It’s a couple of days after Google announced its intentions to jump headfirst into the hardware business. By now everyone — including my colleagues Charles Golvin and John McCarthy — have expressed their thoughts about what this means for Apple, Microsoft, RIM, and all of the Android-based smartphone manufacturers. This is not another one of those blog posts.
What I really want to highlight is something more profound, and more relevant to all of you out there who might classify your day job as “product strategy.” To you, the Google/Moto deal is just one signal — however faint — coming through the static noise of today’s M&As, IPOs, and new product launches. But if you tune in and listen carefully, two things become crystal clear:
The lines between entire industries are blurring. Google — and some of the other firms I mentioned above — are just high profile examples of companies that are diversifying their product portfolio, and the very industries in which they play. There are several instances of this over the past "digital decade." What's different now is the increased frequency of the occurrences.
We talk to product strategists in a wide variety of industries. Regardless of the vertical industry of their companies, they tell us that the release of new, disruptive products -- like Apple's iPad -- changes their relationships with their customers. Oftentimes, nearly overnight.
Whether their product comes in the form of “bits” (content, like media, software, or games) or “atoms” (physical products, like shoes, consumer packaged goods, or hardware), consumer product strategists must navigate a world filled with a dizzying array of new devices (like mobile phones, tablet computers, connected TVs, game consoles, eBook readers, and of course PCs). We call this proliferation of devices the Splinternet, a world in which consumers access the digital world across a diverse and growing number of hardware and platforms. And product strategists have to react by developing new apps, by crafting digital product experiences, and by rethinking their product marketing.
Delivering digital products across the Splinternet isn’t easy: It requires understanding -- and acting upon -- an ever-changing landscape of consumer preferences and behaviors. It also requires reapportioning scarce resources -- for example, from web development to iPad or Android development. Yet product strategists who fail to contend with newly disruptive devices (like the iPad or Xbox Kinect) will find themselves in danger of being left behind -- no matter what industry they’re in.
We'd like to invite product strategists to take our super-quick, two-minute survey to help us better understand how you are reacting to disruptions caused by the Splinternet:
More than 90,000 iPad-only apps are available today. Forrester clients in a wide range of industries — media, software, retail, travel, consumer packaged goods, financial services, pharmaceuticals, utilities, and more — are scrambling to determine how to develop their own iPad app strategies (or browser-based iPad strategies).
Clients are asking us to help them address both challenges and opportunities associated with the iPad: How do I develop an app product strategy for the iPad? Does the browser matter, too? What will make my app or browser experience stand out from the competition? How will an iPad app complement my smartphone and Web properties?
If you are navigating these sorts of decisions, I'd like to invite you to a very exciting event being hosted by an analyst on my team, Sarah Rotman Epps. Sarah's holding a Workshop on July 27 (in San Francisco) to help clients like you separate the hype from the reality and take concrete steps toward developing a winning iPad app and browser strategy.
The Workshop: POST — Refining Your Strategy For iPads And Tablets
This Workshop focuses on refining your strategy for reaching and supporting your key constituencies through iPads and other tablets. We'll take you through the POST (people, objectives, strategy, and technology) process, helping you to:
Understand where the tablet market is going based on Forrester's latest data and insights.
Apply what other companies have done to your own tablet strategy.
Calling all product strategists at big name clothing and apparel companies: If you work at the likes of Gap, Macy's, Nordstrom, or American Eagle Outfitters, we at Forrester think you are currently missing out on an opportunity to delight customers, generate new revenue, and differentiate your offerings. We’ve been writing about why now is the time to experiment with mass-customized product offerings – customer-facing digital technologies have reached the point where customization is easy to deliver, and customers increasingly expect products and services will be tailored to their desires and needs.
Now it’s time for product strategists at big name clothing and retail companies to give mass customization another shot. Levi’s once offered customized jeans (from 1993-2003), but the offering was too far ahead of the curve – it didn’t have the opportunity to leverage the type of digital configuration experiences available today, and it didn’t offer buyers choice in features they wanted (like color).
We know that product strategists who want to offer mass-customized clothing and apparel products face customers who are stuck in an off-the-shelf comfort zone. We know that this customer resistance is holding back some product strategists at big brand-name clothing companies. Yet the return on investment could be significant. Incorporating customization into your product strategy will enhance current customer relationships and attract new customers that, up to now, have not been able to find what they want or need from your products.
Product strategists should check out this article in today’s New York Times about online borrowing. Think of it as a Web-empowered peer-to-peer product rental program. The article describes how Web sites like SnapGoods allow private owners of products to rent them out for temporary periods of time to consumers who want to use – but do not (or cannot) own – those same products. It’s a product rental marketplace, smaller than but resembling a product sales marketplace (like eBay).
This peer-to-peer product rental approach to sharing complements another sharing technique that has been around for a while: timesharing. Vacationers who own 1/8 of a condominium in the Bahamas get to use it part of the time, as do their fellow timeshare partners. More recently, the Web enabled Zipcar to grow to over 275,000 users by 2009. Zipcar users make reservations to use vehicles in their neighborhoods on an hourly basis.