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This makes customer activation an
integrated part of the product and it makes marketing and products the same thing - because they both have to accommodate and work on the premise of the customer. THE THIRD WAVE OF TECH. WELCOME TO WHAT TECHNOLOGY IS BRINGING NOW ISN’T JUST IMPROVEMENTS AND EFFICIENCY AROUND THE PRODUCT - IN THE COMPANY’S INTERNAL AND EXTERNAL VALUE CHAINS - IT IS CHANGES TO THE NATURE OF THE PRODUCTS THEMSELVES. the new nature of products
“we will be moving from
transaction base to engagement base. The company needs to provide a service to you, not a box. Value transformation processes will be delivered a long with a business model” - DR. JESSE JIJUN LUC, HUAWEI TECHNOLOGIES CO. LTD. @CEBIT2015
content product in a classic
setup where the marketing and product collaborate - but have different roles you either see content marketing like this… marketing
2009 or you see it
like this: the product is just an object. what makes it meaningful, useful and valuable are the interactions that are designed around it. - marketing - content - meeting places - social interactions interactions product
BUT, THE ANSWER TO QUESTIONS
LIKE ‘WHY DO CUSTOMERS BUY FROM US?’ DON’T RESIDE IN PRODUCTS. THEY RESIDE ALMOST ENTIRELY IN THE INTERACTIONS THAT TAKE PLACE IN THE MARKETPLACE.” “TO MANY MANAGERS, THE PRODUCT IS THE BUSINESS” WRITES NIRAJ DAWAR IN TILT. “FIRMS CONTINUE TO SPEND INORDINATE AMOUNTS OF TIME, EFFORT, AND RESOURCES ON THEIR PRODUCTS. IN FACT, BUSINESSES ARE STRUCTURED AROUND THEIR PRODUCTS… - STEVE DENNING -
THESE COMPANIES REALIZE THAT THE
MODERN AGE IS A TIME OF SCARCE ATTENTION AND ABUNDANT CONNECTIVITY, WHERE SMARTPHONES ARE OUR PRIMARY ACCESS AND POINT TO EVERYTHING; WHERE MONEY AND EVERYTHING IS DIGITAL; - TOM GOODWIN - where the interface layer is where the profit is; your companies most profound business. WHERE PHYSICAL ASSETS AND EMPLOYEES ARE LIABILITIES; and where providing a slick, best in class human experience will create
THE ARGUMENT AGAINST DEMOGRAPHICS For
example, Progressive Insurance has always collected and analyzed a signiﬁcant amount of data. But Snapshot, its innovative auto insurance discount program, “has taken things to a whole new level,” says Voelker. An in-car wireless device transmits driver data back to Progressive at one-second intervals. Customers can get their premiums reduced based on their safe-driving patterns, with those earning a discount saving an average of 10 percent. Progressive has collected more than 178 terabytes of data via Snapshot—11 times the amount of all data stored by the Library of Congress. It provides for a much more accurate pricing method for Progressive than estimating a customer’s potential for loss based on information like age, gender, and type of car, says Voelker. What’s more, it has enabled an entirely new and successful product category— usage-based auto insurance. “It’s revolutionary to us,” says Voelker. “Every time we ﬁnd a more powerful segmentation variable, it drives more growth.”