What Marketing Will Be: 1. Phygital World Digital Signage

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WHAT MARKETING WILL BE

Integrate the short term in the long term. Very important today to have a clear idea of the future, where you are
going. Impossible to manage everything if you don’t look at long term.

1. PHYGITAL WORLD

Digital signage: Leading the future for decades. There is still a lot to be seen. Marketing is always linked with
signage. Signage is going to be the next revolution we will have in marketing.

Customer’s language of 21st century is Phygital Retail: one step further than omnichannel. You have to create a
business idea without a barrier between physical and digital (with a bridge), to create a unique interactive
experience for the user.

Phygital experiences: customer centric.

• Challenge nowadays: that people talk about my brand in social media, find out how to manage the
experience (it’s complicated) and be profitable at the same time.
• Experience is the key motivation for customers.
• No product differentiation: all industry has gone through a volume and not value economy (buying a lot and
cheap). Products are all the same for us (they have lost interest). I have to sell experience as my attractive.
• All sales of my company depend on my capability of entertaining my customers.

Phygital Experiences have to follow the 5 Fs (21st century marketing)

- Fleeting
- Fresh
- Fast
- Fascinating
- Phygital (physical+digital)

Phygital becomes the augmented reality of any experience → phygital can be understood as augmented reality

The future will belong to companies that from the very beginning project themselves with a phygital way. There are
no tools to measure if these strategies are helping or not the company.

Phygital experiences are not only a question of technology but to establish a communication system that
incorporate the ON/OFF.

Phygital experiences: sort out and excess of innovation. Customer-centric. Create a learning path.

2. COMPUTER GENERATED IMAGES

Now is the time for leadership of digital content in corporate communication: phygital code.

• On becomes off & vice versa through the contents


• Future of marketing is in decodification.

Phygital code implies retail → Phygispaces

Ikea has a shop in shop virtual reality show → they have hired a virtual model. People are following Inma in
Instagram (she is a virtual model).

The Phygital language, does not want to distinguish the real from the unreal plane: a phygital language to create
phygital uix

Ikea is playing with reality. And we do not distinguish reality from virtual.

Companies are using CGI to create their catalogues (IKEA for example), they save a lot of money with this.

3. GAMIFICATION
Our frame of reference: GAMING. Born to be phygital.

Industry with most weight of entertainment and the one that grows the fastest. 2,5 b players in the world. 57% of
consumption via mobile

At the beginning it cost a lot (Mc Donalds could afford it).

Gamification

Introduce mechanics of the game in an attractive way, to achieve an objective. Types:

• External (Marketing & Sales): attract and retain customers


• Internal (Internal Marketing): improve productivity and commitment.
• Ludified Social Marketing (Modify behaviours): change behaviours. Pinduoduo.

In gamification → A very aggressive way of manipulation: extrinsic motivation (want a reward or avoid a
punishment), intrinsic motivation (doing it because you enjoy it) …

- Autonomy: choices people make and why they make them


- Competence: ability to be challenged appropriately
- Relatedness: connection and support with others

But all of these are now moving to buying → Videogaming has a lot of power on mass marketing industry.

4 elements of games:

1. Goals: something to aim towards


2. Rules: ways to achieve goal
3. Challenge/Conflict: combination between goals and rules
4. Feedback: how we are doing and how far from goal

Gamification business model: another dimension

Pinduoduo: Videogaming and social media to do business. It is ludified social marketing.

• More users than Alibaba


• The Founder: 20th richest man in the world → videogaming experience + business experience (Silicon Valley)
• Wechat (like whatsapp), belongs to Tencent (controlled by the government)
• Imagine becoming addicted to a buying platform → Manipulation of human being

Imply taking technology from operational to the strategic level

To make addicted customers in the future, brands are going to use CTI and Gamification

- Knowledge: interesting information, customers learn through this


- Internal motivation: if we work it well (ethically) → loyal customers. For example, with social responsibility
(Estrella damm). If not, they could be addicted customers.
- Operational level:
Hipanda introduced it only in one shop in Tokyo (not part of their business model) → has not been
successful.
Companies that introduce screens in shops.
IKEA with Inma is like an advertisement (nothing to do with business model)
- Strategic level:
Pinduoduo is defined by technology, they are based on social media linked to online platform, it’s their
business model definition.
Barça store in the stadium only sold at the beginning, middle and end of the match and it became
overcrowded → they introduced screens.
Acustom is strategic level (business model is based on this)

4. RETAILTAINMENT

Retailtaniment: Phygital shopping experiences. Imply taking technology from the operational to the strategic level

Retail from the ludic point of view, making our customers have fun from the shopping experience (gaming and CPI).
Nowadays all companies are retailing (included Amazon and Microsoft, they also have physical stores). Retailing is
not having physical stores but about creating experiences.

Imply creating communication spaces with a holistic vision ON/OFF

5. BIG DATA

Analysis of abundant information (volume, variety, speed) in real time that is communicated quickly and in real time.

Ensure value and truth of information.

6. ARTIFICIAL INTELLIGENCE

Internet of things

Turning an inert object into intelligent, with virtual identity and able to communicate and interact.

Devices that have: microprocessor, software, memory, intercom system.

Typology according to VINT

• Wearables: portable, to improve lives of users. Smart watch.


• Surroundables: surround us and perform functions. Measure heart rate and send it through Bluetooth.
• Augmentables: complement senses. Adjusts the light
• Swallowables: manage information. Monitor diseases
• Enchantables: smart objects. Baby temperature and warn when fever
• Bio-hackable: implanted under the skin. Improve body performance (ear implants)

Typology by functionality (Can be both at the same time)

• Sensors: measure states and changes


• Actuators: act an execute actions

Implementations problems:

• Qualified needed
• Duration of battery
• Different programming languages
• Cybercriminals

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