Category Archives: marketing

Consulting Industry Being Attacked on Three Sides

Consulting Industry Being Attacked on Three Sides

by Braden Kelley

The worlds of employment and business are becoming increasingly turbulent as the stability of the enterprise grows ever shorter, the loyalty of the enterprise to its people faces extinction, and the wealthy countries of the world stand at a precipice of overhanging debt. Increasingly intelligent digital technologies and mercurial customer expectations threaten both people and enterprise at every turn.

One would suppose that this would be an amazing time for consultancies, full of promise and opportunities. One would imagine that clients desperate for solutions that help them cope with these challenging times would be banging down the doors of consulting firms outbidding each other to the firm’s next client.

But that is not the reality…

Because, the same forces that are causing a feeling of disequilibrium for the firms that consultancies serve are also causing the same unease, trepidation and challenge for the consulting firms themselves.

The fact is that the consulting industry is being attacked on three sides:

  1. Increasingly Available Intellectual Property
  2. Internal Consultants
  3. Artificial Intelligence

Let’s look at each threat in turn:

1. Increasingly Available Intellectual Property

In my last article, “Thought Leadership Builds Firm Value”, I wrote about the importance of thought leadership in today’s digital age and its role in helping to drive inbound sales leads.

Hiring a consultancy, even for a small project, is a big expenditure for most companies, something that requires several levels of approval before the project can begin. Given that, company employees take to the Internet to build their consideration set and to do their research into how each company thinks and who seems to be the leader in the space where they need help. For help with building an innovation or digital transformation strategy or process, often they find me.

The way that company employees find the companies they will include in their consideration set, and the individual (or firm) they will ultimately hire, is by finding and evaluating thought leadership created by consultants like myself who are good at creating frameworks and other tools aimed at simplifying complex concepts (referred to as eminence by some firms).

Because the discovery and evaluation of thought leadership by potential customers is a key way that independent consultants and advisory firms attract new business, and because it is easier than ever to create and share thought leadership while simultaneously becoming an increasingly important factor in the buying process, independent consultants and advisory firms are creating more pieces of thought leadership and eminence than ever before.

On the plus side, thought leadership and eminence help independent consultants and advisory firms to win business. The down side however is that in much the same way that kids in Hawaii have learned how to become professional surfers by watching YouTube videos, as advisory firms create more thought leadership and make it publicly available to win new business, they also stand to lose an accelerating amount of new business as well. The reason is that the proliferation of eminence and thought leadership will inevitably lead to:

  1. Increasing numbers of line managers feeling that they know enough to tackle the challenge themselves that they might have otherwise outsourced to a consulting firm
  2. Increasing numbers of senior leaders deciding that someone inside their company could spin up and lead an internal consulting group

2. Internal Consultants

Let’s face it, whether we like it or not, an increasing number of senior leaders are becoming fed up with spending $500/hr on newly minted MBA’s from McKinsey, Bain, BCG, etc. when they could hire them on full-time for $75-100/hr by taking one of their promising senior leaders and having them spin up an internal consulting group.

Many companies have already created internal consulting groups to handle the bulk of their strategic project work in order to either:

  1. Save money
  2. Increase responsiveness
  3. Increase speed to market
  4. Keep the knowledge gained from such projects readily accessible
  5. Create and retain a competitive advantage

For me, reason number five is potentially the most compelling reason because it is impossible to expect any large consulting firm to unlearn the insights they acquire on one consulting project and not leverage them on a subsequent project with a competitor somewhere down the line. Doing projects with your competitors is how a great deal of industry expertise is gained by large consultancies, and this expertise is one of the primary reasons that managers hire a consulting firm.

3. Artificial Intelligence

Roboadvisors, chatbots, and other implementations of artificial intelligence have captured people’s imaginations and led to both an increase in the number of articles written about artificial intelligence, but also in the practical implementations of artificial intelligence. People are becoming increasing comfortable with artificial intelligence thanks to the recommendation engines on Amazon and Netflix and IBM Watson’s appearance on the game show Jeopardy and battles against chess grandmasters.

But what does consulting have to fear from artificial intelligence?

In the short run, maybe not a lot. But, in the grander scheme of things, over time enterprising technology vendors will inevitably build upon publicly available artificial intelligence frameworks made publicly available by companies like Microsoft and Google (who are seeking to increase the sale of cloud services) to automate some of the tasks that recently minted undergraduate analysts or Indians perform now for the large consulting firms.

Conclusion

These are challenging times for independent consultants as they respond to these attacks from three sides. Only time will tell how quickly and how broadly artificial intelligence (AI) threatens the core business of consultancies. The internal consultancy threat is real and growing in scope and threat. What may have started in Project and Portfolio Management (PPM), Six Sigma, Lean and Agile practices in some organizations, is quickly expanding into other Operational Excellence areas and even into Innovation, Digital Transformation, and traditional Strategy. Increasingly available intellectual property poses a Catch-22 for consultancies as a refusal to participate in the creation of eminence and thought leadership will lead to less business in the short-term, but doing so will certainly over time lead to an overall reduction in the size of the market for consulting services. Some consultancies are responding by diversifying their service offerings, attempting to create consulting superstores. What will be your response to this attack from three sides?

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Amazon Changes Everything in a New Way

Tide Dash Button

The arrival of the Internet began major disruption to decades old methods of consumer packaged goods (CPG) distribution. The tried and true method of manufactures selling to a collection of wholesalers, who then sold the product on a range of retailers began to be reexamined. We saw the arrival of online retailers like Amazon who sought to compete with brick and mortar retailers, trying to offer a wider selection while also offering potentially a more convenient (and possibly cheaper) shopping experience for a few (or possibly for many). We saw retailers experiment with selling on Amazon (adding an extra layer of intermediation) and grocery stores experiment with online ordering and local delivery.

But at the same, in 2010 we saw manufacturers like P&G start to experiment with selling direct to consumer over the Internet via sites like pgshop.com and then in 2013 P&G started selling their wares on Amazon. Below is a screenshot of a Pampers product listing on Amazon:

Pampers Amazon Screenshot

As you can imagine, when companies like P&G start selling direct to consumers and via Amazon, this makes traditional retailers nervous. And while maybe some day their nervousness will translate into major volume declines, we’re probably not quite there, yet. But for manufacturers, the possibility of selling direct to consumers or via Amazon changes everything. It changes everything because it requires companies selling consumer goods to build new marketing capabilities, and possibly even new manufacturing and distribution capabilities as well.

Frito Lay Amazon Box

Here we have an example of a Sweet and Salty Box being sold to consumers via Amazon by Frito Lay. Compare this with a P&G Pampers page on Amazon and you’ll see that Frito Lay is still learning how to market via the Amazon channel and hasn’t completely figured out how to optimize the experience they create for consumers or likely how to maximize their conversion. But, you may also notice that the Amazon channel offers Frito Lay the opportunity to sell something they probably couldn’t sell in a Krogers, or Whole Foods, or Tesco, or 7-11.

In both of these examples, Amazon is taking and selling the inventory much as a grocery store would, but the customer wants, needs and expectations in the Amazon channel are different, and the skills to effectively market in this channel are different too. These are the reasons that Amazon changes everything for CPG companies. As Amazon continues to grow in importance as a channel for nearly everything, and as other sites like Facebook make a stronger push into eCommerce, and as consumer preferences for where and how they want to buy things changes, it presents a great opportunity for the forward thinking among us to take existing products and create new offerings that resonate with consumers showing a preference for existing and emerging digital channels and to create entirely new solutions that may involve a new product or possibly move beyond a product. Companies in CPG must continue to ask themselves:

  1. What is possible online that isn’t possible in-store?
  2. What do online shoppers want that is different than in-store shoppers?
  3. If we were to move beyond the confines of the product (and how it is packaged and presented), what would resonate with this type of consumer?

You can see on the Pampers page on Amazon above they’ve done a number of different things without changing the product:

  • Offering a range of product quantities
  • Coupons
  • Amazon Dash buttons (push the button and it automatically orders for you)
  • Etc.

And Frito Lay took their existing products and re-packaged them in a different way to suit the capabilities and needs of the channel because selling one individual bag of Doritos doesn’t make economic sense (and so Amazon won’t let you do it unless it is part of a larger Prime Pantry box).

If you were in charge, and had the product range that P&G or Frito Lay have, what would you do to optimize your results in the Amazon channel, or even more broadly in a direct to consumer context?

Please add your comments below.

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Thought Leadership Builds Firm Value

by Braden Kelley

Thought Leadership Builds Firm ValueConsulting firms sell expertise, and their currency is trust. Large consultancies like Boston Consulting Group, Bain, McKinsey, Deloitte, Accenture and others make their money from being a trusted advisor to companies around the world. Why do companies trust them?

One reason is that companies always value an external perspective, and there is a large army of alumni from these firms in organizations around the world guiding their leadership to choose their former employer as that external perspective or that extra pair of hands needed in tackling a large strategic challenge.

But there are also several other considerations that factor into an organizations choice of a trusted advisor, including:

  1. Previous experience
  2. Industry expertise
  3. Area of practice specialty (Strategy, HR, Innovation, Finance, M&A, Technology, etc.)
  4. Personal relationships
  5. Thought leadership

The resulting client work creates staffing plans within consultancies to provide billable hours for project execution. And, while most consulting firms spring to life and find early success because of the strength of their thought leadership, in general, over time most consulting firms tend to under-invest in thought leadership and as a consequence they find themselves vulnerable to new entrants nibbling around the edges of their core business and see their growth slow and eventually turn negative. Thought leadership generates the initial creation and success of the firm and leads to millions of dollars, or potentially even billions of dollars, of revenue for the consulting firm, but despite this fact, most consultancies under-invest in thought leadership.

Part of the reason for the inevitable decline in the firm’s thought leadership investments occurs because thought leadership is rarely anyone’s primary focus inside most consulting firms. Thought leadership is usually seen as the responsibility of the partners and principals of the firm AFTER they meet their revenue goals. How frequently are these people likely to have the time or energy to create the kind of quality and revolutionary thought leadership that leads to the sustaining or expansionary growth that every firm desires?

What we end up with is a level of thought leadership inside most firms that in the best case leads to a maintenance of the firm’s existing business, and in the worst case either no new thought leadership is created, or that which is created, is insufficient to maintain the firm’s current level of business.

A successful partner in most firms keeps their people busy and possibly creates some growth in billable hours for the firm, but rarely will you find that partners are able to create thought leadership capable of creating whole new lines of business. Not through any fault of their own, but because they simply don’t have the time to do it all.

To make things worse, the world is changing…

It used to be that information was scarce and external knowledge was valued by the client.

Now information is freely available and knowledge can thus be created within the client.

An increasing number of companies are therefore relying on their employees to educate themselves, while also creating their own internal consultancies, and relying less on external consultancies as a result.

At the same time, companies are becoming less open to being sold consulting services and instead more focused on becoming buyers of consulting services. And where do companies turn when they seek to be educated buyers of consulting services?

To the thought leadership they can find online from the different consulting firms in their consideration set. This is part of the reason for the rising importance of inbound marketing and content marketing as part of the marketing mix in all industries, but consulting firms are struggling to identify and provide the content necessary to help them maintain (and possibly extend) their success in this new environment.

And, even with all of these changes, most traditional consulting firms still hire traditional consultants and fail to hire people with established social media visibility, great content creation skills, the ability to get published, and the ability to help traditional consultants create both sustaining and revolutionary thought leadership. Firms are still hiring round pegs for their round holes to generate thousands of dollars a year in revenue and ignoring the square pegs with these skills that could generate millions of dollars in new revenue per year for the firm.

Marketing and advertising agencies operate in a similar client-firm ecosystem, but their value proposition is more tilted towards selling creativity and execution. In these industries we’ve seen huge consolidation driven by the need to acquire the new thought leadership, creativity and execution necessary to keep their existing clients, and we’re starting to see the same dynamics in the business consulting market.

The value of thought leadership and employees capable of creating and facilitating the execution of a great content marketing strategy driven by thought leadership, cannot be underestimated.

If anyone doubts the value boost of a thought leader to a firm, even outside the consulting market, ask yourself:

How much did Steve Jobs add to the value of Apple?

How much value did Jack Welch add to the value of GE?

How much value does Elon Musk bring to Tesla Motors?

Great thought leaders and thought leadership add a tremendous amount of value to the brand equity and the value of the firm, so why don’t consulting firms pay more attention to attracting or cultivating great internal thought leaders and thought leadership facilitators within their firms?

How much is a thought leader worth to you?

Do you need one?

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Flaws in the Crawl Walk Run Methodology

The Flawed Crawl Walk Run Methodology

Many of you may have heard of the Crawl Walk Run project methodology. For those of you that haven’t the idea is that if a project team is trying to achieve something big, that sometimes you have to evolve your approach in stages rather than trying to make all the changes all at once. Many people are quite fond of this approach and can be heard repeating the mantra “Let’s crawl before we walk, let’s walk before we run.” Others have evolved Crawl Walk Run into Crawl Walk Run Fly. One of those groups is Edelman (a public relations firm), which in the following image proposes the following Crawl Walk Run Fly approach to social media:

Crawl Walk Run Fly Edelman

Ultimately the Crawl Walk Run Fly project approach looks back to the following Martin Luther King, Jr. quote for its inspiration and structure:

“If you can’t fly then run, if you can’t run then walk, if you can’t walk then crawl, but whatever you do you have to keep moving forward.” – Martin Luther King, Jr.

But the flaw in the Crawl Walk Run project approach was exposed in a conversation I had yesterday with Stewart Pearson, a former client and friend, who happens to be the founder of Consilient Group, an emerging consulting group focused on helping clients undertake data-driven, insight-driven digital transformations to empower organizations to ignite sustainable growth and innovation.

Stewart was speaking about how some companies get stuck in this Crawl Walk Run mindset, and potentially jeopardize their future as a going concern. The truth is that Crawl Walk Run is only applicable to a small subset of projects, and definitely not appropriate for strategic projects because of the imminent danger of the competition transforming faster than you to better serve (and thus take) customers in the marketplace. Stewart captured this in the following way (slightly modified here by me):

“The danger of Crawl Walk Run is that while you’re busy crawling, a competitor is going to walk over you, right before another competitor runs over both of you.”

Then of course we can add in to this that if the customers wants and/or needs have changed, then simultaneously startups will not be crawling, or walking, or running, but FLYING by those incumbents engaged in a crawl, walk, or run strategies to maintain their relevance to the customers in the marketplace. But startups face their own danger in their FLY strategy, embodied in their lack of experience and infrastructure, and in many cases, their need to educate. This can cause startups to fly past the place where customers wants and needs have moved. So the flying strategy is not without risk.

Consulting clients or people inside your firm (depending on your context) may push back against this idea and again something like “Let’s crawl before we walk.” and it’s really seductive to give into this and tow the company line that achieving something is better than achieving nothing. But at the same time, the financial, human and capital resources that you might invest in implementing a broad crawl effort could potentially be more smartly implemented in a narrow run or fly effort off to the side that may then have the potential to be rolled out in a broad manner.

So, in situations where the company potentially faces more risk from moving slowly than from moving too fast, look for opportunities to craft a strategy that allows you to pick a small part of your business (possibly a single project or a single client) that you can begin building out a run strategy for (a strategy that leverages the existing experience and infrastructure of the organization) or a fly strategy (one that completely re-imagines your market approach).

The idea here being to prototype, test, learn, and then scale your transformative new market approach rather than gradually transforming your market approach in a series of phases. This is more like the approach we use in the innovation space, and has a lot of potential in helping to accelerate your ability to continuously transform your organization the maintain optimal value exchanges with your customers.

What do you think?

Do you think your organization could move away from the siren’s song of Crawl Walk Run, or are you stuck on all fours for the rest of your career with your existing client or employer?

This article originally was featured on Linkedin


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Drowning in a Sea of Content

Drowning in Content

In #MyIndustry, content creation (I’m an author, keynote speaker and publisher), there is already a flood of content and the flood waters will not recede anytime soon. In fact, the rate of content creation is increasing as more companies launch content marketing and inbound marketing campaigns to pull customers to them.

Before the Internet came along, content was naturally limited by the potential throughput possible through a relatively fixed number of available channels:

  • Handful of TV stations
  • Radio stations
  • 1 or 2 local newspapers
  • A few dozen magazines
  • A handful of book publishers

Things remained relatively stable for several decades, then beginning in about 1980 this began to change. Cable and satellite television began to arrive taking television from a handful of stations to hundreds. The number of magazines began to grow, doubling between 1980-2000 according to Pew Research, online services and eventually the Internet emerged to provide a plethora of alternatives to traditional newspapers, and satellite and internet radio arrived. At the same time Amazon, Lulu and others launched the self-publishing revolution.

The amount of content available to people has exploded over the last 35 years. I saw a statistic recently that more than 1 TRILLION photos will be taken in 2015, compared to 2.7 Trillion photos cumulatively stored through the end of 2014.

With the rate of the content deluge increasing and with none of it draining out the bottom of the Internet bathtub, it will become harder and harder for a content creator like myself to capture people’s attention and to afford to continue to deliver quality insights from research, collaboration, and connection.

Being a content creator is a lot like being a space object, there are lots of asteroids in space, and it is easy to float around as an asteroid, but to carefully tend and cultivate an ecosystem that helps you attract enough mass and an atmosphere capable of generating and growing life is much harder.

Creating unique and differentiated insights to power content that educates, informs, or entertains (or potentially all three) is hard enough, but if you want to create something with its own source of gravity, you need to collect and harness many more skills, while also looking for potential collaborators with complimentary skills.

This will always be true for artists, musicians, authors, and any other kind of content creator. There is no going back?

So, what’s your center of gravity?

And how can you make it stronger?

In my own content creation sphere, I continue to work to strengthen the center of gravity in the innovation arena by working on a site redesign with my great Innovation Excellence co-Founders and the digital professionals at Juice Interactive, and growing a new center of gravity in the change arena with some new partners as we seek contributing authors for an upcoming launch of Charting-Change.com.

Helping to make innovation and change insights accessible for the greater good is what drives me, and I’ll keep doing it as long as I possibly can!

Image credit: Bunchcast


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People-Centric Marketing

by Braden Kelley

People-Centric MarketingWe live in an increasingly complex world where both the volume of change and the pace of change are accelerating. But it is not just change that is accelerating, choice is proliferating as well.

Witness the example of General Mills’ Cheerios. Introduced in 1941, there are now 13 varieties of Cheerios on the market, not including snack mixes introduced in 2008.

In its 70+ year history, General Mills introduced no variations in the first 35 years; all of the new varieties have been introduced during the second half of Cheerios’ lifespan, with eight of 13 new varieties being introduced in the last decade. The 13 current varieties of Cheerios (with launch dates) according to Wikipedia are:

  1. Cheerios (1941)
  2. Honey Nut Cheerios (1979) (see above)
  3. Apple Cinnamon Cheerios (1988)
  4. MultiGrain Cheerios (Original in the UK) (released 1992, relaunched 2009)
  5. Frosted Cheerios (1995)
  6. Yogurt Burst Cheerios (2005)
  7. Fruity Cheerios (2006) (Cheerios sweetened with fruit juice)
  8. Oat Cluster Crunch Cheerios (2007) (sweetened Cheerios with oat clusters)
  9. Banana Nut Cheerios (2009) (sweetened Cheerios made with banana puree)
  10. Chocolate Cheerios (2010) (Cheerios made with cocoa)
  11. Cinnamon Burst Cheerios (2011) (Cheerios made with cinnamon)
  12. Dulce de Leche Cheerios (2012) (sweetened Cheerios made with caramel)
  13. MultiGrain Peanut Butter Cheerios (2012) (Multigrain Cheerios with sorghum, not wheat, and peanut butter)

We have an overwhelming amount of choice in the supermarket, but we also have an ever growing roster of entertainment options as well:

  • Terrestrial, cable, satellite, and on demand television
  • Internet television (NBC.com, Comcast.com, Netflix, Amazon Prime, Hulu Plus)
  • Television on DVD or DVR
  • Over the air, satellite, and internet radio
  • YouTube, Vimeo, Vine and streaming music
  • Instagram, Facebook, Twitter, Google+
  • Console, PC, Tablet, and Smartphone gaming
  • Snapchat and Wechat
  • Live events and recordings of live events
  • and on and on

Advertising is proliferating:

  • TV and radio advertising
  • Out of Home advertising (Billboards, buildings, airplanes, buses, trucks, etc.)
  • Print advertising (Magazines, newspapers, etc.)
  • Movie and TV product placements
  • Movie theater advertising
  • Airborne advertising
  • In game product placements
  • Digital advertising (banners, videos, etc.)
  • Mobile advertising
  • Naming rights (stadiums, etc.)

Marketing is proliferating too:

  • Direct marketing (direct mail, email, telemarketing, etc.)
  • Partner marketing
  • Search Engine Optimization (aka SEO)
  • Search Engine Marketing (aka SEM)
  • Social Media marketing
  • Inbound marketing
  • Content marketing
  • Viral marketing
  • Loyalty and retention marketing
  • Spam
  • and my least favorite (contact form marketing – aka spam)

With this deluge of choice and competition for our attention, people are in fact more annoyed and less affected by advertising and marketing than ever before.

Growing Customers in a Deluge

So in today’s world, how do most effectively cultivate future customers, strengthen the relationship with existing customers, and maintain connections and grow commitment over time?

There is no single answer of course, but effective marketing in today’s world of endless choice and competition for people’s attention requires the appropriate mix of push and pull and recognizes that the ROI from marketing efforts should not all be attributed to the last click but instead is attributed to the overall customer journey and uses technology that allows you to connect together the different customer touchpoints and impressions over time to help you better understand how your holistic revenue generation system is working. Because effective marketing is not about converting leads, but instead about building relationships.

When your marketing efforts focus on building a relationship, trust, and even partnership with your customers, your organization stands to benefit more than by just seeking the quick scale. Even non-customers can be referrers and recommenders, and as companies grow, a single individual can have a customer, partner, and a competitor relationship with the same organization.

Are you living in marketing’s past?

So if marketing today is more about the customer journey, building relationships and even co-creation, then it becomes even more important to build understanding and trust. The power of the story, the power of experience, and the role of content in this new world become increasingly important in capturing and holding people’s attention. You’ll notice that I said people not customers or prospects, and their is an important reason underlying it.

Because of our increasingly interconnected and always on world, where Yelp has grown to become a more powerful engine of influence than neighbors and co-workers, it’s getting harder to tell who is an influencer and must tell a consistent story not just to prospects, but to all people. And in a world where algorithms determine whether you even appear in the places your potential customers trust, having the right content in the right places, at the right time, so that people (not just prospects) can find it at the various stops along the often long, meandering non-customer to prospective customer evolutionary path.

Embracing an expanded marketing focus on non-customers may be hard for some marketers, but others will see the importance of it in growing and maintaining the long-term health of the organization’s sales pipeline and brand equity.

How do you grow new customers?

Well, by growing the level of comfort and trust that people have in your organization and its employees. There are many ways to do this, but they require a strategy that first seeks to understand the typical paths that people take from non-customer to customer. A lot of people talk about trying to loyalize customers, or turning customers into advocates, and while that may sound logical, there is a flaw in that thinking. The flaw is that people can be influencers and advocates for your products and services before they become a customer (or who may never become a customer) if you’re doing a good job with your people-centric marketing.

When you better understand the journeys people take from non-customer to customer you can better understand what parts of the story to tell when and where. And often as you shift from a lead-generation, prospect-driven marketing focus to a people-centric one, you will start to see that in order to build the comfort and the trust and the excitement, that it will be more about barriers than benefits, more about problems than solutions.

As marketers we love to talk about benefits and solutions, but where we really need to focus is problems and barriers. Where is the friction? Where is the confusion? What are the chasms to be crossed? What are the pitfalls to be avoided?

When we start to understand these things, we will start to understand the stories and the content that need to be told and created in order to provide the jet pack to accelerate an individual from one level of comfort, trust, and purchase readiness to the next. The better we grasp what people are seeking to understand in order to evolve their level of comfort and trust, the better we can do at shaping our messages and our strategy to meet people where they are.

Who’s your thought leader?

This is where having a thought leader on staff comes into play, and why you might want to hire one or convert an existing employee or two into one. The job of the thought leader is to be a storyteller, a brand advocate, and ultimately to be the person that builds those bridges across the chasms and guides non-customers along their journey of understanding by demonstrating understanding of the problems, barriers, and pitfalls that non-customers and customers face, and helping to educate them on some of the ways that progress can be made and success created.

There is nothing wrong with trying to lead the thoughts of others. Someone has to lead, or at least to provoke. Just keep your ego at bay and focus on being a discussion leader and a facilitator within the topic area you are focusing on and key in on the transitions that you are trying to encourage. Ultimately what you are doing is growing customers, but there is no set timetable for when a non-customer might become a customer, and we’re not focused on speed as much as we are on acceleration. The closer we can draw non-customers to us, the more likely they are to want to become employees, partners, co-creators, advocates, or even aid in creating post-purchase rationalization instead of buyers remorse.

But the sad part is that most companies don’t recognize the importance of thought leaders, and the unique skillset that some people in understanding the journey and the problems, pitfalls, barriers, chasms, and transitions that matter to non-customers. Most consultancies want their consultants on the road billing every possible hour, and don’t allow anyone to focus on this important area of growing future customers. They dabble, and maybe they publish a white paper here or there that looks just like the white paper their five other competitors just put out, but they don’t commit to any marketing activities that result in immediate lead generation. There are a few consumer product companies that are doing surprisingly well in this area, but the two areas of greatest opportunity probably lie in the business-to-business (B2B) and service industries (consulting, legal services, etc.).

I’ve done a bit of work in these areas helping companies like Innocentive, Planview, Imaginatik, and Crowd Computing create single content input, multiple content output strategies to help evolve their ranks of non-customers along their journey with some informational pieces.

Thought leaders can and should play a large role in your innovation efforts as Evangelists (see my Nine Innovation Roles) and in helping your organization do a better job of value translation and value access (see my article on Innovation is All About Value). As you launch innovations into the marketplace, a people-centric marketing approach can make a huge difference in translating the potential value better for customers and non-customers alike and identifying areas of opportunity for improved value access (based on the thought leaders’ understanding of the non-customer’s journey) that can be communicated within the organization and new value access offerings that complete the core value creation of the innovation.

I hope by now you see the importance of focusing more on people-centric marketing and in understanding non-customers as well (or better) as we currently understand our customers.

But, of course in order to become a thought leader, someone must inevitably find what you have to say worth following.

So identify the thought leaders in your organization, or hire one, and start building your people-centric marketing strategy today!

Image source: bashfoo.com


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Planning to Spread

We’ve all seen the viral videos that seemingly come out of nowhere to garner millions of views on YouTube, videos like this one where five people play one guitar singing Gotye’s “Somebody That I Used to Know”, which as of this date has garnered more than 163 million video views:

And if you add up all of the other postings of this same video, the total number of video views goes much, much higher.

Now, surely Gotye’s version of the song couldn’t have possibly garnered more views than this viral sensation that Walk Off the Earth’s cover created, could it?

Um, actually it did. To date Gotye’s official video has captured nearly 600 million video views, or nearly FIVE TIMES as many video views. So, it hasn’t turned out all bad for Gotye.

Now you might ask yourself, how could the huge success of the Walk Off the Earth viral campaign be trumped by traditional marketing if viral marketing is supposed to be the silver bullet?

Well, the truth is that whether you pursue traditional marketing and advertising or supposedly “viral” marketing activities, the goals are the same:

  1. Awareness
  2. Interest
  3. Desire
  4. Action

And it is within that first bullet point, that you find the viral component that any marketing activity or any evangelism activity (for innovation, for change, etc.) should always contain – spreadability.

Now, WordPress doesn’t seem to think that spreadability is a word, but let’s assume for a moment that it is and focus on the fact that most of the time, one of your goals in business (and your personal life) is spreadability. Ultimately, in many cases, success is determined by whether or not you can get your idea to spread.

This is true whether we are talking about an IT project, a Six Sigma continuous improvement effort, a change initiative, a Lean event, a marketing campaign, or a project commercializing an invention into a potential innovation.

So, can anyone guarantee that an idea or marketing campaign will spread?

The short answer is no.

Sorry, I wish I had better news for you, but the fact is that nobody can guarantee that your idea or your marketing campaign will go viral. Why?

You’re dealing with humans living in a complicated world. We’re not all built the same and the same person can have different reactions to the same stimulus (driven by mood and context among other things). This can result in a perfectly spreadable idea or message being stopped dead in its tracks, depriving you of all of the potential downstream sharing that you might have been hoping for or counting on.

Sorry, you can’t guarantee spreadability, despite what opportunistic marketing consultants claiming to know the magic formula might tell you.

Spreading ChangeBut, an idea can be built to spread.

And I’d like to share with you a simple framework, for free, that you can download and spread far and wide.

Click here to download the “Planning to Spread” starter worksheet as a PDF.

It’s based on the same priniciples as mind mapping and it will help you start either with a particular node in mind (someone you’d like to reach and influence) and work backwards, identifying both how to evolve your idea to best influence that particular node, and how you might be able to reach them (at the same time). Or you can work from the idea outwards. Focusing primarily on the WHO and the WHY as you move outward.

The key questions to consider as you are “Planning to Spread” your idea are the following:

  1. What is your idea or message? (Does it resonate with my target audience?)
  2. Who are you trying to reach?
  3. How will you reach them?
    • When will they be most receptive to the message or idea?
    • Where will they be most receptive to the message or idea?
  4. Why will they engage? (What value will they get?)
  5. Why will they share? (What value will they derive?)
  6. How will they share?

Working your way thoughtfully through these questions will increase the chances that your idea or message will spread, but they won’t guarantee it. Going through the process however will help you refine your idea or message, help you think through the mechanics of how you might encourage and increase engagement, and may even help you uncover flaws in your idea or message that you missed (and give you a chance to fix them).

Planning to Spread WorksheetHappy spreading!
(and please let me know in the comments below any things I might have missed)

So what am I trying to spread?

Well, in the run up to my second book (this time focusing on the best practices and next practices of organizational change), soon I will be releasing a new collaborative, visual change planning toolkit to help organizations work smarter by planning their change initiatives (and projects) in a less overwhelming, more human way that will help get everyone literally on the same page.

This is the idea that I will be spreading and there are many ways that you can benefit.

One way is by becoming a case study volunteer. I’m looking to select a handful of companies to teach how to use the toolkit for free and feature their experience in my next book on the best practices and next practices of organizational change. If you would like to get a jump on the competition by increasing your speed of change (and your ability to work smarter), register your interest here.

But there are several other ways you can benefit, and all of them can be found here (including upcoming chances for consultants to train on the methodology and boost their revenue and success as they work with their clients around the world to deliver positive change). I’ll be focusing on teaching and tools, not consulting.

What message or idea are you trying to spread?


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Are You Lying to Your Customers?

Are You Lying to Your Customers?

It seems like every company these days is trying to claim that they are innovative, trying to claim that they are customer-centric, trying to claim that their employees are important to them. But are they?

Can all this be true?

Or, are all of these companies lying to their customers, lying to their employees, and lying to their shareholders?

Many companies say that they are committed to innovation, but employees know the truth. If employees’ experience around the innovation efforts of the company (and its outcomes) isn’t consistent with the innovation messages being communicated, then not only will innovation participation and outcomes be low, but ongoing trust and loyalty will be further eroded in the organization.

Employees can see the Lucky Charms on your face when you say you’re committed to innovation publicly, but behind the scenes your actions demonstrate that you really are not.

And don’t be fooled, customers will start to see the Lucky Charms show up on your face, no matter how hard you try and convince them that the marshmallow goodness is not there.

If you aren’t going to define what innovation means to your company, if you aren’t going to create a common language of innovation, if you aren’t going to teach people new innovation skills and support innovation at all levels by making limited amounts of time and capital available to push their ideas forward, then don’t say you’re committed to innovation. You’ll tear the organization down instead of building it up.

Lying to CustomersIf customers don’t see you increasing your level of value creation, improving your level of value access, and doing a better job at value translation (see Innovation is All About Value), especially when compared to the competition, then they too will become disillusioned, frustrated, and start to look for other alternative solutions that deliver more value then all of your offerings.

Meanwhile, shareholders behave like customers on steroids. If you are being rewarded with an innovation premium by the market, you can’t be “all hat and no cattle” for very long, meaning you have to deliver compelling inventions on a repeated basis with a strong potential to become the innovations that drive the future growth of the company. This is hard to do once, let alone on a repeated basis. We will likely see Apple be the latest victim in the next twelve months.

Why? Because AAPL is at an all-time high based on the likely high percentage of people that are likely to upgrade from an iPhone 4 or 5s to an iPhone 6 or 6 Plus. What about after that? Well, the smartphone industry is about to enter the same place that the PC industry hit a few years ago, when replacement cycles began to lengthen, reducing revenues, and forcing prices (and margins) lower. Simultaneously carriers will seek to extract more of the margin from the overall equation, and if Google/Motorola/Lenovo, Nokia and others start to bring $99 smartphones developed for India and other places to the richer economies that will in their next generation likely be “good enough” compared to the high end $699 handsets, more people will choose to wait longer between upgrades, or trade down with their next purchase, much as they did when $400 laptops started to become the rage.

So, what are we to learn from Apple’s pending share price collapse about the middle of next year?

Well, the first thing we will learn is that continuous innovation is hard. Now I’m not saying that Apple is going to go away, HP and Dell haven’t gone away, but Apple’s share price in Q2/Q3 2015 will struggle, they will face employee defections, and it will become more like Dell, HP and Microsoft than Facebook or Google. Not because those companies are any more or less innovative than any of the others, but because the growth paradigms are different and those companies are still in a different place on their growth curves.

We can also learn that continuous innovation requires consistency, commitment, the ability to recognize and prepare for the inevitable peaking of any growth curve, the organizational agility necessary to change as fast as the wants and needs of your customers and your environment, and the ability to understand what your customers will give you permission to do (so you know where to go next when your most profitable growth curve begins to peak).

You should see by now that continuous innovation is about far more than technological innovation, but instead requires not only continuous commitment, but also a continuous willingness and ability to change, and a continuous scanning of your environment using a Global Sensing Network.

Do you have one?

What is yours telling you about your company’s future?

Please note the following licensing terms for Stikkee Situations cartoons:

1. BLOGS – Link back to http://stikkeechange.com/category/stikkees/ and you can embed them for free
2. PRESENTATIONS, please send $25 to me on PayPal by clicking the button 3. NEWSLETTERS & WEB SITES, please send me $50 on PayPal by clicking the button
License for presentations - $25
License for newsletters and web sites - $50

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Where is the Innovation Bonfire the Hottest?

Stoking Your Innovation Bonfire Sales

Now that I’ve secured a book deal with Palgrave Macmillan for my second book, I thought it might be interesting to peek in on the Nielsen Bookscan sales numbers on Amazon and look back at the last couple of years of sales by geography in the United States for Stoking Your Innovation Bonfire. This is what you’ll see in the map above (darker color indicating more dense sales). Unfortunately they don’t collect international data an so I can’t show you a world map, despite the book’s global popularity.

So where in the United States does the innovation bonfire burn the brightest? Here are the top ten cities:

  1. Washington D.C.
  2. Boston
  3. Los Angeles
  4. New York
  5. Philadelphia
  6. Silicon Valley
  7. Seattle
  8. Cincinnati
  9. Chicago
  10. Dallas

Think your city should be on the list?

Get a copy of the book or ask your library to acquire it.

Curious what my second book is about?

My intention is to make it the definitive instruction manual for planning successful change (complete with guest experts and numerous collaborators).

I’m currently developing the powerful visual, collaborative change planning toolkit that will sit at its core and building the web site that will allow me to start inviting people to register their interest in getting exclusive early access to the toolkit before the rest of the world, so people can use it with their clients or in their company as soon as possible, and also possibly contribute to its evolution.

So, stay tuned and subscribe to my weekly newsletter to get the latest info on this exciting new project!


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Let’s Chat About the Language of Innovation

Let’s Chat About the Language of Innovation

Let’s Chat About the Language of Innovation

It was bound to happen sooner or later…

What is it you might ask?

Well, it is the recognition that the language we use (and more importantly, having a common language) when it comes to innovation, to change, or to pretty much any other aspect of business is just as important as it is in our personal lives.

Who does the recognition come from?

Well, none other than the innocats, a cool group of people who host a twitter chat at #innochat every Thursday at 5PM GMT (that’s 9AM for those of you on the west coast of the USA, Noon on the east coast, and well, 5PM for those of you in the UK).

Personally I tend to use Tweetchat.com to participate in twitter chats like this because it makes it easy to follow along real-time. If you go to the Tweetchat.com web site, just enter the hashtag #innochat as the room you’d like to enter.

So, come join me tomorrow (October 9, 2014) for an #innochat on the language of innovation. You can find the introductory post for the session here:

Sorry, link expired

UPDATE: Sorry, link to transcript expired

On that page you’ll also find links to my latest article on the topic and my latest white paper (commissioned by Planview).

If you’d like to commission a white paper, webinar, or keynote speech on innovation, social business, inbound/digital/content marketing or some other topic you think I can help people make sense of, contact me.

Otherwise, come join me for a lively Twitter discussion of the importance of a common language of innovation.

Oh, and if you’re curious what my current definition of innovation is, here you go:

“Innovation transforms the useful seeds of invention into widely adopted solutions valued above every existing alternative.” – Braden Kelley

Keep innovating!

Please note the following licensing terms for Stikkee Situations cartoons:

1. BLOGS – Link back to https://bradenkelley.com/category/stikkees/ and you can embed them for free
2. PRESENTATIONS, please send $25 to me on PayPal by clicking the button 3. NEWSLETTERS & WEB SITES, please send me $50 on PayPal by clicking the button
License for presentations - $25
License for newsletters and web sites - $50

Subscribe to Human-Centered Change & Innovation WeeklySign up here to get Human-Centered Change & Innovation Weekly delivered to your inbox every week.