FINANCIAL SERVICES !! !! EXPECTATION 10 Disruptive Business Models

uptive disru >100k SlideShare views The times they are a-changin’… And so you have learned about new business models. Now, be ready for the next 10 disruptive waves.

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Disruptive Education Model * Disruptive Banking Model * Disruptive Technology Model * Disruptive Media Model * Disruptive Cable & Telco Model * Disruptive Medical Model * Disruptive Travel Model * Disruptive Government Model * Disruptive Consumer Goods Model * Disruptive Retail Model Disruptive Education Model * Disruptive Banking Model * Disruptive Technology Model * Disruptive Media Model * Disruptive Cable & Telco Model * Disruptive Medical Model * Disruptive Travel Model * Disruptive Government Model * Disruptive Consumer Goods Model * Disruptive Retail Model Disruptive Education Model * Disruptive Banking Model * Disruptive Technology Model * Disruptive Disruptive Disruptive Education Model * Disruptive Banking Model * Disruptive Technology Model * Disruptive Media Model * Disruptive Cable & Telco Model * Disruptive Medical Model * Disruptive Travel Model * Disruptive Government Model * Disruptive Consumer Goods Model * Disruptive Retail Model Disruptive Business Models10

1 Disruptive Education Model

Disruptive Education Model

Public sector Staﬀ Subsidies Education Materials design Local communities Skills and abilities Local customers Disruptive Education Model most relevant for both large educational institutions and educational publishers Designed by Thaesis, 2013 Global customers = traditional components = disruptive components Courses, guides, lectures, classes, tutors and tools Learning intelligence Methodologies Knowledge, degrees and certifcates FeesSalaries Materials Buildings Licenses Accreditation Reputation Brand Media technology Subscriptions Licenses Online and mobile learning platforms Media technology companies Status stories Communities On-demand educational services Video courses Infographics Games Content management Social networks Advertisements Fairs

Large established economies in Europe and the United States increasingly depend on creativity and knowledge to compete with emerging economies in South-America, Asia and Africa. Luckily, creativity thrives in challenging market conditions. Acquiring knowledge and skills however, requires a high quality educational culture, learning intelligence and significant time investments from participants. By adding on-demand, adaptive and personalized educational products and services to their value proposition, large educational institutions and educational publishers offer both younger and older generations opportunities to learn new knowledge and skills in their own time and tempo. By sharing status stories in communities, users are the driving force behind quality transparency and ongoing improvement of education. The necessity to embrace feedback and to be present in online and mobile channels has never been more clear. In time, pupils, students and professionals expect educational institutions and educational publishers to offer instant gratification, to be always available, to grant unlimited access, to offer infinite choice and a personal learning and testing environment. Differences between educational institutions and educational publishers will fade as both move towards becoming educational service providers. In an increasingly digital classroom and library, video content and interactive infographics will be king. Online and mobile classrooms connect pupils, students and professionals, spread information cheaply and easily, accelerate communication and put stakeholders and participants in control. Educational publishers that are serious about riding this wave of disruption will not want to miss out on these. They will create collections of full video courses, which are enriched with lecture transcripts, handouts, reading assignments, tests and problem sets. They will also develop, co-create and share infographics and games that allow for interaction and deep user engagement. The ubiquity of reviews means that savvy audiences can see, hear and discuss every educational institution, teacher, tutoring service, textbook and educational game that is available in the global marketplace. Educational institutions that lead the online conversation rather than respond to it, will thrive as customers feel more comfortable in the quality of the educational products and services provided. Disruptive Education Model

iBooks

Einztein Academic Earth

Vocabu

TED-Ed

Skillshare

2 Disruptive Banking Model

FINANCIAL SERVICES !! !! EXPECTATION ECONOMY! CONVENIENCE! GENERATION G! EVER EDUCATING! CASH-LESS! P2P! INFO SCARCITY! EMERGING! TRANSPARENCY TRIUMPH! DEALER CHIC! GAME ON! LOVAL LOVE! BEST OF THE REST FINANCIAL SERVICES EXAMPLES!

Disruptive Banking Model FINANCIAL SERVICES !! !!

National governments Financial resources Operating revenues Financial management Community management Local communities Insurances and retirement services Businesses Disruptive Banking Model most relevant for both banks and insurance companies Designed by Thaesis, 2013 Communities = traditional components = disruptive components Oﬃces and agents Trans- parency Banking and investments Information and media technology Salaries Secure infrastructure and platforms Operating costs Online and mobile channels Advisory services Reliability and reputation Technology management Relational activities Consumers Community costs / revenues Public stakeholder management Social networks Supranational institutions Community and educational activities Community facilitation services Financial proﬁts

Since the subprime mortgage crisis that originated in the United States of America and led to the financial crisis, businesses and consumers are asking financial institutions to become more humane and empathic instead of self- interested and lacking in compassion. Banks and insurance companies need to add community facilitation services to their core value propositions in response. By doing so, business and consumers will reestablish relationships with traditional financial institutions. If established banks and insurance companies are not successful in reestablishing these relationships, national governments and supranational institutions are more likely to allow new entrants from technology and services industries. Because online and mobile channels are fastly becoming dominant, offices and agents become more and more obsolete instead of a valuable resource for high switching costs. Businesses and consumers want banks and insurance companies to facilitate them in local communities. Customers need to feel in control, know the facts and receive 24/7-advise via online and mobile channels. Transparency is reliability. Businesses and consumers in local communities place a high value on choice and freedom and want to be responsible for all aspects of their own activities. However as financial products and services become more complex, many find it increasingly difficult to make the right choices. This means that customers are interested and willing to learn about how to best manage their finances. In addition, financial institutions can’t go wrong focusing on innovations that save consumers’ time and make their day-to-day lives simpler and easier. In mature markets, contactless technologies such as NFC (Near Field Communication) enable smartphones to store payment details that, in turn, allow users to pay instantly for smaller transactions. In developing countries, where mobile penetration is high yet banking infrastructure is poor, consumers heavily rely on these innovations for every day transactions. Driven by lower costs, increased trust and transparency, and the desire for a new approach, businesses and consumers are increasingly turning to, and dealing with, other businesses and consumers. They are asking banks and insurance companies to facilitate them in doing so. Disruptive Banking Model

Loyal3 SaveUp

Simple

friendsurance Holvi

Bitcoin

Google Wallet

3 Disruptive Technology Model

CONSUMER ELECTRONICS!! !!

CONSUMER ELECTRONICS!! !! Disruptive Technology Model

Universities Developers Device sales Research & Development Marketing Production factories Apps Local customers Disruptive Technology Model most relevant for electronics and technology companies Designed by Thaesis, 2013 Global customers = traditional components = disruptive components Distributors (Online) retail Resellers Patents Touch screens Wireless sound systems App salesSalaries Production, marketing and legal costs Knowledge of technological advancements Behavioral research Service fees User communities Semi- automated service contact Co-creation Account management Smartphones Tablets Laptops Service delivery Technology research Online customers Online media Responsive service propositions Knowledge of behavioral patterns

The pace of new technological advancements is increasingly high and the interaction between humans and technology ever more intuitive. Technology and electronics are more and more able to wirelessly respond to natural gestures, emotions and speech. Consumers and professionals alike are surrounded by smart electronics that become more intelligent with each iteration. The impact is as diverse as immersive entertainment, empathic advertisement models, proactive search functionality, automated big data analysis and real-time decision support. Electronics and technology companies are moving their core away from offering hardware ownership towards responsive and flexible service propositions. The only growth markets in hardware are smartphones, tablets, laptops, smart and flexible touch screens and wireless sound systems. Software has left the shelf indefinitely and the lab has become an open space for online research and development. What used to be business-to-consumer companies have become fully dedicated to the business-to-business markets and the other way around. Electronics and technology companies are moving their core away from offering hardware ownership towards responsive and flexible service propositions. Apps are disrupting corporate software suits just like they have done in the consumer software markets. The biggest challenge remains to deliver sustainable value with a competitive pricing model. Subscriptions are on the rise, large advance investments in technology and electronics are in decline. Why is this happening? Technology and culture are not separated from each other. Consumers and professionals are dealing with big changes in their environments and adopt new behaviour accordingly. Previously stable notions about fixed prices and limited availability are shattered by their new behavioral patterns. Consumers and professionals continue to be on the look-out for more service-oriented business models and have gained experience in the application of new technologies. Cloud-based solutions are vastly replacing local infrastructure, hardware and software. Devices become smaller and service delivery becomes as personalized as end-users demand or allow. Winning technology delivers physically, mentally and emotionally engaging experiences without harming the privacy of individuals and allow them to decide which role organizations play in their lives. Disruptive Technology Model

iCloud

Perceptual Computing

Personalized Content Rendering

GreenChip

Nest

4 Disruptive Media Model

MEDIA& ENTERTAINMENT F-FACTOR! ON! TWINSUMERS! CURATED CONSUMPTION! CHOICE CUTS! TRANSPERIENCES! SOCIAL-LITE! (UN)REAL! CROWD-EXPRESS! POPUPPING! SELLSUMERS! PRICE PANDEMONIUM! LIVING THE LIVE! GAME ON! FREE LOVE! OWNER-LESS! TRIBEFACTURING! VISUALOVE! REWARD INC.! POINT & KNOW! BRAND BUTLERS! TRANSPARENCY TRIUMPH! BEST OF THE REST MEDIA & ENTERTAINMENT EXAMPLES!

MEDIA & ENTERTAINMENT Disruptive Media Model

Marketing and sales Creatives Intellectual property Format subscriptions Interaction design Media production Local communities Online and mobile content Local customers Disruptive Media Model most relevant for media and entertainment companies Designed by Thaesis, 2013 Global customers = traditional components = disruptive components Distributors Production ethics Print and broadcast content AdvertisementsSalaries Production, marketing and distribution Media brand and reputation Ecosystem infrastructure Ecosystem subscriptions Smart phones Tablets Media technology companies Shared status stories On-demand / location-based content Ecosystem development Social networks Subscriptions Online and mobile ecosystems

Publishers, music labels, game developers, broadcasters and content producers are dealing with disruptive innovations that put serious pressure on their current business models. Business models that have been effective for decades are devaluating by the minute. The increasing power of disruptive online and mobile game changers enables location-based and on-demand content consumption. As a consequence of these supercharged technological advancements, consumer behavior is changing rapidly. On a societal level, media technologies are creating unprecedented new opportunities for serving local communities. At the same time, media and entertainment markets have never been more global. Apple’s iPhone (released in June 2007) and iPad (released in April 2010) have kick-started an incredibly fast growing market for personalized media consumption on smart phones and tablets. Facebook (launched in February 2004) and Twitter (launched in July 2006) have obtained a user base that exceeds 1 billion (Facebook) and 500 million (Twitter) users worldwide. To survive this phase of disruption, media companies will need to develop added value ecosystems. The competitive advantage of media companies is predominantly dependent on their capability to adapt to disruptive online and mobile game changers. Media and entertainment companies operate on the cutting edge of information, communication, interaction and participation. Consumers, businesses and public institutions are embracing online and mobile functionalities, albeit at their own pace. Traditional circulation figures, ratings and eyeballs are in decline and so are revenues from advertisers. Readers, listeners, viewers, players and researchers are all, in one form or another, rapidly becoming users. Users expect a personalized experience. This is a paradigm shift in which the classical and mass market push model is becoming less relevant and added value ecosystems are the best option for survival. Communication and distribution channels are converging and market boundaries are fading away. Many new entrants are turning these merging markets into intensified competitive arenas. The result is price pressure, fragmentation and increased uncertainty in the return on investment of innovation strategies. On the other hand, the number of innovative and participative media formats has never been as high as it is in today’s media and entertainment markets. It is a perfect storm for media and entertainment companies, one that is surely to leave more than a few media shipwrecks in the remaining fleet of media veterans. Disruptive Media Model

Flipboard

De Correspondent

Spotify

Netﬂix

LOVEFiLM

5 Disruptive Cable & Telco Model

MOBILE& TELECOMS !! !!

MOBILE & TELECOMS !! !! Disruptive Cable & Telco Model

Insight into behavioral patterns Hardware suppliers Infrastructure (license) Large volume contract revenues Infrastructure maintenance Marketing and sales Licensors Installed customer base Disruptive Cable & Telco Model most relevant for both cable companies and telecommunication providers Designed by Thaesis, 2013 On-demand / locations-based customer base = traditional components = disruptive components Retail Brand (Premium) content accessibility Premium content revenues Infrastructure costs Marketing and sales costs Customer base Total solutions development Behavioral insight revenues Media technology companies Social networks Mass media campaigns Mobile coverage On-demand / location-based revenues Smartphones Tablets Shared status / location-based stories On-demand / location-based total solutions Customer service Customer data On-demand / location-based development

Mobile coverage and content accessibility used to be completely separate markets. With the rise of wide bandwidth distribution networks and 4G-ready mobile devices, telecommunication providers are more and more disrupting cable companies. By creating nationwide crowdsourced WiFi-networks, cable companies are striking back. Tablets and smartphones have become the center of user experience and total solutions for on-demand or location-based content are the way forward. Because cable companies and telecommunication providers are the gateways to any content distributed over the internet, from voice to video, they gain enormous insights into behavioral patterns. These insights are a value proposition in itself, only restricted by privacy legislation. Distribution will become a commodity and consumers will be less and less willing to pay a premium price. In a nutshell, this means that revenues from large volume contracts and premium content will decrease while on-demand and location-based revenues will increase. The ability to deliver true customer service will be an incredible differentiator for cable companies and telecommunication providers. Telecommunication providers, fueled by the rise of wide bandwith distribution networks and 4G-ready mobile devices, are disrupting cable companies. Established network providers will have difficulties dealing with the disruption in their markets. Traditional fixed contracts are competing with freemium alternatives that operate on a global scale. Content subscriptions are moving away from the television screen towards mobile screens. Content is already recorded, edited, produced and distributed digitally. Media producers and broadcasters are able to cut out the middle man, just as media users are able to cut the cord. Cable companies are responding by developing apps for live and on-demand content consumption. Telecommunication providers are responding by investing in even faster data networks. This upwards move towards higher quality propositions is a characteristic of established market leaders dealing with disruption. New market entrants start at the lower end and slowly move up-market. Consumers looking for a fair price for coverage and access to content have a much bigger choice against lower prices. Disruptive Cable & Telco Model

Aereo

WhatsApp

Stievie

Free Zone

Skype and Qik

6 Disruptive Medical Model

HEALTH!!

HEALTH!! Disruptive Medical Model

Public sector Medical knowledge Compensations Research and development Production and care delivery Local communities Prevention Societies Disruptive Medical Model most relevant for medical organizations and pharmaceutical companies Designed by Thaesis, 2013 Individual patients = traditional components = disruptive components Medical institutions and pharmacies Medical capabilities Treatment Revenues from patents Research and development costs Production and care delivery costs Medical competencies Data and technology costs Monitor and control revenues Online and mobile health platforms Media technology companies Patient communities Patient empowerment Self-diagnosis methodologies Social networks Regulated relationships Big data analysis Facilitation of self-diagnosis

In most Western societies, the quality of healthcare and medical facilities has reached an impressive baseline due to series of innovations. To name just a few: self-testing, long distance monitoring and imaging, biotechnology and big data analysis. Healthcare providers and pharmaceutical companies are gaining more knowledge, competences and capabilities every day. Patients spend less time in hospital beds: from an average ten to an average of four days, a decrease of 60% in less than two decades. Life expectancy has significantly improved and more focus has been put on prevention. Nevertheless, medical organizations and pharmaceutical companies will need to battle a number of economic challenges. The relatively higher quality level comes with a price. Better and faster research, development, prevention and treatment result in higher medical costs. Ageing populations are responsible for an undiminished increase in the demand for care, while the gross national product of most western societies is decreasing. Medical organizations and pharmaceutical companies will need to battle a number of economic challenges while technology, legislation and patient empowerment are disrupting the status quo. While competition in medical markets is stimulated, it is at the same time carefully monitored and restricted by competition commissions and fair trade offices. While research and development in medicine is a collective interest, realizing a return on investment before medicine become generic is a private strategy. Technology, legislation and patient empowerment are disrupting this status quo. In response, medical organizations and pharmaceutical companies are evaluating a number of strategic options. One option is to differentiate their portfolio on service and price levels to achieve a competitive advantage. Other options include specialization by creating centers of expertise, outsourcing first phase research programs to pharmaceutical start-ups and rearranging medical tasks between less knowledge-intensive medical organizations. The most disruptive option is to embrace self-diagnosis as a means to simplify the medical model and enable individuals to non-stop monitor and control their health. While a patient will always remain a patient, each individual is empowered to bear some of the responsibility for many different roles in the medical process. Disruptive Medical Model

Medify

Ginger.io

Wellaho

Philips Vital Signs Camera

Automata

7 Disruptive Travel Model

TRAVEL!! STATUS STORIES CURATED CONSUMPTION F-FACTOR CONVENIENCELUXYOURY TRANSPARENCY TRIUMPH BRAND BUTLERS EMERGING DEALER-CHICINFO SCARCITY GREENEST CROWD-EXPRESS OFF=ONTRANSPERIENCES TRIBEFACTURING P2P BEST OF THE REST TRAVEL EXAMPLES

TRAVEL!! Disruptive Travel Model

Affiliate partners Operational staff Lower transactional revenues Operations Marketing Local communities Travel experiences Mass market Disruptive Travel Model most relevant for airlines and travel agencies Designed by Thaesis, 2013 Niche markets = traditional components = disruptive components Online and mobile channels Brand Travel destinations Higher operational and marketing costs Lower entry costs Concessions Accreditations Reputation Lower transaction costs Higher revenues from services Local communities Social networks Status stories Services in local communities Network in local communities Service development Affiliate networks

The travel and leisure markets are changing incredibly fast. Travellers from emerging economies and established economies alike are facilitated in their everlasting need for unique destinations and experiences against affordable prices. Low-cost airlines have added more routes to their destinations. Bookings have migrated to online and mobile channels almost completely. And social travel has become a booming business, albeit for much more fragmented target groups: niche markets will become the new mass market. Online and mobile technologies have lowered entry costs and transaction costs, but the promise of transparency has not yet fully been delivered. Airline fares have become much more dynamic and therefore almost inscrutable. Hotel fees, booking fees and commission fees are increasingly frustrating for travellers that are hunting for a fair deal. However, pricing will only stay a differentiator in the lowest income groups. Because of a lack of trust, low-cost airlines and traditional travel agencies will be disrupted by their more social and customer-centric counterparts. Mainstream airlines and social travel agencies will have to find better ways to add value against a reasonable price. Local communities from around the globe are connected via social media and the unbeaten path will be replaced by the untweeted or unposted path. That’s where the 21st-century travelers will want to go. And that’s where they will be in need of services. Since affiliate models are only sustainable if the consumer receives some of the benefits, a greater service orientation towards travelers’ personal desires and budgets is needed. The inevitable transparency in travel will result in even faster cycles of early bird discounts and last minute deals. In response, services in local communities will be positioned with a premium. Local communities will become travel intermediaries and status stories will become the heart of any marketing activity. Travel and leisure have always been social activities. Now the time has come for airlines and travel agencies to develop services that welcome niche markets. Be at their service and they will spread the word on a massive scale for you. Disruptive Travel Model

Airbnb

Uber

Nextpedition

Touristlink

Flightfox

8 Disruptive Government Model

GOVERNMENT& PUBLICSECTOR!! !!

GOVERNMENT & PUBLIC SECTOR!! !! Disruptive Government Model

Non-proﬁt sector Trust Taxes Public representation Public tasks Private sector Public value Citizens Disruptive Government Model most relevant for public organizations and governments Designed by Thaesis, 2013 Civil society = traditional components = disruptive components Institutions Laws Legislation Elections and governance Salaries Materials Buildings Civil servants Media technology Media technologies Media technology companies Participation Community services Network Services co- development and co-creation Social networks Communication Businesses Network regulation

Governments are in the middle of an economic crisis (or an economic boom), rising (or absent) unemployment numbers, ageing (or rejuvenating) populations and climate change. Governments from around the world are also faced with changes in expectations from citizens, civil society and businesses. These changes in expectations are accelerated by heavily adopted media technologies that are lifting traditional restrictions to participation and communication. Our collective challenges increasingly span national, regional or local borders and require resources and expertise to be mobilized on a scale that far exceeds existing structures and procedures. The pace to which governments are currently adapting and evolving is insufficient. Networks, not institutions, across public, private and non-profit sectors are needed to co-develop and co-create public value. Networks have no sole leader but do need to be regulated to protect a fair distribution of value between its members. The size of the civil service will be significantly reduced by transforming top- down public procedures into bottom-up community services. Careful and reliable governments will be disrupted by responsive and adaptive public networks. Governments, as opposed to businesses, are more than willing to share best practices in the development of community services. A common strategy to create social value in public networks will create synergies on a global scale. Our democracies will correspondingly embrace technocratic principles to enable social value in public networks. Open data and open access are steps towards open governments, in which perspectives from all stakeholders can be incorporated in decision-making and problem-solving. The most important shift in disrupting public organizations and governments is the shift from performance to value. While performance is a metric based on the institutional activities, value is only measurable from the point of view of citizens or private parties. And whether these are located in developed or emerging economies, their social entrepreneurship can leverage the innovative potential of entrepreneurship for social and economical development. Keywords of our future public organizations and governments are: transparent, responsive, adaptive and fair. To stay relevant and effective, public organizations and governments will continuously evolve. Disruptive Government Model

Colab

Block Avenue

Suave Solutions

MyFunCity

Open States

9 Disruptive Consumer Goods Model

FOOD& BEVERAGE!! !!

FOOD & BEVERAGE!! !! Disruptive Consumer Goods Model

Material suppliers Patents and brands Uniform product revenues Supply chain management MarketingProducers Authentic eco-friendly products Global customers Disruptive Consumer Goods Model most relevant for fast moving consumer goods companies Designed by Thaesis, 2013 Local customers = traditional components = disruptive components Global distribution networks Purchasing power Universally uniform products Eco-friendly product revenues Materials and production costs Marketing costs Local co- creation networks Local production and co- creation costs Local product revenues Local distribution networks Media technology companies Reviews Locally produced co-created products Local production networks Local co-creation Social networks Advertisements Local production

Faced with universally uniform products, consumers crave a stronger, more authentic connection with the goods they consume. Authentic, storied, co-created and eco-friendly products that are made and consumed locally are disrupting products from large industrial consumer goods companies that are only interested in their bottom line. Eco-conscious consumers are concerned about the unsustainability of globalized hyper-production. In response, many large consumer goods companies are scrambling to make parts of (if not their entire) supply chain organic, ethical, fairtrade or eco. On the flipside, it’s becoming ever-easier for consumers to market their homemade wares to others. As a result, local communities are enjoying the ever-wider range of quirky, unique and small-scale producers. Indeed, many consumers believe in the virtues of local producers. They see them as members of their community, and are therefore more trustworthy. Authentic, storied, co-created eco-friendly products that are made and consumed locally are disrupting products from large industrial consumer goods companies that are only interested in their bottom line. Large consumer goods companies with a portfolio of brands are highlighting the local elements of their products in response. Next to locality, health benefits represent a premium value for consumers as well. Embedding health benefits into consumer products offers consumers the best of both worlds: simple, easy, painless steps to leading a healthier lifestyle. Despite an abundance of information available to consumers, useful, timely and accessible data is still rare. Consumers are embracing tools that check, track or alert them to personalized information, present information in an easy-to-understand format, and even offer relevant, specific data to help them make decisions related to consumer goods. With media technologies, consumers can do this with easy-to-use and convenient tools that offer them personal, filtered, curated and real-time information. Valuable information can also be stored, searched and distributed on a global scale. Pricing will continue to be a fluid and ever-changing process. Every consumer has a voice which, if spoken in the right way, by and to the right people, in the right places, can be loud: reviews exceed advertisements in many ways. Disruptive Consumer Goods Model

Sustaination

Lokale Varer

Evolution Fresh

Food Tripping

Buycott

10 Disruptive Retail Model

FASHION!! F-FACTOR! BRANDED BRANDS! STATUS STORIES! LUXYOURY! SOCIAL-LITE! CUSTOMYZED! GENERATION G! GAME ON!P2P! PRICING PANDEMONIUM! TRYVERTISING! VISUALOVE! EMERGING! TRIBEFACTURING!TRANSPERIENCES!POPUPPING! LIMITED LOCATION! CHOICE CUTS! CROWD- EXPRESS! OWNER-LESS! POINT&KNOW! BEST OF THE REST FASHION EXAMPLES! CUSTOMER-MADE!

FASHION!! Disruptive Retail Model

Product suppliers Shopping assistants Retail margin Category management Marketing and sales Municipalities After sales service Local customers Disruptive Retail Model most relevant for fashion retailers Designed by Thaesis, 2013 Global customers = traditional components = disruptive components In store, online and mobile Stores Products and categories Property value margin Personnel, stores and branding Interaction design costs Brands Retail technologies Aﬃliate revenues Omnichannel customer journey NFC-technology mobile payment suppliers Touchpoints with a human touch Seamless omnichannel experience Customer insight Interaction design Aﬃliates Customer loyalty programs

Customer insight is at the heart of the disruptive retail model. Retail companies need to invest in the customer journey, defining customer touch points across stores, online channels and mobile apps. Branding needs to become about more than just generating in store traffic. Disruptive brands create a relentless competitive advantage, a seamless customer experience and an omnichannel human touch in retail. Traditional retail conventions about scale and mass markets need to be overthrown by hybrid retail propositions that are close aligned with individual patterns of media interaction. No longer can supply and demand be predicated on the preconditions of retail space, sales per square foot and seasonality alone. Online and mobile marketing needs to become personalized, rapidly changing and real-time location dependent. Near field communication and mobile wallets have succeeded barcodes and cash registers. Loyalty programs are improbably limited when compared to big data analysis of omnichannel routing and conversion. Disruptive brands create a relentless competitive advantage, a seamless customer experience and an omnichannel human touch in retail. Customers already spend more than half of their shopping time and almost a third of their shopping budget in online and mobile stores. Same day delivery is no longer a luxury, but a common market condition. A globally growing middle class is disrupting traditional geographic market boundaries and the development time for new or temporary retail concepts is accelerating. Private label products are the only category to take a chance on escaping fierce pricing wars. Producers have already cut out most of the wholesale companies and for strong brands, retailers are next on the disruptive hit list. However, shopping has always been, and will always be, a social activity. Discovery, sharing and experimenting has moved to social media platforms almost completely. Customer service is no longer a receptive troubleshooter but asks for proactive monitoring and early stage problem identification and resolution. The relationship between producers, retailers and consumers has moved from transactional to relational. Product features allow for co-creation and personalization, brand development is as much about advertising as it is about community building. In retail, companies can choose between disrupt - gain trust, build insights and provide omnichannel solutions with a human touch - or be disrupted. Disruptive Retail Model

Wantr

Zara’s People!

Uniqlooks

Threadless

AliveShoes

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