How will you master the new consumer ecosystem?€¦ · Gamification of everything FutureConsumer.Now Drivers of change DNA-tailored nutrition FutureConsumer.Now Drivers of change

The better the question. The better the answer. The better the world works.

How will you master the new consumer ecosystem?

Kristina RogersGlobal Consumer Leader

[email protected]

@KristinaRRogers

Andrew CosgroveConsumer Knowledge Leader

[email protected]

@CosgroveAK

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150 drivers of change

8 core hypotheses about the future consumer ecosystem

FutureConsumer.NowDrivers of change

Rise ofTransnational

Grassrootsmovements


Sleeping asthe new

health trend


Antimicrobialresistance


Circulareconomy


Industryconvergence


Social creditscores


Technology-enabled

de-urbanization


Absoluteaccountability


Gamification of everything


DNA-tailored nutrition


Socialengineering


Cyber-balkanization


Always-onEmergency

mindset


Identityambiguity


Universal digital library


Plant-based


DemandingLATTE


CuratedConsumer

choice


Direct toconsumer


Fluid workscheduling


War fortalent


The path ofLeast

resistance


Denormalizationof unhealthyingredients


Openinnovation


Global mindset


Frictionlesspayments


Ubiquitousconnectivity


Retailtainment


Transhumanism


Internet ofthings


Smartleadership


4D printing


Intuitive userinterfaces


Sharingeconomy


Re-evaluatinglife-stagechoices


Simplifyingchoice


Modular living


Well-being confers status


Optimized self


Digital identity prominence

Change happens gradually, then suddenly

Anticipate and shape a preferable future

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Probable

Plausible

Plausible Possible

Possible

Speed & scale of technological change

Sp

ee

d a

nd

sca

le o

f co

nsu

me

r b

eh

avio

ralch

an

ge

SocietyFirst

WasteNothing

HomeAnywhere

TailoredLife

TimeFirst

Balanced Life

QuantifiedCitizen

ExperienceEverythingAscendant

Consumer

DataInfluence

BetterSelf

PlanetFirst

DiversityHarnessed

ProductivityUnleashed

RuralRebooted

Which consumer future are you designing for?

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Video – Rosita’s world

Why you need to rethink your ecosystem

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Ecosystems are becoming overwhelmingly complex

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Ecosystems are becoming overwhelmingly complex

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>50%

Global companies’ market value in

intangible assets

20%

Companies’ value captured on

balance sheet

67%

Investors demanding potentially disruptive innovation projects

despite short-term risk

The drivers of value are shifting

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Poll Question I

Go to:

menti.com

Enter:

91 48 6

Please answer:

Which capabilities will create competitive advantage in the future?

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Sustainable competitive advantage

Scope

ScaleEfficiency

Historical mindset

The levers of competitive advantage are changing

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Historical mindset

Sustainablecompetitive advantage

Transformative mindset

Dynamiccompetitive advantage

Scope

ScaleEfficiency

Technology at speed

Businessmodel

reinvention

Human centricity

Acceleratingchange

Disruption

ecosystem

The levers of competitive advantage are changing

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Tech at speed

Businessmodel

reinvention

Human centricity

• Strapped for capital to invest in future

• Driving lower costs to free up capital and survive current cycle

• Service delivery model not delivering fast enough

• Out of sync with customer demand

• Unable to deploy/upskill • Obsolescence of core skillset

and recruitment channels • Rising attrition | EVP mismatch

• Creating customer value• Need to optimize experiences• Transition faster from back

office to front office

• Increasingly data-driven• Customer vs. brand• Engagement vs. communications

CMO

CFO CIO

COO CHRO

Functional agendas are increasingly siloed

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Maximizing value will require companies to create ecosystems of common purpose

CFO

COO

CIO

CHRO

CMO

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Poll Question II

Go to:

menti.com

Enter:

91 48 6

Please answer:

What are the key barriers to extracting value from your ecosystem?

How to master the new consumer ecosystem

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Transform from the future back

Create an early warning system

Challenge every assumption

Choose the right relationship

Be the right partner

Ecosystem

mastery

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Transform across the now, next and beyond from the future back

• Transform based on your purpose and future, not your legacy and baggage

• Create value for the consumers who share your values

• Think, operate and plan in the three dimensions of now, next and beyond simultaneously

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CGF 2018: What will the future consumer value?

Challenge every assumption about creating value for the consumer of tomorrow

• Value creation is not a zero-sum game

• Re-evaluate the way you measure value

• Identify which legacy capabilities will truly create value for the consumer

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Buy or accelerate development of that capability

Create strategic partnerships in areas that are developing fast and internal resources cannot be built

fast enough

Economies of scale are achievable and no partner available to do it

cheaper

Outsource and look for cost reduction opportunity

Partner/collaborateKeep in house

No

n–d

iffe

ren

tia

tin

gco

mp

ete

ncy

Dif

fere

nti

ati

ng

co

mp

ete

ncy

Choose the right relationship

• Identify which capabilities must be kept in-house, what should be outsourced and where you should partner

• Expect partnerships to be fluid. Friend and foe is not a binary choice

• Form ecosystem partnerships where purpose is aligned

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Be the right partner

• Invest time and resources to ensure partnerships are a success

• Realign the internal organisation to ensure collaboration across functional silos

• Allow your consumers and your talent to participate in your success

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FinancialPerformance

Start-ups

Founders

Outside Disruptors

Smart Money

Investors/ VCs Acquisitions

Industry Competitors

Technology

Collaborations– Alliances,

Joint Ventures

Future consumer

needs

Create an early warning system

• Anticipate and stress-test your business against future consumer scenarios

• Track competitor and partner investments and relationships

• Create a skunkworksteam charged with “killing your business”

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Video – EY Embryonic

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Meet future consumers such as Rosita, Sam and Wanyi - face to face

Connect with our EY people to:

Explore where you can invest to transform your business with EY Embryonic

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Q&A

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How will you master the new consumer ecosystem?€¦ · Gamification of everything FutureConsumer.Now Drivers of change DNA-tailored nutrition FutureConsumer.Now Drivers of change