IBM has combined marketing and PR departments to deal with social networking

Home > Archives

Tagged new influencers



Creating a Great Keynote!
November 15th, 2016

During a call yesterday, a client was asking whether I could customize my talk for their group.

Are you kidding?

Here’s a good case study of the typical process that I goes through.

This particular organization was in the retail space; through conversations with several member of global management, we built a list of the key issues that I would focus in on my talk: these being the key issues that the leadership believed that the rest of the team need to be thinking hard about.

  • faster emergence of new store infrastructure : i.e. contact-less payment technology is a fact with iPhone’s, and other smart-phones. What happens when this occurs on customer interactions ; how quickly can a retail / restaurant organization scale to deal with it (i.e. rapid technological innovation is continuing unabated despite the economic downturn, and things like this will have a big impact on how business is done!)
  • faster challenges in terms of freshness of brand image: today, with the impact of the Net and social networks, a brand isn’t what you say it it — it’s what “they” say it is
  • new influencers: consumers are influenced in terms of choice in ways that go beyond traditional advertising. For example, consider the Celebrity Baby Blog (yes, there is such a thing), and how it has come to influence fashion trends for infant wear
  • new forms of brand interaction: the concept of the “location intelligence professional” — corporations are deploying strategies that integrate location into the virtual web, interacting with above mentioned cell phones that provide for in-store product uplift
  • rapid emergence of store architecture issues: intelligent infrastructures – McDonald’s has a $100 million energy saving plan that is based on IP based management of in store energy We’re also seeing the rapid emergence of green / eco design principles that provide more opportunities for savings
  • faster evolution of consumer taste preference : new food trends go from upscale restaurant to broad deployment in as little as 18 months now, compared to 5 years ago; consumer choice changes faster, requiring faster innovation!
  • faster idea cycles. New concepts, ideas, business strategies, advertising concepts happen faster because of greater global collaboration ; brands have to keep up with the idea cycle

Next, my keynote would touch on how the client could be more innovative in dealing with fast paced trends? Some potential methods include:

  • the concept of upside / down innovation – customer oriented innovation
  • generational collaboration – how to unleash the creativity of Gen-Connect
  • concept of business agility: how do we structure ourselves to act faster
  • theme of experiential capital : how can we take on more risk oriented projects simply to build our expertise in new areas such as social networking
  • fast, global, scalable project oriented teams : how do we learn to collaborate better internally
  • innovation “factories”: how can we scale successful internal projects faster to achieve greater benefits
  • partnership oriented innovation: how do collaborate on innovation with our suppliers and others in the supply chain?

Some of the conclusions that came from the global discussions in the lead up to the event? These were responses draw from the audience through the use of online text message polling:

  • we need to learn how to innovate more locally but globally scale
  • a better “innovation factory” to rollout is critical
  • can’t compromise speed to market with structure/bureaucracy
  • spread R&D out
  • collaborate to a greater degree on an international basis
  • innovation should be part of reward and structure
  • more brand clarity, particularly given muddiness of impact of social networking
  • need a more forceful commitment ($, structure, rewards, goals) to innovation

From this, I built my keynote so that it had a structure of “what are the issues,” “what do we need to about them in terms of potential responses”, and “what are some of the organizational changes we need to make to deal with them.”

It turned out to be a great talk!

It’s been a whirlwind of activity over the last two months, with about 20 major keynotes under my belt.

One of these was a corporate event for a food company with $7 billion in revenue and 24,000 employees ; my talk was on the key food industry trends of today that should be driving innovation from a marketing, product development and branding perspective.

Jim Carroll on stage at the Readers Digest Food and Entertainment Group Summit, in front of several hundred food and consumer product executives, advertising agencies, grocery and retail organizations and publishers of the world's most popular food magazines, speaking to the trends driving the food industry today, .

This is one of many events I do for food and consumer product clients – my global client list includes high profile keynotes or leadership meetings for the Readers Digest Food & Entertainment Division (the publisher of such innovative magazines as Everyday with Rachel Ray), the Produce Marketing Association Annual Fresh Summit, HJ Heinz, Nestle , FMC FoodTechnologies, Burger King, Yum! Brands and many more.

I was the keynote speaker for a meeting of their top 250 marketing executives; my mandate was to focus on how to innovate around the trends that are today impacting the food industry today, with a particular focus on consumer behaviour.

Below are a few of the many trends that I spoke about. I took on an extensive amount of research for this keynote, which is typical of how I approach these events.

In effect, I built my keynote around the theme “….these are the trends that will drive your brands……”, and from that, they could best learn how to change and innovate with their branding and marketing message.

1. Biggest trend: We are witnessing a changing relationship with food

My main observation is that we live in a period of time that sees consumers interacting with food, the purchasing of food, and the consumption of food in new and different ways.

An article, Observer Food Monthly in the Guardian Newspaper, 15 May 2011 caught this sentiment perfectly:

  • “… never before has our culture been so engaged in discussing and experimenting with and agonizing over and fantasizing about and plain enjoying what is on the end of our forks”

Consider what is happening:

  • we have a new form of interaction when purchasing food. Consider the number of iPhone apps by which we can research calorie counts, nutrition facts and other information while in the grocery store.
  • we have new influencers in how we make these in-store food decisions. Think about the Monterrey Aquarium Seafood Watch iPhone app, which will give you background that can help you with your ethical food decisions.
  • a change in how we manage our food intake. iPhone and Web sites apps such as Lose It, which allow us to track our food consumption on a calorie-by-calorie, product by product basis.
  • a change in food packaging: ““…..interactive packaging, intelligent and active packaging, multi-sensory packaging, edible packaging … packaging as mini-billboards…” as noted by the research firm Reportlinker. Paackaging is going from passive to active, and is becoming more than just the vehicle for branding – increasingly, it is defining our relationship with the food.
  • a change in our food relationships. Consider the impact of food traceability based on DNA. “Tonning’s restaurant is among more than 11,000 that Richmond-based food distributor Performance Food Group is supplying with DNA-traceable beef as an added value for customers of its premium Braveheart brand. The company, which has annual revenues of about $11 billion, said it is among the first distributors to use the technology.” Where’s the beef, Iowa Press Citizen, May 2011
  • A more direct involvement with the ethics of food. “Wal-Mart, which sells more than 20 per cent of all US groceries, is developing an eco-labelling program that will give a green rating to all items sold in its 7500 stores worldwide.” Unlikely alliance, Sydney Morning Herald, February 2011
  • and very significant transitional trends. Whole grains are the hottest trend in sliced bread, with whole wheat edging out soft white bread in total sales for the first time……… The whole-grain craze has, after all, raised the bar on what consumers are willing to pay for bread that’s perceived as healthy…..” Grains gain ground; Focus on healthy eating helps wheat surpass white in sliced bread sales 1 August 2010, Chicago Tribune

All in all, these are pretty significant, systemic, long term transformative trends that will have a major impact through the next 5-10 years. Smart food companies will recognize that the very nature of our relationship with food is changing and will innovative around that reality. Massive opportunities for innovative thinking exist here!

2. A need to respond to faster consumer preference/taste change

I’ve long been pointing out that consumer preference is changing faster when it comes to food, and that leads to the rapid emergence of new opportunity, or the rapid decline of existing product lines. A few of my observations:

  • behavioural change and food as fashion! Fresh-cut snack food grew from $6.8 billion in to $10.5 billion in one year. Notes one publication: “Snacks are like a fashion category…..People want a change. it’s going to be short-lived–maybe a quarter, maybe six months, then changed out” Private Label Buyer, May 2010.
  • We spend more of our day with our food – it’s not just breakfast, lunch and dinner anymore. Canadian consumers are snacking more frequently. Snacks were 24% of all “meals” consumed by 2010. Fruit leads in the category, and healthy snacks are driving growth – the top 7 snacks include yogurt and granola bars.
  • Food categories can explode in growth over night. US Greek Yogurt sales grew from $33million in 2007 to $469 million today!

The key point with all of these trends is that it reflects our busy, compressed lives — smart food companies will continue to learn how to innovate within that reality with new products, aligning themselves to health concerns, and other trends.

3. The impact of business model change and social networks on food and taste trends

Business model change with pop-up restaurants drives the more rapid emergence of new exotic tastes and flavors!

Clearly, massive connectivity is coming to influence the growth of new foods, brands, tastes, patterns.

I spoke, for example, how bacon has quickly become so trendy as something used to enhance countless recipes. It can be traced right back to an effective social networking campaign.

  • “If there’s one food trend that illustrates how top-down and grassroots phenomena combine it might be bacon….. in southern California about six years ago, Rocco Loosbrock paired peppered bacon with Syrah wine at a tasting….”swine and wine…..!” The mysteries of food trends: How bacon got its sizzle, Associated Press Newswires, March 2011
Social networks are also lining up with a change in business models in the restaurant sector, which helps to drive faster change in consumer taste trends…..
  • In the last few years, we’ve seen an explosion in the number of pop-up restaurants and “Eat St” food – street food!
  • what is happening here is a lower barrier to entry in terms of new restaurant start up cost — more people can get out and start out a restaurant as “street food”, and experiment with new, bold, and exotic tastes and flavors
  • there’s also a very big trend underway that links restaurants and markets together in one location. Go to the restaurant, like the food and want to cook it at home next time? Visit the market in the same building, and buy the exact ingredients for that exact recipe. We call these Resto 2.0’s : for example, Murray’s Market in Ottawa, based on locally farmed food, “….sells cheeses, meats, produce and house-made foodstuffs, providing customers with many of the same raw ingredients they use as their restaurant next door.” Globe & Mail, June 1, 2011
  • all of these trends involve a new breed of restaurateur / entrepreneur;  they’ve learned to link these efforts with very effective social network campaigns. The result is that we now have even faster emergence of new taste trends. Smart food companies will learn how to innovate around the sheer velocity of what is occurring here – ‘faster is the new fast!’

My key point? Innovation is all about time to market … and the brand message needs to match the new speed metric…

4. A new consumer volatility

Back in 2009, I keynote global events for both Burger King and Yum! Brands. One of the major points in both keynotes was the consumer and public health concerns would come to drive more of a focus on a healthier diet; hence, the need for more aggressive innovation around a balanced menu that offered up more healthier choices.

Since then, looking back, it looks like one chain took the message to heart, and the other didn’t. Can you guess which ones?

What’s happened since then? Restaurant chains — and by extension, food companies — are discovering that consumer activity has become very volatile. They might talk of the need to go out and eat healthier, but then go out and continue to buy big, fat juicy cheeseburgers.

But then the news continues to hammer home the cold realities of North American food lifestyles, and the impact of childhood obesity.

  • over the past 30 years, childhood obesity rates in North America have tripled
  • 1 in 3 children are overweight or obese
  • 1/3 of all children born in 2000 or later will suffer from diabetes at some point in their lives
  • many others will face chronic obesity-related health problems like heart disease, high blood pressure, cancer, and asthma

Add to that new messages from Michelle Obama, Jamie Kennedy and other influencers around this debate — and all of a sudden, behaviour begins to change faster than people expect. Consider comments in the article Dining chains shape up menus ;Customers place low-cal orders now, 13 April 2011, USA Today

  • :Something odd is afoot in restaurants where Americans have typically gone to gorge: healthier grub. This nutritional U-turn is taking place at some of the unlikeliest of eateries, including Denny’s, IHOP, Friendly’s, Sizzler and even at the nation’s biggest casual dining chain, Applebee’s, where the numbers are eye-popping.
  • “For the first two months of 2011, the top-selling entree at Applebee’s wasn’t a gloppy burger or flashy fajita plate. It was a sirloin and shrimp entree from the chain’s diet menu. This marks the first time that a low-calorie item ever ranked as the chain’s best seller for a single month — let alone two in a row.
  • “I’ve been in the restaurant business for 30 years, and I’ve never seen anything like this,” says Mike Archer, president of Applebee’s.
  • “When Applebee’s launched the under-550-calorie menu in 2010, it didn’t immediately take off, says Archer. But after some tweaks, it caught fire early this year. It now accounts for up to 8% of sales”

8 percent of sales! For healthy options! The key innovation opportunity is to keep innovating with food and taste trends around trends such as health, local, regional. The consumer is volatile, and will change faster than ever before.

Key marketing and branding innovation points?

  • consumer behaviour is now more unpredictable than ever before!
  • sudden, dramatic shifts driven by sudden external influences or other pressures are the new reality
  • it’s easy to abandon marketing momentum / commitment due to slowness of trend (i.e. healthy lifestyle – consumers say one thing, and do another!)
  • yet success from ability to quickly rejig marketing message based on trend spikes – speed matters!

And  so branding innovation is … sticking to the message behind the key trends, even if the trends unfold at a curious and unpredictable pace….

I spoke about many other trends within the keynote, particularly the impact of mobile marketing and moving into hyper-nice marketing. I’ll cover more of that later.

This is typical of the type of unique research I often do for a keynote. If you are interested in bringing me in to a leadership meeting at your corporate organization, feel free to give me a call!

While clearing off the desk today, I came across a planning document for a keynote for fairly major organization I did quite some time ago.

It’s a good summary of the issues that my keynote would have to address, and the potential innovation solutions that emerged. This particular organization was in the retail space; through conversations with several member of global management, we built a list of the key issues that I would focus in on my talk: these being the key issues that the leadership believed that the rest of the team need to be thinking hard about.

  • faster emergence of new store infrastructure : i.e. contact-less payment technology is now emerging with Blackberry, iPhone’s, and other smart-phones. What happens when this occurs on customer interactions ; how quickly can a retail / restaurant organization scale to deal with it (i.e. rapid technological innovation is continuing unabated despite the economic downturn, and things like this will have a big impact on how business is done!)
  • faster challenges in terms of freshness of brand image: today, with the impact of the Net and social networks, a brand isn’t what you say it it — it’s what “they” say it is
  • new influencers: consumers are influenced in terms of choice in ways that go beyond traditional advertising. For example, consider the Celebrity Baby Blog (yes, there is such a thing), and how it has come to influence fashion trends for infant wear
  • new forms of brand interaction: the concept of the “location intelligence professional” — corporations are deploying strategies that integrate location into the virtual web, interacting with above mentioned cell phones that provide for in-store product uplift
  • rapid emergence of store architecture issues: intelligent infrastructures – McDonald’s has a $100 million energy saving plan that is based on IP based management of in store energy We’re also seeing the rapid emergence of green / eco design principles that provide more opportunities for savings
  • faster evolution of consumer taste preference : new food trends go from upscale restaurant to broad deployment in as little as 18 months now, compared to 5 years ago; consumer choice changes faster, requiring faster innovation!
  • faster idea cycles. New concepts, ideas, business strategies, advertising concepts happen faster because of greater global collaboration ; brands have to keep up with the idea cycle

Next, my keynote would touch on how the client could be more innovative in dealing with fast paced trends? Some potential methods include:

  • the concept of upside / down innovation – customer oriented innovation
  • generational collaboration – how to unleash the creativity of Gen-Connect
  • concept of business agility: how do we structure ourselves to act faster
  • theme of experiential capital : how can we take on more risk oriented projects simply to build our expertise in new areas such as social networking
  • fast, global, scalable project oriented teams : how do we learn to collaborate better internally
  • innovation “factories”: how can we scale successful internal projects faster to achieve greater benefits
  • partnership oriented innovation: how do collaborate on innovation with our suppliers and others in the supply chain?

Some of the conclusions that came from the global discussions in the lead up to the event? These were responses draw from the audience through the use of online text message polling:

  • we need to learn how to innovate more locally but globally scale
  • a better “innovation factory” to rollout is critical
  • can’t compromise speed to market with structure/bureaucracy
  • spread R&D out
  • collaborate to a greater degree on an international basis
  • innovation should be part of reward and structure
  • more brand clarity, particularly given muddiness of impact of social networking
  • need a more forceful commitment ($, structure, rewards, goals) to innovation

From this, I built my keynote so that it had a structure of “what are the issues,” “what do we need to about them in terms of potential responses”, and “what are some of the organizational changes we need to make to deal with them.”

It turned out to be a great talk!

Here’s a summary of my observations from a keynote I did in New York City for retailers, agencies, marketing organizations, food and CPG companies, on some of the trends that are sweeping their industries today.

The summary is courtesy of the event sponsor, the Readers Digest Food & Entertainment Group.

1. The New Consumer Is Shifting Their Attention Faster than Ever

Consumers suffer from “continuous partial attention” with more stimuli around them than ever before:

  • The number of text messages sent each day exceeds the population of the earth
  • There are 62.6 million videogame households (up 11.4%) and the average age of a video game consumer is 41
  • consumers spend about 10 hours per day and $1,000 per year with various media – primarily wireless devices, iPods, in store displays, in-auto media content and the Internet
  • 93% of American teens are online, proving that the Internet will become ubiquitous

Consumers across demographic segments are immersed in this new interactive world forcing brands to engage them across all mediums to stay connected.

This new shopper is not only more scattered and more connected, but also faster – scanning 12 feet of shelf space on average per second. In-store influencers will now evolve at the pace of the iPhone and the Blackberry, challenging marketers to keep up with the pace. Faster is the new innovation and innovation isn’t just about new product design – it’s about responding to fast-paced consumer change.

Marketing Implication: Marketers must work harder than ever to capture the attention of the consumer and make a connection. Brands must keep up with the pace of consumer change in order to stay relevant.

2. The New Consumer Is No Longer Nuclear

The nuclear family is no longer the norm as Americans find new definitions for ‘family’ in today’s world. The following headlines touch on the variety of different ways families are structured today:

  • “….only 1 in 4 of the population live in heterosexual, two-parent families… one in three people now live alone….” – ABC
  • “….urban Americans remain single for more than half of their adult lives, a radical shift…..” – NBC
  • “Between the ages of 18 and 59…. Chicagoans spend… 18 years married.. 4 years co-habitating….19 years alone or casually dating” – Associated Press
  • “LAT tourism …. living apart together ….two out of five marriages end in divorce” – Reuters

Brands must acknowledge these new trends as they develop products and create marketing messages to resonate with today’s consumer.

Marketing Implication: Hyper-nicheing is the new brand reality as the market becomes more specialized and fragmented. Marketers can no longer rely on preconceived segmentation strategies, but rather need to think differently about who they are trying to reach and how to reach them.

3. The New Consumer Is Influenced Differently

We’re in the era of the “Celebrity Baby Blog” where purchases are influenced heavily by what others are doing. And it is not just celebrities that consumers are watching – they are also looking to their peers for advice and brand recommendations. For example, in travel, 79% of travellers trust peer reviews more than ads.

The same thing is happening with consumer products – peer reviews are the new influencers, with 83% trusting the opinion of a friend or acquaintance who has used the product or service.

Marketing Implication: Social networks are the new brand influencers and marketers must find ways to connect with consumers who are highly influential in their peer groups.

4. The New Consumer Is Shifting Their Focus

Socio-economic shifts are affecting consumer behavior at an increasingly fast pace.

For example, the downturn in the economy has quickly had a significant impact on consumers’ eating habits. 71% of consumers are choosing to prepare meals at home instead of eating out and restaurant trips have decreased from 1.5 times a week in 2006, to 1.2 times today. (Food Marketing Institute US Grocery Shopper Trends)

Another prime example of trends reaching mainstream quickly is the health trend. Even the most active consumers shopping at delis are health-conscious. 80% of deli-buyers are making changes to their diets and 90% are now reading deli labels (International Dairy-Deli-Bakery Association)

New markets are constantly emerging, whether it’s fresh-cut snack food, growing from a $6.8 billion industry to $10.5 billion (International Fresh-Cut Produce Association) or rapidly changing tastes – flavors are now moving from upscale kitchens to chain restaurants in 12 months, compared to 36 months 5 years ago.

Marketing Implication: Faster-paced preference change is the new reality and brands must be nimble to keep up with consumer demand.

5. The New Product Is Rapidly Redefined

New products are brought to market faster, redefining the industry quickly and forcing products to keep up.

As scientific knowledge is being shared in real time, ethical packaging innovations are emerging and driving product design.

For example, wax paper infused with cinnamon oil (antibacterial) inhibits 96% of mold for up to 10 days (Investor’s Business Daily). This new discovery allows CPG companies to produce new products with a naturally longer shelf life. Major manufacturers and retailers must respond to these new trends, especially as consumers jump onboard and demand these innovations. Most notably, Walmart has vowed to have zero private label packaging waste by 2010, and to eliminate all packaging waste by 2025 (Modern Plastics Worldwide)

Another example of a new product being redefined at a rapid pace is the “nutri-cosmetic” market – already at $1.5 billion worldwide (only 3% of that is in the U.S.) and predicted to grow at 4.7% a year in the U.S. to $10.6 billion by 2012 (Household & Personal Products Industry). Consumers are embracing new products that can offer positive effects on their appearance, while easily being integrated into their lifestyle.

Marketing Implication: Time to market and corporate agility are the new capabilities to focus on.

6. The New Product Is Upside Down

The way companies are innovating is also changing. The process used to be to get the assortment right, figure out the merchandising, go to stores and create a marketing campaign around it all.

The new innovation model turns that upside down: as large companies are more connected to consumer demand, they can use that insight to come up with the marketing, then determine the merchandising and get the assortment right.

Partnership with retailers and packaging companies in the design of the product is the key trend because these partners are closer to consumer demands and can often guide development of new products through their unique insight. Smart manufacturers are turning to packaging designers to ask for help lowering expenses as oil and raw material prices rise. (Bangkok Post). 73% of packaging machine builders collaborate with customer-packaging engineers. (Control Engineering).

Marketing Implication: Partnership with retailers and packaging companies is the key method to speed up product innovation and efficiently introduce new products to the marketplace.

7. The New Marketing Is Shifting

Consumers are being increasingly influenced by their time spent online. Therefore, online advertising spending is increasing and is predicted to rise to $51 billion in 2012 – up from $21 billion in 2007.

Consumers are looking across all media and being influenced by different sources of inspiration. Different media serves different purposes for consumers and reaches them in different mindsets. For example, certain magazines are set aside for leisure comfort reading, while online media can quickly provide relevant information at the touch of a button.

Marketing Implication: A “healthy mix” is the new advertising recipe for success reaching consumers at different touch-points.

Here’s a short video clip of Jim’s keynote, in which he speaks about the increasing velocity of change in retail.

Send this to a friend