The information economy will cause major changes in every field from the way in which business is done to working life. We asked the world’s leading gurus about the impact of the information economy on some sectors and some products. Gurus, who work on subjects that range from differentiation to marketing, analyzed this subject from their own perspectives and also made some suggestions for executives and businessmen.
COMPETITION IS HEATING UP, THE NUMBER OF THOSE WHO WANT TO TAKE YOUR BUSINESS IS INCREASING
IT HAS AFFECTED MARKETING The information industry has provided us with new marketing instruments. These have enabled companies to target and reach different market segments more easily. It has become easier to access information on different markets and to sell whenever conditions allow. Retailers can control inventories and stocks better and have a clearer understanding of making sales means.
COMPETITION IS BECOMING TOUGHER But, despite all of these new information and different instruments, having the right strategy is still essential. We are living in a world which is becoming more competitive by the day and in which another can come and take away your business if you make a mistake. And the really bad news is that, once it has gone, you cannot get it back.
THE RAPID DISSEMINATION OF INFORMATION WILL SHAKE SECTORS
HOW WILL THEY AFFECT SECTORS? New information always produces change in every sector. This was true in the past and will continue to be true in the future. The difference today is that information can spread so much faster than before; and for this we have to thank. above all, the Internet.
Because information spreads all over the world, we see new products and services appearing in every sector at a much greater speed than we were previously used to. For example, mobile telephones. Motorola discovered mobile telephones 32 years ago. Today there are 1.3 billion mobile telephones in the world as a whole. Throughout history, no other invention has ever spread so quickly.
RECOMMENDATIONS FOR EXECUTIVES Today the best way to be successful is “to create a new category in which you rank first”. Red Bull was the first energy drink. The Apple iPod, the first MP3 player with a hard disk All really major brands rank first in new categories. In order to build a brand, one must think of the category and only then the brand.
Those products which imitate others on the basis of “I can also do that” have a very low chance of success on the market today.
Holding on to customers, gaining new customers, identifying the most profitable customers… These are the subjects on companies’ agendas. Companies are converting all of their business processes into a customer-focused structure. During this transformation they are benefiting from all the advantages of technology and the information economy. Because, in order to make a difference and stay ahead of the competition, they need to apply the most effective applications on the topics we have mentioned. This all brings us to Customer Relations Management (CRM). From banking to automotives, companies are calculating how best to use CRM applications and how to transform information into money.