More Technology Day and emerging marketing tools

The panel discussion moderated by Susan Reda, Executive Editor of Stores magazine was incredibly thought provoking. The panelists were Kathy Savitt, Chief Marketing Officer, American Eagle Outfitters and David Polinchock, Founder and Chief Experience Officer, Brand Experience Lab.

I reached out to Susan Reda after reading her cover article for the February issue of Stores Magazine titled “Do You Tube?” Managing the Next Media Channel” that explored YouTube and other forms of social media (Facebook and MySpace) as the next generation of marketing tools for building brand awarenenss and generating sales growth. Susan had interviewed both Kathy and David for the article.

Kathy and David talked about the problems that arise when companies simply “dabble” in emerging technology. You can’t just “dabble.” You have to be committed – otherwise the exciting new media is more likely to weaken your brand rather than strengthening it.

David provided and provides on a daily basis so many examples (good and bad) of emerging technology on his blog. I really urge everyone to check it out. He travels the world and the web and picks up examples everywhere! The blog is called Experience Manifesto.

That really makes me think about the beginning of e-commerce. Everyone really thought it would be the demise of the brick and mortar store. In the beginning companies did not understand how to use the internet to their best advantage. Many companies simply threw product on the web without any thought or more importantly without an understanding of the importance of merchandising the site in the same way they merchandised their store. Of course I will also never forget the holiday season when ToysRUs turned off so many of their customers by not being able to fulfill the promise to deliver gifts by Christmas.

It’s interesting that AE is going to launch an on-line business for kids product (77kids by american eagle). There will be no traditional overhead and limited inventory exposure. Makes incredibly good sense. As Kathy said – to be able to execute a national launch in the traditional retail store model they would have to open physical stores (and lots of them) across the country. This way, they are in essence opening one store that will provide national exposure. It’s not wonder that the web now generates more sales than any single location for so many specialty retailers. What better way to test product? Test it on the web and see who buys it (or not).

All of this pertains to how companies will figure out how to use YouTube and Facebook to their best advantage as well as how they will learn to integrate Second Life into their business model. It will take time but those who figure it out and get it right will be the big winners.