What Really Counts As Digital Disruption?

James McQuivey

I'll be first to agree that "disruption" is an overused word. I hear it all the time -- companies pitching me their new business idea describe how they're going to disrupt this or disrupt that. And here at CES 2013, I see and hear the word disruption everywhere I turn. Sometimes these companies really mean disruption. But often, they just mean that they're going to use technology to compete aggressively. Instead of simply saying "compete," they invoke the moral authority of Clayton Christensen and say they intend to "disrupt" the rest of the competitive field. 

My concern with the overuse of the word disruption is not just that it waters down the power of the ideas behind disruption. It's that a muddy understanding of disruption will stop us from comprehending just how powerful digital disruption will be. Because the addition of digital to the word disruption does not merely enhance it, it accelerates it, making digital disruption orders of magnitude more powerful, a case I made in late 2011 and a case that has only strengthened since. 

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CMOs, Are You Ready For 2013?

Corinne Munchbach

I only just recently started watching Mad Men — a shock to many of my marketing peers and to regular folks who now think I’ve been living under a rock for the past five-plus years. I’ll save my thoughts on the show for another time, but what strikes me at least once during each episode is how much everything (tactics) and nothing (strategy) have changed. Similar fundamental challenges weigh on Sterling Cooper’s clients’ minds and on our CMO clients’ minds today: How do we connect with our consumers in a way that differentiates us from the competition? While Don Draper was limited to print and TV, thanks to digital platforms and tools, today’s CMOs have an almost-infinite number of options with which to build relationships with consumers.

2013 is the year that digital takes on a much more significant role in marketing and business strategies at business-to-consumer (B2C) organizations, and CMOs will be responsible for shepherding the change. 2013 is the year that CMOs will leverage digital tools to drive innovation of new compelling brand experiences — not as add-ons or enhancements but as integral elements of the brand’s messages, actions, and products that will differentiate your offering.

B2C CMOs, your 2013 resolutions should be to:

  • Embrace digital disruption. Digital disruption has remarkable strength. It's able to bulldoze traditional sources of competitive advantage faster, with greater power, at less cost than any force that came before it — and no business is immune. CMOs must make a strategic commitment to innovation and stop thinking about digital as another media channel. Digital is everywhere and should elevate marketing and business priorities for consumer benefit.
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Stuck In The Middle…Delta Makes It A Remarkable Journey

Sheryl Pattek

Last week I started my trip to Boston on a packed flight in a middle seat. If you travel as often as I do and have been stuck in the middle, you know how unpleasant it can be. 

So, you can imagine my surprise when Delta turned my stuck-in-the-middle experience to a remarkable one of customer delight.   

Delta exceeded my expectations by delivering on the promise of what Forrester calls a TRUE brand — trusted, remarkable, unmistakable and essential. In our 21st Century Brand Marketing Playbook, we discuss how these four traits will strengthen the brand pillars that support consumers' new expectations of brands. And how brands that can forge an emotional connection with their customers will enjoy a sustainable competitive advantage. By delivering a remarkable brand experience, Delta strengthened its brand promise, created a strong emotional connection with me, and more.

Here’s how Delta changed my unpleasant travel experience to a remarkable one:

  • I was sitting in a middle seat on a flight from Atlanta to Boston on Monday afternoon
  • First thing Tuesday morning, I received the email below from Delta apologizing that my travel experience was not as comfortable as they would have liked.
  • And, they didn’t stop there. They deposited 500 miles into my SkyMiles account for the inconvenience.
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What’s Your Brand Building Maturity? Are You An Experimenter Or A Leader?

Tracy Stokes

I’ve recently read a lot about the about the importance of engaging consumers to build your brand. And rightly so. Understanding and engaging with your customer is fundamental to brand building success. What gets less digital ink, though, is the equally important task of engaging your employees to build your brand. Not just your marketing department. Not just a few select social bloggers. But every rank-and-file employee, from tech support to customer service. Marketing leaders agree. In fact, in Forrester’s recent survey of marketing leaders, 100% of respondents agreed that “brand building is a company-wide effort that requires employees in all departments to be brand ambassadors.” But this same survey reveals that engaging the enterprise is where marketers struggle most. Marketing leaders are on solid ground when it comes to traditional brand building disciplines such as defining the brand North Star and using that brand promise to guide the brand experience. It is the next stage — creating a consistent brand experience across all functions and touchpoints — that is the chasm that most marketing leaders have yet to bridge. Forrester’s survey reveals that just 9% of respondents are true brand building leaders, who have brand building integrated and embraced across all aspects of the business. Most are still experimenting, but not integrating.

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Shaq Admits: The Game Has Changed. If You’re A B2B Marketer, Your Game Has Changed Too.

Sheryl Pattek

Ever since the mighty three joined the Miami Heat, the great Shaquille O’Neil has been relentless in his criticism of head coach Erik Spoelstra, Chris Bosch, and the Miami Heat’s ability to play with the “big boys.” Even an NBA championship didn’t seem to make a difference. This weekend, Heat fans across South Florida were rewarded with Shaq finally admitting he was wrong. In Sunday’s Ft. Lauderdale Sun Sentinel, Shaq was quoted as saying “I was wrong. I didn’t want to admit it, but I was wrong. The game has changed.” Finally, Shaq was acknowledging that there were more ways to approach winning in the NBA than having “bigs” in the paint. He understood that the Heat organization had changed the paradigm of the game by playing small and nimble to reach the finals last year and to win it all in 2012 . . . with more to come in the future as this new paradigm quickly becomes an NBA reality.

Being such a huge Heat fan, I loved reading this over the weekend. But what does this have to do with B2B marketing?

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A Brand Crisis Is A Terrible Thing To Waste . . . What’s Your Crisis Management Strategy?

Sheryl Pattek

While I’m not usually a political or news junkie, in looking at the activity of the past few weeks, it’s been quite a few weeks! It ranged from the saga of David Petraeus to the absurdity of a famed Nascar driver intentionally crashing a competitor (resulting in fist fights between the crews), brands' use of Twitter during Hurricane Sandy (the good and the not so good), and finally the culmination of BP pleading guilty to 14 criminal charges and paying a record $4.5 billion in fines and penalties resulting from the 2010 oil rig explosion in the Gulf of Mexico. Each of these stories highlights how important it is to have a strategy in place to protect your brand in times of crisis. While every one of these examples is interesting, in this post, I’ll concentrate on the insights we can gain from the Petreaus and BP incidents to manage brands effectively through a crisis. 

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Data Elected Our 44th President . . . B2B CMOs Must Make The Right Data Work For Them

Sheryl Pattek

No matter what your politics, from coast to coast, the country is breathing a sigh of relief that the 2012 election season is finally behind us. Already, quite a bit has been written about what marketers can learn from the election. So, in this post, I won’t be talking about the huge dollars spent on advertising, how social, digital, and mobile communication continued to be important touchpoints, the impact of grassroots marketing, or how important effectively communicating the candidate’s message or brand affected the outcome. No need for another political pundit in the mix!

While all of these areas have something to teach B2B marketers, what I found the most fascinating is how the use of data, the right data, served as the foundation for Obama’s successful re-election. Starting on election night, the analysts on the best-known news shows were already talking about how calm and confident the Obama team members were. And, why were they confident? According to Obama’s team, it had the data to back up its march to a second term. The team members believed that data and how they used it was one of the biggest advantages they had over the Romney campaign. Think about that for a minute. Obama, traditionally seen as the image and message guy, ran his re-election campaign based on using the right data effectively. And, it worked. 

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At The Starting Line . . .

Sheryl Pattek

Following a 25-year business-to-business (B2B) executive marketing career, I joined Forrester’s CMO & Marketing Leadership Team as VP, Principal Analyst, less than a month ago. And, what a month it’s been! A whirlwind of meeting other Forrester analysts, attending the Seizing Opportunity From Digital Disruption: A Forum For eBusiness & Channel Strategy Professionals in Chicago, leading a session on rebuilding brands at the CMO Club Summit in San Francisco, and meeting with as many CMOs and marketing leaders as I can.

I’m not sure exactly what I expected my first month to be like, but I will tell you that I’ve quickly learned that as CMOs, we all share strikingly common concerns that will form the basis of my research at Forrester. When asking what keeps you up at night, the CMOs I’ve met with so far from a variety of industries confirm my practitioner experience. We are all trying to effectively understand and respond to the significant marketplace and customer changes happening as we enter the always-connected and empowered age of the customer.  

With this in mind, over the next year, I will be exploring the following areas that have consistently emerged from my discussions with you:

  • Aligning marketing strategy to the newly empowered customers with an emphasis on understanding the buyer's journey.
  • Helping CMOs understand how to think about technology, make sense of the ever-expanding technology options, and then partner with their CIO to create a robust and flexible technology infrastructure for marketing.
  • Understanding the evolving role of the CMO and defining marketing organizational design and associated skill sets required for the future.
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Wal-Mart Uses Boxee TV To Accelerate Cord-Shaving

James McQuivey

This week Wal-Mart announced that it would put significant weight behind the new Boxee TV box, a $99 set-top box that competes with the market-leading Apple TV and the runner-up Roku boxes. Wal-Mart also sells the Apple TV and Roku devices, so it might not seem like a big deal, but it is. Because Wal-Mart is going to promote Boxee TV with in-store displays and outbound marketing support. Why? Because in addition to the regular apps like Hulu, Netflix, and the rest, Boxee gives Wal-Mart customers three things they can't get from Apple or Roku:

  1. Regular TV shows from local broadcasters. Boxee's new box has a digital tuner that lets you tune to digital signals from ABC, CBS, CW, Fox, NBC, PBS, and Univision through either an over-the-air antenna or via ClearQAM. 
  2. Unlimited DVR. Not only will Boxee let you watch these channels, it is offering unlimited cloud DVR for $9.99 a month (in only the top eight markets for now) to record any shows from those networks, without managing a hard drive or paying extra if you want to store hours and hours of video.
  3. Multidevice viewing. This is the real coup for Boxee. Because its DVR is in the cloud, it can send your recorded content to any device you log in to -- whether it's in your home or in your hands while traveling for business. 
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What it Means That Apple's iPad Crossed The 100 Million Mark

James McQuivey

In just a few hours I will be on stage keynoting Forrester's eBusiness and Channel Strategy Forum: Seizing Opportunity From Digital Disruption. This is an exciting event because it was one year ago at this same forum that I debuted our research on Digital Disruption, to overwhelmingly positive response. 

It's now a year later and a lot has happened. Digital Disruption will soon be available as a hardback book (also as an eBook, natch). You can pre-order a copy now at Forr.com/DDbook. To complete the book I had to get far outside of my comfort zone -- I work with media companies and consumer product companies primarily, but to prove that digital disruption is a fundamental change in the way we all do business, I had to interview people in the pharmaceutical industry, the military camouflage industry, and I even recently spoke to the CIO of a cement manufacturer! And to my pleasant surprise, they were every bit as digitally disruptive as their counterparts in the consumer-facing enterprises that we think of when we imagine digital disruption.

One of the main reasons every company can be and eventually must be a digital disruptor is the rise of digital platforms. These platforms are founded on a set of devices, wrapped together with software experiences that identify each customer individually, and are open to app contributions from thousands of partners. The platform owners that matter today are Amazon, Apple, Facebook, Google, and Microsoft.

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