Dominate

How Burberry And Caesars Took Different Approaches To Dominate The Competition Online

Source: http://www.businessinsider.com/how-burberry-and-caesars-went-digital-2012-11

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“It’s all very nice being a digital leader, but do you make more money?” According to a recent study from Capgemini Consulting and MIT’s Center For Digital Business, the answer is yes, to the tune of a 26 percent increase in profitability.

According to Didier Bonnet, Capgemini’s Global Practice manager, what distinguishes these companies is an intense focus on transforming in one area that they’re best at, getting it right, and then applying those lessons and data throughout the rest of the business.

These companies see digital technology as the thing that sets them apart, not just another tool. It’s not an experiment, but an intensely focused program based on getting business results. 

“They were very focused to start with in their investment,” Bonnet says, “so rather than just going all over the place and investing in, you know, people, collaboration, customer experience, and operations, they had a pretty clear starting point.”

But that starting point can be very different depending on the company, as Bonnet highlighted with these two digital outperformers from the report

Burberry: Starting with the customer

“For example, Burberry, the fashion retailer, really started with customer experience, they first tried to get their shop sorted out very well, they put screens in that connected all of the shops to the head office. From there, they moved on to slightly more sophisticated social media applications where they actually launch their collection on soc! ial medi a first before they’re at the Milan or Paris shows. From there they moved on to mobility, and now they’re right in the middle of using all of the data for analytic purposes that they’ve managed to gather from connecting their organization. But it started from the customer experience.”

Burberry took the customer experience, invested heavily, then used that data and experience across every channel. Bonnet says “it’s the difference between sticking a technology in an existing process, substitution if you will, versus really transforming the process with the power of what the technology can do.”

Caesars: Using data to make everything personal

“Caesars has really started on analytics, so they tried to really work on how to personalize the experience for the customer. Once the analytics were sorted out, they moved into mobility with location based marketing, eventually reaching a point where you can get recognized when you walk into a store and get preference based coupons and advice on what you can do in the resorts and the casinos. Now they’re moving more and more into the operations side.” 

Caesars’ business encompasses shopping, restaurants, casinos, and more. Starting with data from their customers allowed them to take every other tool digital technology has to offer and use it to boost performance across all parts of the company.

Though the paths were very different, the lessons are the same.   

Find the report here

NOW READ: Digitally Mature Companies Significantly Outperform Everybody Else 

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Wednesday, November 14th, 2012 news No Comments

Microsoft Already Won The Battle For The Living Room When Nobody Was Looking (MSFT)

Source: http://www.businessinsider.com/microsoft-is-smashing-everybody-in-the-battle-for-the-living-room-2011-12


kinect 2

Two bits of news came out yesterday that illustrate how far ahead Microsoft is in the battle for the living room.

First, Microsoft announced it had sold 1.7 million Xboxes in November. That includes 1 million in the week of Thanksgiving.

More quietly, an analyst firm called Strategy Analytics released a report on “connected TV players,” like Apple TV, Boxee, and the Google TV devices from Sony and Logitech.

The firm says that sales of those devices will reach 12 million in 2011, with Apple TV shipping 4 million.

In other words, Microsoft sold more Xboxes in a single week than Apple sells in an average quarter. And Apple is the market leader in that “connected TV players” space. At least when you ignore game consoles.

This isn’t to pick on Apple. It’s simply to point out that Microsoft’s “Trojan horse” strategy with the Xbox has worked amazingly well.

And this was absolutely part of Microsoft’s strategy from the beginning — way back in 2005 before the Xbox 360 launched, Microsoft executives were talking about trying to expand the market beyond hardcore video gamers and turn it into a more general-purpose entertainment device. But Microsoft always knew it had to make a top-notch game console first to get the installed base, then add entertainment features over time.

It’s been doing that, quietly, for more than five years now and has sold almost 60 million Xboxes in the process. With the addition of a whole bunch of TV and other video content last week, the strategy has finally reached full fruition.

Apple, Google, and other connected TV companies could still have a chance if they team up with TV makers so the software is built into your new television set. But any company who hopes to compete with the Xbox by selling an add-on box that DOESN’T play games is in a deep state of denial.

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Monday, December 12th, 2011 news No Comments

The Digital Living Room Isn’t Here Yet (NFLX, AAPL)

Source: http://www.businessinsider.com/chart-of-the-day-netflix-itunes-dvds-2011-11

Despite all the hype around Netflix streaming, and Apple’s iTunes movie store, the fact of the matter is that the physical disc is still the king of home entertainment, Dan Frommer at SplatF reports.

As you can see in the chart below, digital streaming/sales only accounted for 19% of the home entertainment market in the third quarter. The rest of sales comes from DVD/Blu-ray discs.

As Frommer points out, this means there’s still plenty of room for growth for Netflix, Apple, Microsoft, Facebook, and others to attack the market.

chart of the day

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Wednesday, November 2nd, 2011 news No Comments

Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.

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