Saturday, November 29, 2014

FIVE PSYCHOLOGICAL SHIFTS - PART 3

Faster Ways of Thinking:
  • Our brains have adapted to new, digital world
  • More than 68 percent of adults who own multiple devices use two or moew screens simultaneouly to "graze unrelated content.
  • Nearly 40 percent of time spent on tablets is spent doing something else simutaneously
  • Mobile meida consumption tripled from 2009 to 2013
  • Ellie, thirty-seven, say's she's bored with shopping in stores. " I used to love to browse. Now it feels boring. I think part of it is that I browse almost every day."


What are the results of faster thinking customer?
  • Consumer will spend less time exploring detailed information
  • Consumer will look for faster, simpler solutions (brands that simplify consumer decision are making 115 percent more likley to be recommended)
  • Consumer will get bored more easily
  • Consumer will increasingly rely on faster, more symbolic forms of communication rather than written words 
Source: Yarrow, Kit; Decoding the New Consumer Mind - How and Why We Shop and Buy; March 2014

Wednesday, November 19, 2014

How to make your customers to your fans on social media

During the second LeanInno Camp I found a very interesting german article on the internet which gives some issues you have to pay attention to do successful social media. I translated the essences and noted them down: 


Nowadays social media is a very useful tool to interact with your customer. But interaction alone don't make your customers happier. They like to be informed and entertained in the same time. As Kit Yarrow mentioned in his book "Decoding the New Consumer Mind": People are thinking faster, they want to have fast solutions. A way to speed up you information flow is the usage of pictures. Moreover avoid long texts because your customer won't pay attention to them. One very useful way to include your socaial media follower is to use crowdsourcing for new products or brands. Make your customer decide for you. They will more identify with the product/the brand and since they have decided by themselves most likely the majority will bye the new product. Furthermore, crowdsourcing enables to profit from viral marketing because people will like/share these products if they like it. These are the things we will think more detailed in the next LeanInno workshop to figure out how to make it beneficial for SOKOS Wiklund.

Duhigg, Charles: The Power of Habit

I have been reading Charles Duhigg's book The Power of Habit: Why We Do What We Do in Life and Business. Charles Duhigg is a Pulitzer-winning business reporter at The New York Times. The book explores why we do what we do and how to change. It has been interesting thus far, and many people have thought so too: it reached the best seller lists of The New York Times, Amazon.com and USA Today, spending over 60 weeks on The New York Times' list.

Here's an Amazon link:
http://www.amazon.com/The-Power-Habit-What-Business/dp/081298160X

Wednesday, November 12, 2014

How to bring customers to Sokos Wiklund?

Made by: Lola




In order to get more customers to Sokos Wiklund we have decided that we are going to focus on a group we call "Turku Lovers". We want to re-create the "old Turku spirit" in order to get more customers to Sokos Wiklund.  We choose 3 target groups which are the Sports men, the cosmetic woman and Art  people.

We noticed that the Turku people, ( people who are born, raised and live in Turku) are interested in sports and we thought that would be one thing that will connect the Turku people. We know that the cosmetic - part in Sokos are going well but we still want to improve that part and give it a boost. Social media is an important channel to reach out to the young ladies. We will try to figure out some ideas to get the social media for Sokos to really work. Art- people is also a big tribe and we thought it will help to re- create the old Turku spirit. In order to do that we have been thinking on a few ideas:

Sports - men
·         -Sokos could sell tickets for a TPS game cheaper than "lippupalvelu" or other places.
·        - If TPS win the game people would get discount ( with the ticket) on something.
·        - Co-operate with some sports club in Turku
·        - Sport weeks
·       -  Signing session ( with some famous sports man/woman)
·       -  Worn- jersey- lottery

Cosmetic woman:
·       -  Link cosmetics with social networks through games ( selfie photo ---> Instagram)
·       -  Vote for some popular brands that Sokos doesn´t have and then Sokos would sell that particular brand for one week
·       -  Make up - makeover
-All of these ideas will be market  through SOCIAL MEDIA.

Art people:
·       -  Painting competition
o   Price
o   Decorate Sokos with the winning paintings
o   Vote on social media
o   About Turku buildings
o   Post on Social media the best painting and on the screen in front of Sokos
·       -  "My Turku" exhibition old Turku / new Turku


Except this we have also a lot of ideas on different Pop - up stores inside Sokos but they are in the process state.

Wednesday, November 5, 2014

Retail trends and predictions

1. Omnichannel retailing will be the norm Retailers will continue to realize that they need to connect with users on multiple channels and touch points simultaneously or even interchangeably. Practically the idea with omnichannel is that you browse inside the store then purchase online on a Ipad in the store. The shoppers can have their products shipped or choose to pick it up. The staff will help the shoppers to assist them when checking sizes, styles and availability.

2. The mobile wallet will continue to rise Cash and credit cards won´t be things of the past any time soon, but mobile will definitely get a huge chunk of the payments pie in the coming year. In 2014, retailers will be adopting solutions such as PayPal, Google Wallet, Square Wallet and so on. There will be mobile applications where you can book a table, view the menu and more importantly pay bills via e.g. PayPal. So if you forget you wallet or are in a hurry you can simply settle the bill with just a few taps.
3. Shoppers will get more personalized in-store experience One-size-fits all marketing just won’t cut it anymore, which is why retailers will start implementing solutions to personalize each customer’s experience. While ecommerce sites have been doing it for years through tailored landing pages, offers, and recommendations, a lot of brick and mortar stores will also get in on the fun next year. Retailers will now be able to send tailored notifications to each shopper´s device, depending on where they are in the store.
4. Technology will be even more integrated in brick and mortar stores 2014 will be the year when stores say goodbye to boring, antiquated layouts. It has started to dawn on retailers that if they want to keep people in their stores, they need to make their locations interactive and engaging. This can be done in a number of ways, the most basic of which is by using in-store mobile devices. Tablets and smartphones are versatile and can be used in several ways, including taking payments, demonstrating products, offering more information, and encouraging social sharing. Here is a good example that demonstrate the successful use of in-store mobile devices. Make Up For Ever – The cosmetics company put iPads in some of its stores to let shoppers browse products and virtually try various make-up combinations by uploading their own photos.
5. The number of mobile businesses will increase Mobile business continues to advance. The food trucks on the streets will be companied by fashion trucks, flower trucks and even hair salon trucks. Pop- up stores, usually reserved for apparel retailers, will diversify as well.
6. Retailers will reinvent loyalty programs Loyalty cards are on their way out and will be replaced by customized rewards that incorporate social information, shopping behavior, and more. Office Depot for instance, started implementing a program that gives customers rewards based on their frequently bought items, shopping behavior and the amount information that they shared with the brand.
7. Relationship marketing and thought leadership will rule retailers' sales & marketing strategies Say goodbye to pushy sales people who follow shoppers around. Retailers will learn that going for the “hard sell” isn’t effective anymore. Instead, they’ll invest in cultivating relationships and establishing thought leadership. In 2014, we expect more brands to employ likeable experts—store associates who aren’t there to sell, but rather to dish out advice, solve problems, and build relationships.
8. Customers' need for speed will grow in 2014 The "always connected" consumers expect fast answers to questions or requests, and businesses will need to work extra hard to get in touch with shoppers as quickly as possible. And while businesses have already started doing it via live chat, SMS alerts, 24-7 hotlines, and social media, we’re anticipating brick-and-mortar retailers to roll out solutions that would enable associates to give instant, real-time information to shoppers.
9. Retailers will continue to invest in Big Data to track shoppers Businesses have realized that in order to predict shopper behavior and provide truly personalized experiences, they would need to gather as much information about the behavior, history, and whereabouts of consumers. Big Data enables retailers to implement dynamic pricing, personalized recommendations, shopper-specific discounts, and more.
10. Big Data will lead to bigger privacy concerns for consumers People will get uncomfortable when they realize just how much they’re being tracked, which is why we’re anticipating consumers to push back a bit, and try to find ways to stop businesses from “stalking” them. They may start using “Do Not Track” solutions such as the recently launched AVG app that blocks WiFi location tracking. Retailers may be able to address privacy concerns by educating shoppers about the benefits of Big Data analytics. They need to communicate that they’re gathering data to improve shopper experience and not to steal information or breach privacy. In addition, businesses need to build trust by being transparent and empowering users to take control of their information.
11. Social media will heavily influence product decisions Nowadays social media plays a much bigger role in retail decision making. Currently, most retailers are using social sites to monitor feedback and connect with customers. In 2014, they’re going to take it a step further and use social media when developing products and marketing campaigns. Some companies has started using Pinterest to decide which products to display in their stores.
12. Retail will grow in emerging markets Brands are starting to see that they have huge opportunities in emerging markets such as Brazil, China and India, and we predict that they will strongly go after those opportunities in the coming year.

Technology is developing all the time and makes everything much easier for us human beings. We want everything to be as simple as possible, but still we want to have those traditional stores. We want the staff to know what we are looking for but we get uncomfortable when they realize how much we are being tracked. The problem is to say the least controversial.

If you want to know more about this, check this out!

How to do Tribal Marketing in Social Media

tribe-of-runners

In ages past we wore tribal masks and tattoos to express our belonging. We swore our allegiance to chieftains, and championed rival clans for turf. At nightfall we gathered around the fire to share stories about our feats, and we ushered our children into adulthood through rituals. Our tribe was our home, and it provided us with everything we needed to survive.
The new world of tribalism
So, what has changed? Many sociologists and anthropologists recognize that we now live in a new world of tribalism, but rather than belonging to one tribe we belong to many. The spaces we occupy are not necessarily physical, and we cross between them with ease. One moment we will be gossiping with our Game of Throne tribe under the #GOT hashtag on Twitter, and the next we will be re-pinning images with our slow food tribe on Pinterest. While our tribes are not confined by the web, they have definitely been made more accessible. We are no longer bound to our tribes by blood, but by passion.
Tribes gather around strong passions like biking, WordPress and Duck Dynasty. The stories we receive and pass along are filtered through our tribal lenses. Our tribes affect our preferences and consumption choices. They help us define who we are and make sense of the world. Our tribes have become more important to us than our age, sex, nationality and social class.
Tribes as target groups
Yet, a vast majority of companies and organizations still segment their target groups using these characteristics. While it may have been true that middle-aged women in New York shared much in common 50 years ago, it is very much less so today. One of the fundamentals of tribal marketing is to define target groups as a tribes. A major benefit to this is that a tribe shares much in common, such as values, language, spaces and leaders.
What tribal marketing truely is about
Contrary to popular belief tribal marketing is not about leading tribes, but serving them. It is often less about building your own tribe, than reaching out to existing ones. Many social media experts stress the opportunity and importance for brands to build relationships with customers in social media. However tribal marketing does this indirectly by focusing on strengthening the bond between people. Tribal marketing is customer-centric, because it’s less about you and more about helping your customers do what they want. Research shows that people visit social media to connect with family and friends. Your job is to figure out how you can amplify that social experience, rather than disrupt it. Tribal marketing is about partnering with tribes.
The following steps can be used to kick-off your tribal marketing in social media. This assumes that you have already defined your goals.
tribal-map-small1. What tribes can we reach?
Begin by identifying the tribes that you have the potential of connecting with. You should have the mentality of a hunter, and follow trails where they lead. Semantic links are your best friend as you discover conversations about your products, competitors, and category. You can use a tool like Tellagence Discover to explore neighboring topics and themes on Twitter. Another great place to discover tribes is on Pinterest and Instagram. Wherever you find people conversating, you will often find they share tribes.
You can also find potential tribes by thinking about the meaning customers associate with your brand, and the values that they can express. Your company history, and it’s culture can also provide clues.
Find out what the passions and interests of your customers are, as well as your employers. Discovering tribes is a creative process that requires a qualitative approach.
2. What is the identity of the tribe?
Who are their influencers? Where do they convene? What do they share, say and do? What language do they use? 
It is critical that you deeply understand the tribes that you want to connect with. You need to transcend your notions of individuals and think about the codes people share. To be successful you need to think less like a fisherman and more like a marine biologist. You can use netnography as your aid to accomplish this work. (This is a good time to hire a trained expert if you can afford it.)
Discover the leaders that influence the tribe through their creation and sharing. They can be bloggers, event coordinators, or curators like Maria Papova. Identifying influencers and building relationships with them is crucial for your tribal marketing.+
Researchers at the University of Royal Holloway have shown that tribes on twitter have their own language. This is of course true for all tribal interaction wherever it occurs. Each tribe has their own jargon and symbols, and they can differ across social media platforms and apply to images and video as well. Understanding and leveraging the lingo of a tribe well make your communication more relevant and native.
Tribes convene in many different places. They are not confined to a particular forum, and they even connect offline. Figuring out where they meet, and what other places their members visit, is important for selecting appropriate channels for your tribal marketing. You should also create a tribal calendar, as many tribes have re-occuring events and happenings that you should know about.
You can understand the values and beliefs of the tribe by examining what members say, and what they do. The purpose of mapping tribal culture is to make your communication efforts as effective, relevant and native as possible. Your tribal map will guide the influencers you connect with, and what you say, how you say it, as well as where and when.
3. How can we reach this tribe to market our products and services?
Tribal marketing requires a different mindset than traditional marketing. It is more about serving than targeting, and helping people build relations with others that share the same passion. Your tribal map is going to guide everything you do as you interact with the tribe, so that you are as relevant and distinct as possible.
Besides offering your products and services you can contribute by providing virtual spaces where the tribe can gather, for example on your web site or facebook page. You can also provide tailored content such as articles, experts, infographics and use cases. Conferences, events and meetups are great ways of connecting with tribes.+
You should build relations with tribal leaders and influencers. You can include them in your ambassador program, and give them exclusive experiences. Boost thier social capital by helping them do what the tribe values the most. Give them platforms, otherwise beyond their reach, to be seen and heard
While there are many practical things you can do, your brand can also deliver symbolic perks. Your brand can become a bridge for newcomers to the tribe, as well as a social glue for members within. The meaning of your brand can be used by tribal members to express who they are and who they are it with. Understanding, discovering, and designing meaning for self consutrction and belonging should be an integral part of your brand platform. Meaning is the gift of anthroplogy to brand managers, in the same way associations are from psychology.
Tribal marketing is about delivering and managing practical benefits, as well as symbolic. As a tribal marketer you should always have the tribes best interest at heart. You should have the mindset of an enabler, rather than exploiter, and constantly be on the lookout for ways to deliver stories and experiences that the tribe values.
The social media landscape is tribal. Is your company doing social media-, content- or influencer marketing? Then chances are at large that you should consider tribalizing those efforts. Companies and non-profits that want to navigate the tribal landscape should define their target groups as tribes, understand their culture, and come up with creative ways of serving them.

If You Don't Understand People, You Don't Understand Business





This week I have studied lots of material from Simon Sinek and I think the video summarizes it pretty well. Many of you guys have probably seen it before and Timo also talked about Sinek on the first camp, but I still think it is worth mentioning. In order for us to find out what we can do to satisfy the needs of the "tribe/tribes" we choose, we will have to start with "why".


Those of you who would like to dig deeper I recommend watching this video. It gives an insight on how to learn to understand people and building trust. In all it's simpliness Sinek tells us to be real, do what we truely believe in and try to be good to/help people. Especially the last point feels interesting, What if an organization could, not only help people, but make people wanna help them? For instance Turku people to help save the city center... Sinek uses many good examples and stories about e.g. Apple, so even if it may seem like a long video it is still watchable. Enjoy.


FIVE PSYCHOLOGICAL SHIFTS - PART 2

Consumer Empowerment:
  • Social media has given people a huge megaphone and made them the most powerful people. But why? Consumer increasingly rely on the words and actions of other shoppers to guide their purchases.
  • "I don't trust websites that don't include product reviews. What are they trying to hide?" (A online shopper who sums up the opinion of many online shopper)
  • More than 70% of consumer trust reviews
  • 80% of consumer changed their minds about buying a product after reading a negative review they found online.
  • Consumers pay attention to the amount of reviews. They are fully aware that there are plenty of fake reviews on the internet. Therefore two 5 stars reviews are less trustworthy than one hundred 4.5 stars reviews.
  • Consumer typically just write reviews when they are either very happy or very unhappy.


Power to the People
  • if consumers are dissatisfied they have the chance to complain on social media. Within a short time the complaint will be targeting all followers of this brand. Due to social media consumers can exert power over brands because the brands mostly have to give way to avoid losing customers.
  • Not always the power of consumer/customer have negative effects. Crowdsouring for instance is a highly potential way to develop new products or strategies because the customer is involved and is part of the development. Moreover, products created by crowdsourcing should be very popular. If you decide for the products most customer liked (e.g. on facebook) you can be sure that they will like this products and most likely buy it.
 "Once people have power [...] there is no way turning back. Consumers know their influence, and it has permanently affected their expectations and relationships with retailers and businesses. Consumer empowerment has contributed to a less reverential reletionship with brands and products, which means that marketers need to work harder to engage and involve consumers" (Kit Yarrow, Decoding the new consumer mind, 2014)
 
The next blog entry will be about "Faster Ways of Thinking".

Source: Yarrow, Kit; Decoding the New Consumer Mind - How and Why We Shop and Buy; March 2014

Consumer behavior from an anthropological point of view [3rd resource]


Consumer markets and consumer buyer behavior – Mehmet Cihangir

In this SlideShare presentation, the author presents what can influence the consumer behavior, on a sociological point of view. He also tries to go deeper in the consumer buying behavior and establishes 4 kinds of buying decision behavior.
 
a)      Characteristics affecting consumer behavior
Cultural – 25% to 50% of behavior is culturally determined. Thus, it is important for companies to look at cultural variation to understand variation in behavior.
For the author, there are 3 important things in the Culture:
- Culture: forms a person’s wants and behaviors - Subculture: groups who share value systems 
- Social class: share values, interests and behaviors

Social – every person can have influence on somebody. Thus, it is important to know who the influencers are.
- Groups: membership, reference, opinion leaders- Family 
- Roles and status

Personal – what define our personality is also a characteristic which can affect our buying behavior.
-          Age and life circle
- Occupation - Economic situation 
- Lifestyle 
- Personality and self-concept

Psychological – the way in which we see things and we interpret them are also a main characteristic: 
- Motivation and learning (same idea as John V. Petrof)
-     Perception (process by which people select, organize and interpret information)
Beliefs and attitudes

b)      Types of buying decision behavior
Complex highly involved, significant brand differences (ex: computer)
Dissonance-reducing highly involved, little brand differences (ex: carpeting)
Habitual low involvement, little brand differences (ex: salt)
Variety-seeking low involvement, significant perceived brand differences (ex: cookies)

Source:

Buyology more deeply

This week I've been concentrating on one of the three books, the Buyology by Martin Lindstrom. I think here's a book almost every company's management should not only read but study carefully. The neurological experiences (what happens inside of our brain) don't lie eventhough customer polls and surveys often do. It seems that most companies have over the years done the exact opposite what they should've done.

I haven't finished the book yet and there's a LOT of interesting stuff but here are a couple of important points for our project with Wiklund that I've come across during the reading.


1. The senses
Nowadays we're drowning into visual impulses. Our brain is getting way too overwhelmed by all the things we see and the visual stimuli we get around the clock that mostly it blurs everything into a fog where we can't separate one stimuli from the other let alone remember almost any of these. Instead of wasting tremendous amounts of money to developing logos and visual advertises companies should concentrate on the two much more important sensations: smell and sound. These two have been proven to be more memorable and easier to recall than any visual stimuli. The companies shouldn't forget the visual ads completely as they still play a role in the whole picture, but rather than focus on the extent of those try to focus on the differentation and surprises they might be able to bring for customers. The complete package that these three make is called Sensory Branding.

2. Somatic markers
When we make a buying decision our brain summons and scans a huge amount of memories, facts and emotions and squeezes them into a rapid answer - a shortcut in a way. Over 50% of all buying decisions are made spontaneously and unconsciously at the point of sale where the shortcuts play a big role. These shortcuts are also known as somatic markers and they have a lot more power than we're aware of. We make new somatic markers everyday and the advertisers are trying all they can to create us new ones so that we'd spontaneously buy their product from the store. For example fear is a very effective way to create a somatic marker: reminding people carefully but constantly that if they don't buy this or use this they may fall ill etc. is proven to be very powerful. Fear is part of sensory experiences which actually are often pleasant and affect our buying decision big time.


3. Mirror neurons
Our brain mimics how other people interact with objects and how they feel in situations. We often smile when we see someone is happy or wince when we see someone (in a movie for example) is in pain. Everything we observe or read about that someone else is doing, we do in our minds aswell. And everything someone we look up to has, or any person we find interesting, we want aswell, our brain imitates them. This idea goes close to marketing's basic idea of  "opinion leaders" whose choices affect a big crowd of people around them.


I think here are some ideas that we could really use in our project!


Tuesday, November 4, 2014

Five psychological shifts - Part 1

Innovation Optimism:
  • In general consumer are becoming more and more open minded towards new products. The usefulness has transformed innovation-wary consumers into optimists.
  • Due to new technologies products of all sorts, not just technology itself, have benefited. In the past most consumer would have fallen into "wait and see" category of shoppers. Today nearly everyone is less suspicious and more willing to try unfamiliar products.
  • Especially people younger than thirty-three (first generations which have been growing up in a digital world) want quick fixes to their problem. Therefore they view innovation as essential part to solve their problems.
  • Consumer who are craving for innovation are bolstered through the consumer championship and trust bulding of social media, rating and review sites. Nevertheless we (consumers) aren't only more trusting of new things but also increasingly wary of brands and products that don't innovate!
In conclusion you can say that people, especially the young generation, needs innovative products to be satisfied. If products or strategies aren't innovative they will be more hesitant to buy those. John Digles, the executive vice president and general manager of MWW has found the right words: "The biggest risk with being cool is that someday you won't be. You have to constantly reinvent yourself." Consumers are hungry for "new". Innovation is a demonstration of the coolness, smarts and consumer-centricity that today's shopper demand. I want to end this blog entry with the last sentence of Kit Yarrow about Innovation Optimism: "Marketers who understand our thirst for what's new and our trust in innnovation know that they need to delight and inspire shoppers with a dose of technology."