Rishi Taparia - Issue #11
This week has new data and strategies on selling to millennials, Walmart’s continued reinvention, US consumer sentiment (surprisingly) at a 13 year high, WhatsApp going old school, Softbank dominating venture deals and more. Enjoy!
Commerce
America’s Retailers Have a New Target Customer: The 26-Year-Old Millennial
A great piece on the ‘millennials’ with solid data on why this age bracket is pushing companies to revamp marketing and products to meet its needs instead of brands being able to shape the consumers they want. One seemingly unexpected piece of remarketing was the need for education and training - how to use a tape measure, what a stud finder is, how to change a tire - and for good reason: “This generation, with its over-scheduled childhoods, tech-dependent lifestyles and delayed adulthood, is radically different from previous ones.”
How Walmart Found Its Footing in the Amazon Era
Of the major retailers, Walmart seems most willing and capable of reinventing itself in the digital era. Unlike most retailers, playing a long game of pinball, Walmart is attempting to simply refine and adapt the message. A key that seems to have hit home: how much convenience had been elevated as a driver for consumer behavior.
Consumer Sentiment in U.S. Unexpectedly Surges to 13-Year High
U.S. consumer sentiment unexpectedly surged to a 13-year high as Americans’ perceptions of the economy and their own finances rebounded following several major hurricanes. Unexpected news to be sure that will certainly take away an excuse from retailers during Q3 earnings.
How brands should target Chinese consumers during Golden Week and beyond
Golden Week was last week in China, one of the 2 major shopping times of the year (the biggest being singles day, 11/11). As discussed previously, Chinese consumers boast a high disposable income, strong desire to travel and a love of Western brands. These businesses however, must understand the nuances of the Chinese shopper and how to target them specifically.
FinTech
Mobile payments ‘to overtake credit cards’ as preferred ways to pay in online commerce by 2019
A UN report this week confirms what a number of folks have been feeling as of late: mobile payments are going to surpass credit cards as the preferred payment method of choice very soon, apparently the first hurdle being online.
In the contactless payment era, why is cash making a comeback?
Cash in circulation is on the rise (+5-6% yoy) despite a huge shift to digital in an era where paying without using real money has never been easier. What gives?
Mastercard, Andhra Pradesh sign MoU to create digital ecosystem
Mastercard continues its push into India, announcing this week that it intends to create ‘Fintech Valley’ in Andhra Pradesh and make the state go cashless. Naturally details were scare. Let’s see if this MOU has enough understanding to make a difference.
Technology
SoftBank’s Vision is a blur of investments
Softbank dominated the venture market last quarter, a part of the largest deals of the summer. For now strategy is working, but antitrust issues are likely on the horizon.
WhatsApp: New version of app will work for landline numbers
WhatsApp is making major strides in the SMB space, adding landline support and enabling merchants to interact directly with their consumers. A smart move by the company (and Facebook generally), particularly in developing markets where merchants and consumers alike are more reliant on mobile phones as the primary technology device.
Uber, Surging Outside Manhattan, Tops Taxis in New York City
For the first time, more people are using Uber than yellow cabs in NYC. A tremendous milestone to be sure, I was frankly surprised it hadn’t happened by now.
Random Tidbits
SoftBank Next 30-Year Vision
A presentation made by Softbank CEO Masayoshi Son in 2010 on the company’s vision for the next 30 years. The Vision Fund strategy starts making a whole lot of sense.
Silicon Valley Is Not Your Friend
This week’s long read, worth taking in. We are beginning to understand that tech companies don’t have our best interests at heart. Did they ever?