And for the time-pressed, here’s the speed summary of key insights/takeaways. Brilliant.
The future is e-commerce; offline commerce will serve only two purposes: immediacy(stuff you need right away), and experiences (showroom, fun venues).
But immediacy may no longer a promise for offline commerce companies as both Amazon and eBay have announced same day delivery.
The role of offline lies in the value of the “showroom” and “entertainment” aspects to places like Williams Sonoma. The future of commerce is a hybrid model with (entertaining) showrooms + online fullfillment
The future of e-commerce is combining online and offline experiences in disruptive ways. (Chloe + Isabel, Warby Parker, Everlane, and Stylemint)
There is no such a thing as e-commerce any more. There’s just commerce. You can innovate in commerce with technology, but the e-commerce silo is dead/dying (mobile payments are disrupting/removing the online/offline divide).
The future of e-commerce is vertical integration in markets where there is significant markup in both wholesale and retail (think Shoedazzle, Bonobos, J Hilburn, Warby Parker, IndoChino).
Few successful e-commerce companies were started in the early 2000s, although a slew of recent new entrants appear to be getting traction - flash sales, social commerce,subscription commerce and other new “content + commerce” models
The first wave of e-commerce was about commoditization this wave online and offline is about being a “merchant” (point of view, authority, experience etc).
The key equation driving e-commerce is: profit = lifetime customer value minus customer acquisition costs
“If it has a UPC code, Amazon will beat you.”
Before you enter the e-commerce game, visit an Amazon warehouse.
E-commerce is good for two things – price and exclusives. Amazon will beat you on price, so you have to beat it on exclusives.
The only way to escape commoditization and catalogue commerce dominated by Amazon is to a) sell used stuff, or b) make your own products (or provide a marketplace for those things), or c) (possibly) offer customisation
Be wary of e-commerce businesses based on customization – they’ve existed for a decade (cafePress, Shutterly, Vistaprint) and yet none are thriving. Customers don’t want customization, they want great brands and great design, and they want to be told what they want.
The e-commerce opportunity is to contribute to the e-commerce ecosystem rather than sell directly yourself; four opportunities – 1) supply chain innovation, b) marketplaces, c)e-commerce solutions for small businesses, d) mobile payments
There’s room for innovation in the space as long as the ecommerce company creates value for all participants – the retailer, the supplier and the customer
To make money in e-commerce, you need to sell in emerging markets where there are no huge incumbents
Compete in an industry with a grey market, where consumers are willing to pay higher prices for reducing risk, for authenticity, and warranties
The opportunity is to venture into segments where Amazon won’t go (adult, arms… !)
The opportunity for e-commerce success is a) sell to iPad owners (iPad owners are 10x more valuable than non iPad owners), b) mobile commerce (nobody owns this yet), and b) target your customers who use social features (3 to 4 x more valuable)
You can’t sell to people who know exactly what they want – Amazon owns that; focus instead either a) ‘discovery‘ (“the best place to discover the stuff you don’t know you need”) or b) deep domain expertise
to succeed in e-commerce, you need to sell exclusives. You can’t sell stuff that Amazon sells, Amazon will crush you
Amazon is not a store, it’s the world’s best supply chain and logistics company. Amazon is transforming from a retailer to a marketplace+services provider over time.
Domain expertise, live assistance, and overall experience are the critical success factors for success in a market where price-competitiveness and scale rule
Necessary (but not sufficient conditions) for e-commerce success are a) remarkable, unique and branded experience and remarkable, unique and branded service; do what Apple, Tiffany & Co., Coach, Lululemon do in bricks and mortar commerce, but online
UK supermarket Morrisons is tapping into a pie-based scandal at non-league football side Sutton FC, offering the club’s former reserve keeper an ambassadorial role.
Forty-six-year-old Wayne Shaw is currently under investigation from the FA under allegations of illegal gambling all revolving around his half time meal, a greasy pie, dined upon during Arsenal's 2-0 FA Cup victory on Monday.
British consumer spending confidence is at its highest level on record but a huge rise in concern about the economy saw it overtake terrorism and immigration as the nation’s biggest concern, according to Nielsen's latest global report on consumer confidence and spending intentions.
British consumer spending confidence has hit its highest level on record but a huge rise in concern about the economy saw it overtake terrorism and immigration as the nation’s biggest concern.
The latest Nielsen Global Survey of Consumer Confidence and Spending Intentions revealed that across 2016, the economy saw the biggest rise in the amount of Britons citing it as their 1st or 2nd biggest concern. The proportion doing so rose 12 percentage points to 28%. Political stability saw the next biggest rise, jumping eight points to 10% – five times higher than at the end of 2015.
Jacob Bailey Group, the creative business services agency, is launching the Brilliant Experiences Board to encourage diversity across the business. The new Board has seven members from departments within the agency: Jacob Bailey (UK), Jacob Bailey (US), 032, Technical Studio and Operations. It aims to create a diverse composition of backgrounds, experiences and talent to [more…]
A call to arms across the industry to design for an emotional response to customer communications to deepen engagement and bolster impactAmaze One, the CRM agency born from a fusion of digital creative experts, Amaze, [more…]
Next Plc is implementing a new Digital Asset Management (DAM) system to enhance its ability to use and manage its growing volume of digital assets, such as photos and videos. This will help the retailer [more…]
A young man is at a motorcycle dealership purchasing a Harley Davidson. The salesman tells the man about an old tip , "always keep a tub of vaseline with you so that when it rains , you should coat your handlebars in the vaseline to stop them from rusting'. The man purchases the bike , thanks the salesman and leaves.
Technology leader in blog and influencer marketing blogfoster (www.blogfoster.com) headquartered in Berlin, is looking to open up a local office in London. The Berlin based tech start-up, founded in 2013, has created a scalable software solution that connects advertisers, bloggers and influencers.
The young company has earned a leading role in technology a mere two years after entering the market and is opening up the British blogosphere for their advertising clients. The first step in the journey includes a co-working space in London’s vibrant district of Camden, put at blogfoster’s disposal by the city of Berlin. [more…]
Latest research from GfK into the UK’s OTT viewing habits has revealed surprisingly low audience numbers on mobile devices. It seems that watching subscription video content on Netflix, Amazon and Now TV is, for now, most definitely an in-home entertainment experience.
The vast majority (90 percent) of the UK’s OTT users have access to a mobile device (smartphone and/or tablet). Pic is Dan Hardwick, Senior Research Executive at GfK [more…]