Digital transformation

53 flashcards · Other · by Nemes Zsombi

1. Changes in strategic assumption from the analog to the digital age

2. Customer Network Model

   In the customer network model, current and potential customers have access to a wide variety of digital platforms that allow them to interact, publish, broadcast, and innovate – and thereby shape brands, reputations, and markets.

3. The Marketing Funnel

4. Additional level of the marketing funnel

   advocacy

5. Five Customer Network Behaviors

6. Access Strategy

   Mobil commerce Omni-channel experiences Working in the cloud On-demand services -The key to an access strategy are simplicity, convenience, ubiquity, and flexibility.

7. Engage Staretgy

   Product demos Storytelling Utility Brands as publishers -They key to an engage strategy is to think like a media company, focused every day on earning the attention of your audience.

8. Customize Strategy

   Recommendation engines Personalized interfaces Personalized products and services Personalized messages and content -The keys to a customize strategy are identifying the areas where your customers’ needs, and behaviors diverge and finding the right tools to either personalize on their own experiences.

9. Connect Strategy

   Social listening Social customer service Joining the conversation Asking for ideas and content Hosting a community -The keys to a connect strategy are focusing on the social media your customers are engaging in conversations to solve problems, learn about your market, and become closer to your customers.

10. Collaborate Strategy

    Passive contribution Active Contribution Crowdfunding Open competitions Collaborative platforms The keys to a collaborate strategy are undertaking the motivations of your contributors, giving everyone a stake (so no one feels exploited), allowing participants to contribute at their proper level of expertise, and offering freedom for contributors to bring their own ideas while providing enough guidance to shape an effective final outcome.

11. Customer Network Strategy

    It is designed to help you develop new strategic ideas for engaging and creating value with networked customers. Objective setting Customer selection and focusing Strategy selection Concept generation Define impact

12. Step 1: Objective setting

    The first step is to define the objectives you are hoping to achieve for your business with any new customer strategy you develop. -Direct objective -Higher-order Objective

13. Step 2: Customer selection and focusing

    -select a customer segment that is the most relevant to the stated objective

14. Step 3: Strategy selection

    -You should begin by looking back at the five core customer network behaviours and the broad strategies that derive from them -You may decide that more than one of the five broad strategies make sense for your goals, but the author suggests not to select all five, as the goal here is to set a focused direction before concept generation begins.

15. Step 4: Concept generation

    A concept is a specific, concrete idea for a product, service, communication, experience, or interaction you design for customers.

16. Step 5: Defining Impact

    The point here is to articulate a measurable benefit to your company and clarify how you think the strategic concepts you have developed will achieve this outcome.

17. Customer Networks (Tripodi's perspective)

    End customers Business customers Your own employees

18. Enabling the Network Inside

    A firm’s internal customer network – its own employees – is critical to the digital transformation of a business. -engage -customize -connect -collaborate

19. Bridging Silos

    As technology become more central to all customer interactions, rivalries can arise between the marketing and IT departments.

20. Rethinking Competition

21. Rise of the Platforms

    -Platforms represent a fundamental shift in how businesses relate to each other from linear to more networked business models. -light in assets, large revenues -build ecosystems by getting customers to interact with each other -Value of a platform grows as more people use it

22. Platform

    A platform is a business that creates value by facilitating direct interactions between two or more distinct type of customers.

23. Distinct type of customer

    To be a platform, the business model must serve two or more distinct sides, or types, of customers. (Airbnb - Landlord customer and renter customer)  The need for distinct sides explains why a pure communication network (e.g., Skype, telephone) is not a platform: although it connects customers to each other, the customers are all the same type.

24. Direct Interaction

    Platforms must enable these two or more sides to interact directly – that is, with a degree of independence. In a platform such as Airbnb or eBay, the two parties are free to create their own profiles, set and negotiate pricing, and decide how they want to present their services or products (this is critical distinction between a platform and a reseller or sales channel).

25. 4 types of platforms

    -Exchanges (marketplaces) -Transactions system -Advertising (supported media) -Hardware/ software standards

26. Direct (same-side) Network effects

    effects occur when the increasing number of customers or users of a product drives an increase in value or utility for that same type of user. (occur in platforms like Facebook)

27. Indirect (cross-side) Network effect

    occur when an increase in the number and quality of customers on one side of the platform drives increasing value for customers on the other side of the platform

28. digital technologies are driving 4 key elements of platforms:

    Frictionless acquisition Scalable growth On-demand access and speed Trust

29. Areas in competing with other platforms in the same industry

    Network-added value Platform-added value Open standards Interaction tools Trust enablers

30. Tool: The platform Business Model map

    an analytic and visualization tool designed to identify all the critical parties in a platform and analyze where value creation and exchange take place among the different customers and with the platform business itself.

31. Co-opetition

    Real competition is far from a zero-sum contest; In many cases, effective strategy calls for even direct competitors to find ways to work together in certain areas.

32. Asymmetric competitors

    Asymmetric competitors offer similar value propositions to customers, but their business models are not the same.

33. Disintermediation

    the removal of an intermediary or middleman from a series of business transactions.

34. Intermediation

    when new business manages to insert itself as an intermediary between the customer and a company that used to sell directly to them (Facebook as an intermediate for news readers and news publications).

35. Tool: The Competitive Value Train

    The Competitive Value Train is a tool designed to analyze competition and leverage between a firm and its business partners, direct rivals, and asymmetric competitors. -Distributor -Producer -Originator

36. Channel conflict

    situation where a business is balancing both working with a key sales channel and going around it.

37. Changes in Data

38. 5 Principles for developing a data strategy

    Gather diverse data types (3 types) Use data as a predictive layer in decision making Apply data to new product innovation Watch what customers do, not what they say Combine data across silos

39. 3 Types of data

    Business process data Product or service data Customer data

40. The impact of big data

    The size of data sets is increasing rapidly. rapid growth of the size of unstructured data and new capabilities for making sense of it cloud computing makes big data increasingly accessible

41. Unstructured data

    information that is recorded but doesn’t fit easily into neat forms.

42. Lead user

    Lead users are your most active or involved customers.

43. Turning Customer data into Business Value: Four templates

    Insights: revealing the invisible 2. Targeting: narrowing the field 3. Personalization: tailoring to fit 4. Context: providing a reference frame

44. Tool: The Data Value Generator

    Step 1: Area of Impact and key Performance Indicators Step 2: Value Template Selection Step 3: Concept generation Step 4: Data Audit Step 5: Execution Plan

45. Organizational Challenges of Data

    Embedding Data Skill Sets  Bridging Silos  Sharing Data With Partners  Cybersecurity, privacy, and Consumer Attitudes

46. Changes in Innovation

47. 2 Types of experiment

    Convergent experiments: best suited for learning that eliminates options and converges on a specific answer to a clearly defined question. Divergent experiments: best suited for learning that explores options, generates insights, asks multiple questions at the same time, and, when done right, generates new questions to explore in the next iterative stage.

48. Tool: The Divergent Experimental Method

    1. Preparation 1.1 Define the problem 1.2 Set limits 1.3 Pick your people 2. Iteration 2.1 Observe 2.2 Generate more than one solution 2.3 Build an MVP 2.4 Field test 2.5 Decide 3. Action 3.1 Scale up 3.2 Share learning

49. Four Paths to Scaling Up an Innovation

50. Changes in Value

51. Three routes Out of a Shrinking Market Position

52. Five Concepts of Market Value

53. Business disruption

    happens when an existing industry faces a challenger that offers far greater value to the customer in a way that existing firms cannot compete with directly.