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jerryking : inexpensive   11

A Tale of Two Metrics
August 7, 2017 | | RetailNext | Ray Hartjen, Director, Content Marketing & Public Relations.

Traffic can’t alone measure the effectiveness of demand creation efforts, but some well-placed math can show retailers strong correlations over a myriad of relevant variables. More over, as my colleague Shelley E. Kohan pointed out in her post earlier this summer, “Expanding the Scope of Metrics,” Traffic is foundational for meaningful metrics like Conversion and Sales Yield (Sales per Shopper), key measurements that help managers make daily decisions on the floor from tailoring merchandising displays to allocating staffing and refining associate training.
With metrics, it’s important to remember there’re different strokes for different folks, with different measurements critical for different functions, much like financial accounting and managerial accounting serve different masters. Today’s “big data” age allows retailers to inexpensively collect, synthesize, analyze and report almost unbelievable amounts of data from an equally almost unbelievable number of data streams. Paramount is to get the right information in front of the right people at the right time.
Sometimes, the right data is Sales per Square Foot, and it certainly makes for a nice headline. But, not to be outshined, other instances call for Traffic. As Chitra Balasubramanian, RetailNext’s Head of Business Analytics, points out in the same Sourcing Journal Online article, “Traffic equals opportunity. Retailers should take advantage of store visits with loyalty programs, heightened customer service, and a great in-store experience to create a long-lasting relationship with that customer to ensure repeat visits.”
metrics  sales  foot_traffic  retailers  inexpensive  massive_data_sets  data  creating_demand  correlations  experiential_marketing  in-store  mathematics  loyalty_management  the_right_people  sales_per_square_foot 
august 2017 by jerryking
When Diamonds Are Dirt Cheap, Will They Still Dazzle? - NYTimes.com
APRIL 19, 2014| NYT | ROBERT H. FRANK.

In many domains, perhaps even including signed baseballs, it’s becoming possible to produce essentially perfect replicas of once rare and expensive things.

That’s true, for example, of diamonds and paintings. Renowned art originals will always be scarce, and so will high-quality mined diamonds, at least while De Beers holds sway. But what will happen to the lofty prices of such goods if there is an inexhaustible supply of inexpensive perfect copies? Economic reasoning can help answer this question. It can also shed light on how new technologies might alter traditional ways in which people demonstrate their wealth to others, or might change what society embraces as tokens of commitment and other gifts....Not even perfect replicas, however, will extinguish strong preferences for original paintings and mined diamonds. In the short run, price premiums for such goods are likely to persist, as collectors scramble for certificates of authenticity.

Longer term, those premiums may prove fragile
...Tumbling prices will transform many longstanding social customs. An engagement diamond, for instance, will lose its power as a token of commitment once flawless two-carat stones can be had for only $25.

Replication technologies also raise philosophical questions about where value resides.
...Technology won’t eliminate our need for suitable gifts and tokens of commitment, of course. And such things will still need to be both intrinsically pleasing and genuinely scarce. But technology will change where those qualities reside.
art  De_Beers  collectibles  artifacts  collectors  authenticity  inexpensive  replication  scarcity  valuations  digital_artifacts  high-quality 
april 2014 by jerryking
IKEA's Path to Selling 150 Million Meatballs - WSJ.com
Oct. 16, 2013 | WSJ | By Jens Hansegard.

When IKEA decided to sell food, it chose to do it in much the same way it sells furniture: a few standardized staples, sold in large quantities. The result: 150 million meatballs.

That is the number IKEA estimates will be dished out in store cafeterias this year. Though the Swedish company is better known for its inexpensive, assembly-required furniture, its IKEA Food division is a behemoth, rivaling Panera Bread and Arby's, with nearly $2 billion in annual revenue. The company estimates about 700 million people this year will eat in one of the cafeterias that are located in 300 IKEA stores world-wide. ...The idea of making a lot of food on site was considered too complicated. IKEA decided to outsource meatball production. While IKEA came up with the formula and specifications, a Swedish food supplier, Gunnar Dafgård AB, was contracted to supply them.
IKEA  meatballs  restaurants  Outsourcing  Swedish  Sweden  furniture  assembly-required  inexpensive  low-cost 
october 2013 by jerryking
Ten Laws Of The Modern World
04.19.05 | Forbes | Rich Karlgaard.

• Gilder's Law: Winner's Waste. The futurist George Gilder wrote about this a few years ago in a Forbes publication. The best business models, he said, waste the era's cheapest resources in order to conserve the era's most expensive resources. When steam became cheaper than horses, the smartest businesses used steam and spared horses. Today the cheapest resources are computer power and bandwidth. Both are getting cheaper by the year (at the pace of Moore's Law). Google (nasdaq: GOOG - news - people ) is a successful business because it wastes computer power--it has some 120,000 servers powering its search engine--while it conserves its dearest resource, people. Google has fewer than 3,500 employees, yet it generates $5 billion in (current run rate) sales.

• Ricardo's Law. The more transparent an economy becomes, the more David Ricardo's 19th-century law of comparative advantage rules the day. Then came the commercial Internet, the greatest window into comparative advantage ever invented. Which means if your firm's price-value proposition is lousy, too bad. The world knows.

• Wriston's Law. This is named after the late Walter Wriston, a giant of banking and finance. In his 1992 book, The Twilight of Sovereignty, Wriston predicted the rise of electronic networks and their chief effect. He said capital (meaning both money and ideas), when freed to travel at the speed of light, "will go where it is wanted, stay where it is well-treated...." By applying Wriston's Law of capital and talent flow, you can predict the fortunes of countries and companies.

• The Laffer Curve. In the 1970s the young economist Arthur Laffer proposed a wild idea. Cut taxes at the margin, on income and capital, and you'll get more tax revenue, not less. Laffer reasoned that lower taxes would beckon risk capital out of hiding. Businesses and people would become more productive. The pie would grow. Application of the Laffer Curve is why the United States boomed in the 1980s and 1990s, why India is rocking now and why eastern Europe will outperform western Europe.

• Drucker's Law. Odd as it seems, you will achieve the greatest results in business and career if you drop the word "achievement" from your vocabulary. Replace it with "contribution," says the great management guru Peter Drucker. Contribution puts the focus where it should be--on your customers, employees and shareholders.

• Ogilvy's Law. David Ogilvy gets my vote as the greatest advertising mind of the 20th century. The founder of Ogilvy & Mather--now part of WPP (nasdaq: WPPGY - news - people )--left a rich legacy of ideas in his books, my favorite being Ogilvy on Advertising. Ogilvy wrote that whenever someone was appointed to head an office of O&M, he would give the manager a Russian nesting doll. These dolls open in the middle to reveal a smaller doll, which opens in the middle to reveal a yet smaller doll...and so on. Inside the smallest doll would be a note from Ogilvy. It read: "If each of us hires people who are smaller than we are, we shall become a company of dwarfs. But if each of us hires people who are bigger than we are, we shall become a company of giants." Ogilvy knew in the 1950s that people make or break businesses. It was true then; it's truer today.
Rich_Karlgaard  matryoshka_dolls  Moore's_Law  Metcalfe's_Law  Peter_Drucker  Ogilvy_&_Mather  Gilder's_Law  hiring  talent  advertising_agencies  transparency  value_propositions  capital_flows  talent_flows  David_Ogilvy  inexpensive  waste  abundance  scarcity  constraints  George_Gilder 
june 2012 by jerryking
The Superball Economy - WSJ.com
March 3, 2003 | WSJ | By ANDY KESSLER.

Design is cheaper. If you look closely, Silicon Valley has very few manufacturers left. Chips are made in Taiwan, boards assembled in China or Thailand. We are now a Valley of designers. And there are lots of programmers and chip-heads and communications protocol folks walking the streets willing to work for much cheaper than three years ago. Office space is plentiful. Word has it there is space available for 50 cents per square foot per month, down from $12.

Bandwidth is cheaper. Global Crossing spent $12 billion on undersea fiber optics that someone is going to buy for $250 million. WorldCom and others have strung the U.S. with more fiber than in Frosted Mini-Wheats. And it won't be just for phone calls. Find companies that use that cheap bandwidth, and you'll find the boom.

Video is cheaper. Napster music sharing was child's play compared to what is next. Hours of video can be captured, stored and shared with today's cheap PCs and broadband lines. Jack Valenti, call your office.

Wireless data is cheaper. The Federal Communications Commission set aside frequencies for hospitals and microwave ovens that might interfere with phones or radar. This Industrial, Scientific and Medical block of spectrum is known as the junk band. While stupid telecom companies overbid for spectrum for third generation 3G cell phone devices, clever engineers figured out how to hop around the junk band -- letting out-of-work programmers surf job listings at Starbucks. Intel is putting these radios in many of their chips.

Distributed computing is cheaper. Google uses 12,000 cheap PCs to log the Internet so you can look up your neighbor and figure out how much she makes. Even distributed programming is cheaper. Microsoft's biggest problem is far-flung programmers creating operating systems like Linux at home in their pajamas. Bill Gates is reportedly all over the Valley asking for help to combat this "Open Source" nuisance.

About the only thing not cheap is capital. Venture capitalists are stingy, the IPO window is closed, and stocks are at four-year lows. Hmmm. Forget that last boom, it's ancient history. Look for new products not possible or too expensive three years ago. Slam down your new Superballs and be ready.
Andy_Kessler  Silicon_Valley  economic_downturn  protocols  recessions  optimism  design  bandwidth  open_source  new_products  distributed_computing  venture_capital  IPOs  inexpensive  cheap_revolution  abundance  economic_dynamism  leaps_of_faith  FCC  overpaid  wireless_spectrum 
may 2012 by jerryking
Lunch Catered by Internet Middlemen - NYTimes.com
By DAMON DARLIN
September 24, 2011

San Francisco-based Cater2.me, delivers food from carts and small
restaurants to businesses that aren’t big enough to afford their own
chefs. The Web was supposedly eliminating the need for the layers of
brokers, agents, wholesalers & even retailers that separate the
consumer from the producer.

That has happened in some instances, e.g. drastically reducing the role
of travel agents. But consumers still need help and the Web has provided
the tools & the environment for companies like cater2.me to
flourish. It has made it easier for middlemen to reach consumers and
made it remarkably easy and inexpensive for these middlemen to create
companies to do just that.

While there has been a lot of talk about how the technology industry
does not create jobs on the scale of traditional manufacturing — a
shrunken GM still employs more people than a thriving Google — the
Internet has made it a lot easier to create a broad array of new small
businesses.
intermediaries  San_Francisco  disintermediation  5BO  delivery  food_trucks  middlemen  small_business  travel_agents  new_businesses  inexpensive 
september 2011 by jerryking
Book Chat on 'The Big Thirst': The Future of Water
May 3, 2011 | NYTimes.com. | By DAVID LEONHARDT. Who reviews,
‘The Big Thirst’: The Future of Water by Charles Fishman, who a longtime
writer for Fast Company magazine. Fishman previously wrote “The
Wal-Mart Effect,” which was an Economist “book of the year” in 2006 and a
finalist in The Financial Times’s awards for best business
book.....Free water — water so cheap you never think about cost when
making water use decisions — is a silent disaster. When something is
free, the message is: It’s unlimited. Free water leads to constant waste
and misallocation.
“We will not, going forward, have water that has all three of those
qualities at the same time: unlimited, unthinkingly inexpensive and
safe.” ....Reminds me of an adage often cited in engineering circles:
"Good, fast, cheap - - pick any two." [JCK: Optimization--the balancing speed, rigor, quality, and agility. Leave perfection to higher powers.]
water  books  water_footprints  future  free  optimization  pricing  resource_allocation  misallocations  waste  inexpensive  engineering  fast  cheap  fast-paced 
may 2011 by jerryking
How to Build a Strong Brand in a Weak Economy
February 17, 2009 | ezine articles | by Rachel Y. Daniel is
the CEO of Synergy Marketing Strategy & Research, Inc.
Here are a few inexpensive, yet powerful, methods to produce significant
rewards:
1) Social networking media. 2) Corporate Social Responsibility
Initiatives. 3) Consumer Advisory Boards. Here are three critical
actions to establishing a strong brand in a weak economy: 1) Exude
Integrity. 2) Showcase Organizational Capabilities. 3) Emanate Goodwill.
branding  economic_downturn  integrity  inexpensive  organizational_capacity  goodwill  CSR  social_media  brands  weak_economy 
june 2010 by jerryking
Thirty-five years after the advent of the bar code, new sticker is smarter, smaller
Jun 25, 2009 | The Globe and Mail. .: pg. B.8 | Terrence
Belford. DataBar, the latest step forward in bar-code technology. A
small round label with black bars stuck on those fruits or vegetables.
Those small black stripes are tiny libraries of information."For
consumers it means much greater speed passing through the checkout
counter," he says. "No more [clerks] looking through product lists
manually to find prices. They can all be scanned in seconds."

For retailers it opens the door to easy, inexpensive new ways to track
inventory, determine which items from what suppliers sell best, prevent
the sale to customers of items at or perilously close to best-before
dates and to avoid cashier errors.
ProQuest  Terrence_Belford  barcodes  traceability  tracking  mobile_phones  inexpensive 
april 2010 by jerryking
India's Next Global Export: Innovation
Dec. 2, 2009 | BusinessWeek | By Reena Jana. A Hindi slang
word, jugaad (pronounced "joo-gaardh") translates to an improvisational
style of innovation driven by scarce resources and attention to a
customer's immediate needs, not their lifestyle wants. It captures how
Tata Group, Infosys, and other Indian corporations have gained
international stature. The term seems likely to enter the lexicon of
mgmt. consultants, mingling with Six Sigma, total quality, lean, and
kaizen, the Japanese term for continuous improvement. Like previous
mgmt. concepts, Indian-style innovation could be a fad. Moreover,
because jugaad essentially means inexpensive invention on the fly, it
can imply cutting corners, disregarding safety, or providing shoddy
service. "Jugaad means 'Somehow, get it done,' even if it involves
corruption," cautions M.S. Krishnan, a Ross b- school professor.
"Companies have to be careful. They have to pursue jugaad with
regulations and ethics in mind." Trickle-up innovation.
trickle-up  India  globalization  innovation  cheap_revolution  Tata  reverse_innovation  Bottom_of_the_Pyramid  jugaad  improvisation  inexpensive  Indians 
december 2009 by jerryking

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