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1 Confidential ©2012 RedPrairie Corporation. All rights reserved. Confidential ©2012 RedPrairie Corporation. All rights reserved. Trendcasting 5 Ideas that Have the Potential to Influence the (Near) Future of Commerce

Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

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At Commerce in Motion, we strive to keep our fingers on the pulse of trends and technologies that have the potential to impact commerce, and in this eBook we will discuss five ideas that we believe have a real opportunity to significantly impact the way businesses design, procure, market, and sell products in the near future. Some of the ideas we will discuss truly are “emerging” ideas, while others are less new, but we believe ready to affect commerce in a profound way.

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Page 1: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

1Confidential ©2012 RedPrairie Corporation. All rights reserved.Confidential ©2012 RedPrairie Corporation. All rights reserved.

Trendcasting5 Ideas that Have the Potential to Influence the (Near) Future of Commerce

Page 2: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

2Confidential ©2012 RedPrairie Corporation. All rights reserved. 2Confidential ©2012 RedPrairie Corporation. All rights reserved.

Near Field CommunicationsLooking Past Payments

Page 3: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

3Confidential ©2012 RedPrairie Corporation. All rights reserved. 3Confidential ©2012 RedPrairie Corporation. All rights reserved.

NFC, Explained

• Short-range wireless technology> “Tap and Go”

• Smartphones gain instant access to data from any other NFC-enabled handset or NFC tag

Page 4: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

4Confidential ©2012 RedPrairie Corporation. All rights reserved. 4Confidential ©2012 RedPrairie Corporation. All rights reserved.

Bluetooth, RFID, QR Codes…Why NFC?

• Versatile• Standards-based• Interoperable• Security-ready• No “pairing” required

Page 5: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

5Confidential ©2012 RedPrairie Corporation. All rights reserved. 5Confidential ©2012 RedPrairie Corporation. All rights reserved.

Payments Have Early Momentum

• Mobile payments getting the most attention> APAC and EMEA> Google is in early

Page 6: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

6Confidential ©2012 RedPrairie Corporation. All rights reserved. 6Confidential ©2012 RedPrairie Corporation. All rights reserved.

NFC in the Supply Chain

• NFC Data logger scans, reviews, and communicates all temperature data

• Any NFC-enabled phone can scan tags/manage temperature data > Share with anyone in cold chain

Page 7: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

7Confidential ©2012 RedPrairie Corporation. All rights reserved. 7Confidential ©2012 RedPrairie Corporation. All rights reserved.

Unilever: NFC and CPG• NFC chips embedded in posters

> 300 posters around Reading, UK

• Primarily younger target audiences> Lynx, Vaseline, Toni & Guy, Magnum

• Tap posters with phone for content> Coupons, contests, video, product info

Page 8: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

8Confidential ©2012 RedPrairie Corporation. All rights reserved. 8Confidential ©2012 RedPrairie Corporation. All rights reserved.

• NFC-enabled spaces in 6 busy subway stations

• Enabling 2M commuters to connect and transact> Taxis> Transit Guides and Tickets> Forever 21

Singapore Commuters Tap to Buy

Page 9: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

9Confidential ©2012 RedPrairie Corporation. All rights reserved. 9Confidential ©2012 RedPrairie Corporation. All rights reserved.

Skylanders: NFC and FUN• Physical action figures

interact with games via NFC “portal”

• History and attributes stored with figures

• Figures play on any console

Page 10: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

10Confidential ©2012 RedPrairie Corporation. All rights reserved. 10Confidential ©2012 RedPrairie Corporation. All rights reserved.

PAYMENT TAG READING

PEER TO PEERTICKETING

UnlimitedPotential

• Identification• Time & Attendance• Loyalty• Transportation• Inventory• Physical Access• Coupons & Offers

700MNFC PHONES WILL SHIP IN 2016

Page 11: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

11Confidential ©2012 RedPrairie Corporation. All rights reserved. 11Confidential ©2012 RedPrairie Corporation. All rights reserved.

Big DataUnprecedented Number Crunching,Unprecedented Insight

Page 12: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

12Confidential ©2012 RedPrairie Corporation. All rights reserved.

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Large quantities of (typically) unstructured information that can’t be processed or analyzed using traditional tools

2,500,000,000,000,000,000Bytes of Data are Created Every Day

BIG DATA

Page 13: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

13Confidential ©2012 RedPrairie Corporation. All rights reserved. 13Confidential ©2012 RedPrairie Corporation. All rights reserved.

With Challenge…Opportunity

Big data is an opportunity to mine for hidden patterns and insights in new and emerging types of data to answer questions that, in the past, were out of reach

“Big data will become a key basis

of competition, underpinning new

waves of productivity growth,

innovation, and consumer surplus.”--McKinsey Quarterly

Page 14: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

14Confidential ©2012 RedPrairie Corporation. All rights reserved.

“At the heart of the threat was our competitor’s ability to gather and analyze consumer sentiment and generate personalized recommendations across millions of customers.”

Big Data: From the Front Lines

Specialty Retail

Page 15: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

15Confidential ©2012 RedPrairie Corporation. All rights reserved.

“We tapped into the millions of relevant blog posts, social-media conversations, search term keywords, brand comparisons, and customer feedback postings to gain actionable insights.”

Big Data: From the Front Lines

Big Box Retail

Page 16: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

16Confidential ©2012 RedPrairie Corporation. All rights reserved.

“We combined sales data with medical-claims data and clinical data from a medical-record system and found ways to improve health outcomes and manage the total cost of care.”

Big Data: From the Front Lines

Pharma Manufacturer

Page 17: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

17Confidential ©2012 RedPrairie Corporation. All rights reserved. 17Confidential ©2012 RedPrairie Corporation. All rights reserved.

Big Data’s Big Value Proposition

Agility Making information transparentand usable at much higher frequency

Targeting Ever-narrower segmentation of customers leads to much more precisely tailored products

Responsiveness Substantially improved timelinessof decision-driving data

InnovationInform and improve the developmentof the next generation of products

Page 18: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

18Confidential ©2012 RedPrairie Corporation. All rights reserved.

Can GB Predict the Next Gaga?• Connecting social activity

and music consumption

• Aggregating and analyzing likes, plays, downloads, etc.

> Primarily unstructured data

• Learning how artists become stars by analyzing the ways people listen to music now

Page 19: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

19Confidential ©2012 RedPrairie Corporation. All rights reserved. 19Confidential ©2012 RedPrairie Corporation. All rights reserved.

Augmented RealityVirtual Reality Gets Real

Page 20: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

20Confidential ©2012 RedPrairie Corporation. All rights reserved. 20Confidential ©2012 RedPrairie Corporation. All rights reserved.

A live view of a physical environment augmented by computer-generated input such as sound, video, graphics or GPS data

Augmented Reality Explained

1/2 mi

101 Main Street2 BR / 1 BA

Page 21: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

21Confidential ©2012 RedPrairie Corporation. All rights reserved. 21Confidential ©2012 RedPrairie Corporation. All rights reserved.

Augmented Reality Explained

Page 22: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

22Confidential ©2012 RedPrairie Corporation. All rights reserved. 22Confidential ©2012 RedPrairie Corporation. All rights reserved.

“Recent” AR Inroads• Prototyping• Design• Surgery• Assembly• Entertainment• Gaming• Navigation• Sightseeing 1937

photo circa

Page 23: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

23Confidential ©2012 RedPrairie Corporation. All rights reserved. 23Confidential ©2012 RedPrairie Corporation. All rights reserved.

Marketing Moves Beyond Novelty

• Delivering useful information

• Adding value• Influencing

conversion rates

Page 24: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

24Confidential ©2012 RedPrairie Corporation. All rights reserved. 24Confidential ©2012 RedPrairie Corporation. All rights reserved.

Breakthrough: Image Recognition

• No marker required• Scan products for content

> Games, nutrition, product details, etc.

• “Infinite shelf space”

Page 25: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

25Confidential ©2012 RedPrairie Corporation. All rights reserved. 25Confidential ©2012 RedPrairie Corporation. All rights reserved.

The Circular EconomyA Critical Link to Sustainability?

Page 26: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

26Confidential ©2012 RedPrairie Corporation. All rights reserved.

The Limits of Linear Consumption

TAKE MAKE SELL DISPOSESurvival Requires Large Quantities of Easily

Accessible Resources and Energy

Commodities Prices Price VolatilitySource: Ellen Macarthur Foundation Source: Ellen Macarthur Foundation

Page 27: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

27Confidential ©2012 RedPrairie Corporation. All rights reserved. 27Confidential ©2012 RedPrairie Corporation. All rights reserved.

No Relief in Sight• Globalized Markets• Population Growth• Rising GDP in Emerging Areas

> Middle Class Growth

• Political Turmoil• Climate

Page 28: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

28Confidential ©2012 RedPrairie Corporation. All rights reserved. 28Confidential ©2012 RedPrairie Corporation. All rights reserved.

Efficiency is No Longer Enough

Reuse

Refurbish

Redistribute

Reduce

ReuseRecycle

OptimizingComponentsMinimizing the cradle-to-grave flow of materials

OptimizingSystems

Generating cyclicalcradle-to-cradle“metabolisms”

OPPORTUNITY

Source: Ellen Macarthur Foundation

Page 29: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

29Confidential ©2012 RedPrairie Corporation. All rights reserved. 29Confidential ©2012 RedPrairie Corporation. All rights reserved.

Core Principles of a Circular Economy

1. Design out waste> Design for disassembly and reuse

2. Commit to renewable energy to fuel entire product lifecycle

3. Shift from “Consumers” to “Users”> Purchase the use of the product > Durable products: leased/rented/shared> When sold, incentives ensure returns

Page 30: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

30Confidential ©2012 RedPrairie Corporation. All rights reserved. 30Confidential ©2012 RedPrairie Corporation. All rights reserved.

The Circle in Motion: Refurbish• Created Cat Reman in 1972• Annual impact:

> 140 million lbs of products remanned> 130 million lbs of iron> 200,000 lbs. cardboard> 3.4 million lbs. wood

• Zero landfill goal by 2020• 8-10% growth/yr since 2001

Page 31: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

31Confidential ©2012 RedPrairie Corporation. All rights reserved. 31Confidential ©2012 RedPrairie Corporation. All rights reserved.

The Circle in Motion: Redistribute“Collaborative Consumerism” reaches the mainstream

Page 32: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

32Confidential ©2012 RedPrairie Corporation. All rights reserved. 32Confidential ©2012 RedPrairie Corporation. All rights reserved.

CrowdsourcingInnovation Without Walls, Borders or Orders

Page 33: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

33Confidential ©2012 RedPrairie Corporation. All rights reserved. 33Confidential ©2012 RedPrairie Corporation. All rights reserved.

Crowdsourcing,ExplainedCreating goods and services in close cooperation with customers by giving them direct input into what gets produced

Page 34: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

34Confidential ©2012 RedPrairie Corporation. All rights reserved. 34Confidential ©2012 RedPrairie Corporation. All rights reserved.

Open Innovation at Work• $7.7 billion1

• 200 million phones2

• Linus Torvalds has written only ~2% of the code3

1– Research and Markers | 2 – Juniper Research | 3 – Business Week

Page 35: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

35Confidential ©2012 RedPrairie Corporation. All rights reserved. 35Confidential ©2012 RedPrairie Corporation. All rights reserved.

Doritos Crash the Super Bowl Party• 5,600 entries, 6 winners

> 2 of top 10 game-day ads

• Six commercials• Brand engagement • Expanded social networks

• $1.4M in prizes

Page 36: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

36Confidential ©2012 RedPrairie Corporation. All rights reserved. 36Confidential ©2012 RedPrairie Corporation. All rights reserved.

Crowd-Krafted Innovation

• InnovateWithKraft.com• Open to suppliers

and consumers• Numerous recent

advancements> Esp. in packaging

Page 37: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

37Confidential ©2012 RedPrairie Corporation. All rights reserved. 37Confidential ©2012 RedPrairie Corporation. All rights reserved.

Fiat Puts the “Me” in Mio• Fully crowdsourced Concept car

> 17,662 registrants/10,000 ideas

• Completely transparent process> All decisions/designs shared online

• Dozens of ideas made production

Page 38: Trendcasting: Five Big Ideas that Have the Potential to Transform the Near Future of Commerce

38Confidential ©2012 RedPrairie Corporation. All rights reserved. 38Confidential ©2012 RedPrairie Corporation. All rights reserved.

Learn More atCommerceInMotion.comhttp://bit.ly/JEj1OG