RETAIL TURNS 180º

You remember how we used to get ‘stuff’ back in the day? We’d head out in the car, drive to the supermarket or shopping centre, park the car, pick up a trolley or a basket, walk up and down every aisle in every department, find the stuff we wanted, queue at the checkout, pay, then take the stuff to the car, not forgetting to return the trolley and pay the parking fees before heading home. Doddle.

Today, of course, we chortle at the ridiculousness of the weekly shop, as we open our front doors to the Amazon delivery it predicted we would want at precisely this hour. So, two thousand years of mankind venturing out in the quest for stuff has come to an abrupt end.

Except, as we now know, shopping was never just about accessing stuff. This may be blindingly obvious to those of you reading this, but believe me, there are plenty of retailers out there who are still obsessed with sales per square foot and in lubricating real world shopping to replicate the efficiency of the online experience.

At the other end of the spectrum we have the retailers who believe that everything must be ‘experiential’ and that ultimately customers are children that demand constant entertainment. Well, maybe we are, but the thought of the high street slowly morphing into one giant theme park makes my back teeth itch.

In the 90s and 2000s the term ‘retail theatre’ was similarly embraced and then misinterpreted to become little more than layers of cut-out cardboard stuck to a gondola end. Please god, let’s not go there again.

The problem with the term ‘experiential’ is that everything is an experience. Queuing for forty five minutes at the Post Office is an experience, and a memorable one to boot, but it’s probably not something to be held up as an example of best practice. I prefer to use the term ‘brand playground’ and this, let’s say, more immersive, route is perfect for a Samsung, Adidas or a Nike that wants to show off how clever and wealthy it is. But surely, shoppers want engaging spaces that they can relate to, that make them feel a part of a community, that show them some respect…and that may well be a convenience store or a local hair salon. Genuine hospitality you might call it, and it should certainly be at the very top of every retailer’s list of priorities.

Robots may be whirring away frantically in the back office, working on logistics, accounts and stock control but it will be a fair while before we actually want to connect emotionally with a machine. For some reason it seems that COOs are happier to talk of investing in an army of human replacements than in training real humans already armed with natural charisma, charm and social appeal.

Today’s retail landscape has an enormous, all encompassing, ever-expanding web of data laid across it like a giant digital blanket. Stores have been turned from isolated boxes of goodies into brands that extend from our mobiles into the store and beyond. Everyone with a smartphone in their pocket understands this and the dialogue between customer and brand has been fully embraced and has become wholly expected these days. Whether we like it or not, as we head out every day we are wading through an invisible blanket of data that ripples and twists in response to each of our turns and choices.

Retail brands are desperate to get involved in our leisure lives and this is already bubbling up from beneath the surface with Samsung’s fitness programs, Lululemon’s Sweatlife Festivals and Nike’s running clubs. The next genesis of this, however, is likely to be game changing. When brands work together to manage and curate our lives, things are set to get truly exciting. The technology is already in place and it’s only a matter of time before a Westfield or a Visa or an independent start up uses algorithms creatively, stitching together concepts and brands and firing off amazing, bespoke offers to each of us that weave together products with community events and leisure activities that include our friends and our families.

Poor, inundated, bombarded customers will need filtering systems that help manage this but don’t fret, that’s happening too. As machine learning gets smarter Alexa, Siri, Echo, Cortana and the AI gang will begin to negotiate on our behalf. Imagine, just like the stock exchange, billions of incremental negotiations will ping-pong away as we sleep to bring us more exciting, personally tailored, better value deals than ever before when we click on our phones first thing in the morning. In an instant, the retail contract will have been reversed. Brands that hold their exclusivity dear will be sorely tempted to cut a few dollars off the price to complete the deal for Fear Of Missing Out. That’s role reversal and, ultimately, real consumer power.

Join me in the Twittersphere @SaundersHoward and read more of my blogs here:  22and5.com/blog/

  Howard Saunders   Jun 20, 2017   big data, Future, Retail, shopping, smartphone, technology, Uncategorized   0 Comment   Read More

SKIP AD: Beyond the Death of Advertising

Advertising is dead. It’s game over I’m afraid and it’s all our fault. As soon as we’re empowered to switch it off, we do. It’s pretty much as simple as that. Our petulant Gen Z’ers are apparently the worst offenders as a recent study revealed that 69% of them block ads altogether as well as ‘skipping’ three seconds sooner than those in their thirties and forties. Don’t you think the very concept of being gently seduced by a glossy sixty second production, to buy a pair of jeans or a bottle of perfume, all seems rather quaint and nostalgic now? A throwback to the days when we awaited the ads between Cheers and The News. The heyday of advertising coincided with the heyday of TV and for obvious reasons. TV watching was a family sport and squeezed together on the Draylon sofa we would laugh, coo, sing-along or take the Michael out of every single image the bulky cathode ray tube delivered. The Guinness surfing horses, the Oxo Mum, the Hamlet cigar man, the Cadbury’s Smash tin aliens, the Levi’s launderette strip and the Lloyd’s Bank slo-mo horse were central to our evening’s entertainment. Yes, there were a lot of horses back then but we loved it. We were force fed a regular diet across three and a bit channels and we were happy.

Today an entire universe of entertainment has opened up for us and the freedom to block or skip advertising is part of the deal. Advertisers have a couple of seconds, max, to grab us before we skip on our way. The creative art of storytelling has been replaced by shouty and intrusive snippets. Building an emotional connection to a character or creating any sense of irony, subtlety, nuanced symbolism or artistic reference has been jettisoned for split second gags and slapstick visuals. Hands up all those who don’t hover above the countdown to exit the Youtube ads. Precisely.

Our attention spans are shrinking in direct response too, demanding faster and faster access to our personal choices, skipping past intro theme tunes and credits, surfing across content to get a gist, because a gist is enough now. As audiences shrink along with their attention spans, so too have the budgets. The slo-mo horses have been put out to pasture, replaced by dancing typography and hurried sound-bites. If we so much as click on, say, a new camera we know we’ll be incessantly drip fed Nikon ads for the next month in the vain hope we’ll succumb just for the irritation to cease.

Today’s ad execs hang out with a bad crowd, the freak show, click-bait salesmen who beckon us behind the marquee to witness ‘celebrity facelift disasters’ and ‘top ten red carpet fails’. Flashing boxes masquerading as ‘next’ buttons lead us down yet another dirty cul-de-sac to show us rude pictures. How on earth did it come to this?

Back at the West End ad agency the turtle-necked creatives are jittery and water cooler talk is of jumping ship and opening bars to test their skills in the real world. They know they missed the heyday by a generation or so, and it wrangles. They sense the sadness at the annual Webby awards, knowing their stiff grins and fleeting accolades are no match for the pride and status of their predecessors. They may as well be at a TUC conference. Don’t get me wrong. There’s some very clever stuff to be seen at the Webbys, it’s just that so very few of us could spare the ten seconds to watch.

Meanwhile, on the high street, retail CEOs lead posses that march the aisles in search of something that will turn their tankers around. A gaggle of merchandisers and marketing managers frantically scribble down the words of wisdom on product density like it’s the sermon on the mount. ‘Increase the size of the ticketing and re-merchandise that back wall.’ Everyone nods in agreement way too vigorously, but no one believes it will change a damn thing.

Are we to simply stand back and allow the high street to wither and die too, then return home and live the rest of our lives via Amazon and Deliveroo?

The answer is obvious. We must round up our army of frustrated ad creatives and let them loose in the centre of town where they can unleash their powers of persuasion in the stores that have forgotten how to engage us. The good news is that a new high street is emerging. ‘Stores’ as we know them are dying because they ‘store’ things and we have little interest anymore in wandering around neat and tidy warehouses. Brands, on the other hand, know they must keep us interested, entertained, educate and surprise us in order to stay on our radar and make us feel a part of something. Creatives need to focus on the exciting real world revolution that is happening out there. I call it the rise of the ‘brand playground’ and this is exactly where our bored ad execs should be playing today.

Join me in the Twittersphere @SaundersHoward and read more of my blogs here:  22and5.com/blog/

  Howard Saunders   Apr 22, 2017   advertising, Blog, clickbait, Future, Levi's, Retail, shopping   0 Comment   Read More

THE SELF-PHONE part 2: Bedside Manner

So now that we’ve established the smartphone is the greatest and most disruptive innovation since fire, the wheel, the computer and even sliced bread, we can begin to plot its true potential.

With our GODs (Great Overlords of Data) clutched to our breasts we are more empowered today than at any time in history. The question is what will we do with such immense power, or perhaps more importantly, what wonders will the power of data bring us that we haven’t even conceived of yet. Evolutionarily speaking we’ve only just been granted such privileged access to all human knowledge and, in turn, we have barely begun to upload our own data: our personal preferences, tastes and medical histories. This is where it gets really interesting. GOD’s thirst for ever more knowledge is unquenchable and you can be sure the size of his file on you will grow exponentially over the coming decade.

One of the consequences of this is surely the demise of your friendly GP. She may be in fine fettle, if a little stressed, so I’m sorry to report her job will become redundant long before your London cabbie hangs up his tweed cap and an autonomous vehicle whisks you off to work.

The driverless car has become the Kardashian of technology, grabbing all the headlines, full of promise as it flaunts its rotund posterior on California’s six lane highways. Terrified of missing out, every motor manufacture worth its salt is clamouring for a slice of the sexy autonomous limelight, whilst poor millennial geeks are tasked with the impossible job of plotting every gutter and manhole cover on London’s knotted streets. It’s not easy.

But meanwhile, quietly in the background, Google is working on another AI project, but one that is far more life changing than a car whose steering wheel you don’t have to touch. Google’s Deepmind Health technology uses machine learning to analyse medical data and, although it’s very early days, the speed and accuracy of the diagnoses is impressive. Microscopic discrepancies in eye scans, for example, can pinpoint the early stages of a multitude of diseases. Currently Deepmind is partnering politely with the NHS on a few pilot schemes, but just consider what happens when this technology comes directly to us.

At the same time, Apple is working on monitoring technology that makes your Fitbit look, well…like a Fitbit. Apple’s ResearchKit program hoovers up data from its enormous pool of global iPhone users, on an hourly basis if necessary, to build apps that know more about specific conditions and diseases than any doctor could dream of in a thousand lifetimes.

When Steve Jobs launched the App Store, on July 10th 2008, he had just 552 apps for download. By 2013 a million apps were available. This is exactly the level of growth we can expect for wellness, and medical apps too. If the sharing of information is ultimately what makes our species so powerful, then just imagine how far the access to all this knowledge will propel us. It is truly exciting.

The iPhone is a fast learner. It can diagnose early stage Parkinson’s by analysing balance, gait and memory with data collected from its inbuilt gyroscope. Using the camera, facial recognition algorithms can diagnose autism in children as young as eighteen months. Conditions such as asthma, concussion, diabetes, melanoma and hepatitis C can all be better managed by patients armed with apps that can advise on a minute by minute basis. Add all this to a phone that will, more than likely, carry a map of your entire genome and we will have a clearer picture of ourselves than has ever been imagined.

Contrast that with the hurried consultation from your overworked GP who got a 2.1 from UCL in 1983. The best we’ve come to expect is some hasty keyboard rattling as she attempts to access your files and, if you’re lucky, a little eye contact too. This will all seem rather quaint very soon indeed. In a few short years we will have the greatest medical consultant of all time in our pockets during the day, and on the bedside table every night.

The Luddites that resist this change, that prefer to see ‘a real doctor’ whether from a sense of loyalty or from fear of privacy breaches, will soon succumb once they watch their friends flourish as they take control of their lives.

So relax. The great disruption has arrived. Dr Google, Dr Apple and Dr Watson will see you very shortly.

Please join me in the Twittersphere @SaundersHoward and read more of my blogs here:  22and5.com/blog/

  Howard Saunders   Mar 15, 2017   face recognition, Future, smartphone, technology, Uncategorized   0 Comment   Read More

THE SELF-PHONE part 1: Political Meltdown


Be honest. To say that you’re addicted to your mobile is a gross understatement. It’s the first thing you squint at in the morning and the last thing you see before you fall asleep. You check it in the middle of the night when the bathroom beckons and check it at the traffic lights between depressing the clutch and engaging neutral. This is no faddish obsession with new technology. It’s goes much further, much deeper than that.


You turn to your mobile for literally, everything and it would be easier to list the things you don’t use it for, than do. You ask it everything too, from the dates of sixties number ones to the height of the actor you’re semi-watching on TV. So used to instant answers are we, that pub based disputes are now limited exclusively to opinions of Trump and Brexit. Yes, the drinking man’s unique ability to recall trivial statistics has been emasculated by Google. Yet another blow for middle aged men.

When your house is burning, of course, the iPhone must be saved before you struggle with pyjama bottoms. When your daughter sits down to break some serious news, there’s still a couple of free micro-seconds, as she takes a deep breath, to sneak a peek at your Samsung smartphone (sorry guys, a Galaxy will always be a chocolate bar) to see if somebody else out there needs you. ‘Are you listening to me or what?’ ‘Yes, yes, I’m waiting to hear from the bank, sorry darling.’ The love affair is complete: it’s turned us into compulsive liars too. It’s as if we’ve all regressed into needy six year olds, in constant need of attention and affirmation of our existence. ‘Mummy, Mummy, look at this.’ ‘What is it dear?’ As we grew up it slowly dawned on us that Mummy wasn’t really that interested in the microscopic details of our existence after all. She was pretending. But now we all have a friend that really is.

The cellphone has become the self-phone. It’s a part of us now. When we reach into a pocket or purse to press the tiny touch button with the tip of our finger, we are connecting to all human knowledge from the Great Overlord of Data, to GOD himself, just as Michelangelo depicted Adam. The screen lights up to tell us we are alive and at the centre of the universe. There’s no going back now.

Incidentally, how many times have you glanced at your GOD since you started reading this? Two, three maybe? You are not alone.

Without question, Steve Jobs’ legacy is the iPhone. Not anything else beginning with a lower case i. I have the extreme condensed version of man’s evolution in front of me. It reads: Fire, Wheel, iPhone. (IBM can just shut up about Simon)

Seriously though, Mankind was the ape that mastered communication. It’s how we learnt to build fires, wheels and smartphones. But now that we are finally all connected on this planet, we are only just beginning to witness the almighty power that will be unleashed. News organisations struggle to keep pace with Twitter feeds. The leader of the ‘free world’ demonstrates his true strength with 140 characters, not via mundane press conferences. Much as this may be unpalatable, you must know this is the start of something big. If you think Uber upsetting a few cabbies and AirBnB aggravating the tax man is troublesome, then you’d better hold tight for the political revolution that is surely coming.


If the rise of populism is a slap in the face for the establishment, the angry reaction from the overlooked and the ordinary, then the only question we must ask is whether they will happily return to their quietly submissive roles of letting government get on with the complicated business of running the country. Judging by the yards of Twitter vitriol I read every morning, I think not. The disengaged are now fully engaged. Forever.

A handful of years ago we would have muttered our discontent as we turned the page to the sports results. Today’s leaders can only dream of such a remote and disinterested populace. So hear this Trump, Netanyahu, Merkel, May, even Putin, Assad and Erdogan. We’re all watching you now.

Join me in the Twittersphere @SaundersHoward and read more of my blogs here:  22and5.com/blog/

 

  Howard Saunders   Feb 20, 2017   Apple, big data, Future, me, me age, smartphone, technology, Uncategorized   0 Comment   Read More
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