Our second year spelt data and growth for those businesses who dared, against a backdrop of traditional retail fallout.
Reader, please indulge me for a paragraph or two, while I have proud founder moment…
Reform is two years old this week. My baby is out of nappies, standing on its own two feet and has the world at its oyster. I write this blog from our office in New York – we have an awesome view across the rooftops and water towers of mid-town Manhattan – and on Monday I am meeting our newest client, a large US retailer who will be launching a new brand and ecommerce proposition this autumn, under Reform’s digital stewardship. Back in London we’re having a second birthday party this week for clients, partners and our extended family of fellow digital industry professionals. In year two we won assignments from Debenhams, Austin Reed, and Getty Images – the latter for whom we’re implementing a 7-market international search strategy across North America, Europe and Asia.
And most importantly, we finished the year in profit again. So I have a lot to feel proud about in terms of Reform’s achievements.
Wise business mentors warned me that year two would be difficult. The terrible twos. Apparently years two and five of a start-up business are the hardest, although the pessimist in me fears that the years in between – years three and four – are unlikely to be a walk in the park!
Year two certainly threw some curveballs our way: selling digital management consulting isn’t easy, we found; even though so many businesses are crying out for our skills and expertise to identify and realize incremental revenue growth through digital. Board directors are scared – scared of the impact of the recession on their bottom lines, and scared of what they don’t know about digital in this brave new world. We have a responsibility to educate and empower them to test new commercial and operating models. The braver ones put their trust in Reform, and in digital, this year.
A second year of marriage is the year of cotton. For Reform, the second year was definitely the year of data. Data goldmine or data minefield? Data is omnipresent; it already underpins all decision-making in digital planning: data which informs customer targeting, acquisition, engagement and broader business planning insight. Yet still, most businesses can’t see the wood for the trees in terms of the value opportunity of data. So we ran an event in February called “Unlocking the formula for growth: why understanding data is key to business success” where we looked at the practical applications of digital data sets such as search, social and web analytics, and we heard from BT’s Chief Customer Innovation officer how this business was tackling the challenge of converting data into meaningful and actionable insight.
Data is also a double-edged sword. In inexperienced, untrained or silo’d hands, it is all too easy for digital insight to be taken at face value, as Rory Sutherland, vice-chairman of Ogilvy Group explained at this year’s Google Zeitgeist:
“One of the unfortunate byproducts of the digital revolution is that our ability to process and communicate that which is numerical, sequential, rational, proportionate and intuitive, has leapt ahead of our real understanding of human psychology and human nature. So there is a kind of imbalance that’s created, which, in many cases, leads to inefficiency in the value creation that businesses can actually achieve.”
Our ambition for year three at Reform is to continue to help businesses to unlock the revenue potential that digital and data proffers.
The UK high street has suffered its worst year of trading for 25 years and just this week Jane Norman and TJ Hughes closed their doors to shoppers. You can’t help but wonder if these retail businesses had started out on their digital journey sooner and taken advantage of the exponential growth in online shopping habits, that their decline in revenues could have been reversed.
In a year when Marks & Spencer see a 30% uplift in sales from customers who watch movies on their YouTube channel, and where etailer ASOS made their first million (£) via its mobile commerce platform, it seems ludicrous that culturally and commercially, ecommerce operations within retail businesses are silo’d, that bricks and mortar stores see their online shop as an internal threat and compete for customers.
When Reform was founded in 2009 our mission was – and indeed still is today – to help businesses to embrace digital change and to realise incremental revenue growth. As Charles Darwin said, and as we often quote, “It is not the strongest of the species that survives, nor the most intelligent, but the one that is the most adaptable to change.”
So reader, why not make your next year the year of digital reform, of business change, and of incremental growth? That’s certainly what Reform’s third year will be all about.
Blog post by Amanda Davie, proud Founder and Managing Director of Reform.
Reform has a Twitter Wall, a birthday gift from our partners at Ultra Knowledge. If you would like to wish Reform a happy birthday via Twitter, please do so using the hashtag #happybirthdayreform. Thanks!