Five Technologies changing the face of Consumerism
January 16, 2007 – 1:46 pmI was reading about the five technologies that are changing and going to change the consumer buying landscape forever. Most of these technologies are becoming the “norm” because of the lower costs to implement said technology but it was interesting to learn about never the less.
Self Checkouts
It’s really quite neat being able to serve yourself at the grocery store when you head to the checkout line. About a month ago I was in Zehrs (a Canadian Supermarket chain) and saw this thing in action. It served customers left and right but there was creepiness about it. Where is the human touch? We are getting so smart that we outsource jobs we don’t want to do or automate them which in turn creates a greater need for what are known as “knowledge workers”.
Why are they good?
- Cheap to implement and run
- They don’t take sick days
- They don’t ask for raises
Why are they bad?
- They don’t smile at the customer either and are not as interactive as a human being will ever be
- It reinforces an Anti-social society because if you never have to talk to a person when you shop then does that take away from society as a whole or add to it?
I remember when I was 15 years old and my first job was as a Bagboy, bagging groceries for people, taking them to their car and occasionally receiving a tip for my efforts. Someday, when and if I have a 15 year old he or she will probably be programming the robots that do this sort of work. It’s not that far a stretch. 
Biometrics
This term is being used a fair amount today which basically has to do with using human characteristics that are unique to a person such as eyes, fingers, palms, etc to identify and confirm a person. You’ve seen it done in movies in the past so naturally we’ve caught up now and are starting to protect our laptops with biometric thumb scans.
Why is this good?
- Don’t need to carry personal ID around
- Aids in creating a “Paperless” society
Why is this bad?
- Could trigger a rise in identity theft related crimes
RFID - (Radio Frequency Identification)
I could see RFID becoming a more standardized way of tracking data as it moves in a warehouse or store rather quickly because of the fact it could be easily mass produced and that in turn would keep it cheap to implement in a commercial environment.
Why is this good?
- May replace Barcode technologies allowing for greater amounts of data to be transmitted quicker
- Will become cheap and easy to implement once adoption rate by companies goes up allowing for cheaper mass production
Why is this bad?
- Wireless hacking could compromise database integrity
- Cost is still too high for most places to implement this technology
Digital Signage
When I walk into a Tim Horton’s in Ontario I am greeted by a sign usually up by the menu that shows everything from a hot cup of coffee being poured to a Chocolate dipped donut and all the time I am in line at Tim Horton’s I am being subliminally controlled by the visual aid of digital signage in front of me. I am a captive audience as long as I am in line and it has a stronger pull on me because I am right their and about to order. Talk about interruption marketing at its finest!
Why is this good?
- Easy to get customers to buy items on impulse because they are already in your store
- Could adapt with mobile WAP technologies, WiFi and standard internet technologies to offer discounts and run contests inexpensively create up sell opportunities
Why is it bad?
- Still costs a lot of implement and franchises could offset costs a lot easier then mom and pop shops
- Content Production Costs for advertisements
Advanced CRM
CRM’s have been in use for a good long time now. I’ve used my fair share of them in the past and they have become a great way for scalable enterprises to track and manage Customer data cheaply and quickly. Not all CRM systems are created equal now with data mining practices and methodologies most companies can oversee there business from a single CRM application allowing for billing and accounting, Sales tracking, business intelligence development and more. It’s pretty robust! Through building intelligence into a CRM it becomes an advanced CRM capable of anticipating the needs of your customers and clients, tracking their spending habits and allowing you to reach out to them quickly and inexpensively.
Why is this good?
- CRM systems have been around for a good long time which means that they are very cost effective and easy to implement.
- Previous advancements in topics like Business Intelligence allow companies to track even more data to showcase company shortcomings and pitfalls as well as where they are succeeding
- Very cost effective
Why is this bad?
- Prone to data corruption and security issues – standard backups of data would be needed as well as improved security measures
Really I think CRM systems are a good engine for most businesses. Jason Chance over at jcCommerce wrote about Sugar CRM recently and it is definitely worth a read if you are considering moving to a CRM system. Sugar is open source!
Enjoy the food for thought!
Luc
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