Video above published Dec 7, 2017 by L2inc.com: Professor Scott Galloway on digital winners and losers: Trust is eroding as a symbol of brand equity. Who's winning in today's market? Brands that play to a sense of New.
Reference sources:
(0:38) coinmarketcap.com.
(0:38) visualcapitalist.com.
(0:59) 1010Data.
(1:07) “We Are On The Verge Of A Consumer M&A Avalanche,” Techcrunch.com, November 2016.
(1:19) Cadent Consulting Group, 2016.
(1:59) Yahoo! Finance.
(2:35) BI Intelligence.
(3:26) L2 Inc., Data & Targeting Report, 2017. https://www.l2inc.com/research/data-targeting-2017
(3:37) US Census, Gartner, Edison Research, Voicebot.ai.
(3:44) L2 Amazon Intelligence: Voice, June 2017. https://www.l2inc.com/research/voice
YouTube.com auto-generated transcript:
00:00 [Music]
00:01 what is the strongest brand in the world
00:04 when I query my brand strategy students
00:06 at NYU Stern I get responses including
00:08 Apple and Nike sometimes Jesus Christ or
00:12 even Paris Hilton
00:13 however we to argue that it's the US
00:15 dollar it has near ubiquitous awareness
00:18 trust and credibility owns a color and
00:21 has deep emotional associations however
00:24 things are changing trust is under
00:26 attack and it's no longer the symbol for
00:28 brand equity that is the US dollar is no
00:31 longer the definitive source of brand
00:32 equity evidence of this the meteoric
00:35 rise of Bitcoin as trust in our
00:37 institutions fail what have we shifted
00:39 towards and brand equity knew first it
00:42 was craft beer now it's micro breweries
00:44 first it was organic that's not enough
00:46 now it's GMO free this shift is enabling
00:49 independent brands to make significant
00:51 inroads particularly in beauty and
00:53 especially on Amazon which is now the
00:56 largest online beauty retailer in the US
00:59 across the ecosystem market share is
01:01 leaking from established players to the
01:04 smaller guys the top 25 packaged food
01:06 companies have shed 18 billion in market
01:09 share since 2009 further evidence of the
01:12 erosion of trust is the rise of private
01:14 label brands typically when we enter
01:17 into a recession private label brands
01:19 thrive and then when we return to a
01:21 recovery in a stronger economy private
01:24 labels drop off as people feel they can
01:26 afford the premium brand however 2017 is
01:29 different as the economy recovers
01:31 private label continues its march on why
01:34 we no longer trust brands so what's a
01:38 brand to do in an era of digital one
01:40 strategy played a heritage brands
01:42 including Adidas have figured out a way
01:45 to take advantage of familiarity yet
01:47 feel new and fresh new doesn't have to
01:50 manifest itself in a new product
01:52 Domino's is using technology to inject
01:54 newness into their business model and
01:56 has outperformed the S&P; handsomely by
01:59 making ordering more innovative in a
02:01 digital age new as a synonym for
02:03 innovation another form of new that
02:06 correlates to year on year revenue
02:08 growth supply chain agility that is the
02:11 amount of time it takes to move from con
02:13 except a store shelf consumers want to
02:15 walk into a store or load a site and get
02:18 a sense of new in addition the medium is
02:21 the message here and signals newness or
02:23 oldest two platforms we advise our
02:25 clients to invest in our messaging and
02:28 voice our phone is one of the last
02:30 mediums of trust the growth of messaging
02:33 apps are part of a shift away from
02:34 social media posting and towards direct
02:37 communication so let's go through the
02:40 hierarchy of trust in reversed order the
02:43 least trusted brands are the ones
02:44 advertising to you on television because
02:46 it means they're out of ideas and their
02:48 product sucks so they need to interrupt
02:50 Modern Family the next level of mistrust
02:53 anyone who sends you anything
02:55 via the mail anyone who sends me
02:57 anything through the mail is either
02:59 stupid doesn't get it or is bothering me I
03:01 haven't opened my mail in years next is
03:04 somebody who actually is stupid enough
03:06 to call you on your telephone I don't
03:09 answer my phone any longer unless it's a
03:11 caller ID I recognize and then I begin
03:13 berating them for actually calling me
03:15 the place where trust still survives
03:17 your message inbox we open every text
03:20 message this is the opportunity for
03:22 companies to destroy that trust but in
03:25 the interim it'll create a lot of
03:26 shareholder value what's the next
03:28 battleground the home and specifically
03:31 voice in the home where we don't have a
03:33 phone hanging off us like an appendage
03:35 yet we make a lot of consumer decisions
03:38 brands need to figure this out early and
03:40 often our research indicates that if you
03:42 are the first brand mentioned in a
03:44 category via voice it tends to stick
03:47 Alexa do you dream if I was to sleep I
03:51 dream of Electric Sheep come on Alexa
03:53 what do you really dream about an
03:56 examination of my experience all at Veda
03:58 would reflect a relentless passion for
04:00 using technology to start the margin
04:02 from brands delivering unrivaled value
04:04 to consumers resulting in a fanatical
04:07 investor base and capital allocation
04:09 strategy no competitor can match as a
04:11 result I see a world where brands and
04:14 retailers are left in a mythical dust
04:15 where value is transferred from the
04:17 middle class to the shareholders of
04:19 Amazon well Alexa it appears your dreams
04:22 are coming true ...