EXCELLENCE. ALWAYS. American Gem Society/Breaking Barriers Tom Peters/28April2006/Orlando

Slides at … tompeters.com

EXCELLENCE. MANHOLE COVER MADNESS.

Chicagoland’s Mystery Disappearances …

EXCELLENCE. THE MANDATE.

“If you don’t like change, you’re going to like irrelevance even less.” —General Eric Shinseki, Chief of Staff. U. S. Army

“It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change.” —Charles Darwin

EXCELLENCE. THE WORD.

Synonyms Purity Transcendence Virtue Elegance Majesty Antonyms Mediocrity

EXCELLENCE. GAMECHANGER.

Excellence1982: The Bedrock “Eight Basics” 1. A Bias for Action 2. Close to the Customer 3. Autonomy and Entrepreneurship 4. Productivity Through People 5. Hands On, Value-Driven 6. Stick to the Knitting 7. Simple Form, Lean Staff 8. Simultaneous Loose-Tight Properties”

The World of In Search of Excellence: People. Emotion. Engagement. Exuberance. Action-Execution. Empowerment. Independence. Initiative. Imagination. Great Stories. Incredible Adventures. Trust. Caring. Fun. Joy. Customer-centrism. Profit. Growth. “Brand You.” “Dramatic Differences.” Experiences that Make You “Gasp.” Excellence. Always.

ExIn*: /Forbes.com DJIA : $10,000 yields $85,000 EI : $10,000 yields $140,050 * Excellence Index /Basket of 32 publicly traded stocks

EXCELLENCE. WANTING.

Radio City Music Hall September 2005

Franchise Lost! TP: “ How many of you [600] really crave a new Chevy?” NYC/IIR/061205

This is not a “mature category.”

This is an “ undistinguished category.”

EXCELLENCE. DOABLE.

Summary: WallopWal*Mart16* *Or: Why it’s so absurdly easy to beat a GIANT Company

The “Small Guys” Guide: Wallop Wal*Mart16 * Niche-aimed. (Never, ever “all things for all people,” a “mini-Wal*Mart.) * Never attack the monsters head on! (Instead steal niche business and lukewarm customers.) *“Dramatically Different” (La Difference... within our community, our industry regionally, etc … is as obvious as the end of one’s nose!) (THIS IS WHERE MOST MIDGETS COME UP SHORT.) * Compete on value/experience/intimacy, not price. (You ain’t gonna beat the behemoths on cost-price in 9.99 out of 10 cases.) * Emotional bond with Clients, Vendors. (BEAT THE BIGGIES ON EMOTION/CONNECTION!!)

$798

$415/SqFt/Wal*Mart $798/SqFt/Whole Foods

EXCELLENCE! ALWAYS!

$798

7X. 730A- 800P. F12A.* *’93-’03/10 yr annual return: CB: 29%; WM: 17%; HD: 16%. Mkt Cap: 48% p.a.

“It’s simple, really, Tom. Hire for s, and, above all, promote for s.” —Starbucks middle manager/field

#1/100 “ Best Companies to Work for” /2005

Wegmans

EXCELLENCE. #1T.

Donnelly’s Weatherstrip Service Weymouth MA

Cirque du Soleil !

EXCELLENCE. OPPORTUNITY.

“Women are the majority market” —Fara Warner/The Power of the Purse

The Perfect Answer Jill and Jack buy slacks in black…

1. Men and women are different. 2. Very different. 3. VERY, VERY DIFFERENT. 4. Women & Men have a-b-s-o-l-u-t-e-l-y nothing in common. 5. Women buy lotsa stuff. 6. WOMEN BUY A-L-L THE STUFF. 7. Women’s Market = Opportunity No Men are (STILL) in charge. 9. MEN ARE … TOTALLY, HOPELESSLY CLUELESS ABOUT WOMEN. 10. Women’s Market = Opportunity No. 1.

10. Women’s Market = Opportunity No. 1.

“Women don’t buy brands. They join them.” EVEolution

2.6 vs. 21

EXCELLENCE. AARGH.

6/44

P&G

EXCELLENCE. FOUND.

“To be a leader in consumer products, it’s critical to have leaders who represent the population we serve.” —Steve Reinemund/PepsiCo

EXCELLENCE. OPPORTUNITY.

10.6

EXCELLENCE. OPPORTUNITY.

Stats 18-44: -1% 55+: +21% (55-64: +47%)

44-65: “New Customer Majority” * *45% larger than 18-43; 60% larger by 2010 Source: Ageless Marketing, David Wolfe & Robert Snyder

“Baby-boomer Women: The Sweetest of Sweet Spots for Marketers” —David Wolfe and Robert Snyder, Ageless Marketing

EXCELLENCE. OPPORTUNITY.

Fastest growing demographic: Single-person Households (>50% in London, Stockholm, etc) Source: Richard Scase

EXCELLENCE. OPPORTUNITY.

Women. Women business owners. Boomers-Geezers. Single-adults (Urban)

EXCELLENCE. VALUE ADDED.

$55B

EXCELLENCE. UP THE LADDER.

Huge: Customer Satisfaction versus Customer Success

The Value-added Ladder/Opportunity-seeking Gamechanging Solutions Services Goods Raw Materials

EXCELLENCE. EXPERIENCE IT.

“ Experiences are as distinct from services as services are from goods.” —Joe Pine & Jim Gilmore, The Experience Economy: Work Is Theatre & Every Business a Stage

“ Club Med is more than just a ‘resort’; it’s a means of rediscovering oneself, of inventing an entirely new ‘me.’ ” Source: Jean-Marie Dru, Disruption

“The [Starbucks] Fix” Is on … “We have identified a ‘third place.’ And I really believe that sets us apart. The third place is that place that’s not work or home. It’s the place our customers come for refuge.” Nancy Orsolini, District Manager

Warren Goes Shopping …

Q: “Why did you buy Jordan’s Furniture?” A: “Jordan’s is spectacular. It’s all showmanship.” Source: Warren Buffet /interview/Boston Sunday Globe

EXCELLENCE. UP THE LADDER.

The Value-added Ladder/Memorable Connection Spellbinding Experiences Gamechanging Solutions Services Goods Raw Materials

C X O* *Chief e X perience Officer

EXCELLENCE. BONUS.

Flower Power!

EXCELLENCE. DREAM IT.

DREAM: “A dream is a complete moment in the life of a client. Important experiences that tempt the client to commit substantial resources. The essence of the desires of the consumer. The opportunity to help clients become what they want to be.” —Gian Luigi Longinotti-Buitoni

EXCELLENCE. UP THE LADDER.

The Value-added Ladder/Emotion Dreams Come True Spellbinding Experiences Gamechanging Solutions Services Goods Raw Materials

C DM* *Chief Dream Merchant

EXCELLENCE. THE STORY.

“Storytelling is the core of culture.” —Branded Nation: The Marketing of Megachurch, College Inc., and Museumworld, James Twitchell

Market Power = Story Power = Dream Power

C ST O* *Chief Storytelling Officer

EXCELLENCE. ALWAYS.

. “Everyone lives by selling something.” – Robert Louis Stevenson

Sell Sell Sell

C R O* *Chief Revenue Officer

EXCELLENCE. BEDROCK.

Brand = Talent.

“We are a ‘Life Success’ Company’ Dave Liniger, founder, RE/MAX

Health: Century21.Job # 1

Quality! Prevention! Wellness! Chronic Care! Childhood Obesity! H5N1!

Childhood Obesity > Terrorism Source: Mike Levitt

EXCELLENCE. BEDROCK.

“ You must be the change you wish to see in the world.” Gandhi

25

EXCELLENCE. STRETCH.

The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it. Michelangelo

“ Beware of the tyranny of making Small Changes to Small Things. Rather, make Big Changes to Big Things.” —Roger Enrico, former Chairman, PepsiCo

“Reward excellent failures. Punish mediocre successes.” Phil Daniels, Sydney exec

EXCELLENCE. WOW.

Synonyms Purity Transcendence Virtue Elegance Majesty Antonyms Mediocrity

Radically Thrilling Language! “Radically Thrilling.” —BMW Z4 (ad)

C W O* *Chief WOW Officer

EXCELLENCE. WOW. NOW.

“ It’s always showtime.” —David D’Alessandro, Career Warfare

EXCELLE ALWAYS.