(Length: 15 pages)

December 20, 2005

Sell Digital Experiences, Not Products

Solution Boutiques Will Help Consumers Buy Digital Experiences

by Ted Schadler

with Chris Charron, Tenley McHarg

Executive Summary (This is a document excerpt)

Consumer technology sales are broken. Consumers buy digital products but then fail to get the additional products, content, or services that bring them to life. As a result of this failure, consumer technology companies leave $3.8 billion in lost revenue on the table today. To close this gap, digital industries must stop selling standalone devices and services and start delivering digital experiences — products and services integrated end-to-end under the control of a single application. The most promising approach is "solution boutiques" like those of Apple, Best Buy's Magnolia, and mobile retail newcomer IMO. Successful efforts like these will generate $13 billion in 2010.

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TABLE OF CONTENTS

NOTES & RESOURCES

itemTechnology Confusion = Lost Sales

itemToday, Firms Leave $3.8 Billion On The Table

itemThe Solution: Sell Digital Experiences, Not Components

itemThree Approaches To Selling Digital Experiences

itemEach Industry Has A Different Digital Sweet Spot

itemMeet The Solution Boutique

itemThe Solution Boutique Operating Model

recommendations

itemDigital Experiences Will Alter Industry Dynamics

WHAT IT MEANS

itemPartnerships Become Critical

itemSupplemental Material

Forrester interviewed 14 manufacturers, retailers, service providers, and consultancies, including: Accenture, Apple Computer, Best Buy, Cisco Systems, Dell, Hewlett-Packard, IBM, IMO, Napster, RiverOne, Toshiba, Tweeter Home Entertainment, UPS, and Viewlocity.

Related Research Documents

itemThe State Of Consumers And Technology: Benchmark 2005: Consumer Technographics North America

July 29, 2005, Data Overview

itemThe Battle For The Digital Home

December 17, 2004, Trends

itemHow To Sell Consumer Electronics

September 23, 2003, Report

Find Documents In Related Categories

This document falls under the following categories. Click on a link below to find similar documents.
Analyst: Ted Schadler
Industry: Consumer Electronics, Consumer Technology Adoption, Media & Entertainment, Retail
Geography: Asia Pacific, Europe, North America

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