4. A new generation is…
already here
• Digital Natives are ~30% of the total population
in developed countries
• By 2018, Digital Natives will constitute 50% of
the working population
• 90% owns a computer
• 80% owns a mobile phone
• Spend more time online than watching TV
4
(Source:
Pacific
Northwest
Appren6ceship
Symposium
2009,
Forrester
Technographics
Benchmark
Survey
(2008)
&
Interna6onal
Database
(IDB)
5. There are clear generational
differences in online activities
Digital Natives Digital Immigrants
(Younger than 31) (Aged 31 and above)
• Online games • Health info
• Instant messaging • Buying online
• Social networking • Online banking
• Download music • Government sites
• Blogging • Religious info
Collaborative Reactive
5
(Source: Pew Internet and American Life Project)
6. The world is getting mobile…
Desktop vs Mobile
(million users)
2500
Mobile
Internet
users
2000
Desktop
internet
users
1500
1000
500
0
2007
2008
2009
2010
2011
2012
2013
2014
2015
In 2014, more mobile internet users than desktop ones are expected
(Source:
Morgan
Stanley
Research)
6
7. …and social
Email vs Social Networking
(minutes spent)
2 years ago, users spend more time on Social Media than on emails
(Source:
Morgan
Stanley
Research)
7
8. Brands are promoting themselves
through different media
Facebook Fans
Brands # Fans
(million)
Starbucks 7.7
Skittles 4.9
Oreo 4.7
Redbull 4.2
Victorias’s Secret 3.7
Pringles 3.4
Adidas Originals 3.0
(Source: Facebook) 8
10. Objectives
• Becoming aware of a generational
change
• Learning about how companies could
be impacted: risks and opportunities
• Broadening your perspective to think
about future strategies
10
13. The Digital World is populated by Digital
Natives and Digital Immigrants
Digital Natives Digital Immigrants
• Grown up in a digital world • Adopters
• Native speakers of digital • Speakers with an accent
language
(Source: “Digital Natives, Digital Immigrants” – Marc Prensky (2001))
14. The most common applications among the
Digital Natives are Facebook, LinkedIn,…
• Personal home page
• Status updates • 400+ mm active users
• Pictures • 3+ bn photos / month
• Events (Source: www.facebook.com & www.facebakers.com)
• Professional profile
• 70+ mm members
• Networking
• Job search • All Fortune 500 companies
(Source: www.linkedin.com)
14
15. … YouTube, Twitter and Blogs
• Video sharing platform • 2 bn views / day
• Comments & Rating • 24 hours uploaded / min
(Source: http://www.digitalbuzzblog.com)
• Real-time status updates
• Private messaging • 106 mm active users
• Retweeting (forwarding) • 50 mm tweets / day
(Source: Twitter Chirp & www.rjmetrics.com)
• User-generated info
• Easy to create content • 113 mm blogs (2008)
• Interactive
(Blogs)
15
(Source: www.facebook.com & www.facebakers.com)
16. Digital Natives shape the digital world…
Playful
Entitled
Instantaneous
Digital dependent
Participatory
…and the digital world shapes the Digital Natives
16
19. Love to experiment and create –
in unconventional ways
Playful
Benefits Challenges
• Intuitive • Not target oriented
• Dare to try and risk • Unstructured
• Unleash imagination • Find, don’t memorize
• See work as fun • Disruptive
• More than 1.5 millions pieces of content are created daily
www.facebook.com
• 17% of US top companies have disciplined an employee for
violating message board policies 19
21. Demand rather than ask –
feel that life owes them something
Entitled
Benefits Challenges
• Aware of needs • High expectations
• Autonomous • Egocentric
• Follow their dreams • Embrace individuality
• Pursue happiness • Low threshold to quit
15% expect more frequent opportunities to change jobs
life Robert Half International
Biggest driver for resignations: failure to meet expectations
http://www.humanresourcesmagazine.com.au/articles/FB/0C0516FB.asp
21
23. Want to be constantly engaged –
sometimes at a cost
Instantaneous
Benefits Challenges
• Instant reaction • Get bored easily
• Multitasking • Lower task quality
• Cross-referencing • Unfocused
• Adapt to change easily • Instant gratification
Shipping that takes longer than 2 days is a reason not to buy
The collision risk of drivers is 23 times greater when texting
http://www.keyorganization.com/time-management-statistics.php
23
25. Famous digital star -
prisoner of the technology
Digital dependent
Benefits Challenges
• Perform well remotely • Technology as a goal
• Are mobile • What’s "OMG2bad4U” ?
• Inclusive recognition • Lost in a virtual world
• Access to network • Fans take over brands
85% use social networking sites
PricewaterhouseCoopers LLP
200 millions searches every day on Google
Google
25
27. Give and take active participation –
whether expected or not
Participatory
Benefits Challenges
• (Inter-)Active • Expect to be engaged
• Prepared to share • Demand power
• Collaborative • Unlimited sharing
• Sustain culture • Time to delivery
Word-of-mouth is the preferred information source 42%
http://www.millennialinc.com/Millennial_Inc_PRINTPDF.pdf
Digital Natives prefer consensus over hierarchical decisions
http://www.millennialinc.com/Millennial_Inc_PRINTPDF.pdf
27
30. Behavior and technology deeply affect
traditional marketing
Virtual
Point of
Sale
3600 Transparent
Public Price
Relations Product
Marketing
2.0
Exponential
Interactive
Word of
Brands
mouth
30
31. Consistency of value proposition accross
all virtual media is fundamental
VALUE PROPOSITION
Facebook
Web Page Games YouTube Twitter
Myspace
31
32. Consistency of value proposition accross
all virtual media is fundamental
Total Views > 3.8 million
32
33. Should the PR and CRM policies
incorporate Social Media capabilities?
Blogosphere
Highly
trafficked
news websites
&
blogs
Micro-blogosphere
Bad PR on twitter can Good PR on twitter can be
destroy a company beneficial for a company
33
34. Comcast said… yes!
• Monitor
brand
comments
+ • Answer
every
tweet
• Customer
service
tool
34
35. But social media can also be very
dangerous if not well managed
35
36. Talent Management should focus on
leveraging Digital Natives capabilities
Boarderless
Innovation
Unlimited Virtual
Learning teams
HR
2.0
Recruit
Employee
Global
Projects
Talent
Collective
Creativity
(Source: Welcome to the world 2.0: Fahri Karakas)
37. Google people management practices are
innovative and address digital natives needs
Working time
80:20 rule
Trust Freedom Confidence
Personal Project Google
US$ 21 billion in revenues
(Source: www.google.com) 37
43. Jean Henin, France
jean.henin@mba2010.imd.ch
7 years international operations in FMCG
(L’Oréal, Electrolux, Nespresso)
Rafael Martín, Spain
rafael.martindeagartirado@mba2010.imd.ch
7 years IT Consulting as an entrepreneur (Emergya)
Future: IT Consulting, focused on Social Networking
Jônatas Melo, Brazil
jonatas.melo@mba2010.imd.ch
10 years Supply Chain, Logistics, Projects and Sales in Oil &
Gas and Industrial products (ExxonMobil, Cosan)
Stephanie Weg, Germany
stephanie.weg@mba2010.imd.ch
5 years International IT Project Management in Industrial
Applications, Healthcare (Siemens)
