Unlock Your Organization Through Digital Transformation

THROUGH DIGITAL TRANSFORMATIONP R E S E N T E D B Y

@ P E T E S E N A

@ P E T E S E N A

U N L O C K YO U R O R G A N I Z AT I O N

T H R O U G H D I G I TA L T R A N S F O R M AT I O N

DIGITAL SALES & MARKETING

DIGITAL PRODUCTS & CHANNELS

DIGITAL BUSINESS MODELS

DIGITAL TRANSFORMATION DEFINED

2X ROI

5-10X ROI

10X+ ROI

v

Unlocking the full growth potential of your business with digital strategies, channels and products.

THE PROOF IS ALL AROUND US

$20 BILLION 5 YEARS OLD




(ACQUIRED BY UNILEVER)




$1.2 BILLION 7 YEARS OLD

DIGITAL TRANSFORMATION UNLOCKS THE MAGIC 3

GREAT IDEA

GREAT BUSINESS

GREAT PRODUCT

IS YOUR BUSINESS DISRUPTING OR BEING DISRUPTED?

NATIVE DIGITAL DISRUPTION

High

Low

FREQUENCY OF PURCHASELow High

TRAN

SAC

TIO

N C

OM

PLEX

ITY

• Private Investments

• Flooring

• Mortgage• Recycling Services

• Eye Glasses

• Automobile

• Mattresses • Employee Benefits• Travel

• Music• Razors

• Food

VERTICAL INTERMEDIARY DISRUPTOR

Private Investment Investment Banks Venovate

Eyeglasses Retailer/ Optician

Recycling services Waste Management Rubicom Global

Floors Contractor

Mattresses Retailer

Automobile Dealer

Mortgage Loan Originators

Health Benefits Insurance Broker

Hotels Travel Agent

Music Record Labels

Razors Drug Store

Food Supermarket

NATIVE DIGITAL DISRUPTION

BE THE DISRUPTOR NOT THE DISRUPTED

FUTURE PROOFYOUR BUSINESS

1. 2. 3. 4. 5.

DIGITAL TRANSFORMATION STARTS WITH THESE 5 CORE QUESTIONS

ARE YOU DISRUPTING OR BEING DISRUPTED

ON DIGITAL CHANNELS?

HOW SENSATIONAL IS YOUR CUSTOMER

EXPERIENCE?

DO YOU KNOW WHAT YOUR CUSTOMERS ARE

THINKING AND DOING?

ARE YOU EVOLVING AS FAST AS YOUR CUSTOMERS AND

COMPETITION?

HOW CONTEXTUALLY-RELEVANT AND COMPELLING

IS YOUR CONTENT?

DIGITAL GROWTH STRATEGY

DIGITAL TRANSFORMATION BY THE NUMBERS

of manufacturers will start selling directly to

their customers

HUMAN-CENTERED DESIGN

of marketers are prioritizing the customer experience as the focal point of the branding, design, and delivery of their

products and services

CUSTOMER INSIGHTS

of CMOs believe better leveraging data and analytics

will be a top organizational priority by 2020

AGILE DEVELOPMENT

of marketers are trying to incorporate agile ways of working and

marketing

CONTENT DEVELOPMENT

of CMOs agree they need to become publishers in

order to support their growth programs

40% 89% 67% 89% 93%

In the 1990s and early 2000s, software companies tried to outdo their competitors by packing their products with as many features as possible, but this resulted in time-consuming, clunky user experiences — particularly in financial software.

Mint Founder Aaron Patzer built a streamlined interface that evaluates a user’s bank statements and presents an easily-digestible breakdown of their budgets. By taking the pain out of financial planning, the company exceeded a million users within two years and was purchased by financial software giant Intuit.

1.5 MILLION CUSTOMERS acquired in 24 months

PURCHASED BY INTUIT for 170 Million

DESIGN DISRUPTION : FINANCIAL

REIMAGINING THE PRIVATE BENEFITS MARKETPLACE

Does any employee ever enjoy picking their benefits? Three ring binders, confusing jargon, endless options — it becomes impossible to understand what’s best for you and your family.

Liazon acts an intermediary between insurance providers and employees to provide a more personalized, transparent, and navigable digital experience. The key is not to show the customer a bunch of choices, but the choice that’s best for them. Employers that use Liazon to deliver benefits have tripled employee engagement.

2x CUSTOMER SATISFACTION CUSTOMER ENGAGEMENT

3x

INSIGHTS DISRUPTION : INSURANCE

DTC DISRUPTION : DTC CPG

Razor blades aren’t cheap. And they’re behind lock and key in your local drugstore.

Startup Dollar Shave Club disrupted an industry dominated by two titans with a direct-to-consumer, e-commerce business model that delivered blades for cheap right to the consumer’s doorstep. And they made shaving funny with a viral YouTube video that to date has over 24 million views. In 2016, industry giant Unilever bought the four-year old startup for 1 billion dollars.

ACQUIRED BY UNILEVER for 1 Billion

DTC DISRUPTION : FASHION

In 2006, Burberry was declining. Sales were tepid and the luxury brand was growing at a mere 2% per year.

That year, new CEO Angela Arhendts began connecting with a digital demographic that reaches for their phone in moments of want or need. These targeted, personalized digital campaigns resulted in a Facebook presence that boasted more than 1 million followers; the largest for any luxury brand. By 2012, revenues doubled to 3 billion dollars.

DIGITAL IS DRIVING 40% of projected sales growth

PEOPLE PROCESS PLATFORMS

THE KEYS TO UNLOCKING DIGITAL TRANSFORMATION

PEOPLE

REDEFINE THE ORG CHART

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Flexible Cross-Functional TeamsTraditional Top-Down Silos

New: Adaptive eLearning Tools & ResourcesOld: Static Ways of Learning

INSTILL KNOWLEDGE

Stagnant Content, Unmeasurable Outcomes Adjustable Platforms, Quantifiable Results

vs

BIG IDEAS COME FROM EVERYWHEREWalmart established @WalmartLabs, an “idea incubator,” as part of its expanding e-commerce division in Silicon Valley—far from the company’s headquarters in Arkansas. The group’s innovations, including a company-wide e-commerce platform, helped Walmart increase online revenue by 30%, actually outpacing Amazon’s rate of growth.

PROCESS

• Waterfall Project Management • Linear, Siloed Thinking • Annual Reviews

PROCESS

• Agile Project Management • Cross-Functional Thinking • 360-Degree Peer Reviews

R E A C T I V E O R G A N I Z AT I O N S P R O A C T I V E O R G A N I Z AT I O N S[ R E S T R I C T I V E ] [ A D A P T I V E ]

WHAT DRIVES PEOPLE

PROCESS

01Purpose 02Autonomy 03Mastery

The WHY Objectives & Key Results Access to Digital Learning & Development

SHARED ORGANIZATIONAL VISON FREEDOM TO FAIL (AND SUCCEED) EMPOWER EXPLORATION

Eliminated annual reviews saving both time and

annual turnover.

Created a “Connect + Develop” open-source program that taps

external data to accelerate internal innovation.

Saved approximately 80,000 hours of managers’ time

30% reduction in voluntary turnover

20 submissions every weekday or more than 4,000 a year

Implemented company-wide workshops to eliminate

unconscious bias and create a culture where it’s safe to

express new ideas.

Trained team members are 16% more likely to avoid negative

outcomes stemming from bias

PLATFORMS

PLATFORMS

EMAIL STATIC SPREADSHEETS

FACEBOOK AT WORK SLACK REAL-TIME

ACTIONABLE INSIGHTS AND SHARED LEARNINGS

MORE CONNECTION, LESS EMAILWhile those at the headquarters of the rapidly growing UK cosmetics company Lush were aligned, teams located on the other 5 continents that they operate reported frequent miscommunication.

To increase transparency and eliminate disconnects, Lush implemented Slack. The workplace communication platform increased effective communication and transparency, but best of all, employees reported a 75% reduction in internal email use.

AT THE HEART OF

DIGITAL DISRUPTION

DISRUPTION PLATFORMS MARKETING ANALYTICS STRATEGY NATIVES

STOP THINKING DIGITAL MARKETING

STOP THINKING DIGITAL STRATEGY



STOP THINKING DIGITAL ANALYTICS


STOP THINKING DIGITAL PLATFORMS


STOP THINKING DIGITAL NATIVES

IT’S ABOUT CONVERGENCE Bringing people and technology together to create better experiences

DOING GOOD…ON DEMAND

ELIMINATING SILOS

WHERE YOUR

IS CORE TO EVERYTHINGCUSTOMER

WHERE YOUR

CUSTOMERIS CORE TO EVERYTHING

HUMAN CENTERED

DESIGN

F O C U S O N

REDUCING FRICTION

YOUR TURN:

COMBINE ONE FROM EACH COLUMN TO IMAGINE A NEW BUSINESS OR PLATFORM

DTC DISRUPTION : DESCRIPTOR

3D Printing 5G Artificial intelligence Augmented Reality Autonomous Vehicles Drones Geolocation IoT (internet of things) Mobile Robotics SaaS Social The Cloud Streaming Media Virtual Reality Wireless Power Wearables

TECHNOLOGIESAutonomy > Monotony Betterment Cashless Transactions Cord-cutting Crowdsourcing Gamification Hackers & Makers Love for Local Made for me Mission-driven Businesses Multi-sense experiences Multi-screening “One-tap” Products/Services Status Tests The Sharing Economy Virtual Social

TRENDSAUDIENCECasual Gamers Entrepreneurs eSports Competitors Facebook Moms Fashionistas Grandparents Hipsters LOHAS Consumers Nostalgic Consumers Single Parents Sports fanatics Startup Founders Teachers Tech-evangelists The Disabled Time-starved Technophiles Vegans

DISCUSSION:

WHAT WE CAME UP WITH


VOTING:

PICK ONE VIABLE IDEA


P R O D U C T I N N O V A T I O N

S U P P LY C H A I N

CUSTOMER CENTRIC

O R G D E S I G N

E X P E R I E N C E

M A R K E T I N G

A N A L Y T I C SS O C I A L C R MD M P

A D V E R T I S I N G

BREWING CONNECTED EXPERIENCES

Seattle coffee giant Starbucks first appointed a Chief Digital Officer, Adam Brotman, in 2009. Major digital strides in mobile, mobile payment, loyalty, social, and e-gifting have grown Brotman’s team to over 100 employees operating as larger cross-functional teams focused on digital goals and objectives.

Wireless charging stations, an integration with social music platform Spotify, and a Starbucks for Life mobile-powered game promotion are all evidence of the coffee brand’s ability to provide valuable digital experiences for their customers.

F O C U S O N

OUTCOMESOUTPUTS

N O T

WRITE FIRST, BUILD LATER

Before Amazon developers write a single line of code, they have to write the hypothetical product's press release and FAQ announcement.

This forces software and engineers to fully understand not just the creative technology that will power the product or project, but what the value proposition is and how it will be marketed to the end user.

If the press release isn’t compelling, the product won’t be either.

HERE'S AN EXAMPLE OUTLINE FOR THE PRESS RELEASE:

HEADING Name the product in a way the reader (i.e. your target customers) will understand.

SUB-HEADING Describe who the market for the product is and what benefit they get. One sentence only underneath the title.

SUMMARY Give a summary of the product and the benefit. Assume the reader will not read anything else so make this paragraph good.

PROBLEM Describe the problem your product solves.

SOLUTION Describe how your product elegantly solves the problem.

QUOTE FROM YOU

A quote from a spokesperson in your company.

HOW TO GET STARTED

Describe how easy it is to get started.

CUSTOMER QUOTE

Provide a quote from a hypothetical customer that describes how they experienced the benefit.

CLOSING AND CALL TO ACTION

Wrap it up and give pointers where the reader should go next.

DISCUSSION:

WHAT WE CAME UP WITH


1. 2. 3. 4. 5.

DIGITAL TRANSFORMATION STARTS WITH THESE 5 CORE QUESTIONS

ARE YOU DISRUPTING OR BEING DISRUPTED

ON DIGITAL CHANNELS?

HOW SENSATIONAL IS YOUR CUSTOMER

EXPERIENCE?

DO YOU KNOW WHAT YOUR CUSTOMERS ARE

THINKING AND DOING?

ARE YOU EVOLVING AS FAST AS YOUR CUSTOMERS AND

COMPETITION?

HOW CONTEXTUALLY-RELEVANT AND COMPELLING

IS YOUR CONTENT?

GROWTH

DEFINE OPPORTUNITIES

& THREATS

• Competitive disruption

• Technology trends

• Emerging behaviors

• Business models

• Assets and capabilities

• Market adjacencies

• Profit drivers

• Sources of competitive advantage

• Behavior change

• Touchpoints

• Sentiment

• Digital adoption

• Unarticulated needs

• Segmentation

• Key points of failure, friction, and frustration

• Identifiers

• Touchpoints

• Journey mapping

• Emotion

• Economics

• Cost to sell

• Key points of difference

• Value story

• Promise

• Digital Sales & Marketing

• Digital Channels

• Digital Offerings

• Business model Innovation

• Roadmap

• Go-to-Market Mix

• Channel Development

• Platform development

• Value story

• Offers

• Message

• Offerings

• Experience

• Promise

INSIGHTS

DIGITAL SURGEONS FRAMEWORK FOR DIGITAL TRANSFORMATION

UNDERSTAND CUSTOMER BEHAVIOR

ESTABLISH AN EXPERIENCE

DESIGN POINT

DEVELOP A STRATEGY/ ROADMAP

MINIMALLY VIABLE

PRODUCT

ITERATE, OPTIMIZE,

AND SCALE

DESIGN

QUESTIONS ANSWERS OUTCOMES

DRIVING GROWTH WITH DIGITAL TRANSFORMATION FOR YOUR BUSINESS

+ =

WHEN BUSINESS MODEL INNOVATION INTERSECTS WITH THE HEART OF THE CONSUMER

DISRUPTION HAPPENS

THROUGH DIGITAL TRANSFORMATIONP R E S E N T E D B Y

@ P E T E S E N A

Unlock Your Organization Through Digital Transformation

Business

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