n: Infobiquity – ubiquitous access to abundant information
v: Socialactivate – stimulating social actions by influential customers
n: Customassation – mass customization by individual need and want
v: Innovaccelerate – speeding up product and process innovation
n: Thingternet – connected network of every item, active or passive
v: Commercetextualize – providing the context for fluid commerce
1. Digital Futures
Six Selected Trends
Augustine Fou- 1 -
Dr. Augustine Fou
http://linkd.in/augustinefou
acfou @mktsci .com
February 2013
2. The “Ask”
“How will ‘digital’ change the
world in the next 5 – 7 years and
impact commerce, communication,
and collaboration between
companies and their consumers?”
Augustine Fou- 2 -
4. Definitions
n: Infobiquity – ubiquitous access to abundant information
n: Customassation – mass customization by individual need and want
v: Innovaccelerate – speeding up product and process innovation
n: Thingternet – connected network of every item, active or passive
v: Commercetextualize – providing the context for fluid commerce
v: Socialactivate – stimulating social actions by influential customers
Communication
Commerce
Collaboration
5. Expanding Perspectives
Communication – exchange of information
Commerce – exchange of value
Collaboration – exchange of ideas
Augustine Fou- 5 -
“earn the right to have a conversation”
8. n: Infobiquity
CONSUMERS ARE:
Always –
on/connected
Always –
available/accessible
Always –
informed/empowered
Abundant information
(large amounts are created
by consumers themselves)
What it is: ubiquitous access to abundant information
- - Augustine Fou- 8 -
9. n: Infobiquity
Underlying or Enabling Trends
Easier content
creation and
sharing
Availability of
mobile devices
with broadband
Search is a
mainstream
habit
Easy to Create Access Everywhere Search Habit
- - Augustine Fou- 9 -
10. • It is harder to stand out above the noise when advertising, as
users turn to peers for recommendations
• It is harder to maintain brand loyalty when challenger products
have equal access to users’ attention
• When users have a need, they go online to search for
product(s) to satisfy the need
• CPG advertisers have the opportunity to create long-lasting
digital content that reinforces their brand while reducing their
reliance on paid advertising
n: Infobiquity
Implications and opportunities for CPG
Augustine Fou- 10 -
11. v: Socialactivate
What it is: stimulating social actions by influential customers
- -
friendster
myspace
facebook
Venues come and go But, social actions …
Share, recommend,
review, comment, like,
etc.
… are more effective
and longer lasting
Augustine Fou- 11 -
12. v: Socialactivate
Underlying or Enabling Trends
- -
Source: Nielsen, April 2012
Users trust peers the
most, ads the least
Users spent 121B minutes on
social networks in July 2012
Augustine Fou- 12 -
14. n: Customassation
What it is: mass customization for everyone
- -
Customize Tailor Create
Select from
limited set of
colors, features
Collection of apps
make phone
uniquely theirs
Create small
quantities of
custom products
Augustine Fou- 14 -
15. Previously users could customize their phones with
personalized ringtones or colored covers.
Advances in just-in-time manufacturing have enabled
people to make custom mugs, t-shirts, and calendars with
their own pictures.
Users getting used to being able to tweak more than just
settings on their devices; their collection of apps makes
the phone uniquely theirs.
n: Customassation
Enabling or Underlying Trends
- - Augustine Fou- 15 -
16. TED Talk
Malcolm Gladwell - Choice, Happiness and Spaghetti Sauce
“the difference between coffee at 60% and coffee at 78% is the
difference between “wincing” and being “deliriously happy”
Augustine Fou- 16 -
http://www.ted.com/talks/malcolm_gladwell_on_spaghetti_sauce.html
17. • Instead of static products that sell based on a fixed
set of features, think about creating products that
invite interaction and customization
• Basic CPG products need to add value beyond the
product -- value comes from customization and
personalization
n: Customassation
Implications and opportunities for CPG
Augustine Fou- 17 -
18. v: Innovaccelerate
- -
• consumers say they
want to collaborate
with brands to make
products
• crowd-sourcing
consumer research
incorporating into
product development
cycles
What it is: speeding up product and process innovation
Augustine Fou- 18 -
19. P&G’s Efforts
- - Augustine Fou- 19 -
Business Sphere
Added 22 Aug 2011P&G's groundbreaking
Business Sphere environment and Business
Sufficiency analytic models enable the
Company to be rapidly responsive to
changes in the marketplace and uncover
new opportunities to improve the lives of
consumers.
http://www.pg.com/en_US/innovation/index.shtml
20. v: Innovaccelerate
- -
Implications and opportunities for CPG
• By observing what users actually do in real time we
can build insights into the process of innovation
• By using digital channels to test-and-learn, we can
drastically increase speed-to-market for product
innovations
Augustine Fou- 20 -
23. n: Thingternet
Implications and Opportunities for CPG
• Refrigerators can detect what items are low and
automatically place orders for replenishments
• Individual bottles of shampoo can be detected by
NFC on smartphones and provide information to
help trigger the sale
• With RFIDs, manufacturers can detect the velocity
of sales down to single stores (“transaction visibility”)
Augustine Fou- 23 -
24. v: Commercetextualize
Providing the context for fluid commerce
User searches for “pizza”
… from smartphone around
noon in the city
User searches for “pizza”
… from desktop computer on
on Friday night in suburbs
Looking for
a place for
lunch
Looking for
pizza home
delivery
Augustine Fou- 24 -
25. v: Commercetextualize
Augustine Fou- 25 -
Implications and Opportunities for CPG
• Understand consumer “contexts” and when they are
most receptive to exchanges of information, but also
to exchanges of ideas and value
• Test-and-learn through ecommerce (eliminates the
limitations and dependence on retail distribution)
26. So What?
Augustine Fou- 26 -
“The six selected trends should synchronize
and synergize to drive communications,
collaboration, and commerce between the
business and its customers, and should thus
improve every aspect of the business from
marketing, to R&D innovation, sales, and
organizational structure.”
-- Dr. Augustine Fou
27. Dr. Augustine Fou – Chief Digital Strategist
“I analyze trends and advise clients
on getting out in front of them and
leveraging the insights to create
sustainable competitive
advantage.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23
ClickZ Articles: http://www.clickz.com/author/1151/augustine-fou
Slideshares: http://www.slideshare.net/augustinefou
LinkedIn: http://www.linkedin.com/in/augustinefou
Augustine Fou@acfou
30. Even More Trends
Trend
• Blurring online and offline
• Manufacturers going direct
• Quantified self
• Proliferation of sensors
• Daily deals
• DIY - Instructables
• Crowd Funding – KickStarter
• Indie Designers – Etsy
• Remixing Fashion – Polyvore
• Original video series on YouTube
• OTT video streaming
• Mobile device as video content
receiver (not cable)
Augustine Fou- 30 -
Trend
• Subscriptions for household
goods
• Amazon Coins
• Casual Gaming
• Streamed video games – OnLive
• 3D printing
• Globalization
• Craft Beer, niche products
• Augmented reality
• Privacy vs targeting
• Devices becoming irrelevant
• Mobile as first screen
• Broadband widely available
31. Even Even More Trends
Trend
• Universal currency
• Commerce through the device
• Device is form of identity
• Prices continue to go down
• Commoditization more rapid
• Personalization
• What we want; when we want it
• From hardware to software
• Explosion of content
• Need for context, curation
• Phones used for texting, not voice
• Customize coke
• New distribution models
Augustine Fou- 31 -
Trend
• Fast manufacturing – Zara
• Robotification – micro,
autonomous – Roomba
• Regulatory and carrier hurdles
that own the last mile to user
• Location based marketing
• Adding utility/usefulness to user
• User shares to get something in
return