1
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Trends Shaping
Mobile and Digital Strategy
Kentico Connection – Boston
September 23, 2013
Dr. Phil Hendrix
Director, immr and GigaOm Research analyst
www.immr.org
1 (770) 612�1488
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About me @phil_hendrix
#KenticoConnection
@phil_hendrix
#KenticoConnection� Founder, immr
� Analyst, GigaOm Research
� Advisor, Startups
� Stay Delightfully Informed
� Smarter Customer Engagement
� Research Sponsors
� Digital Experiences for the Connected World
� ATT
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Related Reports
Engaging Consumers Series Mobile Shopping Series
4
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10 Trends Transforming � Remote for our Lives
� Internet in our Pockets
� Luke Wroblewski's Theorem
� Quantifying Ourselves
� Friction Kills
� Social Currency
� Digital Signals
� Algorithms Rule
� Auctions Everywhere
� New Standard = Indispensable
� Agile Development Everything
5
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Remote
for
our Lives
6
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The Remote
7
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Mobile EnablingA
8
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Shopping
9
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Internet
in our
Pockets
10
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“Before the iPhone, cyberspace was something you went to your desk to visit� now cyberspace is something you carry in your pocket.” Paul Saffo, Aug. 2011
Consumers Shifting to Mobile
11
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Luke Wroblewski’s
Theorem
12
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Wroblewski’s Theorem
“Anything that can be connected to the Internet, will be.”
Philips Hue Bulbs
Luke Wroblewski
Nest Learning Thermostat
13
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Data Tsunami
14
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Quantifying
Ourselves
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Sensoria socks are able to track steps, speed and
distance – but where they really prove themselves useful
is the ability to monitor weight distribution when
standing, walking or running. With this data it’s possible
to identify poor running styles and prevent injuries before
they happen.Source: psfk, May 9, 2013
Anklet for Sensoria Smart Sock
Heapsylon makes sensor-rich fabric -http://buff.ly/15KZnyz
Wearable Tech
16
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Friction(s)
Kill
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Frictions, Shoulds and Wants
Minimizing
Friction
Tim
e
An
no
ya
nce
s
Un
ce
rta
inty Co
st
Ba
d o
utc
om
es
Ris
k
Enabling
Shoulds
Fit
ne
ss
Sa
vin
gs
So
cia
l
Gre
en
Ed
uc
ati
on
Maximizing
Wants
Fu
n
Fo
od
Ac
ce
pta
nc
e
Avoid,
minimize,
or eliminate
“Satisfice” “Maximize”
En
tert
ain
me
nt
Re
co
gn
itio
n
“Good for You”
(Resolutions)
18
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†Source: immr Shopping Survey
Love�Hate Relationship
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Percent Rating “Very Annoying”
50%On smart phone, visiting website
that’s hard to view or navigate
46%Ads on smart phone that aren’t
relevant
18%Waiting in line to checkout at store,
restaurant or other business
Source: immr Survey (Ever Connected Consumers)
Annoyances
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Can Mobile Save Shopping?
Source: If Shopping is Broken, Can Mobile Fix It? Dr. Phil Hendrix, immr
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Social
Currency
22
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Social Media Stats – July 2013
Source: http://growingsocialmedia.com/social-media-statistics-and-facts-of-2013-infographic/
23
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Social Currency
24
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Digital
Signals
25
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Data Growing Exponentially
26
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MobilePayment
MobileConcierge
Mobile Marketing
MobileRewards
Data Data
Data
Data
Dynamics within M�Commerce
27
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The “Data Layer”
Source: John Battelle, Web 2.0 Conference, http://map.web2summit.com/#dl
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Tuning into Consumers’ Digital Signals
LocationLocation SocialSocial HistoryHistory
Source: Tuning into Consumers’ Digital Signals, Dr. Phil Hendrix, immr
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Algorithms
Rule
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“Big Data” includes Cloud, Algorithms
Search
• Auto-complete
• Google Instant
• Proximity Search
• Image Search
• Personalized SERs
Augmented Reality Messages,
Ads, and Offers
Algorithms
LocationLocation
SocialSocial
HistoryHistory
31
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From the 4 P’s to PEER
Reinforce
Reinforce
Surprise/Delight
Remove Frictions
Learn† &Adapt
†Securely, with full transparency
Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix, immr
32
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Auctions
Everywhere
33
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With “Programmatic Buying”A
Uses “rocket-science
technology” to target ads
precisely in real time to the most
receptive prospects
34
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“Everything’s a Pixel”
8 Layers of Location
35
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Evolving toward Micro�Locations
36
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From UX to CX
(Customer Experience)
37
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Discover Choose
Buy Use
Customer Experience > Path�to�Purchase
38
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Consumers’ Expectations Rising
What
I Like
Who I
am… Where I
am
What’s
Nearby
What’s
going On
What I
respond to
What I’ve
bought
Where
I’ve been What
I need
Where
I’m going
Source: How SoLoMo is Empowering Consumers, Transforming Shopping and Disrupting Advertising and Retailing, Dr. Phil Hendrix
Consumers expect trusted business partners to knowA
39
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PEER Strategies
Personalize
Leverage data about consumers and their
context to increase the relevance,
timeliness and value of communications,
offers and customer experiences
Allows airports to tailor info
for travelers based on
profile, destination
Enable
Help customers complete tasks and
accomplish their goals by minimizing the
risk, time, and effort as they shop,
compare, purchase and use your products Mini owners can detect
other owners, share tips
Enhance
Surprise and delight customers by
anticipating and helping them fulfill
functional requirements, emotional needs
and aspirations
Guests can manage
experience (FastPasses,
reservations, rides, etc.)
Reward
Using feedback, encouragement, rewards
and social influence, reinforce customers
as they engage in behaviors that are
mutually beneficial
Allows hotels to
personalize rewards,
experiences based on
guest’s social profile
40
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Agile
Everything*
*Thanks to Michelle Berryman (@micberryman) at Think
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UX and More
42
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Putting all the Pieces Together
SecuritySecurity
Social
Integration
Social
Integration
AnalyticsAnalytics
Design
(UX + UI)
Design
(UX + UI)
PersonalizationPersonalization OptimizationOptimization
Systems
Integration
Systems
Integration
User Value
Business Value
User Value
Business Value
Customer
MOTs
Customer
MOTs
Systems ofEngagement
Systems ofRecord
43
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Implications
and
Recommendations
44
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Reinforce
Reinforce
Surprise/Delight
Remove Frictions
Learn† &Adapt
†Securely, with full transparency
Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix, immr
#1. Excel at PEER
45
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#2. “Fully Engage” with Customers
What
I Like
Who I
am… Where I
am
What’s
Nearby
What’s
going On
What I
respond to
What I’ve
bought
Where
I’ve been What
I need
Where
I’m going
Source: How SoLoMo is Empowering Consumers, Transforming Shopping and Disrupting Advertising and Retailing, Dr. Phil Hendrix
KnowAE
xp
ec
tati
on
s
46
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#3. “Tune into” Digital Signals
LocationLocation SocialSocial HistoryHistory
Source: Tuning into Consumers’ Digital Signals, Dr. Phil Hendrix, immr
47
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#4. Engage by Consumers’ Rules
Right�time
Relevant
Personalized
Rewarding
Source: Drive Revenue and Loyalty by Engaging Mobile and Social Consumers, Dr. Phil Hendrix, immr
48
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#5. Expand Numerator, Shrink Denominator
Customer Benefits
Customer EffortLoyaltyLoyalty = ffff
Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix
49
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#6. Help Customers Accomplish their Goals
Minimizing
Friction
Tim
e
An
no
ya
nce
s
Un
ce
rta
inty Co
st
Ba
d o
utc
om
es
Ris
kEnabling
Shoulds
Fit
ne
ss
Sa
vin
gs
So
cia
l
Gre
en
Ed
uc
ati
on
Maximizing
Wants
Fu
n
Fo
od
Ac
ce
pta
nc
e
Avoid,
minimize,
or eliminate
“Satisfice” “Maximize”
En
tert
ain
me
nt
Re
co
gn
itio
n
“Good for You”
(Resolutions)
50
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#7. Assume New Role(s) in Customers’ Lives
Align Organization around Role(s)
Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix
51
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#8. Reinforce Your House of Loyalty
Awith the Right FoundationSource: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix
52
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#9. Accelerate Innovation
Stage 4
Stage 3
Stage 2� Marketing
� Sales
� Finance
� Operations
� Field service
� HR
� Legal
� Support
� IT
Stage 1Connecting to:
� Internal data
� External data
� Platforms
� Partners“There’s an
app for that”
Keeping
Up
Keeping
Up
Mobilizing
Processes
Mobilizing
Processes
Leapfrogging
Competitors
Leapfrogging
Competitors
Mobile
Innovation
Mobile
Innovation
Payoff
Agile
Development
Small bets
���� All in
Time and Investment
Remember…Paul Graham, YCombinator
Source: Mobilizing the Enterprise, Dr. Phil Hendrix, immr
“Returns are concentrated in a few big winners”
“Best ideas look initially like bad ideas…”
53
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#10. Place the Right Strategic Bets
Source: Which Mobile Shopping Apps Do Consumers Value Most, Dr. Phil Hendrix, forthcoming
54
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Appendix
55
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immr – Recent and Forthcoming Reports
� Innovating Innovation†
� Which Mobile Shopping Apps Do Consumers Prefer?†
� If Shopping is Broken, Can Mobile Fix it?
� Drive Revenue and Customer Loyalty by Engaging Mobile and Social Consumers
� Engaging Connected Consumers – Strategies for Brands, Retailers and Local
Businesses†
� Raising the Bar – Mobile and Customer Loyalty
� Social + Location + Mobile: SoLoMo Analytics and the Transformation of Shopping
� How Consumers Are Using Local Search
� Mobilizing the Enterprise with Custom Mobile Solutions: Pt. 1 and 2
� The Promise of Hyperlocal: Opportunities for Publishers and Developers
� Tuning into Consumers’ Digital Signals
� How SoLoMo is Empowering Consumers, Transforming
Shopping, and Disrupting Advertising and Retailing
� Location – the Epicenter of Mobile Innovation†Forthcoming
56
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Bio – Dr. Phil Hendrix
Dr. Phil Hendrix
Director, immr
www.immr.org
+1 (770) 612�1488
@phil_hendrix
Dr. Phil Hendrix is the founder and director of immr, a research and advisory firm focused on market
opportunities afforded by new technologies, and an analyst with GigaOm Pro. He specializes in
helping organizations evaluate and capitalize on opportunities that are new-to-customers and new-
to-market. Dr. Hendrix has extensive experience uncovering customer needs, identifying triggers
and hurdles to adoption, and developing strategies that unlock market opportunities, both B2C and
B2B.
As an analyst, Phil focuses on mobile innovation and the implications for companies across
industries. He is a regular contributor at leading industry conferences, including GigaOm’s Mobilize,
Structure:Data, Street Fight (hyperlocal), ad:tech, iMedia Summit, Social-Loco and others. His
current work focuses on mobile and its impact on consumer behavior, especially shopping, M-
commerce and mobile payment.
As a consultant and advisor, Phil has led significant engagements with startups and Fortune 100
clients in mobile, consumer electronics, and related categories, including financial services,
transportation, insurance and others. He works closely with senior management and project teams
on key issues, including market sizing, segmentation, positioning, and branding as well as
innovation, user experience, and customer retention. Over the course of his career, Phil has helped
clients conceive and successfully launch dozens of new products, services and businesses.
Before founding immr, Phil was a partner with DiamondCluster (strategy and technology
consultancy), founder and head of IMS (Integrated Measurement Systems), and a principal with
Mercer Management Consulting (now Oliver Wyman). He has held faculty positions at Emory
University and the University of Michigan, where he taught courses in marketing, research, and
buyer behavior for MBAs and executives. While at Michigan Dr. Hendrix also held a joint
appointment as a research scientist in the Survey Research Center, Institute for Social Research.
Additional information on immr perspectives and reports prepared by Dr. Hendrix is available at
immr and Slideshare, with additional information available at GigaOm Pro.