A Passion for Passion: The Motivational Speech Tom Peters/12June04.
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Transcript of A Passion for Passion: The Motivational Speech Tom Peters/12June04.
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A Passion for Passion:
The Motivational Speech
Tom Peters/12June04
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Setting the Scene
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“Uncertainty is the only thing to be sure of.” —Anthony Muh,
head of investment in Asia, Citigroup Asset Management
“If you don’t like change, you’re going to like
irrelevance even less.” —General Eric Shinseki, Chief of Staff,
U. S. Army
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Forget>“Learn”
“The problem is never how to get new, innovative
thoughts into your mind,
but how to get the old ones out.”
Dee Hock
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Forbes100 from 1917 to 1987: 39 members of the Class of ’17 were alive
in ’87; 18 in ’87 F100; 18 F100 “survivors” underperformed the market
by 20%; just 2 (2%), GE & Kodak, outperformed the market 1917 to 1987.
S&P 500 from 1957 to 1997: 74 members of the Class of ’57 were
alive in ’97; 12 (2.4%) of 500 outperformed the market from 1957 to 1997.
Source: Dick Foster & Sarah Kaplan, Creative Destruction: Why Companies That Are Built to Last Underperform the Market
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“I’m not comfortable unless
I’m uncomfortable.”—Jay Chiat
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“If things seem under control, you’re just not
going fast enough.”
Mario Andretti
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A Bias for Action
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The Kotler Doctrine:
1965-1980: R.A.F.(Ready.Aim.Fire.)
1980-1995: R.F.A.(Ready.Fire!Aim.)
1995-????: F.F.F.(Fire!Fire!Fire!)
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“We have a ‘strategic’ plan. It’s called doing things.” — Herb Kelleher
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“When assessing candidates, the first thing I looked for was energy and
enthusiasm for execution. Does she talk about the thrill of getting things
done, the obstacles overcome, the role her people played—or does she keep
wandering back to strategy or philosophy?” —Larry Bossidy,
Honeywell/AlliedSignal, in Execution
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Fail. Forward.
Fast.
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Sam’s Secret #1!
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“Fail faster. Succeed sooner.”
David Kelley/IDEO
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Fail. Forward. Fast. –High-tech Exec
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“Reward excellent
failures. Punish mediocre successes.”
Phil Daniels, Sydney exec (and, de facto, Jack)
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Seek Out Weird!
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Saviors-in-Waiting
Disgruntled CustomersOff-the-Scope Competitors
Rogue EmployeesFringe Suppliers
Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue Employees
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CUSTOMERS: “Future-defining customers may
account for only 2% to 3% of your total, but they represent a crucial
window on the future.”Adrian Slywotzky, Mercer Consultants
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COMPETITORS: “The best swordsman in the world doesn’t need to fear
the second best swordsman in the world; no, the person for him to be afraid of is some ignorant antagonist who has never had a
sword in his hand before; he doesn’t do the thing he ought to do, and so the expert isn’t
prepared for him; he does the thing he ought not to do and often it catches the expert out and
ends him on the spot.”
Mark Twain
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“To grow, companies need to break out of a vicious
cycle of competitive benchmarking and
imitation.” —W. Chan Kim & Rene Mauborgne,
“Think for Yourself —Stop Copying a Rival,” Financial Times/08.11.03
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“The short road to ruin is to emulate
the methods of your adversary.”
— Winston Churchill
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Employees: “Are there enough weird
people in the lab these days?”
V. Chmn., pharmaceutical house, to a lab director (06.01)
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We become who we
hang out with!
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Innovation Source No. 1*:
PPPs/Personally Pissed-off
People
“Branson started Virgin Atlantic because flying other airlines was
so dreadful.” —Fortune/05.13.2002
*And there is no No. 2!
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Innovation Index: How many of your Top 5
Strategic Initiatives score 7 or higher (out of 10) on a “Weirdness/Profundity
Scale”?
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I Don’t Know!
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“Ninety percent of what we call ‘management’ consists of making it
difficult for people to get things done.” – P.D.
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“I don’t know.”
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Quests!
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“Firms will not ‘manage the careers’ of their employees. They
will provide opportunities to enable the employee to develop
identity and adaptability and
thus be in charge of his or her own career.”
Tim Hall et al., “The New Protean Career Contract”
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Organizing Genius / Warren Bennis and Patricia Ward Biederman
“Groups become great only when everyone in them, leaders and
members alike, is free to do his or her absolute best.”
“The best thing a leader can do for a Great Group is to allow its members to
discover their greatness.”
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Leaders-Teachers Do Not “Transform People”!
Instead leaders-mentors-teachers (1) provide a context which is marked by (2) access to a luxuriant portfolio of meaningful opportunities (projects) which
(3) allow people to fully (and safely, mostly—caveat: “they”
don’t engage unless they’re “mad about something”) express their innate curiosity and (4) engage in a vigorous
discovery voyage (alone and in small teams, assisted by an
extensive self-constructed network) by which those people (5) go to-create places they (and their mentors-teachers-
leaders) had never dreamed existed—and then the leaders-mentors-teachers (6) applaud like hell, stage
“photo-ops,” and ring the church bells 100 times to commemorate the bravery of their
“followers’ ” explorations!
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“I start with the premise that the
function of leadership is to produce more leaders, not more
followers.”—Ralph Nader
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Brand You, Big Time!
I AM AN ARMY OF
ONE
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Doing Leadership
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“Warren, I know you want to ‘be’
president. But do you want to ‘do’
president?”
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33 Division Titles. 26 League Pennants. 14
World Series: Earl Weaver—0. Tom Kelly—0. Jim Leyland—0.
Walter Alston—1AB. Tony LaRussa—132 games, 6 seasons. Tommy Lasorda—P, 26 games. Sparky
Anderson—1 season.
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“Leaders don’t
‘want to’ win.
Leaders ‘need to’ win.”
#49
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“It is no use saying ‘We are doing our best.’ You have got to succeed in doing
what is necessary.” —WSC
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“To Don’t ” List
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Best Talent Wins!
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“14 MILLION service jobs are in
danger of being shipped overseas” —
The Dobbs Report/USN&WR/11.03/re new UCB
study
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“WHAT ARE PEOPLE GOING TO DO WITH
THEMSELVES?” —Headline/
Fortune/ 11.03 (“We should finally admit that we do not and cannot know, and regard that fact with serenity
rather than anxiety.”)
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“Over the last decade the biggest employment gains came in occupations that rely on people skills and emotional intelligence and among
jobs that require imagination and creativity. … Trying to preserve existing jobs will prove futile
—trade and technology will transform the economy whether we like it or not. Americans will be better off if they strive to move up the hierarchy of human talents. That’s where our
future lies.” —Michael Cox, Richard Alm and Nigel Holmes/“Where the Jobs Are”/NYT/05.13.2004
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Age of AgricultureIndustrial Age
Age of Information IntensificationAge of Creation Intensification
Source: Murikami Teruyasu, Nomura Research Institute
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“When land was the scarce resource, nations battled
over it. The same is happening now for talented people.”
Stan Davis & Christopher Meyer, futureWEALTH
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Talent!
Tina Brown: “The first thing to do is to hire enough
talent that a critical mass of excitement starts to
grow.”Source: Business2.0/12.2002-01.2003
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“The leaders of Great Groups love talent and know where to find it. They revel in
the talent of others.”Warren Bennis & Patricia Ward Biederman,
Organizing Genius
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PARC’s Bob Taylor:
“Connoisseur of Talent”
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Les Wexner: From sweaters to people!
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From “1, 2 or you’re out” [JW] to …
“Best Talent in each industry segment to build
best proprietary intangibles” [EM]
Source: Ed Michaels, War for Talent
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“We believe companies can increase their market cap 50 percent in 3 years. Steve
Macadam at Georgia-Pacific changed 20 of his 40 box plant managers to put
more talented, higher paid managers in charge. He increased profitability from $25 million to $80 million
in 2 years.”
Ed Michaels, War for Talent
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Message: Some people are better than other
people. Some people are a helluva lot better than other
people.
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Talent Department
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People Department
Center for Talent Excellence
Seriously Cool People Who Recruit & Develop Seriously Cool People
Etc.
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Diversity Pays!
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“The Creative Class derives its identity from its members’ roles as
purveyors of creativity. Because creativity is the driving force of economic growth, in terms of
influence the Creative Class has become the dominant class in
society.” —Richard Florida, The Rise of the Creative Class (38M, 30%)
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“Where do good new ideas come from? That’s simple! From
differences. Creativity comes from unlikely juxtapositions.
The best way to maximize differences is to mix ages, cultures and
disciplines.”
Nicholas Negroponte
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“Diversity defines the health and wealth of nations in a new
century. Mighty is the mongrel. The hybrid is hip. The impure, the mélange, the adulterated, the
blemished, the rough, the black-and-blue, the mix-and-match – these people are inheriting the earth.
Mixing is the new norm. Mixing trumps isolation. It spawns creativity, nourishes the human spirit, spurs
economic growth and empowers nations.”
G. Pascal Zachary, The Global Me: New Cosmopolitans and the Competitive Edge
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CM Prof Richard Florida on
“Creative Capital”: “You cannot get a technologically
innovative place unless it’s open to weirdness,
eccentricity and difference.”
Source: New York Times/06.01.2002
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The Cracked Ones Let in the Light
“Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found
among non-conformists, dissenters and rebels.”
David Ogilvy
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“AS LEADERS, WOMEN RULE: New Studies find that female managers
outshine their male counterparts in almost
every measure”Title, Special Report, BusinessWeek, 11.20.00
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Women Rule!
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“AS LEADERS, WOMEN RULE: New Studies find that female managers
outshine their male counterparts in almost
every measure”Title, Special Report, BusinessWeek, 11.20.00
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Women’s Strengths Match New Economy Imperatives: Link [rather than rank] workers;
favor interactive-collaborative leadership style [empowerment beats top-down decision making]; sustain fruitful collaborations; comfortable with sharing information; see redistribution of power
as victory, not surrender; favor multi-dimensional feedback; value technical & interpersonal skills, individual & group contributions equally; readily accept ambiguity; honor intuition as well as pure
“rationality”; inherently flexible; appreciate cultural diversity.
Source: Judy B. Rosener, America’s Competitive Secret: Women Managers
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“TAKE THIS QUICK QUIZ: Who manages more things at once? Who puts more effort into their appearance? Who usually takes care of the details? Who finds it
easier to meet new people? Who asks more questions in a conversation? Who is a better
listener? Who has more interest in communication skills? Who is more inclined to get involved?
Who encourages harmony and agreement? Who has better intuition? Who works with a longer ‘to do’ list? Who enjoys a recap to the day’s events? Who is
better at keeping in touch with others?”
Source: Selling Is a Woman’s Game: 15 Powerful Reasons Why Women Can Outsell Men, Nicki Joy & Susan Kane-Benson
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“Investors are looking more and more for a relationship with their financial
advisers. They want someone they can trust, someone who listens. In my experience, in general,
women may be better at these relationship-building skills than are
men.”
Hardwick Simmons, CEO, Prudential Securities
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“Internationally, the United States ranked sixtieth in
women’s political leadership, behind Sierra
Leone and tied with Andorra.” —Marie Wilson, Closing the Leadership Gap
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Opportunity!
U.S. G.B. E.U. Ja.
M.Mgt. 41% 29% 18% 6%
T.Mgt. 4% 3% 2% <1% Peak Partic. Age 45 22 27 19
% Coll. Stud. 52% 50% 48% 26%
Source: Judy Rosener, America’s Competitive Secret
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“Are men obsolete?” —Headline,
USN&WR/06.03.03
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Brand You: Distinct or
Extinct!
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“Income Confers No Immunity as Jobs Migrate” —Headline/USA Today/02.04
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“There is no job that is America’s God-given right
anymore.” —Carly Fiorina/ HP/
01.08.2004
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“One Singaporean worker costs as much as …
3 … in Malaysia 8 … in Thailand 13 … in China 18 … in India.”
Source: The Straits Times/08.18.03
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“JUST GOT LAID OFF? HIRE
YOURSELF!”—Cover story, Forbes, 12 May 2003
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“If there is nothing very special about
your work, no matter how hard you apply yourself, you won’t get noticed, and that
increasingly means you won’t get paid much either.”
Michael Goldhaber, Wired
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Minimum New Work SurvivalSkillsKit2003
MasteryRolodex Obsession (vert. to horiz. “loyalty”)
Entrepreneurial InstinctCEO/Leader/Businessperson/Closer
Mistress of ImprovSense of Humor
Intense Appetite for TechnologyGroveling Before the Young
Embracing “Marketing”Passion for Renewal
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“My ancestors were printers in Amsterdam from 1510 or so until
1750, and during that entire time they didn’t have to learn anything
new.”Peter Drucker, Business 2.0 (08.22.00)
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“Knowledge becomes obsolete incredibly fast. The
continuing professional education of adults is the
No. 1 industry in the next 30 years … mostly on line.”
Peter Drucker,Business 2.0 (22August2000)
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R.D.A.
Rate: 15%?, 25%?
Therefore: Formal “Investment
Strategy”/R.I.P.
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Personal “Brand Equity” Evaluation– I am known for [2 to 3 things]; next year at this time I’ll
also be known for [1 more thing].–My current Project is challenging me …– New things I’ve learned in the last 90 days include …–My public “recognition program”
consists of …– Additions to my Rolodex in the last 90 days include …
–My resume is discernibly different from last year’s at this time …
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T.T.D./Assignment
Construct a 1/8-page or 1/4-page ad for
Brand You … for the Yellow Pages
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The Rule of Positioning
“If you can’t describe your position in eight
words or less, you don’t have a position.”
— Jay Levinson and Seth Godin, Get What You Deserve!
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Thriving in 24/7 (Sally Helgesen)
START AT THE CORE. Nimbleness only possible if we “locate our inner voice,” take regular inventory of
where we are.
LEARN TO ZIGZAG. Think “gigs.” Think lifelong learning. Forget “old loyalty.” Work on optimism.
CREATE OUR OWN WORK. Articulate your value. Integrate your passions. I.D. your market. Run your
own business.
WEAVE A STRONG WEB OF INCLUSION. Build your own support network. Master the art of “looking
people up.”
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“Nobody gives you power. You just take it.”—Roseanne
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“You are the storyteller of your own life, and you
can create your own legend or not.”
Isabel Allende
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The greatest dangerfor most of us
is not that our aim istoo high
and we miss it,but that it is
too lowand we reach it.
Michelangelo
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It’s in Your Hands!
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Bill Parcells’ World/ Brand You World!
BLAME NOBODY!EXPECT NOTHING!DO SOMETHING!
NY Post (9/99)
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THE IDEA: Model F4
Find a Fellow
Freak Faraway
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F2F!/K2K!/1@T/R.F!A.*
*Freak to Freak/ Kook to Kook/ One at a Time/ Ready.Fire!Aim.
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Joe J. Jones Joe J. Jones 1942 – 2003 1942 – 2003
HE WOULDA DONE SOME HE WOULDA DONE SOME
REALLY COOL STUFF REALLY COOL STUFF
BUT …BUT …
HIS BOSS WOULDN’T LET HIM! HIS BOSS WOULDN’T LET HIM!
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Educate for a Creative Society
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“My education was a prolonged and concerted
attack on my individuality.” —Neil Crofts, Authentic
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“He wasn’t one who went along with his peers” —SPC Joe Darby’s history
teacher
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“My wife and I went to a [kindergarten] parent-teacher conference and were informed that our budding
refrigerator artist, Christopher, would be receiving a grade of Unsatisfactory in art. We were shocked. How could any child—let alone our child—receive a poor
grade in art at such a young age? His teacher informed us that he had refused to color within the lines, which was a
state requirement for demonstrating ‘grade-level motor
skills.’ ”Jordan Ayan, AHA!
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“How many artists are there in the room? Would you please raise your hands. FIRST GRADE: En masse the children leapt from their seats, arms waving. Every child was an artist. SECOND
GRADE: About half the kids raised their hands, shoulder high, no higher. The hands were still. THIRD GRADE: At best, 10 kids out
of 30 would raise a hand, tentatively, self-consciously. By the time I reached SIXTH GRADE, no more than one or two kids
raised their hands, and then ever so slightly, betraying a fear of being identified by the group as a ‘closet artist.’ The point is:
Every school I visited was participating in the suppression of creative genius.”
Gordon MacKenzie, Orbiting the Giant Hairball: A Corporate Fool’s Guide to Surviving with Grace
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Education3M
Stability is dead; “education” must therefore “educate” for an unknowable,
ambiguous, changing future; thence, learning to learn & change is far more
important than mastery of a static body of “facts.”
“Education” must “develop in youth the capabilities for engaging in intense concentrated
involvement in an activity.” [James Coleman, 1974.] [Hint: It doesn’t.] [Hint: Understatement.]
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Ye gads: “Thomas Stanley has not only found no correlation between success in school and an
ability to accumulate wealth, he’s actually found a negative correlation. ‘It seems that school-
related evaluations are poor predictors of economic success,’ Stanley concluded. What did predict success was a willingness to take risks.
Yet the success-failure standards of most schools penalized risk takers. Most educational
systems reward those who play it safe. As a result, those who do well in school find it hard to
take risks later on.”Richard Farson & Ralph Keyes, Whoever Makes the Most Mistakes Wins
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Make Dreams Come True!
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A Sea of Sameness
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“The ‘surplus society’ has a surplus of
similar companies, employing
similar people, with similar educational backgrounds, coming up
with similar ideas, producing
similar things, with similar prices
and similar quality.”
Kjell Nordström and Jonas Ridderstråle, Funky Business
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“While everything may
be better, it is also increasingly the same.”
Paul Goldberger on retail, “The Sameness of Things,” The New York Times
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“Companies have defined so much ‘best practice’
that they are now more or less identical.”
Jesper Kunde, Unique Now ... or Never
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“This is an essay about what it takes to create and sell something remarkable. It is a plea for originality, passion, guts and daring. You can’t be remarkable by following someone else who’s remarkable. One way to figure
out a theory is to look at what’s working in the real world and determine what the successes have in common. But what could the Four Seasons and
Motel 6 possibly have in common? Or Neiman-Marcus and Wal*Mart? Or Nokia (bringing out new hardware every 30 days or so) and Nintendo
(marketing the same Game Boy 14 years in a row)? It’s like trying to drive
looking in the rearview mirror. The thing that all these companies have in common is that they have nothing in common. They are outliers. They’re on the fringes.
Superfast or superslow. Very exclusive or very cheap. Extremely big or extremely small. The reason its so hard to follow the leader is this: The
leader is the leader precisely because he did something remarkable. And that remarkable thing is now taken—so it’s no longer remarkable when you
decide to do it.” —Seth Godin, Fast Company/02.2003
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From Products and Services to Scintillating Experiences
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“Experiences are as distinct from services as services are from
goods.”Joseph Pine & James Gilmore, The Experience Economy:
Work Is Theatre & Every Business a Stage
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“Club Med is more than just a ‘resort’; it’s a means of rediscovering oneself, of inventing an
entirely new ‘me.’ ”
Source: Jean-Marie Dru, Disruption
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“The [Starbucks] Fix” Is on …
“We have identified a ‘third place.’ And I really believe that sets us apart. The third place is
that place that’s not work or home. It’s the place our
customers come for refuge.”Nancy Orsolini, District Manager
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Experience: “Rebel Lifestyle!”
“What we sell is the ability for a 43-year-old accountant to dress in black leather, ride
through small towns and have people be afraid of him.”
Harley exec, quoted in Results-Based Leadership
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Bob Lutz: “I see us as being in the art business. Art,
entertainment and mobile sculpture, which,
coincidentally, also happens to provide transportation.”
Source: NYT 10.19.01
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WHAT CAN BROWN DO FOR YOU?
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The “Experience Ladder”
Experiences Services
Goods Raw Materials
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Duet … Whirlpool … “washing machine” to “fabric care system” … white goods: “a sea of
undifferentiated boxes” … $400 to $1,300 … “the Ferrari of washing machines” …
consumer: “They are our little mechanical buddies. They have personality. When they are
running efficiently, our lives are running efficiently. They are part of my family.” …
“machine as aesthetic showpiece” … “laundry room” to “family studio” / “designer laundry
room” (complements Sub-Zero refrigerator and home-theater center)
Source: New York Times Magazine/01.11.2004
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1997-2001
>$600: 10% to 18%$400-$600: 49% to 32%
<$400: 41% to 50%
Source: Trading Up, Michael Silverstein & Neil Fiske
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“Clients want either the best or
the least expensive; there
is no in between.” —John Dijulius, Secret
Service
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“Most executives have no idea how to add value to a market in the metaphysical
world. But that is what the market will cry out for in the future. There is no lack of ‘physical’ products to
choose between.”
Jesper Kunde, Unique Now ... or Never [on the excellence of Nokia, Nike, Lego, Virgin et al.]
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Extraction & Goods: Male dominance
Services & Experiences: Female
dominance
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Dream Marketing
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DREAM: “A dream is a complete moment in the life of a client.
Important experiences that tempt the client to commit substantial resources. The essence of the desires of the consumer. The
opportunity to help clients become what they want to be.” —Gian Luigi
Longinotti-Buitoni
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The Marketing of Dreams (Dreamketing)
Dreamketing: Touching the clients’ dreams.Dreamketing: The art of telling stories
and entertaining.Dreamketing: Promote the dream, not
the product.Dreamketing: Build the brand around
the main dream.Dreamketing: Build the “buzz,” the
“hype,” the “cult.”Source: Gian Luigi Longinotti-Buitoni
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(Revised) Experience Ladder
Dreams Come True Awesome Experiences
SolutionsServicesGoods
Raw Materials
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Safe, On-time and ...
“We defined personality as a market niche. We seek to
amaze, surprise, entertain.”— Herb Kelleher, SWA / LUV
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Furniture vs. Dreams
“We do not sell ‘furniture’ at Domain. We sell dreams. This is accomplished by
addressing the half-formed needs in our customers’ heads. By uncovering these
needs, we, in essence, fill in the blanks. We convert ‘needs’ into ‘dreams.’ Sales are the
inevitable result.”
— Judy George, Domain Home Fashions
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“The Ritz-Carlton experience enlivens the
senses, instills well-being, and fulfills even
the unexpressed wishes and needs of our guests.”
— from the Ritz-Carlton Credo
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“The sun is setting on the Information Society—even before we have fully adjusted to its demands as individuals and as
companies. We have lived as hunters and as farmers, we have worked in factories and now we live in an information-based
society whose icon is the computer. We stand facing the fifth kind of society: the Dream Society. … The
Dream Society is emerging this very instant—the shape of the future is visible today. Right now is the time for decisions—
before the major portion of consumer purchases are made for emotional, nonmaterialistic reasons. Future products will have to
appeal to our hearts, not to our heads. Now is the time to add emotional value to products and services.” —Rolf Jensen/The Dream Society:How the Coming Shift from Information to Imagination Will Transform Your
Business
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“In Denmark, eggs from free-range hens have conquered over 50 percent of the market. Consumers do not want hens to live their lives in small, confining cages. They are willing to pay 15 percent to 20 percent more for the story about animal ethics. This is classic Dream Society logic. Both kind of eggs are similar in
quality, but consumers prefer eggs with the better story. After we debated the issue and stockpiled 50
other examples, the conclusion became evident: Stories and tales speak directly to the heart rather than the brain. After a century where society was marked by
science and rationalism, the stories and values are returning to the scene.” —Rolf Jensen/The Dream Society: How the Coming Shift from Information to Imagination Will Transform Your Business
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Six Market Profiles
1. Adventures for Sale2. The Market for Togetherness, Friendship and Love3. The Market for Care4. The Who-Am-I Market5. The Market for Peace of Mind6. The Market for Convictions
Rolf Jensen/The Dream Society: How the Coming Shift from Information to Imagination Will Transform Your Business
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The Bedrock: Great Design!
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And Tomorrow …
“Fifteen years ago companies competed on price. Now it’s
quality. Tomorrow it’s design.”
Robert Hayes
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All Equal Except …
“At Sony we assume that all products of our competitors have basically the same
technology, price, performance and
features. Design is the only thing that differentiates one product from another in the
marketplace.”Norio Ohga
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“Design is treated like a religion at
BMW.”Fortune
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“We don’t have a good language to talk about this kind of thing. In most people’s
vocabularies, design means veneer. … But to me, nothing could be further from the
meaning of design. Design is the fundamental soul
of a man-made creation.”
Steve Jobs
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Design “is” … WHAT & WHY I LOVE.
LOVE.
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Design “is” … WHY I
GET MAD. MAD.
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Design is never neutral.
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Hypothesis: DESIGN is the principal difference between love and
hate!
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THE BASE CASE: I am a design fanatic. Though not “artistic,” I love “cool stuff.” But it goes [much]
further, far beyond the personal. Design has become a professional obsession. I SIMPLY BELIEVE THAT DESIGN PER SE IS THE PRINCIPAL
REASON FOR EMOTIONAL ATTACHMENT [or detachment] RELATIVE TO A PRODUCT OR
SERVICE OR EXPERIENCE. Design, as I see it, is
arguably the #1 DETERMINANT of whether a product-service-experience stands out … or doesn’t.
Furthermore, it’s another “one of those things” that damn few companies put – consistently – on the
front burner.
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Message (?????): Men cannot design for women’s
needs.
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Trends Worth Trillion$$$: Pursue
the “BIG 2” Underserved Markets
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Women!
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?????????
Home Furnishings … 94%Vacations … 92% (Adventure Travel … 70%/ $55B travel equipment)
Houses … 91%D.I.Y. (major “home projects”) … 80%
Consumer Electronics … 51% (66% home computers)
Cars … 68% (90%)All consumer purchases … 83%
Bank Account … 89%Household investment decisions … 67%Small business loans/biz starts … 70%
Health Care … 80%
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2/3rds working women/50+% working wives > 50%
80% checks61% bills
53% stock (mutual fund boom)
43% > $500K95% financial decisions/
29% single handed
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$5+T > Japan
10M/28M/$3.6T > Germany
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91% women: ADVERTISERS DON’T
UNDERSTAND US. (58% “ANNOYED.”)
Source: Greenfield Online for Arnold’s Women’s Insight Team (Martha Barletta, Marketing to Women)
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FemaleThink/ Popcorn
“Men and women don’t think the same way, don’t communicate the same
way, don’t buy for the same reasons.”
“He simply wants the transaction to take place. She’s interested in
creating a relationship. Every place women go, they make
connections.”
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“Men seem like loose cannons. Men always move faster through a store’s
aisles. Men spend less time looking. They usually don’t like asking where things are.
You’ll see a man move impatiently through a store to the section he wants,
pick something up, and then, almost abruptly he’s ready to buy. For a
man, ignoring the price tag is almost a sign of virility.”
Paco Underhill, Why We Buy* (*Buy this book!)
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Read This: Barbara & Allan Pease’s
Why Men Don’t Listen & Women Can’t Read Maps
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“Resting” State: 30%, 90%: “A woman knows her children’s
friends, hopes, dreams, romances, secret fears, what they are
thinking, how they are feeling. Men are vaguely aware of some short people also living in the house.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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“As a hunter, a man needed vision that would allow him to zero in on targets in the distance … whereas a woman needed eyes
to allow a wide arc of vision so that she could monitor any predators sneaking up on the nest. This is why modern men can find their way effortlessly to a distant pub,
but can never find things in fridges, cupboards or drawers.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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“Female hearing advantage contributes significantly to what is
called ‘women’s intuition’ and is one of the reasons why a woman can read between the lines of what people say. Men, however, shouldn’t despair.
They are excellent at imitating animal sounds.”
Barbara & Allan Pease, Why Men Don’t Listen & Women Can’t Read Maps
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Senses
Vision: Men, focused; Women, peripheral.
Hearing: Women’s discomfort level I/2 men’s.
Smell: Women >> Men.Touch: Most sensitive man <
Least sensitive women.
Source: Martha Barletta, Marketing to Women
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Editorial/Men: Tables, rankings.*
Editorial/Women: Narratives that cohere.*
*Redwood (UK)
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Initiate Purchase
Men: Study “facts & features.”
Women: Ask lots of people for input.
Source: Martha Barletta, Marketing to Women
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Read This Book …
EVEolution: The Eight Truths of Marketing to Women
Faith Popcorn & Lys Marigold
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EVEolution: Truth No. 1
Connecting Your Female Consumers to Each
Other Connects Them to Your Brand
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“The ‘Connection Proclivity’ in women starts early. When asked,
‘How was school today?’ a girl usually tells her mother every
detail of what happened, while a boy might grunt, ‘Fine.’ ”
EVEolution
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“Women don’t buy
brands. They join them.”
EVEolution
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Purchasing Patterns
Women: Harder to convince; more loyal once convinced.
Men: Snap decision; fickle.
Source: Martha Barletta, Marketing to Women
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2.6 vs. 21
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1. Men and women are different.2. Very different.3. VERY, VERY DIFFERENT.4. Women & Men have a-b-s-o-l-u-t-e-l-y nothing in common.5. Women buy lotsa stuff.6. WOMEN BUY A-L-L THE STUFF.7. Women’s Market = Opportunity No. 1.8. Men are (STILL) in charge.9. MEN ARE … TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN.10. Women’s Market = Opportunity No. 1.
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“Customer is King”: 4,440
“Customer is Queen”: 29
Source: Steve Farber/Google search/04.2002
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Ad from Furniture /Today (04.01):“MEET WITH THE EXPERTS!: How
Retailing’s Most Successful Stay that Way”
Presenting Experts: M = 16;
F = ?? (94% = 272)
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0
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“And even if they manage to get the age thing right, [Marti] Barletta says companies still tend to screw up in fairly predictable ways when they add women to the equation. Too often, their first impulse is to paint the
brand pink, lavishing their ads with flowers and bows, or, conversely, pandering with images of women
warriors and other cheesy clichés. In other cases they use language intended to be empathetic that come
across instead as borderline offensive. ‘One bank took out an ad saying, We recognize women’s special
needs,’ says Barletta. ‘No offense, but doesn’t that sound like the Special Olympics?’ ” —Fast Company/03.04
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Boomers & Geezers
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Subject: Marketers & Stupidity
“It’s 18-44, stupid!”
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Subject: Marketers & Stupidity
Or is it: “18-44 is stupid,
stupid!”
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2000-2010 Stats
18-44: -1%
55+: +21%(55-64: +47%)
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44-65: “New Consumer Majority” *
*45% larger than 18-43; 60% larger by 2010Source: Ageless Marketing, David Wolfe & Robert Snyder
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“The New Consumer Majority is the only adult
market with realistic prospects for significant
sales growth in dozens of product lines for thousands of companies.” —David Wolfe & Robert
Snyder, Ageless Marketing
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“Baby-boomer Women: The Sweetest
of Sweet Spots for Marketers” —David Wolfe and Robert
Snyder, Ageless Marketing
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“Sixty Is the New Thirty”
—Cover/AARP/11.03
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50+
$7T wealth (70%)/$2T annual income50% all discretionary spending
79% own homes/40M credit card users41% new cars/48% luxury cars
$610B healthcare spending/74% prescription drugs
5% of advertising targets
Ken Dychtwald, Age Power: How the 21st Century Will Be Ruled by the New Old
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“Households headed by someone 40 or older enjoy 91% ($9.7T) of
our population’s net worth. … The mature market is the dominant
market in the U.S. economy, making the majority of
expenditures in virtually every category.” —Carol Morgan & Doran Levy, Marketing to
the Mindset of Boomers and Their Elders
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“Focused on assessing the marketplace based on lifetime
value (LTV), marketers may dismiss the mature market as
headed to its grave. The reality is that at 60 a person in the U.S. may enjoy 20 or 30 years of life.” —Carol
Morgan & Doran Levy, Marketing to the Mindset of Boomers and Their Elders
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“Women 65 and older spent $14.7 billion on apparel in 1999, almost as much as that spent by 25- to 34-year-
olds. While spending by the older women increased by 12% from the previous year, that of the younger group increased by only 0.1%. But
who in the fashion industry is currently pursuing this market?” —Carol
Morgan & Doran Levy, Marketing to the Mindset of Boomers and Their Elders
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“Marketers attempts at reaching those over 50 have
been miserably unsuccessful. No market’s motivations and needs are so poorly understood.”—Peter
Francese, founding publisher, American Demographics
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Possession Experiences /“Desires for things”/Young adulthood/to 38
Catered Experiences/ “Desires to be served by others”/Middle adulthood
Being Experiences/“Desires for trancending experiences”/Late
adulthood
Source: David Wolfe and Robert Snyder/Ageless Marketing
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“ ‘Age Power’ will rule the 21st century, and we are woefully
unprepared.”Ken Dychtwald, Age Power: How the 21st
Century Will Be Ruled by the New Old
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No: “Target Marketing”
Yes: “Target
Innovation” & “Target Delivery Systems”
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“The baby-boom generation is the
first wellness generation.” —Paul Zane Pilzer/
The Wellness Revolution: The Next Trillion Dollar Industry
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Wellness = $$$$$$$$
Currently $200B, $1T by 2013 (Source: Paul Zane
Pilzer, The Wellness Revolution: The Next Trillion Dollar Industry)
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Brand It!
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The Heart of Branding …
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“WHO ARE WE?”
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“WHAT’S OUR
STORY?”
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“We are in the twilight of a society based on data. As information and intelligence become the domain of computers, society will place more value on the one human ability that cannot be automated: emotion.
Imagination, myth, ritual - the language of emotion - will affect everything from our purchasing decisions
to how we work with others. Companies will thrive on the basis of their stories and myths. Companies will need to understand
that their products are less important than their stories.”
Rolf Jensen, Copenhagen Institute for Future Studies
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“Apple opposes, IBM solves, Nike exhorts, Virgin enlightens,
Sony dreams, Benetton
protests. … Brands are not nouns but verbs.”
Source: Jean-Marie Dru, Disruption
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“EXACTLY HOW ARE WE
DRAMATICALLY DIFFERENT?”
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“If you are not one of the major players, you have to take a position that is contrary to the global trend.”
“We have to ask ourselves: How can we be different? We have to find out what we can be best in the world at.”
Source: IBM Business Consulting Services/The Global CEO Study 2004
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“You do not merely want to be the best of the best. You
want to be considered the only ones who do
what you do.”
Jerry Garcia
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“A great company is defined by the
fact that it is not compared
to its peers.”Phil Purcell, Morgan Stanley
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Brand = You Must Care!
“Success means never letting the competition
define you. Instead you have to define yourself based on a point of view you care deeply
about.” Tom Chappell, Tom’s of Maine
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Rules of “Radical Marketing”
Love + Respect Your Customers!Hire only Passionate Missionaries!Create a Community of Customers!
Celebrate Craziness!Be insanely True to the Brand!
Sam Hill & Glenn Rifkin, Radical Marketing (e.g., Harley, Virgin, The Dead, HBS, NBA)
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Message …
Is Not >> Is
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Branding: Is-Is Not “Table”
TNT is not: TNT is: TNT is not:
Juvenile Contemporary Old-fashioned
Mindless Meaningful Elitist
Predictable Suspenseful Dull
Frivolous Exciting Slow
Superficial Powerful Self-important
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The Vision Thing
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G.H.: “Create a ‘cause,’ not a ‘business.’ ”
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“I never, ever thought of myself
as a businessman. I was interested in creating
things I would be proud of.” —Richard Branson
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“Vision is a love affair with an idea.”—Boyd Clarke & Ron
Crossland, The Leader’s Voice
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“Management has a lot to do with answers. Leadership is a function of questions. And the
first question for a leader always is: ‘Who do we
intend to be?’ Not ‘What are we going to do?’ but ‘Who do
we intend to be?’” —Max De Pree, Herman Miller
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“A key – perhaps the key – to leadership is the effective
communication of a story.”
Howard Gardner Leading Minds: An Anatomy of Leadership
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Leaders don’t just make products and make decisions.
Leaders make meaning. – John Seely Brown
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“Leadership is the PROCESS of
ENGAGING PEOPLE in CREATING a LEGACY
of EXCELLENCE.”
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Leaders Are “Dealers in
Hope”
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“A leader is a dealer in hope.”
Napoleon
(+TP’s writing room pics)
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USN&WR/What traits do successful activists share?
Studs Terkel, age 91: “They have hope, and
they imbue others with hope.”
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BZ: “I am a … Dispenser of Enthusiasm!”
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Hackneyed but none the less
true: LEADERS SEE CUPS AS “HALF
FULL.”
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Half-full Cups: “[Ronald Reagan] radiated an almost transcendent
happiness.”Lou Cannon, George (08.2000)
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“I’m not sure about his politics, but that’s not what made him great. He inspired people. He made us all feel better about ourselves.” —bystander,
California, during RR funeral
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You Must Care!
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“It was much later that I realized Dad’s secret. He gained respect by giving it. He
talked and listened to the fourth-grade kids in Spring Valley who shined shoes the same way he talked and listened to a
bishop or a college president. He was seriously interested in who you were and what you had to say.”
Sara Lawrence-Lightfoot, Respect
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Amen!
“What creates trust, in the end, is the leader’s
manifest respect for the followers.” — Jim O’Toole, Leading Change
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“I didn’t have a ‘mission statement’ at Burger King. I had a dream. Very
simple. It was something like, ‘Burger King is 250,000 people, every one of
whom gives a shit.’ Every one. Accounting. Systems. Not just the drive through. Everyone is ‘in the brand.’ That’s what we’re talking
about, nothing less.”— Barry Gibbons
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“The deepest human
need is the need to be appreciated.”
William James
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“The two most powerful things
in existence: a kind word and a thoughtful gesture.”
Ken Langone, CEO, Invemed Associates [from Ronna Lichtenberg, It’s Not Business, It’s Personal]
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“We look for ...
“... listening, caring, smiling, saying ‘Thank
you,’ being warm.”— Colleen Barrett, President, Southwest Airlines
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“Soft” Is “Hard”
- ISOE
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Message: Leadership is all about love! [Passion, Enthusiasms, Appetite for Life,
Engagement, Commitment, Great Causes & Determination to Make a
Damn Difference, Shared Adventures, Bizarre Failures, Growth, Insatiable
Appetite for Change.] [Otherwise, why bother? Just read Dilbert. TP’s final words: CYNICISM SUCKS.]
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“Ph.D. in leadership. Short course: Make a short list of all
things done to you that you abhorred. Don’t do them to
others. Ever. Make another list of things done to you that you
loved. Do them to others. Always.”
— Dee Hock
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Technicolor
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“Wealth in this new regime flows directly from innovation, not
optimization. That is, wealth is not gained by perfecting the known,
but by imperfectly seizing the unknown.”
Kevin Kelly, New Rules for the New Economy
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No Wiggle Room!
“Incrementalism is innovation’s worst enemy.”
Nicholas Negroponte
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“It’s no longer enough to be a ‘change agent.’ You
must be a change insurgent—provoking,
prodding, warning everyone in sight that
complacency is death.” —Bob Reich
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“You can’t behave in a calm, rational
manner. You’ve got to be out there on the lunatic fringe.” — Jack Welch
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“In Tom’s world, it’s always better to try a
swan dive and deliver a
colossal belly flop than to step timidly off the
board while holding your nose.” —Fast Company /October2003
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The Re-imagineer’s Credo … or, Pity the Poor Brown*
Technicolor Times demand …Technicolor Leaders and Boards who recruit …
Technicolor People who are sent on …Technicolor Quests to execute …
Technicolor (WOW!) Projects in partnership with …Technicolor Customers and …
Technicolor Suppliers all of whom are in pursuit of …Technicolor Goals and Aspirations fit for …
Technicolor Times.
*WSC
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T. J. Peters T. J. Peters 1942 – 2---1942 – 2---
HE WOULDA DONE SOME HE WOULDA DONE SOME
REALLY COOL STUFF REALLY COOL STUFF
BUT …BUT …
HIS BOSS WOULDN’T HIS BOSS WOULDN’T
LET HIM! LET HIM!
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T. J. Peters T. J. Peters 1942 – 2---1942 – 2---
HE WAS A PLAYER!HE WAS A PLAYER!
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Successful Businesses’ Dozen Truths: TP’s 30-Year Perspective
1. Insanely Great & Quirky Talent.2. Disrespect for Tradition.3. Totally Passionate (to the Point of Irrationality) Belief in What We Are Here to Do.4. Utter Disbelief at the Bullshit that Marks “Normal Industry Behavior.”5. A Maniacal Bias for Execution … and Utter Contempt for Those Who Don’t “Get It.”6. Speed Demons.7. Up or Out. (Meritocracy Is Thy Name. Sycophancy Is Thy Scourge.)8. Passionate Hatred of Bureaucracy.9. Willingness to Lead the Customer … and Take the Heat Associated Therewith. (Mantra: Satan Invented Focus Groups to Derail True Believers.)10. “Reward Excellent Failures. Punish Mediocre Successes.” 11. Courage to Stand Alone on One’s Record of Accomplishment Against All the Forces of Conventional Wisdom.12. A Crystal Clear Understanding of Brand Power.
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“Sir Richard’s Rules:
“Follow your passions.“Keep it simple.
“Get the best people to help you.Re-create yourself.
“Play.”
Source: Fortune/10.03
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Kevin Roberts’ Credo
1. Ready. Fire! Aim.2. If it ain’t broke ... Break it!3. Hire crazies.4. Ask dumb questions.5. Pursue failure.6. Lead, follow ... or get out of the way!7. Spread confusion.8. Ditch your office.9. Read odd stuff.10. Avoid moderation!
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Have you changed
civilization today?Source: HP banner ad
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“the wildest chimera of a moonstruck
mind” —The Federalist on
Jefferson’s Louisiana Purchase
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“If you ask me what I have come to do in this
world, I who am an artist, I will reply: I am here to live my life out
loud.” — Émile Zola
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HTSH
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HTSH: Engage!
Commit! Engage! Try! Fail! Get up! Try again! Fail again! Try again! But never, ever stop
moving on! Progress for humanity is engendered by those who join and savor the
fray by giving one hundred percent of themselves to their dreams! Not by those timid souls who remain glued to the sidelines, stifled by tradition, and fearful of losing face or giving
offense to the reigning authorities.
Key words: Commit! Engage! Try! Fail! Persist!
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HTSH: You Must Care
Make the time each day to offer an expression of appreciation to just one of your fellow
human beings. It is the accumulation of such “small” kindnesses and acts of recognition
that add up to a life worth having been lived. In short … you must care. You must wear
your passion and compassion on your sleeve, and attend assiduously to the moment. It will
not come ’round again.
Key word: Care
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“You must be the change you
wish to see in the world.”
Gandhi
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“Life is not a journey to the grave with the intention of
arriving safely in a pretty and well-preserved body—but rather a skid in broadside, thoroughly used up, totally worn out, and
loudly proclaiming, ‘Wow, what a ride!’ ” —anon.