Technology

E-Waste Inquiry

The growing number of connected electronic devices in use in the UK has led to an inquiry by the cross-party Environmental Audit Committee (EAC) which will focus on reducing ‘e-waste’ (dumped devices) and creating a circular economy.

Mostly As Landfill

One of the most startling statistics which has led to the EAC inquiry is that 90% of the 44.7 million tonnes of e-waste produced worldwide in 2017 ends up in landfill, is incinerated, is illegally traded or is otherwise treated in a sub-standard way.

Plastics & Precious Metals

The need to do something now to prevent an even bigger future problem has been heightened by recent reports of plastic waste and microplastic particles in the world’s oceans, sea creatures, and even frozen in arctic ice.  For example, figures (SAS.org) show that it is estimated there are 5.25 trillion macro and microplastic pieces floating in the open ocean weighing up to 269,000 tonnes.  The UK is also acknowledged to be a major exporter of waste to developing countries, many of which are not equipped to dispose of the waste in a socially and environmentally responsible way.

In the case of e-waste, plastic is just one of the components which could pose a serious environmental risk and could represent a missed opportunity to recycle valuable elements. For example, the UK currently produces 24.9kg of e-waste per person, which is nearly 10kg more than the European Union (EU) average.

In addition to large quantities of plastic, e-waste can include high value, difficult to obtain elements such as lithium, tantalum and tungsten, and other polluting and dangerous chemicals (up to 60 different metals and chemicals) which could pose a risk to public health, wildlife and the wider ecosystem if, for example, they got into the water supply via landfill.   

Need To Create A Circular Economy

In addition to investigating the e-waste problem, the EAC will be investigating the UK’s e-waste industry and looking at how a circular economy can be created for electronic goods.  A circular economy is an economic system aimed at minimising waste and making the most of resources.

What Does This Mean For Your Business?

We know that the growing number of devices is creating a massive e-waste problem, and it is good that the UK government is launching its own inquiry, hopefully bringing one more to the 67 countries that have enacted legislation to deal with the e-waste they generate. 

Some commentators have noted that, having a more digital and connected world could actually help to accelerate progress towards Sustainable Development Goals, thereby helping emerging economies, and ensuring that less precious minerals, metals and resources are dumped into landfill.

Some of the suggested ways to help deal with e-waste problem, and which will have an impact on many businesses, not least those who manufacture and sell devices, are looking at ways to dematerialise the electronics industry e.g. through device-as-a-service business models, better product tracking and take-back schemes, and entrepreneurs, investors, academics, business leaders and lawmakers working together to find ways to make the circular economy work.

Is CCTV Surveillance By Amazon Drones The Future?

An Amazon patent from 2015 appears to indicate that Amazon may consider ‘surveillance as a service’ using a swarm of its delivery drones armed with CCTV, as a monetising opportunity in the future.

Patent

The details in the patent foresee customers paying for a tiered service that employs the onboard cameras of Amazon’s delivery drones visiting users’ homes in-between delivery routes and filming irregularities and potentially suspicious activities.  For example, the cameras could potentially be programmed to detect evidence of break-ins and lurkers on/near a property, and the onboard microphones could even be programmed to detect suspicious noises such as breaking glass.

Tiered Service

It is thought that such a service could offer different tiers of service (reflected by different pricing) based upon factors such as frequency of visits e.g. daily or weekly, monitoring type e.g. video or still, and alert type e.g. SMS, email, a call or via app ‘push’ notifications.

Privacy

There are likely to be some obvious privacy concerns with a private company using its drones to film an area where it has a customer. However in doing so, avoiding filming an area where it does not have permission to film would present a challenge.

The Amazon patent suggests a possible remedy in the form defining a “geo-fence” around the area that does have permission to be filmed so that the drone’s surveillance activities can be focused (to an extent).  The patent appears to accept, however, that some filming of the outside area of the fence could occur.

National Surveillance Camera Day

In a world first, last week the UK played host to an awareness-raising National Surveillance Camera Day on 20th June as part of the National Surveillance Camera Strategy. As part of the day’s events, an “doors open” initiative allowed the public to see first-hand how surveillance camera control centres are operated at the premises of signatories to the initiative in the UK e.g. local authorities, police forces, hospitals, and universities.

Drone Research Reveals Negative Perceptions Among The Public

For the most part, people accept that the presence of CCTV surveillance cameras in public areas, operated by local authorities, and the presence of CCTV on business premises are generally for the greater good as a crime-reduction tool.

The same cannot be said for drone-based surveillance.  For example, new research from the PwC has shown that public perception remains a barrier to drone uptake in the UK.  The results of the research showed that less than a third of the public (31%) feel positive about drones, and more than two-thirds are concerned about the use of drones for crime.  In contrast, businesses appear to have a much more positive perception of drone use with 35% of business leaders saying that drones aren’t being adopted in their industry because of negative public perceptions despite the fact 43% of those business people who were surveyed believed that their industry would benefit from drone use.

What Does This Mean For Your Business?

Amazon is a company that has continued to grow and diversify into many different areas in recent years, embracing and pioneering many different technologies along the way, such as parcel delivery drones. It is not unusual for companies, particularly big tech companies to introduce many patents with many new ideas. In that sense, it’s difficult to criticise Amazon for wanting to get maximum (monetising) leverage from its delivery drones from a business perspective.

There remain, however, some serious challenges to the ideas in the drone surveillance patent including privacy concerns, and problems with current negative public perceptions of drones.  This will require education around case-use for drones, and re-assurance around regulation and accountability – this is a public company and could be one of many using the skies to offer the same service once the floodgates are opened.

For some businesses, however, as identified by the PwC and by Amazon’s patent, drones potentially offer some great new business opportunities.  It should also be noted that drones can offer some potentially life-saving opportunities, such as the human kidney for transplant that was delivered by drone, in the first flight of its kind, to a Medical Centre in Baltimore in May this year, thereby getting the organ to the surgeons much faster than by road.

For Drones it seems, there remains many opportunities and challenges to come.

Fire-Prone MacBook Pros Recalled

Apple has announced a recall of some older generation 15-inch MacBook Pro units due to the fire risk posed by a tendency for the battery to overheat.

Repair and Replace Free

Apple is offering a recall and replacement program for units that were sold primarily between September 2015 and February 2017 with the company offering to replace affected batteries, free of charge due to a potential battery fire risk.

Service options for affected customers include finding an Apple Authorized Service Provider (through the online tool), making an appointment at an Apple Retail Store, or contacting Apple Support to arrange mail-in service via the Apple Repair Centre.

Serial Number

The eligibility for the program is determined by the serial number product which can be checked on Apple’s website here:

https://support.apple.com/15-inch-macbook-pro-battery-recall

Second Time

This is the second time that this generation of MacBook Pro units has been recalled.  Back in June 2018 and after numerous complaints over two years and even an online petition by a customer, Apple decided to offer free repairs or replacements for the butterfly keyboard on its MacBook and MacBook Pro laptops.  The petition from the time, which attracted over 21,000 signatures, claimed that every one of Apple’s MacBook Pro models, 13in and 15in, were sold with a keyboard that could become defective at any moment because of a design failure.  Apple responded by launching a program which meant that Apple or an Apple Authorised Service Provider could service eligible MacBook and MacBook Pro keyboards, free of charge.

Apple iPad Battery Gas Leak

To make things worse, in August 2018 the leaking of vapours from a damaged iPad battery led to an Amsterdam shop being evacuated and 3 staff being treated for breathing problems caused by the released gas. The fire brigade was called and attended, but there were no reports of any actual flames/fire coming from the affected iPad. Staff had, however, initially reacted to the smoking iPad by putting it in a sand-filled fire bucket. At the time, however, other online reports indicated that similar faults had occurred elsewhere since Apple had started its iPhone battery replacement programme.

Apple Adapter – Fire Risk

In May this year, Apple recalled two different types of plug adapter because of a possible risk of electric shock.  The affected plugs were the two-prong AC wall plug adapter that came with Macs and some iOS devices between 2003 and 2010, and the three prong plug that was included with Apple’s World Travel Adapter Kit.

What Does This Mean For Your Business?

This latest fire-risk recall appears to be part of pattern that could indicate that some Apple products/components/accessories have been released for sale despite having some potentially serious risks, but that the company (perhaps after some time has elapsed and complaints have been made) has made an effort to admit to risks and at least offer repair and replacement programs.

Apple is one of those brands however, that has built a strong reputation for products that are user-friendly, reliable, not prone to the security risks of PCs for example, and for products that look stylish.  As such the company has built a loyal base of fan-like supporters, many of whom are prepared to accept fire and electric shock risk hiccups, and carry on paying premium prices as they perceive the products to be worthy of their generally positive image and relatively high prices.

It is good to note that this product repair and replacement program was offered swiftly, but it is worrying that the same model has been the subject of two such recall programs to date.  Let’s hope it’s the last.

Could Facebook’s Libra Cryptocurrency Be The Future Of Money?

Facebook has announced the launch of its new crypto-currency called ‘Libra’ 2020 which will enable payments to be made by a special phone app and by messaging services such as WhatsApp so that spending the new currency could be as easy and fast as texting.

Libra Association

Management of the currency, units of which can be purchased via Libra’s platforms and stored it in a digital wallet called “Calibra” will be the responsibility of an independent group of companies called the Libra Association.

In addition to Facebook, the Association has 27 other members/partners, all of whom will most likely have to accept Libra, including Mastercard, PayPal, eBay, Spotify, Uber, Vodafone, and a variety of charities such as Women’s World Banking.

Not Like Bitcoin

Libra will be protected from the kinds of wild fluctuations and instability that plagued the Bitcoin crypto-currency because Libra will be asset-backed and pegged to other currencies.

It also has the major payment and credit companies on board as members of its Association which means that it has already been legitimised and is likely to gain widescale practical use in the real world rather than simply be seen as a fast money-making opportunity.

Advantages

One of the major advantages of the Libra currency is that it has no traditional bank ‘middleman’, therefore enabling fast and frictionless transactions. This could help it to eventually become a global currency, therefore enabling easier international spending. It will also have the advantage of being fast and convenient to use.

Target

According to Facebook, the initial main target market for the use of Libra is the 1.7 billion adults worldwide who do not have a bank account, although 1 million plus of these already have a smartphone, thereby enabling them to use the apps through which Libra can be operated.  This “unbanked” segment of the potential market is known to contain mainly people from developing countries, a large proportion of which are women.

Some questions have already been raised, however, about how Libra will be able to meet other challenges such as being able to verify the identity of people in this demographic (many of whom don’t have ID documents), and how Libra can meet compliance challenges.

What’s In It For Facebook?

In addition to being recognised as being the company at the heart of what could potentially become a global currency, Facebook will receive a small commission amount for every transaction.

Security and Trust?

Ever since the Facebook/Cambridge Analytica personal data protection scandal, Facebook has suffered from a lack of trust.  The thought of Facebook overseeing a currency has, therefore, made some commentators raise questions about the governance and security issues of Libra.  In fact, even though Libra is Facebook’s currency, the governance of it will be split between all of the Association members.  Also, the Calibra payments system will have strong protection to keep money and personal information safe by using the same verification and anti-fraud processes that banks and credit cards use.  Also, any money that is stolen from the system will be refunded, thereby providing greater reassurance to users of the new currency.

What Does This Mean For Your Business?

Libra will give Facebook the opportunity to monetise another of its services, and an opportunity to diversify.  The idea that Libra is for use by the 1.7 billion people without bank accounts is also good for PR, but it is more likely that Libra will gain more users with bank accounts in developed countries more quickly.  It is also worth noting that even though the banks will not be middlemen in the use of Libra, banks will still be needed for people to use to buy Libra in the first place.

Many of us are personally unlikely to be regularly using or benefitting from the frictionless cross-border transferring of money, although this may be of real benefit to some businesses.  That said, it is thought that only 12 markets will actually be ready for Libra when it launches, and although Libra is ready to go in the US, some countries e.g. India have restrictions on the use of digital currencies.  Financial commentators have noted that Libra will also need to comply with regulatory structures in order to become a successful global currency.

Libra, however, already has the backing of the big payment and credit companies (who are partners in Libra), plus it offers the reassurance of being asset-backed and linked to other ‘real’ currency values. This may mean that (unlike Bitcoin) it appears to have a low risk for users which could fuel its rapid growth.  Easy payments globally could, therefore, have a beneficial effect for businesses and economies worldwide, if security and regulatory issues can be tackled effectively.

Libra’s introduction also comes at a time when there is a worldwide trend of decline in the use of cash, and Libra may, therefore, be well placed to jump in to fill that gap.

UK National Surveillance Camera Day

In a world first, the UK played host to an awareness-raising National Surveillance Camera Day on 20 June as part of the National Surveillance Camera Strategy.

National Surveillance Camera Day

The National Surveillance Camera Day, which is part of the UK government’s National Surveillance Camera Strategy for England and Wales consisted of events around the country that were designed to raise awareness, inform and lead to a debate about the many different aspects of CCTV camera use (and facial recognition use) in the UK. The Surveillance Camera Commissioner (SCC) wanted the public to take the day as an opportunity to have their say about the future of surveillance cameras with the regulators and service providers listening.

It is hoped that points raised in the debates triggered by the day could help inform policymakers and service providers about how the public feels about surveillance practices and how surveillance camera system use fits with society’s needs and expectations.

One of the key events to mark the day was the “doors open” initiative to allow the public to see first-hand how surveillance camera control centres are operated at the premises of signatories to the initiative e.g. local authorities, police forces, hospitals, and universities.

What / Who Is The SCC?

The Surveillance Camera Commissioner (SCC) for England and Wales is appointed by the Home Secretary as set out in the Protection of Freedoms Act 2012 (PoFA) and it is the Commissioner’s role to ensure surveillance camera systems in public places keep people safe and protect and support them. The current SCC is Tony Porter.

What Is The National Surveillance Camera Strategy?

The National Surveillance Camera Strategy is the government document, presented by the SCC that outlines the plans for surveillance camera use going forward.  The 27-page document is available online here:  https://www.gov.uk/government/publications/national-surveillance-camera-strategy-for-england-and-wales

Two Related World Firsts

Another related world first that took place on the same day as National Surveillance Camera Day was the launch by the SCC of a “secure by default” list of minimum requirements for manufacturers of video surveillance systems, designed for manufacturers by manufacturers.  The hope is that where manufacturers meet the new “secure by default” minimum requirements, this should ensure that the default settings of a product are as secure as possible, and therefore less likely to be vulnerable to cyber-attacks that could lead to data breaches.

What Does This Mean For Your Business?

Most of us are used to (and often no longer notice) CCTV cameras in use in business premises and public spaces, and we accept that they have a value in protecting us and our businesses in terms of deterring criminals and playing an important role in identifying them, and in providing valuable evidence of crime.

Holding a National Surveillance Camera day highlights the fact that new and emerging technologies e.g. facial recognition and AI are currently causing concern in terms of possible infringements to civil liberties, privacy and security, and an ‘open-day’ style approach could have benefits both ways.  For example, it could serve to reassure the public and at least let them feel that their views and concerns will be listened to, while at the same time giving policy-makers an opportunity to gauge public opinion and gather information that could help guide their strategy and communications.

It is good news that manufacturers are setting themselves minimum security standards for their CCTV systems as part of “secure by default”, as this could have knock-on positive effects in protecting our personal data.

Facial Recognition Glasses For Covert Surveillance

The “iFalcon Face Control” AR glasses that incorporate an 8-megapixel camera in the frame and NNTC facial recognition technology (are due to go on sale next year) are reported to have already been deployed into several security operations.

US / Dubai Manufactured

The facial recognition-enabled smart glasses are made by American company Vuzix and use facial recognition algorithms from Dubai-based company NNTC.  It has been reported that the NNTC facial recognition algorithms rank in the top three for accuracy in the US government’s Face Recognition Vendor Test and can detect up to 15 faces per frame per second, thereby enabling them to identify a specific individual in less than a second.

To date, only 50 pairs of the facial recognition-enabled glasses have been produced, all of which have been sold to security and law enforcement and are, according to NNTC, being used as part of security operations in the United Arab Emirates capital Abu Dhabi.

The iFalcon Glasses Won’t Need An Internet Connection

The iFalcon Face Control glasses that are due to go on sale next year will come with a portable base station.  This will mean that they will have a portable connection to a stored a database of targets, thereby giving the user greater mobility as they won’t need an Internet connection for the software to function.

Similar Used In China

Facial recognition glasses have already been used by police forces in China last year in order to keep blacklisted people e.g. certain journalists, political dissidents, and human rights activists away from the annual gathering of China’s National People’s Congress.

Other Deployments

Known use of facial recognition for law enforcement already happens in the US through its incorporation with body cameras and CCTV cameras, and in the UK it has been used in deliberately overt trials and deployments e.g. a two-day trial in Romford, London by the Metropolitan Police in December 2018 using use vehicle-mounted cameras, at the Champions League final at the Millennium Stadium in Cardiff 2017, and at the Notting Hill Carnival in 2016 and 2017.

Criticism and Problems

The use of facial recognition technology at events and trials in the UK has, however, come under fire over several issues including poor levels of accuracy, a lack of transparency in how it is used, the possible infringement of privacy and data security rights e.g. what happens to images, and value for money in terms of deployment costs versus arrests.

This led to ICO head Elizabeth Dunham launching a formal investigation into how police forces use facial recognition technology (FRT) in the UK.

Data security and privacy are such thorny subjects for agencies, organisations and businesses alike that even though using facial recognition to help organise photos has been a standard feature across the social media industry, Microsoft is now issuing an update to its Windows 10 Photos app that prompts users to perform the almost impossible task of confirming that all appropriate consents from the people in the user’s photos and videos have been obtained in order to use facial recognition to find photos of friends and loved ones.  This move shifts the burden of responsibility away from Microsoft to the user.

What Does This Mean For Your Business?

The covert and mobile nature of these new glasses not only seems to be somewhat dystopian and ‘big brother’ but could, in theory, provide a way for users to simply get around existing data protection and privacy laws e.g. GDPR.

As a society, we are to an extent, used to being under surveillance by CCTV systems, which most people recognise as having real value in helping to deter criminal activity, locate and catch perpetrators, and provide evidence for arrests and trials. The covert use of facial recognition glasses is, however, another step further on from this and from the deliberately overt and public trials of facial recognition in the UK to date.  As such, to be used in the UK, it will require faith to be put in the authorities that it is used responsibly, and that its accuracy is proven, and that rights groups are able to access facts, figures, and information about the technology, where and how it is used, and the results.  Presumably, the ICO may also have questions about the use of such glasses.

If there is no public transparency about their use, this could also result in suspicion, campaigning against their use and a possible backlash.

Mastercard’s AI-Based Digital Wellness Could Make Online Purchasing Easier and Safer

Mastercard has announced the introduction of its Digital Wellness program which utilises AI-based click-to-pay technology and new standards in order to provide an easier and safer online shopping experience.

The Program

The Mastercard Digital Wellness program provides tips and resources that are designed to help businesses (especially small and independent businesses) protect themselves from cyber-attacks and data breaches. The program includes Secure Remote Commerce, Mastercard’s Cyber Readiness Institute (a collective of business leaders), and The Global Cyber Alliance which provides SMBs with free cyber-security tools.

New Click-To-Pay Checkout System

Coming out of the Digital Wellness Program is Mastercard’s new click-to-pay checkout system which is enabled by Mastercard’s deployment of EMVCo’s (Europay, Mastercard, Visa) specification. The standards that make up EMVCO’s specification provide a foundation that enables the processing of e-commerce transactions in a consistent, streamlined fashion over a variety of digital channels and devices, including smartphones, tablets, PCs and other connected devices.

This means that the click-to-pay checkout system can be used for all kinds of online shopping, across multiple devices, and across cards, and can replace old key-entry checkout systems.

Tokenization and NuData

The click-to-pay checkout system incorporates tokenization and NuData, which represent Mastercard’s AI and machine learning tech. NuData can prevent fraud by (for example) monitoring website traffic changes, analysing changes in browsers and web surfing speeds, and verifying all the user data that makes a user unique (such as an individual’s scroll speed on their device).

The inclusion of AI technology means greater security and no need for customers to enter passwords when they pay.

The Advantages

The key advantages of the click-to-pay checkout system from the Digital Wellness Program are that:

  • It tackles the problem that customers feel unease when it comes to paying for things online because of the added security.
  • It’s fast and easy – the instant click-to-pay with no need for passwords tackles the reluctance of online shoppers to create a new user account.
  • Merchants who adopt the system have a system from a known and trusted provider that could give them a better chance of preventing fraud.

These factors mean that the system could make customers more likely to feel comfortable shopping for things on smaller websites or with unknown retailers.

What Does This Mean For Your Business?

For Mastercard, this is a way of selling its services to the huge market of smaller and independent businesses.

For merchants, it’s a way for them to leverage the latest AI tech to protect themselves and their customers from fraud, and tackle popular known barriers to purchases from smaller retailers online i.e. worries about security and the unwillingness to take the time to set up a new user account when they want to buy something.

For customers, the system should provide a safe and fast purchasing experience which can only reflect well on the merchant.  It remains to be seen, however, how many merchants take up the new system and what the cost versus benefit implications will be.

Accounting Systems Too Complex (And Lack Investment)

A recent Barclaycard survey shows that 48 per cent of Chief financial officers (CFOs) think that current accounting systems are too complex.

Complex Systems

According to the survey, some of the main reasons that CFO’s find their accounting systems to be too complex are that they are not digitised enough and too are labour intensive.  This is the reason why 44% of CFOs say that they would want more automation when they upgrade.

Not Investing Could Be Affecting Bottom Line

The Barclaycard survey also found that a Chief Financial Officer’s (CFO’s) leadership style and willingness to invest in their financial and accounting software has a real impact on their businesses’ bottom line.  For example, over a fifth (22%) of finance heads believe their accounting software is out of date, which, according to Barclaycard, could mean that UK CFOs are missing out on £6.7 billion each year by not taking advantage of early payment discounts.

Complex And Out Of Date

According to Barclaycard’s survey results, even though 85% of the CFOs surveyed said they recognise the need to continuously invest in their accounting systems, this is clearly not happening and this may be because more than three-quarters (77%) admit to not having time and resources to find the right one.

This lack of investment and time, coupled with apparent resistance to change in many businesses appears to have led to a situation whereby 22% of businesses are using out-of-date accounting software, with 40% of businesses not having upgraded their accounting software for five years!

Missing Out

Barclaycard’s survey indicates that because many accounting software systems are outdated, companies can’t automate payments to meet supplier conditions for an early settlement discount, and this could mean that UK corporates are missing out on of £14.4bn of saving per year (the equivalent of £75,389 per business).

The Survey

This survey, conducted on behalf of Barclaycard conducted by Opinium Research in February 2019, was carried out among 500 senior financial decision makers in companies with turnover of £6.5 million or more and who do not outsource their accounts payable.

What Does This Mean For Your Business?

Even though the research was conducted by Barclaycard, which has an interest in accounting systems, it does highlight some of the challenges and barriers to upgrading that many businesses face, such as not having the time, money, and other resources to help them invest in a new system, thereby making them miss out on possible savings from early settlement discount.

It is not just with accounting systems that businesses would like to reduce complexity and increase automation where possible but struggling with accounting technology and systems is certainly not uncommon.  For many small businesses, it’s often a case of using desktop accounting software with related third-party apps and integration without much software training and asking the accountant for technology advice.  For example, a recent Zoho and AccountingWeb report showed that small businesses ask their accountants for technology advice 83% of the time, and 40% of those accountants say they are asked technology questions up to 20 times a month.

Amazon Pop-Up Stores

Amazon is launching a pilot scheme which will enable 100 small online businesses to get the opportunity to sell their goods in 10 Amazon pop-up stores in UK high streets.

Clicks And Mortar

The pop-up stores will be branded as ‘Clicks and Mortar’ and will enable small online businesses selling homeware, health and beauty, food and drink and electronics to get their first taste of selling from a physical store in a UK high street. The stores may also offer customers the chance to discover new brands on their local high streets.

Amazon had already tested the pop-up store idea in the UK, albeit briefly and on a small scale, when last October it opened a fashion store in Baker Street in London to gauge customer opinions. The online shopping giant has also opened a “Home of Black Friday” store as part of the annual retail event in London over the last two years.

Following eBay

Last month, as part of its own month-long retail experiment, eBay opened a “concept” store in Wolverhampton’s i10 building, in which 40 businesses have been able to offer interactive experiences to buyers, such as workshops and tutorials. eBay reportedly launched the store as part of a partnership between itself and Wolverhampton Council after its own research showed that showed a quarter of small UK retailers did not have an online presence. The store was designed to show how stores of the future could combine technology with a human connection.

Tough Times On The High Street

The UK high street and many of its famous brand occupants have been going tough times, much of which has been blamed on a move to online shopping and competition from online brands and stores, high business rates, and a further reduction in footfall as more high street stores become empty and less attractive to shoppers.

For example, the latest BRC research shows that one in 10 shops in UK town centres is lying empty and that the vacancy rate has risen over the last four quarters and is now the highest reading since April 2015.

Many big chains have announced widescale branch closures e.g. Debenham’s having to close 22 stores, the Topshop group of stores facing problems, Boots possibly closing 200 branches, and Marks & Spencer now planning to close 72 big high street stores in addition to the 48 already closed.

Criticism

Amazon has faced criticism from some business and retail commentators for the working conditions in its warehouses, and over the relatively small amount of tax that pays in the UK.

What Does This Mean For Your Business?

For a limited number of small online retailers, the pop-up stores offer a great opportunity to have a low-risk, well-supported bricks and mortar retail experience and a chance to gain visibility for their brands.  For the high street, Amazon pop-ups may offer a brief boost in variety, footfall, and interest. For Amazon, one of the big online retailers that some would say have contributed (with other online retailers and high business rates) to the decline of the high street, the pilot offers them a chance to boost their brand and good publicity at a time when the many vacant stores gives them the opportunity to choose some great high street locations in major UK towns and cities. It will also offer Amazon, as it did with eBay, a legitimate opportunity to see how retailing could look in the future and a way to assess opportunities, perhaps, for its own brand and services in high streets.

SurveyMonkey Goes to Ireland

California-based online survey software company SurveyMonkey has opened a datacentre in Dublin with a view to attracting enterprise customers in the EMEA region.

SurveyMonkey

SurveyMonkey, which was established in Portland by Ryan and Chris Finley, has more than 750 employees globally and is estimated to have more than 600,000 paying users across more than 300,000 organisational domains.  190 countries and territories use the SurveyMonkey platform which is a cloud-based, online survey tool that is offered for free, or SaaS.

The company now has offices in San Mateo, Portland, Seattle, Dublin, Ottawa, and Sydney.  The Irish office was opened in 2014 and currently has around 50 employees.  SurveyMonkey went public in 2018.

Why A Datacentre In Dublin?

There are several good reasons for the move to Dublin coupled with a focus on wooing EMEA enterprise customers, such as:

  • 16% of SurveyMonkey’s revenue during the first quarter of 2019 came from sales to the enterprise sector.
  • More than one-third of SurveyMonkey’s business revenue comes from outside the US, with the majority in Europe.
  • There is a huge opportunity for growth that’s offered by companies where SurveyMonkey has been adopted (as the free version) through back-door ‘shadow IT’, and where those enterprises can be encouraged to legitimately adopt the use of the software as company-wide deployments by being reassured that the data they collect is stored in a European data centre (Dublin). This has been termed a ‘land and expand’ strategy.
  • Dublin is ranked as one of the best places to work in Ireland and offers many benefits to tech companies and start-ups.

Phased Approach

SurveyMonkey’s strategy, of which the Dublin datacentre is a part, is a phased one with the first phase being to acquire new customers, and phase two focusing on migrating customers who already have a lot of data stored in their SurveyMonkey accounts.

In addition to expanding across Europe, SurveyMonkey will also be looking at making customers aware of the other services that it offers.

What Does This Mean For Your Business?

SurveyMonkey knows that the Europe /  EMEA region already delivers plenty of revenue and that there’s a great opportunity to expand further. Placing a datacentre in Europe may be very attractive to (and reduce risk for) enterprise customers who must be very careful about where their data is stored (refer GDPR) and who always want to reduce complexity about data storage.

This story also shows how the ‘shadow IT’ use of software has provided a way in and can be part of a successful strategy for growth and expansion.