Making Leaders Successful Every Day

Web 4.0 : The Consumer changes the world around his valuesHenry Peyret, Principal AnalystNovember, 2012

Consumers want a better world…

They are ready to consume products from vendors sharing

their “values”

Trust in Brands, Products and Services Is Eroding

« Trust » is a ket factor in any commercial relationship but Trust tends to disappear

Personalized service through apps internet is just a false personalization : it remains through « machines »

All Brands images are slowly eroding

Internet, virtualisation, call centers depersonalizing the relationship tend to emphasize that erosion movement

5 © Edelman, 2012. All rights reserved.

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population in 25 country global total; Q52-69. How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Very/ Extremely Important) General Population in 25 country global total (excludes ‘Don’t Know’ responses) * ‘Current Trust’ results based on regression analysis of general population in 25 country global total

Business: from license to operate to license to lead

1 Delivers consistent financial returns

2 Innovator of new products

3 Highly regarded, top leadership

3 Ranks on a global list

5 Partners with third parties

CURRENT TRUST BUILDING FUTURE TRUST

1 Listens to customer needs and feedback

1 High quality products or services

4 Places customers ahead of profits

4 Takes actions to address issue or crisis

3 Treats employees well

9 Works to protect/ improve environment

6 Has ethical business practices

7 Has transparent and open business

12 Innovator of new products

8 Communicates frequently and honestly

10 Addresses society's needs

11 Positively impacts the local community

15 Ranks on a global list

13 Highly regarded, top leadership

14 Delivers consistent financial returns

16 Partners with third parties

Societal

Operational

47% TRUST BUSINESSSOCIETAL ATTRIBUTES MORE IMPORTANT TO BUILDING FUTURE TRUST

CURRENT TRUSTDRIVEN BY OPERATIONAL ATTRIBUTES

Attributes that Correlate with Current Trust Most Important Attributes that Build Trust

Customers Trust of Companies : Shift From Operational Attributes To Societal Values

Web 4.0 Embroadens Customer Experience

Consumers 

E-Reputat

ion

Enterprise

Consumers values

Activists

Social computing

Marketing message

Customer advocacy

Web 4.0 will be the Consumer Reaction Against Smart Computing evolution

Enterprise

Consumer

blogs

Web 2.0 = Social computing 1.0

FacebookTwitter

Web commerce

Wikipedia

Web 1.0

Google

ForumsNewsgroups

Smart Computing Web 3.0

Internet of objects: RFIDNabaztag, smart items Crowdsourcing

Web 4.0=

Social Computing 2.0

TribalNetworks

StructuredCommunity

Consu Pedia

« Activists » social computing allows a second empowerment round to customers

« Activists social computing » associate social communities and action into one single place. Activism can be physical or virtual.

Soft Activist social computing :• Goodguide.com : product rating on

health, environment and society criterias

• Shopwise.fr : scoring food products based on dietetic advice (cosmetic to come)

• Carrottmobs.com : forcing better behaviour for local retail by using money as an arm

• Flash mob• Customersvalues : marketplace of

customers « values »• Avaaz.org : petitions+lobby

Hard Activist Social Computing :• GreenPeace against Nestle• Anonymous • wikileaks• Muslim revolutions

Company Success Examples Based On Values• Rhodia (chemical business) recovering thanks

to carbon taxes, now purchased by Solvay• Unilever partnering with “Carrot Mob”• GE doing 11,5% of their business in

Ecomagination• Nestle working with Michael Porter around

“shared value”• …

Comparison of marketing 1,0, 2,0 and 3,0 From Kotler

Marketing 1,0Product-centric Marketing

Marketing 2,0Consumer-oriented Marketing

Marketing 3,0Values-driven Marketing

Objective Sell products Satisfy and retain the consumers

Make the world a better place

Enabling forces Industrial Revolution Information technology New wave technology

How companies see the market

Mass Buyers with Physical needs

Smarter consumer with mind and heart

Whole human with mind, heart and spirit

Key marketing concept Product development Differentiation Values

Company marketing guidelines

Product Specification Corporate and product positioning

Corporate mission, vision, and values

Value propositions Functional Functional and emotional Functional, emotional and spiritual

Interaction with customers

One-to-many transaction One-to-one relationship Many-to-many collaboration

Book : “From Marketing 3,0 : from products to customers to the human spirit” from Philip Kotler, Hermawan Karjaya and Iwan Setiwan

Today

Customers values will evolve quickly and creates volatility… …impossible to manage with

strict rules

© 2012 Forrester Research, Inc. Reproduction Prohibited

The marketing 3.0 chain : behavioral segmentation

Big Data Transformation

and analysisValeurAction Channel

Facebook

Interne

Partners

1

2

3 45

© 2012 Forrester Research, Inc. Reproduction Prohibited

The marketing 3.0 chain and multiple questions

Big Data Transformation

and analysisValeurAction Channel

Facebook

Interne

Partners

1 :

Do we have the right to use/collect private information?

2 :

Is the aggregated information accurate enough to act?

3 :

Are the models simulated, validated or even understood?

5 :

What is the preferred interaction channel for that customer?

4 :

Is it the right action in customer’s context?

Today Corporate Data Represents 80% of What Enterprises Uses As Information…Tomorrow 20%

August 2012 “Create Your Information Governance Framework”

80%Corporate

Data

15© 2012 Forrester Research, Inc. Reproduction Prohibited

Do not forget to get the control to your marketing chain

Big Data Transformation and Analysis

ValeurAction Channel Client

Facebook

Interne

Partenaires

Marketeur

Modèles

Contrôleur

Simulation/governance

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agile

Governance

The customer Will Become So Volatile Requiring Agile Governance

ValeurAction Chanel

RéseauSocial

Interne

Marketer

Controler

Analysis

Customer

support

Partenaires

Client

Sales

The 4 principles of Agile Governance

Governance

Governance Governance

1: Distribute governance

responsibilities using “zoning”

3: Integrate decision-making

criteria based on business outcomes

2: Use consistent models and practices at all levels

4: Integrate governance from planning thru to operations

Plan Design Implement Operate & evolve

The 4th principle would require collaboration between peers

Tooling

• Detecting informal networks

• Recognizing experts• Assessing Value

• Individual vs group• Enterprise culture• Giving culture

Culture

Incentives• Collective intelligence• Collaboration metrics• Recognizing kindness

Sociology• Team spirit• Group efficiency• Group sociology

The Platform Becomes An Important Factor To Enable

Innovation At The Right Pace…While Mitigating Risks

“Next Best Action” Platforms in details

October 2010 “Zero In On CRM HEROes: The Role of Social Network Analysis”

© 2012 Forrester Research, Inc. Reproduction Prohibited

But today’s hot technology are simply a foundation

• Cloud• Mobile• Social• Big data

• End users• Process/data

Mgmt• Infra and apps

Platform• Sensors

Today

2018-2020

© 2012 Forrester Research, Inc. Reproduction Prohibited

Emerging Technology LandscapeEnd User Computing Technologies

Process Data Management Technologies

Technology Trends and ExamplesWearables and IP enabled devices Fitbits, Nest, Zeo headband, Nike+

New User Interfaces Augmented reality, Google Glass, eye tracking

Refactored personal devices Internet TV, Media tablets, surface computing

Technology Trends and ExamplesSmart process applications BPM suites, business rules engines, CEP, big

data analytics

Advanced analytics and cognitive computing

MapReduce, Watson, IBM Blue Brain, Saffron

Semantic technologies RDF, OWL, OML, London Olympics

© 2012 Forrester Research, Inc. Reproduction Prohibited

Emerging Technology Landscape

Technology ExamplesOpen cloud and web Openstack, BigML, BOOM, zero trust security

MPP compute infrastructure Hadoop, EDW appliances, transactional NoSQL

Break through compute and storage Low energy devices, SSDs, Quantum cryptography, DNA storage

Infrastructure And Application Platforms

Sensors And Remote ComputingTechnology ExamplesIn location positioning Low energy blue tooth, Aisle411, Point Inside,

Smart things Instrumented clothing, smart band aids, hubs, chips on pill

Biometric and geolocation sensors Facedeals, multifactor authentication, accelerometers

© 2012 Forrester Research, Inc. Reproduction Prohibited

Recommendation For Now : Investigate Technology Platform For Your Future Business Innovation

• Cloud• Mobile• Social• Big data

Today

2018-2020

Thank youHenry Peyret+33 68482 9551hpeyret@forrester.com