Now that the buzz and media frenzy about the demise of RadioShack and the analysis of why by Wall Street and other experts is beginning to subside, another consideration should be examined. What happens to brands that do not remain relevant, stop innovating and sit on their hind quarters? Well in short, they RadioShack…
On and offline businesses should be getting a clear message that remaining relevant through evolving with changing times is a must. The penalties for not doing so can be incredibly harsh as we have seen with many top brands in North America that became so massive and full bureaucracy that they could no longer move or even make decisions quickly when times changed. A reliance on their “brand” coupled with an expectation that their customers would remain loyal if they continued to do business and usual has resulted in many going the way of RadioShack.
Many have commented and speculated as to the reasons for RadioShack and other big brands falling, but the details all tend to simply boil down to not remaining relevant and changing with the times. We’ve seen very similar results with the likes of Palm, BlackBerry and even Kmart. Regardless of the industry, company size or product niche, brands and marketers must realize what their customers want, how their buying habits change and how marketing and delivery of products and services continually change.
We believe the next industry that we can expect to experience a significant shake up is in the content world. Now we bet you are thinking we mean online, and that will be part of it, but for this discussion we are referring to content providers, television and Hollywood.
Just like digital disrupted the music industry with the rise of the iPod and later online music services like Pandora and iHeartRadio, the cable and satellite space is going to be in real trouble. Visual content we normally think of for television, movie theaters and DVD players has been on a long transition toward streaming services via the likes of Netflix and others.
Now before you start thinking “duh, we know this”, it’s important that we take the discussion to a deeper level. Beyond the innovation of technology resulting in an advancement in relevance that Streaming Video providers are delivering to the market, there are a few other things that they are taking advantage of that might not be as obvious.
1) People hate their Cable Company – Maybe hate is too strong of a word, but most of us dislike Comcast and the like. We feel you have extorted from us for years, displayed horrible customer service and near zero concern for us as a customer. Your social media has highlighted these facts to many and your prices are not sustainable. Most of use want something better, that gives us control, without the $200+ monthly bill.
2) Content is becoming a Commodity – With the internet expanding in technology and access on a daily basis, we know how to get the content we want, without being tied to our television. Though we like our local content and special “shows”, we are tired of you controlling the content we have access to and when and how we can access it. Additionally, your technology is seemingly ancient and we want the latest, easiest to use and non-tethered options that fit our lifestyle.
3) On Demand Rules Consumption – The way we want to consume content is changing. We have increasingly busy and diverse work hours and responsibilities for career and home. We want access to content when it is convenient for us, not you.
These are just a few of the reasons that Comcast and the like are going to see a disruption in their monopoly businesses. Technology is advancing and driving down price, while increasing access, mobility and on demand capabilities today’s consumer wants. Innovation, service and care has all but disappeared in the space, while prices and restrictions continue to rise. Consumers are screaming for alternatives and the industry is only clamping down harder to retain their domination. This opens the door for massive market disruption.
Online Disruption As Well?
These similar constraints and concerns will ultimately disrupt online content consumption patterns as well. As consumers increasingly tire of Google and Facebook controlling the content they’re able to see and easily discover and marketer frustration is amplified for many connected reasons, a shakeup to the status quo is certainly going to come in short order. Consumers want the most recent relevant content in increasingly simplified ways and content marketers, brands and blogs need improved abilities to get in front of those consumers with their content. Do you see the similarities here? Another space rife for disruption.
How do you see relevance and innovation disrupting on and offline brands, marketers and consumers in the future?