Every week, we put together a list of our top 5 articles of the past week. Happy reading!
People Don’t Buy Products, They Buy Better Versions of Themselves Zander Nethercutt
People don’t buy products because of what those products do, they buy products because of what they can do — or what they imagine they can do — with them. Pepsi was the first brand to figure this out. Instead of competing with Coke solely on product, they competed on how their product makes someone feel. This simple truth has become the brand strategy behind every successful company.
I thoroughly enjoyed this piece on Best Buy’s turnaround. The US’ largest electronics retailer was moribund in 2010 with massive losses and Amazon closing in for the kill. However, the company not only survived, it thrived. Their strategy? Get people into customer’s homes. The geek squad at home service was like having a personal technology for customers. The CEO’s focus was to instill forward momentum like riding a bicycle, we need to change otherwise we’re going to die.
Most media coverage of the Canadian technology sector is effusive in its praise, often unabashedly so. The authors argue that acquisitions of tech startups by large tech incumbents often stifle innovation yet are heralded as successes. They argue that an IP intensive approach is needed if Canada wants to win rather just participate.
The golden age of consumer startups was based on the massive growth of mobile. Eric Feng articulates quite well what accounts for this growth as well as the formidable barriers of entry of FANG (network effects, distribution, talent). Despite these huge barriers, Eric presents a blueprint for consumer startups to follow.
If you don’t follow Polina Marinova from Fortune, you should. She’s an amazing journalist that has a very good weekly newsletter called The Profile. The newsletter is an outline of interesting companies she’s come across. In this article, she profiles an investment firm that looks to change how real estate works with blockchain technology.