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How to Take Local Brands to Global Success: The 5 Rules to Fortune

I remember reading an article in the Financial Times a couple of years ago, that challenged companies to search for a new style of marketer. They weren’t speaking about the current need for marketers to be both creative and comfortable with data. They were referring to the growing need for marketers to stand up to the challenge of taking local brands global. The marketer who understands when local specificities make sense and when they don’t, is the one who will succeed in today’s global economy.

In this networked world, more and more successful local brands are attempting global roll-outs. What does it take to repeat the success you’ve had at market level, when you launch globally? Here are my five rules to fortune:

 

1. Understand the Market

Future scenarios for global success

This is the basis of any new product launch and applies just as well to global rollouts as it does to local brand developments. Today’s consumers are demanding, so find out as much as possible about them. Understand their rational needs but also their emotional desires, even if they don’t openly articulate them.

For global rollouts, an additional information concerning the comparison of similarities and differences between the customers in the local and future markets must also be considered. This is where trend following is of particular use, even if you haven’t developed future scenarios, as I recommend here.

Let’s look at some of the latest trends which are growing across regions today.

  • I want it now! Consumers and shoppers want information where and when they need it. This has been the case for years. But now they expect to get answers as well as making use of visual search that enables them to buy whatever they see, wherever they see it. Ikea Place offers shoppers the possibility to snap and then see an article in their home environment. Ikea also offers a visual search function for shoppers to identify an item seen in a magazine or real life, and then find similar ones. Dulux’s Paint Colour Visualizer offers shoppers a similar service; you can try out paint colours virtually in your home to see how it will look with your furnishings, before you purchase it.
  • Personalised Experiences. Despite the desire for data privacy control, consumers are ready to provide their information in exchange for a better, highly personalised experience. ZozoSuit is one example which enables consumers to order clothing online that will fit them perfectly.
  • Join the Club! Another use of personalised data is in providing privileged services – at a price. This idea is used for the regular delivery of razor blades and tampons, as well as for personalised exercise routines and menus. Consumers are happy to join a “club” to pass on mundane tasks to a (virtual) assistant to make their lives simpler. Some successful examples of these include Dollar Shave Club, Freda, and Amazon Dash buttons.

 

2. Understand the Customers

What does the product stand for in the eyes and minds of your customers? Do those in the new market have the same sensitivities as the ones in the local market where your product has met with success? Will the consumers in the new target market perceive the same benefits in the same way?

If not, is this really a potential market, or are you just rolling-out there due to geographic proximity? I am still amazed how many organisations base their roll-out strategy on geography rather than the customer! Big error!

Examples of such disasters include:

  • Kellogg’s Cornflakes launch into India. It failed because they ignored the Indian habit of having a boiled & sweetened milk rather than using cold milk for their cereals, so the flakes went soggy.
  • P&G’s Pampers was launched in Japan with the image of a stork which confused consumers. Whereas a stork is fabled to bring babies to parents in the west, this is not the case in Japan.
  • Mitsubishi (Pajero), Mazda (LaPuta) and Chevrolet (Nova) all had issues when rolling out their cars into Spanish speaking countries. Had they bothered to check the meaning of the model names in the local language, they would have avoided the negative connotations and the need to change their names after launch.

 

3. Position Based on a Human Truth

Local brands need a human truth to go globalOne of the similarities that brings all consumers together is their basic human needs. Think parenting and wanting the best for your children, used by many, many brands, including Nestlé’s Nido and Unilever’s Omo / Persil.

Or what about women and their frustration with not being considered as beautiful as the retouched models in their magazines, which is very successfully used by Unilever’s Dove?

And how about men and their need to charm women, to affirm themselves, that is used by Lynx / Axe from – you’ve guessed it – Unilever, again. (They really do know their consumers better than any other brand builder today!)

Human Truths or Needs are used the world over and form the basis of many very successful roll-out communication strategies. So before you dream of taking your local brand’s success to global stardom, think about what human truth you are using to build it. If you can’t identify it, there is a far lesser chance of your repeating its local success in other markets.

 

4. Can You Use Your Local Heritage?

Many countries and regions have strong, stereotyped images that can play to inherent qualities associated with certain product categories coming from them. Examples of these include French perfume, Swiss watches, Russian Vodka, Italian fashion, German or American cars and Japanese technology.

If your brand has a strong positive association with local tradition or nationality, then make use of it. Even if consumers in the new market may be less aware, authenticity and tradition are strong current sensitivities on which you can build your brand in new markets. (Just make sure you check trend levels of them before choosing the new countries for rollout!)

 

5. Understand the Category

As I mentioned above, many companies get their rollout strategy wrong by looking at geographical proximity, rather than the closeness of the customers’ social sensitivities in them. Just because countries are geographically close, doesn’t mean their populations are similar when it comes to category image and usage.

When planning product roll-outs, also consider how alike the customers are in terms of usage and behaviour, as well as the category trends. By doing this, you are more likely to better prioritize the markets most open to the local brand’s product launch.

 

One Final Idea

I’d like to end with a final comment on global roll-outs. C3Centricity’s partner PhaseOne, wrote a guest post for us on the risks of implementing a global creative strategy. As communication experts, PhaseOne knows what it takes to succeed in engaging customers across the globe. The article makes a great complement to this post and you can read it here: “Why Implementing Global Creative is Risky

 

Many companies have effectively rolled-out local brand successes to other countries in the region, if not the world. But many more have failed. What would you add to the list to increase the odds in favour of a regional or global roll-out? I would love to read your own thoughts in the comments below.

If you would like to know more about improving your branding and communications, then please check out our website: https://www.c3centricity.com

winning customer centricity through customer service excellence

 

 

C3Centricity uses images from Denyse’s book “Winning Customer Centricity.”

 

 

This post has been adapted and updated from ones which were first publicised on C3Centricity Dimensions in 2012 and 2013.

How to Innovate More Creatively

I was recently on a trip to the US; a transatlantic flight on a Boeing 747, my favourite airplane – apart from the Seneca II that I used to own. Anyway, the reason I love long-distance flights is because they cut us off from everyday life, although unfortunately no longer the phone nor web these days.

They therefore provide us with a very rare commodity; some precious thinking time. How do we ever get that otherwise? Speaking personally, my brain seems to be constantly under pressure from the challenges of work, family, friends – in a word, living – so I love it when I need to get on a flight, the longer the better.

I watched Transcendence on this flight; it’s about the moment when the human brain and technology become one. I love science fiction (SciFi), because it frees the mind to dream and to be far more creative than the “normal” working environment ever allows.

After the film and lunch were over, my mind turned – of course – to business and how I could set my past, current and future clients free too; how to make them more creative as well as more customer centric. So this is what I came up with, far above the clouds and worries of my everyday world.

The future is in our h ands

We are all wise after the event, but how do we become wise before it? In my opinion, by setting free our thoughts about the future and our creativity. Many companies have an innovation group, but rarely do they set them free, to think big, to think out of the box.

In fact in many cases, they are literally put in their own boxes, separated from the business for which they are supposed to be innovating. Whilst the intention of this separation may be laudable – it is claimed that it provides increased freedom  – it generally doesn’t work, because the group’s creativity is not grounded.

Despite their incredible creativity, even science fiction writers are grounded; their stories are based on facts, a progression from current actualities to future possibilities. I am not suggesting that innovation be limited to the mere renovation of today’s products and services, but rather that they be based upon a realistic progression of today’s realities, rather than pure hypothesis. In particular, they should be developed out of current sociatal trends, behaviors and needs.

Trend following isn’t creative

Are you following trends? Are you happy with the information you are getting from your supplier? We all love to look at new inventions and products from around the world, but just think about what useful and actionable information you are really getting.

I’m sorry to break the news to you, but you are almost certainly getting exactly the same suggestions as the tens, if not hundreds of other clients your supplier has. Reports aren’t generally personalized, or only minimally, so whatever ideas their reports might spark, are likely to be sparking in every one of your competitors minds too!

So if trend following won’t help your innovation, what will? My answer would be many things; isn’t that good to know?

Develop your trends into future scenarios

Trends do not provide you with a competitive advantage, especially for innovation, so you need to first turn them into future scenarios. There are (at least) two ways to do this.

Firstly you can combine the trends and form what are often referred to as axes of uncertainty. When crossed, these form four (or more) new worlds for you to then define, describe and develop. Your possible actions in each of these scenarios can then be identified, so your business is prepared for all major possible risks and opportunities.

“We must never be afraid to go too far, for truth lies beyond” Marcel Proust (>>Tweet this<<)

The second way is by identifying the major trends that may impact your business and then letting a Science Fiction writer describe the world that could develop. It is not so much a matter of being right as being provocative, the more the better. That’s why SciFi writers are amongst the best people to stretch our thinking. They have the creativity to go far beyond what most of us would think about, even when stretching our thinking. After all, the point of future scenarios is to prepare business for the future, not to predict it (>>Tweet this<<)

Visualise the future

Once you have developed your scenario – or two – you should visualise them to increases buy-in and sharing. This can be through a simple presentation, descriptive profiles or more exciting animations and videos.

Lowe’s has been one of the companies at the forefront of such visual development, using virtual reality to develop The Holoroom to show what SciFutures‘ science-fiction writers had developed. The room puts consumers into a new world where they can see their own new world, at least of their home after their planned renovation.

Other industries that are quickly developing new virtual worlds for customers include car and plane manufacturers showing future travel options. Car purchasers can also experience their new cars before actually buying them and can help in the development of cars that more perfectly meet their desires and needs.

Innovating outside the box

In too many cases innovation is built upon reality and a company’s current offers, in other words are renovations not innovations, just a step change from what we have today. New products developed using scenario planning tend to be faster, clearer, more efficient, longer-lasting and overall more attractive.

Technology makes what was even unthinkable just a few months or years ago, a reality today or in the very near future. Everything is moving faster and faster, so businesses must do the same. As this is rarely possible, they must already think the unthinkable today, so that they are prepared when it actually happens tomorrow. (>>Tweet this<<)

Are you ready for the brave new world  that is estimated to be just ten, twenty or at most just thirty years from now? That’s when the point of singularity is estimated to arrive.

If you would like help in improving your own innovation process, or in developing a future scenario for your organisation, please let us know; we would be excited to inspire you.

C3Centricity used an image from Dreamstime in this post.

Which of these 10 Customer Centricity Steps are you Missing?

Last Saturday was the start of Summer in the Northern hemisphere and the weather certainly confirms this, at least for now! Summer is a great time to reflect on the progress we have made to date on our journey to Customer Centricity.

Organisations need to take a step back occasionally and review how their plans are going. What changes do they need to make to ensure they meet their objectives over the remaining six months of the year? So here are my ten ways to tell if you are well on your way to becoming truly customer centric – and what actions you can take to get further along your journey.

#1. Identify the category in which you are competing

This may sound strange to you, but many br ands are not competing in the category in which they first thought they were. Think soup which is now a meal replacement, or laptops which are now entertainment platforms.

Action: Review how your product or service fits into the customers’ daily life and how they compare and decide between options. This will help you identify your real competitors and the actual category in which you are competing.

#2. Underst and your primary target

Knowing precisely who the customer is for each of your br ands is the first essential step to satisfying them. Use the BCG Matrix to help select the best group. Do you already work with this matrix, or do you have a better system? Please share your own best practice below, so I can learn.

Boston Matrix for improved customer centricity  and segmentation evaluationAction: Review the target audience for each of your br ands and ensure you have information on their “4Ws”. In other words the Who, What, Where and Why: demographics, purchase, usage, media use, places of purchase, consumption, connections to communications, their values, usage motivations and emotions when doing so. If you would like to learn more about targeting, check out this post.

#3. Watch and listen to your customers

Personal experience of your customers is essential to putting them at the heart of your business.

Action: Ensure everyone has regular – ideally monthly – contact with the customer. This can be by listening in at the call centre, watching market research interviews & discussions, or observing customers as they shop and use your product / service.

#4. Know what current trends could mean for your business

Many organisations follow trends, but they don’t provide any competitive advantage. It’s time you started turning them into future scenarios or use future prototyping. (Contact us here to learn more about this)

Action: Identify the most relevant trends for your br and and then project them into the future to develop two axes of uncertainty and four plausible future worlds. These will help prepare the business for future opportunities and challenges. Alternatively, why not try Sci-Fi Future Prototyping? (Contact us here for more information)

#5. Reinvent your innovation

Most organisations innovate based upon their current knowledge or technical skills. This keeps them boxed into a narrow b and of categories.

Action: Take your NPD thinking outside its box, by making use of all relevant innovation levers, including, but not limited to, packaging, channels, sourcing, communications, br anding, services. Check last week’s post for more details about innovation.

#6. Follow your image

It is amazing how many companies don’t follow their br and images on a regular basis. Image trends are a great way to be alerted to possible sales issues before they appear in the numbers.

Action: Identify the major image attributes of both your own and competitor br ands, and measure them regularly (annually for fast moving categories, every two to three years for slower moving ones).

#7. Turn your information into insight

Whilst information and knowledge are essential to gather, it is only when they are turned into underst anding and insight that they become truly customer centric.

Action: Review your insight development process and ensure decisions about customer satisfaction are based on them and not just on information. Insights ensure your communications resonate with your customers and your product / service delights and sometime surprises them.

#8. Share your information and insights

Companies spend a lot of money gathering data and information about the market and customers. However, in most cases they spend far too much money, because the information that is needed is actually already available somewhere in the company.

Action: Review your organisation’s information needs and negotiate contracts and access company-wide rather than by department. Make your information and insights available to everyone in the company through a library or database with appropriately managed access rights.

#9. Evaluate your progress

As the infamous quote from Peter Drucker says:

“What gets measured gets managed” (>>Tweet this<<)

Besides br and image, are you following other KPIs to measure your progress on your journey to customer centricity?

Action: Identify the three to five most important areas you want to improve and then measure them consistently. If the numbers aren’t trending up, act – see #10. below. The actual metrics you follow will depend upon your industry, but may include market comparison (shares), availability (distribution or out-of-stock) communications impact, competitivity, value.

#10. Plan for action

Once you have identified the KPIs to follow, you need to take action to improve those that are trending downwards and perhaps also those which are stable.

Action: Since your KPIs are the most important metrics for your business, plan actions as soon as their trend changes and don’t wait for them to start declining. Once they are, it will be much more difficult to reverse.

These ten steps should ensure your organisation remains focussed on the customer and doesn’t get lost in the day-to-day issues of the business. After all, as I have been quoted many times for saying:

“There may be customers without br ands, but there are no br ands without customers”  (>>Tweet this<<)

Think about it; do you have the right priorities? How do you know? Have I missed an essential step off of my list above? If so, let me know. Please also share which of your actions towards customer centricity you are struggling with the most. Together we’ll find a solution.

If you would like to know how customer centric your organisation really is, then why not complete the C³C Evaluator? Check it out on our website: https://www.c3centricity.com/C3Cmembers

Need help on your journey to customer centricity? Let us help you catalyze your business; contact us here.

C³Centricity uses images from Dreamstime.com and Kozzi.com

This post is based on one that was first published on C³Centricity in July 2013

The Great Trends Hoax: They don’t give a Business a Competitive Advantage

Do you follow trends? I bet you do! Everyone likes talking about the future, imagining what it might hold and then taking pride in seeing that they were “right”, that what they had “predicted” has come true. If this is how you work with trends, then you must read this post – urgently!

There are many trend providers today, from futurologists, to trend agencies, to gurus, all claiming to have “the truth”. An ex-colleague of mine made an interesting comment to me last weekend, as we hiked up to the top of La Dole, one of the small hills in the Lac Leman area of Switzerl and where I live.

We were discussing trend following and she was comparing the providers with which her company had worked in the last five or ten years. Which of them “had got it right” and which ones hadn’t. I said that I wasn’t too keen on businesses working with trends alone, as there was no competitive advantage in doing so. She then made a wonderful comment: “You’re right of course. In fact when you go to these meetings to hear about the latest trends each year, you are sitting with a group of 20, 50, 100 or often even more people, all hearing the same presentations and “predictions”. If you all go back and start working on actions to respond to the future that was just presented, you’re all doing the same things and are in a way actually making the predictions come true”.

As I said, I have never really liked working with trends other than for developing plausible future scenarios, but she had put one of my concerns into words; you don’t gain competitive advantage from following trends. Whilst they may at best provide indications of some tactical actions you might take in the short-term, trends cannot help you develop your vision and strategy.

So if you want to achieve the real advantage of following trends and to get a head-start over your competition, then it’s time you started developing your own future scenarios. How? Well, here’s a 10-step approach that I have found has worked with many of my clients, which assumes that you are already following trends of some description:

10-Step Process

  1. Identify the most relevant trends for your category from all those that you are currently following. This evaluation is often best h andled by your market research and insight group, who have access to a lot of information, both internal and external, and not just on trends. If this is a new area for you all, you may decide to seek some external support to help you make these first difficult choices.
  2. Invite a group of about 10-15 people from various departments within the organisation and who have ideas about what will happen in their different areas of the business, to join your “Futures” team. I have found that when invited, few refuse and in fact more ask to join the group when they hear about it, than you really need, so you’ll get the wonderful privilege of choosing the best and most complementary members.
  3. As a team, discuss each of the selected trends in turn and how it is likely to develop in the future, say in the next 10-20 years. Really push everyone’s thinking out of the “probable” and into the “possible”. Depending upon the number of trends, this may take several meetings to pass them all under review.
  4. The market research and insight group, who will ideally be leading the whole process, should then summarise the future of each trend and the forces that will be acting upon it. Agree on the two or three main trend drivers, that are common to the developments, and which when crossed will result in four to eight future worlds.
  5. Review these worlds in another “Futures” team meeting and decide if they are all relevant for your business, or whether their impact will in fact be similar; you are looking to eventually reduce the number of worlds to a more manageable size.
  6. Describe each future world and build a story around them; a day in the life tends to work well.
  7. Identify the challenges and opportunities for the business in each of the created new worlds.
  8. Share the conclusions with the “Futures” team and refine your selection of actions for best business preparedness.
  9. Illustrate each of the worlds that you have selected as being of most relevance. To make them inspirational for everyone with whom you share them, why not try something different? We work with storytelling, visualisation and videos to get the findings across in the most exciting way.
  10. Present to top management and enjoy sharing with them your identified opportunities and challenges, which from my own experience they will never have imagined before.

You will notice that the last step of the process is the presentation to management. Of course in reality it is only the beginning, as you will then need to support each business in defining solutions to answer the challenges and opportunities identified.

Additional steps for Regional / Global players

Also, if you work in a regional or global role, you will need to follow up with regional and global presentations, to ensure that everyone appreciates the necessity of working together on the trends, their progress and their impact on business. They also need to underst and that it will be important to alert markets behind them on certain trends and what may happen to them, as well as to observe those ahead of them to prepare their own market for changes.

Scenario planning is a company project, not a departmental one, which is why trend following cannot be left to each market or business unit to do on its own. Have fun with your own scenario developments and enjoy the unique chance of inspiring the whole business with the opportunities and challenges you have identified. It is much more rewarding than presenting trends, which have merely grown or declined from one year to the next.

Have you had experience in developing scenarios yourself? If so, please share what worked or didn’t for you, and let me know if you would add any important steps from your own process, to the ones I have mentioned above.

For more information on scenario planning, vision and strategy development, please check out our website:  https://www.c3centricity.com/home/vision/

If you would like our help in developing an inspiring story about what your business’s future worlds could be, and what challenges and opportunities may await you in 10, 15 or even 20 years from now, then why not contact us for an informal discussion? NO Obligation, just INSPIRATION!

C3Centricity.com uses images from Dreamstime.com and Kozzi.com

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