Presentation to Outdoor Industry at the European Outdoor Summit, 17 October 2013 in Stockholm.
Abstract from the event program:
"Everywhere you turn these days there is a story on the promise of Big Data. Fact is, there is a wave of innovation in Big Data technologies under way that will affect our business. But are we really having a clear idea on how to use it to create new business?
Here in Europe, we're selling against Amazon, Google and other algorithmic commpetitors using spreadsheets and other manual methods. Nobody is talking about concrete use-cases or generating any new business value from Big Data. Until now.... Listen to Jason Radisson, in charge of a complex and forward looking initiative from Sport Scheck to grasp the huge untapped potential of tomorrow's e-commerce consumers."
(Generative) AI & Marketing: - Out of the Hype - Empowering the Marketing M...
Getting Started in Big Data-Fueled E-Commerce
1. Getting Started in Big Data
Fueled E-Commerce
European Outdoor Summit
Stockholm, 17 October 2013
jason.radisson@echtzeit.net
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2. E-commerce is entering another wave of disruption, Big
Data is a driver
Universalists and market-places
USP
1. Same-day
delivery
Food/Non-Food
Price, broad selection,
convenience
2. Big data
Category specialists
Sporting
Goods
Curation: i.e., deep
selection, specific
expertise and service
HABA
Brands
Pharmacy
Cosmetics
Brands
Outdoor
Fitness
Brands
Electronics
DIY
3. Proliferation of
incubators
Furnishings
Brands
Artisan
Flash
Ethnic
Organics
Fresh
OEMs and niche retailers
Electronics &
Media
Video & TV
Grocery
Home &
Garden
Garden
Clothing,
Shoes &
Accessories
Merchandize and
business model
innovation in the long-tail
1. With push to same-day delivery aggregators and grocery players will take on the universalists and market-places in 2014-15.
Everyone will be looking to the long-tail items to subsidize increasing fulfillment costs.
2. Big Data advantages universalists who can aggregate long-tail demand. They’ll use it to move into curation.
3. Increasing disruption to traditional consumer businesses drives demand for innovation, leading to a spike in e-commerce
incubation activities. Lots of venture funding chasing similar concepts (project a, 7 ventures, rocket internet, REWE ventures, etc.)
> Everyone, especially category specialists and brands, will need to step up as gross margins get squeezed, even as OPEX rises
1
The main challenge is, most companies can’t staff this capability alone and suppliers aren’t set up yet to help. By the time they are it may be too late. Change hurdles are non-trivial.