Jan Brassem (jan@brassemglobalconsulting.com) is director of Brassem Global Consulting, a multichannel retailing and international product sourcing firm.
In case you think you know where the Internet is heading, think again. Don't worry, I'm not sure anyone does, he says in an article posted on www.nationaljeweler.com.
Remember, the Generation Y'ers - those born between 1978 and 1995 and who operated computers before their first day of grammar school - are finally graduating from colleges and universities across the country. There are now tens of thousands of computer-educated college seniors who would like to do what their slightly older Gen Y predecessors have been doing - making money, lots of money.
Many of these "older" Gen Y'ers are already household names. Mark Zuckenberg, 26, who founded Facebook, is reportedly worth (gulp!) $4 billion. Jawed Karim, 31, co-founder of YouTube, worth $2.6 billion. Andrew Mason, 29, founder of Groupon, worth $350 million. Naveen Selvadurai, 28, co-founder of Foursquare, worth $80 million. There are many others, but you get the picture.
One thing is clear. There is indeed a race (some call it a stampede), among tens of thousands of hyper-active computer programmers to be the first to design the next billion-dollar application, or "app," for the BlackBerry, Evo, iPhone, iPad, iPods, Droid, GPS system or any new electronic gizmos that will be introduced soon.
But not so clear are a few trends seen through a severely smudged windshield onto the technological hazy computer landscape - some call it a swamp.
- iPhones will be the unchallenged leader of smart phones for at least the next three years. A 2010 survey by PriceGrabber, showed that 53 percent of online consumers own smartphones or Web-enabled mobile devices. Of those, 35 percent say they participated in comparative shopping. Only 17 percent did so in 2009.
- iPhones are sure to become microcomputers. This writer observed a proto-type iPhone app that projected a computer screen onto a wall while displaying a keyboard on the reverse.
- Gen Y'ers are developing thousands of apps per week for the iPhones. That trend will be focused on mobile applications, also called location-based marketing.
What does all this have to do with the retail jeweler? Here are some recommendations, only recommendations, mind you, that should at least give you food for thought.
Mobile marketing. With the proliferation of iPhones, customers are finding and exchanging information more than ever before. For jewelers, this can mean a range of considerations, from taking a look at how you can optimize your Web site for mobile apps to how to use existing mobile messaging concepts or develop your own jewelry application. Just contact the IT department at your local college or university.
Location-based marketing. With the rise in iPhones, there is also an increase in demand for recognition based on location - where your customer is. Through technology (apps with GPS systems and the like), your customers can share where they shop, eat, etc. - a trend that seems to be growing. This could give jewelers the opportunity to recognize regular customers and have special promotions for them. Again, a visit with an IT student from a local university could get a jeweler started here.
Social marketing. While not new, this is still very much an evolving trend. Social marketing (also called social networking) continues to grow, especially through the help of new apps like Foursquare. If you haven't started a social network program yet, Google Foursquare and get started.
Gen Y. This, of course, is no time to overlook the 74 million Gen Y consumers who purchase, directly or indirectly, $200 billion goods or services a year. Within the next five years, the biggest revenue source for any industry will come from the Gen Y consumer. Fortunately, being very computer literate, they should be one of the easiest consumer groups to reach.
Several surveys have shown that Gen Y'ers are voracious consumers of sterling silver jewelry and they look to peers for style acceptance - a seemingly perfect formula for social networking. Warning: Without cultivating the GenY generation today, your jewelry store could turn into a museum tomorrow.
While these - and other - technologies may seem interesting, they may not be appropriate for you or your store. Evaluate them carefully before jumping in. On the other hand, you may join bridal jewelry manufacturer Vanna K and a growing list of other jewelers, by making the most out of the latest iPhone app.
Welcome to the world of the ever-changing Internet. The ride could be difficult but definitely interesting - maybe even rewarding.
