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The Future of Magazines
Design Challenge




         How can brick & mortar retailers leverage
         emerging technology to their advantage?




                                            Team 1: Mehmet, Dan and Mo
Emerging Trends




         Apple iPad
         •	 300,000 units sold on launch day
         •	 Estimated 1,000,000+ sold to date
         •	 Over 3.5 million apps sold



         What’s coming
         •	 HP Slate, Dell Streak, Asus Eee, Notion Ink Adam,
            Archos 5, Lenovo U1, Multiple Android Tablets




                                                       Team 1: Mehmet, Dan and Mo
Benefits




           Which retail segments could leverage these
           new technologies to their advantage?




                                             Team 1: Mehmet, Dan and Mo
Fashion Retail


          Fashion Retail
          Magazines play an influential role in the formation of a
          person’s style/fashion.


          Leverage the Medium
          Fashion retailers rely heavily on magazines and
          magazine advertisements.




                                                          Team 1: Mehmet, Dan and Mo
Magazines are Dying




                      Team 1: Mehmet, Dan and Mo
A New Model




              Team 1: Mehmet, Dan and Mo
Solution Principles




          Design Principle
          Use the next generation of digital media to help
          consumers develop their sense of style/fashion




          Business Principle
          Create an advertising platform that uses digital
          content to promote fashion retail products




                                                         Team 1: Mehmet, Dan and Mo
The User




           •	Young female
           •	Experimenting with fashion
           •	Style is influenced by popular culture
           •	Reads Cosmopolitain, Sixteen and US Weekly




                                                      Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
Team 1: Mehmet, Dan and Mo
User Benefits




          Benefits for the user
          •	Assists in the development of fashion style
          •	Allows users to see and try alternatives
          •	Leverages the social component of shopping
          •	A new way to engage with fashion
          •	Bridges the gap between what they see in
            magazines and what they can buy in stores




                                                      Team 1: Mehmet, Dan and Mo
Retailer Benefits




          Benefits for the retailer
          •	New mechanism for digital advertising
          •	Source of new revenue
          •	Ads are more focused and targeted
          •	Detailed analytics of user and ad success rates
          •	Bridges the gap between virtual world and
            physical stores




                                                         Team 1: Mehmet, Dan and Mo
Old Value Web




•	 Charge for ad space                            Ad Space                                  •	   Place Ads in Magazines
•	 Generate content for mag                                               Retailers         •	   Drive traffic through impressions
•	 Physical distribution
                              Publishsers                                                   •	   Direct mail to consumers
                                                    $$$
                                                                                            •	   Revenue from online and in-store
                                                                                                 sales




                                            $$$              $$$          Merchandise
                                 Content




                                                                   •	   Purchase fashion magazines
                                              Consumers            •	   Compare online and in store
                                                                   •	   Organize shopping trips
                                                                   •	   Make purchase decision




                                                                                            Team 1: Mehmet, Dan and Mo
New Value Web



 Publishsers                                                                                        Retailers
                         •	 Upcoming content              •	 Cost per click ad payments
                         •	 Plug-in access                •	 Provide Alternatives
                                                          •	 P.O.S. Magnette support



       •	 Cost per click %                                                            •	 Enhanced analytics
       •	 New revenue model                                                           •	 Virtual to physical bridge
                                                                                      •	 Targeted promo opportunities

                                                   Magnette



                    •	   Explore fashion & alternatives      •	 Purchase Intent
                    •	   Form wishlists                      •	 Preferences
                    •	   Trip organizing                     •	 Ad success rates
                    •	   Virtual to physical bridge




                                                   Consumers




                                                                                          Team 1: Mehmet, Dan and Mo
New Value Web



 Publishsers                                              Retailers

                            CPC ad payments


       CPC revenue %                          Enhanced analytics

                       Magnette




                               User data




                       Consumers




                                                Team 1: Mehmet, Dan and Mo
Questions?




             Team 1: Mehmet, Dan and Mo

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Magnette

  • 1. The Future of Magazines
  • 2. Design Challenge How can brick & mortar retailers leverage emerging technology to their advantage? Team 1: Mehmet, Dan and Mo
  • 3. Emerging Trends Apple iPad • 300,000 units sold on launch day • Estimated 1,000,000+ sold to date • Over 3.5 million apps sold What’s coming • HP Slate, Dell Streak, Asus Eee, Notion Ink Adam, Archos 5, Lenovo U1, Multiple Android Tablets Team 1: Mehmet, Dan and Mo
  • 4. Benefits Which retail segments could leverage these new technologies to their advantage? Team 1: Mehmet, Dan and Mo
  • 5. Fashion Retail Fashion Retail Magazines play an influential role in the formation of a person’s style/fashion. Leverage the Medium Fashion retailers rely heavily on magazines and magazine advertisements. Team 1: Mehmet, Dan and Mo
  • 6. Magazines are Dying Team 1: Mehmet, Dan and Mo
  • 7. A New Model Team 1: Mehmet, Dan and Mo
  • 8. Solution Principles Design Principle Use the next generation of digital media to help consumers develop their sense of style/fashion Business Principle Create an advertising platform that uses digital content to promote fashion retail products Team 1: Mehmet, Dan and Mo
  • 9. The User • Young female • Experimenting with fashion • Style is influenced by popular culture • Reads Cosmopolitain, Sixteen and US Weekly Team 1: Mehmet, Dan and Mo
  • 10.
  • 11. Team 1: Mehmet, Dan and Mo
  • 12. Team 1: Mehmet, Dan and Mo
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  • 23. User Benefits Benefits for the user • Assists in the development of fashion style • Allows users to see and try alternatives • Leverages the social component of shopping • A new way to engage with fashion • Bridges the gap between what they see in magazines and what they can buy in stores Team 1: Mehmet, Dan and Mo
  • 24. Retailer Benefits Benefits for the retailer • New mechanism for digital advertising • Source of new revenue • Ads are more focused and targeted • Detailed analytics of user and ad success rates • Bridges the gap between virtual world and physical stores Team 1: Mehmet, Dan and Mo
  • 25. Old Value Web • Charge for ad space Ad Space • Place Ads in Magazines • Generate content for mag Retailers • Drive traffic through impressions • Physical distribution Publishsers • Direct mail to consumers $$$ • Revenue from online and in-store sales $$$ $$$ Merchandise Content • Purchase fashion magazines Consumers • Compare online and in store • Organize shopping trips • Make purchase decision Team 1: Mehmet, Dan and Mo
  • 26. New Value Web Publishsers Retailers • Upcoming content • Cost per click ad payments • Plug-in access • Provide Alternatives • P.O.S. Magnette support • Cost per click % • Enhanced analytics • New revenue model • Virtual to physical bridge • Targeted promo opportunities Magnette • Explore fashion & alternatives • Purchase Intent • Form wishlists • Preferences • Trip organizing • Ad success rates • Virtual to physical bridge Consumers Team 1: Mehmet, Dan and Mo
  • 27. New Value Web Publishsers Retailers CPC ad payments CPC revenue % Enhanced analytics Magnette User data Consumers Team 1: Mehmet, Dan and Mo
  • 28. Questions? Team 1: Mehmet, Dan and Mo