The document discusses how businesses are adapting to changing consumer behaviors and trends driven by the COVID-19 pandemic and increasing digitization. It summarizes key shifts in consumer behavior across areas like shopping, work, learning, entertainment, and health. It also discusses how businesses can leverage new opportunities in areas like online retail, entertainment, nutrition, and gaming. Finally, it emphasizes the importance of a customer-centric approach and focusing on customer experience to attract, engage, and monetize customers in the new digital economy.

3. Hello::

4. Trends
analyst
Head, Strategy & Digital,
Insight Publicis
Pop culture
strategist
Student of
culture &
brands

5. INTRO:
Playing a purposeful and
meaningful role in society

6. Humankind is now facing a global crisis. Perhaps the
biggest crisis of our generation. The decisions people and
governments take in the next few weeks will probably shape
the world for years to come. They will shape not just our
healthcare systems but also our economy, business, politics
and culture. We must act quickly and decisively.
- Yuval Noah Harari, Author, 21 Lessons for the 21st Century
“
”

7. THE CONDITIONS CHALLENGING
BUSINESSES TODAY
● Rapid velocity of change
● Increasing diversity of competition
● Precarious geopolitics
● Systems level economic failings
● Excess of information, and
● Changing definitions of value

8. The Low Touch Economy Has Affected
Consumer Behavior In Five key Ways,
Some of Which Will Have A Lasting Impact.
McKinsey , Consumer Pulse Surveys, June 21, 2020

9. SHIFTTOVALUEANDESSENTIALS
• CONSUMERS AREMINDFULOFTHEIRSPENDINGANDTRADINGDOWN,AND
OPTIMISMINTHEECONOMICRECOVERYHASN’TSEENARESURGENCE
FLIGHTTODIGITALANDOMNI-CHANNEL
•MOSTCATEGORIESHAVESEENMORETHAN10%GROWTHINTHEIRONLINE
CUSTOMERBASEDURINGTHEPANDEMIC-ANDMANYCONSUMERSSAYTHEYPLAN
TOCONTINUESHOPPINGONLINE
SHOCKTOLOYALTY
• VALUEWASTHEMAINDRIVERFORCONSUMERSTRYINGANEWBRANDORPLACETO
SHOPFOLLOWINGSUPPLY-CHAINDISRUPTIONS
HEALTHAND“CARING”ECONOMY
•THEACTIONSTHATBUSINESSESTAKE DURINGTHESEPRECARIOUSTIMESARELIKELY
TOBEREMEMBEREDFORTHELONG-TERM
HOMEBODYECONOMY
•MORETHAN70%OFCONSUMERSDON’TYETFEELCOMFORTABLERESUMINGTHEIR
“NORMAL”OOHACTIVITIES

10. We see new behaviors emerging
across 8 areas of life namely:
● Work
● Shopping and Consumption
● Learning
● Life at Home
● Communications and Information
● Play and Entertainment
● Travel and Mobility
● Health and Wellbeing
Source: McKinsey: “How
Covid-19 is Changing
Consumer Behavior”
THESE BEHAVIOR SHIFTS CUT ACROSS
DIFFERENT INDUSTRIES AND SECTORS

11. OUR LIVES WILL FOREVER BE ALTERED
BY THE INFLUENCE OF TECHNOLOGY
New Forms of Consumerism New Behaviors Different Dynamics

12. DATA, MOBILITY AND TECHNOLOGY
DOMINATING THE CENTRE STAGE
Telco Efforts Are Intensifying to
Drive Growth in Digital And
Triggering A Data Explosion
Digital Disruption of the
Media And Entertainment
Sector
IoT Value Moves Up the Stack
to Retail and Financial
Platforms

13. EMERGING SOCIAL TRENDS ARE THE
NEW NORMS
Redefined Social
Engagements
Fostering Creativity And Self
Actualisation
Growth of Music
Parody
IncreasingSocial Media
Adoption And Usage
Content Streaming
And Downloads
Family
Bonding
Growth of Alternative E-
Channels
Growth of Online Retail
And Ecommerce Stores

14. INFLUENCING CONSUMER LIFESTYLES
AND PURCHASE PATTERNS
Remote Working
Now A Reality
Growth in Internet Usage
And Consumption
Content Streaming And
Downloads
Interest Surge In
Ecommerce And Online
Payments
The opportunity spectrum for businesses straddle these consumer purchase patterns

15. IMPACTING BEHAVIOR AND OPENING UP
NEW AND EXISTING OPPORTUNITY ZONES
Online
Entertainment
Personalised
Nutrition
Direct to Consumer
(DTC) Retail
Virtual Gaming

16. WHICH IN TURN IS DRIVING OPTIMISM, HOPE
AND ASPIRATIONS OF PEOPLE THAT WE NOW
HAVE TO LOOK WITHIN FOR SOLUTIONS
Rise Of Afro-
Optimism
Entrepreneurship And
Technology
Social Community
Cohesion

17. AFRO-OPTIMISM IS FLOURISHING AMONG YOUNG
AFRICANS WHO VALUE ENTERPRENEURHIP AND
INDIVIDUAL RESPONSIBILITY

18. WE ARE LIVING IN A COMPLETELY DISRUPTED WORLD WHERE
NEWLY DEVELOPED SECTORS ARE DRIVING ECONOMIC
GROWTH, OUR GDP, AND COMPETIVENESS AS A NATION
Nigeria’s E&M market is dominated by Internet revenue and shows a similar growth path to that metric. Having reached US$4.5 billion in 2018, E&M
revenue will rise at a 19.3% CAGR to reach US$10.8 billion in 2023. Source: Entertainment And Media Outlook (2019-2023),PwC
Nigeria To Become US$10.8 Billion Market By 2023

19. A PERIOD OF RAPID GROWTH SPURRED BY DIGITAL
TECHNOLOGY, WHICH SUPPORTS CONTENT
CREATION, DISTRIBUTION AND CONSUMPTION

20. THESE SECTORS ARE NOW OPENING THE STAKES,
CREATING ECONOMIC INCLUSION, AS WELL AS
WIDENING THE OPPORTUNITY SPECTRUM FOR
OPPORTUNITY FOR FINANCIAL INCLUSION

22. INSTABILITY IN THE PRESENT IS
OPPORTUNITY FOR THE FUTURE

23. START FROM THE FUTURE BACK

24. FUTURE DRIVERS

25. INNOVATE FROM THE ‘OUTSIDE-IN’

26. LESSONS ON RUNNING LEAN

27. Tesla’s electric cars require huge packs of EV
batteries, made of thousands of lithium-ion cells.
Until recently, the lack of demand for electric
vehicles meant that companies had not invested in
battery technology development, resulting in
prices remaining high and making the cost of cars
prohibitively more expensive than their gasoline
counterparts.
Tesla invested in a massive gigafactory to
produce the newest battery packs themselves,
and the economies of scale, as well as not paying
markups to manufacturers, are estimated to save
them 30% of the cost of the batteries.
TESLA: VERTICALLY INTEGRATED SUPPLY CHAIN

28. Investorsincreasinglybasetheir
judgementon optionality,which
isreflected on valuation multiples.A
company’sbiggest challenge then
becomes tocrystallize this
optionality.
Rising share of
optionality in
valuation
The new economy is leading to massive value shifts driven by three simultaneous trends.
Theemergenceof new models,
changing competitive
environments,evolvingsector
boundaries. Perspectivesare
blurred.
Theconcept of “value” needs to
be redefined:isitbased on the
generation of flowsor on the
development of assets, on usage
valueoron financial value?
Value chain
disruption
New value
definition
BRINGING VALUE TO BUSINESS

29. Valuation approach in the new economy needs to
integrate all drivers for value creation and provide a 360°
vision of businesses.
Differentpillars of value creationneedto be taken into accountin
orderto assess a company’svalue and growthsustainability:
Customers
Talents
Ecosystem
Social &environmental impact
Software
Value
Creation
pillars
Customers
Talents
Ecosystem
Social &
environment
impact
Software
PROVIDING A 360°APPROACH TO VALUE CREATION

30. 200s
Performance
grading of
royal family
members
(China)
1800s
Daily performanceof
employees (Scotland
manufactures)
1200s
First follow-up of
margins (Venice
merchants)
1930s
ROI& apparition of
the first dashboards
(France)
1990s
The BalancedScorecard
evaluates financial &
non-financial
performance(US)
1910s
Taylorism introduces
the calculation of time
per movement (US
workers)
2015s
Digital revolution brings
out new customer-centric
players questioning
traditional KPIs
2018-2019
Amazon, the “customer
company”, is valued $1trn
Customer approach
expands to take into
account allstakeholders
1970s
EBITDAis
introduced to
highlight cash flow
capacities (US)
2000s
Introduction of
ARPU
(Telecoms)
Productivityera
Stakeholder era
Finance era Customerera
EACH ERA HAS CREATED ITS OWN KPIs

31. Traditional Economy
Industrial economy, centered on products
New Economy
Usage economy, centered on customers
Vs
Frommarkets...
Marketing mix (4P)
Competition on one
offer
Market share
From achain...
Added value
Value chain
Assets owner
Number ofsuppliers
From corebusiness...
5-year plan
Growth & margin
Business portfolio
…tocustomers’ needs
User experience (4C)
Competition on one particular need
Usage share / Share of wallet
...to an ecosystem of partners
Circular value
Closed loop of value
Network orchestrator
Length of network & diversity of connections
...to mission statement
30-year vision, 6-month action plan
Customer Lifetime Value
Experience platform
NO MORE MARKETS, ONLY CUSTOMERS
Looking at the
new economy
with different
“glasses”.

32. Revenue=
Unit price x
number of
products
Revenue=
Revenue per
customer x number
of customers
Total Profit
Traditional Management
Product
A
+ +
Margin A Margin B Margin C
=
Customer
SegmentA Profit Seg.A
Profit Seg.B
Profit Seg.C
+
+
New ManagementModels
=
Product
B
Product
C
Customer
SegmentB
Customer
SegmentC
SHIFTING FROM PRODUCT MGT. TO CUSTOMER EXPERIENCE:
Revenue Based on Customer Spendings vs. Products

33. Selling subscriptions at a loss…ornot!
The classical marketing & commercial approach has usually been to minimize
acquisition costs. But with Prime’sgenerous advantages (free and soon 1-day
delivery, streaming, etc.), Amazon is looking to maximize its margins by
investing in a growing base of customers spending more moneymore often, and
spending more time attachedto the brand(rather than optimizing costs).
An investmentthat paysoff:
Amazon Prime
Annual
spend per
member
Retention rate
after 1styear
$1400 vs. $600
non-Prime
93%
+
Prime subscription ($120yearly)
- Prime costs (Video &music content /
delivery cost)
=Greater net short-term costs for
Prime
After 2 years 98%
=Greater long-term profit forPrime
[As of June.2019]
+offer
+service
+business opportunities
+purchases
+customer data
+revenue
+products
+competition (lowerprices)
Prime
Video,Music &
Reading,
Free shipping etc.
Customers
+customers
+purchase
frequency
Sellers
+sellers
AMAZON: INVESTING IN CUSTOMER BASE TO GROW
PROFITS AND IMPROVE PERFORMANCE
Sources: worldwide figures from
Amazon, Fortune, Beamer

34. 7
5
%
of the content viewed on
Netflixis based on personal
recommendations.
Relying oncustomer
centric metrics
Netflix captures data
corresponding to various
problematics
W hen is the user watching
the program? Where?
On which device?
W hen does the user pause or
switch off programs?
W hat do users research?
To betterunderstand
users
by cross-referencing data and
identifying habits &
preferences
And drivestrategic
choices
regarding content creation and
licence buyout to provide better
customized content
House of Cards, a
data-driven production
Netflix relied on user data
showing their interests &
preferences to produce a
€100m TV serie and create
different trailers, each targeting
different customer segments.
A long-lasting growing revenue (in$m)
Netflix leverages customer data to draw a specific profile for each
user and design via complex algorithms a uniquecustomized
catalogueof movies for each, which has been the base of the
strongcustomerexperience, on which Netflix built its success.
In a context of increasing competition among streaming services,
and of Netflix subscribers growth slowdown in Q2, customer
centricityisall the more key to accentuateuserengagement.
NETFLIX: LEVERAGING CUSTOMER KNOWLEDGE TO
INCREASE ENGAGEMENT AND GENERATE REVENUE

35. THE NOTION OF CUSTOMER
GOES BEYOND THE
COMMERCIAL TRANSACTION

36. New businessmodelshave redefinedthe
customerconcept,and make no difference
betweenpaying customers& non-paying ones.
Indeed, customer-centric companies strive
to deliver the best possible experience to
everyone to catch their attention and turn it
into commitment, and eventually into
revenue…whether or not a transaction
is made.
The scope of the customer notion brings
together all steps of the relationship with the
company, from being a visitor, to being a non-
paying user, and finally a paying one.
The customer scope
Visitors
Anyone who pays special
attention to you.
Non Paying Users
Anyone who uses your
product/service but
does not complete a
purchase.
Paying Users
Users who complete
a purchase.
Value Creation
IN THE DIGITAL ECONOMY, EVERYONE IS A CUSTOMER

37. Attract Engage Leverage
Awareness
Reach of the company
Retention
loyal & frequent users
Monetization
Generating revenue from
users (paying ornon-paying)
Activation
Visitor commitment
(giving
information…)
Acquisition
of visitors
Attention drawn
Conversion
Visitors become users
(paying or non-
paying)
Fueled by customer experience
THE CUSTOMER LIFECYCLE, FROM ATTENTION TO REVENUE

38. Models based on
data monetization
(advertising,affiliation) can
measuretheir
non-paying customers (users)and
their paying customers
(advertisers).
B2C freemium
models
B2B2C models
can measuretheir paying
customers (companies)and their
non-paying customers (final
users:employees).
Depending on their business model, companies can measure paying users, non-paying ones, or both.
can measuretheir
non-paying customers (users)
and their paying customers
(subscribers), analyzing
engagement & monetization of
each.
THE CUSTOMER LIFECYCLE, FROM ATTENTION TO REVENUE

39. The
customer
era
Efficiency
Gucci partnered with
Farfetch to launch F90:a
90mn delivery service of
any Gucci article.
Personalization
Spotify generates a unique
track curation for each user,
thanks to its AI algorithms.
Simplicity
Amazon offers additionalservices
to provide a seamless experience in
fashion: Prime Wardrobe (members
try before they buy) and Echo look
(clothing style analysis and
recommendations).
Trust
Qwant differentiated from
Google by insisting on user
protection, with its slogan “The
search engine which respects
your privatelife”.
EXPERIENCE IS AT THE HEART OF THE
RELATIONSHIP WITH CUSTOMERS
Customer satisfaction must be the ultimate goal of customer experience

40. The
customer
era
Delivering wow customer service to achieve a lowchurn.
Zappos invests in its ‘Customer Loyalty team’ to deliver a wow service, via an overstaffing that enables “breathing
space” for employees, in-depth training and a wide flexibility regarding scripts and calls timing.
By focusing on its customer service, Zappos creates a strong emotional connection with customers, which has
proven successful in terms of acquisition andretention.
Experience lays the foundation to attract customers and engage them, in order to create value
Inversely,a better
knowledge of each step
of the customer path can
highlight potential areas
of improvement of the
customer experience.
A better
Customer
Experience
Attractiveness
Customer
Engagement
Monetization
Improves Optimizes
ZAPPOS (Acquired by Amazon in
2009)
EXPERIENCE IS THE BACKBONE OF CUSTOMER VALUE

41. The framework to evaluate a company’s customer capital integrates
4 complementary key blocks of KPIs that retrace every aspect of the customer scope:
Attract Engage Leverage
Customer
Experience
Capacity to
acquire &
activatevisitors
Capacity to convert
them into
customers &
engage them
Capacity to
monetizeyour
customers
Improves results
Rely on a seamless
and satisfying experience
EVALUATING EACH STEP OF THE CUSTOMER LIFECYCLE

42. CREATING VALUE ::

43. BUSINESS INNOVATION

46. Afrojuju :: Communiverse
Thank you ::