Change or Derange The Future of Brand Opportunity
Our key for advanced home, mobile and business technologies is energizing market optimism. A multitude of technological advances is setting a game-changing stage of accelerated opportunity for smart, savvy and socially engaged manufacturers and retailers.
And these tech breakthroughs are not limited to just electronics. New consumer-enriched technologies sweep wide and deep through multiple market segments including energy, healthcare, manufacturing, automotive, IT and even travel. Wall Street investors realize and are preparing to act upon the formidable reality: technology stock valuations and upside are clearly very attractive.
As an example, the current price-to-earnings (P/E) ratio for our tech sector stands at 11.7 times expected results over the coming 12 months. When you compare today’s average to a rolling 15-year tech average of 23.1 times anticipated results and while aggregating these new torrid, market consumer centric technologies, our financial tech future is bright, prosperous and profit energizing. In fact, tech is currently the cheapest of all sectors within the S&P 500. As LG likes to say through their mantle anointment: “Life is Good!”
And, as new technologies from all these sectors thunder out of manufacturers' warehouses onto the shelves of brick and cloud stores, consumers stand ready to socially hunt, peck or buy: some sooner than later. I personally believe the old technology purchase adoption bell curve has changed forever. You remember this old theorem: 3 to 5 percent are early adopters, 15 percent follow next while 40 percent are centrist buyers and the remaining 40 percent known as tech-laggers finally purchase on the back end of product and price point life.
Smart consumer engagements created and matured through socially engineered tech reveals morphs faster profitable advantage forever. Why? Simple. Today’s early adoption is advanced and socially widened caused by hyper-accelerated, hyper-fast and effective social engagements.
Consumers at any level of this historic bell curve voice their choice, announce their pleasures and poisons in digital nano-seconds. Their social declarations are hyper-spreading permutations announcing, selling or negatively telling their connections whether to jump into the new product pool. Speed to market, pushed socially, is creating and crafting socially pulled early adoptions at any price point. Buyer maturity advances are no longer on just the merits of technology but on “Steve or Jane” declaring to thousands of social friends and neighbors: “you just have to get this hot new X or a truculent never buy this product!”
Of course quickly we realize the speed of social throughput, thanks to the word of Steve or Jane could also be the pernicious fatal blow for any new product. As we know, increases in product productivity increase company profitability through each and every touch point of expensive supply chains. What you say, how you say it and how well you respect or neglect your social audience creates or destroys product productivity, brand elasticity. Having said this, think about what this all means for traditional, sluggish push advertising.