we are ( all ) in the “experiences industry.” tom peters/infocomm2002/ las vegas/06.11.2002
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We Are ( ALL ) in the “Experiences Industry.” Tom Peters/infoComm2002/ Las Vegas/06.11.2002. - PowerPoint PPT PresentationTRANSCRIPT
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We Are (ALL) in the
“Experiences Industry.”Tom Peters/infoComm2002/
Las Vegas/06.11.2002
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Tom’s Technology Slide
The Web rules!
Meetings/face-to-face are doomed!* (*Maybe.)
Kids rule!
Old farts don’t get it!* (*But they pay your bills.)
09.11 matters—the accelerator factor.K.I.S.S.* (*Jakob Nielsen/Designing Web Usability)
Pete knows!* (*See next slide.)
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“Knowledge becomes obsolete
incredibly fast. The continuing professional education of
adults is the No. 1 industry in the next 30 years … mostly on line.”
Peter Drucker/Business 2.0/22August2000
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We Are (ALL) in the
“Experiences Industry.”Tom Peters/infoComm2002/
Las Vegas/06.11.2002
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TP: The next slide is important.
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Experience: “Rebel Lifestyle!”
“What we sell is the ability for a 43-year-old accountant to dress in black leather, ride
through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
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All Slides Available at …
tompeters.comNote: Lavender text in this file is a link.
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100 X 24 = 2,400
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The “Solutions Imperative.
”
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The Big Day!
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09.11.2000: HP bids
$18,000,000,000for
PricewaterhouseCoopersconsulting business!
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“These days, building the best server isn’t enough. That’s the
price of entry.”Ann Livermore, Hewlett-Packard
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Gerstner’s IBM: Systems Integrator of
choice. Global Services:
$35B. Pledge/’99: Business Partner Charter. 72 strategic partners,
aim for 200. Drop many in-house
programs/products. (BW/12.01).
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“We want to be the air traffic
controllers of electrons.”
Bob Nardelli, GE Power Systems
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“Customer Satisfaction” to “Customer Success”
“We’re getting better at [Six Sigma] every day. But we really
need to think about the customer’s profitability. Are customers’
bottom lines really benefiting from what we provide them?”
Bob Nardelli, GE Power Systems
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Keep In Mind: Customer
Satisfaction versus
Customer
Success
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“UPS wants to take over the sweet spot in the endless loop
of goods, information and capital that all the packages
[it moves] represent.”ecompany.com/06.01 (E.g., UPS Logistics
manages the logistics of 4.5M Ford vehicles, from 21 mfg. sites to 6,000 NA dealers)
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Omnicom: 57% (of
$6B) from marketing services
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“Solutions Imperative” = A
World of
“Experiences.”
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“Experiences are as distinct from
services as services are from goods.”
Joseph Pine & James Gilmore, The Experience Economy: Work Is Theatre & Every Business a Stage
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Experience: “Rebel Lifestyle!”
“What we sell is the ability for a 43-year-old accountant to dress in black leather, ride
through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
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“The [Starbucks] Fix” Is on …
“We have identified a ‘third place.’ And I really believe that sets us apart. The third place is
that place that’s not work or home. It’s the place our
customers come for refuge.”Nancy Orsolini, District Manager
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“Club Med is more than just a ‘resort’; it’s a means of rediscovering oneself, of inventing an
entirely new ‘me.’ ”
Source: Jean-Marie Dru, Disruption
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“Guinness as a brand is all about community.
It’s about bringing people together and sharing
stories.”—Ralph Ardill, Imagination, in re Guinness Storehouse
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The “Experience Ladder”
Experiences Services
Goods Raw Materials
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1940: Cake from flour, sugar (raw materials economy): $1.00
1955: Cake from Cake mix (goods economy): $2.00
1970: Bakery-made cake (service economy): $10.00
1990: Party @ Chuck E. Cheese (experience economy) $100.00
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Message:
“Experience” is the
“Last 80%”
P.S.: “Experience” applies to all work!
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1940: Cake from flour, sugar (raw materials economy): $1.00
1955: Cake from Cake mix (goods economy): $2.00
1970: Bakery-made cake (service
economy): $10.001990: Party @ Chuck E. Cheese
(experience economy) $100.00
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It’s All About EXPERIENCES: “Trapper” to “Wildlife Damage-control Professional”
Trapper: <$20 per beaver pelt.
WDCP: $150/“problem beaver”; $750-$1,000 for flood-control
piping … so that beavers can stay.
Source: WSJ/05.21.2002
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The “Experience Ladder”
Experiences Services
Goods Raw Materials
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Ladder Position Measure
Solutions Success(Experiences)
Services Satisfaction
Goods Six-sigma
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Experiences that
WOW.
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“Reward excellent failures. Punish
mediocre successes.”
Phil Daniels, Sydney exec
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“Let’s make a dent in the universe.”
Steve Jobs
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The greatest dangerfor most of us
is not that our aim istoo high
and we miss it,but that it is
too lowand we reach it.
Michelangelo
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WOW Addenda:The
Sales25.
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The Sales25: Great Salespeople …
1. Know the product. (Find cool mentors, and use them.)
2. Know the company.3. Know the customer. (Including the customer’s consultants.) (And especially the “corporate culture.”)4. Love internal politics at home and abroad.5. Religiously respect competitors. (No badmouthing, no matter how provoked.)6. Wire the customer’s org. (Relationships at all levels & functions.)7. Wire the home team’s org. and vendors’ orgs. (INVEST Big Time time in relationships at all levels & functions.) (Take junior people in all functions to client meetings.)
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It’s politics, stupid! (Play or sit on the sidelines.)
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The Sales25: Great Salespeople …
1. Know the product. (Find cool mentors, and use them.)
2. Know the company.3. Know the customer. (Including the customer’s consultants.) (And especially the “corporate culture.”)4. Love internal politics at home and abroad.5. Religiously respect competitors. (No badmouthing, no matter how provoked.)6. Wire the customer’s org. (Relationships at all levels & functions.)7. Wire the home team’s org. and vendors’ orgs. (INVEST Big Time time in relationships at all levels & functions.) (Take junior people in all functions to client meetings.)
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Great Salespeople …
8. Never overpromise. (Even if it costs you your job.) 9. Sell only by solving problems-creating profitable opportunities. (“Our product solves these problems, creates these unimagined INCREDIBLE opportunities, and will make you a ton of money—here’s exactly how.”) (IS THIS A “PRODUCT SALE” OR A WOW-ORIGINAL SOLUTION YOU’LL BE DINING OFF 5 YEARS FROM NOW? THAT WILL BE WRITTEN UP IN THE TRADE PRESS?)10. Will involve anybody—including mortal enemies—if it enhances the scope of the problem we can solve and increases the scope of the opportunity we can encompass.11. Know the Brand Story cold; live the Brand Story. (If not, leave.)
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Great Salespeople …
12. Think “Turnkey.” (It’s always your problem!)
13. Act as “orchestra conductor”: You are responsible for making the whole-damn-network respond. (PERIOD.)
14. Help the customer get to know the vendor’s organization & build up their Rolodex.15. Walk away from bad business. (Even if it gets you fired.)
16. Understand the idea of a “good loss.” (A bold effort that’s sometimes better than a lousy win.)17. Think those who regularly say “It’s all a price issue” suffer from rampant immaturity & shrunken imagination.18. Will not give away the store to get a foot in the door. 19. Are wary & respectful of upstarts—the real enemy.20. Seek several “cool customers”—who’ll drag you into Tomorrow land.
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Great Salespeople …
21. Use the word “partnership” obsessively, even though it is way overused. (“Partnership” includes folks at all levels throughout the supply chain.)22. Send thank you notes by the truckload. (NOT E-NOTES.) (Most are for “little things.”) (50% of those notes are sent to those in our company!) Remember birthdays. Use the word “we.” 23. When you look across the table at the customer, think religiously to yourself: “HOW CAN I MAKE THIS DUDE RICH & FAMOUS & GET HIM-HER PROMOTED?” 24. Great salespeople can affirmatively respond to the query in an HP banner ad: HAVE YOU CHANGED CIVILIZATION TODAY?25. Keep your bloody PowerPoint slides simple!
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“The deepest human
need is the need to be
appreciated.”William James
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“The two most powerful things
in existence: a kind word and a thoughtful gesture.”
Ken Langone, CEO, Invemed Associates [from Ronna Lichtenberg, It’s Not Business, It’s Personal]
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“Thank you”
17 Men: 84 Women: 19
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Great Salespeople …
21. Use the word “partnership” obsessively, even though it is way overused. (“Partnership” includes folks at all levels throughout the supply chain.)22. Send thank you notes by the truckload. (NOT E-NOTES.) (Most are for “little things.”) (50% of those notes are sent to those in our company!) Remember birthdays. Use the word “we.” 23. When you look across the table at the customer, think religiously to yourself: “HOW CAN I MAKE THIS DUDE RICH & FAMOUS & GET HIM-HER PROMOTED?” 24. Great salespeople can affirmatively respond to the query in an HP banner ad: HAVE YOU CHANGED CIVILIZATION TODAY?25. Keep your bloody PowerPoint slides simple!
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Politics.Sales.
Thank you.
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The “Soul” of “Experiences”:
Design Rules!
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Design’s place in the universe.
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All Equal Except …
“At Sony we assume that all products of our competitors have basically the same technology, price,
performance and features. Design is the only thing that
differentiates one product from another in the
marketplace.”Norio Ohga
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“Design is treated like a religion at
BMW.”Fortune
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“We don’t have a good language to talk about this kind of thing. In most people’s
vocabularies, design means veneer. … But to me, nothing could be further from the
meaning of design. Design is the fundamental soul
of a man-made creation.”
Steve Jobs
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Bottom Line.
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Design “is” … WHAT & WHY I LOVE.
LOVE.
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All Time No.1 (TP)
Ziplocs
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Westin’s …
Heavenly Bed
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Design “is” … WHY I
GET MAD. MAD.
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Hotel shampoo bottles on which I can’t read “Shampoo.”
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Design is never neutral.
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Hypothesis: DESIGN is the principal difference between love and
hate!
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Message (?????): Men
cannot design
for women’s needs.
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“Perhaps the macho look can be interesting … if you
want to fight dinosaurs. But now to survive you need intelligence,
not power and aggression. Modern intelligence means
intuition—it’s female.”
Source: Philippe Starck, Harvard Design Magazine (Summer 1998)
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She is your
customer.
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She … heads TRAINING. She … is the MEETING PLANNER.
She … is the PURCHASING
OFFICER. She is the CMO. (She
…
is the … CEO.) She … is 50% of your ultimate enduser base. (She … is not thee … boys!)
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?????????
Home Furnishings … 94%Vacations … 92% (Adventure Travel … 70%/ $55B travel
equipment)
Houses … 91%D.I.Y. (“home projects”) … 80%
Consumer Electronics … 51% Cars … 60% (90%)
All consumer purchases … 83% Bank Account … 89%
Health Care … 80%
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FemaleThink/ Popcorn
“Men and women don’t think the same way, don’t communicate the same
way, don’t buy for the same reasons.”
“He simply wants the transaction to take place. She’s interested in
creating a relationship. Every place women go, they make
connections.”
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Read This: Barbara & Allan Pease’s
Why Men Don’t Listen & Women Can’t Read Maps
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“It is obvious to a woman when another woman is upset, while a man generally has to physically witness
tears or a temper tantrum or be slapped in the face before he even has a clue that anything is going on. Like most female mammals, women are equipped with far more finely tuned
sensory skills than men.” Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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“Resting” State: 30%, 90%: “A woman knows her children’s
friends, hopes, dreams, romances, secret fears, what they are
thinking, how they are feeling. Men are vaguely aware of some short people also living in the house.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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“As a hunter, a man needed vision that would allow him to zero in on targets in the distance … whereas a woman needed eyes
to allow a wide arc of vision so that she could monitor any predators sneaking up on the nest. This is why modern men can find their way effortlessly to a distant pub,
but can never find things in fridges, cupboards or drawers.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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“Female hearing advantage contributes significantly to what is
called ‘women’s intuition’ and is one of the reasons why a woman can read between the lines of what people say. Men, however, shouldn’t despair.
They are excellent at imitating animal sounds.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps: Women love to
talk. Men talk silently to themselves. Women think aloud. Women talk, men
feel nagged. Women multitask. Women are indirect. Men are direct. Women talk
emotively, men are literal. Men listen like statues. Boys like things, girls like
people. Boys compete, girls cooperate. Men hate to be wrong. Men hide
their emotions.
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“Women speak and hear a language of connection and intimacy, and men
speak and hear a language of status and independence. Men communicate to obtain information, establish their
status, and show independence. Women communicate to create
relationships, encourage interaction, and exchange feelings.”
Judy Rosener, America’s Competitive Secret
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“When a woman is upset, she talks emotionally to her friends; but an upset man rebuilds a motor or
fixes a leaking tap.”Barbara & Allan Pease, Why Men Don’t Listen &
Women Can’t Read Maps
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Editorial/Men: Tables, rankings.*
Editorial/Women: Narratives that cohere.*
TP/Furniture: “Tech Specs” vs. “Soul.” **
*Redwood (UK)**High Point furniture mart (04.2002)
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Men & Women on Thelma & Louise
MEN: Like Sundance Kid. Women who get angry, swear, go to bars,
leave their mate. WOMEN: Women controlled by the men in their lives, who would rather be
dead than oppressed.
Source: Judy Rosener, America’s Competitive Secret
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“The Hollywood scripts that men write tend to be direct and
linear, while women’s compositions have many
conflicts, many climaxes, and many endings.”
Helen Fisher, The First Sex: The Natural Talents of Women and How They Are Changing the World
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How Many Gigs You Got, Man?
“Hard to believe … Different criteria”
“Every research study we’ve done indicates that women really care about the relationship with their
vendor.”
Robin Sternbergh/ IBM
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Read This Book …
EVEolution: The Eight Truths of Marketing to Women
Faith Popcorn & Lys Marigold
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EVEolution: Truth No. 1
Connecting Your Female Consumers to Each
Other Connects Them to Your Brand
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“The ‘Connection Proclivity’ in women starts early. When asked,
‘How was school today?’ a girl usually tells her mother every
detail of what happened, while a boy might grunt, ‘Fine.’ ”
EVEolution
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What If …
“What if ExxonMobil or Shell dipped into their credit card database to help commuting women
interview and make a choice of car pool partners?”
“What if American Express made a concerted effort to connect up female empty-nesters
through on-line and off-line programs, geared to help women re-enter the workforce with today’s
skills?”
EVEolution
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The New New Jiffy Lube
“In the male mold, Jiffy Lube was going all out to deliver quick, efficient service. But, in the
female mold, women were being turned off by the ‘let’s get it fixed fast, no conversation
required’ experience.”
New JL: “Control over her environment. Comfort in the service setting. Trust that her car
is being serviced properly. Respect for her intelligence and ability.”
EVEolution
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Extraction & Goods: Male dominance
Services & Experiences: Female
dominance
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The Talent Imperativ
e.
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Brand = Talent.*
*Duh.
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Model 25/8/53
Sports Franchise GM
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“The leaders of Great Groups love talent and know where to find it. They revel in
the talent of others.”Warren Bennis & Patricia Ward Biederman,
Organizing Genius
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From “1, 2 or you’re out” [JW] to …
“Best Talent in each industry segment to build
best proprietary intangibles” [EM]
Source: Ed Michaels, War for Talent
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“We believe companies can increase their market cap 50 percent in 3 years. Steve
Macadam at Georgia-Pacific changed 20 of his 40 box plant managers to put
more talented, higher paid managers in charge. He increased profitability from $25 million to $80 million
in 2 years.”
Ed Michaels, War for Talent
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Message: Some people are better than other
people. Some people are a helluva lot better than other
people.
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“Top performing companies are two to four times more likely
than the rest to pay what it takes to prevent losing
top performers.”
Ed Michaels, War for Talent (05.17.00)
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“AS LEADERS, WOMEN RULE: New Studies find that female managers
outshine their male counterparts in almost
every measure”Title, Special Report, Business Week, 11.20.00
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Women’s Strengths Match New Economy Imperatives: Link [rather than rank] workers;
favor interactive-collaborative leadership style [empowerment beats top-down decision making]; sustain fruitful collaborations; comfortable with sharing information; see redistribution of power
as victory, not surrender; favor multi-dimensional feedback; value technical & interpersonal skills, individual & group contributions equally; readily accept ambiguity; honor intuition as well as pure
“rationality”; inherently flexible; appreciate cultural diversity.
Source: Judy B. Rosener, America’s Competitive Secret
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It all adds up to …
THE
BRAND.
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The Heart of Branding …
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“WHO ARE WE?”
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“Most companies tend to equate branding with the company’s marketing. Design a new marketing
campaign and, voilà, you’re on course. They are wrong. The task is much bigger. It is about fulfilling our potential … not about a new logo, no matter how
clever. WHAT IS MY MISSION IN LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW DO
I MAKE SURE THAT WHAT I HAVE TO OFFER THE WORLD IS ACTUALLY UNIQUE? The brand has to give of itself, the company has to give of itself, the management has to give of itself. To
put it bluntly, it is a matter of whether – or not – you want to be … UNIQUE … NOW.”
Jesper Kunde, A Unique Moment
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“WHAT’S OUR
STORY?”
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“We are in the twilight of a society based on data. As information and intelligence become the domain of computers, society will place more value on the one human ability that cannot be automated: emotion.
Imagination, myth, ritual - the language of emotion - will affect everything from our purchasing decisions
to how we work with others. Companies will thrive on the basis of their stories and myths. Companies will need to understand
that their products are less important than their stories.”
Rolf Jensen, Copenhagen Institute for Future Studies
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“Apple opposes, IBM solves, Nike exhorts,
Virgin enlightens, Sony dreams, Benetton
protests. … Brands are not nouns but verbs.”
Source: Jean-Marie Dru, Disruption
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“EXACTLY HOW ARE WE
DRAMATICALLY DIFFERENT?”
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1st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/“One Great Thing.” Source #1: Personal Passion)
2ND Law: REAL REASON TO BELIEVE (Stand & Deliver!)
3RD Law: DRAMATIC DIFFERENCE (Execs Don’t Get It:
See the next slide.)
Source: Jump Start Your Business Brain, Doug Hall
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“You do not merely want to be the best of the best. You
want to be considered the only ones who do
what you do.”
Jerry Garcia
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“WHY DOES IT MATTER TO
THE CLIENT?”
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“EXACTLY HOW DO I PASSIONATELY CONVEY THAT
DRAMATIC DIFFERENCE TO THE
CLIENT ?”
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Branding: “Is-Is Not” Table
TNT is not: TNT is: TNT is not:
Juvenile Contemporary Old-fashioned
Mindless Meaningful Elitist
Predictable Suspenseful Dull
Frivolous Exciting Slow
Superficial Powerful Self-important
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Leading in screwed-
up times.
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The Leadership50*
(*Whoops: The Leadership17)
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1. Leadership Is a …
Mutual Discovery Process.
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“I don’t know.”
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2. The Leader Is Rarely/Never the Best Performer.
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33 Division Titles. 26 League Pennants. 14
World Series: Earl Weaver—0. Tom Kelly—0. Jim Leyland—0.
Walter Alston—1AB. Tony LaRussa—132 games, 6 seasons. Tommy Lasorda—P, 26 games. Sparky
Anderson—1 season.
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3. Leaders … LOVE the
MESS!
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“I’m not comfortable unless
I’m uncomfortable.”—Jay Chiat
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4. Leaders
DO!
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The Kotler Doctrine:
1965-1980: R.A.F.(Ready.Aim.Fire.)
1980-1995: R.F.A.(Ready.Fire!Aim.)
1995-????: F.F.F.(Fire!Fire!Fire!)
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“If it works, it’s
obsolete.”
—Marshall McLuhan
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5. Leaders Make [Lotsa] Mistakes
– and MAKE NO BONES ABOUT IT!
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“Fail faster. Succeed sooner.”
David Kelley/IDEO
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6. Leaders Pursue
DRAMATIC DIFFERENCE!
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1st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/“One Great Thing.”
Source #1: Personal Passion)
2ND Law: REAL REASON TO BELIEVE (Stand & Deliver!)
3RD Law: DRAMATIC DIFFERENCE (Execs Don’t Get It: “intent to purchase” – 100%; “unique” – 0% to
5%)
Source: Jump Start Your Business Brain, Doug Hall
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7. Leaders Have to
Deliver, So They Worry About “Throwing the
Baby Out with the Bathwater.”
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“Damned If You Do, Damned If You Don’t, Just Plain
Damned.”Subtitle in the chapter, “Own Up to the Great Paradox: Success
Is the Product of Deep Grooves/ Deep Grooves Destroy Adaptivity,” Liberation Management (1992)
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“Organize” for … performance & customer satisfaction.
“Disorganize” for … renewal & innovation.
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8. Leaders …
HONOR THE USURPERS.
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Saviors-in-Waiting
Disgruntled CustomersUpstart CompetitorsRogue EmployeesFringe Suppliers
Wayne Burkan, Wide Angle Vision
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Deviants, Inc. “Deviance tells the story of every mass
market ever created. What starts out weird and dangerous
becomes America’s next big corporate payday. So are you looking for the next mass market idea? It’s out there … way
out there.”
Source: Ryan Matthews & Watts Wacker, Fast Company (03.02)
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9. Leaders
FOCUS!
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“To Don’t ” List
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10. Leaders Know: ENTHUSIASM
BEGETS ENTHUSIASM!
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G.H.: “Create a ‘cause,’ not a ‘business.’ ”
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“I never, ever thought of myself
as a businessman. I was interested in creating
things I would be proud of.” —Richard Branson
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11. Leaders Focus on the
SOFT STUFF!
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“Soft” Is “Hard”
- ISOE
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Message: Leadership is all about love! [Passion, Enthusiasms, Appetite for Life,
Engagement, Commitment, Great Causes & Determination to Make a
Damn Difference, Shared Adventures, Bizarre Failures, Growth, Insatiable
Appetite for Change.] [Otherwise, why bother? Just read Dilbert. TP’s final words: CYNICISM SUCKS.]
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12. Leaders Know It’s
ALL SALES ALL THE TIME.
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TP: If you don’t LOVE SALES … find
another life. (Don’t pretend
you’re a “leader.”) (See TP’s The Project50.)
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13. Leaders
LOVE “POLITICS.”
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TP: If you don’t LOVE POLITICS … find
another life. (Don’t pretend
you’re a “leader.”)
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14. But … Leaders Also
Break a Lot of China
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If you’re not pissing people off, you’re not making
a difference!
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15. Leadership Is a …
Performance.
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“It is necessary for the President to be the
nation’s No. 1 actor.”
FDR
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16. Leaders …
Enjoy Leading.
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“Warren, I know you want to ‘be’
president. But do you want to ‘do’
president?”
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17. Leaders Know
WHEN TO LEAVE!
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We Are (ALL) in the
“Experiences Industry.”Tom Peters/infoComm2002/
Las Vegas/06.11.2002
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Oh yeah …
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Thank
You!