information you need to know

hello and welcome to the first edition of Juicy Mag! We are very excited to launch our own magazine, dedicated

to exploring the trends shaping con-sumer behaviour, markets and business agendas – information we think you need to know.

As you will see throughout the report, our emphasis is on pinpointing timely in-sights as we look across major markets, such as the US and UK, to bring you a more international flavour.

I think you’ll agree it has been a chal-lenging year for many of us as business

professionals and consumers, but there has also been much positive transforma-tion taking place.

The recession has forced many businesses, and indeed consumers, to think more strategically and be ever more creative and resourceful. Doing more with less can be difficult, but it can also inspire new ways of thinking and working.

An overarching trend in 2009 has been digital and social media - a hot topic as consumers’ attention has shifted online, in turn forcing digital higher up the strategic agenda. With this in mind,

we take a look at the many ways in which businesses are using social media within their organisations.

Since we are in the most important shopping season, our focus in this edition shines on retailing, looking at trends such as online shopping, internationalisation and fashion retailing. Other spotlights include airlines and retail banking, two industries that have faced their own set of challenges this year.

So before you get stuck in, all that remains to be said is, we hope you enjoy reading Juicy Mag as much as we have enjoyed pulling it together.

www.juicyinfo.co.uk

WELCOMEtrends.observations.insights

08 12 09

MAGcontents

2 - Consumer perspectives4 - Industry bytes: Airlines & Retail banking6 - Focus: Retailing trends

8 - Focus: Fashion retailing10 - Business agendas: Social Media 12 - About Juicy

As we approach the end of 2009, consumer confidence has improved but remains fragile in the US and UK.

Financially, many continue to feel the pain as unemployment continues to rise and income levels remain impaired.

For society at large, however, it is the psycho-logical impact of the recession that has created major shifts in consumer behaviour. This is the conclusion brought by ‘Generation Recession’, a UK-based study published in July 2009 by The Social Issues Research Centre (SIRC).

Leading companies are in agreement that a value mindset will prevail for some time. Pepsi calls it ‘the age of thrift’ a situation it predicts to continue well into 2010. Retail giant Wal-Mart takes a similar viewpoint, stating in November they “believe people will continue to shop with a new instinct for value.”

A survey of retail experts in the US by RetailWire considers the long term implica-tions of the new frugal mindset. Two-thirds of respondents in the The Retail: Next study Fad or Trend? expect economic values such as ‘buying less on credit cards’ and ‘sticking to a budget’ will be longer-lasting trends.

Frugal: Consumers’ appetite for curbing expenditure, seeking bargains and coupons, buying second-hand and using discounters continues to prevail in major markets.

Spending more time online and buying online have both accelerated in the reces-sion, as consumers become more research-savvy and selective in their purchases. The perception of being able to get better deals and lower prices online has been capitalised by retailers pushing coupons and free shipping for online use.

Smaller, affordable treats and luxuries have become more important to consumers as they trade down from more expensive goods and services.

This trend is equally evident among more affluent consumers, where the ‘hi-lo’ shop-ping mentality has also been adopted.(See Focus on fashion retailing.)

Social Nesting: The SIRC’s ‘Generation Recession’ research highlights that social nesting at home has increased. Going out less has had a notable impact on online dating sites, which are booming as less time is spent socialising out of home.

It seems that ‘social nesting’ is also having an impact on procreation. The Irish Central Statistics Office (CSO) reported that 2008 was a baby boom in Ireland and sales of pregnancy tests have been climbing in the UK this year.

CONSUMER PERSPECTIVESfrugal.social nesting.ethics.digital living.trust

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continued to grow in volume and sophistication throughout 2009, bringing new utilities, enter-tainment and information tools to consumers.

Trust: Financial strife, difficult times, deep concerns, but who is to blame? Recessions are a natural part of the econmic cycle, but this one has been different because of the impact of the financial crisis. The SIRC’s ‘Generation Recession’ study highlights that UK consumer trust in some organisations has been dented, but overall there is not ‘a complete loss of faith.’ Research studies reproduced with kind permis-

sion from SIRC and RetailWire.

So will our rekindled love for staying at home continue? Retail experts seem to think so. Half of the RetailWire respondents saw ‘entertaining at home’ as a long term trend in the US, outlasting the recession.

Ethics Ethics are becoming a more important variable as more consumers become in tune with the need to be green and consume less.

Citizens know they must play a part. Whilst buying green has become more expensive, reducing overall consumption and increasingly buying second-hand goods are part of being a more responsible citizen. Consequently, corporations are being forced to face the challenge of justifying how they produce, what resources they draw on and how they will replenish them.

Digital living: 2009 has brought forth a greater reliance on the web in our lives. This trend is being driven by connectivity to a range of digital devices, at faster speeds and in any location: at home and on-the-go.

The ‘share and compare economy’ is booming as consumers research more products and services online, looking for guidance and recommendations from others, either before shopping online or in-store.

Key target audiences, such as mums – often the budgetholder – are big users of the ‘social web’, as are digital natives in the Gen Y 16-24 cohort.

The mobile device or smartphone is arguably redefining consumers’ experiences. Apps have

The psychological impact of the current recession has not only affected our current attitudes toward spending and saving, it has generated what will be an enduring influence on our future lives

Generation Recession, The Social Issues Research Centre

64%Number of UK consumers who are now buying more online (Source: SIRC/Gen Recession)

54%US retail experts who say staying connected with social media will be a permanent, long-term trend (Source: RetailWire)

37%of consumers friending a brand on Facebook/MySpace do so for deals (Source: FEED: The Razorfish Digital Brand Experience Report 2009)

low cost airline competitor advantages

1. Price2. Flight schedules/ frequency3. Choice of routes 4. Acceptance by travellers 5. Added features

In this section, we review two industries that face different sets of challenges. The airline industry has undergone seismic transformation in the past

decade. Low-cost airlines have ushered in a new generation of brands, creating tough competition for traditional companies.

In the wake of the global financial crisis, many financial institutions foundered, others were rescued or merged. Retail brands are eager to rejuvenate reputation and trust, but a number of new entrants could well give them a run for their money.

airlines

Recessionary conditions have forced universal cut-backs in travel. The World Tourism Organisation (UNWTO) claims that the decline is ‘bottoming out’ and industry confidence is picking up. International travel arrivals declined 7% in the first eight months of 2009, according to UNWTO.

Reduced passenger numbers, notably in premium and business class, have hit many traditional airlines hard. By contrast, low-cost airlines have become an ever more dominant force in the global airline industry.

Low-cost airlines: Hailed as one of the success stories in aviation of the past decade, low-cost airlines have rapidly expanded inter-national travel. It has given rise to international brands like Ryanair and easyJet in Europe and AirTran and Southwest in the Americas.

In the US, low-cost airlines have taken a 30% share, according to the Massachusetts Institute of Technology’s (MIT) Airline Data Project. Price is an prime incentive, but ‘flight availability’, wider choice of routes to far away destinations and general accep-tance of ‘no-frills’ flying, pulls in travellers.

In Europe, there has been criticism over the growing number of extras charged on top of low fares. Effectively, pushing overall

prices up. However, this backlash does not appear to be denting passenger numbers. Ryanair and easyJet have both achieved record numbers in 2009.

By contrast, in the US, some brands are touting extra ‘frills’, such as ‘free bags’ and food to differentiate their service – JetBlue, SouthWest and newer arrival Virgin America provide added features, focusing on service, design, rewards (frequent flier programs and technology (free WiFi).

In what might be seen as a paradox - to consumers at least – in Europe, these US airlines are showing that low-cost does not necessarily mean ‘no-frills.’

Traditional airlines: In the face of tough competition, routes are being cut back and profits are suffering. Since the begin-ning of the Noughties, fleet and employee numbers have fallen dramatically for the likes of Delta, American and United in the US.

In Europe, British Airways has been forced to embrace ‘no-frills’ tactics, charging for booking seats and cutting back on its food service. It comes as it faces losses of over £400 million ($650mn). Building scale and synergies is now vital to regain financial control. Indeed, BA’s merger with Iberia will

INDUSTRY BYTESairlines.retail banking

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Retailers want to make inroads: In UK retail banking, retail grocery heavyweights are preparing to penetrate deeper. Tesco Personal Finance has this year rebranded as ‘Tesco Bank’ in preparation for its launch of current accounts and some 30 in-store banks, in the coming months. M&S Money and Virgin Money are both rumoured to be moving into current accounts. The latter has applied for a bank licence via the Financial Services Authority (FSA).

Consumers take financial control: Consumers may well be shopping for better finance options. Taking control of one’s finances has become key as the ‘credit crunch’ turned into a full blown

rank the airline as the third largest worldwide. Aggressive marketing and promotions will only raise the competitive agenda in the short-term, no doubt bolstering the position of no-frills airlines, at least while recessionary conditions prevail.

retail banking

Some financial players may be back to turning a profit, but the industry is a shadow of its for-mer self and rescue packages by governments continue to support some large organisations. There have been a spate of mergers in the both the UK and US, resulting in cost-rationalisation and job losses, as we have seen recently at Royal Bank of Scotland (RBS) and Lloyds Banking Group in the UK.

Financial crisis impacts brand value: The Interbrand Best Global Brand List 2009 underscored the extent to which banks have suffered. Financial brands were some of the weakest performers, and all witnessed decline in brand value to varying extents.

In the US, consolidation among major play-ers (Wells Fargo/Wachovia Corp; JP Morgan/Washington Mutual) may well force some branch closures, but further consolidation is nonetheless anticipated.

In Europe, too much power in the hands of a few banks has been brought into ques-tion. The European Commission has ruled that RBS and Lloyds must sell off branches in order to open up competition and choice for consumers.

Lack of trust: One of the biggest challenges for retail banks is consumers’ perception of the financial services industry. In the UK, a survey by The Direct Marketing Association (DMA) survey found almost three-quarters of consumers (71%) say they do not trust the industry.

The combination of lower consumer confidence, weakened brand value and reduced power, has lowered barriers to entry substantially. There are a number of new companies intent on gaining a foothold.

financial crisis in late 2008. Saving more, using credit less and making overpayments have become more common.

The Social Issues Research Centre’s ‘Generation Recession’ report found that in the UK, young adults (18-30) have the strongest desire to take control of their finances and to save, and are more ‘debt averse’ than older generations.

Technology too is transforming the nature of retail banking. The American Bankers Association reports that online banking is now the preferred method of banking.

Smartphone adoption is already bringing new innovative access for consumers on the go. High-street bank Natwest (RBS) is one of the first in the UK. Citibank, Bank of America, Chase and PNC already have a presence in the Apple App Store.

As we move into 2010, reinstalling trust and delivering superior experiences will be critical if they are to ward off the new competition.

european

low cost air

lines

passenger

numbers

Company Passengers

(% annual change)

Ryanair 63.3m (+13%)

easyJet 45.2m (+3.4%)

Aer Lingus 7.5m (+5%)

Source: Company websites,

Year ending September 2009

30%Market share of low-cost airlines in the US(Source:MIT/USA Today)

2.4bnThe fall in total borrowing by individuals on Visa and Mastercard over the last 12 months(Source: British Bankers Association)

71%Consumers who do not trust the UK financial services industry(Source: Direct Marketing Association)

Retailers across the board have had their work cut out in 2009, with trading conditions forcing the less robust companies to

fold. As we move into the most important trading period, all eyes are on whether consumer confidence will pick up sufficiently to meet objectives.

The common denominator for retailers’ strategy in 2009 and 2010 has undoubtedly been delivering value through pricing tactics.

Online shopping has been a brighter light, with brands using this channel to expand internationally and capitalise on consumers’ growing propensity to research products and buy online.

As mobile devices have become more embedded in our everyday lives retailers have taken note, experimenting with ways to enhance the retail experience. Apps for finding stores, researching products, and buying online have appeared. More recently, Augmented Reality (AR) has created waves. It remains early days in this respect, but as smartphone penetration grows, we’ll unddoubtedly see more innovations.

Supplier power: Large-scale retailers have continued to gain power in the reces-sion as consumers have switched to private label alternatives.

Retailers such as Wal-Mart have been delisting less popular brands, allowing more space for their private label products.

There has been impetus behind old labels from Wal-Mart – relaunching ‘Great Value’. Waitrose (John Lewis) introduced its value range, ‘Essentials’, and has used Tesco ‘price matching’ to make it a more com-petitive player in the UK grocery market.

Online retailers are also building scale. Amazon has continued to build on its

FOCUSRETAILING TRENDSpowerhouses.online shopping.internationalisation

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on a brand, store details, latest products and deals. In the US, the notorious Black Friday saw retailers make more use of social media to promote special bargains.

There are some more adventurous tactics. In the UK, M&S has been using it to engage in live chats. A handful of retailers have been trying out Facebook as a sales platform.

Online footwear retailer, Zappos, pur-chased this year by Amazon, is one of the best examples of retailers embracing social media. In place of traditional marketing, Zappos has embedded social media at the heart of its corporate culture. Not only does its CEO Tony Hsieh tweet, but so do many of its employees.

In a sign of growing stature, brands are now eager to move into the online realm, selling direct to consumers. CPG giant, Procter & Gamble announced this year that it aims to grow annual sales online from a $500 million to a $4 billion business.

Embracing social media: Over the past year, retailers have taken social media much more seriously. eMarketer reports that half of US online retailers are now using Facebook.

Major retailers from Home Depot, Staples and Sears in the US to M&S and Selfridges in the UK, have made use of fan pages. They are typically used to house information

credentials of competitive prices, fast and reliable service. In Q3, 2009 it posted a 28% increase in sales and 68% in profitability.

Trading on this expertise, it continues to expand its category and brand portfolio, working with other retailers. In the UK, department store Debenhams has recently announced it will create an online shop on both Amazon and eBay to extend its reach online.

Amazon has been adopting technology to stay one step ahead of the game. Amazon Remembers, available in the UK and US, enables users to take a photo of products in-store and then search for similar goods

via Amazon. The service comes with the standard Amazon iPhone app. Online shopping: Online sales have remained relatively robust in the recession, as consumers have spent more time online, although the UK has been a stronger market than the US.

US e-commerce (non-travel) declined in Q3 this year, according to Comscore, but an uplift is expected for the end of 2009. IMRG reports UK online retailng has seen double-digit growth throughout 2009.

Retailers have continued to invest to improve the online shopping experience, paying greater attention to website usability and design. Multi-channel retailing, whereby distribution channels are becoming integrated to create a seamless customer experience, are helping retailers to enhance and personalize service.

Reputation certainly counts online too. In a review of online brands, Forrester found that the most important traits are: being ‘trustworthy,’ ‘helpful’ and ‘relevant.’

In 2010, ‘social shopping’ is expected to be a hot topic, as brands focus on integrating their brands with the social web. Mashable predicts the top five ‘social shopping’ trends will include instant product reviews, real-time deals and ‘group gifting’.

Internationalisation: The online channel has become a powerful tool to expand into new markets, internationalising the industry. Major retailers including Moth-ercare, M&S, Debenhams and Nordstrom have all expanded internationally. US retailer Nordstrom is now shipping to 30 countries and payments can be made in 12 currencies.

Online retailers are also building scale. Amazon has continued to build on its credentials of competitive prices, fast and reliable service. In Q3, 2009 it posted a 28% increase in sales and 68% in profitability

40%US e-commerce transactions that include free shipping (Source: Comscore)

14%Predicted year on year growth in UK e-commerce for December 2009(Source: IMRG)

3%Predicted year on year growth in US online retail sales: holiday season (Nov-December 2009)(Source:Comscore)

us ecommer

ce

sales

% change yr/yr

Q3 2007 +23

Q3 2008 +6

Q3 2009 -2%

Source: Comscore (excludes travel)

Fast-fashion retailers have not been immune to the recession, but they have been among the most resilient. Trading conditions have

remained intense as brands compete for a slice of consumer’s reduced spend and margins are squeezed. Meanwhile, expansion

continues at a pace, with big plans for online in 2010.

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Fashion retailing has been witnessing its own transformation over the past year. Demand for affordable fashion has provided

a boon to fast-fashion retailers – already taking global markets by storm – whilst digital channels are playing a more strategic role for retailers across the board. Fast-fashion: Fast-fashion retailing has become a global phenomenon, both on the high-street and increasingly online, in tune with consumers’ craving for the latest fashion ‘on-demand’.

Retailers such as Zara, Mango, H&M and UNIQLO have raised the competitive edge in fashion, bringing catwalk-styles and designer collections to the high-street at breakneck speed and affordable prices.

Consumer demand for fast-fashion has been robust in 2009 – in keeping with the frugal mindset – with the added benefit of more affluent consumers trading down from luxury brands.

Strong market potential continues to attract new brands, pushing the boundaries to create more innovative, affordable fashion. In the UK, GIVe is a new women’s clothing brand from retail veteran George Davies. His aim is to raise the stakes in fast-fashion, providing ‘affordable luxury’ on the high street. GIVe features in-store style advisers and a bespoke tailoring service, available both in-store and online, to help create personalised outfits.

Internationalisation: The reces-sion has been a catalyst for fast-fashion brands, as they take advantage of budget conscious consumers. From Japan, China to the US and Europe, fast-fashion brands are becoming a stronger force. The US is a

key market to penetrate, where department stores like Macy’s have traditionally been tough to compete with. Now, Spanish-born retailer Mango (MNG) is to join forces with JCPenney in the US, creating a ‘speciality’ store within its department store. It is part of Mango’s strategy to break into the US market, where it has a relatively nascent presence compared to H&M and Zara. JCPenney has over 1,100 department stores in the US and the Mango brand is expected to launch into 75 in 2010, before expanding to 600 in 2011.

Other fast-fashion retailers successfully moving into new markets include H&M, Top Shop and UNIQLO.

Top Shop launched in New York in Spring 2009 and has also begun shipping to a variety of European countries. There are plans to expand stores in Paris, Milan and China.

Japanese retailer, UNIQLO has been gradually moving West, and launched into Paris in October this year. Its emphasis on well-designed, quality and affordable

FOCUSFASHION RETAILINGfast fashion.digital.internationalisation.content

Online shopping: The British Retail Consortium and the Interactive Media in Retail Group (IMRG) have both reported that clothing online retailing has been one of the strongest areas of retail growth in the UK this year. Fast-fashion retailers are still getting started in this channel. Zara will launch online for the Autumn/Winter 2010 collection. Spain, France, Germany, UK, Italy and Portugal will be the first markets. H&M is to launch online in the UK in Autumn 2010. New Look has announced plans for an overhaul of its website in 2010. High-end retailers get digital: Traditionally, luxury brands have avoided the web in favor of more exclusive marketing channels. As the recession has hit luxury fashion brands hard, investment in e-com-merce and digital marketing has taken off. Bain & Co predicts a 20% increase in luxury goods online in 2009 as a result.

In digital marketing, luxury retailers have embraced social media to reach and engage with more affluent consumers. One of the most talked about campaigns has been Burberry’s Artofthetrench.com, celebrating its iconic trench coat. The use of mobile is being experimented with, led by brands like Ralph Lauren.

Fashion content: The information age is making consumers much more knowledgeable about fashion, fuelling the fast-fashion trend. Custom magazines have been popular with mass retailers for many years, but now fashion brands are expanding into editorial to engage their audience. Digital and social media is making this much easier.

Mango ‘Think Up’ runs a blog to help give shoppers ideas and inspiration for living a ‘low-cost life’. In addition to fashion, there are tips on entertainment, music, travel and eating out.

eBay has launched ‘The Inside Source’ as part of its strategy to move away from being a second-hand retailer. The content will be written by fashion followers and bloggers.

In the US, fast-fashion brand Forever 21 has also launched a magazine in what will be new competition for publishers.

clothing has been a huge success, both domestically and abroad. It has become renowned for embracing digital creativity in its marketing, using social media to connect with ‘creative influencers’. Value-clothing lines: At the value end of the market, multiple grocers Tesco and Sainsbury’s continue to push into clothing. Tesco pinpoints clothing as one its fastest growth markets online. Overall, clothing sales grew 6% in the first half of 2009. The grocery chain has launched a standalone website to push its clothing range online.

Elsewhere, value retailers have been performing well. In the UK, Primark sales have remained solid, and New Look is also to double its size in the UK.

To take advantage of demand at the value-end, Mango launched a new low-end brand called Mango ‘Think Up’ this year aimed at the all-important youth audience.

UK department store, Littlewoods also rebranded as Very this year in a bid to compete with high-street chains. British celebrities Fearne Cotton and Holly Wil-loughby were brought in as brand ambas-sadors to help reposition the brand for a younger audience.

46%UK consumers who buy more online than a year ago (Source: Deloitte)

20%Increase in online sales of luxury brands in 2010 (Source: Bain & Co)

21H&M’s brand ranking in Interbrand’s Best Global Brand List 2009

fashion fina

ncials

Company Sales growth

(first half)*

H&M +6%

Zara(Inditex)

+9%

Primark +18%

UNIQLO(Fast Retailing) +12.9%

ASOS +47%

Source: Company reports, *relates to

first half of company financial year

myth : social media is free

One of the often cited benefits of social media is that it is ‘free media.’ Whilst this may be true from an access viewpoint, there is still a very tangible cost involved for businesses - the human resource and time investment required to develop and implement social media strategy.

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In 2009, the buzz around ‘social media’ continued its ascent. The topic has continued to permeate major business media, blogs,

dialogue and several thousand events, as a growing number of brands, of all size and nature get serious about social media.

Put simply, social media technologies are freely available tools that enable conversa-tion and participation between many people. In contrast to traditional media, it is inherently ‘human-shaped not ‘business-shaped’, to coin a phrase from celebrity and Twitter guru, Stephen Fry.

That may be the case, but more and more businesses and their brands are using social media, keen to listen, embrace new ways to engage in their communities, build relation-ships and ultimately be more responsive to the all important customer.

In this section we look at some of the prin-cipal ways that businesses are using social media, from marketing communications, customer service and through to innovation.

Listening: One of the starting points that experts like Charlene Li (co-author of Groundswell) and Chris Brogan (Trust Agents)

highlight continuously is the importance of taking time to listen to what is being said about your company and brands.

In a study of half a million tweets on micro-blogging platform Twitter, Penn State University found that one in five tweets mentioned a brand.

The social web has become a power-ful research tool for the business, quite simply because people are openly talking about what they like and don’t like about products and services. The mass of user-generated content on blogs, social

BUSINESS AGENDASOCIAL MEDIAlistening.crowdsourcing.communication.service.collaboration

Best Buy launched its Twelpforce in 2009 and there are many more examples of brands using social media in this way including: JetBlue, easyJet, and Dell.

PR/Corporate communications: The humble blog has grown up to become more widely used business tool. Webinars, podcasts and video are also becoming more frequently used assets.

M&S has run two live chat sessions with its customers on Facebook, dealing with both positive and negative sentiment.

The transparency agenda is undoubtedly driving businesses to be accountable for all their actions. This is especially true with regard to corporate social responsibility, where businesses are now expected to be actively involved in areas such as: commu-nity, the environment and sustainability.

Marketing communications: The need to engage with consumers where they are ‘hanging out’ most and spending a large part of their time, has underpinned a shift to social media marketing, now frequently included as part of integrated campaigns.

The year 2009 may well be heralded as the year that social media became a core part of the marketing programme.

Advertising spend has been flowing out of major media into digital, across virtually all industries.

Whilst there are a vast abundance of social media tools in existence, it is the mass social networks that are drawing the largest eyeballs. Facebook now has 350m users, so fan pages are commonplace. Unlike traditional media, brands cannot ‘broadcast’ messages, but must provide content and engage with its fan base on their terms.

Reaching influencers: One of the primary goals of social media is to leverage the power of word of mouth. Winning over the key influencers who will blog and spread the message is key. As such, user-generated content is becoming a much bigger part of the brand message. Ford Fiesta is a pertinent example as discussed in detail on this blog feature.

Customer service: The concept of customer service is being pushed into new realms, as brands use Facebook and Twitter to respond to customer enquiries in real-time.

Zappos has embraced social media within its salesforce, a key part of its corporate strat-egy, which embeds customer service at the heart of the company. Five hundred Zappos employees are on Twitter, including its CEO Tony Hsieh, who has over 1.5 million followers.

networks, online videos and podcasts, is rich in customer insight.

In addition to leveraging open-source tools like Google, Twitter, Digg and Delicious, larger companies are drawing on specialist analytics companies like Radian6, BrandWatch and ThruDigital. Qualitative research is also possible, using tools like Communispace, where modera-tors play a role.

Real-time listening: Brands such as ASOS and HSBC have taken the concept to a new level, creating platforms that showcase ‘raw customer sentiment’ – good and bad – in real-time. ASOSreviews and HSBCreviews take comments directly from Twitter. The latter also encourages feedback and ideas to be submitted via the platform.

Crowdsourcing forums: Over the past few years, open-source innovation has been gaining ground. Social media has undoubtedly played a role in this develop-ment, helping brands to be more transpar-ent and open, not just with customers but all stakeholders.

A survey of over 270 executives in communications, media and technology by

Accenture finds that one-third involve third parties and/or customers on a regular basis for new product development.

In recent years, crowdsourcing platforms have become public, taking the form of a forum or social network. Typically, platforms normally require some kind of sign-up, giving individuals the chance to share ideas, but also vote for others they like. This cre-ates a much richer interactive environment, whilst giving companies real-time insights into what customers want and feel.

Companies taking advantage of the collective wisdom of the crowds include:

MyStarbucksIdeas, which was launched in March 2008 has been expanding its use of social media ever since. On the site, it catalogues ideas into ‘product’, ‘experience’ and ‘involvement’. Collectively, there are nearly 80,000 ideas recorded across all three areas. Ideas can be followed on Twit-ter, where there are over 9,000 followers.

In retail, Best Buy Idea X launched in May 2009. Users earn reward points when they share, vote or discuss on the forum. Popular and recent ideas are posted on the home page, as well as ‘nearby’ ideas, based on geography.

Dell Ideastorm launched February 2007. It has since built a community around all its social media, acting as a hub for all content and links to Twitter.

The latest stats available show that 13,108 ideas have been contributed and 389 ideas implemented. Dell actively promotes ideas that have been put into action, both on the main site and via @IdeaStormAction on Twitter.

BUSINESS AGENDASOCIAL MEDIAlistening.crowdsourcing.communication.service.collaboration

20%Percentage of tweets that contain a brand (Source: Penn State University)

44%Proportion of Inc.500 CEOs who do not have a company blog, but intend to start one (Source: Inc)

350mnNumber of active users on Facebook(Source: Facebook)

social media

tools

• Blogs• RSS • Social networks

• Mobile apps

• Widgets

• Photos

• Video • Podcasts

• Social bookmarks

We hope you enjoyed reading Juicy Mag. Please feel free to forward the magazine on to your friends, colleagues

and share away on the web. We would love to hear your feedback too.

Research is our passion, and we love to keep on top of the latest market trends, deciphering the most relevant issues and pinpointing key developments.

We recognise that businesses need to be constantly adapting to changes in their macro and market environment, but with business moving faster than ever, and an abundance of information to get through, it’s not always easy to keep on top of everything.

We created Juicy, to provide you with the information you need to know and we help companies of all shapes and sizes do just that.

If you would like to discuss how you could get your own piece of Juicy info, custom-made for your company or maybe even your own Juicy Mag, please get in touch with Suzie@juicyinfo.co.uk for an informal chat.

ABOUT JUICY

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next issue

spring 2009

In anticipation of a brighter

and lighter season, we’ll be

looking at the ‘green’ tren

d,

Considering ‘eco-nundrum

s’

faced by consumers and

the broader issue of

sustainability as it impacts

the corporate agenda.

We don’t want to spoil the

surprise, so we’ll keep

the

rest under wraps for now.

Stay tuned...