Gig Economy

Who knew? A recent study predicted that by 2020, 40 per cent of American workers would be independent contractors. We’re told the switch to gig work is first and foremost about employers moving to what is efficient for them. Here in Canada, 85 per cent of companies recently surveyed figured they will increasingly move to an “agile workforce” over the next few years. It’s part of a “gig economy”.

The “gig economy” is an environment in which temporary positions are common and organizations contract with independent workers for short-term engagements. For lumber types, this may conjure images of portable sawmills and seasonal workers in the woods. For some lumber traders, the concept smacks of impermanence and flies in the face of marketing effectiveness that pays homage to building longterm relationships. Even so, the gig economy finds shared identity in today’s world of transactional strategies and realpolitik.

 

~Tricks and Treats~

The coldest air of the season is flowing into Western Canada today, but a beautiful starry night’s in store for Vancouver this evening. At our house, pretty sure we’ve managed to turn our pumpkin inventory 8 times since Labour Day. A quick check of the 25 Horribly Inappropriate Halloween Costumes for Kids confirms Dorothy, Toto, and this Dad are all good to go. Happy Halloween!

Breakfast of Champions

Pure gold. That’s how Ryan Holmes describes customer feedback.

In 2008 at their Vancouver headquarters, Holmes created Hootsuite, the world’s most widely-used social media management platform. He writes here in the Financial Post that while the majority of Hootsuite’s 15 million users pay absolutely nothing, “they mean everything.” Why? Because free users stress-test the company’s platform every day, discovering flaws and demanding new features. The constant feedback these users tweet provide enables Hootsuite to continuously refine their product before focus shifts to landing big clients who pay.

According to Holmes, the best market disrupters learn to listen very closely to their initial users. “Because the barrier to entry is so low.. the only thing keeping (users) tied to the product is its innate usefulness,” says Holmes. Today, we’re told that big paying customers now form the heart of Hootsuite’s market. But Homes argues Hootsuite’s strongest competitive advantage remains the millions of free users endlessly stress-testing the company’s platform every day. At the core of Hootsuite’s business, there rests an underlying acknowledgement of the importance and potential for social media to foster customer feedback in developing customer-supplier relationships.

It’s easy, even inevitable, for the pendulum to swing too far, however. The scrappy upstart becomes the industry leader. Instead of catering to end users, attention shifts to landing those huge deals. There is an antidote, of course – staying obsessed with the free users. Google, not surprisingly, is a master at this. Today, Gmail’s billion-plus monthly active users dwarf the three million businesses who pay for G Suite. That won’t change anytime soon. But having a focus group that large ensures Google is always miles ahead of its competitors.
– Ryan Holmes, Hootsuite CEO

Aspirational Lumber Labors

A social media article at Quartz this week categorizes blogging as aspirational labor. Social media researcher and author Brooke Erin Duffy describes ‘aspirational labor’ as “a forward-looking and entrepreneurial enactment of creativity.. seen as something that will provide a return on investment.” Broadly speaking then, we might comfortably frame our work trading lumber under the umbrella of ‘aspirational labor’.

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Influencer Marketing?

The degree to which intermittent posts at Harderblog are “influencers” on a road to personal riches, so far at least, is undetermined. We mostly share questions and topics gauged to hold common interest with our 135 followers to date – valued subscribers who include Mom and Dad, two uncles, and my cousin Dean. According to “influencer marketing” experts, a blogger needs at least 1,000 followers to be considered a “super blogger” or “super influencer”. At this lofty subscriber level, we’re told advertisers come calling. It’s much cheaper for a brand to reach out to a super blogger’s “organic following” than it is to place an ad in a magazine or on TV. The article at Quartz cautions that there are risks in abandoning your blog for a week, or “you see a huge dip in your followers”.  It’s a risk we accept as a part-time blogger, and full-time lumber trader.

 

Subscribers? Brother Matt, Nephews Cal and Seb, Paul – Quilchena on the Lake (4 Aug 2017)

 

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Musical Refreshment

Project Funkify continues:

High Trees’n Costs

West Coast woods are regular fodder for political discussions. Sometimes it involves negotiations with trading partners. Sometimes it involves social topics centering on high costs of real estate and allied concerns over homelessness. Here in Vancouver, the mayor’s aims of making this city the ‘greenest’ on the planet stirs an electorate with each new bike lane that is announced. So it is that a 24 hrs Vancouver columnist’s concern over costs involving the removal of one tree atop a condo tower caught a lumber trader’s attention, though it had nothing to do with NAFTA or SLA negotiations. See: Condo Tree

The cost of planting one tree (not on top of a condo building) is estimated at around $75. This means condo owners at Eugenia Place could effectively plant 7,300 trees for the price of the one they’ll be installing on their roof.

Only in B.C..

When my daughter Evie’s kindergarten class lined up Friday for Sports Day races with teams named after B.C. resource exports, we knew they were into serious learning. The team from NAFTA failed to show, but in the end we learned the lumber team won at least a participation ribbon. After the cheese pizza everyone went home happy.

Tiptop

It’s been said that economics is an imperfect science. So it is that sometimes even lumber market forecasts have been known to be less than perfect. In some aspects related to the woods business, accuracy can be critical – as in when you’re aiming to fall a towering Douglas Fir that’s been growing in your backyard for a century. Unfortunately due to root rot, this giant had to be removed in Langley on Thursday. We can appreciate there was little margin for error. Some days are like that. Thanks to Duke and Tracey for the video!

Northwestern EXPO

“Tune in!” shouted Mike Foley, Certified Speaking Professional and founder of Clarity Central, keynote speaker yesterday at the Northwestern Building Products EXPO in Bloomington, Minnesota. That’s how Mike suggests we differentiate ourselves in a world where everyone is distracted, overwhelmed, overworked – and no one is present. “Tune in to your kid, your boss, your partner, your customer,” said Mike, while noting the attention span of a millennial (8 seconds) is shorter than the attention span of a goldfish (9 seconds).

In his breakfast presentation, Mike expanded on his four keys to “letting go” and “losing the junk in our trunk”: grow your comfort zone, find your balance, manage your mind, lighten your load. It was a fast-paced workshop. One memorable round table exercise quickly revealed how growth can only occur outside the comfort zone, in “the stress zone”. How to manage your mind? “Become a fine connoisseur of the present moment! Where do you live? In the past, present, or future? How does this affect your life? How would it change if you lived moment to moment?” His segment on the importance of credibility and balance – “responding skillfully” – was perhaps most relevant to many attendees engaged in lumber trading.

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Market Minute

While Dakeryn has been an associate member of the Northwestern Lumber Association for a number of years, this was our first time attending and exhibiting at the Northwestern Building Products EXPO. Held at the DoubleTree by Hilton Hotel in Bloomington, MN, the show was tight and upbeat. Virtually every key US distributor in the region was represented. Most retail dealers in attendance acknowledged that business was ticking along – unseasonably steady for January. While the show’s slogan was A World of Opportunities, the majority of Midwest lumber dealers we spoke with openly expressed apprehension over looming cross-border trade constraints. Most-asked question: “What’s going to happen?”