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Demo verses Techcrunch – Strategy Flaw for Techcrunch April 3, 2008

Posted by John in social media.
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I woke up this morning to the announcement of TC conference for startups. I have been to Demo since 1997 and Demo has been a consistent and credible player for years. Suddenly Techcrunch arrives on the scene and punches Demo in the mouth and competes directly with Demo’s franchise.

Lets call a spade a spade – this is all about money PERIOD. We have two franchises fighting for the title of best startup friendly conference. Mike and Jason both believe and profit from helping startups and Chris runs a ‘machine’ of an event that has stood the test of time.

What I don’t understand is why Techcrunch has an global anticollaboration mindset – web 2.0 is about sharing isn’t it. Recently, Mike Arrington has been talking about wars, gangs, and getting bloody. Kara Swisher draws the Godfather references to Mike’s approach. There has been tons of talk lately that Techcrunch is drawing too many battle lines in its growth strategy. As Techcrunch continues to look for financing or a rollup – their strategy might in fact pose a big risk or increase the risk factors to potential investors and partners. Certainly, it will drive page views.

Given Techcrunch’s funding level that they might not want to take a ‘frontal’ approach to competitive strategy. One thing that I did learn in business school is ‘don’t take an offense frontal approach to competitors when your under resourced..’ .

Mike should rethink his competitive strategy – try reading the ‘Art of War’ not by watching the Godfather.

Stowe Boyd a social media veteran has a unique perspective on this.  Stowe has been around the block both in social media and the conference business.

Comments»

1. Alex Hammer - April 4, 2008

This post is straight talk – which I think is sorely needed (in these situations and in general) that I 90% agree with wholeheartedly. I also think that business is by its nature highly competitive. One should never have to apolotize for that, UNLESS one goes outside generally accepted standards of decorum or fair play. Play to win and play hard is my thinking, but always play fair. Business is no different than llife, and one does need a few friends in the end (to big a world to conquer (co-conquer) alone!). Our roundup of media coverage of TechCrunch 50 vs. Demo developments: http://techleaders20.blogspot.com/2008/04/arrington-demo-needs-to-die.html


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