1.
A question about whether this is valid when applied to the Korean context
Various examples like Kiehl's
What is your business? p.32 — the process of finding that question is innovation.
Best Buy — expanding products and methods
D.T. is a means. The environment around means has become extraordinary.
Dano Sis) Diet × Discovering your hidden charm — that's my business. Mats, foods and drinks... everything can be converted into commerce.
Its platform side was stronger than its commerce side.
Not from an expansion angle — the important thing is how can we draw a finished picture.
In line with the brand model (customer segmentation), we're analyzing correlations between data sets — reviews vs no reviews showed a 2x difference in purchase rate.
In the end, the process is: understanding the customer, agreeing on what indicators to use, and so on.
Will this still be valid a year from now? How should we interpret the topic of D.T. in the current situation?
2.
Agenda 1) There don't seem to be many domestic cases... what's out there?
Starbucks,
Not about efficiency, not about connecting the digital front-door and back-door. No online-mall consolidation.
Apart from commerce platforms and finance, what else? Could it be that they already exist and just haven't been discovered?
Shinhan Bank (Sol) was one of the digital-related cases, but as time passed it faded. Our eye level has gotten higher, perhaps.
The issue is not a solution. Through observation! Best Buy and The Weather Company flipped it. Shinhan just prettified things. It wasn't a fundamental shift.
Decision-makers are often not actually users of the business. They don't feel the pain points — they're focused only on year-end performance. Executives need to become the most demanding customers of the service. Best Buy basically became the offline version of Amazon.
No time is spent looking for WHY. Cases of driving from the customer's perspective. In big companies: innovation for innovation's sake.
Early D.T. was only worrying about social-network content, focused only on the output
Temperature gap: fear of alienating the existing base through innovation — Shinsegae vs SSG
(Big-company sourcing + SSG data) × patterns of shopping and consumption & silo phenomenon
Best Buy 2020 — technology helps customers improve their dreams and lives; customers realize their grand dreams. <- no mention of online/offline.
Because each president's YoY KPI (the definition of performance, the definition of the business) doesn't change, no amount of reshaping can fully satisfy customers.
It's a structural problem.
Open innovation? Case — customer-participation R&D — MUJI
Customer-perceived feeling (quality) — product... — Is it limited to the product? What about delivery? That's why you need the journey
What if you did it before launch? The process of preparing persuasion
The biggest issue in product/manufacturing-centered businesses. The burden on resources.
Blank — speed as the point? Or are they wanting steady-sellers? — Quality. The standard can be ambiguous.
Customers don't escape "store — classify — choose."
The process of improving existing market products is predictable. Innovation, by contrast, is hard to predict.
CU — "How about this?" site — similar to Muji
Open innovation isn't what comes first.
Japanese big data, internal history management (can you support it at introduction?), constant simulation, settle within a month
Books, weather — correlations with weather
*"Let's make one of our own cosmetics" (issue — customer ideas and ideas that move the market are different)
Just involving the customer unconditionally is not the answer. The internal process matters. The system for digesting it internally matters.
There's a price range and category that triggers impulse buys. There are materials that are easy to market.
Blank) pre-experience through video — impulse buy — post-experience...
But they never re-buy again on Facebook — isn't that a case of giving a bad experience?
Are they only focused on dress-up?
* Perhaps the limit of video commerce. With 100% original expression alone, it's hard to hook.
Consumers have gotten smarter. Quality. Authenticity. Honesty.
The Weather Company — struggling to get ads, then changed — not all of their attempts succeeded, but the learnings from diverse attempts give all employees positive stimulus. Even when you fail, you can head in the right direction. If it's not about extending an executive's career, but about keeping your business's direction and your own pace, and if you can keep open innovation going, you can earn customers' trust.
More than anything, the meaning of the work matters.
Looking at the case of oil, community matters. New perspectives.
When you don't have confidence, you ask questions, but your questions are not sharp. You can't get the direction fine enough.
It's not about whether an ad succeeds... it's about fearing you won't satisfy the higher-ups.
Envy from branding folks: "The decision-maker says, 'at this point we should do this for the customer,' vs "oh, you did this kind of thing?!" — a plausible-sounding story.
A company's most important assets — data, customers.
Baemin) Owner-customers, women in their 20s, 1–2 person households.
Big-company only in name recognition; reality is SME.
Those in their 20s and 30s are covered — running campaigns for those 40+ — who (where they live, age, sex), what they buy, when, how many.
Money burn — urban fulfillment centers — 2-wheeler, 30-minute delivery, Gangnam, Songpa, Yeongdeungpo, the 1F is a convenience store but the order comes from the 3F — unlike cargo trucks, riders need air-traffic-style dispatch control (like a weather bureau).
Expansion and scaling up first, before big data.
When the brand is weak, it becomes an easy target to attack. Brand image and experience matter — see Namyang.
Branding over margins — small-business owners — join Baemin — Baemin Academy, Baejjangyi (promotional squad), tours, Baemin Sanghoe (only 2% margin; they have to eat together — for Baemin merchants)
They're wondering how far delivery's share of dining out can go. Thinking about eating habits. There's clearly a ceiling.
Yogiyo — liquidating the German stake.
It's hard to grow a system when you don't know if the business will work. — Google Sheets.
A business easy to kibitz on — "Every business Mr. Kim (MD) has brought in has flopped..." — order takeout and get it to go, haha.
Coupang — auto-ordering.
Predicting production/order volumes, figuring out how to identify order timing through data.
Based on pre-purchase data, estimating actual market sales.
On day one, based on live inventory, plan toward the goal of "we should sell (10)%."
Intuition types, data types.
- SPAO CMO — "Everything we said ‘no' to ended up working."
When you own a brand and also run commerce
- sourcing is needed
- factories, handling, accumulation — then evaluate.
- quantifying qualitative data
- CS, frequent, varied branches — we're just watching with our eyes. -> crawl customer reviews — make them valuable. Turn them into assets.
Make customers your allies. In hard times, those who help are, in the end, also customers.
- Things that can't accumulate. Don't spend resources on ephemeral events.
- Focus on whether data, revenue, and customers all keep stacking up.
Are we only looking at the stable parts? What parts have no data yet but can still be inferred?
First survive. Keep it in one corner of your mind. Same data — different opinions: "because it exists, we should grab it" vs "because it doesn't, we should grab it first."
