I've been analyzing consumer technology uptake for years — helping retailers, for example, understand the barriers to and drivers of online buying behavior. Forrester's Technographics® research shows that preferred online payment methods differ greatly between countries, and companies need to understand this complexity of payment options and how that affects consumer behavior.
Unlike in North America, where the top payment methods tend to be similar in the countries surveyed (the US and Canada), the payment preferences of online buyers in Europe differ both between countries and from their North American counterparts. For example, the popularity of prepaid cards is unique to Italy: Roughly a third of Italian online users have taken advantage of prepaid cards. Global organizations need this detailed understanding of consumer payment preferences across markets in order to be successful internationally.
First of all, let me welcome you to Forrester's new blogging platform. Hopefully you'll find this blogging environment an easy way to access our blog-worthy ideas and community comments
Next, I wanted to officially announce (drum roll please) that I am back leading Forrester's email marketing research. Some of you may know that I did a lot of work in email marketing until 2007 when Julie Katz took the helm, joined subsequently by David Daniels following Forrester's acquisition of Jupiter. I'm excited to be back in the space and already have a stream of research underway.
First up is a piece on how the recession has affected consumer attitudes toward email marketing.
Then next quarter look for three pieces:
*One on the integration of email and social media
*Another updating our email marketing review methodology. See here for the older version.
*And then the third doing a best and worst of email marketing. This piece is also an update of some similar research we did here a few years ago.
What email marketing research would you like to see from us? I'd love to include your ideas in my research plan.
No one that manages a P&L will ever look back at 2009 and say "what a fun year!" eBusiness executives are certainly glad to have 2009 behind them and report to us that 2010 is not as fraught with economic concerns. We just published the results of our most recent survey of 100 eBusiness and Channel Strategy executives and found that although overall budgets for eBusiness aren't increasing that dramatically, our respondents aren't feeling the heat to cut back like they were last year.
Even better, our survey respondents are increasing their budget for new innovation and technology. In 2010, the percentage of the online budget dedicated to new investment and innovation is expected to increase or significantly increase at 52% of firms. Hooray! It's a battle cry for all eBusiness execs to step up their games, and for senior executives in their firms to step up their commitment to and support of the channel. Spending (by our respondents) will focus on analytics and then ratings and review platforms.
Analytics have been a constant in our surveys, and ratings and reviews don't surprise us. Social media is hard for eBusiness execs to get their heads around because many social efforts clearly drive marketing objectives like brand engagement, but the impact on actual sales and conversion is fuzzier. Ratings and reviews are a clearer conversion tool for retailers in particular. My colleague Brad Strothkamp wrote a blog post though about the use of ratings and reviews in financial services, which is not nearly as black and white an issue.
This is probably one of the top 10 inquiries I get from clients. Should I have a mobile coupon offering? If so, what form of mobile technology should I use? Our new report, "Mobile Coupons: Gold Rush or Fool's Gold?" addresses this question in more detail. This question was especially important in 2009 with the poor economy as consumers sought savings and deals.
Do consumers use mobile coupons today? A few do. Our surveys show that a few percent have at least trialed mobile coupons. There have been some usability issues - how to opt in to programs, download a coupon application, breadth of offers available - as well as demand. Heavy users of mobile coupons are not necessarily heavy users of mobile data services. My grandmother cuts more coupons than anyone else I know. She has a prepaid 100 minute per month voice plan. Will she ever use mobile coupons? Probably not. She turns 90 this summer. A lot could change in 10 years, but until her arthritis is so bad that she can use scissors, I think she'll still be clipping coupons from the newspaper. I see more opportunities in luring young mobile-savvy cell phone users into opting in for programs.
That said, I'm optimistic. The main reason ... every grocery store and many retailers that I know are using mobile coupons. Target launched a few weeks ago. Target takes providing an amazing guest experience very seriously. When you ask, "are mobile coupons ready for primetime?" Target adopting and rolling them out is a clear "yes" for a leading US brand. Safeway. Best Buy. Krogers. JC Penney. These are just a handful of the companies rolling out mobile coupons. With their marketing power and ability to drive awareness and motivate adoption, I expect we'll see a significant jump in adoption and usage this year.
Almost four years ago, I began a new journey at Forrester Research when I agreed to take on the B2B marketing research coverage and practice. The first significant research that I conducted and wrote, “B2B Marketing Needs A Makeover – Now,” looked at the challenges B2B marketers face and how they address these issues through marketing programs and technology investment. Little did I know that “Makeover” would become the seminal piece of research in a series that extends across those four years and culminates in an upcoming report next week.
Today, it is with a mix of pride, nostalgia, excitement, and deep appreciation that I announce the next step in that B2B marketing journey, which started in 2006 here at Forrester, but extends back more than a decade earlier through various high-technology marketing positions I held prior to becoming an analyst.
At the end of March, I will leave Forrester to become the Vice President of Industry Marketing for Xerox Global Services, North America.
Very simply, I have been helping many clients face down their marketing challenges, adopt new approaches, and improve the reputation and standing of marketing at their firms for some time. While personally rewarding in so many ways, I longed to return to my roots where I could do more practicing and less preaching. Xerox offers me this opportunity.
A lot of emerging companies think they've "arrived" when they've launched their first analyst briefing "tour." Oftentimes, these start-ups have very small to no marketing function internally, instead turning to outside agencies for public relations, marketing communications, and of course, the debut to the analyst influencers. These small firms feel confident that once they've placed themselves in the hands of the seemingly capable agencies, they'll get all the ink and influence needed to execute the hockey-stick growth curve they've presented to their board and investors. The agency then scurries off, schedules a bunch of analyst briefings, and gives themselves a big pat on the back: mission accomplished! The appointed briefing time comes, the firm's show dog delivers the pitch, and then. . . the promise of a successful briefing fizzles.
Earlier this week, I had a briefing with just such a start-up. The agency dutifully sent me the slides in advance and, as analysts are inclined to do, I took a look. . . and was left wondering just what value this agency was providing to this client. Why? The slide deck, while short, did nothing to sell this company to me, the analyst. Here's the start-up's value proposition:
To this end, Company X seeks to design a system leveraging the latest technologies and utilizing a common processing engine and user interface to provide an integrated, easy-to-use, cost effective solution for financial institution.
In case you haven’t heard by now, Forrester just launched its new blog platform yesterday. Why bother you ask? Well, most importantly, we want to more easily allow you to follow individual analysts and streams of research that are most relevant to you. Here is what Cliff Condon, our guru of Forrester communities and blogs, has to say about the new platform. I urge you to please take a look around, and let me know what you think. Also, let me know what type of content and discussion you would like to see from the Customer Intelligence team in the near future.
This week my colleague James McQuivey published a report called 'Casual Video Piracy Kept At Bay For Now'. Forrester's Technographics research shows that online video piracy is a minority behavior. Just 7% of US online adults regularly engage in peer-to-peer (P2P) file sharing, and less than half of them use it for video files. In fact, more people have given up on P2P file sharing than currently still do it.
Another data point in this report revealed that everyone prefers a legal alternative. Our respondents were eager to reassure us that they prefer to use legal sites for watching videos, if these would give them a convenient way to serve their video needs.
I spent a couple of days with HP executives this week here in Boston. As I worked there myself for 20 years (up to 2001, so I have distance as well), I’d like to comment about how their enterprise business strategy now looks. Of course, I wasn’t alone there; there were 250 of us. Those who follow my peers in Twitter may already be overloaded with multiple 140-character cuts: my impression is that the tool tends to makes them behave more like adolescent journalists than analysts. Often, they were broadcasting tweets before even noticing that a particular statement was “under NDA”. Vendors will learn to be more cautious in the future; which is not good for us analysts. Anyway, here are my highlights of the HP briefings.
HP’s Converged Infrastructure story includes the pending acquisition of 3COM
Nice to see that HP now has (servers + storage + networking) PLUS power & cooling! Now, HP has Cisco squarely within their sights with this one, dropping statements like “they’re just a $30B vendor while we spend over $50B in our supply chain”; “as soon as we can, we will replace ALL our Cisco gear with 3COM and realize 45% savings”; and “of course, all 3COM products use the same operating environment, unlike them”.
My Take: Well, Cisco started this. They are, indeed, seriously threatened. If HP apply their financial muscle and play the pricing game, Cisco’s business and margins may well suffer. Remember, networking is the highest margin area in IT infrastructure: HP is adding it, Cisco is diluting it. But, I also think that Cisco will make other game changing moves in the next months. HP strategists should not be resting on their laurels, they should be doing scenario planning - and thinking way outside the IT infrastructure box.
As of 3/10 our new blogging platform is live. It offers many advantages over our older platform including our new "Recommend This Post" functionality.
But I'm not posting in order to sell it to you. I'm lots more interested in hearing what you think! Is it an improvement, more or less the same, or a step backwards? Let us know by clicking the "Add A New Comment" link below.