Who Needs Cash?

Paying cash is so passe. With the proliferation of Square (a service that allows businesses to accept credit card payments via mobile devices), up and comer LevelUp (a service that allows shoppers to pay with their phone), and others, shoppers can truly leave their wallet at home.

And while predictions of a cashless society become more and more of a reality, there are many implications to wrestle with. Is this the beginning of the end for physical banks? After all, aren’t most people apathetic to “the bank” at best anyway? And what about those in developing countries where most don’t even have bank accounts but do have cell phones? Could the phone become the 21st century checking account?  And then there’s Bitcoins. Could Bitcoins create a digital money revolution? And it may seem outlandish, but if cash disappears, could bartering in our evolving Maker society flourish? These questions remain.

For now, companies that can get ahead of the curve when it comes to innovative and buyer-centric purchase technologies will have a leg up. Paying from a phone has clear user benefits, but it also benefits those who provide the easy payment options. Most simply, companies could more readily offer targeted deals, promotions, and ads based on GPS location (if they know you are going to use your phone while shopping). Then, there’s the fact that retailers could know exactly who you are and what you like when you simply walk into a store, Minority Report style. And that’s probably just the beginning of revolutionizing the shopping experience. Sounds like a win-win.

Buying stuff has never been so easy. By simply pushing a few buttons or waving your phone in front of a payment terminal, the world can truly become your oyster. But, in the future, don’t bet against momentous change.

“Fuku-What?," A Retail Lesson From Japan

Shopping retail these days is kinda boring to be honest. Grab and go is usually the name of the game, with all too few accessible opportunities to discover new products or have a memorable experience.

Some say brick-and-mortar isn’t worth investment and following the sea of innovation in digital shopping is where we should focus. Like brick-and mortar is a dead man walking so to speak.

We don’t think brick-and-mortar is dead and nor do our friends in Japan, where “Fukubukuro” is still alive and well. Fukubukuro is a Japanese New Year's Day custom where retailers make grab bags filled with contents unknown to the consumer and sell them for a substantial discount, usually 50% or more off the list price of the items contained within. The low prices are usually done to attract customers to shop at that store during the New Year. Fukubukuro, literally translated as good luck bag, often creates a shopping frenzy at Japanese retailers and becomes the talk of the town, from the discovery of cool treasures, to "utsubukuro" or depressing bags.

There are lessons to be learned here, friends. First, it’s an easy way to unload excess merchandise from the previous year. But, more importantly, it creates a gamified version of shopping. Maybe I’ll be the one to win that expensive electronics piece or that fancy pair of shoes. A chance of winning, however miniscule it is, is always fun and exciting. It also has the power to create discovery. You’re gonna be stuck with some products you wouldn’t ordinarily purchase so might as well give it a try and see how it goes. It also creates an opportunity to design an event. From lavish, celebrity-sponsored bashes, to exclusive engagements, grab bags give party planners an event to plan for.

The point is less about instituting an American Fukubukuro and more of a call for retailers to create more intentional experiences, for designing a compelling reason to visit and buy.

If we want to establish real loyalty in an age when procuring goods is simply a matter of an internet connection and a visit from Fedex, we have to speak to deeper needs and symbols. Fukubukuro fulfills our intrinsic need for fun and discovery and has become a cultural symbol of fortune and goodwill toward one another. What will your brand’s version of Fukubuko be?

The Art of Negotiation Ain't So Artful

Negotiations suck. Be it for a job, for a car, or a simply a decision with the missus. They’re awkward, they twist the truth, and they make you feel inhuman. And then there’s the even more awkward situation when you’re witnessing a negotiation, but not actually a part of it. I remember my dad negotiating his medical bill with a doctor once. I’ve never been so embarrassed.

So, what do we do? Let it go on without intervention like it has for ages? Nah. It’s a design challenge.

What if there was an app that let you digitally negotiate? A digital napkin across the table so to speak. You could thoughtfully explain your rationale in 160 characters or less; sometimes a brief overview of your rationale is better than a soliloquy. After three rounds, you’d have to come to an agreement, part ways, or seek third party guidance (the app maker!). More business, less beating around the bush. At the very least, this would take away the power plays and tenuous interpretation of body language. Not to mention remove the stress of being in the same room with your foe. 

I’m not saying I have it figured out, but maybe it’s time to explore some options for important negotiations like jobs and cars and the like. What about extending the agent role to mid-level managers -- professional negotiators who get paid when you get paid? What if a third party facilitator calls you out if you’re not playing by the rules? What if we actually just negotiated honestly and to the point? What if we approached negotiations with a high level of empathetic awareness? What if there was an empathy metric to keep us accountable? What if jobs, cars, etc. were no longer negotiable, but market-driven, like going the grocery store? 

What if we could make negotiations suck less? I’d be all for it.