The rise of digital companies in recent years has led to a series of new product launches that have significantly altered the relationship between men and machines. The trend is even that they become “coworkers” and possibly even more dependent on one another, according to Gartner forecasts. Computer-based technology equipment has been increasingly used […]
By 2017, 70% of successful digital business models will depend on unstable processes designed to change as customers’ needs dictate. Earlier this year, the forecast is that 5% of global companies will design “supermanable” processes that offer competitive advantages. Flexibility makes bids normally unobtainable by other competitors. Deliberately unstable processes will drive a drastic change in the capacity of companies and their staff more smoothly. The ability to change quickly will leverage the concepts of organizational liquidity. This holistic approach, which blends business model, processes, technology and people, will fuel the success of the digital enterprise. Mobile advertising combined with customer positioning Increasingly, digital marketers focus on advanced mobile and analytical advertising to take advantage of the growing benefits of using mobile devices. Stocks become highly targeted based on recent acquisitions, buying habits, city of residence, and interests. By 2020, retail companies that use directed messaging combined with internal positioning systems (IPS) will see a 5% increase in sales. Another forecast is that by 2016, there will be an increase in the number of retailer bids focused on customer location and time spent in the store.
By 2017, large disruptive digital companies will be launched, designed by a computer algorithm. In a more short-term scenario, companies that combine technology markets with logistics to challenge legacy and purely physical business ecosystems will be of greater value. The global economy has grown ripe for digital disruption, and this is clear in global market players such as Uber and Airbnb, which are flooring transport and hotels respectively. As such companies exhibit the effects of networks (that is, their value increases with each new entrant), they tend to form natural monopolies, but are challenged by all regulatory and market complexities, making them less receptive to computer analysts . In the meantime, the positive creation of success in such models – valuing tens of billions of businesses under five years of age – represents an irresistible attraction for capital investment. Ascent of mobile digital assistants By the end of 2016, more than $ 2 billion online purchases will be made exclusively by mobile digital assistants per year. Initially, they will handle trivial tactical processes such as noting names, addresses, and credit card information. Some fixed events, such as market repositioning, will be commonplace and will give these types of assistants the confidence to evolve. The trend is that they then take on more complex decisions, such as evening programming: choosing a well-rated movie and then having dinner. Digital assistants will be on multiple platforms, but mobile devices will be the most accessible and preferred devices. Experience in focus By 2017, 50% of investment in consumer products will be redirected to innovations in consumer experience. And this year, the forecast indicates that more than half of traditional consumer products will have native digital extensions. In many industries, hyper-competition has eroded the advantages of traditional offerings, making customer experience the new battleground. […]
This year, the US market will see renewed interest in mobile payments – in part due to the introduction of Apple Pay and the similar efforts of competitors like Google to encourage the adoption of Google Wallet. By 2017, the engagement of US mobile customers will drive local mobile commerce revenues to 50% of digital commerce revenues. The growing power of smartphones and tablets and the applications available to each enables consumers to better interact with businesses, have better experiences, and receive content at virtually every stage of the buying process. As device manufacturers and application developers improve usability and functionality, and address users’ concerns with security, devices will become increasingly essential to customers. Consumers who were born and grew up using the Internet as a communications, information and transaction platform and are trapped in their mobile devices tend to want service providers and retailers to meet their expectations of connected trade experiences. Personalization grows The 3D printer is already having a profound impact on enabling startups to reduce infrastructure costs compared to existing traditional manufacturing processes. By 2017, nearly 20% of online stores that sell durable goods will use the equipment to create customized product offerings. This year, more than 90% of this sector will actively seek external partnerships to support the new “custom” product business models. Companies that organize strategies before will ultimately define the space in these categories. This requires a corporate culture that supports “non-conforming” products, new front-line “concierge” business capabilities, and administrative and IT-enabled administrative teams. New agility will be required beyond rigid process automation, which may require completely new business systems.
The South African market is going to be in a competitive space as larger players and international retailers and service providers continue to penetrate the market and seek to absorb sectors currently dominated by SMEs. How can the average business ensure sustainable growth in 2014? One word: Online. Everything, and I mean everything, is moving online. Plumbers see the need to promote themselves online and so do seedling growers, vehicle manufacturers and paper mills. Accounts, orders, communication, storage and recruiting are more efficient online and the list goes on and on. Every year, a percentage of the established markets of both offline advertising and traditional retail are siphoned off by the internet. This is what is growing global e-Commerce at over 20% per annum. While the e-market is growing organically, its mainly hijacking existing offline revenues. Despite this, it might seem safer to adopt a wait and see approach to investments, but it is clear that those pursuing disruptive innovation through leveraging customer relations and efficiencies online are reaping the results. (Just check out some of the market share and brand equity FNB acquired by being a first mover in innovative online consumer engagement.) Example of Massive Online Clearance 2013 is the year to prepare ones online partners (retail, strategy and media) and draft a serious online investment strategy. I’m not talking about putting up GoogleAds, but seriously considering ways to undercut the competition and offer more value to your clients in 2014 through online efficiencies, portals, information and retail channels. If youre not, someone else will be.
While some have been burned by over-investing in a limited online market, the majority of innovative internet-launched initiatives are reaping a great ROI. But to avoid painful expenditures and misdirection of online marketing, the business should keep in mind: 1. The Internet = NOT Magic. What doesnt work, sell or attract offline, probably wont work, sell or attract online. 2. Is it needed? Is the facility of service being offered online really needed? a. How much time does it same the client? b. How easy is it for the client to do? (If it takes more than 5 seconds for them to figure out the flow, dump the idea.) c. How many current clients do you have that would benefit from this? Don?t expect to triple market-share just because of an online gadget. 3. Is there a way to Test the Market with your approach, product or online innovation without enormous upfront expenditure? By using the three points above you ll probably end up running into a number of brick walls, but you ll do so a lot cheaper, smarter and happier than if you hadnt and chances are you ll find a pot or two of gold along the way and hopefully a sustainable and profitable model for the future.
One of the most important international retail organizations, the NRF (National Retail Federation) represents US retailers and other retailers in more than 45 countries. One of the projects led by the NRF is the NRF Tech Forum. The event focuses on management and information technology (IT) professionals, the development of educational programs and the promotion of discussion on issues of relevance in the area. Among this year’s speakers at NRF Tech is Gene Alvarez, vice president of market research at Gartner. His lecture “Preparing for 2020 – How the Technology Industry Will Serve Retail and Sales,” Gene makes a pretty cool comparison between technology and retail. Below is a summary of the talk and the main market trends explored by Gene: Trending Explosion Organizations must be ready for anything, but from Alvarez’s point of view, retailers need to do more – and they need to do it fast. This urgency, he explains, is motivated by the speed of technological development. Ten years ago, there was no Facebook, Twitter, iPhone, Instagram or Google Wallet and there was the “Internet of Things.” The high speed with which these technologies bombard us, says Alvarez, creates the need for retailers (and others) to make new approaches and planning. Historically, the industry tends to walk in a linear fashion. Innovations happen – the internet, social media, the explosion of the use of mobile and mobile devices – and many others, retailers look for ways to incorporate this into their business. They adopt a website, then a fan page on Facebook, develop a mobile strategy. They tweet. The problem is that with these new approaches, says Alvarez, the tendency is for a linear path to occur. They occur at the same time and affect each other. “Trends,” he says, “emanate ideas. These ideas clash with […]
With this scenario, Business specialist describes some current trends that Gartner believes will immediately impact retailing: 1. Retail is everywhere. It’s not just the store, the website or the mobile. Technology is enabling interaction between retailers and their consumers, virtually anywhere. Mexican food company Superama Virtual, for example, has put pop-up stores in subway stations where customers can place orders. At lunchtime the roving restaurant switches to the central mall and when the rush hour ends, it returns to the station. Already the Kate Spade store in Manhattan, uses QR codes and eBay to offer an hour of fulfillment services on orders: Buy now and we deliver to you later at the gym. 2. The purchase is personal and contextual. La Caixa, for example, is a Spanish credit card service that allows consumers to personalize their photo cards and receive information about their Facebook accounts. The Japanese toy store, FabCafe offers client body scanning and uses it to create new actions. “Because the customer experience requires personalized interactions, this makes scanning more difficult in the next interaction. Organizations that can solve this well will attract customers and gain loyalty, “he says. 3. The purchase is visual. Now you can see the product without being there. Jaguar and Land Rover are using videos for large screens and high-end sound to put the car where it is physically impossible: airports or auto shows, for example. Consumers can see the car in full size, hear the door close and the engine power up, see it from every possible angle and ask for a test drive. 4. E-commerce can become recurring. Amazon, Target and many other retailers now allow consumers to buy their products on subscription bases. “This allows the consumer to get it with minimal effort.” 5. Intentional innovation. Amazon, Staples, Apple, […]
For some people, shopping over the internet is a great convenience; for others, it is a tremendous one of an addiction. There are those who can not spend a week without buying something on the web. You have to be careful not to throw money away. Before making any purchase, it is convenient to meditate on the need, observe the prices offered on the foreign sales sites, check the opinions of those who already have the product and pay attention to the value of the freight, Since, in certain cases, the addition of this item can raise the final price considerably, making online shopping at a disadvantage. Ten years ago, there was no Facebook, Twitter, iPhone, Instagram or Google Wallet and there was the “Internet of Things.” The high speed with which these technologies bombard us, says Alvarez, creates the need for retailers (and others) to make new approaches and planning.
We already know that e-commerce is a booming business worldwide and that, if well planned, will certainly bring the desired return to its investors. A fundamental part of this planning, however, ends up being overlooked by many: the post-sale. Many virtual entrepreneurs are concerned with attracting the buyer and finalizing the order, but they forget that they should invest in the loyalty of those who bought their products. Conquering customers is a lot of work, really. You need to invest in SEO, email marketing, be in the price comparators, among other strategies. So why waste those who were conquered? There are many ways to get future purchases from a newly acquired customer. They say that the good child at home makes it, and this is absolutely true in e-commerce, because those who have a good experience in an online purchase, will treasure the name of the store. But how to provide good experiences? The first thing to do is to become aware that the service makes all the difference. Forget the primitive idea that just put the website up and deliver the products. Make available as many service channels as you can. In addition to increasing customer confidence, this measure facilitates negotiation of eventual exchanges. At the same time, attention should be paid to social networks. Customers choose the most convenient form of contact. Be prepared to serve them. Another factor that helps a lot is to send a discount coupon along with the first delivery. Of course the person can lose this coupon, but it is at this moment that comes the attention of the seller. It is important to restrain reminders to the customer’s email box to remind you of the benefit. Sending dozens of messages a week does not help at all. Quite the opposite. Your […]