The Wall Street Journal: “Mattresses were long considered immune to the e-commerce boom. For decades, they have been sold in showrooms full of dozens of styles with dizzying discounts and high-pressure salespeople. But a new breed of upstarts with slick websites has cracked into the $14 billion U.S. mattress industry. The online sellers offer just a few varieties at fixed prices—and ship free to customers’ doors a foam mattress that is compressed into a box the size of a large suitcase.”
“In place of the chance to try out a $5,000 Tempur-Pedic with adjustable base or lie down on a $2,500 Serta iComfort with gel memory foam, they promise free shipping, 100-day guarantees and free returns. It is a process aimed at the often wealthier, younger and busy shoppers who care less about kicking the tires and more about convenience … Compressed mattresses promise high margins because they are cheaper to ship than inner spring mattresses that can’t be compressed … Because of how carriers like FedEx and UPS charge, delivering a 90-pound compressed mattress is less expensive than home delivery with a regular truck.”
“Returns, however, are a challenge.” As Scott Thompson, CEO of Tempur Sealy, explains: “Getting the bed back in the box, that’s a little bit of a problem.” Other online mattress sellers include Casper Sleep, Leesa Sleep and Yogabed.
“The number of ‘bricks and mortar’ entertainment stores has reached a record high – despite rising online sales of music and film,” the BBC reports. There are now some 14,800 shops selling CDs, DVDs and Blu-ray, with supermarkets and high-street chain sales leading to the rise … The number of stores selling music and video has more than doubled since 2009, with DVD and Blu-ray available in 14,852 stores in 2015 and CDs and vinyl in 14,727.
Kim Bayley, CEO of the Entertainment Retailers Association: “Conventional wisdom has always suggested that the internet spelled the end for physical entertainment stores, but these numbers show that traditional retail still has a place, particularly for impulse purchases and gifts. After all, you can’t gift-wrap a download or a stream.”
Bayley adds that “the trend is clear – just as the internet has demonstrated that accessibility and convenience are key to selling entertainment, physical stores are demonstrating that if you put entertainment in front of people, they will buy it.”
User experiences fall short when they are inordinately focused on transactions, says Michael Schrage of MIT and author, most recently, of The Innovator’s Hypotheses. In a talk entitled, Why UX SUX, at Columbia University’s Brite ’16 conference, Schrage said the emphasis should be on how interactions with the brand measurably transform customer perceptions and expectations.
The question, then, is which transformations are best for both customers and brands? The challenge, in that sense, is to re-design customers for the trajectory of their sense of themselves and who they want to be. Schrage cited Chik-fil-A and its offer of a free dessert to families who put away their cell phones during dinnertime, and Lego, with its focus not so much on its plastic bricks but rather the future of play itself. He also mentioned Netflix’s re-inventing its customers as binge viewers.
Tracking trajectories and transforming expectations requires integrating innovation with the experience and expectations, Schrage says. Achieving this is less about having a strategy than it is a culture that’s open to transcending the transactional experience, and transforming experiences in tandem with the customer trajectory.
Speaking at Brite ’16, Daniel Lubetsky, founder of Kind, says that 90 percent or more of those who buy the snack bars are unaware of its social mission, which, naturally, is to promote kindness. The priority is that they buy into the brand as a quality product. That said, a community of kindness is promoted in at least three ways:
1) Kindawesome Cards. When someone is kind to you, visit howkindofyou.com and have a kindawsome card, good for two Kind bars, sent to him or her. It’s on the honor system. 2) Kind Causes. A website where you can nominate causes. Each month the “community” votes for a favorite, which gets $10,000. 3) Kind Foundation. A celebration of “kind” people who are making a difference in their communities, with a total of one million dollars in awards.
The New York Times: “Sugru is a moldable glue. It looks like Play-Doh, can be shaped around any object, sticks to almost any material, is waterproof, is heat-resistant and dries to a silicone rubbery finish in 24 hours. Its ability to bond to virtually any surface — wood, glass, metals and ceramics among others — and its moldable nature make it unusual in the world of adhesives, sealants and glues.”
“I wanted to design something that was so easy and so fun to use that more people would consider fixing things again,” said Jane Ni Dhulchaointigh, the Irish entrepreneur behind Sugru.
“Ms. Ni Dhulchaointigh said Sugru could withstand temperatures as high as 356 degrees and as low as minus 58 degrees, making it durable indoors and out. It will not melt, freeze, soften or harden. It can be thrown into a washing machine or dishwasher, and even soaked in seawater. If a user makes a mistake, a sharp knife can be used to cut through Sugru’s rubbery surface, removing it without damaging the surface of the repaired item.”
“Sales topped $5.5 million in 2015, up from $3.4 million in 2014 and $250,000 in its first year in 2010. Ms. Ni Dhulchaointigh expects sales to exceed $10 million this year and $60 million by 2020. It is now sold online to more than 160 countries and through 19 brick-and-mortar retailers in 6,050 stores in four countries. In the United States, 10 retailers carry the product in 4,500 stores.”