Distinct or … Extinct
Tom Peters Seminar2000
2000 ASTA
World Travel Congress
Las Vegas
26September
N.W.O./Auto Mirror per Gentex: Portal
for Wireless, Internet, Navigation, Etc.
Cell phones,
Voice mail, email,
Internet access
Mike Charles. Stanford history
prof. Whirlpool fridge. Out
Tap keypad on
door. Webvan delivers in
hours. Next, he sends his
washer an email …
of 2% milk.
Source: Business Week (09.00)
NOW THAT’S B-I-G!
“The period 2000-2002 will bring
the single greatest change in
worldwide economic and
business conditions since we
came down from the trees.”
David Schneider & Grady Means,
MetaCapitalism
The Organization:
Lean, Linked &
Electronic
And Now the Equivalent …
White Collar
Revolution!
RR on “Assetless” [J.B.] Sara Lee
“The most profitable
businesses in the future will act
as knowledge brokers, linking
insights into what’s available
with insights into the
customer’s individual needs
and preferences.”
Advance Paradigm
Data on 165,000,000 prescriptions per
year; docs and insurers have access to
records
Reduces med errors; saves $2.88 per
scrip [prescribing errors]; docs save
$14,000 per year in review time
Rev in ’99: $2B; $477M in ’98
Source: Business Week (09.00)
The Individual:
Distinct …
or
Extinct
DISTINCT … OR EXTINCT!
“If there is nothing very
special about your work, no
matter how hard you apply yourself,
you won’t get noticed and that
increasingly means you won’t get
paid much, either.”
Michael Goldhaber, Wired
The Problem:
The Commodity Trap
Quality Not Enough!
“While everything may
be better, it is also
increasingly the same.”
Paul Goldberger on retail, “The Sameness
of Things,” The New York Times
“The ‘surplus society’ has a surplus of
similar companies, employing similar
people, with similar educational
backgrounds, working in similar jobs,
coming up with similar ideas,
producing similar things, with similar
prices and similar quality.”
Kjell Nordstrom and Jonas Ridderstrale,
Funky Business
Funky Business: “To succeed we
must stop being so **!#*+%!
normal. In a winner-takes-all world,
normal =
nothing.”
Fighting Back:
Use E-Commerce to
Re-invent Everything!
www.cyveillance.com
08.30.2000/1221AM:
2,461,940,629
www.cyveillance.com
09.26.2000/0438AM:
2,661,492,286
27 days, 4 hours, 17 minutes …
+199,551,657
Tomorrow Today: Cisco!
90% of $20B (=$50M/day)
Savings in service and
support from customer selfmanagement: $550M
COMMUNITY
SERVICES!/
CUSTOMER
CONTROL!
Tomorrow Today: Cisco!
90% of $20B; save $550M
C.Sat e >> C.Sat H
Customer Engineer
Chat Rooms/Collaborative
Design ($1B “free” consulting) (45,000
customer problems a week solved via
customer collaboration)
Welcome to
D.I.Y. Nation!
“Changes in business processes will
emphasize self service. Your costs as
a business go down and
perceived service goes up
because customers are conducting it
themselves.”
Ray Lane, Oracle
Anne Busquet/ American Express
Not: “Age of the Internet”
Is: “Age
of Customer
Control”
I Can Immediately …
Shop for $1,000,000 homes or $1.95 office supplies,
at best price and with best advisors
Manage all my financial dealings
Work with my doc, or world’s best medical experts, or
humble support groups, on any health issue
Recruit talent to help me with any project
Develop professional docs collaboratively, with anyone
Share my ideas with the world
Chat with anyone, anywhere
Research anything
Take a course on any topic, from cooking to software
Stay in touch with my 90 year old mom
Play a gajillion games to while away the time
Message: One
can do [very]
sophisticated
stuff on the Web!
“The Web enables total transparency.
People with access to relevant
information are beginning to
challenge any type of authority.
The stupid, loyal and humble
customer, employee, patient or
citizen is dead.”
Kjell Nordstrom and Jonas Ridderstrale,
Funky Business
“The moral is that in an
imperfect world of customer
service, most customers
prefer to cut to the chase
and help themselves.”
Adrian Slywotzky & David Morrison,
Mercer Consulting
SWA
Simple!!!!!!!!!!!! (customers call
because the process is so easy they can’t
believe they’re done)
30% of revenues directly from
site (vs. 6% for others)
Source: Business Week (09.00)
Amen!
“The Age of the
Never Satisfied
Customer”
Regis McKenna
Progressive
“We don’t sell insurance anymore.
We sell speed.” – Peter Lewis
Digital cameras, wireless Net links,
etc.: SOME CLAIMS PAID
WITHIN 20 MINUTES!
Source: Business Week (09.00)
Shop in your
Underwear
Source: SM’d logo for www.ae.com
ae = American Eagle Outfitters
“Banking is
necessary. Banks
are not.”
Dick Kovacevich,
Wells Fargo
“It” is real! It is “Life and Death”!
Dream BIG!
Start Now! Study Hard! Play Hard!
Play Fast! Go on Offense!
Hire great folks! (They ain’t cheap. They are young!)
Don’t cut corners on
infrastructure!
Rem: “Age of the Never Satisfied
Customer”!
We ain’t seen nothin’ yet!
Fighting Back:
Providing Valueadded Services!
B2B
1999 – 2004: 50X
2004: $7.4 Trillion
Source: GartnerGroup
(per Reuters 1-26-00)
“Net Nips Real
Estate Sales Fees”
Headline, p.1B, USAToday 07.05.00*
*Homebytes.com, eHomes.com,
YourHomeDirect.com, etc.
Message: “BOX”
SELLERS LOSE!
Message: Racing up the V.A.
Ladder. Doing More & More
… & More & More & More …
for/with the Customer and
the Supply-Demand Chain!
09.11.2000: HP bids
$18,000,000,000
for
PricewaterhouseCoopers
Consulting bus!
(31,000 bods)
“We want to be the
air traffic
controllers of
electrons.”
Bob Nardelli,
GE Power Systems
Can you ignore,
dismiss, and mainly
grouse about air
travel & hotels for
the likes of me????
Fighting Back:
It’s the Experience!
“Experiences are as
distinct from services
as services are from
goods.”
Joseph Pine & James Gilmore, The
Experience Economy: Work Is Theatre &
Every Business a Stage
“The [Starbucks] Fix” Is on …
“We have identified a ‘third
place.’ And I really believe that
sets us apart. The third place is
that place that’s not work or
home. It’s the place our
customers come for refuge.”
Nancy Orsolini, District Manager
Experience: “Rebel Lifestyle!”
“What we sell is the ability for
a 43-year-old accountant to
dress in black leather, ride
through small towns and have
people be afraid of him.”
Harley exec, quoted in Results-based
Leadership
“Car designers need to create a
story. Every car provides an
opportunity to create an adventure.
…
“The Prowler makes you smile. Why?
Because it’s focused. It has a plot, a
reason for being, a passion.”
Freeman Thomas, co-designer VW Beetle; designer
Audi TT
Hmmmm(?): “Only” Words …
Story
Adventure
Smile
Focus
Plot
Passion
WHAT’S THE
[your] PLOT?
Plot
Williams Sonoma = 6 [was 10]
Crate & Barrel = 8
Sharper Image = 9+
Smith & Hawken = 8+
Vermont Country Store = 8+
Garnet Hill = 9
L.L. Bean = 5 [was 9+]
Land’s End = 7+
Colonial Williamsburg = ?
Fighting Back:
Women Rule!
$4.8T > Japan
9/27.5/3.6T > Germany
?????????
Home Furnishings … 94%
Vacations … 92%
Houses … 91%
Bank Account … 89%
Health Care … 75%
Etc.
(!!!)
Women … 50+%
of Web
users; 6 of 10 new users; 83%
of wired women are primary
decision makers for family
healthcare, finances,
education.
Source: Business Week; Jupiter Communications
Yeow!
1970 … 1%
2002 … 50%
OPPORTUNITY
NO. 1!
Read This Book …
EVEolution:
The Eight Truths of
Marketing to Women
Faith Popcorn & Lys Marigold
EVEolution: Truth No. 1
Connecting Your Female
Consumers to Each
Other Connects Them to
Your Brand
“The ‘Connection Proclivity’ in
women starts early. When asked,
‘How was school today?’ a girl
usually tells her mother every
detail of what happened, while a
boy might grunt, ‘Fine.’ ”
EVEolution
Weight Watchers International “Model”
“What if ExxonMobil or Shell dipped into their
credit card database to help commuting women
interview and make a choice of car pool
partners?”
“What if American Express made a concerted
effort to connect up female empty-nesters
through on-line and off-line programs, geared to
help women re-enter the workforce with today’s
skills?”
EVEolution
Speaking of
Enormous
[Missed] [Huge]
Opportunities ...
Subject: Marketers & Stupidity
It’s 18-44,
stupid!
Subject: Marketers & Stupidity
Or is it: 18-44 is
stupid, stupid!
2000-2010 Stats
18-44: -1%
55+: +21%
(55-64: +47%)
Aging/“Elderly”
$$$$$$$$$$$$
“I’m in charge!”
Priorities: Aging/“Elderly”
Experiences …
Convenience … Comfort
… Access … Respect!
Fighting Back:
BRAND POWER!
Brand = You Must Care!
“Success means never letting
the competition define you.
Instead you have to define
yourself based on a point of
view you care deeply about.”
Tom Chappell, Tom’s of Maine
“In the funky village, real
competition no longer revolves
around marketshare. We are
competing for attention –
mindshare and heartshare.”
Kjell Nordstrom and Jonas Ridderstrale,
Funky Business
Leadership:
Passion Rules!
“Create a Cause, not
a ‘business.’ ”
Gary Hamel, Fortune (06.00), on reinventing a company (Exemplar #1:
Charles Schwab)
Brand Leadership:
ENTHUSIASM RULES!
“I am a dispenser of
enthusiasm.”/ Ben
Zander