The Digital Consumer
If you're on this site, you're probably aware of the role VeriSign plays in the Internet ecosystem. From this vantage point, we also have a pretty good idea as to what it takes to drive the constantly-evolving "next generation" (think Web 2.0) of Internet-based technology and services.
One of the cooler concepts developed within VeriSignLabs isour Personal Identity Provider (PIP) service. Mike Graves and Kiran Dandekar cover the PIP concept in detail on the Infrablog, so I won't go into the basics, but we are starting to see an interesting new twist on the concept - one that benefits both consumers and the companies they do business with.
Neither the concepts of identity or the "digital consumer" are new - both have been covered ad nauseum. What is relatively new is the ability to combine the two in a networked model, and it's not readily apparent that brand marketers or retailers have fully leveraged the concept (yet).
As consumers are able to create secure, networked, digital identities on the web (yes, see PIP), the possibilities for opt-in marketing become exponentially interesting - and, if done correctly, should be entirely at the control of the consumer. A couple of examples specific to the retail segment:
- A retailer creates a Digital Consumer loyalty program, enabling its best customers to not only receive discounts in the store but also on the web, coupons via email (only for products they select), or - even better - coupons via their mobile phone when within range of a store.
- A major athletic gear brand is able to establish a "user community" online, with very specific demographic information (controlled by the consumer) driving targeted "panel" capabilities - think of a million teenagers reviewing a new promotional spot within 24 hours in return for a $5 discount on the company's newest shoe line. The shoe company can quickly adjust the messaging (negative feedback), accelerate the launch (positive feedback), etc.
There are of course significant privacy concerns around all of these concepts, but similar to sliced bread (neither bread nor slicing were new), the technology is available to make it happen in a safe, secure way. Suffice it to say we believe the concept of identity will drive a massive wave of consumer-enablement on the web (at a most basic level, who needs 10 passwords for 10 different sites?) and, if done right, a stronger connection with their favorite retail and consumer brands.
Given the uptake so far on PIP without any promotion, we think the Digital Consumer era is primed for a significant ramp driven by the networked identity concept.
