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4 Tips on doing business in a digital world

Doing business in a digital world requires end-to-end approach.

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By Lesley Salmon
Kellogg Company SVP, Global Chief Information Officer

It’s no secret that technological advances will continue to improve consumers’ experiences. While CIOs will always be responsible for keeping their organizations safe, secure, and sustained, successful businesses must harness the power of new digital solutions to drive better business decisions, and outcomes and ultimately grow the business.   

Depending on who you ask, doing business in a digital world can mean different things. To some, it means adopting consumer-facing digital offerings like e-commerce, mobile apps, and digital marketing; to others, it means digitizing operations and processes internally. To continuously evolve and adapt to forever-changing consumer expectations, CIOs must take an end-to-end approach to digital – focusing on four areas:  People, Process, Technology, and Data & Analytics. If you do this, you will realize the value it can add to your organization. 

1. Focus on your people.

For me, it’s all about people – having the right people delivering through great partnerships with the key stakeholders across the business, understanding their needs, pre-empting, and then responding to them. A recent Gartner poll stated that talent is a top challenge for CIOs in 2022. To attract and retain the right people, we need to satisfy their hunger to experiment, fail fast and learn.

When our Kellogg IT team told us they didn’t see enough growth opportunities, we knew we needed to take a new approach to learning and development. We built our Year of Development Always (YODA) initiative with a vision to cultivate our childhood curiosity and an eagerness to learn. We created several tracks in the program for technical training, career strategies, and shadow programs to help our colleagues learn and explore new facets of the overall IT function.  The program has seen great results, team engagement is at an all-time high.

2. Don’t frown on the word process; embrace it.

When we think of ‘process,’ many people immediately imagine a rigid and inflexible approach. I challenge this perspective – we sometimes have to slow down, to speed up. Processes can be flexible while still providing structure for business growth – they’re what drive progress every day!

Part of doing this is closely linked with People because Process can be about engaging business colleagues at the right time with the right solutions. Being a trusted partner means bringing the company along the digital journey with us, which is essential for our future success.

3. Integrate technologies that delight consumers and drive better business outcomes.

We know that building scale and leveraging our platforms will deliver value for the business, but what about delighting our consumers?

In 2020 a team member attended an event and learned that more than 2 million people in the UK live with sight loss and cannot simply read the information on packaging. It sparked an idea to add NaviLens technology to our packaging, allowing visually impaired people to access all of the information on our packaging via their smartphones – either by having it played aloud or by using accessibility tools.

We partnered with our Packaging and Design team and launched a successful pilot making Kellogg the first ‘food’ company in the world to include NaviLens technology on our packaging.

Our company’s purpose is for everyone to have a place at the table, and we want all consumers to be able to access important information about the foods we sell.

4. Making better business decisions with data and insights.

Data has always been available but never in the abundance that it is today. While CIOs may not manage every corporate data program, the IT function is critical in ensuring commercial and functional teams understand what data is available and use it to fuel insight-driven actions.  

At Kellogg, we’ve re-imagined our data & analytics approach and focus on data ownership, quality, ethics, and governance. This is the recipe for making better business decisions.  

The real magic happens when you join forces with other business areas, like Marketing, to combine our insights and analytics capabilities with innovation, e-commerce, and more. This has allowed us to create a rich omnichannel experience that ensures we have the right foods, attractive pricing, and tailoring the right message to our diverse consumers.  

Freeing data from silos is critical to meet consumer needs and preparing for the future consumer experience. We recently commissioned research that looks at what consumer shopping trends we can anticipate by 2035; we are making investments to prepare for those consumer expectations.

For example, in 2035 and beyond, the retail environment will fit the needs of each shopper. Shoppers will see the personalization of products and shopper journeys as a baseline expectation to fit their unique attitudes and needs. Traditional online and offline environments will become increasingly integrated, supplemented with AI and innovative technologies to offer data-driven capabilities. 

Final thought…

Digital is the driving force behind any business, and IT is in the driver’s seat. Commercial business leaders can and should partner with their IT teams to help prepare for digital shifts to create more personalized experiences that create brand affinity.

Strategies

Tips that businesses should consider during the holiday shopping season

Highlight your strengths—whether it’s one-of-a-kind products, exceptional offerings, or a strong local connection. Design your holiday strategy around what sets you apart and amplify these messages through social media and your marketing materials.

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As the holiday shopping season approaches, small businesses are gearing up for one of the busiest times of the year, from Black Friday to Small Business Saturday and beyond. 

SCORE, America’s largest network of volunteer, expert business mentors, offers entrepreneurs practical advice to make the most of the season.

Plan for the Holiday Rush

Reflect on last year’s performance. Did you meet your sales goals? Use your previous data to forecast sales, set promotional strategies and manage staffing needs to provide for outstanding customer care.

“It’s about more than just sales; it’s a powerful opportunity to connect with your community, attract new customers and reinforce relationships with loyal ones,” explains SCORE mentor Lizz Smoak.

If you plan on extending store hours during the holidays, communicate these updates with your team early so you are prepared to handle increased sales traffic. Ensure that employees are aware of the holiday schedule and have submitted any time-off requests to avoid last-minute scheduling conflicts. 

Create an Experience for Customers

“Engagement is key when customer traffic spikes during the holiday season,” notes SCORE mentor Christy Jones. “Consider offering curated gift guides or exclusive bundles to simplify decision-making for your customers, especially as you compete against large retailers like Amazon.” Plan a special event or connect with other local businesses to promote shopping small.

Stand Out from the Crowd

Consider how you can make your store or service the preferred choice. “Small business owners should contact their existing customers and highlight their unique level of service,” advises SCORE mentor John Doyle.

Highlight your strengths—whether it’s one-of-a-kind products, exceptional offerings, or a strong local connection. Design your holiday strategy around what sets you apart and amplify these messages through social media and your marketing materials.

Be E-Commerce Friendly

As you roll out holiday promotions, make sure that your digital doorstep is ready, too. Confirm your hours, location and contact info are updated on your website, Google Business Profile and other local listings. Many customers will be shopping on their phones so be sure your website is optimized for mobile use and that your most popular products are easy to find. A smooth checkout process is vital for keeping customers happy and encouraging repeat purchases.

“Small Business Saturday offers a prime opportunity for small businesses to step into the spotlight,” said SCORE CEO Bridget Weston. “With a strategic approach, small businesses can leverage this season and see big returns.”

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BizNews

Women more likely to choose wine with feminine labels

The more strongly the participants identified with other women, a phenomenon called “in-group identification,” the greater this effect was. A feminine label also influenced their expectation that they would like the wine better.

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To appeal to the majority of consumers, winemakers may want to pay as much attention to what’s on the bottle as what’s in it.

A three-part experimental study led by Washington State University researchers found that women were more inclined to purchase wine that had labels with feminine gender cues. The more strongly the participants identified with other women, a phenomenon called “in-group identification,” the greater this effect was. A feminine label also influenced their expectation that they would like the wine better.

With women representing 59% of U.S. wine consumers, the male-dominated field of winemaking might want to pay attention to the perceptions of this understudied group, said Ruiying Cai, lead author of the paper in the International Journal of Hospitality Management.  

“When you look at the market segments, women are actually purchasing a lot of wine. They are a large group,” said Cai, an assistant professor with WSU’s Carson College of Business. “We found that feminine cues speak to women consumers. They have more favorable attitudes toward the label and the wine itself. They were also expecting their overall sensory experience to be better, and they were more likely to purchase the wine.”

Gender cues often rely on stereotypes, and in initial tests for this research, a group of 90 women rated wine labels as more masculine when they featured rugged animals like wolves and stags as well as portraits of men. They designated labels as feminine that had cute animals, flowers and female portraits. Labels with castles and bunches of grapes were seen as neutral.

In two online experiments, a total of 324 women were shown fictitious wines with labels designed with these gendered cues. The participants showed higher intention to buy wines with a feminine label, such as a woman holding flowers, as opposed to a wine with a masculine label, such as a bulldog in a spiked collar. When asked about the expected sensory experience, they rated their liking of every sensory aspect higher, including the color, taste, aroma and aftertaste.

The participant’s level of wine expertise moderated their taste expectations but surprisingly, not their purchase intentions.

“Whether they were knowledgeable or less knowledgeable about wine, when they saw those feminine cues, they had a higher intention to buy the wine. The gender cue influence was so strong, it trumped the effect of that knowledge,” said co-author Christina Chi, a professor at WSU’s Carson College of Business.

A third experiment with another set of 138 women involved a taste test—also with a surprising finding. Researchers gave bottles of the same red wine with one of the gendered labels. More women who tasted the feminine-labeled wine ranked it higher in fruit flavors such as red current and blueberry than those who tasted the same wine with a masculine-cued label—and despite the fact those flavors were not dominant components in that particular wine. Women connected more mineral flavors with the masculine-labelled wine.

However, the participants who tasted the feminine-labelled wine reported liking it less than the women who tasted the masculine-labelled wines. The authors said this could be a result of the incongruence between the expected flavor influenced by the feminine label and the actual taste of the wine sample, which had a medium body, tannin and alcohol level.

Few studies have focused on the perceptions of women wine consumers in a field where 82% of the winemakers are men. That lack of perspective is very apparent on wine aisles, said Chi, noting that many vintners seem to favor masculine imagery like stallions, bulls and roosters–and one brand even features a prisoner in a jail cell.

“When designing the labels, winemakers should involve more women in the process, and it’s highly advisable to pilot test the labels among consumers for gender cues,” she said.

In addition to Cai and Chi, co-authors on this study include recent WSU graduate Demi Deng now at Auburn University and Robert Harrington of WSU.

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BizNews

License to chill? Bond shows ‘regressive nostalgia’ can freeze a brand’s future

“In order to minimize the negative impact of regressive nostalgia, it is important that the brand does not pander to the nostalgia displayed by a minority of super-consumers. Brand stewards must not be swayed by these loud voices and become exclusionary.”  

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Super-spy James Bond is a prime example of ‘regressive nostalgia’ highlighting how certain consumer groups cling to idealised past versions of brands and resist attempts to move with the times, a new study reveals. 

Researchers examined the James Bond movie franchise – a cultural icon for over 70 years – and discovered that some ‘super-consumers’ react negatively to modern portrayals of the fictional British secret agent that reflect contemporary societal values.  

Whilst loyal to the brand, these consumers prefer traditional, more exclusionary, versions of Bond which most closely follow author Ian Fleming’s original 1950s and 1960s vision – characterised as an arrogant, misogynistic, and racist Imperial British male. 

Publishing their findings in International Journal of Research in Marketing, consumer behavior experts from the University of Birmingham and ESCP Business School, London note that regressive nostalgia is characterized by a preference for racial and cultural purity and heroic masculinity. The phenomenon harbors exclusionary and aggressive tendencies that pose significant threats to brands. 

The researchers have, therefore, produced a toolkit to help marketeers shield their brand’s contemporary positioning from the negative connotations associated with this form of nostalgia – allowing brands to evolve without alienating their core consumer base. 

Finola Kerrigan, Professor of Marketing at the University of Birmingham, commented: “The James Bond franchise is a perfect example of how ‘regressive nostalgia’ manifests. Whilst the brand has successfully adapted to changing times, a small but disproportionally vocal part of its fanbase is anchored in the past, highlighting the need for careful brand management. 

“These ‘super-consumers’ cling to Ian Fleming’s characterisation of Bond and the period during which the novels were written to justify their nostalgia. They actively resist attempts to modernise the franchise, dismissing as ‘woke nonsense’ recent movies such as ‘No Time to Die.” 

Chloe Preece, Professor of Marketing, ESCP Business School, London notes that these Super-consumers view Bond as a heroic, white, male icon providing a ‘safe space’ for those feeling threatened by contemporary discussion about creating a more inclusive society. The character’s ‘man-of-action’ persona allows this group of mostly male consumers to identify with the spy’s ‘heroic masculinity’ based on his ability to sleep with the ‘Bond girls’. 

While the study focuses on the Bond franchise, the researchers identify parallels with other groups’ appropriation of brand resources and associating them with anti-social causes. 

“Brands use nostalgia to connect with consumers – delighting and enchanting their customer base whilst connecting them to others – but this makes nostalgia potentially dangerous in drawing consumers to the past, when it creates a sense of loss combining a cherished past and a despised present,” said independent scholar Dr Daragh O’Reilly. 

“In order to minimize the negative impact of regressive nostalgia, it is important that the brand does not pander to the nostalgia displayed by a minority of super-consumers. Brand stewards must not be swayed by these loud voices and become exclusionary.”  

The researchers note that marketeers should be alert to the risk posed by regressive nostalgia and have devised toolkit comprising of a series of questions to help brand managers assess the level of threat.

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