If your If your business doesn’t stand f thi for something get lost and get lost and stop wasting p geveryone’s time

The case for building a compelling The case for building a compelling business purpose

Ray Algar, Strategic MarketerO C l i Oxygen Consulting

Leisure Industry Week Conference Leisure Industry Week Conference UK September 2009

You’re going to love or g ghate this presentation

A business that knows why it A business that knows why it exists can seize future opportunities

Some companies take the ppurposeful road – others don’t

No of Failed UK BusinessesNo of Failed UK Businesses

2010 39,000

Estimate

200936,000

200822,600

2008

200716,000

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000

??

That’s 1 in 50 UK companies

36 UK restaurants/bars went /bust every week during 2008

No of Failed UK No of Failed UK Private Health Clubs

2009 ?

2007

2008

112

96

2006

132

121

2004

2005

61

132

0 20 40 60 80 100 120 140

2003 68

0 20 40 60 80 100 120 140

?

1 in 45 UK private health clubs failed in 2008

Why do businesses fail?

Management failures

Loss of market

Will these companies be pmissed by customers?

The world never misses mediocre companies

“A lot of company strategies are generic, bland, ambiguous, vague uninteresting and undifferentiated” uninteresting and undifferentiated Professor Dave Rendall

Does the world still need video stores?

or book stores?…or book stores?

traditional estate agents?…traditional estate agents?

or travel agents?…or travel agents?

The web is fundamentally The web is fundamentally disrupting many traditional disrupting many traditional business models

Why this matters

M t JillMeet Jill

Jill is surrounded by choice yin her life

36

37

38

39

Jill often finds the 40choices traumatising

Jill’s problem is that many p yproducts look very similar

Brighton GymGym

Leeds eedsGym

London GGym

42

Something out of the Something out of the ordinary is required to grab ordinary is required to grab Jill’s attention

Meet Rainer SchallerMcFit CEO

46

Growth of McFit Budget Clubs

2009 780,0007222

2008 700,0006931

2007 550,0006180

2006 416 000

,

6118

0 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000

416,000

47

Members/Club Members

‘Create a business we can be proud of’

Create a drinks company that Create a drinks company that makes it easy for people to makes it easy for people to be healthy

100% fruit – no compromise100% fruit no compromise

Authentic to the coreAuthentic to the core

10% fit d t d10% profits donated

Loved by customers

Is Innocent Is Innocent flourishing?flourishing?

2 million drinks sold each week

65% UK smoothiemarket share

£100 illi t£100 million turnover

£6 illi fit£6 million profit

From nowhere to the world’s From nowhere to the world s third largest phone maker in g ptwo years

This club h i chain

collected 26 collected 26 tonnes of tonnes of

foodfor young

mothers and babiesbabies

Is this the world’s most Is this the world s most environmentally friendly

64

y yhealth club?

Joe wanted to make Joe wanted to make Gainesville the healthiest place to live in the USA

Customers love these companies

If they closed they would y ybe genuinely missed

Can this be said for the Can this be said for the majority of businesses majority of businesses we experience?

FitFitBodiesBodiesLtdLtd

Who misses medicore companies?

Does the world need a water brand just for dogs?!

Eddie Izzard has just done ja remarkable thing

Is this the world’s first free gym?

So, what ,does your business

stand for?

Stand for something or fall for anything

This company has p ygenerated buzz

The web allows remarkable things to spread rapidly

Wh i R Al ?88

Who is Ray Algar?