I’m not one for resolutions but I do like the associations the New Year has with a fresh start and planning for the coming 12 months. Already viewed as the year for ‘selective austerity’*, when people will balance luxury items with own brand basics, here’s my thoughts on the challenges some sectors will face in 2011 as a result of this and the resolutive action they can take to address them.

Retail’s on the move

Is your website easy to navigate, focused on customer experience and does it offer simple payment solutions? What about the mobile version...if you have one?

With more than 23m of us using our mobiles for shopping, 2011 is set to be the year when m-commerce really takes off. Consumers will expect m-sites to be equipped to meet purchasing demands, at anytime and from anywhere, and if user experience doesn’t match their expectations they’ll drop your brand for one that does. eBay, Marks & Spencer, John Lewis and Tesco have all embraced mobile and M&S has reported that their highest m-payment to date is £2380 proving m-commerce has evolved beyond micro-payments.

The key to successful mobile payment delivery will be the relationship you have with one of the big 3: Paypal, Amazon and Google (or 4 if my prediction that iTunes will also enter this market proves accurate); so if you haven’t already, integrate them into your ecommerce plans now because these are the guys who will unlock the m-commerce market. Mobile payments are all about user experience and trusted brand; get these right and the sales will flow.

Embracing social media the B2B way

If we really only use 10% of our vocabulary, the fact that ‘poke’, ‘like’ and ‘tweet’ have transcended their humble origins to become part of the modern vernacular, each with a whole new meaning, demonstrates the importance of Facebook and Twitter in today’s media channel mix. B2C organisations have recognised for some time the opportunity these channels offer for sales and customer service but B2B companies have struggled to identify how best to use them with their audience.

Do you have businesses as customers? They’ll be looking for platforms where they can access expert opinion, engage with peers and review products and services to support decision making in procurement. Social networking is all about collaborative consumption so if you identify a topic that unites those clients you most want to engage with, you can create the place for them to come and discuss it. Not only will you raise the profile of your company and its brand but you’ll also have direct access to the thoughts and feedback of your customer base.

Do you choose good, quick or cheap when it comes to public services?

Most clients demand that IT developments achieve 3 outcomes: that they work well, are delivered quickly and at the lowest cost. But we know that in most cases you can only really realise two, not three, of these objectives: if it’s on time and cheap it’s unlikely to be the best quality; if the quality is superb and it’s delivered on time it’s almost certainly not going to be cheap, and if a high quality project is delivered inexpensively, then tight implementation dates are likely to slip.

Following on from the Direct.gov review led by Martha Lane Fox, the government is asking departments and public sector providers to move towards delivering services primarily through digital channels, quickly and whilst also reducing costs. Our recent review of departmental readiness for the switch to ‘Digital by Default’ has given us a very good insight into the challenges this poses to the public sector.  We’ll be publishing the findings next month, but one thing is clear, if you can’t hit all three targets it’s time to prioritise the two that you will deliver with clear and justifiable reasons for missing the third. Whichever two you decide are paramount; it’s up to you to demonstrate the trade-off.

Banking without banks

If any business segment is in need of a brand make-over it’s the banks. Consumer confidence is at an all time low with increasing numbers of people opting instead to purchase financial services from non-financial brands where they have existing and, more importantly, trusted relationships. Essentially customers are choosing to bank without banks.

When Metro bank launched last summer they claimed they would ‘eliminate every stupid bank rule we can find’ and differentiated themselves by offering services that included printing cheque books, credit and debit cards in branch, opening 8am to 8pm, 7 days a week and offering toilets and treats for pets and children – more akin to a department store than a traditional bank.

And that’s the challenge. How do you overcome the negative press associated with banks and offer services to clients that re-establish loyalty as well as repositioning the branch on the high street? Start by trying to understand what it is your customers don’t like about their experience of doing business with you and then create an engagement model that addresses these problems; true it’s a bitter pill but if you don’t know what they dislike how can you begin to identify the changes that could prevent them switching to another company?

Caviar or fish fingers

2011 will be all about prioritising what’s important to you and your customer base. Understanding what your customers want and developing relationships with partners who can fill gaps left by the recent cuts, will be the magic key to a successful 12 months. Even if your organisation doesn’t fall into the sectors I’ve mentioned, identify the parts of your business that must be addressed, establish whether your clients will be buying caviar or fish fingers for tea and then develop an appropriate strategy. It’s already January 5^th, what are you waiting for?

Simon Clark

Image by waltercolor courtesy of flickr.com

*Selective austerity; champagne for lunch and baked beans for tea featured in the Sunday Times Barometer; January 2^nd 2011