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J.P. Morgan Chase has announced a new online brokerage platform called, You Invest. The app targets its more than 47 million customers with free brokerage services, including 100 free trades in the first year. Subsequent trades are $2.95, although customers with larger investment levels receive 100 free trades annually—or even unlimited trades.

Free trades from a brand charging $24.95 per trade a year ago?

The strategy change is dramatic and a disruptive business model, but hardly a surprise. Two years ago, the company’s CEO, Jamie Dimon, identified Amazon Prime as reference point for launching a platform offering free services. As Dimon said, “If you’re a good account, it’s no different than Jeff Bezos doing the $99 Prime and adding services to it.”

The tiered services levels, with additional free options beyond $15,000 and $100,000 in investments, suggest a blatant share growth strategy. Early tests suggest the app is drawing younger, newer traders.

Thinking about a Disruptive Business Model for Your Brand

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How does a company without disruptive innovation in its corporate DNA imagine its own disruptive business model?

If this is your situation, here are thoughts on exploring the topic through incorporating varied perspectives and imperatives. These can help in taking the first steps toward disruption that will gain an early advantage.

If a Successful Brand Is Disrupting Successfully, Copy Its Disruptive Business Model

As is evident from Jamie Dimon’s comments, J.P. Morgan Chase looked to Amazon Prime as a disruptive business model for its own market. While not every disruptor is successful (and high-flying ones sometimes crash), you can look to those disruptive brands that are currently popular, such as Amazon, Apple, Uber, Airbnb, and Netflix, and see a pattern: create an inviting technology-based platform, provide people a place to behave, and generate seemingly endless data flows from their behaviors. Within the platform, invite other brands to contribute content, products, or other assets to speed the development of a full-fledged and attractive customer platform.

Using this model, explore where you’ll generate revenue. (It likely won’t be by charging current market rates for what your platform delivers.) Consider offering an attractive value package to maximize the amount of time, interest, and focus users devote to the platform. Possibilities include:

  • Offering additional services for free or at dramatic discounts (plus incentivizing pricing for those spending more time on your platform)
  • Providing a one-stop, never-have-to-go-anywhere else experience
  • Securing an upfront annual (or multi-year) financial or share commitment and dropping charges for ongoing activity
  • Extending more lenient, flexible customer service policies
  • Simplifying the engagement process to one step; two steps at most

Some of these offerings are explicitly price-based. Others simply lower costs for the brand to provide the service or reduce customer challenges. Both can contribute to greater value perceptions and reduce customer motivations to leave the platform for other options.

Where else can you generate revenue? To the extent that your platform is home to customer behaviors, you have data and insights with tremendous potential value. Consider everything Amazon knows about its customers’ search, shopping, and purchase behaviors. Or Facebook, about the personal networks, communication tendencies, and movement patterns of users. Or Uber, about the flow of people in major metropolitan areas. See the value there? That’s where you turn analysts (or data scientists) loose to identify:

  • The very best customers to secure with even greater value offerings
  • What else to offer customers individually and as a whole
  • Opportunities to sell access to other brands (even competitors) that want to market to the platform’s users

Generating additional value and revenue from data allows you to further subsidize the value of the platform’s consumer offering. This grows the platform’s attractiveness, making it tougher to leave.

It’s essentially the give-away-the-razor-and-sell-the-blades model, supercharged with data and technology.

Download Your FREE eBook! Disrupting Thinking - 13 Exercises to Imagine Disrupting Your Brand

Benefits, Capabilities, and Adjacent Markets

Another approach to imagining a disruptive business model is to consider the opportunity to innovate (and disrupt) based on customer benefits. The starting point for this exploration involves identifying your brand’s capabilities and the benefits you currently deliver. Ideally, you will have a healthy list of benefits from which to explore several paths:

  • How else can you deliver these benefits to your current customers with tremendously greater value? (This is a good opportunity to see how a platform model might fit.)
  • How can you break into a completely new market and deliver these benefits – whether it involves using current capabilities or new ones?
  • How can you imagine automating nearly everything you do to fundamentally change your cost dynamics, allowing you to super-size the benefits and value you deliver?

Each question can surface disruptive possibilities. This is especially true of the second question. Disruptors are often completely new to a market. They freely disrupt BECAUSE they have no vested interest in the industry’s status quo. They approach the market with completely new competitive dynamics.

Remember: These Are Thought Experiments

As mentioned earlier, these are thought experiments. We hope these questions pave the way to help your leadership team think sooner than later about the opportunities and threats involved in trying to adopt a disruptive business model for your brand. – From Inside the Executive Suite

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Mike Brown

Founder of The Brainzooming Group, and an expert on strategy, creativity, and innovation. Mike is a frequent speaker on innovation, strategic thinking, and social media.

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Since The Brainzooming Group launched, we have developed many strategic thinking exercises and models applying our methodology to diverse clients and business situations.

The result? We are further along and can even more easily customize these strategic thinking exercises to your needs if you face comparable situations. That is a major benefit if you want an outside, strategic perspective and need to start right now!

16 Strategic Thinking Exercises Ready to Go Right Now!

Review this list and identify the business opportunities or challenges that are incorporated in your strategic plans – or not. If any of these are on your agenda for this year, contact us. We can customize the strategic thinking exercises specifically for your organization and start moving even faster than normal!

We are trying to develop new strategies and strengthen our organization’s strategic perspective.

We know we need to use content marketing, but we’re struggling to connect the content to our brand and audience while generating real business returns.

Our focus is on innovation, and we need to bring it to life and create results before we lose interest and move on to the next big strategy.

Any of these opportunities and challenges familiar to you?

Are you under pressure to make one or more of these happen right now?

You owe it to yourself: contact us so we can talk through what you need to accomplish and see if it makes sense to work together.

We can get moving with the strategic thinking exercises and workshop implementation that will deliver results for you faster than you have ever imagined! – Mike Brown

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I’ve been remiss in sharing updates about the strategic planning process I’ve been participating in for a non-profit organization. The initial article on the strategic planning process promised updates on my first time participating in someone else’s strategic planning process in many years.

5 Things to Hate about a Strategic Planning Process (and 5 Antidotes)

Since that post, we’ve been through two formal meetings. The first was to share our fact base, strategic issues, and planning implications. The most recent one was to review our tactical plans, including timing and responsibilities.

Both meetings were limited to twenty minutes so the steering committee could get through all the other plans. Both meetings were disconnected from the discussions going on about all the other plans. Both meetings reminded me of all the things that frustrate me about strategic planning processes. For example:

Frustration 1: Starting a Strategic Planning Process with Handing out Templates to Complete

Antidote: Shout, “Wow! It’s clear where you want all the answers to go. But can you work with me to help figure out what the best answers are other than me pulling imagined answers out of my @&&!!!!”

Frustration 2: Spending too much time discussing the strategic planning process and too little on using it to develop winning strategies.

Antidote: Suggest to the person heading up planning that you put the process on an amazing diet, with twice as much strategy and 75% less process!

Frustration 3: Scheduling Strategic Planning Meetings where All but One Person Sits and Listens

Antidote: Raise your hand and ask, “Can’t we break up into small groups and get lots of work done as we all participate? And if not, can’t you share your speech and your slides so I can just read it when it’s convenient???”

Frustration 4: Nitpicking Words Early in the Process

Antidote: Ask, “Do you know what this means? Yes? Okay, it’s fine for now. We’ll fix the wording L A T E R!”

Frustration 5: Trying to Assign People and Dates Too Early

Antidote: Say, “I know you want to make sure someone owns every part of the strategic plan and completes it by the expected date, but let’s make sure we have the right things in the plan before we start badgering people about getting them done!”

There Is a Different Way to Make Strategic Planning Work Productively!

All those frustrations and antidotes are why the Brainzooming process exists. There is a different, and much better way to carry out a strategic planning process. It is faster, more collaborative, and effectively engages the voices and perspectives to create a stronger, more successfully implemented plan.

If you want to find out what THAT type of strategic planning is like, contact us and let’s talk about making it work at your organization! – Mike Brown

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We were driving home from the store this weekend, and saw this huge tree that fell over from its base. It made me think of the phrase “too big to fail.” In this case, this huge tree must have been completely ready for failure, whether that was apparent to anyone or not.

Disrupt Your Brand Before Something Else Does

A similar phenomenon applies to brand strategy. You may think your brand is strong and ready to withstand anything that might come its way. But all the while, competitors or market forces you may not even suspect are disrupting your place in the market.

While success can breed success, it can also lead to blindness about the importance of trying to disrupt your brand strategy before something else comes along to topple your brand.

104 Possibilities to Disrupt Your Brand Strategy

To help you stay ahead of disruption, here are 104 possibilities to do the work to disrupt your brand strategy yourself instead of letting another party do it for you. Beyond these articles, it’s a wonderful time with strategic planning coming up for many firms, to download the free Brainzooming eBook, Disrupting Thinking – 13 Exercises to Imagine Disrupting Your Own Brand Before Someone Else Disrupts You! 

Don’t allow your executive team to become complacent! Get to work on disrupting your business strategy yourself: it’s much less painful! – Mike Brown

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Are you involved with the strategic planning process for your organization?

That could involve leading it, participating in it, or trying to influence the strategic planning process so it delivers more value and better results for the organization?

7 Strategic Planning Process Challenges You Can Fix!

Typical complaints about a strategic planning process

If you have a role in strategic planning, do any of these describe your situation?

  • You have a strategic plan completed by a small senior leadership team. Key leaders in the organization now won’t embrace the strategic plan because they weren’t involved in developing it.
  • You are a board member of a non-profit that’s doing great work, yet the board is apprehensive about whether the dynamic executive director has a plan and is grooming successors. The executive director, on the other hand, is not inclined to want to complete a strategic plan.
  • You have just taken over leadership of a company. You are starting to see where you most need to make progress. Your next challenge is communicating the vision and getting your new, senior team onboard.
  • Your organization is pursuing lots of good ideas. All the good ideas are getting in the way of the game-changing idea you need to develop and successfully implement.
  • You have a major strategic move to make with the company. You need to ensure you are considering every potential option to ensure you’re pursuing the smartest possible direction.
  • You have the okay for a more robust strategic planning process. You don’t have the expertise or experience for delivering on the expectations you’ve created. And now you’re scared.
  • Your senior leadership team held a meeting to develop a strategic plan. You had tons of great conversation, but no one wrote anything down that you can now implement.

These are just a few of the situations where we have helped organizations embrace a different type of collaborative strategic planning process.

If you find yourself on this list, contact us and let’s talk before this year’s strategic planning season starts. We’d love to share ideas with you on how to derive more results from the time investment you will be making in planning your organization’s future!  – Mike Brown

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Short Story: If a group of experts struggles with innovation, provide an opportunity to look at the situation from the outside to discover mental space to innovate.

I was talking with an engineer at a company that primarily employs engineers. The company focuses on materials testing.

He told me how difficult it is for the organization to consider an innovation strategy. The reason why? The engineers are so accustomed to testing EVERYTHING, they routinely shoot down any innovative ideas. That’s what they are used to doing. When the whole business is built on trying to prove something doesn’t work, I guess it takes you out of the “let’s try something new and innovative and see what happens” game.

I suggested looking at a version of one of our extreme creativity questions: How can we innovate our processes to test things faster than all our competitors? Specifically, how can we test ten products in the time our competitors test two things?

I don’t know if they’ll do it or not, but they’d be better off if they did.

2 Ways to Take a Fresh Look at Outside-In Innovation Strategy

They could also take the outside-in innovation strategy approach we wrote about recently: look at other testing situations ripe for speeding up and solve those. They could then take those ideas and apply them to what they do. It always seems easier and more fun to work on somebody else’s problems and fix them. That is especially true when your expertise is tearing apart what others overlooked in their work!

Additionally, our conversation suggested an intriguing innovation strategy role. He told me how the company had its annual meeting at the same venue two years in a row. At the most recent annual meeting, the bartender was the same as the year earlier. The bartender remarked that all the engineers were sitting in EXACTLY the same seats as at the previous year’s meeting!

While the engineers obviously remembered where they sat (and returned to the same seats), it took an outside observer to point out the bigger message: YOU GUYS DON’T EVER DO ANYTHING DIFFERENTLY! That story got me thinking: beyond an outside facilitator, who else is witnessing your innovation strategy development over time and can point to what those closest to it will never see, or at least never mention?

If thinking about doing things in new ways is tough for your organization, start looking at an outside-in innovation strategy!  – Mike Brown

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Looking for Brand Innovation to Grow Your Business? Brainzooming Has an Answer!

Brainzooming Outside-In Innovation Strategic Thinking Tools eBookBusiness growth can depend on introducing new products and services that resonate more strongly with customers and deliver outstanding value.

Are you prepared to take better advantage of your brand’s customer and market insights to generate innovative product ideas? The right combination of outside perspectives and productive strategic thinking exercises enables your brand to ideate, prioritize, and propel innovative growth.

Download this free, concise ebook to:

  • Identify your organization’s innovation profile
  • Rapidly deploy effective strategic thinking exercises to spur innovation
  • Incorporate market-based perspectives into your innovation strategy in successful ways

Download this FREE ebook to turn ideas into actionable innovation strategies to drive your organization’s comeback!


Download Your Free Outside-In Innovation Strategic Thinking eBook

Mike Brown

Founder of The Brainzooming Group, and an expert on strategy, creativity, and innovation. Mike is a frequent speaker on innovation, strategic thinking, and social media.

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Yesterday’s post on using a new type of SWOT analysis to stimulate bolder strategic conversations in strategy meetings garnered quite a bit of attention. It received enough attention that we decided to share an additional strategic thinking exercise that puts a twist on the typical SWOT analysis.

In this case, the letters in the SWOT analysis name still stand for strengths, weaknesses, opportunities, and threats. To add depth and breadth to the strategic thinking exercise, however, we add four probes to each area of the SWOT analysis. This helps a group inside of a strategy meeting work harder and more effectively to generate ideas.

Adding Deeper Dimensions to a SWOT Analysis

swot-eek

Here are the four questions associated with each SWOT analysis area:

What are our STRENGTHS relative to:

What are WEAKNESSES relative to:

What are OPPORTUNITIES relative to:

What are THREATS relative to:

You can use this strategic thinking exercise with a group to help them push their thinking into areas they might otherwise ignore – purposely or by accident.

Need to get your strategy developed quickly? We can help!

And if you would like to talk about how to quickly deploy a collaborative planning process to get you ready for success next year, contact us at info@brainzooming.com. We will arrange time to talk about how we can help you do more in less time with your strategy planning and implementation. – Mike Brown

Looking for Fresh Insights to Drive Strategy?

Download our FREE eBook: Reimagining the SWOT Analysis

swot-alternatives-cover

“Strategic Thinking Exercises: Reimagining the SWOT Analysis” features eleven ideas for adapting, stretching, and reinvigorating how you see your brand’s strengths, weaknesses, opportunities, and threats.

Whether you are just starting your strategy or think you are well down the path, you can use this eBook to:

  • Engage your team
  • Stimulate fresh thinking
  • Make sure your strategy is addressing typically overlooked opportunities and threats

Written simply and directly with a focus on enlivening one of the most familiar strategic thinking exercises, “Reimagining the SWOT Analysis” will be a go-to resource for stronger strategic insights!

Download Your FREE eBook! 11 Ways to Reimagine Your SWOT Analysis

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Mike Brown

Founder of The Brainzooming Group, and an expert on strategy, creativity, and innovation. Mike is a frequent speaker on innovation, strategic thinking, and social media.

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