The Future is Digital
Becoming digital is the surest way for you to understand your customers' needs and meet their expectations. Learn how Perficient can help anticipate what's ahead for you and your customer with a digital strategy centered around empathy, alignment, and agility.
Jim: Good morning, Michael. I know it’s just Tuesday, but what’s going on in that Consumer Markets head of yours this week? Inquiring minds really want to know!
Michael: I’ll tell you, Jim. I was thinking over the weekend about my stock portfolio (cringing a bit, actually) and about day trading and flash trading and the advantages big, institutional buyers and sellers have over the little guy. And I was wondering about scale and if that’s the only way to get such advantages.
Jim: So what, you want to give investment advice now? This is the Consumer Corner, not Wall Street, my friend. What’s one got to do with the other?
Michael: I’ll tell you, Jim, and it’s going to sound counter intuitive until you get that it’s already happening. I’m talking about mass-customization, one-to-few and one-to-one marketing, and the huge advantages for manufacturers, retailers and consumers that we are going to see from the continued and accelerating enablement of these capabilities.
Jim: You’ve got my attention. Should I call my broker now?
Michael: Not just yet, big guy! Let’s first reflect for a moment on what the quants are getting right with their sophisticated algorithms. Because, it’s not just about how smart they are, it’s also about the analytics that are driven by the math, fueled with the data.
In today’s consumer markets what you mostly get is what’s on the shelf, or in the back room, or moving down the highway. It’s forecasting to sell, not necessarily to deliver. However, when you combine the power of digital marketing in a one:one world with the capacity for just in time manufacturing, you’re able to turn the model inside out by giving consumers not approximately, but exactly what they want, when they want it, at a price they’ll be all too happy to pay for it. In effect, we are moving from a “sell what you make” model to a “make what you sell” one.
Jim: Yah, yah, I’ve seen this. I can get my Nike sneakers or M&M’s made to spec. I always thought of that as a novelty, not a mass movement. In any case, why is this like investing and what does scale have to do with it?
Michael: Good question, partner, and here is the challenge and the opportunity as I see it: Imagine it’s not necessary to be big to get the time, attention and value big typically obtains. Imagine yourself buying as if you had the power of a big retailer or investment banker. In fact, in a world of one:one mass-customization, that is precisely what you have and how you are being treated when you go to Amazon, or order that sneaker made just for you.
Jim: Then what you are saying, Michael, is that this is really just the beginning of a mega-trend where we, our suppliers and service providers will be inextricably linked by mutual goals and requirements?
Michael: In essence, yes. Empowered with an ever increasing array of pervasive and sophisticated technology, supported by rich data and analytics, all parties are satisfied in a consumer centric world. Some speak of this as the “connected consumer”. For my part, it’s really about one click to get what I want to buy, not what they want to sell. That’s where I’ll hope to get a better return, whether in my stocks or in my socks.
Jim: You make me believe in miracles, Michael.
Michael: Hail to the consumer, Jim!
Thanks!