The digital camera industry is in decline thanks to camera-enabled smartphones that take outstanding photos. What can camera-makers do to revitalise their industry?
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2. Crea%ng
a
digital
service
provision
in
the
camera
space
A
NUMBER
OF
RELATED
TRENDS
SIGNAL
AN
OPPORTUNITY
IN
THE
DIGITAL
CAMERA
SPACE
1. Trends
2. Implica5ons
1
Industry
and
consumer
trends
2
Compe%tor
response
3
Opportuni%es
in
digital
service
delivery
3. Industry
and
Consumer
Trends
GLOBAL
SHIFT
TOWARD
SMARTPHONES
Increasing
capabili%es
• Over
%me,
smartphones
have
increased
capability
enough
to
meet
most
customers’
picture-‐
taking
needs
• High-‐end
digital
cameras
con%nue
to
improve,
but
features
have
outpaced
customer
needs
• Far
from
being
viewed
as
an
added
benefit,
the
increased
complexity
is
puRng
customers
off
• All
while
being
slow
to
deliver
an
important
new
requirement
–
social
sharing
4. Industry
and
Consumer
Trends
AND
AWAY
FROM
LOW-‐END
DIGITAL
CAMERAS
Rise
of
the
smartphone
• This
has
led
to
a
sharp
decrease
in
overall
digital
camera
sales
since
2011
while
smartphone
sales
con%nue
to
accelerate
5. Industry
and
Consumer
Trends
THE
RESPONSE:
WIFI
ENABLED
CAMERAS
Instant
sharing
required
• The
ability
to
share
photos
instantly
via
smartphone
means
customers
now
demand
this
as
a
hygiene
factor
6. Industry
and
Consumer
Trends
THE
RESPONSE:
WIFI
ENABLED
CAMERAS
Responding
to
demand
• Most
major
camera-‐makers
are
trying
to
catch
up
either
by
bringing
wifi
to
their
cameras
or
their
cameras
to
wifi
• But
quality
has
been
mixed
and
reac%ons
have
varied
7. Industry
and
Consumer
Trends
THE
UPSIDE:
MILLIONS
OF
NEW
PHOTOGRAPHERS
ASPIRE
TO
GREATNESS
Up
the
value
chain
• PuRng
a
camera
in
everyone’s
hands
has
introduced
hundreds
of
millions
of
people
to
photography
as
a
hobby
• Many
then
decide
to
upgrade
to
a
medium
to
high-‐end
digital
camera
skipping
over
compact
digital
cameras
in
the
process
• Overall
camera
volumes
are
decreasing
30%
yoy
but
revenue
just
about
stays
flat
8. Industry
and
Consumer
Trends
BUT:
CUSTOMERS
ARE
LOST
AT
SEA
ONCE
THEY
UPGRADE
Now
what?
• Customers
upgrade
to
a
medium
to
high-‐end
digital
camera
but
don’t
know
what
to
do
it
with
• Over
2/3
never
take
it
off
the
auto-‐shoot
func%on
9. Industry
and
Consumer
Trends:
Implica%ons
IMPLICATIONS
TO
DIGITAL
SERVICE
OFFERINGS
FOR
CAMERA
MAKERS
1. Customers
need
help
choosing
the
right
camera
for
them
2. Then
they
need
help
learning
how
to
use
it
beyond
point
and
shoot
1
Customers
want
to
make
the
leap
to
mid
and
high-‐end
cameras
but
need
help
2
Once
they’ve
moved
up
the
value
chain
they
need
help
unleashing
the
hidden
ar%st
within
3
Customers
want
to
share
their
crea%ons
with
whomever
they
want,
however
they
want,
right
now
1. They
need
access
to
a
wide
variety
of
tools
to
transform
their
photos
into
art
2. And
they
want
to
pass
their
newly
honed
exper5se
on
1. Customers
want
to
seamlessly
share
their
art
with
the
world
2. And
they
want
to
do
it
using
whatever
plaHorms
and
tools
they’re
already
comfortable
with
10. Crea%ng
a
digital
service
provision
in
the
camera
space
A
NUMBER
OF
RELATED
TRENDS
SIGNAL
AN
OPPORTUNITY
IN
THE
DIGITAL
CAMERA
SPACE
1
Industry
and
consumer
trends
2
Compe%tor
response
3
Opportuni%es
in
digital
service
delivery
1. Making
the
leap
2. Unleashing
the
ar5st
3. Sharing
crea5ons
11. Compe%tor
Response
HELP
CUSTOMERS
MOVE
UP
THE
VALUE
CHAIN:
HELP
ME
CHOOSE
Limited
Customer
Op%ons
• Very
lible
done
in
this
space
despite
a
clear
need
for
it
• Flickr
takes
a
bobom
up
approach
while
Fujifilm
starts
from
the
top
• No
website
incorporates
unbiased
customer
reviews
or
other
legi%mate
social
proof
Industry
Score
3/10
12. Compe%tor
Response
HELP
CUSTOMERS
MOVE
UP
THE
VALUE
CHAIN:
TEACH
ME
TO
USE
IT
The
opposite
of
fun
• Mixed
results
across
camera-‐makers,
but
customer
educa%on
is
an
acerthought
for
most
• One
or
two
offer
peer-‐led
%ps
and
tutorials,
but
the
communi%es
are
underdeveloped
• Most
customer
support
focuses
on
repairs,
warran%es,
and
similar
Industry
Score
5/10
13. Compe%tor
Response
UNLEASH
THE
INNER
ARTIST/GURU
:
PROVIDE
THE
TOOLS
I
NEED
&
LET
ME
SHARE
MY
KNOWLEDGE
Adding
Value:
Sort
Of
• One
company
allowed
customers
to
upload
photos
to
an
online
porfolio
and
none
linked
out
to
third-‐party
tools
• Two
companies
allow
for
brand
ambassadors
to
share
their
knowledge
and
recommenda%ons,
but
both
feel
inorganic
and
underu%lised
Industry
Score
4/10
14. Compe%tor
Response
SHARING:
WHENEVER,
WHEREVER,
HOWEVER
Sharing,
just
• Most
camera
makers
have
started
offering
wifi-‐enabled
cameras,
but
quality
is
mixed
• One
company
lets
customers
share
photos
on
its
owned
assets
but
none
offer
tools,
portals,
or
other
methods
for
external
sharing
Industry
Score
4/10
15. Crea%ng
a
digital
service
provision
in
the
camera
space
A
NUMBER
OF
RELATED
TRENDS
SIGNAL
AN
OPPORTUNITY
IN
THE
DIGITAL
CAMERA
SPACE
1
Industry
and
consumer
trends
2
Compe%tor
response
3
Opportuni%es
in
digital
service
delivery
1. Redefining
the
customer
journey
2. And
crea5ng
opportuni5es
therein
16. Opportuni%es
in
digital
service
delivery
CUSTOMER
NEEDS
AND
EXPECTATIONS
HAVE
CHANGED;
SO
TOO
SHOULD
THE
CUSTOMER
JOURNEY
1
Aspirant
2
Member
3
Novice
4
Pro
5
Show
Off
6
Evan-‐
gelist
7
Enthu-‐
siast
Wants
a
camera
but
needs
help
Bought
a
camera,
now
part
of
the
club
Learn
how
to
use
the
camera
to
create
beau%ful
photos
Edit
and
beau%fy
those
photos
to
create
stunning
art
Create
online
(or
print)
galleries
and
porfolios
or
share
individual
shots
Pass
along
knowledge
to
new
members
of
the
club
Decide
to
buy
a
new,
beber,
camera
17. Opportuni%es
in
digital
service
delivery
CREATING
DIGITAL
SERVICE
DELIVERY
OPPORTUNITIES
AROUND
CUSTOMER
NEEDS
1
Aspirant
2
Member
3
Novice
4
Pro
5
Show
Off
6
Evan-‐
gelist
7
Enthu-‐
siast
• Unbiased
reviews
• Camera
selector
• Through
our
lens
• Personalised
welcome
campaign
• Where
to
begin
• Omnichannel
training
programme
focussed
on
outcome
not
specs
• Primarily
UGC
• Onsite
edi%ng
tools
• Partner
with
third
par%es
–
desktop
and
mobile
• Specialised
forums
• Cloud
storage
op%ons
• Partner
with
third-‐party
porfolio
sites
• Frequent
community-‐
driven
contests
• Contribute
to
user-‐led
forums
and
tutorials
• Unbiased
reviews
• Strong
gamifica%on
elements
• Track
customer
product
use
• Suggest
accessories
and
upgrades
18. Opportuni%es
in
digital
service
delivery:
Concepts
HELP
THE
CUSTOMER
DECIDE
WHICH
CAMERA
IS
BEST
FOR
HER
19. Opportuni%es
in
digital
service
delivery:
Concepts
HELP
THE
CUSTOMER
MAXIMISE
HER
EXPERIENCE