CONFERENCE REPORT CONF CREATIVEATIVE
In part two of our report from this year’ s Global DIY Summit we look at the platform era and the disruptors crea ting innovation in the home improvement retail market.
DISRUPTION T
AT
wo of the key topics addressed by speakers at the Summit this year wer
and the disruption that is needed in DIY r etail in or der to meet changing consumer needs and expectations.
THE PLAT
THE PLATFORM ERA When digital becomes human
AT
Speaker Steven van Bellegham who is described as an expert in customer focus in a digital world, opened his pr esentation talking about hotel chain Citizen M, which offers what it calls affordable luxury. “The r ooms ar e smaller than a cell in Alcatraz,” he said, adding that they are completely digitalised, with climate control and ambient room lighting controlled by an ipad. Check in and check out are also completely computerised. “Humans don’ t add any value at check in,” he said. However, he went on to explain that the company uses “humans in the most important part of the hotel; the bar . The bar is the most fun place to be and it never closes.” He believes people in the DIY industry may have to make what he describes as “mor e blunt choices”. He pointed out that four out of five human emotions ar e negative. “Joy is the only positive. It’ s why customers complain – they are programmed that way. Yo
Y ou will have to find a way ou will have to
to create the best digital interfaces. If you can do that, you will neutralise these negative emotions and you have joy left.”
“The role of humans will become
more important as technology increases” He referenced digital bracelets of fered to customers at Disneyland to
more important as technolog y increases”
help them pay for things during their time at the theme park, adding that visitors wearing the bracelets spend 30% mor e than those without. “If you make a restaurant r eservation during your stay, the door opens for you when you arrive, you walk up and they gr eet you by name and say ‘hello Steven, we were expecting you. Y our family table with highchair is ready’. Privacy is irrelevant if you have the technology.”
pecting you. Yo Your family table wit
He believes that humans ar e doing a better job because of technology but adds that we are now entering a new phase – the world of automotive. “It will create a flip in customer expectations.,” he said. “Imagine if you can control central heating systems and announce failures before they occur. An item in your home tells you it will break down a week before it does.”
Explaining that we are reaching the end of reactive customer service and witnessing the beginning of pr o-active customer service, which is likely to result in a lot of new interfaces, Mr van Belleghem said: “If you ask how to build loyalty these days, it’ s by being the most convenient player to work with. Convenience is the new loyalty. W e don’t fall in love with brands anymore, we fall in love with interfaces.
“Uber, for example, has seen scandal after scandal but we love the interface so much, we continue to use it.”
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He said that many businesses are pr obably over -investing in old, traditional methods of marketing and under-investing in new forms of marketing and data leveraging.
However, as amazing as these new interfaces may be, human interaction isn’t r edundant. Accor ding to Mr van Belleghem, 73% of consumers still want access to actual people even when digital channels ar e working perfectly . “I’m a big fan of humans,” he said. “The role of humans will become mor e important as technology increases. I’m an economist and I know that the scar city of something increases its value.”
He explained that people are better at emotional interactions with empathy, passion and creativity – something that technology cannot of fer . “People will become the scarcest resource, so use them wisely.” He believes that a successful customer relationship excels both on the digital and human side of business.
“Humans add a totally dif fer ent, complimentary value. Computers can personalise but humans make it personal. Computers deliver , humans over deliver. That’s the one thing we can do that computers can’t - we can leave the script.
“People in store should be taught to colour outside the box in the favour of the customer. That is how you win the heart of your customer . “The more digital we become, the mor e important humans will be. Then role of humans will change from more operational to more emotional.”
25 AUGUST 2017 DIY WEEK 13 Those in the DIY industry may have to make more blunt choices FERENCE REPOR
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