Changing How Markets Behave

by Jay Deragon on 05/10/2012

The web has changed how “markets” communicate.  The change in communications has the potential of creating a new marketplace. A marketplace fueled by buyer intentions.

The intent and dynamics of the marketplace have changed and as we begin a new era all organizations will be forced to make  changes to their intents or lose the markets attention.

The word intention implies performing an action for specific purpose in doing so, the end or goal aimed at, or intended to accomplish. Whether an action is successful or unsuccessful depends at least on whether the intended result was brought about. The Cluetrain Manifesto stated : The customers who once looked you in the eye while hefting your wares in the market were transformed into consumers.  Power swung so decisively to the supply side that “market” became a verb: something you do to customers. The “market” was no longer represented by the intended buyer rather by what the supplier intended on doing.

Intentional Changes Needed 

What we have learned from the web is a result of failures to recognize that technology is creating a reversal in “market” directions. The dynamics reveal  five reasons why the current design and definition of markets are failing:  These are as follows:

  1. The suppliers still think in terms of mass production and mass media, now called social media
  2. Marketers still think “trap and trick” is a proper way to establish customer relationships
  3. Buyers are gaining in power as their collective voices speak to the inadequacies of current “market models”
  4. Technology is getting smarter in identifying the wants and needs of buyer intentions
  5. Media, previously used to control the masses, is now being supplied by the masses

Marketing and messaging is no longer isolated rather it is now a reflection of the organizational intent to serve or not serve the interest of the buyer. These dynamics will fuel more changes including:

  1. Technology will enable buyers to efficiently and effectively fulfill their intent.
  2. Sellers will have to change their methods, messages and mediums used to serve buyer intents
  3. The focus on “transparent intentions” will be elevated by the release of Doc Searls new book The Intention Economy. The Cluetrain Manifesto changed how we think and The Intention Economy will change how markets behave.
  4. Marketing and advertising methods, messages and mediums will become centric to reflecting an organizations ability to better serve buyer intents.
  5. The four suggested changes above will fuel disruptive changes in how markets run and those that lead the changes will be ahead of their competition, big and small.

The implications of the  five changes illustrated above are profound and the speed of  adaptation by businesses will decide the winners from the losers. A lot of things are changing but change will accelerate when technological advancements enable a more efficient and effective marketplace for buyers. If you think the pace of change has been crazy it will be pale compared to what will happen when Doc Searls vision of The Intention Economy becomes reality.  Buy the book and help create better markets.

 

Comments on this entry are closed.

Previous post:

Next post: