Huge - Aaron Shapiro - iStrategy Chicago 2012

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Digital Transformation: The Opportunity for Marketers

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Huge - Aaron Shapiro - iStrategy Chicago 2012

  1. 1. October 9, 2012iStrategyhugeinc.cominfo@hugeinc.com45 Main St. #220 Brooklyn, NY 11201+1 718 625 4843
  2. 2. Why do certain things happen when…and what does this mean for the future?
  3. 3. The Instant EraInstant internet, for everyone, anywhere
  4. 4. 1 gbps @ $70/month
  5. 5. PCBroadbandGrowth
  6. 6. The mobile inflection point PC Broadband Growth
  7. 7. The Instant EraDo anything, on demand
  8. 8. lockitron
  9. 9. Siri
  10. 10. Search for web pages Search forthat contain the actual Forget the information search, justinformation I’m looking do it for me I’m looking for for
  11. 11. The Instant EraGet anything, on demand
  12. 12. Same Day Delivery
  13. 13. The Instant EraDigital-first consumer
  14. 14. Post-DigitalsDigital is the preferred way of doing everything.
  15. 15. The post-digital user. •  Always  “online”   •  Connected  socially   •  Knows  how  to  find  what  she   wants     Natasha   Connected  Shopper   $   SALE  Transparency   Inspira3on   Value   Discovery   Informa3on   Communica3on  
  16. 16. In a few years, she’ll bethe primary decision-maker for all householdand business purchases.
  17. 17. She’s having her first childbefore the next Presidential election.
  18. 18. Online & Digital-Influenced Sales as a Percent of Overall Sales
  19. 19. They buy more online than any othergeneration, and more of their purchases are through Amazon.
  20. 20. The Instant EraExtreme commoditization
  21. 21. Location is no longer a barrier to sales.
  22. 22. Pricing is transparent.
  23. 23. Brands aren’t neededto communicate quality.
  24. 24. Competing in a world ofextreme commoditization
  25. 25. Two ways to win: a choice Verticalize Compete your at scale brand Open ClosedEmbrace commoditization Be your own industry
  26. 26. Open.
  27. 27. “I will win because I am cheaper and easier to do business with than anyone else.”
  28. 28. Vizio
  29. 29. Samsung
  30. 30. Key AttributesThe scale to consistently be the best value.
  31. 31. Key Attributes Easy to do business withthanks to frictionless transactions.
  32. 32. Closed.
  33. 33. “I will win because I am unique. Consumers will want to beassociated with my unique brand.”
  34. 34. The vertical business Product Design Manufacturing One brand Brand experience spanning all Retail touchpointsPost-Purchase Experience    
  35. 35. Key AttributesChannel control: you can only buy from me.
  36. 36. Key AttributesCombine digital and analog to create a unique service.
  37. 37. Key AttributesData component of service creates lock-in.
  38. 38. Key AttributesSingle cross-channel experience that makes people emotionally connect with the brand.
  39. 39. Transformation.
  40. 40. Companies must transform to succeed in an instant era Open Closed Winning Winning by verticalizing through scale your business.
  41. 41. 3 transformation imperatives:1. Users first2. Software layer3. User-first company
  42. 42. A relentless focus on meeting user needs. 1.Grow your user base and customers follow. 2. Think of customers as users.
  43. 43. 3 transformation imperatives:1. Users first2. Software layer3. User-first company
  44. 44. Every interaction that anyone wants to do with your companyshould be possible through digital. No humans required.
  45. 45. Website APIsMobile Apps Social etc.
  46. 46. Two businesses to run.
  47. 47. 3 transformation imperatives:1. Users first2. Software layer3. User-first company
  48. 48. hugeinc.cominfo@hugeinc.com45 Main St. #220 Brooklyn, NY 11222+1 718 625 4843

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