brand power & the professional services tom peters smps/08.09.2001
TRANSCRIPT
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Brand Power & The Professional
Services
tom petersSMPS/08.09.2001
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Brand Inside
Brand Org: Lean, Linked,
Internet-driven, Virtual
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White Collar
Revolution!
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108 X 5vs.
8 X 1= 540 vs. 8 (-98.5%)
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IBM’s Project eLiza!
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“Ebusiness is about rebuilding the organization from the
ground up. Most companies today are not built to exploit the Internet.
Their business processes, their approvals, their hierarchies, the
number of people they employ … all of that is wrong for running an
ebusiness.”
Ray Lane, Kleiner Perkins
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Brand Inside
The Heart of the Value Creation Revolution:
PSF Unbound!
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11 September 2000
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09.11.2000: HP bids
$18,000,000,000for
PricewaterhouseCoopersConsulting business!
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[“These days, building the best server isn’t enough. That’s the
price of entry.”
Ann Livermore, Hewlett-Packard]
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HP … Sun … GE … IBM … UPS … UTC … EOP … General Mills … Seagate … Anheuser-Busch …
Carpet One … Delphi … Springs
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Springs
Collections.Flexible sourcing.
Packaging.Merchandising.
Promotion.Design.
Systems & Site mgt.
= Turnkey.
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Problem: Everybody is going after the same space!
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“We are a ‘real estate facilities
consulting’ organization, not just an ‘interior design’
firm.”
Jean Bellas, founder, SPACE (from SMPS Marketer)
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Brand Inside
Brand Action:Getting Started … a
Personal Perspective
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World’s Biggest Waste …
Selling “Up”
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THE IDEA: Model F4
Find a Fellow
Freak Faraway
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Heart of the Matter
F2F!/K2K!/1@T/R.F!A.*
*Freak to Freak/Kook to Kook/One at a Time/ Ready.Fire!Aim.
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BOTTOM LINE
The Enemy!
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Joe J. Jones Joe J. Jones 1942 – 2001 1942 – 2001
HE WOULDA DONE SOME HE WOULDA DONE SOME
REALLY COOL STUFF REALLY COOL STUFF
BUT …BUT …
HIS BOSS WOULDN’T LET HIM! HIS BOSS WOULDN’T LET HIM!
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The greatest dangerfor most of us
is not that our aim istoo high
and we miss it,but that it is
too lowand we reach it.
Michelangelo
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“Reward excellent failures. Punish
mediocre successes.”
Phil Daniels, Sydney exec
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Brand Inside
Brand Talent: The Great War for Talent
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“When land was the scarce resource, nations battled
over it. The same is happening now for talented people.”
Stan Davis & Christopher Meyer, futureWEALTH
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From “1, 2 or you’re out” [JW] to …
“Best Talent in each industry segment to build
best proprietary intangibles” [EM]
Source: Ed Michaels, War for Talent (05.17.00)
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Message: Some people are better than other
people. Some people are a helluva lot better than other
people.
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“AS LEADERS, WOMEN RULE: New Studies find that female managers
outshine their male counterparts in almost
every measure”Title, Special Report, Business Week, 11.20.00
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Women’s Stuff = New Economy Match
Improv skillsRelationship-centric
Less “rank consciousness”Self determinedTrust sensitive
IntuitiveNatural “empowerment freaks” [less
threatened by strong people]Intrinsic [motivation] > Extrinsic
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63 of 2,500 top earners in F500
8% Big 5 partners
14% partners at top 250 law firms
43% new med students; 26% med
faculty; 7% deans
Source: Susan Estrich, Sex and Power
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“Where do good new ideas come from? That’s simple! From
differences. Creativity comes from unlikely juxtapositions.
The best way to maximize differences is to mix ages, cultures and
disciplines.”
Nicholas Negroponte
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The Cracked Ones Let in the Light
“Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found
among non-conformists, dissenters and rebels.”
David Ogilvy
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“Are there enough weird people in
the lab these days?”V. Chmn., pharmaceutical house, to a lab director (06.01)
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MantraM3
Talent = Brand
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Brand InsideReprise:
THINK WEIRD: The High Standard
Deviation Enterprise
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“The highest performing companies have well-developed systems for killing ideas
their customers don’t want. As a result, these companies find it very difficult to invest adequate resources in disruptive
technologies—lower margin opportunities that their customers don’t want—until they
want them. And by then it’s too late.”
Clayton Christensen, The Innovator’s Dilemma
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Saviors-in-Waiting
Disgruntled CustomersFringe CompetitorsRogue Employees
Edge SuppliersWayne Burkan, Wide Angle Vision: Beat the
Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue
Employees
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Forces @ Work
The Sameness Trap
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“Companies have defined so much ‘best practice’
that they are now more or less identical.”
Jesper Kunde, A Unique Moment
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“The ‘surplus society’ has a surplus of
similar companies, employing
similar people, with similar educational backgrounds, working in
similar jobs, coming up with similar
ideas, producing similar things, with
similar prices and similar quality.”
Kjell Nordstrom and Jonas Ridderstrale, Funky Business
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Brand Outside
Strategy 1:
Design Matters!
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All Equal Except …
“At Sony we assume that all products of our competitors have basically the same
technology, price, performance and
features. Design is the only thing that differentiates one product from another in the
marketplace.”Norio Ohga
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Design “is” … WHAT & WHY I LOVE.
LOVE.
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I LOVE my ZYLISS Garlic Peeler!
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Design “is” … WHY I
GET MAD. MAD.
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Wanted: Dead [preferably] or Alive: THE DESIGNER OF MY RADIO SHACK
PHONE. Major Reward!
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Design is never neutral.
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Hypothesis: DESIGN is the principal difference
between love and hate!
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THE BASE CASE: I am a design fanatic. Personally, though not “artistic,” I’m a cool-stuff guy. I love what
I love and I hate what I hate. [Openly.] But it goes [much] further, far beyond the personal. Design has
become a professional obsession. I – SIMPLY – BELIEVE THAT DESIGN PER SE IS
THE PRINCIPAL REASON FOR EMOTIONAL ATTACHMENT [or detachment] RELATIVE TO A
PRODUCT OR SERVICE OR EXPERIENCE. Design, as I see it, is arguably the #1 determinant of
whether a product-service-experience stands out … or doesn’t. Furthermore, it’s “one of those things” …
that damn few companies put – consistently – on the front burner.
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Brand Outside
Strategy 2:
Women Rule!
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$4.8T > Japan
9M/27.5M/$3.6T > Germany
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“Amazing, now that I think about it. A bunch of guys --
developers, architects, contractors--sitting around
designing shopping centers. And the ‘end users’ will be overwhelmingly women!”
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Ad from Furniture /Today (04.01):“MEET WITH THE EXPERTS!: How
Retailing’s Most Successful Stay that Way”
Presenting Experts: M = 16;
F = ??(272?)
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0
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Message: Men cannot design for women’s needs.
Period.
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Brand Outside
Strategy 3:
It’s the Experience!
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“Experiences are as distinct from services as services are from
goods.”Joseph Pine & James Gilmore, The
Experience Economy: Work Is Theatre & Every Business a Stage
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“The [Starbucks] Fix” Is on …
“We have identified a ‘third place.’ And I really believe that sets us apart. The third place is
that place that’s not work or home. It’s the place our
customers come for refuge.”Nancy Orsolini, District Manager
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Experience: “Rebel Lifestyle!”
“What we sell is the ability for a 43-year-old accountant to dress in black leather, ride
through small towns and have people be afraid of him.”Harley exec, quoted in Results-Based
Leadership
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The “Experience Ladder”
Experiences Services
Goods Raw Materials
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1940: Cake from flour, sugar (raw materials economy): $1.00
1955: Cake from Cake mix (goods economy): $2.00
1970: Bakery-made cake (service economy): $10.00
1990: Party @ Chuck E. Cheese (experience economy) $100.00
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Message: “Experience” is the
“Last 80%”“Experience” applies to
all work!
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HP Revisited
PWC Consultants lead Business Re-invention Process (“Experience
Economy”)
Fabulous Customer Service (“Service Economy”)
Terrific Servers (“Goods Economy”)
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Brand Outside
Strategy 3A:
A Case in Point: The Four Seasons
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“Practice Management”
“Lessons” from the Four
Seasons Chicago
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Why I Stay at the Four Seasons Chicago
Comfort. (“It’s
good to be home.”)
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Why I Stay at the Four Seasons Chicago
The doorman. (Recognizes me.)
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Why I Stay at the Four Seasons Chicago
The fact that the GM always puts his desk
chair in my room when I’m in town.
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Why I Stay at the Four Seasons Chicago
The bottle of Chalone chardonnay they leave
for me. (They “remember.”)
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Why I Stay at the Four Seasons Chicago
No hairs in the bathtub. (Operational
excellence.)
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Why I Stay at the Four Seasons Chicago
The Brand. (I trust Izzy.)
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Brand Outside
Strategy 3B:
Sales2001
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The Sales25: Great Salespeople …
1. Know the product. (Find cool mentors, and use them.)
2. Know the company.3. Know the customer. (Including the customer’s consultants.) (And especially the “corporate culture.”)4. Love internal politics at home and abroad.5. Religiously respect competitors. (No badmouthing, no matter how provoked.)6. Wire the customer’s org. (Relationships at all levels & functions.)7. Wire the home team’s org. and vendors’ orgs. (INVEST Big Time time in relationships at all levels & functions.) (Take junior people in all functions to client meetings.)
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Great Salespeople …
8. Never overpromise. (Even if it costs you your job.) 9. Sell only by solving problems-creating profitable opportunities. (“Our product solves these problems, creates these unimagined INCREDIBLE opportunities, and will make you a ton of money—here’s exactly how.”) (IS THIS A “PRODUCT SALE” OR A WOW-ORIGINAL SOLUTION YOU’LL BE DINING OFF 5 YEARS FROM NOW? THAT WILL BE WRITTEN UP IN THE TRADE PRESS?)10. Will involve anybody—including mortal enemies—if it enhances the scope of the problem we can solve and increases the scope of the opportunity we can encompass.11. Know the Brand Story cold; live the Brand Story. (If not, leave.)
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Great Salespeople …
12. Think “Turnkey.” (It’s always your problem!)
13. Act as “orchestra conductor”: You are responsible for making the whole-damn-network respond. (PERIOD.)
14. Help the customer get to know the vendor’s organization & build up their Rolodex.15. Walk away from bad business. (Even if it gets you fired.)
16. Understand the idea of a “good loss.” (A bold effort that’s sometimes better than a lousy win.)17. Think those who regularly say “It’s all a price issue” suffer from rampant immaturity & shrunken imagination.18. Will not give away the store to get a foot in the door. 19. Are wary & respectful of upstarts—the real enemy.20. Seek several “cool customers”—who’ll drag you into Tomorrowland.
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Great Salespeople …
21. Use the word “partnership” obsessively, even though it is way overused. (“Partnership” includes folks at all levels throughout the supply chain.)22. Send thank you notes by the truckload. (NOT E-NOTES.) (Most are for “little things.”) (50% of those notes are sent to those in our company!) Remember birthdays. Use the word “we.” 23. When you look across the table at the customer, think religiously to yourself: “HOW CAN I MAKE THIS DUDE RICH & FAMOUS & GET HIM-HER PROMOTED?” 24. Great salespeople can affirmatively respond to the query in an HP banner ad: HAVE YOU CHANGED CIVILIZATION TODAY?25. Keep your bloody PowerPoint slides simple!
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Brand Outside
Strategy 4:
BRAND POWER!
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“WHO ARE YOU [these days] ?”
TP to Client
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“Most companies tend to equate branding with the company’s marketing. Design a new marketing
campaign and, voila, you’re on course. They are wrong. The task is much bigger. It is about fulfilling our potential … not about a new logo, no matter how
clever. WHAT IS MY MISSION IN LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW DO
I MAKE SURE THAT WHAT I HAVE TO OFFER THE WORLD IS ACTUALLY UNIQUE? The brand has to give of itself, the company has to give of itself, the management has to give of itself. To
put it bluntly, it is a matter of whether – or not – you want to be … UNIQUE … NOW.”
Jesper Kunde, A Unique Moment
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1st Law Mktg Physics: OVERT BENEFIT (Focus: 1 or 2 > 3 or 4/“One Great Thing.”
Source #1: Personal Passion)
2ND Law: REAL REASON TO BELIEVE (Stand & Deliver!)
3RD Law: DRAMATIC DIFFERENCE (Execs Don’t Get It: See the next slide.)
Source: Jump Start Your Business Brain, Doug Hall
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“Brand Promise” Exercise: (1) Who Are WE? (poem/novella/song, then 25
words.) (2) List three ways in which we are UNIQUE … to our Clients.
(3) Who are THEY (competitors)? (ID, 25 words.)
(4) List 3 distinct “us”/”them” differences. (5) Try “results” on your teammates. (6) Try ’em on a friendly Client. (7) Big Enchilada:
Try ’em on a skeptical Client!
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“WHO ARE WE?”
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WHAT’S OUR
STORY?
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“A key – perhaps the key – to leadership is
the effective communication
of a story.”Howard Gardner
Leading Minds: An Anatomy of Leadership
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“EXACTLY HOW ARE WE DRAMATICLY DIFFERENT?”
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“ WHY DOES IT MATTER TO
THE CLIENT?”
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“EXACTLY HOW DO I PASSIONATELY CONVEY THAT
DIFFERENCE TO THE CLIENT ”
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Part I: Brand InsidePart II: Brand Outside
Part III: Brand Leadership
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Brand Leadership
Passion Rules!
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“Create a Cause, not a ‘business.’
”Gary Hamel, Fortune (06.00), on re-inventing a
company (Exemplar #1: Charles Schwab)
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“Let’s make a dent in the universe.”
Steve Jobs