SMITH-TRG\'s Richard D. Smith, digital media visionary and innovative value creation thought leader addresses today\'s need for business model innovation.
iPopped, The Paradigm Shift Driving Business Model Innovation by Richard D Smith, SMITH-TRG, media thought leader
1. Copyright 2010 SMITH-TRG, All rights reserved.
iPopped
THE PARADIGM SHIFT
DRIVING BUSINESS MODEL INNOVATION
SMITH-TRG
2. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Paradigm Shift - a revolution, a
transformation, a sort of metamorphosis.
The Paradigm Shift – Driving Business Model Innovation
3. SMITH-TRG
contents
Copyright 2010 SMITH-TRG, All rights reserved.
introduction
CATALYST & CHANGE AGENT
BUSINESS MODEL INNOVATION NEED
WHY NOW . . .?
The Paradigm Shift – Driving Business Model Innovation
4. SMITH-TRG
WHO WE ARE begins
with WHO WE WERE.
Copyright 2010 SMITH-TRG, All rights reserved.
A value creation consulting and digital-media
venture development firm.
Launched second venture as technology sector
imploded, drastically changing the playing field.
Many packed it in. Others didn‟t have the vision,
passion or „Attention Economy‟ experience.
We did. And, we embraced it.
Our consulting, IT/telecom & digital-media roots
uniquely enable us to assist company and media
industry/sector/segment CXO‟s develop and
execute business value creation strategies.
Richard D. Smith, CEO As you can tell, our past has a great deal to do
RDSmith@SMITH-TRG.com with our present.
As well as our - your future.
5. SMITH-TRG
OUR value view. . .
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"Achieving consistently superior value growth is
the single accomplishment that most clearly
distinguishes great companies from all others. It
is the hallmark of exceptional leaders. In our
experience, a focus on value is our key to helping
clients‟ achieve superior performance, and it
therefore forms the basis of everything we do.”
- Richard D. Smith, SMITH-TRG
The Paradigm Shift – Driving Business Model Innovation
6. SMITH-TRG
WHAT we believe. . .
Copyright 2010 SMITH-TRG, All rights reserved.
“To create greater business value – One
does not have to be first to create, just
first to innovatively perfect what has
been created.”
The Paradigm Shift – Driving Business Model Innovation
7. SMITH-TRG
WHAT we have done. . .
examples . . .
Advised 4 global consumer electronics
innovation leaders on –
Copyright 2010 SMITH-TRG, All rights reserved.
strategy
product portfolio(s) & pipeline
high-impact & high-value B2B deals
M&A
retail store transformation & expansion
emerging smartphone & multi-touch screen
markets
new wireless application platforms & related
services
Developed X-Otica a digital-media enabled
retail store of the future – basis for world‟s
most successful (revenue per square foot)
retail chain
The Paradigm Shift – Driving Business Model Innovation
8. SMITH-TRG
plus . . .
Advised wireless carrier, IT, consumer product, media
Advised 4 global consumer electronics
& entertainment, hospitality, –
innovation leaders on automotive, advertising,
Copyright 2010 SMITH-TRG, All rights reserved.
and marketing companies on digital-media
strategy
Assisted mall operators and retail chains ROI optimize
product portfolio(s) & pipeline
place based „Digital Out-of-Home‟ networks
high-impact & high-value B2B deals
Authored book, AD-MIRED, „Media‟s Power to Create
M&A Value‟, 2006
Business
retail store transformation & expansion
Advised Seoul Korea on „Digital-Media City‟ (DMC),
emerging smartphone future
multi-billion dollar city of the & multi-touch screen
markets
Foundedwireless Media (AIM2)platforms & related
new Audient application a audience interactive
mobile-marketing, „Advertainment‟ content, and
services
wireless advertising venture
Developed X-Otica a digital-media enabled
retail store of the future – video-messaging,
Founded Saint CRISPIN a global basis for world’s
most successful (revenue per square foot)
(precursor to „video-mail‟) venture, sold to F-500
retail chain
The Paradigm Shift – Driving Business Model Innovation
9. SMITH-TRG
OUR value-creation PRACTICE
Enterprise leaders across industries and lines-of-business (regardless
Copyright 2010 SMITH-TRG, All rights reserved.
of size) are known for being many things. Patient is not one of them.
Consequently, they want someone who understands creating strategic
business value, they desire „trusted-business advice‟ and cost effective
iPad/iPhone/Apps competitive advantage solutions, and they want and
desire them today!
Fortunately, with over two decades of performance improvement and
value creation consulting, global IT/telecommunications, wireless, and
digital-media industry experience, SMITH-TRG excels, not just at
developing executable strategies specifically for the client, but
developing them quickly.
The Paradigm Shift – Driving Business Model Innovation
10. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Paradigm Shift Catalyst - impacts
both personal and business environments.
Change Agent - drives paradigm shift.
The Paradigm Shift – Driving Business Model Innovation
11. SMITH-TRG
Catalyst iPad/Tablets & iPhone/Smartphones
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The Paradigm Shift – Driving Business Model Innovation
12. SMITH-TRG
Change Steve Jobs
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Agent
The Paradigm Shift – Driving Business Model Innovation
13. SMITH-TRG
APPLE - FANATI C I S M
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“I think fanaticism is underrated.
I‟m a fanatic about the engineering
groups. Steve (Jobs) is a fanatic
about the user experience and
the design.”
- Bill Gates, Microsoft
Advice for entrepreneurs, enterprise game changers
The Paradigm Shift – Driving Business Model Innovation
14. SMITH-TRG
Apple Products & Services
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enabling
Individual & Enterprise
performance
3 million iPad‟s
Sold in 1st 90 days
The Paradigm Shift – Driving Business Model Innovation
15. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Apple Value 6/18/10 Shares: $274
Market Cap: $249.4B
The Paradigm Shift – Driving Business Model Innovation
16. SMITH-TRG
Apple
Copyright 2010 SMITH-TRG, All rights reserved.
Systematically tilts wireless Value Strategy
playing field to their advantage.
“Apple extracts more and
Apple designed iPad chip, dubbed more of the value, while
A4, marks strategy shift first carriers get more and
signaled by 2008 purchase more of the costs.”
of start-up P. A. Semi. - Craig Moffett, Senior Analyst
Berstein Research
The Paradigm Shift – Driving Business Model Innovation
17. SMITH-TRG
Content creators
Media companies
Apple‟s Aggregators (network)
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Aggregators (broadcast)
IMPACT Back-office Apps
Network service providers
Accelerated media sector Carriers (domestic/global)
fragmentation - up & down Infrastructure (IT/services)
the value-chain . . . Portals (music/video/books)
Devices (hardware)
From media content creation Devices (software)
to distribution to end-user Apps providers
End-user (media consumer)
End-user (business)
The Paradigm Shift – Driving Business Model Innovation
18. SMITH-TRG
Value Chain
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Players . . .
Anyone, small to large, in
and/or around digital- media
eco-system markets
The Paradigm Shift – Driving Business Model Innovation
19. SMITH-TRG
Samsung Electronics plans
Tablet PC in response to iPad
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Samsung Samsung, world’s second
largest cellphone maker by
shipments after Nokia.
Handset market is nearly
saturated – unlikely to see
double digit growth from
now on.
The Paradigm Shift – Driving Business Model Innovation
20. SMITH-TRG
Amazon, Price war puts Kindle from
Copyright 2010 SMITH-TRG, All rights reserved.
$259 to $189, Nook from
Barnes & Noble $259 to $199.
Kindle was $399 when
launched in 2007.
Borders bookstore recently
began online sales of its
Kobo e-reader for $150.
The Paradigm Shift – Driving Business Model Innovation
21. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Motorola planning to funnel
Motorola billions ($3B to $4B) into
spin-off cellphone business.
Cellphone unit has lost $5B
over last 3 years, amid
slumping sales, devices
eclipsed by Apple, others.
The Paradigm Shift – Driving Business Model Innovation
22. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
BlackBerry
Apple advances
with BlackBerry‟s
Corporate Clients
The Paradigm Shift – Driving Business Model Innovation
23. SMITH-TRG
Dell considers going private.
Stock has fallen 42% since
1/30/07 while H-P’s up 11% and
Copyright 2010 SMITH-TRG, All rights reserved.
IBM’s up 31%. Acer tops H-P
Dell and is now world’s #1
notebook PC supplier.
Source: Gartner, Inc.
Going private “really doesn’t
change anything because the
fundamental disadvantages
don’t go away. The
competitors are still there.”
- Analyst, Shaw Wu
The Paradigm Shift – Driving Business Model Innovation
24. SMITH-TRG
Sprint’s new EVO smartphone
is first to run over 4G based on
WiMax technology.
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Sprint Sprint 4G deployed to 33
markets. Verizon & AT&T are
working on 4G using rival
standard – LTE (Long Term
Evolution).
If WiMax suffers against the
competition, Sprint customers
will, too.
The Paradigm Shift – Driving Business Model Innovation
25. SMITH-TRG
AOL acquired StudioNow
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a Nashville based video
AOL production firm. Paid
$36.5M cash & stock.
Unloading Bebo social
networking site for $10M
a fraction of $850M
AOL paid 2 years ago.
The Paradigm Shift – Driving Business Model Innovation
26. SMITH-TRG
Apple Spawns New Enterprises
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Over 100,000 Apps
Smartphone/Tablet
Developers
Worldwide
The Paradigm Shift – Driving Business Model Innovation
27. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Business Model
Innovation Need . . .
The Paradigm Shift – Driving Business Model Innovation
28. SMITH-TRG
It’s All About Competitive Advantage
Copyright 2010 SMITH-TRG, All rights reserved.
strategic iPopped positioning & tactical execution
The Paradigm Shift – Driving Business Model Innovation
29. SMITH-TRG
Opportunity to Gain & Retain Share
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regardless of enterprise size, industry, sector or line-of-business
The Paradigm Shift – Driving Business Model Innovation
30. SMITH-TRG
Opportunity to Optimize Operations
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while further reducing associated operating costs 35% to 50%
The Paradigm Shift – Driving Business Model Innovation
31. SMITH-TRG
Opportunity to Monetize Intellectual Property
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from content creation to Apps to technology to industry unique solutions
The Paradigm Shift – Driving Business Model Innovation
32. SMITH-TRG
Opportunity to Spin-off Ventures
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created and/or enabled by iPopped solutions
The Paradigm Shift – Driving Business Model Innovation
33. SMITH-TRG
Opportunity to Create Sustainable Value
Copyright 2010 SMITH-TRG, All rights reserved.
by capitalizing on iPopped at enterprise or strategic business unit levels
The Paradigm Shift – Driving Business Model Innovation
34. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Why NOW . . .
The Paradigm Shift – Driving Business Model Innovation
35. SMITH-TRG
www.SMITH-TRG.com
Opportunity to Accelerate Value Creation
‘Chasm’
The
Copyright 2010 SMITH-TRG, All rights reserved.
Visionaries & Leaders have
made their move.
1 2 3 4 5
Early Adopters who make
the next move will have the
greatest immediate opportunity
to strengthen their prospects for
Visionaries Early Early
& Leaders Adopter strategic gain and value creation.
Majority Late Majority Skeptics – 16% of
2.5% 13.5% 34% 34% total population
The Paradigm Shift – Driving Business Model Innovation
36. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
If You Haven’t Already
iPopped Assessed Your Enterprise
You Should.
The Paradigm Shift – Driving Business Model Innovation
37. SMITH-TRG
Adoption Delay Diminishes
‘Chasm’
The
Copyright 2010 SMITH-TRG, All rights reserved.
Enterprise Competitive Upside
1 2 3 4 5
Visionaries Early Early
& Leaders Adopter Majority Late Majority Skeptics – 16% of
2.5% 13.5% 34% 34% total population
The Paradigm Shift – Driving Business Model Innovation
38. SMITH-TRG
OUR digital-media VISION
Copyright 2010 SMITH-TRG, All rights reserved.
“The greatest value creation opportunity
will fall to those who give the end-user
consumer what they want…really, really
want. And that is: an integrated, easy to
use, video media experience, anytime,
anywhere, and on any platform.”
- Richard D. Smith, SMITH-TRG
Author, AD-MIRED, 2006 book
The Paradigm Shift – Driving Business Model Innovation
39. Copyright 2010 SMITH-TRG, All rights reserved.
SMITH-TRG
Need Assistance Assessing
Your Opportunities – We Should Talk!
www.SMITH-TRG.com
The Paradigm Shift – Driving Business Model Innovation
40. SMITH-TRG
BUSINESS ADVISORS.
MEDIA THOUGHT LEADERS.
VALUE CREATORS.
Copyright 2010 SMITH-TRG, All rights reserved.
We assist. . .
CEO‟s to create business
Thank you! value
CXO Stakeholders to solve
business performance
problems
Innovators to develop more
successful „customer-centric‟
propositions
Business Developers to
maximize return on their
www.SMITH-TRG.com investments