The marketing age had a great run, from the birth of mass media up until the point it went social. Then customers began to respond online– in Amazon reviews, Yelp scores, and Facebook posts– and the consumer experience age was born. Today snarky comments are the least of online marketers’ concerns, as we enter exactly what the Altimeter Team calls “the collective era.”
“As consumers work together (or in some instances even conspire) to work around further consumption by sharing their goods and services, brand names are fearful they may have no place in the future,” composes Francine Hardaway in Fast Company. In its heading, the post asks, “Will the Sharing Economy Destroy Brands?”
At a time when consumers are purchasing less and sharing more, the answer is a definite “it depends.”
According to Jeremiah Owyang (@ jowyang), a partner at the Altimeter Group, success in the collaborative economy hinges on whether companies turn together with a value chain that is being permanently redefined with the consumer in the middle. All companies– not just those in the travel, media, and hospitality industries– must beginning checking out the B2B and B2C sharing opportunities that new technologies enable.
Owyang provides various methods for welcoming the collective economy, consisting of:
1. Change your organisation into a service.
Customers no longer wish to purchase one item one time; they desire to utilize your service when it matches them. Think Zipcar. An additional organisation successfully discovering this model is BMW with its on-demand service, which according to Owyang intends “to ‘sell’ one single automobile dozens of times in a day, creating new value for the client and new incomes for BMW.” As he notes on his blog at web-strategist. com, “For some luxury brands and high-consideration goods, providing subscription models gives access to a more youthful or arising market base that can’t manage your products at complete value. This develops a brand-new relationship with this emerging market, loyalty, and is an entry point as they expand in their consumption requires.”
2. Motivate a marketplace.
When Patagonia saw its customers flooding eBay with lightly made use of windbreakers and fleece vests, the business leaned into the trend, partnering with auction website eBay to develop a Patagonia Common Threads stations where consumers can easily purchase and sell gently made use of clothes and gear. “At a macro point of view,” Owyang composes, “decreasing excess products being sold that are utilized effectively isn’t really simply wise for planet Earth, but also the indication of an accountable customer and corporation.”
3. Provide a platform.
Etsy and eBay have actually done this, seemingly, considering that the beginning– and they have actually done it well. There is value in motivating clients to get in touch with one an additional. “Many brands have a long way to go to interrupt their existing models prior to clients do it for them,” writes Hardaway (@ hardaway) in Fast Company. “They must establish a brand-new value chain where they put proponents front and center, and allow marketing people to fade into the background.”
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