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Dynamic Digital Merchandizing

Dynamic Digital Merchandizing. what is Digital Media ?. For entertainment. Video. Audio. Images and graphics. For business. The digital media lifecycle. All digital media moves through the same lifecycle. Distribute & Transact. Create. Manage.

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Dynamic Digital Merchandizing

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  1. Dynamic Digital Merchandizing

  2. what is Digital Media ? For entertainment Video Audio Images and graphics For business

  3. The digital media lifecycle • All digital media moves through the same lifecycle Distribute & Transact Create Manage Planning, creating, producing and encoding information and unstructured assets such as video, audio, animation and images. Managing the workflow, processing production, storage and retrieval of digital media, as well as the cataloging, indexing and annotation of original content Securely licensing, selling, and delivering digital content for business across multiple devices and delivery channels

  4. Case Study: McDonalds - Netherlands Complete solution for restaurants: • Dynamic menu boards • Plasma screen advertising • Kiosk ordering – including Drive Thru’ • Video-Corner entertainment • Interactive E-Learning for Employees • POS related Dynamic Instore Merchandising • Wireless services • Security

  5. Restaurant – dynamic menu & advertisement • Inventory Control • Persuasive communications at time of customer decision • Customer responsiveness to promotion • Cost reduction Smithsonian Air & Space MuseumPlasma Merchandising/Menu Board Solution

  6. Same store sales vs. prior year increased 8% Same store sales vs. prior year increased 8% Outlet Performance Outlet Performance 5.4 percentage 5.4 percentage - - point gain in Restaurant Operating Profit point gain in Restaurant Operating Profit Combos maintained 28% post Combos maintained 28% post - - digital increase digital increase Profitable Transactions Profitable Transactions Desserts incidence maintained 47% post Desserts incidence maintained 47% post - - digital increase digital increase Featured Credit Card Featured Credit Card Credit Card Usage increased by 32% Credit Card Usage increased by 32% Promotions Promotions Soft drink Incidence increased 20 Soft drink Incidence increased 20 – – 30% 30% Featured Beverage Promotions Featured Beverage Promotions Customer satisfaction improvement resulting from increase in Customer satisfaction improvement resulting from increase in Brand Experience Brand Experience order accuracy, speed of execution, and overall improved service order accuracy, speed of execution, and overall improved service Food Costs Food Costs 2% decrease in food costs due to better menu management 2% decrease in food costs due to better menu management Source: Significant Business Impact * QSR results based on actual results from May 2001 – April 2002 in an expanding QSR company compared with control stores and prior period results. Customer Satisfaction measures are from February 2002 CCF Digital Merchandising Research.

  7. Retail Bank – in-branch digital advertisement Solution – centralized control of creation, scheduling, distribution, and play-out of dynamic marketing information to hundreds or thousands of stores and to any type of display device. Compelling, targeted, on-demand messaging at point of decision Additional revenue stream with leased ad space Re-purposemarketing material for new channels • 70% of consumers make purchase decisions after they arrive at the outlet • 75% of consumers say POP influences their decision to purchase

  8. Dynamic Digital Merchandising • Department Store • Movie Theatre • Retail Bank • Shopping Mall • Supermarket • Train / subway stations • Fast food Restaurant ….. With billboard / menu space Value Propositions • Increase Revenue and Reduce Costs • Improve Customer Shopping Experience • Complete Control of Billboard Space

  9. Digital Promotion Effectiveness…

  10. Reader Antenna Tag RFID Digital Media

  11. Pervasive capabilities and your business • The pervasive revolution will be disruptive – it will impact your business • Differentiation and competition based on pervasive capabilities is occurring today Where is your business?

  12. Hardware & Software WebSphere, WESM, WEA, wBI, MQ Series, DB2, xSeries, pSeries, storage, … Infrastructure on demand eBusiness on Demand, hosting, managed storage, and network management Know-how Business Consulting Services, Systems Integrations, High Volume systems, High Availability, Telecom Open Standards 3GPP, MMS, SMS, WAP, SMPP, HTTP, SOAP, Parlay, SIP Technology WDE and SPDE architecture, research, patent leader, test labs PartnershipsAir2Web,QPASS, Openwave, Nokia, Real Networks, Sun, Cisco, Veritas Why IBM ? on demand

  13. ThankYou

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