www.inforetail.com   #inforetailinc @florianvollmer

  2011 Summary | 2012 Forecast
  Customer Experiences and Retail Innovation
Relevant
    Trends                         Questions

                      No Answers               Shaping a
                                               future




All rights reserved
All rights reserved
2011   2012

All rights reserved
2011 ... 2012

All rights reserved
Smart Phones
                      Meta-Driver of Innovation




All rights reserved
Send or receive text messages
                                     Take a picture
                                Access the internet
                Send a photo or video to someone
                              Send or receive email
                                 Download an app
                                        Play a game
                                          Play music
                                     Record a video
                    Access a social networking site
                                     Watch a video
                      Post a photo or video online
Check your bank balance or do any online banking
                                     Access Twitter
           Participate in a video call or video chat
                                                       0%   25%   50%     75%                    100%
                                             Activities when using Smart Phones - US 2011

                                                                          Source: Pew Research Center via Statista.com
150m
Projection US Smartphone Users

                                 113m




                                 75m




                                 38m




                                  0m
                                        2010   2011   2012   2013   2014       2015



                                                                           Source: eMarketer via Statista.com
Smart Phone Users US by Education Level
                                          50%




                                          38%




                                          25%




                                          13%




                                          0%
                                                No high school diploma   High school graduate   Some college   College or higher



                                                                                                                Source: Pew Research Center via Statista.com
Smartphone Users by Age Group 2011
                                     60%




                                     45%




                                     30%




                                     15%




                                     0%
                                           18-29   30-49   50-64    65 and older



                                                                   Source: Pew Research Center via Statista.com
Customer                Retailer         Manufacturer




information access             control         control

  All rights reserved
Self-Shopping
                      The customer as the retail sales associate




All rights reserved
All rights reserved
                      ©   Metro Group
All rights reserved
All rights reserved
All rights reserved
Customer                Retailer         Manufacturer




          ownership            control     direct messaging

  All rights reserved
NFC
                      RFID and beyond




All rights reserved
All rights reserved
All rights reserved
Customer                    Retailer          Manufacturer




                        ?        investment       investment

  All rights reserved
M2M
                      Computers – Truly Connected




All rights reserved
All rights reserved
40b


          M2M Worldwide market value forecast billion USD   33b


                                                            27b


                                                            20b


                                                            13b


                                                             7b


                                                             0b
                                                                  2008   2009   2010   2011   2012   2013                  2014


All rights reserved                                                                                  Source: Telegance estimate, Strategy Analytics 2009
4%1%1%
                                   1%
                           6%
                                                     Connected Energy
                      8%                       35%   Industrial Processes
                                                     Passenger Vehicle Telematics
                                                     ATMs/ Kiosks/ ETC
                                                     Security
               13%                                   Fleet Management
                                                     Pay-as-you-drive insurance
                                                     Rent-to-own/ subprime lending
                                                     Digital Signage
                           15%                       mHealth
                                         16%




All rights reserved                                          Source: Yankee Group Global ConnectedView, March 2011
Customer                Retailer           Manufacturer




        Experiences         Explanations       Complexity

  All rights reserved
Payment Systems
                      The war of the standards.




All rights reserved
Lowe’s
                        brings on
                       42,000
                       iPhones for
                       payment
                      system
                      similar to
                      Apple
                      Store’s




All rights reserved
EverybodySwipes




All rights reserved
All rights reserved
GeoFencing   & Name




All rights reserved
Scan   App




All rights reserved
Customer                    Retailer       Manufacturer




                        ?              ?

  All rights reserved
Sustainable Consumption
                      A Profound Change in Consumer Spending Patterns




All rights reserved
8%
      Personal Savings Rate US

                                 6%




                                 4%




                                 2%




                                 0%
                                  1992    1994    1996    1998    2000    2002    2004    2006        2008            2010 


All rights reserved                                                                               Source: Global Finance Magazine http://www.gfmag.com/
Customer                   Retailer         Manufacturer




                   Stuff          Impulse       Innovation
                                   Buys
  All rights reserved
Groupon etc
                      New Bargaining




All rights reserved
All rights reserved
Customer                 Retailer           Manufacturer




            Ubiquitous              Price        Margin
            Shopping                Wars       Management
  All rights reserved
Artificial Intelligence
                      First real “Digital Personal Assistant”




All rights reserved
All rights reserved
Customer                 Retailer         Manufacturer




            Ubiquitous           Direct         Multiple
            Shopping            Control       Entry Points
  All rights reserved
Geofencing
                      Location-Aware Interactions and Content




All rights reserved
Work




                             Home


All rights reserved
Customer                 Retailer         Manufacturer




           Contextual           Loyalty         Multiple
           Interaction                        Entry Points
  All rights reserved
Augmented Reality
                          Laya and Co




All rights reserved
All rights reserved
Customer                Retailer           Manufacturer




           Contextual      Environmental         Multiple
          Information         Impact           Entry Points
  All rights reserved
Touch
                      The Victory of Simplicity




All rights reserved
All rights reserved
QR Codes
                      ... if it links to regular page, it’s a crime!




All rights reserved
3,700,000
                        in 2010


                      25,000,000
                        in 2011




                                   Projections based on data just from scanlife.com
All rights reserved
14 million
                      6.2% of U.S. population used QR codes in June 2011




                                                                           Comscore
All rights reserved
Printed magazine or newspaper


            Product packaging


                Website on PC


        Poster or flyer or kiosk


     Business Card or brochure


                     Storefront


                             TV

                                   0%           13%        25%         38%                    50%
                                        Sources of QR code scanning U.S. June 2011

                                                                             Source: Comscore via Statista.com
QR Code users US June 2011 by age
                                    40%




                                    30%




                                    20%




                                    10%




                                    0%
                                          13-17   18-24   25-34   35-44   45-54   55-64                65+



                                                                                     Source: Pew Research Center via Statista.com
Customer                Retailer          Manufacturer




          Information         Customer         Customer
             Access          Engagement         Access
  All rights reserved
Intelligent Content
                      Digital Signage is truly becoming interactive




All rights reserved
INTERACTION
                      •   Usage & Playlist Defining
                      •   Realtime

                      RESPONSE ANALYTICS
                      •   Video Start & Stop
                      •   Dwell Time Proximity Sensor
                      •   Customer Driven Content
                      •   Content Driven by Demographic
                      •   Content Driven by Smartphone
                      •   Content Driven by External Conditions
                      •   QR Code Enabled
                      •   Layout Design Driven by Data
                      •   Augmented Reality Enabled
                      •   Social Media Enabled



All rights reserved
Customer                Retailer          Manufacturer




          Information         Customer         Customer
             Access          Engagement         Access
  All rights reserved
Social Media
                      Continuos Driver




All rights reserved
Businesses Using Social Media Mktg
                                     100%




                                     75%




                                     50%




                                     25%




                                      0%
                                            Businesses using social media marketing   Businesses not using social media marketing



                                                                                                               Source: Social Media Examiner via Statista.com
Customer                Retailer          Manufacturer




      Empowerment             Customer         Customer
                             Engagement         Access
  All rights reserved
Less is More
                      Or: Combating the Terror of Choice




All rights reserved
Whole Foods   Trader Joes

                      SKU’s      50,000        4,000

                Sales/ sq ft      $800         $1,750

             Annual Sales         $9B           $8B

                      Stores      304           344

                  Happiness         ?            ?
All rights reserved                                     Source: money.cnn.com
From Goods to Services
                      The new Relevance of Service Design




All rights reserved
1980’s   1990’s   2000’s
     100%

                                                 service

        %
      GDP


                                                 goods

            0%


All rights reserved
User Expectations




All rights reserved
Amazon        Air BnB    Groupon       Zifty



                                                  Twitter
                Zipcar     Delta     Match.com
                                                 Facebook



            Flickr
                         Times.com   Red Laser    Netflix
           Youtube

All rights reserved
"Service design is the planning of the interactions at
brand touch points. A customer's journey includes
interactions with environments, media, and products.

The results are more effective and more enjoyable
customer experiences"


All rights reserved
From Goods to Services
                            Key Concepts




• From Customer Journey to Touchpoint
• Service Design Blueprint
• Service in Beta
• Stakeholder Integration

All rights reserved
Materials and Manufacturing
             The Rising World of 3D Printing and Distributed Production




All rights reserved
All rights reserved
• Lower cost of entry (i.e. kickstarter iPhone holder)
• Shapeways et al
• 20% of all output for production, not prototype
• Remember the 9-dot matrix printer?

All rights reserved
i   $


All rights reserved
$
                      i            $
                          $
                              Value Shift
All rights reserved
Tectonic Shifts in Materials and Manufacturing
            The Rising World of 3D Printing and Distributed Production




• New Methods
• New Possibilities
• New Business Models
• Impact on Traditional Industrial Design?

All rights reserved
Generation C
                      New Possibilities




All rights reserved
2011                   2012   2013    2014    2015       2016   2017   2018   2019    2020



                     Nomads

                              “On”

                                     Smart Cloud

                                                   Sensors

                                                                M2M

                                                                          Semantic Networks
Source: Strategy + Business
Odd Ends
                      Observations for a happier 2012!




All rights reserved
Real Innovation?


All rights reserved
Sound Decision Making?




All rights reserved
How will Changes in ...




... Affect our Lives?


     All rights reserved
Retail Innovation in a
                      Crowded Market?




All rights reserved
What does this Store Sell?




All rights reserved
What will happen to the
                      traditional agency model?




All rights reserved
Value of
                               Experiences



                          New          Information
                      Consciousness       Access



All rights reserved
GAPS? RELEVANCE? CONNECTIONS?




                      www.inforetail.com   #inforetailinc @florianvollmer
All rights reserved
Thank you!
                                              Questions?




                      www.inforetail.com   #inforetailinc @florianvollmer
All rights reserved

Retail Design & Experiences | Summary 2011 and Forecast 2012

  • 1.
    www.inforetail.com #inforetailinc @florianvollmer 2011 Summary | 2012 Forecast Customer Experiences and Retail Innovation
  • 2.
    Relevant Trends Questions No Answers Shaping a future All rights reserved
  • 3.
  • 4.
    2011 2012 All rights reserved
  • 5.
    2011 ... 2012 Allrights reserved
  • 6.
    Smart Phones Meta-Driver of Innovation All rights reserved
  • 7.
    Send or receivetext messages Take a picture Access the internet Send a photo or video to someone Send or receive email Download an app Play a game Play music Record a video Access a social networking site Watch a video Post a photo or video online Check your bank balance or do any online banking Access Twitter Participate in a video call or video chat 0% 25% 50% 75% 100% Activities when using Smart Phones - US 2011 Source: Pew Research Center via Statista.com
  • 8.
    150m Projection US SmartphoneUsers 113m 75m 38m 0m 2010 2011 2012 2013 2014 2015 Source: eMarketer via Statista.com
  • 9.
    Smart Phone UsersUS by Education Level 50% 38% 25% 13% 0% No high school diploma High school graduate Some college College or higher Source: Pew Research Center via Statista.com
  • 10.
    Smartphone Users byAge Group 2011 60% 45% 30% 15% 0% 18-29 30-49 50-64 65 and older Source: Pew Research Center via Statista.com
  • 11.
    Customer Retailer Manufacturer information access control control All rights reserved
  • 12.
    Self-Shopping The customer as the retail sales associate All rights reserved
  • 13.
    All rights reserved © Metro Group
  • 14.
  • 15.
  • 16.
  • 17.
    Customer Retailer Manufacturer ownership control direct messaging All rights reserved
  • 18.
    NFC RFID and beyond All rights reserved
  • 19.
  • 20.
  • 21.
    Customer Retailer Manufacturer ? investment investment All rights reserved
  • 22.
    M2M Computers – Truly Connected All rights reserved
  • 23.
  • 24.
    40b M2M Worldwide market value forecast billion USD 33b 27b 20b 13b 7b 0b 2008 2009 2010 2011 2012 2013 2014 All rights reserved Source: Telegance estimate, Strategy Analytics 2009
  • 25.
    4%1%1% 1% 6% Connected Energy 8% 35% Industrial Processes Passenger Vehicle Telematics ATMs/ Kiosks/ ETC Security 13% Fleet Management Pay-as-you-drive insurance Rent-to-own/ subprime lending Digital Signage 15% mHealth 16% All rights reserved Source: Yankee Group Global ConnectedView, March 2011
  • 26.
    Customer Retailer Manufacturer Experiences Explanations Complexity All rights reserved
  • 27.
    Payment Systems The war of the standards. All rights reserved
  • 28.
    Lowe’s brings on 42,000 iPhones for payment system similar to Apple Store’s All rights reserved
  • 29.
  • 30.
  • 31.
    GeoFencing & Name All rights reserved
  • 32.
    Scan App All rights reserved
  • 33.
    Customer Retailer Manufacturer ? ? All rights reserved
  • 34.
    Sustainable Consumption A Profound Change in Consumer Spending Patterns All rights reserved
  • 35.
    8% Personal Savings Rate US 6% 4% 2% 0% 1992  1994  1996  1998  2000  2002  2004  2006  2008  2010  All rights reserved Source: Global Finance Magazine http://www.gfmag.com/
  • 36.
    Customer Retailer Manufacturer Stuff Impulse Innovation Buys All rights reserved
  • 37.
    Groupon etc New Bargaining All rights reserved
  • 38.
  • 39.
    Customer Retailer Manufacturer Ubiquitous Price Margin Shopping Wars Management All rights reserved
  • 40.
    Artificial Intelligence First real “Digital Personal Assistant” All rights reserved
  • 41.
  • 42.
    Customer Retailer Manufacturer Ubiquitous Direct Multiple Shopping Control Entry Points All rights reserved
  • 43.
    Geofencing Location-Aware Interactions and Content All rights reserved
  • 44.
    Work Home All rights reserved
  • 45.
    Customer Retailer Manufacturer Contextual Loyalty Multiple Interaction Entry Points All rights reserved
  • 46.
    Augmented Reality Laya and Co All rights reserved
  • 47.
  • 48.
    Customer Retailer Manufacturer Contextual Environmental Multiple Information Impact Entry Points All rights reserved
  • 49.
    Touch The Victory of Simplicity All rights reserved
  • 50.
  • 51.
    QR Codes ... if it links to regular page, it’s a crime! All rights reserved
  • 52.
    3,700,000 in 2010 25,000,000 in 2011 Projections based on data just from scanlife.com All rights reserved
  • 53.
    14 million 6.2% of U.S. population used QR codes in June 2011 Comscore All rights reserved
  • 54.
    Printed magazine ornewspaper Product packaging Website on PC Poster or flyer or kiosk Business Card or brochure Storefront TV 0% 13% 25% 38% 50% Sources of QR code scanning U.S. June 2011 Source: Comscore via Statista.com
  • 55.
    QR Code usersUS June 2011 by age 40% 30% 20% 10% 0% 13-17 18-24 25-34 35-44 45-54 55-64 65+ Source: Pew Research Center via Statista.com
  • 56.
    Customer Retailer Manufacturer Information Customer Customer Access Engagement Access All rights reserved
  • 57.
    Intelligent Content Digital Signage is truly becoming interactive All rights reserved
  • 58.
    INTERACTION • Usage & Playlist Defining • Realtime RESPONSE ANALYTICS • Video Start & Stop • Dwell Time Proximity Sensor • Customer Driven Content • Content Driven by Demographic • Content Driven by Smartphone • Content Driven by External Conditions • QR Code Enabled • Layout Design Driven by Data • Augmented Reality Enabled • Social Media Enabled All rights reserved
  • 59.
    Customer Retailer Manufacturer Information Customer Customer Access Engagement Access All rights reserved
  • 60.
    Social Media Continuos Driver All rights reserved
  • 61.
    Businesses Using SocialMedia Mktg 100% 75% 50% 25% 0% Businesses using social media marketing Businesses not using social media marketing Source: Social Media Examiner via Statista.com
  • 62.
    Customer Retailer Manufacturer Empowerment Customer Customer Engagement Access All rights reserved
  • 63.
    Less is More Or: Combating the Terror of Choice All rights reserved
  • 65.
    Whole Foods Trader Joes SKU’s 50,000 4,000 Sales/ sq ft $800 $1,750 Annual Sales $9B $8B Stores 304 344 Happiness ? ? All rights reserved Source: money.cnn.com
  • 66.
    From Goods toServices The new Relevance of Service Design All rights reserved
  • 67.
    1980’s 1990’s 2000’s 100% service % GDP goods 0% All rights reserved
  • 68.
  • 69.
    Amazon Air BnB Groupon Zifty Twitter Zipcar Delta Match.com Facebook Flickr Times.com Red Laser Netflix Youtube All rights reserved
  • 71.
    "Service design isthe planning of the interactions at brand touch points. A customer's journey includes interactions with environments, media, and products. The results are more effective and more enjoyable customer experiences" All rights reserved
  • 72.
    From Goods toServices Key Concepts • From Customer Journey to Touchpoint • Service Design Blueprint • Service in Beta • Stakeholder Integration All rights reserved
  • 73.
    Materials and Manufacturing The Rising World of 3D Printing and Distributed Production All rights reserved
  • 74.
  • 75.
    • Lower costof entry (i.e. kickstarter iPhone holder) • Shapeways et al • 20% of all output for production, not prototype • Remember the 9-dot matrix printer? All rights reserved
  • 76.
    i $ All rights reserved
  • 77.
    $ i $ $ Value Shift All rights reserved
  • 78.
    Tectonic Shifts inMaterials and Manufacturing The Rising World of 3D Printing and Distributed Production • New Methods • New Possibilities • New Business Models • Impact on Traditional Industrial Design? All rights reserved
  • 79.
    Generation C New Possibilities All rights reserved
  • 80.
    2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Nomads “On” Smart Cloud Sensors M2M Semantic Networks Source: Strategy + Business
  • 81.
    Odd Ends Observations for a happier 2012! All rights reserved
  • 82.
  • 83.
  • 84.
    How will Changesin ... ... Affect our Lives? All rights reserved
  • 85.
    Retail Innovation ina Crowded Market? All rights reserved
  • 86.
    What does thisStore Sell? All rights reserved
  • 87.
    What will happento the traditional agency model? All rights reserved
  • 88.
    Value of Experiences New Information Consciousness Access All rights reserved
  • 89.
    GAPS? RELEVANCE? CONNECTIONS? www.inforetail.com #inforetailinc @florianvollmer All rights reserved
  • 90.
    Thank you! Questions? www.inforetail.com #inforetailinc @florianvollmer All rights reserved