Showing posts with label crowdsourcing. Show all posts
Showing posts with label crowdsourcing. Show all posts

Friday 13 April 2012

Flash Mobs morphing into Cash Mobs, a new force in retailing?

Inspired by Flash Mobs, a cash mob is a group of people who assemble at a local business and all buy items from that business. These groups of online activists are harnessing social media like Twitter and Facebook to get consumers to spend at locally owned stores in cities around the world in so-called Cash Mobs.
At the first International Cash Mob day on Saturday 24th March, wallet- toting activists gathered in as many as 200 mobs in the United States and Europe, with the aim of spending at least £12 each in locally owned businesses, according to the concept's founder, Cleveland lawyer Andrew Samtoy. 
Essentially, this is a break-through moment, an event where a virtual society enters the real world, prepared to put their real money where their virtual/real mouths are, and actively support local shops….as their contribution to the on-going health of the community.
The need for conversion
However, it is essential to bear in mind that such initiatives are one-off injections of support, the ‘first bite’ of a new product. As you know, the ‘repeat purchase’ depends upon how well the experience matches, or exceeds expectation. In other words, for local retailers this is a windfall, an opportunity to meet and influence a target audience that wants to support local business and the community, and is prepared to spend money in the process…and tell others about their experiences (Remember, that’s how they got to the shop in the first place)
Capitalising on the trial visit
To convert these ‘trialists’ into regular customers, retailers need to ensure that their 8P Marketing Mix (Products & Assortment, Pricing, Promotional activities, Place i.e. store location, Personnel, Physical distribution & handling, Presentation of stores & products, and Productivity) more closely matches shopper need than equivalent offerings available from local and out-of-town multiple retailers. What they lack in price advantage, needs to compensated for in terms of personal service and convenience, to an extent that shoppers willingly come back for more…
How suppliers can help
Suppliers can help by revising their independent retail business model, and find ways of helping survival-mode retailers to adapt the state-of-art retailing principles established by the major multiples, and build an alternative route to consumers, as a way of realistically diluting trade concentration.
Have a pro-active weekend, from the NamNews Team!.

Wednesday 7 March 2012

Unilever And GSK use of NFC: key potential pay-offs for enabled-stakeholders

Starting with 325 six-sheet digital poster sites in Reading, the key potential lies in the simplicity and scalability of NFC.
With over 130,000 poster sites in the UK, each offering an incremental route-to-consumer as each poster site becomes a new retail outlet, with advertisers gaining access to additional consumers data (name of NFC-enabled users, location, and shopping history) at ‘point-of-purchase’.
Advertising gains  
For advertisers, the combination of the low ‘chipping-cost’ of each poster with the ability to offer instant gratification gives a whole new meaning to impulse purchasing.
Moreover, the user-feedback data can be used to build ‘super-local’ highly accountable promotional campaigns using media-rich, high quality content that can only serve to drive store-level assortment for those retailers (and their suppliers) that want to stay in the game.
(For those unwilling to wait, yet needing some relative response details, some recent US data on the combined use of Bluetooth, WiFi, QR Codes and NFC to promote hotel room booking may help).
All told, it would appear that this new potential will only be limited by the availability of NFC-enabled phones and a possible privacy backlash if not handled carefully..
Raising the competition bar
For traditional retailers and brand owners providing only a token response to the savvy consumer’s need for individual attention via localised offerings, there is a real danger that their NFC early-adopter competitors may take NFC as the new ‘normal’, while traditional players insist on using up those bulk-buy mountains of  old posters and leaflets that seemed such a bargain only yesterday…

Tuesday 31 January 2012

A Unique Day-out Treat For Your Buyer?

M25 Orbital Coach Tour
Think of it, a 4 hour (minimum) captive audience, you and your buyer, with little or no outside distractions as you explain category dynamics and share a packed lunch in recognition of current austerities.
The day is designed for lovers of modern coach travel by Brighton & Hove Coaches in an attempt to provide a “flight of fancy” around the London Orbital.  The coach direction will be decided on the day by the drivers and will stop to take refreshment at the services, perhaps even at Cobham to coincide with the opening of the new Cobham Services.  An entertaining commentary by the co-driver will accompany the journey covering interesting facts about the motorway’s evolution.  Passengers are invited to crowdsource by guestimating to the nearest mile the distance the coach will travel around the route, with a bottle of Champagne as a prize for the closest.
The planned date was 11 October 2012, but because of demand, another date, 22nd March, has now been added.
Book up now to avoid disappointment

Friday 27 January 2012

Crowdsourcing: tapping the collective want…

Following the impact of our NamNews item: Nestle checking views on Kit Kat flavours (1,265 hits in two days), we felt it might be useful to point you at some useful sources of potential applications
Definitions: Essentially, crowdsourcing is a technique whereby the long tail plays an important part i.e. each member of the crowd submits an insignificant contribution to the total outcome, but the total of these contributions amounts to a considerable difference. (More on definitions)
How it started: The Social Path tells the story of a 1906 country fair at which attendees were invited to guess the weight of a large ox. Hoping for a cash prize, about 800 people made guesses, though no one got it right.
Afterwards, a statistician analysed the written guesses and discovered something shocking: the average of all the guesses was a mere one pound away from the exact weight of the ox. The site also gives some great examples with spooky implications…
Examples: For a comprehensive coverage of examples see Anjali Ramachandran on the following
1. Individual businesses or sites that channel the power of online crowds
2. Brand-sponsored initiatives or forums that depend on crowdsourcing. I've included those that are no longer active as well, for reference.
3. Brand initiatives that allow users to customise their products
4. Brand-sponsored competitions/challenges focussed on crowdsourcing

Curiously, much of the good source material is two years old…an indicator that given its success, perhaps companies are paradoxically now keeping crowdsourcing to themselves?
Have a crowded weekend, from the NamNews Team!