Breakthrough Branding: Doing Business in the Basin Jim Bottomley June 6, 2013 Jim Bottomley@breken.com 1
Today’s Agenda Future Trends impacting your business Improving Future Success: 1. Connecting vision to direction - how to rally change? 2. Breakthrough branding /marketing – Better Benefit Strategies 3. Process Improvement – improving efficiencies/work design 4. Workplace culture and clusters – new levels of collaboration JBottomley@Breken.com 2
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The ? ? Future
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Change results in both opportunities and threats JBottomley@Breken.com 4
The key to managing change is determining how to react to it... Actions Actions
to embrace opportunities to minimize or avoid threats
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Trend Areas 1. Technology 2. Economic 3. Social/Cultural 4. Demographic 5. Political/Legal
Technology is the lead-edge of change‌ JBottomley@Breken.com 6
Wealth = Technology X Resources
New Technology comes from Collaboration -Maximum potential now for innovation‌ Jim Bottomley@breken.com 7
Major World Economic Eras 1. Hunter Gatherers 2. Agricultural Age (90% to 2%) 3. Industrial Age
% of Jobs 1900 1951 1986 1999 2005 2008 2012 in Production 69% 53% 30% 15% 13% 11% 7%
4. Information Age A whole new set of opportunities and challenges... JBottomley@Breken.com 8
More and More Options In 1980, there were 100 car models mostly from the Big Three Today, consumers can pick from 1,300 models from more than a dozen world-class co’s FUTURE: Specialized vehicles and heavy equipment customized for the job Greater intelligence and collaboration throughout the supply chain JBottomley@Breken.com 9
From Mass Markets to Niche Markets to a Target Market of One JBottomley@Breken.com 10
We are in an era of maximum change! We are entering the 5th Economic Era
Trend Convergence: The Age of Innovation JBottomley@Breken.com 11
The 5th Economy Is Coming… The Age of Innovation A combination of… ¤ DNA ¤ Computerization ¤ Robotics & Process Automation ¤ Nanotechnology
Driven by Customization & New levels of Customer Collaboration Big Opportunity 4 Advanced Manufacturing! Jim Bottomley@breken.com 12
Industry Transformation World markets - finding your niche(s) New Methodologies: -Internet -Radio Frequency ID -Remote tracking and interactive care -Quality & Green Standards Reducing costs – collaborative automation and continuous process improvement key Big wins in client satisfaction possible –interactive transfer of information – knowledge/measurement has value Knowledge comes thru collaboration JBottomley@Breken.com 13
Cultivating your Fives Find out your 5’s and engage They can become your market intelligence, salesforce, researchers and promoters Remember it’s about meeting needs… Key Question: Why should someone engage? (quality, reliability, convenience, quick turnaround, great results, customization, excellent relationship) JBottomley@Breken.com 14
The Information Beast Has Escaped the Zoo Microsoft Data predicts the world’s information data base will double every 7 days by 2020 24/7 communication access Info attacks us everywhere and anywhere +4,000 ad messages / day We’re Good at Tuning Stuff Out… All communications must be clearer and focus on stakeholder needs… JBottomley@Breken.com 15
The Ultimate Regional Alliance: Forming Regional Clusters Centres of Excellence are mostly associated with research only Clusters focus on area of leadedge need, with collaborative public and private sector partners conducting research, commercialization and serving to promote regional economic growth JBottomley@Breken.com 16
Many Productivity Network Cluster Opportunities in West Energy, Mining & Forestry -new ways & new products (alternatives) Biotech – agriculture & health Information Communications Technology Specialized manufacturing Nanotechnology Research Information Communications Technology Specialized manufacturing Western Transport Corridors (logistics) New Hi-tech App’s (value-added niches) JBottomley@Breken.com 17
COLUMBIA BASIN You Have World Class Clusters: Energy/Power - SOLAR - Supports/supply Metals and metallurgical – slag can score – also, new materials (think nano) Skiing Lifestyle – Para-alpine Training Centre – what about world best in para-alpine design? Specialty Construction – Log / Dream Mt Homes Waste Mgt & Environment – see above Software development – 3D to Geomatics Cogeneration – Biomass / Agriculture Carbon Offsets? – Forestry to Diesel trucks JBottomley@Breken.com 18
Columbia Basin: YOU ARE‌
WORLD CLASS ! JBottomley@Breken.com 19
What business are you in?
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What business are you in? What purpose do you have?
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Work = Meeting Needs
Success = Need Satisfaction
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What business are you in? What results do you deliver? JBottomley@Breken.com 23
Features Any characteristic of a product or service
Benefits The need(s) a feature meets Customers are attracted to need satisfaction – Benefits! Why choose one over another? BETTER BENEFITS! JBottomley@Breken.com 24
Better Benefits: Attract attention in the age of information overload – drive branding Our reason for buying anything Drive motivation & investment Define the value of each step in a process and drive cluster collaboration
Better Benefit delivery is our collective and individual reason for being! JBottomley@Breken.com 25
Evaluating an Opportunity Is it on trend? - a need that is growing Need Satisfiers identified? - define stakeholder groups / need priorities / goals Better Benefits provided? - solutions delivered in a better way than other options … Not Strengths/Weakness/Opp’s & Threats… Focus on needs first! JBottomley@Breken.com 26
Higher Prices – Higher Profits Better benefits support higher prices and better margins Commodities lack better benefits JBottomley@Breken.com 27
Effective Pricing Strategy Are you establishing price based on cost-plus formulas?
OR Are you establishing price based on what the market will bear? Start with the customer range of prices and look to compare where the product fits in on a better-benefit basis – often, margins can be improved JBottomley@Breken.com 28
Strategy for $$$$$ Moving from lowest price to providing added-value ? ¤ Requires focused better benefit strategies ¤ Involves providing specific high-priority need satisfiers better than competition… and proving it over time… your sales “story” should reflect this JBottomley@Breken.com 29
Let’s Plan a Cruise What need should we focus on? What would our dining room look like?
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Need-Driven Development Knowing client/stakeholder needs before solutions are finalized are the keys to being on-time, underbudget and successful Experience-based design: Spend the time to understand needs in detail BEFORE development My 80/20 rule in technical development‌ tends to work JBottomley@Breken.com 31
Better Benefits: Reflect a better way of satisfying a customer need priority Are the keys to establishing branding‌ companies, communities and clusters‌ Should reflect the overall organization, but may vary by type of service or client Are the route to innovation and effective collaboration JBottomley@Breken.com 32
Most Important Social/Cultural Trend
The Rise of Individual Power Through Knowledge JBottomley@Breken.com 33
Result More demanding, knowledgeable users / customers / constituents Focused need satisfaction strategies are the key to success in the new economy Suppliers increasingly are “partnering” with buyers/client organizations to achieve need satisfaction – integrating supply chains and more robust services Effective communication and leadership strategies are changing JBottomley@Breken.com 34
Key to Sales Success Trust?? To a customer, a good sales transaction is based on their perception of whether: The salesperson’s #1 priority is to put money in his/her own pocket or truly to meet customer needs? JBottomley@Breken.com 35
The New-Economy Sales Process Prepare questions to qualify need priorities Partner with client to review need satisfiers focusing on action plan to achieve goals Establish ongoing communication and future interventions, certainly important to know if your services delivered – did you meet client needs? JBottomley@Breken.com 36
Keys to Sales Success Ability to combine a clear better promise reflecting individual client need priorities WITH… A “story” to prove the promise can be delivered - Solvera local knowledge makes for a better client relationship and better need satisfaction – what story illustrates this? JBottomley@Breken.com 37
The Millennium Generation Saw parents’ sacrifices - lifestyle work balance sought Raised with adulation & goodwill – expect thanks and involvement Employers must coach not boss Have bright employment prospects - they’ll walk Extraordinary Tech Skills JBottomley@Breken.com 38
Traditional Media Vs the Online World Younger generations following social media, not traditional Distrust of advertisers…but interested in reco’s of friends and associates Your ‘fives’ can talk you up Engaging social media… it’s a two-way street JBottomley@Breken.com 39
Leadership is Changing
Old Management is Control & setting rules COP - Monitor Coercion; Top Down, Leader Directed Total Authority Focus on the present
New Leadership is Motivational & guiding values COACH -Inspire Respect, Selfmanagement, Teams Share Authority Focus on the future
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Motivation = Clear and Shared Goals x Tracking & Measuring & Communicating Success x Rewards for Achievement
(Now all linked through social media) JBottomley@Breken.com 41
Leadership Common goals are key for team success (managers change from cop to coach; need to align goals of the organization with those of each department with those of the individual) Change Planning involves identifying both the positives and negatives Involve people in the process Ego-less Management‌supporting the stressed and stressing the positive‌ JBottomley@Breken.com 42
Leadership and Values Remember that organizational values drive behaviours Values reflect the culture and are transferred from the top (walking the talk) What are your values in relation to the stakeholders you interact with? JBottomley@Breken.com 43
Developing Vision & Markets Rather than focus on the “how’s,” better to define future growing needs and better benefit goals Marketing Identification better done by first brainstorming possible needs served – then define segments as “who would most be attracted to that need category?” Better benefits guide everything! Demographic and psychographic considerations can then follow to further define the markets Jim Bottomley@breken.com 44
4th Dimension Planning Keys to Marketing Success
1) Trends Needs that are growing
2) Customer Target groups Need priorities and benefits sought
3) Competitive Identify other ways needs can be met Identify Your Better Benefit JBottomley@Breken.com 45
4th Dimension Planning 4) Internal Analysis Your vision & goals? Financial Results? Capabilities? Resources? Can you deliver the Better Benefit?
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Marketing and Sales Success Positioning Message (Better Benefit Message) Company/Product/ Service is the what/who you are that offers better benefit(s) JBottomley@Breken.com 47
Steps to Effective Planning Brainstorm all needs you could cater to… as long a list as possible since often innovative ideas come from combining needs or stacking on additional needs For each need listed, examine trends – which needs are growing – where will we focus? For each need priority listed, what would the various target groups be who care most about that need being satisfied? For each Target Group, what better benefit story is most relevant? Think about how to spread this story For your organization, what needs to change to be more effective? JBottomley@Breken.com 48
Let’s uncover your coolest Better Benefit Stories … serving your customers …
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Marketing Realities Very expensive to market direct to consumer Need to stimulate future purchases (loyalty programs/viral marketing) Strategy is to get key influencers to recommend provider In the age of information overload, simplicity and repetition is essential – branding is key JBottomley@Breken.com 50
Developing a Compelling Vision Key is to identify the end goals of collaboration, specifically the need satisfaction potential – what is the better benefit impact? Is there potential for greater collaboration – if working to meet the same needs? How does an investment in time & $ impact needs in a better way? JBottomley@Breken.com 51
Potential Alliances Join forces to better serve the same target customer Partner to better serve a common need category (example is the growth of packaged tourism experiences) Link to achieve a common goal –other community stakeholders may be able to help (Ex: recruitment) Social media gathers networks of like-minded people – serves as an individual mobilizer JBottomley@Breken.com 52
Optimism
It works
Brass band and fireworks
Maybe not a bad idea
This is taking time Results aren’t visible
Pessimism
Attitude to the Activity
The Anatomy of Innovation
Enthusiasm
Is it worth it?
The Dark Night of the Innovator
Skeptical
Start to see payoffs
Existing business is suffering
Weeks or Months
Up to Two Years
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Innovation & Success Customer Focused Creating Sustainable Competitive Advantages Continuous Improvement Dynamic Leadership Strong Partnerships Process Driven Creating Learning Organizations... JBottomley@Breken.com 54
Here’s to your Future Success! JBottomley@Breken.com 55