Jean-as an enterprise owner and senior in the communications industry
Pierre Lacroix, president of Toronto Shikatani Lacroix
Over the past 20 years, great changes have taken place in technology and customer/employee expectations based on brands and design agencies.
In the third part of this much
Part of the executive Q & A series I will chat with Jean
Pierre talked about what industry is at the forefront of digital transformation.
Doug: Do you see some specific industries or areas where digital transformation has a greater impact and more benefits
This is a good question.
I would say there is a balance between being destroyed and using digital technology.
Industries that are most vulnerable to disruption, and most vulnerable to new technologies or new business models are also companies that need but don't necessarily have more effective access to numbers.
I will use the bank as a good example.
Talk to any banker today, not about the whole channel. -
10 years old.
They are one of the first people to develop a banking platform to create a digital online experience for their customers because they know that customers like to bank online.
Now financial technology begins
Ups has developed techniques that allow you to transfer money and bypass filling out forms, eliminating friction for customers in the banking industry.
I think the banking industry is sober.
They will not let themselves be subverted by fintech, instead they are embracing fintech, which plays a huge role in what is happening in the branches.
Fewer and fewer consumers are entering branches.
These branches need to change their meaning and value to their customers.
Not a matter of trading;
This is about knowledge and empowerment.
You see banks, smart banks, slowly shifting their attention from trading to knowledge and authorization.
Now, tellers can talk about retirement plans, investment plans, and financial security for clients.
This is a good example of an industry that embraces digital, not because it is a good thing, but because it is a necessary condition to avoid being destroyed.
I would like to say a general merchandise retailer like Canadian tyres and Walmart, selling goods is another industry that needs to wake up in digital technology because they are all about trading.
They are going to sell to consumers.
This is about the size of the basket and when the customer visits their store it increases the number of products they buy.
Numbers can play a very important role in reminding them of things.
"Miss consumer, you know you bought toilet paper the last time you came.
It was a month ago.
You might want to add.
"I didn't think of that.
"Most consumers who go to supermarkets don't have a shopping list, so stores like Walmart and Canadian tyres have a great opportunity to pull sales, but they're not there.
If you go to those stores where shelf activation using digital technology still doesn't exist.
They haven't figured out the size of the basket yet, but smart people will.
Now, everything is about the big screen.
This is not a shelf problem.
This is about the big screen creating a lot of excitement, which is great because it reinforces the relevance of the brand.
However, on the last day of the second purchase decision ---
The role of numbers is small and should not be.
Doug: So, what you're talking about is the personal experience on the arrival rack from the big screen.
Shelf displays can drive something personalized and make something relevant to a particular consumer. Jean-
Pierre: I went back to the ad I mentioned.
You can spend trillions of dollars building the image of the consumer, and then at the last minute, the consumer turns to another brand.
The model is upside down for me and the money needs to be spent on the store experience.
When a consumer makes a purchase decision, it will cost.
Not on the Internet, not on the radio.
These are good ways to build brand awareness, but when most consumers can switch on shelves, this is the real battlefield and the place to spend money.
This is where big data plays an important role: the connection between mobile devices and all shelf communications.
This is where real fighting can win and where smart retailers invest.
This reminds me of a little story four years ago.
We were hired to reinvent Office Max.
Online sales have had a huge impact on the store's performance.
The average size of the store is 25 to 27,000 square feet.
Our mission is to create 17 to 20,000 micro-stores in cities that are even smaller than this.
When we saw the digital sign, the shelf sign, we saw the electronic ink ---sign elements --
We calculated it.
Customers are very interested in digital signage because it allows them to change prices by region and then act quickly in a competitive situation.
It costs $300,000 in a store, so imagine a multiple.
Today's challenges remain, and it is a huge financial challenge for retailers to embrace digital.
These platforms will reach $100,000 today.
I think this is more of a retailer mentality.
Say that Flyers are the most effective marketing tool for them, and in fact, the most effective marketing tool is their store.
Effective communication with consumers at the shelf level will bring them more revenue and sales compared to advertising, broadcasting, promotions and billboards.
This is just a mentality.
I think what digital is doing is forcing organizations to rethink their business model.
The previous business model was "build it and they will come.
"Digital offers a platform for people to rethink.
Evaluate their business model.
So, you look at Loblaws, the market leader in the supermarket category in Canada. They're smart.
They're Digital.
They spend money on loyalty programs that reward behavior.
Not just buying, but behavior. -
This is smart.
They are now exploring orders on your phone and driving through.
They are exploring the elimination of these anxiety points.
I think most organizations are now facing a digital re-entry.
Evaluate their business model.
If you don't
Evaluate your business based on numbers, you are a retailer, a packaged goods company or a company, and you will most likely not be present for a long timeterm.