The disruption and capitalization of the business model.
The business model is a big opportunity for growth. As we look back at the go to market strategy and consumer experience layers, we can see that by going through the process we can start to identify new areas of value that could turn into a new business model. For example, if you are a needs based product that is a chore to shop for today, how can you deliver a subscription service for the consumer, fully supplanting your consumer into your brand without distraction from competitors. This is what Dollar Shave Club was able to do to disrupt the razor marketplace. Another example could be ride hailing. Uber didn’t create the livery industry, it enabled it by connecting drivers with riders at the tap of a button. Also, there is Casper. They didn’t create a better mattress, but a better business model to shop for and purchase a mattress. They were able to remove the huge pain points of awkward shopping and complicated delivery from a traditional industry by leveraging technology that was already in the market.
Expand Products & Services
Digital disruption is happening in most industries, some more than others. It’s creating an environment where consumers are expecting different ways to shop for and buy product and service bundles within different industries. The power of digital is through enabling new experiences for products and services, not just through communications. We work with our clients to find new value propositions of products and services that could be enabled by technology to deliver to their core or new audiences. This provides net-new and incremental revenue streams for the organization.
Making things easier for the business and the consumer is never a bad idea. By streamlining operations, a company can not only reduce their costs to deliver a product or service, but increase the value for the consumer. Look at logistics today. I remember when I was a kid and I’d have to wait 3-5 weeks for something to be delivered via mail. Thanks to companies like Amazon, we can have something delivered within the hour. Imagine the incremental value a consumer has for this massive shift. Where are there other opportunities within your organization that can be streamlined to create new value.
Sell the Experience
We believe the statistic that by 2020 the consumer experience will become the number one purchase driver for consumers - surpassing product efficacy and price. The experience we now create will ultimately become the single, most valuable asset we have as a business. When working with clients on their business growth challenges, we hold the experience the strategies create in high regard - knowing that they are the most valuable thing we will be developing. What we’ve found is that these experiences not only reduce costs, but drive higher purchase prices, find new revenue opportunities and deliver a level of retention and loyalty like we’ve never seen.
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