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The Opportunity In Big Data Driving Cultural Change

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Page 1: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

The Opportunity In Big Data

Driving Cultural Change

Page 2: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

The arrival of new babies in a household is a major milestone

Page 3: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time
Page 4: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 4

dawn of civilization - 2003

Page 5: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 5

48 hours in 2011 dawn of civilization - 2003

Page 6: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 6

48 hours in 2011 dawn of civilization - 2003

48 hours in 2020

Page 7: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 7

48 hours in 2020 48 hours in 2011 dawn of civilization - 2003

Page 8: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 8

Page 9: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 9

You must use data WITH PURPOSE

What I See / Hear

My Needs / Preferences

What I LIke

Who I Am

Where I Am

How I Shop

What I Buy

Who I Know / Influences

How I Decide

Page 10: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

10 10 © dunnhumby 2015 | Confidential

Today’s data can be overwhelming

who

out of store

remind me

sales & events

easy rewards

no stress

respond

make me look good

inspire creativity

options

recognize

help

in-store

surprises

information

help

same time

new ideals

flexibility

connection

inspiration

select good

choice

feel welcome

feel supported

surprise savings

suggestions

unexpected rewards

save time

fix problems

appreciate me

flexibility

buy

reward loyalty

exceptional service

suggest ideas

ask my opinion

reflect

appeal

flexibility

shop

best prices

interesting range

save time

inform

flexibility

celebrate savings

redeem rewards

what

services

products

rewards

when

day of week

time of day

time of year

occasion

online

offline

how

lifestyle

lifestage mission

needs

segment

interests

behavior

where

fun

surprise

connect

simplify

curate

educate

delight

surprise deals

selection

suggestions

new products inform

me

reward

comment

easy search

Multichannel Shop Ecosystem v2.0

discover

Page 11: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

11 11 © dunnhumby 2015 | Confidential

The right data brings you closer to the customer out of store

remind me

sales & events

easy rewards

no stress

respond

inspire creativity

options

recognize

help

information

help

same time

connection

inspiration

good choice

feel welcome

feel supported

surprise savings

suggestions

unexpected rewards

save time

fix problems

appreciate me

flexibility

reward loyalty

exceptional service

suggest ideas

ask my opinion

appeal

flexibility

interesting range

flexibility

redeem rewards

services

products

rewards

occasion

online

lifestyle

needs

segment

interests

fun

simplify

curate

educate

surprise deals

selection

suggestions

new products inform

me

easy search

Multichannel Shop Ecosystem v2.0

day of week

time of day

time of year

when

offline

what

how

where

in-store

who

lifestage mission

new ideals

celebrate savings

flexibility

comment

make me look good

best prices behavior

select

save time

inform

surprise

connect

reward

delight

surprises

buy reflect discover shop

Page 12: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 12

Our core purpose

Page 13: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 13

The benefits of a global view

$500 BILLION RETAIL SPEND

770 MILLION CUSTOMERS GLOBALLY

3,000 EXPERTS

Page 14: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 14

Mass

Better mass actions improving what is being done today

Segmenting actions to make more relevant decisions

Differentiated

Personalised

Channeling investment on a customer by customer basis

To create a personalised experience

Mass

Best promotions

Targeted price investments

Differentiated

Personalised

Personal promotions

Price & Promotion

Mass

Core range

Differentiated stores

Differentiated

Personalised

Personal shopping lists

Assortment

Mass

Evaluate impact on loyalty

Custom content

Differentiated

Personalised

Personal coupons

Comms

Page 15: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 15

Rebuilding relationships at scale

Page 16: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 16

Page 17: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

17 17 © dunnhumby 2015 | Confidential

Today’s data can be overwhelming

who

out of store

remind me

sales & events

easy rewards

no stress

respond

make me look good

inspire creativity

options

recognize

help

in-store

surprises

information

help

same time

new ideals

flexibility

connection

inspiration

select good

choice

feel welcome

feel supported

surprise savings

suggestions

unexpected rewards

save time

fix problems

appreciate me

flexibility

buy

reward loyalty

exceptional service

suggest ideas

ask my opinion

reflect

appeal

flexibility

shop

best prices

interesting range

save time

inform

flexibility

celebrate savings

redeem rewards

what

services

products

rewards

when

day of week

time of day

time of year

occasion

online

offline

how

lifestyle

lifestage mission

needs

segment

interests

behavior

where

fun

surprise

connect

simplify

curate

educate

delight

surprise deals

selection

suggestions

new products inform

me

reward

comment

easy search

Multichannel Shop Ecosystem v2.0

discover

Page 18: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

18 18 © dunnhumby 2015 | Confidential

The right data brings you closer to the customer out of store

remind me

sales & events

easy rewards

no stress

respond

inspire creativity

options

recognize

help

information

help

same time

connection

inspiration

good choice

feel welcome

feel supported

surprise savings

suggestions

unexpected rewards

save time

fix problems

appreciate me

flexibility

reward loyalty

exceptional service

suggest ideas

ask my opinion

appeal

flexibility

interesting range

flexibility

redeem rewards

services

products

rewards

occasion

online

lifestyle

needs

segment

interests

fun

simplify

curate

educate

surprise deals

selection

suggestions

new products inform

me

easy search

Multichannel Shop Ecosystem v2.0

day of week

time of day

time of year

when

offline

what

how

where

in-store

who

lifestage mission

new ideals

celebrate savings

flexibility

comment

make me look good

best prices behavior

select

save time

inform

surprise

connect

reward

delight

surprises

buy reflect discover shop

Page 19: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 19

“ It ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so.

MARK TWAIN Author

Page 20: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 20

“ Culture eats strategy for breakfast.

MARK FIELDS Ford Motor Company

Page 21: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 21

The three box approach to cultural innovation

1 2 3 Inventing a future built with non-linear ideas

Taking steps to avoid traps of past success

Executing today, with maximum efficiency

Page 22: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 22

Creating the right culture

Pay attention to WEAK SIGNALS

Don’t be constrained by HISTORY

Throw the strategy book OUT THE WINDOW

Page 23: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 23

Seven pillars of customer centricity

Experience

Loyalty

Communications

Assortment

Promotions

Price

Feedback

1 2 3 4 5 6 7

Page 24: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 24

The rewards can be substantial 50%

-40%

Customer experience leaders

S&P 500 Index

Customer experience laggards

-33.9%

14.5%

43.0%

Cum

ulat

ive

tota

l Ret

urn

0 Source: Forrester Research and Watermark Consulting

Page 25: The Opportunity In Big Data · curate educate surprise deals selection suggestions new products inform me easy search Multichannel Shop Ecosystem v2.0 day of week time of day time

© dunnhumby 2015 | Confidential 25

How to effect global-scale change

Become agents for change

Be driven by your values

Build collaborative platforms

Keep an open mind

Increase diversity in your network

Have clear, combined goals / shared scoreboard

Beg, borrow, and steal