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How brands can sell more in a changing world

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How brands can sell more in a changing world

  1. 1. A strategic model for assessing the current landscapeand market trends Political Environmental Economic Ethical Technological Social
  2. 2. Political: Change and uncertainty
  3. 3. Political • Move from welfare state to personal responsibility • Lack of trust and cynicism about Political those in power – Occupy London • People want to take a more activeEnvironmental role in government Economic Ethical What does this mean for brands? • Provide trusted advice and tools that will empower people to take more control Technological Social over their lives
  4. 4. first direct use their Lab area to start conversations Politicalwith consumers, encouraging feedback anddialogue: First direct Lab Microsite homepageRecommendation:Use conversationstarters to gain customer feedback.These insights can be used to designfuture products and services aroundthe needs of customers
  5. 5. The White House aims to be accessible and transparent: PoliticalOffice Hours are a chance for voters to have a live Q&A withsenior members of the government. Anyone can ask aquestions using #WHChat Storified example of a #WHChat White House Office Hours pageRecommendation: Twitter Q&As allowcustomers to interact with knowledgecentres within the company and givecompanies the opportunity to lead thedebate on issues that affect the business
  6. 6. The ability to track all our personal data from where we’ve been, Politicalwhat we were doing and who we were with, is empowering us totake more control over our lives. The move towards greater personalresponsibility is embodied in the increasing popularity of health apps Apple’s App Store currently offers 9,000 mobile health apps (including nearly 1,500 cardio fitness apps, over 1,300 diet apps, over 1,000 stress and relaxation apps, and over 650 women’s health apps) and by mid-2012, this number is expected reach 13,000 (Source: MobiHealthNews, September 2011)
  7. 7. Economic 34% say that finances are tight or are struggling* *Mintel, British Lifestyles – The Emotional Impact of Economic Uncertainty, 2011
  8. 8. Economic • No job security • Price sensitivity, effectiveness and value – price comparison • Continued growth of e-commerce, Political mobile commerce and social commerceEnvironmental Ethical Economic What does this mean for brands? • Innovate and develop ways to provide products & services through e, m and s-commerce • Provide flexible products and services Technological Social that continue to meet the needs of customers through life changes
  9. 9. EconomicIn the UK £5.3bn was spent online during May2011, a year-on-year increase of 18% *IMRG Capgemini, June 2011
  10. 10. Consumers are using their combined power to negotiate and find Economicbetter social deals through group buying & dynamic pricing: innocentGroupon tweet & eatoffer Recommendation: meet consumers appetite for deals by trialling different social deals to learn what works best amongst its community
  11. 11. Deliver personalised services through apps: EconomicBritish AirwaysBoarding app Recommendation: People lack time; one of the key reasons for the continued growth of m-commerce is its convenience. Give them products and services in the quickest most relevant and useful form
  12. 12. Don’t second guess what your customers want. Ask them!: Economic 3 Mobile Facebook ‘On the Go’ MumsTab3 Mobile tapped into the parent community to gain insight for new product development.Mum bloggers and their readers were invited to events over the UK where they participatedin workshops. From this a shortlist of features for an app were developed and were thenvoted on via Facebook. The end result was an app specifically design for mums by mums
  13. 13. Social 25-34 are the least satisfied with their lives People feel that a lack of money is holding them back from realising their dreams* *Mintel, British Lifestyles – The Emotional Impact of Economic Uncertainty, 2011
  14. 14. Social • People power: democratisation of society. The right to have your say • Fragmented society: education and economic gap Political • Shift from individualistic to community focussed societyEnvironmental Economic Ethical What does this mean for brands? • In uncertain times where there is a lack of equality, trust and a vacuum of leadership: brands can be leaders Technological Social
  15. 15. Corporate Reputation and Trust : Social 70% avoid buying a product if they dont like the company behind the productWeber Shandwicks’ s recent global study found that corporate and brand reputations arenow nearly indivisible. The company standing behind the brand assures consumers thatthey can trust the quality, ethics and safety of the brands they are buying.
  16. 16. Socially responsible companies are stepping in to fill the void: Social Starbucks Create jobs for USA homepageStarbucks have partnered with the Opportunity Finance Network to help provide capitalgrants to those who need it. The fund has been initially seeded with $5m contribution fromthe Starbucks Foundation and will continue through donations at stores. For a donation of$5 or more, customers will receive an ‘Indivisible’ wristband
  17. 17. O2 have also spotted a gap and are moving to provide new Socialplatforms for traditional services such as education O2 Learn Website homepageThe O2 Learn site provides opportunities for teachers to upload their best lessons forstudents to explore and learn. Initiatives like this earn O2 large amounts of positivesentiment and are part of a diversification strategy. These are the first steps into newbusiness sectors where it can provide services in the future, such as O2 Health, O2 Money,O2 Insurance
  18. 18. Grassroots action: The community decides Socialwhich projects they are keen to work on: Orange Rockcorps Website homepage Orange Rockcorps asks people to volunteer four hours of their time on projects in exchange for tickets to exclusive gigs, providing unique experiences to customers whilst giving back to their communities
  19. 19. Sharing Economies: the 20th Century was about individual Socialownership the 21st Century will be about ‘collaborativeconsumption’ Some of the new start-ups in this area In the past you where what you owned now you are what you share. People are realising they don’t want, stuff, but the experience it fulfils i.e. not cars, CDs, drills, hotels but the ‘destination’, the ‘hole’, the experience of listening to music.
  20. 20. Technology
  21. 21. Technology Everything goes social: Social networks, social gestures, social apps Everything goes mobile: real time, personalised, geo-specific interaction and engagement Political Integrated experiences: across any platform or deviceEnvironmental Ethical Economic What does this mean for brands? • People are spending more time in social networks than on websites – brands need to translate key components of website content into a more social format in order to engage people •Smartphones and tablets are the entry point for Technological Social searching, buying and managing everything in your life. Customers want to have conversations and app content immediately. • Mobile is key to brand engagement strategies
  22. 22. Social spaces and actions influence consumer decisions: TechnologicalSocial gestures now allow every action to be shared without havingto explicitly tell the world: ‘I watched this’, ‘I listened to this’, ‘Ibought this’, are shared automatically (permission allowing) Every action becomes part of your social Click to currency view video Recommendation: It is important for brands to understand how to tap into people’s daily activities to leverage the power of social networks
  23. 23. TechnologicalTechnology now makes it possible to be 24/7, companies arechanging to meet the needs of customers and be always-on:Campaigns and CSR initiatives can be undermined by lackof attention to ‘always-on’ and customer service in social
  24. 24. There’s a dramatic growth in mobilisation - the uptake Technologicalof tablets is changing the way we live and work:
  25. 25. Mobile devices are the portal through which we experience life: TechnologicalEntertainment Mobile commerceNew Socialtechnology Communication -Wireless connectivity to the Cloud is providing continuous access to ‘virtual ID’s: music,entertainment, reading, social network, money and business connections
  26. 26. Mobile devices are the portal through which we experience life: TechnologicalEntertainment Mobile Retail Mobile phone operators are the gateway to your customersNew Socialtechnology Communication -Wireless connectivity to the Cloud is providing continuous access to ‘virtual ID’s:music, entertainment, reading, social network, money and business connections
  27. 27. Near Field Communications (NFC) is becoming mainstream thanks Technologicalto its easy accessibility and simple functionality Recommendation: Look at trialing loyalty through location- based services. AT&T, Intel, MasterCard and Microsoft are among the major companies backing the ultra-short-range wireless technology as a way to facilitate cashless payments, from the underground to point-of-sale terminals. EAT, the food chain, are trialling NFC in London and Tesco are deploying NFC within the M25 24/02/2012 © 2012 SKIVE Group 28
  28. 28. Augmented Reality, an exciting way to get brand messages and Technologicaloffers to consumers in real time Airwalk AR pop-up shop Airwalk offered 300 limited–edition pairs of the new Jim Shoe trainers via an augmented reality treasure hunt game. Once they had found the virtual item they could then use the code they were given to purchase the product. The ‘Invisible Store’ concept merges elements from the flash mob craze, gamification, the pop-up store and the pre-sale promotion to create a destination specific event with sales at its core. Recommendation: brands should look at how social works in conjunction with mobile applications. Consumers want to have conversations and app content immediately.
  29. 29. Environmental / Ethical
  30. 30. Environmental / Ethical • Ethical issues: CSR should be integral to a product • Digital substitution: Paper-based DM Political is becoming an unsustainable modelEnvironmental What does this mean for brands? Economic Ethical • Consumers increasingly choose and have greater loyalty for companies who care about their customers and the community 0 • Combine CSR initiatives with your product offering Technological Social • Create sustainable, paper-free channels and tools for customers
  31. 31. EnvironmentalConsumers actively choose to give their Ethicalbusiness to brands that care: Toms shoes Website For every pair of Toms shoes bought, a pair of shoes is given to a child in need
  32. 32. EnvironmentalBrands are moving away from abstract giving. New campaigns Ethicalfocus on giving tangible goods - water, supplies, food: Striiv WebsiteStriiv is a fitness product that motivates people to exercise by linking your activitylevels to the amount of money given to good causes. Striiv monitors steps andevery one counts towards giving clean water and vaccines to those who need it
  33. 33. EnvironmentalThe British Gas app replaces any need for paper based Ethicalcommunication as users can manage their bills and track theirconsumption all through the app: British Gas Mobile App
  34. 34. SummaryIn uncertain times brands should inspire confidenceProvide services and tools that empower customersIn the future, people will only give their business tocompanies that demonstrate they care and can deliveron their promises (CSR can be undermined by lack ofattention to customer service in social) 24/02/2012 © 2012 SKIVE Group 35
  35. 35. SummaryBrands need to have a clear channel and contentstrategiesPeople are spending more time in social networks,brand content needs to be in a social format in order toengage peopleEverything that has been done on a PC will be doneon a mobile moving forward. Do not underestimate thesignificance of this shift! 24/02/2012 © 2012 SKIVE Group 36
  36. 36. Skive PlanningLiz Faber, Anne McCreary, Helen Spencer 24/02/2012 © 2012 SKIVE Group 37