Decisions Part 2: Creating a Culture of Analytics-driven Innovation

“The key to moving beyond just optimization to reinvention is to empower a culture of ideation, exploration, trying, testing, failing, learning, and trying again. A culture of analytics-driven innovation includes:

– Culture of Empowerment. Give everyone in the organization the power to envision, ideate, try, fail, learn, share, and try again. Empowerment isn’t just for the senior executives. Empower the front lines of the organization where customer, product, and operational tribal knowledge is gathered and nurtured.

– Culture of Sharing. Create a sharing feedback loop to drive the “economies of learning”. Learn from the AI model’s False Positives and False Negatives to overcome AI confirmation bias. Exploit sharing to drive the “economics of compounding” where compounding small improvements can drive big impacts.

– Culture of Learning Through Failure. If you ain’t failin’, then you ain’t learnin’. Organizations need to push the edges of where and how value is created. Organizations need to understand the power of exploring and testing ideas that “might” work. If your organization doesn’t have enough “might” moments, then you’ll never have any break-through moments.

– Culture of Experimentation. Nurture and reward a mentality of analytics-driven continuous testing and experimentation, of formal hypotheses development and testing, and exploring new algorithms, tools, data sources, and features to ascertain their predictive effectiveness.

– Culture of User Intimacy. Get close to your customers and the decisions that they are trying to make in their journeys and the metrics against which they are measuring the progress and success of their journeys. Invest the time to understand their journey intent; that is, what outcomes do they seek and what is the value of those outcomes. Mastering the determination of intent is the key to powering an organization’s innovation mindset.”

Artificial Intelligence Isn’t Just About Cutting Costs. It’s Also About Growth.

  • “When it comes to automating customer conversations with chatbots and AI-driven virtual agents, the real value of that automation may well be in generating revenue and growth, not in cutting headcount.
  • Casual dining chain TGI Fridays decided to reach out to millennials with an irreverent, brand-appropriate chatbot. It has worked spectacularly well. Fridays’ chatbot has boosted the chain’s takeout orders by $150 million a year.
  • By 2018, there were more than 100,000 bots on Messenger
  • The reason is that true growth comes not from automation, but from improvements in customer experience.
  • One tough challenge at Dish was dealing with the flood of late orders for pay-per-view events, like boxing and mixed martial arts matches. When it put virtual agents in place to answer questions and take orders, Dish closed over $6 million in pay-per-view event revenue.
  • At the marketing services company HubSpot , a Facebook Messenger chatbot suggests useful content, pre-qualifies leads, and connects prospects with HubSpot’s salespeople. Compared to other sources of inbound inquiries, leads that the bot has prequalified are higher quality—they’re 40% more likely to engage productively with a salesperson.
  • Avis-Budget wondered if the system could help with revenue-generating calls—rental reservations. Before the customer gets on the line with a human, a virtual voice agent can typically collect five key pieces of information first. This saves time for the human agents and makes the whole system faster and more efficient.”

P.V. Kannan is the co-founder and CEO of the San Jose based [24], a vendor of AI-driven customer experience software and services.

P.V. Kannan, Co-founder and CEO

Company Name: [24]

Why SMS Marketing Could Be Your Brand’s Secret Weapon in 2019

Credit: Getty images

This article is not related to AI, but it’s such a critical opportunity that I wanted to include it this evening. I have deep experience in this space from my time at Facebook. My team leveraged SMS to acquire, engage and retain users. Our budget for SMS alone was mind-boggling and impact we drove was unparalleled. You’re leaving growth and revenue on the table if you’re not utilizing this channel today.

“One promising opportunity that’s often overlooked is SMS marketing, or text message marketing. Here are the reasons why SMS marketing could be the medium that takes your brand to new heights in 2019, how to get started and some best practices to ensure you’re using the channel most effectively.

People are always connected to their phones.

We live in a mobile-first world where people of all ages are increasingly becoming glued to their smartphones. In fact, it’s been recorded that, on average, people check their phones a whopping 80 times per day. As a result, it’s no wonder why open rates for SMS marketing typically hover around 82 percent. This makes sending texts to customers and members of your brand’s community the closest thing to being absolutely certain your content won’t get overlooked.”

Growth, Innovation and Leadership: North America

September 17-20, 2017 | Hyatt Regency Lost Pines Resort | Austin, TX

This must attend event is your opportunity to innovate, grow and thrive amidst today’s digital disruption. Designed to provide clarity on big picture issues, Growth, Innovation and Leadership North America will provide the insight to fuel sustainable top-line revenue growth, create customer value and develop long-term competitive advantage. #FrostGIL

5 Bleeding-Edge Brands That Are Infusing Retail With Artificial Intelligence Starbucks, Lowe’s and others roll out robots

5 Bleeding-Edge Brands…With AI is a terrific article by Lauren Johnson in AdWeek. This is my favorite quote, “This allowed us to condense six months to a year’s worth of testing into 30 days.”

Shoppers who use the AI tool convert more often than those who do not. And the average order value is ‘a mid double-digit percentage’ better for shoppers who use AI compared to average shoppers, says Cal Bouchard, The North Face’s vp of digital commerce and experience.”

“‘It is not a single algorithm that’s used across the entire population,’ Gerri Martin-Flickinger, evp and chief technology officer at Starbucks, told the audience during Starbucks’ Investor Day last month. ‘It’s actually a data-driven AI algorithm based on your own preferences, your own behavior as well as behaviors that we’re trying to drive.'”