A brilliant presentation by Omar Asghar of Mashreqbank about the power of innovation in marketing and advertising

1. Innovation Models
That Click
Digital & Online Marketing Summit , IQPC
19th May 2009
Omar Asghar
Head, Wealth Management
Mashreq

2. Innovation …
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3. Innovation Is Easy
Hangout with weird
And thou shalt become more weird
Hangout with ‘duh’
And thou shalt become more ‘duh’
Tom Peters
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4. Think For Yourself & Stop Copying A Rival
To grow, companies need to break out of
a vicious cycle of competitive
benchmarking & imitation.
W. Chan Kim & Rene Mauborgne
Financial Times 2003
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5. Creating The Purple Cow
To create and sell something remarkable,
you need to be daring, original, passionate
and gutsy. You cannot be remarkable by
following someone else who is remarkable.
Godin’s ideology combines three elements:
Seth Godin
Fast Company 2003
1- The end of TV-industrial complex;
2- No deceit, No spam;
3- Ideas must earn the buzz by being
5 remarkable

6. Differentiating Between Cows
Lets look at the success of some remarkable companies …
What do …
Four Seasons or Motel 6 …
Neiman Marcus or WalMart …
Nokia or Nintendo …
possibly have in common?
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7. Embracing The Remarkable Cow
… The thing they have in common is that they have nothing in
common!
They are outliers, they are on the fringes, super-fast or super-slow,
very exclusive or very cheap, extremely big or extremely small.
The leader is the leader because he did something remarkable. And that
remarkable thing is now taken, so its no longer remarkable when you decide
to do it
- Seth Godin
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8. A Futurist’s Innovation Model
Never mistake a clear view for a short distance – Paul Saffo
Source: Saffo.com; Every 30 years or so, a science discipline turns into a technology and transforms our lives. Chemistry,
Physics, Electronics and …
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9. Models of Innovation
> Process improvements that enhance the quality of life
> Altering consumer behavior through Science & Art
> New media driven business models
> Test labs, participation and wisdom of crowds
> Creating passion through innovation
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10. Making Things “Faster”
Printing The Internet
Gutenberg revolutionized the spread of Internet takes Gutenberg to a whole new
information level
Replaced monks doing calligraphy All of the world’s information easily
accessible at the click of a button
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11. Enhancing The Quality Of Life
Limited Liability Free Markets & Capital Markets
Gave birth to a new, risk-taking generation Allowed individuals to take risks, try their
ideas, and work to fashion “progress”
Provided employment and opportunity
across the society From Adam Smith to Milton Friedman, from
hedge funds to Goldman Sachs, scads of
Nobel Prizes have been awarded to folks who
have figured out bits and pieces of this piece
of magic.
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12. Low-Tech And Lean Services
Dabbawalas (box carriers)
Mumbai’s globally recognized business of
carrying and delivering fresh homemade food to
offices.
About 200,000 Tiffins delivered everyday by
5,000 dabbawalas
One mistake in 16 million deliveries
Inspired credit courses in the world’s leading
universities on process design and quality
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13. Banks: Open All Day, 24X7
Innovations in Banking
- Ability to bring the bank to the customer via multiple channels in
mediums desired by customers …’bringing the bank to you’
- From Branches to Call Centers to ATM’s to Mobile Banking to
Virtual Banks
- Plastic currencies to revolving credit to home equity lines
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14. Models of Innovation
> Process improvements that enhance the quality of life
> Altering consumer behavior through Science & Art
> Enabling technologies and new media driven business models
> Test labs, participation and wisdom of crowds
> Creating passionate customers through innovation
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15. Adopt & Adapt – The Ultimate Product Placement
Remember HotBot? Or AltaVista? There were search
engines before Sergey Brin and Larry Page set up
Google in 1998.
Radically simple: They started by asking Web surfers if
they were feeling lucky—and changed the world.
Google lifted search it to its current heights, by disrupting
the nascent Web search industry, and sending tremors of
fear into every corner of traditional media.
Revolutionalized Web-based e-mail and provided free
tools such as maps and online driving directions.
We no longer search for something on the Web.
We “Google” it.
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16. Adopt & Adapt – The Modern Home Wrecker
The BlackBerry made standalone, unconnected
PDAs irrelevant and simultaneously enhanced
(respond to e-mail on the soccer-game sidelines!)
and destroyed (respond to e-mail during dinner!)
the work-life balance of professionals
everywhere.
The BlackBerry's greatest disruption wasn't in
killing off competitors (Palm fired back with its
popular Treo smartphone in 2001) but in
breaking down the walls between work and
home and eroding the nine-to-five
paradigm.
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17. Adopt & Adapt – People Of The Pod
Multiple MP3 players existed before (and after) the
iPOD.
Apple created a passionate following when they
teamed this up with the knock-out iTunes store.
Today, the iPod and its eco-system are disrupting the
way we watch TV and movies—both are now available
for downloads.
Launched a whole new form of media, such as the
podcast, which allows anyone to become a radio
broadcasting host.
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18. Adopt & Adapt - Touch ‘n Go
Apple revolutionized the ‘Phone’ by integrating all daily activities into a
handheld device
The touchscreen and associated features (like ‘pinching’) transformed
customer experience
The most significant event - Apple released the SDK in Feb 2008,
allowing independent developers to offer games/apps to users across the
world
The download frenzy was phenomenal –
10 million apps downloaded in week 1, 500 mn apps by Jan’09
13-yr old Connor Mulcahy downloaded the 1 billionth app
(“Bump”) on 23rd Apr ’09
The technology is a sign of times to come, as shown in sci-fi movies
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19. “Disrupting” Face of Art … From Canvases
“Persistence of memory”
- Salvador Dali, Spanish
Surrealist
“Skull with burning cigarette” “Starry Night”
- Vincent Gogh, Dutch Post- - Vincent Gogh, Dutch Post-
Impressionist Impressionist
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20. New Face of Art – Installation Concepts
“Physical impossibility of
death in the mind of
someone living”
- Damien Hirst, YBA
“Detail of 7 WTC”
- Jenny Holzer, American
conceptual artist using
“Text as Art” in multiple
mediums
“For the city”
- Jenny Holzer installation
“For the love of God”
- Damien Hirst, YBA
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21. Banks: Recognizing The TV-Industrial Complex
Integrated insights Integrated Objectives Integrated Customer Integrated Treatment Optimal Customer
into Customer and Processes Treatments Delivery Experience/Relationship
Assets Web
Cards Liabilities
Cards Offers Mktg. Phone
c
Customer Customer
Liabilities Svc. Branch
All Others
Assets
All Others ATM
Commensurate Value Exchange
Viewing the customer as a segment of “1”
Persistence of customer interaction context
Recognizing the customer as the corporation’s most strategic asset
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22. Models of Innovation
> Process improvements that enhance the quality of life
> Altering consumer behavior through Science & Art
> Enabling technologies and new media driven business models
> Test labs, participation and wisdom of crowds
> Creating passionate customers through innovation
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23. New Media Businesses – Power Networking
Facebook has become, in just under 5 years, the home of more than 25 million corporate
employees (a Microsoft Facebook group has more than 10,000 members), political campaign
supporters and college alumni. Total users clocked 132 million in June 2008.
Begun as an online network site for college kids,
Reinvented itself into a platform for anyone to build software tools and services for its members.
Further disrupted by offering a free iPhone app. 25% of all iPhone users have used the app (source:
comScore). More than 1 million people are signing up every month; 30 million users clocked.
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24. New Media Businesses – I Tube, You Tube, We All Tube
Started as a way to share video clips between people
Changed the way we are entertained, how we are advertised to and how we promote ourselves online.
YouTube was launched in Feb 2005 and bought by Google for $1.65 billion. Is now home to amateur
advertisements, viral political campaign spots, video résumés—even executive apologies.
After JetBlue's major service disruptions, staffers at JetBlue posted then-CEO David Neeleman's apology to
customers on YouTube. The video site's popularity has even inspired Hollywood to create new bite-size
films.
YouTube was an integral part of the 2008 US presidential campaign strategy.
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25. New Media Businesses - What are you thinking?
Twitter captured the fascination of the world - what people are
thinking, and doing, all thrown up to your group of friends / network
Was rated the fastest growing website (Ac Nielson, 1382%)
Extensively used in the US Presidential campaign by Barack
Obama
When it was used by victims, and bystanders to gather news and
coordinate responses to the 26/11 Mumbai terrorist attacks, CNN
described it as “the day Social Media appeared to come of age”
More disruption is on the way - the combined power of human
mind and thoughts throws up immense possibilities, if supported by
the right computing capacity
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26. New Media Businesses – Virtually Inescapable
Started off as an alternative for gaming geeks
Has attracted many corporations to its virtual shores, including Starwood Hotels, Bain & Co., and
IBM, all there to test out hotel concepts, recruit candidates, or hold global collaborative meetings.
Auto makers are allowing residents to design their next car on TSL.
Gartner Research predicts that by 2011, 80% of Internet users will have avatars, or 3D digital
personas, and by the end of 2012, 50% of businesses will have virtual offices, or “networked virtual
environments.”
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27. Banks: Enabling A Virtual Financial World
> Online Brokerage
> Chip based credit cards
> Contact less technology
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28. Models of Innovation
> Process improvements that enhance the quality of life
> Altering consumer behavior through Science & Art
> Enabling technologies and new media driven business models
> Test labs, participation and wisdom of crowds
> Creating passionate customers through innovation
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29. Growing With People
Successful innovation is always enabled through test labs
•Finding non-target captives
•Expanding information through the knowledge of people
•Creating Experience Labs and Credit Testing
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30. Wii Like It Very Much
Nintendo's Wii - the hot-selling video game console, in which users swing wireless remotes to box,
play tennis, or hit home runs on their TVs.
Costs just $250, compared to $600 for Sony's PlayStation 3.
Originally wasn't targeted at the typical gaming enthusiast
Simpler graphics and active format have found fans among the traditionally nongaming populace, such
as grandmothers and soccer moms.
Wii sales have pummeled those of the PS3—and surged Nintendo's stock since its launch in Nov ‘06.
Wii Fit took the story further, with more than 1 mn units sold in less than a month of launch in Dec ‘07
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31. The Wisdom Of User Generated Content
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32. Turning Branches Into Experience Labs
> Paco Underhill > Keep the Change > Credit Testing
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33. Models of Innovation
> Process improvements that enhance the quality of life
> Altering consumer behavior through Science & Art
> Enabling technologies and new media driven business models
> Test labs, participation and wisdom of crowds
> Creating passionate customers through innovation
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34. Setting the world on fire
•"World on Fire" opens with the claim of having
cost $150,000
•Follows with a low-quality footage of McLachlan
in a plain room playing her guitar.
•Subsequently reveals it actually cost $15
•Then displays (in animated and videotaped
segments) how the remainder went to enriching
lives all around the globe through charity
donations.
•Graphically illustrates the impact that even
relatively small individual donations might have on
third-world poverty.
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35. MTF
•Chris Martin (Coldplay) is outspoken on issues of fair trade and has
done a great deal of campaigning for the charity Oxfam's Make
Trade Fair campaign.
•When performing, has variations of "Make Trade Fair", "MTF" or an
equal sign written on the back of his left hand and the letters "MTF"
can be seen emblazoned on his piano.
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36. The Pod Piper … creating passionate followers
Thousands of passionate iPod users click
their photographs across the world with
their iPods and share it with the iPod
community.
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37. The Pod Piper …
“When you start looking at a problem and it seems really simple with all these simple
solutions, you don’t really understand the complexity of the problem. And your
solutions are way too oversimplified, and they don’t work.”
“ … then you get into the problem, and you see it’s really complicated. And you come
up with these convoluted solutions. That’s sort of the middle, and that’s where people
stop, and the solutions tend to work for a while …”
“ … but the really great person will keep on going and find the key, underlying
principle of the problem. And come up with a beautiful elegant solution that works.”
- Steve Jobs
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38. Reverse-engineering passion…
“Surrender your whole being into a
note and gravity disappears”
- Carlos Santana
Learning more
Wanting to keep getting better
Showing off…….
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39. Reverse-engineering passion…
The Secret of Passionate Customers
“It does not matter what customers think about you;
How they think about themselves as a result of their interaction
with you, your product, your company that matters”
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40. Setting the world on fire
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41. Thank You
omarsa@mashreqbank.com
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