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  • Google Rules for Retail

    - by David Dorf
    In the book What Would Google Do?, Jeff Jarvis outlines ten "Google Rules" that define how Google acts.  These rules help define how Web 2.0 businesses operate today and into the future.  While there's a chapter in the book on applying these rules to the retail industry, it wasn't very in-depth.  So I've decided to more directly apply the rules to retail, along with some notable examples of success.  The table below shows Jeff's Google Rule, some Industry Examples, and New Retailer Rules that I created. Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4 /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0in; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:"Times New Roman"; mso-fareast-theme-font:minor-fareast; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} table.MsoTableGrid {mso-style-name:"Table Grid"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-priority:59; mso-style-unhide:no; border:solid black 1.0pt; mso-border-themecolor:text1; mso-border-alt:solid black .5pt; mso-border-themecolor:text1; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-border-insideh:.5pt solid black; mso-border-insideh-themecolor:text1; mso-border-insidev:.5pt solid black; mso-border-insidev-themecolor:text1; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} Google Rule Industry Examples New Retailer Rule New Relationship Your worst customer is your friend; you best customer is your partner Newegg.com lets manufacturers respond to customer comments that are critical of the product, and their EggXpert site lets customers help other customers. Listen to what your customers are saying about you.  Convert the critics to fans and the fans to influencers. New Architecture Join a network; be a platform Tesco and BestBuy released APIs for their product catalogs so third-parties could create new applications. Become a destination for information. New Publicness Life is public, so is business Zappos and WholeFoods founders are prolific tweeters/bloggers, sharing their opinions and connecting to customers.  It's not always pretty, but it's genuine. Be transparent.  Share both your successes and failures with your customers. New Society Elegant organization Wet Seal helps their customers assemble outfits and show them off to each other.  Barnes & Noble has a community site that includes a bookclub. Communities of your customers already exist, so help them organize better. New Economy Mass market is dead; long live the mass of niches lululemon found a niche for yoga inspired athletic wear.  Threadless uses crowd-sourcing to design short-runs of T-shirts. Serve small markets with niche products. New Business Reality Decide what business you're in When Lowes realized catering to women brought the men along, their sales increased. Customers want experiences to go with the products they buy. New Attitude Trust the people and listen In 2008 Starbucks launched MyStartbucksIdea to solicit ideas from their customers. Use social networks as additional data points for making better merchandising decisions. New Ethic Be honest and transparent; don't be evil Target is giving away reusable shopping bags for Earth Day.  Kohl's has outfitted 67 stores with solar arrays. Being green earns customers' respect and lowers costs too. New Speed Life is live H&M and Zara keep up with fashion trends. Be prepared to pounce on you customers' fickle interests. New Imperatives Encourage, enable and protect innovation 1-800-Flowers was the first do sales in Facebook and an early adopter of mobile commerce.  The Sears Personal Shopper mobile app finds products based on a photo. Give your staff permission to fail so innovation won't be stifled. Jeff will be a keynote speaker at Crosstalk, our upcoming annual user conference, so I'm looking forward to hearing more of his perspective on retail and the new economy.

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