The 4 th Industrial Revolution led by Phono Sapiens

Transcription

1 The 4 th Industrial Revolution led by Phono Sapiens What should Enterprises Prepare for the 4 th Industrial Revolution? Professor SungKyunKwan University Jae Boong Choi

2 Human changes the Market Evolution Speed of DNA Propagation Speed of MEME MEME Theory: Idea spreads from person to person through replicating within culture 40 millions Years ago 2.5 millions Years ago 1.8 millions Years ago Years ago Hominidprimates Homo habilis Homo erectus More than 10 millions Homo sapiens Past 5 years (Hyperconnectivity) Advanced Knowledge based on Technology Controls the Market and Society Smartphone Use in Hyperconnectivity Alters the Route Of Making up Thoughts Leads Rapid Evolution of N.S.H

3 Hyperconnectivity Rapid Evolution of Human Being, On-Internet On-Mobile Connected Society Increase in Activity of MEME Causes Rapid Evolution Hyperconnectivity society Appearance of New Human Phono Sapiens ORIGINS The word meme originated with Richard Dawkins' 1976 book The Selfish Gene. Dawkins cites as inspiration the work of geneticist L. L. Cavalli-Sforza, anthropologist F. T. Cloak and ethologist J. M. Cullen. Dawkins wrote that evolution depended not on the particular chemical basis of genetics, but only on the existence of a self-replicating unit of transmission in the case of biological evolution, the gene. For Dawkins, the meme exemplified another self-replicating unit with potential significance in explaining human behavior and cultural evolution.

4 Characteristics of Phono Sapiens Always-On Internet Connection Always-On Internet Connection Desire to obtain all the Information quickly Copy and Propagate them Immediately Enjoy Showing Off Something to Others Always Pursue Fun Feel Sympathy and prefer to share Change with High Speed

5 New King of Market Phono Sapiens x 1,000,000,000 Population is over 1.5 billion Having common thinking & life patterns by replication Became a Real King in the New Market

6 Phono sapiens is a revolutionary market changer

7 Hyperconnectivity, Rapid Market Transition P.Sapiens Focused Group (Apple, Samsung, Google) Old Market Focused Group (Nokia, Sony) x 10 x Top 5 Companies Apple Google MS Amazon Facebook 2016 Top 3 Brands Apple, Google, Samsung IT Company Market Capitalization (2010~2016) Market Capitalization Ranking(2016) 1st Google 2nd Apple 13th Samsung (2015.Q4) 1 st Apple Apple Apple Apple Apple Google 2 nd Microsoft Microsoft Google Microsoft Google Apple 3 rd Google IBM Samsung Samsung Microsoft Microsoft 4 th IBM Google Microsoft Google IBM Facebook. Inc 5 th CISCO Samsung IBM IBM Samsung Amazon.com Samsung(9 th ) Samsung(13 th ) source: Bloomberg TIPS Top 10 companies are related with Smartphone

8 Hyperconnectivity, Rapid Market Transition Companies not adapted to New Customers became extinct Evidence of Customer-Leading Revolution Year 2010 Year 2013 Sales dropped by 13% Sales dropped ( trillion) by 40% ( billion) (Nokia, Nintendo, Panasonic, Sony, Samsung) Google Trends 2004~2014 Net Profit dropped by 92% ( - 12억 ) Samsung Nintendo, Nokia, Panasonic, Sony Foxconn acquired NOKIA in 2016 Net Profit dropped by 120% ( billion) 100 Sales dropped by 58% ( billion) Net Profit dropped by 958% ( billion) 0 Start of Revolution Net profit dropped by 53% ( billion) Sales dropped by 75% ( trillion) Sales in year 2010 ( $ 7.9 billion) Forecast Net Profit in 2010 ( - $ 198 million) Google acquired MOTOROLA in 2011 Lenovo acquired MOTOROLA in Samsung Nokia Sony Panasonic Nintendo

9 Hyperconnectivity, Platform business exploding Market Capitalization Bloomberg. Dec trillion 179 trillion Mobile Platform 215 trillion 233 trillion 78 trillion 35 trillion 75 조 29 조 DDQUAIDI 33 trillion Apple invest $1 Billion Kosdaq 2nd 6.7 trillion Kospi 4th 29 Trillion Top No trillion Top No trillion Companies concentrating consumers clicks with mobile platform grow fast

10 Hyperconnectivity, Media power rises Subscriber Sales 1. PewDiePie: $12 million 2. (tie). Smosh: $8.5 million 3. (tie). Fine Brothers: $8.5 million 4. Lindsey Stirling: $6 million 5. Rhett & Link: $4.5 million Single Broadcast Top Star million 대도서관, 양띵, 악어, 김이브 MCN(Multi-Channel Networks) Industry Expansion Youtube, CJ E&M, Naver, Africa TV 29.4 m ( 人 )/one day (29,400,000) 350 m ( 人 ) (130,000,000) 600 m ( 人 ) (340,000,000) 110 m ( 人 ) (110,000,000) 0.7 m ( 人 ) presubscription (7,000,000) 2 b (Download) (2,000,000,000) 5.1 b/ 日 Net Profit (5,100,000,000) 2300 b/ 年 (230,000,000,000) 1286 b/ 年 (128,600,000,000) 1 b/ 日 (1,000,000,000) 300 m/ 日 (300,000,000) 2,189 b/ 年 (218,900,000,000) Fun creates a New Market. Focus on Game and Media Andrew Hayward, Ex-CEO of CBS, Every company is a media company

11 Love from the Star Tremendous Popularity Running Man Asian Platform K-beauty Imminent Growth Bigbang earns More than Maroon 5 Descendants of The Sun Popularity in China AMOREPACIFIC Sales in China Reach 5 trillion SeoKyeongBae CEO is 2 nd in Wealth Ranking Prince in Asia, Kwangsoo After Chinese consumer targeted Marketing, sales surged Concentrating on Chinese Customer Bigdata Bigbang s New album in 2015 exceeded 1trillion view 1 st rank in 16countries, Asia The most popular keyword in the first half of 2015 Bigbang: 9trillion times Internet Streaming on iqiyi Viewers exceeded 3 billion 30 million Subscribers (more than Love form the Star ) Chinese Government warns SongJungKi Lovesickness 2016 Expect to be the most popular program Asian market is moving based on customer big-data: Leading to 4th Industrial Revolution

12 In the Phono Sapiens Market, Click creates Value x 1,000,000,000 $$$$$$$$$$$$$$$ Market Expansion from Internet Industry to 1 st, 2 nd, 3 rd Wave 1 ST WAVE 2 ND WAVE 3 RD WAVE Revolution Already Started from Phono Sapiens Market Imminent Growth of O2O Platform Value of Uber: 75 trillion Value of Air B&B: 29 trillion Change to New Eco-system 2016 Davos Forum 4 th Industrial Revolution Artificial Intelligence Robot Driverless Car Bigdata, 5G communication New Medicine What s Next?

13 Customer-Oriented 4th Industrial Revolution by Soft Power 3 rd Industrial Revolution Era: Manufacturing-Oriented Love from the Star iqiyi Subscribers reach 3.7 billion Tremendous Searching of Lipstick Increase in Order Responding to Order Managing Stock Small-sized Company in Korea Korean Wave Marketing Present: Sold 0.1 million Future: Korean Wave Marketing? Plan & Design New Item Mass-Production Automation Sale Logistics Retail Marketing Planning Production Tremendous Increase In Customer Click Bigdata Platform Responding to Monitoring Consumer Searching Consumer Searching Curation Service Platform Bigdata Based logistics management Drone Delivery IoT Responding to Results Bigdata Based order management Online Sale Platform Consumer Reaction Bigdata Analysis Media Marketing Contents VR Media Planning Smart Factory Customized Responding to Consumption Service AI based Curation Service Design 3D Printing Smart Factory Industry 4.0 Robot Prouction

14 Consumer-Oriented 4 th Industrial Revolution 3rd Industrial Revolution Era: Product based Experience, House of Cards 3.7 trillion sales Value of Company : 28 trillion Drama Series DVD Rent Rent Shop Theater Advertising Marketing Retail is based on existing Ecosystem Plan & Design Produce based on based on Experience Experience Sale Logistics Retail Marketing Planning Production Consumer Selection Bigdata platform Streaming Service AI based Curating Service Platform with 78,000 categories Consumer Type analysis Bigdata Analysis Study Algorithms Bigdata Based order management Online Sale Platform Mass-media Marketing Single broadcastingconsumer marketing Media Marketing For different Generations Producer, actor Based on Bigdata Scenario Based on Bigdata Drama, movie production system Investment $ on Producer Bong Junho

15 Consumer-Oriented 4 th Industrial Revolution Manufacturing-Oriented Era: Aren t You Depending only on Board Members Great Experiences of Success Era? Existing Media Ads Telecommunication Company AS Service Online platform Of Retail Company Ads: Cheil Marketing? Experience based Experience based Designing Product? Respond to production? Retail Logistics Sales Marketing Plan Produc -tion? Ads Online Platform for Consumers Accessory Platform Consumer Type analysis Platform for AS & Inter-communication Customized Purchase Service Bigdata Based order management Online Sale Platform Online Platform Responding to Consumers BM for Asian Market Mass-media Online-media BM for North-America Single Broadcasting & Europe ANSYS makes your company s Media ANSYS makes your company s knowledge ANSYS makes your company s Click Power Synergy with Semi-conductor Appliances Efficient Smart Factory

16 Formation of Ecosystem Platform Gathers N.S.H Creates Markets Eco-System for Phono Sapiens Market Response of Small Enterprise to Market Segments Apple Google Amazon Alibaba Diversity in Species Endless Competition Venture Start-Ups Utilize Platform Formation of Ecosystem MARKET SEGMENTATION To launch proper products to the segmented market To form symbiotic ecosystem Eco-System Eco-System Characteristics of Healthy Ecosystem Venture Capital Diversity in Species Fair Endless Competition Eco-System Venture Capital Eco-System Eco-System

17 Business Model Design Process in Hyper-Connected Society Increasing Enterprise Value Increasing Expected Future Value Click Creation Eco-system Creation Bigdata Analysis Storytelling Transmedia Platform Eco-system

18 Platform / Eco-System / Collaboration Building a New Industry Eco-System through Collaboration ECO-SYSTEM Building Healthy Eco-System Constantly Maintains Voluntary Click Eco-System Contents IoT Ventures Integrate into the new Eco-system System activity Wearables Click Power Smart Car Green Tech Ventures mismatch New Market Segmentations K-pop Korean Contents Platform

19 Platform / Eco-System / Collaboration ECO-SYSTEM Building a New Industry Eco-System through Collaboration Building Healthy Eco-System Constantly Maintains Voluntary Click Culture Ventures Integrate into the new Eco-system IoT Eco-System System activity Wearables Power Smart Car Green Tech Sensibility Ventures mismatch New Market Segmentations K-pop Korean Contents Platform

20 Technology is Important However, Human Being is the Center

21 Concentration on Details Makes