Uncategorized Archives - c3centricity | c3centricity

+41 79 93 39 789 info@c3centricity.com

Fundamentals of a Customer First Strategy For Every Industry

Every industry strives to improve their customers’ experience with their products and services. Adopting a customer first strategy is therefore in many company objectives. Unfortunately it rarely goes beyond the theory in many organisations, so I decided to help out with these six suggestions.

Hospitality is perhaps one of the most visible industries where customer satisfaction, or lack of, is quickly shared with the world.  It is true that without satisfaction, customers will not return to a hotel or restaurant. And they will almost certainly share their (bad) experiences with anyone who will listen.

Hospitality is also one of the industries that receives the most comments online, thanks to TripAdvisor and other booking sites. There is no hiding from their clients for hospitality! While I empathise, it’s not all bad news. This is because it also means that great service will also be more quickly seen online. Therefore you can make changes and see the results almost immediately, or at least far quicker than in most other businesses.

However, despite this, I believe that the hospitality industry has a lot it can learn from consumer packaged goods (CPG). In fact most other industries could benefit from taking a look at some of CPG’s best-in-class processes.

Both the hospitality and CPG industries have their customers at their heart. They are both founded on pleasing and hopefully delighting their clientele in the quality of the products and services they offer. However, as the world changes, customer demands do too and companies need to stay current if not ahead of these requirements in order to ensure continued growth.

#1. From ROI / ROR to ROE

There has been a lot of talk recently on moving from a return on investment to a return on relationships. Whilst I agree with the importance of relationships, I believe that what we should be talking about is engagement. Be honest, other than the popular book that started talking about brand love, who wants to have a relationship with a brand?!

Brands that have a high following and loyalty have found a way to consistently engage their fans and keep them coming back. They become involved and interested in the brand, the product, their website, even their communications. Coca Cola and Red Bull are great examples of this. You should also check out another post entitles Increasing Impact & Engagement through Advertising Testing.”

Brands that have a high following and loyalty have found a way to consistently engage their fans and keep them coming back. #CEX #CRM #Engagement @C3Centricity Click To Tweet

 

#2. Build relationships with strangers

Whilst the hospitality industry has been based on serving and satisfying its guests, in today’s connected world it also needs to consider people who are currently strangers – but who could potentially become clients. These might be the friends of current guests, which for example the Rosewood Mayakoba resort in Mexico tries to attract.

This wonderful hotel encourages its guests to photograph their experiences during their stay at the resort and then to share them with their friends on Facebook. This not only provides free publicity for the hotel, but also enables it to start engaging these potential clients, since they probably have similar lifestyles to their current guests.

User generated content (UGC) works well because customers trust each other a lot more than they do brands. Research from Forbes shows that 81% of consumers’ purchase decisions are influenced by their friends’ social media posts.

For some great examples of successful UGC campaigns, I highly recommend checking out this article on Wedevs. You may also want to readThe Exceptionally Easy & Profitable Uses of Customer Co-creation.”

User generated content (UGC) works well because customers trust each other a lot more than they do brands. #CEX #CRM #Trust @C3Centricity Click To Tweet

 

#3. Value is more important than price

Having additional control in their lives today means that customers are re-evaluating what they are offered. They have higher expectations and are more discerning in their choices. They expect recognition at every touchpoint, even if in reality their peers influence their decisions more than does traditional marketing.

The internet enables them to compare offers, so they are less interested in bundled propositions, preferring to decide what is best value for them personally for each element. Several brands have understood this and now offer the customer the possibility to define their own, personal bundle of options. Liberty Mutual is one such example of this.

According to research by Walker, 86% of consumers would be willing to pay more for a better experience. So don’t get fixated on price; find ways to add value that consumers may appreciate far more than its actual cost to you.

To learn more about pricing and value check out “Sourcing & Services Matter: Why Price Alone Won’t get your Customers to Stay.”

Don't get fixated on price; find ways to add value that consumers may appreciate far more than its actual cost to you. #CEX #CRM #Trust @C3Centricity Click To Tweet

 

#4. Renovation is more than for buildings

Most CPG companies have targets for Innovation & Renovation, sometimes 30% or more of annual revenue. They also have mid-term innovation pipelines which can include partnerships in joint ventures with what were previously only competitors. These help each partner by building on their individual talents and enable them to develop better products and services.

For hospitality, innovation can no longer be purely physical or rational; we need to consider more emotional and relational ways to satisfy. The Rosewood Mayakoba resort, already mentioned above, is one good example of this; the Art Series Hotels are another. Check out the latter’s recent ad to understand better how they excel at understanding their guests: Art Series Overstay Checkout, or why not review the picture posted on MayaKoba’s Facebook page?

If you want more ideas on innovating, then read “A Customer-First Approach to Successful Innovation.”

 

#5. Loyalty is never really won

One of the reasons that I believe we need to work on building engagement and in all industries, not just hospitality, is because customer demands are constantly evolving. What satisfied them yesterday can bore or even disappoint today.

To acquire and retain our customers, we need to be constantly upgrading our products and services, so that they will be surprised and delighted. This means that loyalty is much less long-term than in the past and lifetime value is now measured in months or a few years, rather than in decades.

To acquire and retain our customers, we need to be constantly upgrading our products and services, so that they will be surprised and delighted. #Customer #CEX #CRM #Satisfaction @C3Centricity Click To Tweet

 

#6. Dialogue, don’t just communicate

In today’s connected world, customers want a say in not only what they consume, but also where, when and how they are marketed to. They want a say in what they buy and expect a rapid resolution to any queries or complaints. According to a recent Edison Research, 20% expect a company to answer to their social media posts within 15 minutes, 42% within the hour! That means 24/7 monitoring for all organisations if we are not to disappoint our most engaged customers.

We must have 24/7 monitoring if we are not to disappoint our most engaged customers. #CEX #CRM #Customer #Engagement @C3Centricity Click To Tweet

 

These are just six of the many ideas I shared during a presentation I gave to the faculty of a world- renowned hospitality school. If you are interested in seeing the full talk, I am happy to share it. Just email me with your details and what your biggest business challenge is currently in adopting a customer first strategy.

Are you too struggling to improve your own customer centricity? Whatever people-facing industry you are in, we would welcome the chance to support and catalyse your efforts. Please check out our website for more information about our services and training courses, or contact us here.

Brand Strategy, Vision & Planning: When did you Last Review Yours?

How do you develop your br and strategy and vision? Do you just take last year’s document and revise it? Do you build your plan based upon the sales and profit increases imposed by management? Or do you start from your target customers’ perspective?

You know me well enough to have guessed that as a customer centric champion, I am going to say that the third answer is the correct one. Now I’m not saying that you shouldn’t take neither last year’s plan nor management’s targets into account. Rather I’m suggesting that as you are selling to your customers, they should be top of mind.

If you believe that your own br and planning process could do with an update, then read on; I have gathered together some of the latest ideas and best practices to inspire you to make a few improvements.

One of my favourite quotes on planning comes from Alan Lakein, an American businessman and author:

“Failing to plan is planning to fail” (>>Tweet this<<)

Another from A. A. Milne the English author and playwright says:

“Planning is what you do before you do something, so that when you do it, it is not all mixed up” (>>Tweet this<<)

So let’s start planning so we don’t mess things up!

Where you are – the situation analysis

The first step of the process is to run a situation analysis. This phase can include, but not be limited to, a review of market shares and trends, your current customer persona, your br and’s current image and changes, as well as the full details about your offer – price, packaging etc. Here we’re not speaking about the industry definitions, but the consumers’ perspective, or course. You will also need to do the same for your major competitors, but more about that below.

Who are your customers?

anding” width=”349″ height=”197″ /> The 4 Ws of targetingThis should be a no-brainer and yet I am constantly surprised just how many clients are unable to answer this question in detail. They may succeed in being relatively specific on demographics, as the above example mentioned, but not much more.

A recent and-underst and-your-customers/” target=”_blank”>post on this topic will definitely help you get better and more precise at describing to whom you are selling your product or service, so do check it out.

Only be completing a detailed profile, or persona as many like to call it these days, will ensure you are starting from the best possible position.

What is your current image?

A br and image and equity review is essential for both new and existing br ands. What category are you in? Is that an industry definition or a customer one? I remember working with a client who thought they were competing in the carbonated soft drinks market. In discussing with consumers we found they were competing in a mush wider arena including carbonated soft drinks AND fruit juices, because their drink contained real fruit juice.

The segment in which you compete is vital to underst and, as you will then review how your image compares to those of your major competitors. If you don’t know in which segment(s) you are competing, the latter are going to be difficult to identify. (>>Tweet this<<) And you may miss a major one through your limited view, as did my client mentioned above.

You might also have to check your corporate image if it is mentioned on the pack. Make sure its image is adding to and not negatively impacting your br and’s image. (>>and’s%20image%20[tweetlink]%20%23br and%20%23image” target=”_blank” rel=”nofollow”>Tweet this<<)

Another client of mine wanted to sell a new service for young people but its corporate image was one associated with older businessmen. It would have been a huge struggle for them to change this image, so I suggested removing the company name from their packaging. Would you believe it? The br and took off immediately because it could then position itself as a product for their precise target group and adapt communications to them. It worked – big time!

Why you got here – your key issues & opportunities

Based upon your br and audit and situation analysis, you should be able to review your current positioning and see whether you are still aligned with the vision you set. You will also have a good underst anding of your major competitors as well as their strengths and weaknesses.

Knowing where you are and why, you can now start to identify what gaps exist and the reasons for them.  The actions that you plan to take could be a change to your communications to emphasise a different strength of your br and; or maybe you decide to exp and distribution to better cover your weaker regions; or  maybe it’s time to launch a line extension or even a completely new br and. See why the situation analysis is a vital step to conduct before getting into strategic action planning?

Where could you go – your vision

I mentioned earlier about management’s targets that may have been set for your br and. Often these have been developed with a view to the total business needs and then attributed to each br and or category in which the company is active. It is your job to review what is possible, not just what is dem anded.

Whether the targets are too high or too low, you need to review both the budget and actions needed to meet these targets and inform management early if they are not aligned.

I know that this won’t make you popular, but at least it gives management the chance to adjust their own plans based on such input and they may be able to adjust them across their full portfolio.

How can you get there – your strategies & tactics

Now your targets have been reviewed and agreed with management, they need to be translated into strategic initiatives you will plan for the year. At this stage keep them high level. Review how you are going to meet them, remembering that there are basically only three ways to grow a business:

  • get more people to buy
  • get people to buy more
  • get people to spend more

Decide on which one (or more) methods you will concentrate on and then you can identify the actions needed.

If you are working with a declining br and, then you can still review these three methods but you will use them to defend your share. For this you will need to underst and which of them is the major cause of the decline and then identify tactics to reduce these losses.

What you need to do – your actions & limitations

Planning your activities need to be done with careful thought and thoroughness. You need to take into account many internal as well as external factors. For instance:

  • How does your plan fit with those of the other company initiatives? The salesforce won’t be able to work on every br and at the same time.
  • Is your br and seasonal or impacted by outside conditions? Weather, local celebrations, holidays or cultural habits can all impact dem and for certain categories and br ands.
  • Do your competitors have an identifiable planning that you can either interrupt or avoid?
  • What personality does your br and have? Your activities need to fit with your br and’s personality, which you will have checked during the review of its image.
  • What budget do you have? Better to concentrate on a few touch-points than to cover all of them so thinly your efforts have almost zero impact.
  • How do your communication plans fit across all the media you will use. They don’t have to be identical but together they should build a complete story.

Those of you that are regulars here know my love of threes. Therefore another useful way to work in a simple but not simplistic way, is to plan three strategies and have three tactics for each. Nine actions are more than enough for any br and.

Final thoughts

When presenting your plan, don’t get hung up on the numbers. Tell a story about your vision; where you are today and how you plan to get to where you are going. Use numbers to support your ideas not to blind or drown the audience.

The same goes for your wording. Be precise and succinct, not long-winded in order to just fill the plan template – I think every company has one, no? Organisations oblige managers to use st andard templates, but treat them as guides  and not as a bible. I have never heard of a plan being criticised for being too short, although I have of course heard them being criticised for lack of relevant content, which has nothing to do with its length.

What are your best tips for a successful br and strategy? I’d love to hear your own recommendations, especially if you are using a different process.

If you would like our support in developing your br and strategy, vision and plans, then please contact us here; we are sure we can help.

C³Centricity used an image from Kozzi in this post.

What the Best Insight Developers in the Business Know and You Don’t

Insights are essential to business success and have become the holy grail of marketing in particular over the past ten years or so. Many clients ask me to help them to review their process or to develop a proprietary new one when they are dissatisfied with their current performance. In working on these projects, I have found a number of reasons why some organisations struggle to develop insights whilst others are more successful. Which are you?

Before going into the details of their success, let me start by explaining what I mean by an insight, so that we all agree what we are talking about.

Wikipedia has two definitions of insight; the one I prefer is:

“Insight is the act or result of apprehending the inner nature of things or of seeing intuitively”

Their other definition is:

“Insight is the underst anding of a specific cause and effect in a specific context”

Having worked with many leading businesses in numerous different industries, the second one appears to be the definition that is often used, but it misses an essential element, that of the ‘Inner nature” of things, which in my opinion is primordial. Therefore I would like to also add my own to clarify what I mean and which I believe will be more useful for business and marketing:

“An insight is a statement based upon a human truth that when actioned has the power to change behaviour” (>>Tweet this<<)

This definition has the advantage of speaking about an insight being based on a human truth, the inner nature of things included in Wikipedia’s first definition. This means that it is not applicable to only one category or country, but to the whole world in most cases.

Hopefully your own definition is similar to this one. If not, then please let me know what the differences are. Assuming that mine is at least acceptable for now, let’s review what the best of the best in insight development do differently to more successfully develop them.

1. They underst and that insights drive a successful business

Business success is what all organisations are aiming to achieve. It takes deep underst anding of the market in which one is competing. That is why you need insight, otherwise you are just left with the job of selling something which your customers may or may not want.  As Peter Drucker is quoted as saying:

“The aim of marketing is to know and underst and the customer so well the product or service fits him and sells itself” (>>and%20the%20customer%20so%20well%20the%20product%20or%20service%20fits%20him%20%26%20sells%20itself%22%20[tweetlink]%20%23quote” target=”_blank” rel=”nofollow”>Tweet this<<)

 2. They know that insight isn’t just another word for market research

Over my career I have heard several executives and C-Suite members refer to insight as “the new name for market research”. No it’s not. Market research is not insight and insight development isn’t market research. However, market research findings ARE often one of the sources of information that are used for insight development. ONE of them.

3. They don’t think a fact is an insight

Those who tend to struggle with insight development often see facts as insights. Perhaps they are impatient to get to the action or are confused with what an insight is? Data and information are the foundations of insight, but it takes their integration and a whole lot more work to get to an insight.

4. They don’t expect an insight to come from a single piece of market research

Although I have known some clients who have gotten to an insight following a single piece of research, it usually happens when the work has been conducted to fill a knowledge gap. This is a powerful step in insight development and highlights the need to spend time getting to it, rather than rushing the process.

5. They know that insight development is easier in a diverse team

Insight development is often left to the market research and /or marketing departments to run. However, since insights are based on human truths, having different points of view of the information gathered, speeds up knowledge and underst anding of the situation. This then sets the scene for the development of an insight.

6. They underst and that an insight is developed from multiple sources of data and information

As previously mentioned, to fully underst and the customer,  information on all aspects of their behaviour and perceptions from multiple sources must be used. This is why the team appraoch works best, with each member bringing a part of the puzzle.

7. They underst and that an insight comes from deep customer underst anding

The most actionable insights come from a complete underst anding of both the target customers and the market in which the br and is competing. In addition, I encourage clients to add observation and participation in experiencing the br and from the customer’s perspective.

8. They walk in their customers shoes every day

Whilst observation and participation are recommended when developing insight, they are great habits to adopt every day. Keeping close to your customers is the best way to underst and, satisfy and hopefully surprise and delight them too. It also makes insight development easier and faster when needed.

9. They know an insight is obvious when discovered

It is that infamous “Ahah” moment often described at the end of the process. Until then, someone in the team will always have something to add or change, or will not totally underst and it. When it resonates with everyone, then you have found a “human truth” that your customers will intuitively relate to.

10. Whilst developed for one category an insight can often be applied to others

In closing I would like to share some examples of insights that have been used across categories, sometimes within one company and sometimes across competitors.

Insight: Young women want to be appreciated for who they are i.e. not exceptionally beautiful models, but healthy  and happy individuals

  • L’Oreal’s campaign “Because I’m worth it” was one of the first to recognise this opportunity. The slogan was first used in 1973 during the rise of feminism and recognised that women wanted permission to treat themselves, even if just to a slightly higher priced shampoo. It remains as powerful today as it ever was and an estimated 80% of women recognise and respond to it positively.
  • Unilever’s Dove took this insight to a whole new level in 2004. Their famous Real Beauty campaign resonated so well with young women that many other br ands copied it, especially their Evolution film. Here is one of their more recent ads from a couple of years ago, that I’m sure will give you goosebumps, even if you have already seen it.
  • The Swiss Supermarket chain Migros has a store br and “I am” which uses the same insight across all their health and beauty products. Somewhat unusually, the br and name itself is based upon the same insight, and its advertising repeats it several times: I am – what I am.

Insight: Parents want to protect their children so that they grow up happy and healthy

  • Unilever’s Omo shows that a good mother lets her child experiment and learn – even if this means getting dirty. If you don’t know their advertising, then check out one of their latest from this long-running campaign: Unilever Omo “Dirt is Good” ad on YouTube

I hope these examples inspire you to review both your own insight process as well as how you action them. Look at what others are doing, especially in their communications and try to guess the insight behind them – this also makes a great team-building exercise. Then review whether or not it is transferrable to your own category.

Do you have some of your own insight examples to share? Then please do add a comment below. The best may be chosen to be included in my next book on Insight (>>Tweet this<<). And if you are still struggling with insight development and would like some help, then give us a call for a short discussion of your needs – no strings attached! We also have a one-day training that will quickly bring your team up to speed.

C³Centricity used an image from Dreamstime in this post.

 

Halloween Scares & Solutions for Marketing

Halloween is coming, even earlier than usual this year, judging from all the retail displays already in the shops! Although it is now more associated with children dressing up in scary costumes and dem anding “Trick or Treat”,  it is actually a Christian remembrance of the dead on the eve of All Saints’ Day.

So what does that have to do with marketing? Apart from the obvious effort of many companies to include the pumpkin shape, flavour or aroma in almost every product they make, at least in the US, marketing too has its scary moments doesn’t it?

What scares you marketers the most, or to put it another way, what keeps you up at night? One of the most recent studies on the topic, issued a few months ago, comes from The Marketing Institute (MSI) and was summarised by David Aaker of Prophet as seven issues, which he divided into three tiers:

TIER ONE: The hot topics

  1. Underst anding customers and the customer experience with particular emphasis on the impact of social and digital.
  2. Big data and analytics, with how they will impact predictive modelling and the marketing mix.

TIER TWO: The other concerns

  1. Following on from the opportunities of Big Data, the next concern is Marketing Accountability and its ROI.
  2. Developing marketing excellence and the new skills required such as visualisation and storytelling.
  3. Leveraging digital/social/mobile technology and linking it to CRM
  4. Creating and communicating enduring customer value and how to measure it in the social environment.
  5. Developing and delivering integrated marketing

TIER THREE: Previous concerns getting under control

  1. Innovating products and services
  2. Global marketing
  3. Segmentation
  4. Optimizing social contracts

What I find interesting from this and similar studies that I wrote about last year, is the overlap between many of these challenges. Marketers are really concerned about the wealth of information that they have on their customers and how they can manage to turn it all into insights, for more profitable actions and engagement. I therefore thought it would be useful to summarise the “so whats” of all these current challenges and propose actions that will help marketers get these issues under control, so they can change their scares into solutions:

Underst anding the customer experience

SCARE: With the exciting new worlds of social and digital taking up much of the thoughts of marketers, they are struggling to find ways to think integration, but that is the only way to underst and today’s customers. 

SOLUTION: Starting from the customers’ perspective makes looking at the bigger picture much easier. Instead of thinking single channels of communication, think connection and engagement. (>>Tweet this<<). Instead of thinking purchase and loyalty, think advocacy. Creating value for the customer goes way beyond providing a product or service these days. (>>Tweet this<<)

Knowing what to do with data

SCARE: We have gone from an information rich environment to complete data overload. This challenge definitely keeps a lot of marketers up at night. They feel as if they have to use everything available but at the same time are also aware that they are incapable of doing so.

SOLUTION: The answer lies in the old “eating an elephant” solution. Rather than worrying about what is not being managed, marketers should review what they already have, and only then decide what else they could use to help answer all their questions. There is so much information available today that we can’t work with it all, but we can ask better questions that can be answered by analysing this data. Start with the right question and then use the data you have to answer it. (>>Tweet this<<)

Engaging customers

SCARE: Every br and has some sort of web presence today. Whether that is a website, Facebook page or Twitter account, most companies have rushed into social media without a detailed underst anding of why they are there. If this is your case, it’s time to take a step back.

SOLUTION: How are you connecting with your customers today, both offline and online? The two should be complementary. However if there is too much overlap and you are doing the same on both, then you are wasting your money. You are also wasting your money if you don’t know why you are online in the first place! (>>Tweet this<<)

I had a client once who wanted help in updating one of their websites. In running a first analysis of all their websites, I found that more than 80% of them were being visited by less than 30 visitors a month! We cancelled all those websites and invested the money in the remaining active ones, improving both their ROI and the engagement with their customers. Maybe it’s time to take a look at your own web statistics?

Marketing ROI

SCARE: Marketers are scared for their budgets and even more so for their jobs. With the rise in the importance of technology and IT, marketers need to move from br anding  and creativity alone, to embracing data and analytics much more than they have done in the past.

SOLUTIONBecome friends with your CIO and see IT as a support of rather than as a threat to your budgets. Yes managing new technologies and data analysis will need more investment, but that won’t (shouldn’t) come at the expense of br and building. In fact with the increased power of the customer and the number of channels on which to reach them, marketing needs increased budgets to be where and when the customer dem ands connection and information. (>>Tweet this<<)

Acquiring new skills

SCARE: As already mentioned, marketers must get comfortable with large amounts of different data. They also need better ways to analyse and make sense of it all, often in near real-time. This is a challenge in itself, but the new skills they have to acquire don’t stop there. They also need to turn their information into actionable insights and then share them with the rest of the business to gain acceptance and impact.

SOLUTION: Your market research and insight colleagues are the best people to help in making sense of the data and developing actionable insights. It will be the marketer’s job to share these with the rest of the business in a more creative way. Visualisation & storytelling are the new must-have skills for today. No longer can you expect PowerPoint presentations to excite and engage your C-suite executives – if they ever did!

These are five of the most pressing current scares of marketing and some simple solutions to address them. Are you challenged by something else? If so, add a comment below and I’ll help you find a solution. Or if you prefer, you can contact me here.

C3Centricity used an image from Microsoft in this post.

 

 

Are P&G Right to End Marketing?

In the last couple of weeks, there has been a tremendous amount of discussion around P&G’s decision to change marketing into br and management.

The consumer products world closely watches whenever P&G announces changes, whether to their strategy, marketing or in this case their organisational structure. As this AdAge article (herementions “P&G seems well out in front of the rest of the marketing world — or what used to be known as the marketing world — on this”.

As businesses have become more social, there have been a lot of articles about marketing. Some have spoken about the need for marketing and IT to get together, if not even merge in some way (See this Forbes article). Others have proclaimed the end of the CMO’s position altogether, including the infamous piece by IMD’s President Dominique Turpin “The CMO is Dead ..… Welcome to the CCO. Then there have been even more articles challenging marketing to show their worth and suggesting metrics to prove their ROI (See  Fournaise 2011 study of 600 CEOs or  Forrester’s Marketing Performance Management Survey).

The fact that there have been so many different pieces on the topic over the last year or so, suggests to me that marketing is still vital for and extremely attractive to business, but that it is in desperate need of reinventing itself. I believe this is behind P&G’s move.

At the end of last year I wrote a post proposing what I thought would and wouldn’t change and what needs to. Six months on, in light of P&G’s announcement, I thought it useful to review my list:

What will change

  • Marketing can no longer work alone in a silo; it needs to become more collaborative and more commercial or business oriented. It can no longer remain fuzzy and hide behind claims that its ROI is difficult to measure.
  • anding customer service opportunities” width=”375″ height=”226″ />The sales funnel will be (has already been) replaced by the purchase decision journey, which will be a multi-layered, flexible representation of the route to purchase. For more on this, read “How Great Customer Service Leads to Great Customer Loyalty”.
  • Advertising  and messaging TO the customer will be replaced by valuable information made available FOR the customer. In line with the longer sales journey and multiple online consultations, communication will become more informative, more useful, more timely.
  • Local will no longer be geographic but “Native”. Whether it’s language, habits or interests, customers will be targeted on their similarities that will rarely, if ever, include geographical proximity.
  • Mobile web consulting will become the norm, so br and sites need to become adaptive. Content will aim to inform, educate and entertain first and foremost, rather than sell, and websites will become flexible and adaptive to the differing screens and customer needs.

What won’t change

  • The customer is still the king, but content joins the ranks in almost equal position, needing more respect and value, and less commoditisation. For a great post on this read “5 Ways Content Marketing Must Change in 2014”.
  • Recommendations will remain a vital part of choice and decision-making, but they will no longer come from just friends and family. They will come from organised collection – think TripAdvisor or Angie’s List – or from (self) proclaimed experts through their Blog posts and faithful followers.
  • Customer (consumer) underst anding remains vital and in fact the need for underst anding will even increase as customers will be in constant evolution.

What must change

  • We are all swamped with messages and information and yet – perhaps because of this – our attention span is declining. Messaging must become shorter and simpler as people use headlines to decide whether or not to stick around.
  • In addition to the increased need for informative content, it will need to engage as well as (or is it more than?) inform. Storytelling will become an essential skill for marketers, both internally and externally.
  • Wearable technology will totally change our where and when decisions of messaging. The customer will not only be in charge of what messages are received but when to be “visible” to receive them.
  • The old marketing funnel to advocacyHaving changed the sales funnel to a path to purchase, the usual loyalty funnel no longer works. The simple path from awareness to loyalty will be replaced by a constant and consistent battle for trust. What’s more it will never be truly “won” as customers continue to be fascinated by novelty.
  • Marketing can no longer depend on creativity alone. It won’t be enough, as if it ever was, and marketers will need to get (even more?) comfortable with their BigData and its usage.
  • Customer underst anding will come from multiple sources and market researchers will become underst anding analysts responsible for turning the unstoppable flow of information into the organisation, into palatable morsels of digestible stories.

Although I didn’t predict P&G’s change, it does in fact address most of the above, by combining four functions under the new title of Br and Management: br and management (formerly known as marketing), consumer and marketing knowledge (their name for market research), communications and design. At least by combining these groups under a single leader they will be forced to work less in silos and there should be more and better collaboration. Only time will tell if this move will be successful.

Do you think P&G’s change is the right move? Will you consider doing something similar? I’d love to hear your thoughts, especially if you are, or aspire to the “old” CMO or marketing roles. 

If you need help in adapting to the new world of marketing, why not work with one of the new breed of marketers? Someone who combines cultural sensitivity with creativity and technical know-how; a catalyst for the change your organisation needs. Contact us here  and let’s discuss your needs.

C³Centricity used an image from Microsoft in this post.

Four Tough but Essential Decisions Every Business Leader Must Make: Who, What, Why & How?

“Why do I have to do it?” That was what my friend’s daughter provocatively asked him recently. She didn’t want to do something he had requested of her and like many kids was now questioning his reasoning as well as his authority.

This happens in the work environment too. When you are the boss, your team members are likely to sometimes ask you a similar question. And whilst it may be done less bluntly, they will still be questioning your reasoning and authority.

Last week I spoke about honesty in the workplace and it caused a lot of discussion online and in various LinkedIn groups. This week I want to speak about the difficult decisions we, as leaders, are sometimes forced to take.

Organisational structure

Individuals are all too often promoted for good performance in their current positions and not for their people-management skills or because their abilities are suited to the future positions. This is coined the “Peter Principle” in management theory, named after Laurence J. Peter. His book on the topic, co-authored with Raymond Hull, suggests that people tend to get promoted until they reach their “position of incompetence”. In fact  it has been shown that CEOs who fail are quite often found to have made poor people choices  that they have then been unsuccessful in dealing with appropriately.  (>>Tweet this<<)

True leaders accept mistakes, both theirs and their teams, and personally own their bad decisions. However, that doesn’t just mean firing the under-performing employee. It also means firing someone that doesn’t “deserve” to be fired, just because your priorities have changed. It also means taking the time to explain why; no hiding behind HR to do the dirty work or just h anding over the official letters in silence. Taking the responsibility of one’s acts can sometimes be painful, but that’s what distinguishes a true manager.

Portfolio management

In the garden, you keep your plants healthy by regularly trimming them. You remove the dead wood and cut back the longer stems so the plant will bush out and have more new growth and flowers. The same is true in business.

Both P&G and Unilever have done some radical pruning of their br ands over the years. P&G has around 300 br ands today, a third less than just a decade ago. And Unilever continues to frequently reduce the number of its stock-keeping units (SKUs). Since introducing its “ Path to Growth” initiative almost fifteen years ago, the number of its br ands has been culled from 1,600 down to just 400.

Retail organisations are no longer willing to offer increased space for ever-exp anding numbers of br ands and variants. This is especially true in recent years with the start of a clear increase in the numbers of supermarket chains offering smaller stores. Therefore it makes sense to regularly review your own portfolio and cut the “long tail” of slowest movers. The “Pareto Principle” or 80-20 rule helps a lot to make these difficult decisions.

People management

Most major organisations go through periods of growth followed by times of headcount reduction. These latter cutbacks often result in emotional pain for many of the previously loyal employees, and often for the staff who remain too. You would think that someone would notice these cycles and come out with a better way of managing a workforce.

Personnel cuts are usually claimed to be for cost-cutting reasons, but are all too often followed by new hiring initiatives within months if not even weeks of the event! Now I underst and that staffing needs change and new projects may require new skills. But I blame management for being short-sighted when they make such layoffs. Whilst a business needs a core of different staff functions, the requirements of short-term projects should be met with temporary hires. This will avoid the costly practices of first hiring and then firing staff shortly afterwards.

Luckily young professionals are looking for more freedom in their careers today than my security-seeking generation ever were. Therefore why not identify your own staffing cycles and take advantage of this trend to find alternative ways of meeting temporary skill requirements?

Resource allocation

Almost every department must occasionally defend both its headcount and its budget. Whilst intellectually we may underst and that we can’t have it all, we still complain when seeing others getting more than they need (or deserve?).

Unfortunately too many businesses set their goals by looking in the rear-view mirror (>>Tweet this<<), rather than by contemplating plausible future scenarios. Basing tomorrow’s needs on what was done last year, or worse still on what competition did, guarantees that budgets will not be available where they are most needed. If however resources are managed from the top down, in line with company rather than personal objectives, the business is more likely to get to where it is headed. How do you manage yours?

These four decisions are amongst the most difficult a leader will ever have to make. To summarise, they cover the who, what, why and how you run your business. It is in making these tough decisions that leaders prove why they are where they are. What decisions have you found the toughest to make in your own career and why?

Join Global Customer First Strategists!

Get our latest posts before everyone else, and exclusive content just for you.

* indicates required

FREE DOWNLOAD “Secrets to Brand Building”

Everything You Need To Know To Improve Your Marketing & Brand Building

* indicates required