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Perpetual Leadershift

The X factor for driving digital transformation
Jenny Williams | Ideagarden
The Renaissance: "
15th Century
Da Vinci
 Michelangelo
 The Medicis
The Industrial
Revolution: "
19th Century
The steam engine
Google
 Facebook
 Cloud computing
 Quantum computers
The Digital Age: "
1990 to ?
Our recent history is littered with
technology that has changed the world
ipad
2010
walkman
1979
personal
computer
1973
radio
1895
vcr
1963
tv
1927
phone
1876
mobile 
phone
1987
cd
1983
iphone
2007
laptop
1984
camcorder
1982
In 1939, "
The New York
Times predicted
that television
would fail because
people would not
have time to "
stop and stare "
at a screen.
1967
My childhood toys
In 1985 my first job
was writing custom
software for
companies that were
renting PC’s because
businesses believed
they were not viable
enough to actually
buy them	
  
In 2000 I returned "
to Australia from
the US to be told
that MRM’s
biggest digital client
had an annual
budget of $15,000 	
  
Working in digital
was very frustrating
for a very long time	
  
Today most people
acknowledge the
importance of
technology in our
lives and its impact
on business"
But, few
businesses are
changing as rapidly
as consumers and
devices 	
  
transformation
involves rethinking
what digital really
means.	
  
And…insanity…
is doing the same
thing over and over
and expecting a
different result
FAILURES OF THE DIGITAL AGE
VS
FAILURES OF THE DIGITAL AGE
FAILURES OF THE DIGITAL AGE
VS
FAILURES OF THE DIGITAL AGE
FAILURES OF THE DIGITAL AGE
In the 1990s, 
the music industry 
phased out 
THE SINGLE,
leaving consumers with no means to purchase individual songs.
illegal peer-to-peer 
This market was initially filled by
file sharing
technologies, 
and then by online retailers such as the
and Amazon.com
This low end disruption eventually
undermined the sales of physical, 
high-cost CDs.
iTunes
Store
Traditional
cannibalised by
non-traditional
competitors
The music industry,
spent the majority
of its time and
effort fighting online
music technology
instead of trying to
harness it.
FAILURES OF THE DIGITAL AGE
launch of the iPod
1000 tunes in your pocket
digital hum strategy
greater connectivity
access to apps 
better cameras and video
iCloud connectivity
iPad
2010
Followed with
iPhone
Introducing connectivity
a digital camera (3.0)
a video camera (3GS)
apple
launch
2009
Through the process of 
continuous improvement,
2001
Apple reviewed the options for 
extension of the product offer
they
chose
music
FAILURES OF THE DIGITAL AGE
In contrast
Apple’s music
strategy
!   The digital revolution is one of the most disruptive
forces now at work in the business world. 
!   Digital business is among the most significant factors
driving business and societal change worldwide. 
!   Digital innovations have led to the creation,
destruction, and transformation of businesses,
industries, and even governments. 
!   Few organizations are fully exploiting digital
disruptions or innovations.
IN SUMMARY
FAILURES OF THE DIGITAL AGE
MOST RECENT "
DIGITAL DISRUPTIONS
MOST RECENT DIGITAL DISRUPTIONS
 Smartphone

adoption
The always on"
consumer
Social Media
MOST RECENT DIGITAL DISRUPTIONS
The increasing
importance 

of search
MOST RECENT DIGITAL DISRUPTIONS
BIG Data
MOST RECENT DIGITAL DISRUPTIONS
Penetration of
broadband and
the NBN?
MOST RECENT DIGITAL DISRUPTIONS
Totally different
media models
Tarps vs CPA
MOST RECENT DIGITAL DISRUPTIONS
VS
The NBN"
and disruptive
workplace
practices
MOST RECENT DIGITAL DISRUPTIONS
MOST RECENT DIGITAL DISRUPTIONS
 Decline in
newspaper
revenues
$
MOST RECENT DIGITAL DISRUPTIONS
 Internet advertising
takes over TV
MOST RECENT DIGITAL DISRUPTIONS
 E-commerce and
online servicing
capability is now
“hygiene”
MOST RECENT DIGITAL DISRUPTIONS
 Personalisation,
targeting is"
“best practice”
MOST RECENT DIGITAL DISRUPTIONS
 Almost every
company is in "
the business of
creating “content”
As much information is now being
generated every two days, according
as existed between the dawn of
civilization and 2003
Eric Schmidt, former Google CEO
“
MOST RECENT DIGITAL DISRUPTIONS
MOST RECENT DIGITAL DISRUPTIONS
 Differentiation, the
super wow is the
holy grail
It’s not
we have to adapt to
the
technology
MOST RECENT DIGITAL DISRUPTIONS
It’s the way we 
about “digital”
think
FOUR"
THOUGHT "
LEADERSHIFTS
MOST RECENT DIGITAL DISRUPTIONS
 THOUGHT
LEADERSHIFTS
1.  DIGITAL IS NOT A CHANNEL
Digital is just "
the opposite "
of analogue
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
DIGITAL IS NOT A CHANNEL
THE CHALLENGE
Planners identify
the key insight
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Creatives come up
with the big idea
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Usually in the form
of a TV ad
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Sometimes a "
print ad
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
In the old days,
the guys who got
the budget called
the big shots
Digital people
didn’t like it but
that’s just the way
things where
PR
retail
DM
outdoor
TV
radio
digital
mobile
strategy
insight
The creative idea
The traditional
approach
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
PR
retail
DM
outdoor
TV
radio
mobile
strategy
insight
The creative idea
digital
digital
But digital is not "
a channel
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
downloads
buy now
request
info
product info
contact us
The basics of
digital awareness 
social
mobile
ads
email
search
viral
display
digital strategy
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
evolving ecosystem
downloads
product info
contact us
request
info
buy now
forums
videos UGC
widgets
 online
trial
click to call
mobile
ads
email
search
viral
display
digital strategy
blogs
social
games
podcasts
word of
mouth
community
tagging
RSS
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
IN ADDITION…
Digital Outdoor
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital Print
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital TV
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital Radio
Online promotions,"
order products
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital POS
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital Loyalty
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
Digital PR
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
behind the scenes
what the client sees…
Develop a cool powerpoint
presentation
with 
lots 
of
integration 
buzz words
1
 Hire digital dude get him to handle all the
digtial work until he quits
2
Buy a digital company and “absorb it”
until there is no one left
3
 Hire another digital dude but give
him the ability to hire staff
4
When the digital unit grows big enough, split them up and
sit them with the traditional guys until half of them leave in
frustration to work at some hotshop digital agency
6
Hire a bigger name digital dude …..
5
 Send everyone that’s left on a
digital training course
traditional agency
digital solution
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
The problem is in
the way we are
thinking about
digital and how we
try to adapt
DIGITAL IS NOT A CHANNEL
// EXAMPLE:
THE ADVERTISING INDUSTRY
HOLISTIC DIGITAL MARKETING
Display
Digital signage
Desktop 
applications
email
Digital TV
3G content
Podcasting
Websites
SMS
GPS 
devices
PDA’s
Gaming 
devices
search
kiosk
Understand the primary digital touch points
hear
photograph & share
send to a friend
Add the digital amplification opportunities
word of mouth In store/demos radio tv outdoor
QR code
bluetooth download
send to a friend
voice
notify
tweet
search
enter
vote
 buy
augmented reality
QR code
augmented 
photos
ideas
buy
augmented reality
QR code
coupons
notify
competitions
bookmark
download
download
coupon
loyalty
share
like
post
print promotions website apps pos social
Develop truly
channel neutral
strategies
THE DIGITAL FUTURE
Digital
Brand
 Data
Analogue 
RETAIL
DM
OUTDOOR
TV
RADIO
MOBILE
ONLINE
PR
Areas to consider
THE DIGITAL FUTURE
mobile first
omni-channel integration
social grows up
user experience brings
art and science 
to business
user adoption – 
the missing link
analytics – 
removing the 
guess work
trends
UX
Build a long term
acquisition and
retention strategy
Campaign Support
Crowd sourcing
Alliances
Advocacy
Loyalty programs
System integration
Integration
Customer Support
MEASUREMENTANDMONITORINGSYSTEMS
Partnerships
Brand campaign
Event
Q3
Event
Q2
Event
Q1
Event
Q4
Promotion Partners
Strategic Alliances
Event
partners
special
offer
special
offer
CRM 
Build a fan base
THE DIGITAL FUTURE
Accept ….
The devil is in "
the detail
PR 
Blog watching
retail 
Digital In store "
displays
outdoor
Digital 
billboards
TV
iTV
radio
Podcasting
mobile
Content and 
Messaging
online
Display Ads 
and Websites
Technology
Enablement
1
Platform 
capabilities
2
Penetration 
Statistics
2
market
insight
3
customer 
data
1
competitive 
landscape
the core idea
engagement 
strategy
1
competitive 
landscape
2
customer 
data
Deployment
Strategy
1
Partnerships
2
Affiliate
opportunities
THE DIGITAL FUTURE
PR 
Blog watching
retail 
Digital In store "
displays
outdoor
Digital 
billboards
TV
iTV
radio
Podcasting
mobile
Content and 
Messaging
Deployment
Strategy
online
Display Ads 
and Websites
Technology
Enablement
1
Platform 
capabilities
2
Penetration 
Statistics
2
market
insight
3
customer 
data
1
competitive 
landscape
the core idea
engagement 
strategy
1
competitive 
landscape
2
customer 
data
1
Partnerships
2
Affiliate
opportunities
THE DIGITAL FUTURE
app
Search
blogger
QR 
code
Website
eCRM
SMS
NFC
Search
Social
Social
And it just gets more
and more complex
everyday
MOST RECENT DIGITAL DISRUPTIONS
 THOUGHT
LEADERSHIFTS
1.  DIGITAL IS NOT A CHANNEL
2.  DIGITAL IS MORE THAN JUST MARKETING
Disruptive
empowerment
Customers have
technology that
enables them "
to use products and
services on their
terms.
DIGITAL IS MORE THAT JUST MARKETING
Revenues are "
threatened
DIGITAL IS MORE THAT JUST MARKETING
The issue is that
disruption, by its
very nature, "
breaks process.
DIGITAL IS MORE THAT JUST MARKETING
When faced with breakage
we tend to try to piece it
back together like a child
with a smashed vase and
superglue
WHAT HAPPENS ?
the speed of
is accelerating
change
Speed and impact is
variable
SHORT FUSE, BIG BANG
 LONG FUSE, BIG BANG
SHORT FUSE, SMALL BANG
 LONG FUSE, SMALL BANG
Accommodation
& food service
Arts and
Recreation
Retail
ICT & media
Finance
Professional
Services
Real estate
IMPACT
Transport
Health
Recruitment
Agriculture
Government
Utilities
Constructing
Mining
Wholesale 
TIME
DIGITAL IS MORE THAT JUST MARKETING
Source: Deloitte consulting
Manufacturing
THE CHALLENGES
This is all too much, we just
need to keep this simple
That’s all very well but we
are not there yet
We have a 5 year plan that
addresses that
““
DIGITAL IS MORE THAT JUST MARKETING
What does this "
mean for me?
THE EXECUTIVE CONTINUUM
With luck, this won’t
happen in my time 
DENY & BLOCK
LAND GRAB
This is my chance to be
the next CEO!
DIGITAL IS MORE THAT JUST MARKETING
CEO
“We are not a digital business we have been
doing XYZ for a long time very successfully”
EXECUTIVES
“My KPI’s relate to profit, I do not want to
put that at risk”
MIDDLE MANAGEMENT
“I am way too busy doing what I need to I have
no time to try new things that are untested”
COAL FACE
“This is the way we do things around here and
it has always worked well”
The problem starts
at the top
DIGITAL IS MORE THAT JUST MARKETING
CSO
CFO
CIO
5 year 
technology roadmap
CMO
CXO
12 month 
Marketing strategy 
The challenge 
operational, political
and financial silos
CEO
 BOARD
DIGITAL IS MORE THAT JUST MARKETING
THE SOLUTION
divisions
CIO
divisions CFO
divisions president
CRM systems, sales "
automation, CRM
3D printing 
deployment systems
ROI calculations 
and cost reductions
Alliances, 
data 
procurement
Intranets, 
online 
training 
Warehouse 
management and 
tracking systems
HumanResources
Research
Product dev "
groups and research
Cost
reductions
Division 
CIO
PROFITABILITY, REVENUE
STREAMS AND COST REDUCTION
DIGITALS ROLE IN THE BUSINESS
THE DIGITAL FUTURE
 Engage multiple
layers of an
organisation
CEO
 CFO
audit committee
 board of directors 
(investors and advisors)
Sales
 Mfg
 R&D
 Marketing
 Int.
 Finance
 Warehouse
 HR
 IT
 Purchasing
CEO
EXECUTIVES
COAL FACE
MIDDLE MANAGEMENT
Define ownership
and responsibilities
Shareholder visibility
Digital Governance Board
Specific digital KPI’s
Inspiration, Training and
mentorship
THE DIGITAL FUTURE
©Fusion Digital Pty Ltd + IdeaGarden Pty Ltd 2013
Distribution Strategy
Strategic
Themes
  Leverage Data
  Digital Branch
  Simplicity
  Seamlessness
  Financial Coaching
  Family Focus
  Multi-cultural "
Opportunity
Technology
Strategy
  Technology Roadmap
  Vendor Relationships
  Architecture, Data, "
software etc
  Mobile 
Marketing
Brand 
Roadmap
Risk
Treasury
Payments
Strategy
People+"
Culture
People 
Strategy
Product
Product
Plan
Retail+
Advice
Sales
Strategy
ATM PHONE CALL CENTRE ONLINE BRANCH MOBILE
Digital Strategy
Corporate Strategy
THE DIGITAL FUTURE
 Link your digital
strategy to every
other organisational
strategy
THE DIGITAL FUTURE
Online product acquisition
Build and enhance"
community program
e-Commerce enablement"
transactional + administrative
Demonstrate"
Innovation
Connect employees with
members digitally
Drive awareness/media spend/"
social sharing opportunities
Enable employee
education and training
Digital
Strategy
Ensure “Digtial”
positively impacts
internal and
external audiences
equally
an impulse to do what's
familiar and comfortable"
an impulse towards
novelty and challenge
Most people want to
change … and they
don’t
THE DIGITAL FUTURE
CUSTOMER VALUE
PAIN	
  
Our dilemma is that we hate
change and love it at the same
time; what we really want is for
things to remain the same but
get better.
Sydney J. Harris, American Journalist
The pain of change,
must be less than the
pain of not changing.
Cost	
  of	
  
change	
  
Benefit	
  of	
  
not	
  
changing	
  
Cost	
  of	
  not	
  
changing	
  
Benefit	
  of	
  
change	
  
PAIN
PLEASURE
Change
No
Change
BAU = "
Developing a
business model that
can embrace
disruptive change
THE DIGITAL FUTURE
Create reward and
attribution systems
that motivate
success
THE DIGITAL FUTURE
Position change as
opportunities, for
learning and
professional growth
THE DIGITAL FUTURE
Reward and
celebrate people
trying new things
even if they fail
THE DIGITAL FUTURE
CEO
EXECUTIVES
COAL FACE
MIDDLE MANAGEMENT
BAU=

Permission to
behave differently
CUSTOMER VALUE
MOST RECENT DIGITAL DISRUPTIONS
 THOUGHT
LEADERSHIFTS
1.  DIGITAL IS NOT A CHANNEL
2.  DIGITAL IS MORE THAN JUST MARKETING
3.  DIGITAL IS NOT ABOUT TECHNOLOGY ITS ABOUT CUSTOMER VALUE
REDEFINING CUSTOMER VALUE
CUSTOMER VALUE
Elements "
of Digital
Transformation
Most companies
focus on one OR
the other
VALUEINDELIVERY
VALUE IN PROPOSITION
Refine
Extend
Enhance
THE WHAT
THEHOW
Create
Leverage
Integrate
Source: IBM Institute for Business Value analysis
CUSTOMER VALUE
The ideal path to
Digital
Transformation
Envisage a
transformed
customer value
proposition and
operating model
and build a new set
of capabilities
around that
VALUEINDELIVERY
VALUE IN PPROPOSITION
Refine
Extend
Enhance
THE WHAT
THEHOW
Create
Leverage
Integrate
Source: IBM Institute for Business Value analysis
END STATE
CUSTOMER VALUE
 Because consumer
tastes change much
faster than business’
tastes, platforms
today must adapt
very quickly – or face
obsolescence.
Change the way "
you innovate, look
outside yourself 
CUSTOMER VALUE
PILOT
A SMALL TEST IN
THE REAL WORLD
TO PROVE AND
EVOLVE THE
CONCEPT
ROLLOUT
"GLOBAL"
IMPLEMENTATION
LAB
DEVELOP AND TEST
IN A SIMULATED
ENVIRONMENT
CUSTOMER VALUE
 Provide a process for
fast, inexpensive, and
flexible experiments
Embrace new
devices and
connectivity
CUSTOMER VALUE
Give up
perfectionism
CUSTOMER VALUE
Look beyond short
term performance
CUSTOMER VALUE
MOST RECENT DIGITAL DISRUPTIONS
 THOUGHT
LEADERSHIFTS
1.  DIGITAL IS NOT A CHANNEL
2.  DIGITAL IS MORE THAN JUST MARKETING
3.  DIGITAL IS NOT ABOUT TECHNOLOGY ITS ABOUT CUSTOMER VALUE
4.  DIGITAL IS ABOUT INNOVATION, EXPERIMENTATION AND …
TRANSFORMATION
HEROES OF THE DIGITAL AGE
HEROES OF THE DIGITAL AGE
 The Gang of Four
WHAT DO THESE COMPANIES
HAVE IN COMMON?
They utilise a platform
of multiple powerful
technologies—and
their intelligent use is
embedded into the
business at all levels
CUSTOMER VALUE
CUSTOMER VALUE
you
do it alone
can’t
CUSTOMER VALUE
Now
Open systems
Collaborative partnerships
1990s
Closed systems
Limited partnerships
HEROES OF THE DIGITAL AGE
HEROES OF THE DIGITAL AGE
HEROES OF THE DIGITAL AGE
They have used digital
technologies to
transform their
operating model for
greater customer
interaction "
and collaboration
CUSTOMER VALUE
Continuously reshape
their offering around a
continually changing
customer need
CUSTOMER VALUE
Primary functions are
about consumer "
utility and
communications
CUSTOMER VALUE
To organize the worlds information
To give people the power to share and make the world
more open and connected.
Man is the creator of change in this world. As such
he should be above systems and structures, and not
subordinate to them." 
Our vision is to be earth's most customer
centric company; to build a place where people
can come to find and discover anything they
might want to buy online.
They embrace a
culture of dynamic
change
CUSTOMER VALUE
Source: The Change Corporation.
CONCLUSION
CONCLUSION
It’s not the disruption that decides
what happens to
“ your company
you
respond
It’s 
how
to it.
CONCLUSION
!   A continuous finger on the pulse of what the customers
need and want as well as how they feel about your brand
!   Acceptance of the innovation process (including the ability
to fail)
!   Structured innovation budgets (as a percent of revenue) 
!   Systems to identify, fund and evaluate innovation projects. 
!   A collaborative culture of continuous learning through
knowledge sharing and insights
Winners in the digital age will have:
NO MATTER WHAT YOUR ROLE"
BE THE CHANGE "
YOU WANT TO SEE
THANK YOU
jenny@ideagarden.com.au www.ideagarden.com.au
… or find me on linked in

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Perpetual leadershift - Digital strategy and change management go hand in hand

  • 1. Perpetual Leadershift
 The X factor for driving digital transformation Jenny Williams | Ideagarden
  • 2. The Renaissance: " 15th Century Da Vinci Michelangelo The Medicis The Industrial Revolution: " 19th Century The steam engine Google Facebook Cloud computing Quantum computers The Digital Age: " 1990 to ?
  • 3. Our recent history is littered with technology that has changed the world ipad 2010 walkman 1979 personal computer 1973 radio 1895 vcr 1963 tv 1927 phone 1876 mobile phone 1987 cd 1983 iphone 2007 laptop 1984 camcorder 1982
  • 4. In 1939, " The New York Times predicted that television would fail because people would not have time to " stop and stare " at a screen.
  • 6. In 1985 my first job was writing custom software for companies that were renting PC’s because businesses believed they were not viable enough to actually buy them  
  • 7. In 2000 I returned " to Australia from the US to be told that MRM’s biggest digital client had an annual budget of $15,000  
  • 8. Working in digital was very frustrating for a very long time  
  • 9. Today most people acknowledge the importance of technology in our lives and its impact on business"
  • 10. But, few businesses are changing as rapidly as consumers and devices  
  • 12. And…insanity… is doing the same thing over and over and expecting a different result
  • 13. FAILURES OF THE DIGITAL AGE
  • 14. VS FAILURES OF THE DIGITAL AGE
  • 15. FAILURES OF THE DIGITAL AGE VS
  • 16. FAILURES OF THE DIGITAL AGE
  • 17. FAILURES OF THE DIGITAL AGE In the 1990s, the music industry phased out THE SINGLE, leaving consumers with no means to purchase individual songs. illegal peer-to-peer This market was initially filled by file sharing technologies, and then by online retailers such as the and Amazon.com This low end disruption eventually undermined the sales of physical, high-cost CDs. iTunes Store
  • 18. Traditional cannibalised by non-traditional competitors The music industry, spent the majority of its time and effort fighting online music technology instead of trying to harness it. FAILURES OF THE DIGITAL AGE
  • 19. launch of the iPod 1000 tunes in your pocket digital hum strategy greater connectivity access to apps better cameras and video iCloud connectivity iPad 2010 Followed with iPhone Introducing connectivity a digital camera (3.0) a video camera (3GS) apple launch 2009 Through the process of continuous improvement, 2001 Apple reviewed the options for extension of the product offer they chose music FAILURES OF THE DIGITAL AGE In contrast Apple’s music strategy
  • 20. !   The digital revolution is one of the most disruptive forces now at work in the business world. !   Digital business is among the most significant factors driving business and societal change worldwide. !   Digital innovations have led to the creation, destruction, and transformation of businesses, industries, and even governments. !   Few organizations are fully exploiting digital disruptions or innovations. IN SUMMARY FAILURES OF THE DIGITAL AGE
  • 21. MOST RECENT " DIGITAL DISRUPTIONS
  • 22. MOST RECENT DIGITAL DISRUPTIONS Smartphone
 adoption The always on" consumer
  • 23. Social Media
MOST RECENT DIGITAL DISRUPTIONS
  • 24. The increasing importance 
 of search MOST RECENT DIGITAL DISRUPTIONS
  • 25. BIG Data MOST RECENT DIGITAL DISRUPTIONS
  • 26. Penetration of broadband and the NBN? MOST RECENT DIGITAL DISRUPTIONS
  • 27. Totally different media models Tarps vs CPA MOST RECENT DIGITAL DISRUPTIONS VS
  • 29. MOST RECENT DIGITAL DISRUPTIONS Decline in newspaper revenues $
  • 30. MOST RECENT DIGITAL DISRUPTIONS Internet advertising takes over TV
  • 31. MOST RECENT DIGITAL DISRUPTIONS E-commerce and online servicing capability is now “hygiene”
  • 32. MOST RECENT DIGITAL DISRUPTIONS Personalisation, targeting is" “best practice”
  • 33. MOST RECENT DIGITAL DISRUPTIONS Almost every company is in " the business of creating “content”
  • 34. As much information is now being generated every two days, according as existed between the dawn of civilization and 2003 Eric Schmidt, former Google CEO “ MOST RECENT DIGITAL DISRUPTIONS
  • 35. MOST RECENT DIGITAL DISRUPTIONS Differentiation, the super wow is the holy grail
  • 36. It’s not we have to adapt to the technology MOST RECENT DIGITAL DISRUPTIONS It’s the way we about “digital” think
  • 38. MOST RECENT DIGITAL DISRUPTIONS THOUGHT LEADERSHIFTS 1.  DIGITAL IS NOT A CHANNEL
  • 39. Digital is just " the opposite " of analogue DIGITAL IS NOT A CHANNEL
  • 40. // EXAMPLE: THE ADVERTISING INDUSTRY DIGITAL IS NOT A CHANNEL
  • 42. Planners identify the key insight DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 43. Creatives come up with the big idea DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 44. Usually in the form of a TV ad DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 45. Sometimes a " print ad DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 46. In the old days, the guys who got the budget called the big shots Digital people didn’t like it but that’s just the way things where
  • 47. PR retail DM outdoor TV radio digital mobile strategy insight The creative idea The traditional approach DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 48. PR retail DM outdoor TV radio mobile strategy insight The creative idea digital digital But digital is not " a channel DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 49. downloads buy now request info product info contact us The basics of digital awareness social mobile ads email search viral display digital strategy DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 50. evolving ecosystem downloads product info contact us request info buy now forums videos UGC widgets online trial click to call mobile ads email search viral display digital strategy blogs social games podcasts word of mouth community tagging RSS DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 52. Digital Outdoor DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 53. Digital Print DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 54. Digital TV DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 55. Digital Radio Online promotions," order products DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 56. Digital POS DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 57. Digital Loyalty DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 58. Digital PR DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 59. behind the scenes what the client sees… Develop a cool powerpoint presentation with lots of integration buzz words 1 Hire digital dude get him to handle all the digtial work until he quits 2 Buy a digital company and “absorb it” until there is no one left 3 Hire another digital dude but give him the ability to hire staff 4 When the digital unit grows big enough, split them up and sit them with the traditional guys until half of them leave in frustration to work at some hotshop digital agency 6 Hire a bigger name digital dude ….. 5 Send everyone that’s left on a digital training course traditional agency digital solution DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 60. The problem is in the way we are thinking about digital and how we try to adapt DIGITAL IS NOT A CHANNEL // EXAMPLE: THE ADVERTISING INDUSTRY
  • 62. Display Digital signage Desktop applications email Digital TV 3G content Podcasting Websites SMS GPS devices PDA’s Gaming devices search kiosk Understand the primary digital touch points
  • 63. hear photograph & share send to a friend Add the digital amplification opportunities word of mouth In store/demos radio tv outdoor QR code bluetooth download send to a friend voice notify tweet search enter vote buy augmented reality QR code augmented photos ideas buy augmented reality QR code coupons notify competitions bookmark download download coupon loyalty share like post print promotions website apps pos social
  • 64. Develop truly channel neutral strategies THE DIGITAL FUTURE Digital Brand Data Analogue RETAIL DM OUTDOOR TV RADIO MOBILE ONLINE PR
  • 65. Areas to consider THE DIGITAL FUTURE mobile first omni-channel integration social grows up user experience brings art and science to business user adoption – the missing link analytics – removing the guess work trends UX
  • 66. Build a long term acquisition and retention strategy Campaign Support Crowd sourcing Alliances Advocacy Loyalty programs System integration Integration Customer Support MEASUREMENTANDMONITORINGSYSTEMS Partnerships Brand campaign Event Q3 Event Q2 Event Q1 Event Q4 Promotion Partners Strategic Alliances Event partners special offer special offer CRM Build a fan base THE DIGITAL FUTURE
  • 67. Accept …. The devil is in " the detail PR Blog watching retail Digital In store " displays outdoor Digital billboards TV iTV radio Podcasting mobile Content and Messaging online Display Ads and Websites Technology Enablement 1 Platform capabilities 2 Penetration Statistics 2 market insight 3 customer data 1 competitive landscape the core idea engagement strategy 1 competitive landscape 2 customer data Deployment Strategy 1 Partnerships 2 Affiliate opportunities THE DIGITAL FUTURE
  • 68. PR Blog watching retail Digital In store " displays outdoor Digital billboards TV iTV radio Podcasting mobile Content and Messaging Deployment Strategy online Display Ads and Websites Technology Enablement 1 Platform capabilities 2 Penetration Statistics 2 market insight 3 customer data 1 competitive landscape the core idea engagement strategy 1 competitive landscape 2 customer data 1 Partnerships 2 Affiliate opportunities THE DIGITAL FUTURE app Search blogger QR code Website eCRM SMS NFC Search Social Social And it just gets more and more complex everyday
  • 69. MOST RECENT DIGITAL DISRUPTIONS THOUGHT LEADERSHIFTS 1.  DIGITAL IS NOT A CHANNEL 2.  DIGITAL IS MORE THAN JUST MARKETING
  • 70. Disruptive empowerment Customers have technology that enables them " to use products and services on their terms. DIGITAL IS MORE THAT JUST MARKETING
  • 71. Revenues are " threatened DIGITAL IS MORE THAT JUST MARKETING
  • 72. The issue is that disruption, by its very nature, " breaks process. DIGITAL IS MORE THAT JUST MARKETING When faced with breakage we tend to try to piece it back together like a child with a smashed vase and superglue
  • 73. WHAT HAPPENS ? the speed of is accelerating change
  • 74. Speed and impact is variable SHORT FUSE, BIG BANG LONG FUSE, BIG BANG SHORT FUSE, SMALL BANG LONG FUSE, SMALL BANG Accommodation & food service Arts and Recreation Retail ICT & media Finance Professional Services Real estate IMPACT Transport Health Recruitment Agriculture Government Utilities Constructing Mining Wholesale TIME DIGITAL IS MORE THAT JUST MARKETING Source: Deloitte consulting Manufacturing
  • 76. This is all too much, we just need to keep this simple That’s all very well but we are not there yet We have a 5 year plan that addresses that ““ DIGITAL IS MORE THAT JUST MARKETING
  • 77. What does this " mean for me? THE EXECUTIVE CONTINUUM With luck, this won’t happen in my time DENY & BLOCK LAND GRAB This is my chance to be the next CEO! DIGITAL IS MORE THAT JUST MARKETING
  • 78. CEO “We are not a digital business we have been doing XYZ for a long time very successfully” EXECUTIVES “My KPI’s relate to profit, I do not want to put that at risk” MIDDLE MANAGEMENT “I am way too busy doing what I need to I have no time to try new things that are untested” COAL FACE “This is the way we do things around here and it has always worked well” The problem starts at the top DIGITAL IS MORE THAT JUST MARKETING
  • 79. CSO CFO CIO 5 year technology roadmap CMO CXO 12 month Marketing strategy The challenge operational, political and financial silos CEO BOARD DIGITAL IS MORE THAT JUST MARKETING
  • 81. divisions CIO divisions CFO divisions president CRM systems, sales " automation, CRM 3D printing deployment systems ROI calculations and cost reductions Alliances, data procurement Intranets, online training Warehouse management and tracking systems HumanResources Research Product dev " groups and research Cost reductions Division CIO PROFITABILITY, REVENUE STREAMS AND COST REDUCTION DIGITALS ROLE IN THE BUSINESS THE DIGITAL FUTURE Engage multiple layers of an organisation CEO CFO audit committee board of directors (investors and advisors) Sales Mfg R&D Marketing Int. Finance Warehouse HR IT Purchasing
  • 82. CEO EXECUTIVES COAL FACE MIDDLE MANAGEMENT Define ownership and responsibilities Shareholder visibility Digital Governance Board Specific digital KPI’s Inspiration, Training and mentorship THE DIGITAL FUTURE
  • 83. ©Fusion Digital Pty Ltd + IdeaGarden Pty Ltd 2013 Distribution Strategy Strategic Themes   Leverage Data   Digital Branch   Simplicity   Seamlessness   Financial Coaching   Family Focus   Multi-cultural " Opportunity Technology Strategy   Technology Roadmap   Vendor Relationships   Architecture, Data, " software etc   Mobile Marketing Brand Roadmap Risk Treasury Payments Strategy People+" Culture People Strategy Product Product Plan Retail+ Advice Sales Strategy ATM PHONE CALL CENTRE ONLINE BRANCH MOBILE Digital Strategy Corporate Strategy THE DIGITAL FUTURE Link your digital strategy to every other organisational strategy
  • 84. THE DIGITAL FUTURE Online product acquisition Build and enhance" community program e-Commerce enablement" transactional + administrative Demonstrate" Innovation Connect employees with members digitally Drive awareness/media spend/" social sharing opportunities Enable employee education and training Digital Strategy Ensure “Digtial” positively impacts internal and external audiences equally
  • 85. an impulse to do what's familiar and comfortable" an impulse towards novelty and challenge Most people want to change … and they don’t THE DIGITAL FUTURE
  • 86. CUSTOMER VALUE PAIN   Our dilemma is that we hate change and love it at the same time; what we really want is for things to remain the same but get better. Sydney J. Harris, American Journalist The pain of change, must be less than the pain of not changing. Cost  of   change   Benefit  of   not   changing   Cost  of  not   changing   Benefit  of   change   PAIN PLEASURE Change No Change
  • 87. BAU = " Developing a business model that can embrace disruptive change THE DIGITAL FUTURE
  • 88. Create reward and attribution systems that motivate success THE DIGITAL FUTURE
  • 89. Position change as opportunities, for learning and professional growth THE DIGITAL FUTURE
  • 90. Reward and celebrate people trying new things even if they fail THE DIGITAL FUTURE
  • 92. MOST RECENT DIGITAL DISRUPTIONS THOUGHT LEADERSHIFTS 1.  DIGITAL IS NOT A CHANNEL 2.  DIGITAL IS MORE THAN JUST MARKETING 3.  DIGITAL IS NOT ABOUT TECHNOLOGY ITS ABOUT CUSTOMER VALUE
  • 94. CUSTOMER VALUE Elements " of Digital Transformation Most companies focus on one OR the other VALUEINDELIVERY VALUE IN PROPOSITION Refine Extend Enhance THE WHAT THEHOW Create Leverage Integrate Source: IBM Institute for Business Value analysis
  • 95. CUSTOMER VALUE The ideal path to Digital Transformation Envisage a transformed customer value proposition and operating model and build a new set of capabilities around that VALUEINDELIVERY VALUE IN PPROPOSITION Refine Extend Enhance THE WHAT THEHOW Create Leverage Integrate Source: IBM Institute for Business Value analysis END STATE
  • 96. CUSTOMER VALUE Because consumer tastes change much faster than business’ tastes, platforms today must adapt very quickly – or face obsolescence.
  • 97. Change the way " you innovate, look outside yourself CUSTOMER VALUE
  • 98. PILOT A SMALL TEST IN THE REAL WORLD TO PROVE AND EVOLVE THE CONCEPT ROLLOUT "GLOBAL" IMPLEMENTATION LAB DEVELOP AND TEST IN A SIMULATED ENVIRONMENT CUSTOMER VALUE Provide a process for fast, inexpensive, and flexible experiments
  • 101. Look beyond short term performance CUSTOMER VALUE
  • 102. MOST RECENT DIGITAL DISRUPTIONS THOUGHT LEADERSHIFTS 1.  DIGITAL IS NOT A CHANNEL 2.  DIGITAL IS MORE THAN JUST MARKETING 3.  DIGITAL IS NOT ABOUT TECHNOLOGY ITS ABOUT CUSTOMER VALUE 4.  DIGITAL IS ABOUT INNOVATION, EXPERIMENTATION AND … TRANSFORMATION
  • 103. HEROES OF THE DIGITAL AGE
  • 104. HEROES OF THE DIGITAL AGE The Gang of Four
  • 105. WHAT DO THESE COMPANIES HAVE IN COMMON?
  • 106. They utilise a platform of multiple powerful technologies—and their intelligent use is embedded into the business at all levels CUSTOMER VALUE
  • 107. CUSTOMER VALUE you do it alone can’t
  • 108. CUSTOMER VALUE Now Open systems Collaborative partnerships 1990s Closed systems Limited partnerships
  • 109. HEROES OF THE DIGITAL AGE
  • 110. HEROES OF THE DIGITAL AGE
  • 111. HEROES OF THE DIGITAL AGE
  • 112. They have used digital technologies to transform their operating model for greater customer interaction " and collaboration CUSTOMER VALUE
  • 113. Continuously reshape their offering around a continually changing customer need CUSTOMER VALUE
  • 114. Primary functions are about consumer " utility and communications CUSTOMER VALUE To organize the worlds information To give people the power to share and make the world more open and connected. Man is the creator of change in this world. As such he should be above systems and structures, and not subordinate to them." Our vision is to be earth's most customer centric company; to build a place where people can come to find and discover anything they might want to buy online.
  • 115. They embrace a culture of dynamic change CUSTOMER VALUE Source: The Change Corporation.
  • 117. CONCLUSION It’s not the disruption that decides what happens to “ your company you respond It’s how to it.
  • 118. CONCLUSION !   A continuous finger on the pulse of what the customers need and want as well as how they feel about your brand !   Acceptance of the innovation process (including the ability to fail) !   Structured innovation budgets (as a percent of revenue) !   Systems to identify, fund and evaluate innovation projects. !   A collaborative culture of continuous learning through knowledge sharing and insights Winners in the digital age will have:
  • 119. NO MATTER WHAT YOUR ROLE" BE THE CHANGE " YOU WANT TO SEE