenchantment with Charities is RAPt and Mencap, where stakeholders are
Leading to a Surge in Interest in Social intrinsically involved. But for many charities,
Entrepreneurship beneficiaries are passive recipients of
services and their needs come a long way
➔ Many of the larger charities are no longer as behind those of other stakeholders.
nimble or as risk-taking as they once were and
are increasingly accepted as part of the very Up Steps Social Entrepreneurship
establishment they once set out to challenge. ➔ Many specialist social venture 8 TRENDS TO WATCH FOR in 2011
In the last decade alone, charity income in the intermediaries (SVIs) first emerged in the http://dowser.org/eight-trends-in-social-
UK more than doubled to nearly £50bn a year, 1990s as interest grew in social enterprise entrepreneurship-to-watch-for-in-2011/
giving rise to a small number of increasingly and venturing. They include: new sources of 1. More Creative Funding Solutions for
large operators . The 0.5% of charities with finance (such as Impetus); new providers of Social Entrepreneurs
incomes above £10m now absorb more than skills (such as the School for Social
50% of all charity income. Entrepreneurs); new orchestrators of 2. Improvement of Metrics and Increased
➔ Growth has not necessarily been a bad thing. networks (such as Ashoka); providers of Adoption Rates
It has allowed many charities to offer help to buildings (such as the Hub); and advocates
millions more vulnerable people, and the (such as the Social Enterprise Coalition). 3. The Formation of an International
growing importance of charities to deliver the Community of Social Entrepreneurs
government agenda has increased their Results-Oriented Approach
influence on the way policy is shaped. However, ➔ SVIs are playing an increasingly vital role for 4. Closing the Gap between For-profit and
the focus on getting the cash and delivering the the emerging sector of social ventures. This Nonprofit
contract has taken attention away from the survey found that ventures that had worked
person who should matter most to a charity, with intermediary organisations reported 5. The Democratization of the Movement
the beneficiary. the following benefits:
• 132 % increase in their numbers of 6. The Evolution of a Meta Profession
Two Real Threats beneficiaries (from an average of 1,251 to
➔ First, there is a problem of trust. Public trust 2,901). 7. Growth of the Youth Constituency
in charities is high - only the armed forces, the • 149% increase in their revenues (from
NHS and schools are trusted more. But that £338,618 to £844,850). 8. More Product-Driven Ideas
trust is volatile: according to one survey, • Around 50% reported that the READ: THE STELLAR RISE OF THE
people's trust in charities has swung wildly from intermediary they worked with had helped
51% down to 42%, and back up to 65% in just them raise additional investment.
NEW PHILANTHROPIC
three years. Public alienation is a real risk. INTERMEDIARY
http://bit.ly/gHlVY9

4. MARKETING/INNOVATION The New Author
➔ In January, 2010, the Huffington Post drew
THE DEATH & REBIRTH OF attention to Amanda Hocking, a 26 year-old COMMUNICATIONS TAKEOUT
PUBLISHING self-publishing fiction author who has written
17 novels, published 8, and sold over 185,000
copies since April 2010 along. Hocking also
The Publishing Industry is Dead: True or False
topped the list of Kindle indie authors in
➔ Printed pages have been with us since
December 2010, selling 100,000 copies in just
around 1450 A.D. After 561 years, you
one month.
might think that people would be slow to
accept innovation. However, the sale of an
Where Publishers Can Still Thrive
estimated 4 million Amazon Kindle e-readers
Of course, the success of these new indie
has put paid to any such illusions.
authors are constrained by two market LEARN FROM THE DOMINO
➔ Barely into Q2, and 2011 has already been a
realities. First, these authors are early
rough year for traditional book retailers. In
adopters; the pioneers who will get to claim a
PROJECT
February, Borders filed for bankruptcy, ➔ At the vanguard of the innovators
disproportionate stake of the frontier. Second,
saying that it would close about a third of its looking to transform and challenge
the publishing houses are moving in. As they
stores. And despite its major competitor publishing is one Seth Godin.
do, they will flood the market with more titles,
being on the rocks, Barnes & Noble stock ➔ ➔ The 50-year-old best-selling author,
meaning that any aspiring author will again rely
continues to drop. blogger and entrepreneur, recently
on a big backer for the one thing they can’t do
on their own: the marketing. announced that he would no longer sell
Long Live Publishing – and Self Publishing his books via a mainstream publisher.
Essentially, as the ebook market gets crowded,
➔ While retailers struggle and fold, there ➔ The Domino Project aims to reinvent
standing out in the crowd will be that much
might yet be new opportunities for what it means to be a publisher: high
harder, and the value proposition that
publishers and authors alike. A publishing quality ideas, created regardless of
publishing houses will offer authors will be less
phoenix may still rise from the ashes. what bookstores & middlemen want.
about distribution and more about marketing
➔ It was in July 2010 that ebooks started Packaged with cogency & urgency in
& promotion.
outselling hardcovers on Amazon . So it’s mind. With permission at the heart of
hardly surprising that publishing houses are the model. Virality first. Reward the
What Next for Bookstores - Best Practice
moving to embrace the ebook more sneezers who stand up & spread these
➔ Barnes & Noble has embraced e-book
wholeheartedly. ideas. No patience for obsolete
technology. Anyone who buys the Barnes &
➔ The economics of ebook publishing have institutions. No compromise to get on
Noble eReader, called the Nook, can take it
already attracted new market entrants: bestseller lists. Triumph of speed.
into any Barnes & Noble, connect to the
publishers that specialize in ebooks for Format agnostic. Variety of price points
free Internet available and read any book in
eReaders, tablets, and smart phones. & formats to match audience desires.
the store for free. This way, people are still
➔ These economics have not only inspired WATCH: Seth Godin on the
enticed to go to the store, where they can
publishing houses to rethink their business
model and new competition to take them
lounge with their latte and book or Nook. Future Of Books, Bookstores,
on. It’s also created a new, independent and Publishing
breed of author. http://bit.ly/hxGUl8

5. TECHNOLOGY A city becomes “smart” when all parts of
SMART CITIES its infrastructure and government services COMMUNICATIONS TAKEOUT
are digitally connected and optimized.
What will population centres look like in 20 ➔ The smart city’s intelligent infrastructure is
years' time? Innovations in transportation, powered by three key technologies that
energy production and technology will have share environment and citizen data
to keep pace with a host of challenges. constantly: sensors, the cloud and smart
➔ Demographers predict the planet will host 9bn interfaces. Residents can also change the
people by 2050. Close to 60m new urban city experience, tailoring it to themselves by
dwellers are added each year. The 21 st entering their preferences in touch screen
century will be dominated by the city. smart applications. Adding such layers of
• Over the next 15 years, 600 cities will
➔ Today’s cities can barely handle the burden of intelligence to the bloated legacy systems of
account for more than 60 percent of global
their current populations: core services like cities like New York, San Francisco and
GDP growth. How will regional patterns of
energy, water, communications, London will be slow and painful. However,
growth differ?
transportation and public safety are wasteful, new cities have no such constraints.
• With new hot spots emerging and
inefficient and decrepit. Even though cities ➔In South Korea, 40 km from Seoul, a new city household wealth surging in little-known
only occupy 2% of the landmass of the Earth, is being built that promises to epitomize the
urban centres, companies may have to
they consume over 75% of the Earth’s smart city. Songdo offers residents green
adopt a much finer-grained approach to tap
resources. The only way to prevent rapid living in LEED certified buildings, smart
into the growth that lies ahead.
urbanization from being an environmental homes with Telepresence monitors, a state
• Opportunities galore for proactive
disaster is to operate cities in a brand new of the art school, a park modelled on
technology companies.
way: faster, smarter, cleaner. Central Park in Manhattan and a 15 minute
ride to Incheon airport. And from there, less SEE: McKinsey’s GLOBAL CITIES
The Smart Grid than a 3 hour flight to all major cities in OF THE FUTURE, AN INTERACTIVE
➔ The ultimate means to maximize efficiency Asia. MAP
remains the most speculative and that is the ➔ Songdo is the first of a string of smart cities
http://bit.ly/hGiiWW
use of information technology for ubiquitous that are either in planning or development
awareness and intelligence. Even as prices rise stage. Not to be left behind, existing cities CONTACT
for concrete, steel, oil, coal and water, one in the US, Canada and Europe are all trying
commodity gets steadily and inexorably to quickly insert intelligence in pilot
cheaper: computing power. As sensors and projects. To request further information, give
microchips become smaller, less expensive ➔ Market demand for intelligence services for feedback or suggest a future topic for
and more powerful, they will be integrated retrofitting cities and building new ones is the newsletter, please contact:
not only into the power distribution system estimated at trillions of dollars. And the Elaine Cameron
(the "smart grid") but into countless fight to capture it is on: Microsoft, Cisco, Strategic Research & Trend Analysis,
appliances, buildings, vehicles and public IBM, Hewlett Packard, Siemens and Phillips, EMEA elaine.cameron@bm.com
resources. are just some of the big technology firms
racing to get a piece of the action.
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