by Elizabeth Hines | Oct 10, 2017 | Blog, Consumer Electronics, Current Events, Manufacturing & Distribution, Strategy, Supply Chain
Of legal obligation, financial incentives, and convenience, what best drives consumers to practice proper e-waste recycling?
The United States is a nation of consumers, and there are few things we enjoy more than our electronic gadgets. Unfortunately, for every new device — or upgrade — introduced to the market, there’s an older model that becomes obsolete.
The world produced 41.8 million metric tons of e-waste in 2014, according to a study published by the United Nations University. So how can we combat this growing problem?
The recycling option… and sometimes law
Recycling products that we’re no longer using is always good practice. It can help protect the environment from hazards that are in our electronics and batteries. And many times, the device can be refurbished and donated to a person in need.
Sometimes just asking people to recycle isn’t enough, though. Some governments have made it illegal not to recycle. For example, the EU has gone so far as to institute the Battery Directive. Understanding that batteries commonly contain elements such as mercury, cadmium, and lead, the EU has set an objective of improving environmental performances of batteries, and setting a standard for their waste management as well.
In the United States, cities like New York City have made it illegal to simply throw out electronic devices. Instead, residents need to bring their devices to a recycling center, many of them conveniently located at other electronic retail outlets.
Incentives
If less hazardous waste in landfills, a cleaner environment, and compliance with laws and regulations aren’t enough, how about saving money as an incentive to recycle e-waste?
Many manufacturers and retailers offer discounts on purchases with the return of old devices. Best Buy, for example, has experimented with trade-in and recycling programs that offer gift cards or cash for customers who bring in old devices. As programs like this can leave the retailer struggling to break even, they often aren’t financially attractive enough to be the sole incentive drawing consumers to recycle e-waste.
But one incentive that is very effective is also, probably, the most obvious — convenience. One survey found that 43% of respondents would be more likely to recycle e-waste were cell phone and battery recycling part of curb-side pickup.
The convenience of curb-side pickup for paper, plastic, and aluminum helped to make recycling ubiquitous in neighborhoods across the country. It’s the same thought process that leads researchers to believe that the convenience of a curb-side pickup will encourage more individuals to recycle their electronic devices and batteries.
This post originally appeared on EBN Online.
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by Elizabeth Hines | Jul 10, 2017 | Blog, Consumer Electronics, Manufacturing & Distribution, Strategy, Supply Chain
With increasing consumer demands comes an increasing need for electronics manufacturers to adapt and change with the times.
Manufacturing operations strive to increase demand fulfillment and to reduce costs. But, too often these objectives seem mutually exclusive in practice. In fact, a 10-year study by Accenture of nearly 250 businesses across industries and sectors found that only 11% were meeting both goals.
So what are the 11% doing differently? Interestingly, the study found that operational flexibility was the common thread binding these companies together. What’s more, they were able to achieve flexibility, reduce costs, and increase demand by adhering to three key principles of operations.
3 pillars of operational flexibility
1) Keep it simple.
It can be difficult to keep up with the growing market demand for product customization while maintaining low overhead costs. But the answer is not fewer SKUs — in fact, quite the opposite. Successful manufacturers have increased product variants while reducing the number of components in each SKU, simplifying production.
A prime example of this is Toyota, which is transitioning from 100 different platform variants to five standard platforms across all its models. The brand will maintain design variation in accompanying components and interior choices. Toyota expects this will enhance the customer driving experience while reducing factory costs by 40% and manpower by about 20%.
2) Embrace digitization.
The supply chain is a series of steps toward getting the product in the hands of the end user. Digitization can break down barriers between steps so the supply chain becomes one integrated process. By offering faster responsiveness through digitalization, businesses can better meet consumer demand in timely manner.
Additionally, digitization can help reduce costs associated with production. An example of this is the use of 3-D printing. Traditional manufacturing processes for building a part are subtractive, creating a lot of scrap and wasted material as a byproduct. Not so with 3-D printing, an additive process using the minimum material necessary to fabricate a part. Less wasted material equals less wasted cost.
3) Develop multi-skilled labor.
Investing in a workforce that can adjust and handle multiple duties is an important aspect of operational flexibility. By cross-training employees, manufacturers are better able to optimize time and effort.
Honda’s ARC line, which trains line members across multiple tasks, offers a prime example. Not only are employees more capable of assessing and solving problems, Honda has been able to improve work efficiency by 10%.
Variables
With increasing consumer demands comes an increasing need for electronics manufacturers to adapt and change with the times. And there will always be unexpected variables and market fluctuations that require operational agility. But by being faster, more flexible, and cheaper, businesses can continue to increase demand fulfillment while effectively managing costs.
This article originally appeared on EBN Online.
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by Elizabeth Hines | Feb 21, 2017 | Blog, Consumer Electronics, Manufacturing & Distribution, Strategy, Supply Chain
Will sustainability trends from the consumer packaging industry have an impact on electronics manufacturing this year?
As we wrap up the first big consumer holiday of 2017, it’s interesting to think about how innovation in packaging never stops. While many of the newest ideas are hitting consumer applications first, perhaps they will point to new directions for electronics manufacturing as well.
Packaging trends suggest a wide range of startups, researchers, and big companies are committed to finding solutions that match the buzzwords du jour — sustainable, bio-degradable, natural, and eco-friendly.
Here are some sustainability trends in packaging that I think will gain momentum in 2017.
2017 packaging trends to watch
1) Multiple uses
Great packaging protects not only your product, but also your brand. But what if the packaging is part of the product itself?
That is the case with innovations such as the expandable bowl by Swedish design studio Tomorrow Machine. Using 100% bio-based and biodegradable materials, the company created a cellulose wrapper that hugs freeze-dried food and morphs into a bowl when hot water is poured into the spout. The bowl ― a sustainable packaging award winner ― is now in good company, and I expect more will follow.
2) Unconventional materials
Egg shells, fermented sugars, barley, and wheat ribbons — those were the materials used to create, in turn:
- Bio-compostable films: Nano-particles from waste eggshells helped researchers at Tuskegee University in Alabama make a plastic film that is completely sustainable and 700% more flexible than other bio-plastic blends. Film made of the new material could be used in retail packaging, grocery bags and food containers.
- A prototype PHBottle: The European PHBottle project aims to initially create a bottle, cap, and sleeve, although use in other applications (non-food packaging and non-packaging uses) will be tested. The bio-plastic material used to make the bottle comes from the transformation of organic matter found in juice processing by-products.
- Edible six-pack rings for beer: Imagine washing down the six-pack ring with your favorite beer. Although that moment is not quite here yet, the future is looking up for a piece of plastic that is notorious for ensnaring wildlife. The first bio-degradable edible six-pack ring for beer is the result of a partnership between Saltwater Brewery; We Believers, an advertising agency; and Entelequia, Inc., a small startup in Mexico. Made from barley and wheat ribbons spent grain from the brewing process, the rings are safe for wildlife to eat and sturdy enough to support the cans.
3) Reusable packaging
The throw-away culture is not for everyone. In fact, Mintel’s Global Packaging Trends 2017 shows 63% of U.S. consumers actively seek out packages they can re-use. More than half of consumers also say they would prefer to buy foods with minimal or even no packaging. With such great demand for waste reduction, innovation is bound to pick up even more momentum.
What do you think 2017 will bring in terms of sustainable packaging for the electronics industry? Let us know about promising innovations you’ve seen.
This post originally appeared on EBN Online.
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by Elizabeth Hines | Feb 16, 2017 | Consumer Electronics, Content Marketing, Marketing, Social Media, Strategy, Supply Chain
Here are two examples of consumer electronics companies leveraging social media to reach their target audiences, build brand awareness, and drive sales.
More and more companies are allocating budget to create a social media presence. That’s because, despite early hesitation, supply chain businesses understand that social media is an important marketing tool in today’s marketplace. The consumer electronics industry is no different: Participating in social media has never been more necessary.
Nearly 60% of consumers have taken a blog or social media post into consideration while shopping in a store. You may think — sure, that probably happens for fashion labels. But in fact, consumer electronics is the top product category influenced by social media posts, followed by fashion, then household items.
So what does this mean for you? Those dollars that you’re driving into social networking posts, tweets, and videos are reaching customers and ultimately affecting their purchasing decisions. Well, I should say, only if you’re driving them in the correct places.
To effectively leverage social media in consumer electronics, you need to have a social media strategy that aligns with your business goals. You need to be using the right channels, distributing the right content, and posting at the right time.
Let’s take a look at two companies that are doing it right and why that is.
Consumer electronics companies leveraging social media effectively
1) GoPro
GoPro designs portable, waterproof cameras that users can strap on their helmets, handlebars, or surfboards to record their experiences. The brand’s target audience includes extreme-sports lovers and daredevils who like to watch and share their adventures.
As part of their social media strategy, GoPro encourages their customers to contribute their videos to its various social media channels. It’s a win-win for both the company and users: GoPro receives tons of content that is interesting and relevant to its users, and the users get to show off their skills (or tumbles). Today, the company has over 4.5 million YouTube subscribers and more than 1.3 billion views of their videos.
Lesson: Know your target audience. GoPro understands who it is trying to reach, what they like to do with social media, and where they are active. It gives users a place to share their accomplishments, and is able to grow brand awareness and brand loyalty at the same time.
2. Beats by Dre
Beats by Dre, owned by Apple and founded by Dr. Dre, is an audio brand that sells headphones, earphones, and speakers. The company is active on several social networking platforms, but its genius lies in how it uses those platforms in different ways to reach different consumers.
On Facebook, Beats by Dre finds the most success by sharing stories and experiences that appeal to music and sports enthusiasts. Content includes inspirational photos and videos of athletes and artists using the brand’s products.
On Twitter, the company has created a dedicated support account to quickly reach customers in need of service. This helps amplify the message that the company offers excellent customer service, and the team is able to quickly and broadly share users’ positive feedback.
Pinterest is an entirely different beast for Beats by Dre. The company found its users were most likely to pin high-quality, interesting images, so that’s exactly the kind of content the brand shares via Pinterest. It also curates “mood boards” around the release of new products. It helps build excitement and awareness surrounding a product launch — and it achieves the longer-term strategy of building brand awareness through its users’ social sharing.
Lesson: What works on one social media network might not work on another. By distributing different kinds of content on different channels, Beats by Dre has been able to maximize the impact of each social media channel and engage with the segment of consumers that operates there.
Today’s consumers are more educated than ever. By understanding how to leverage your social media channels to reach and best serve your target audience, you can make your tweets, posts and videos a success.
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by Elizabeth Hines | Oct 28, 2015 | Blog, Consumer Electronics, Data Security, Data/Analytics, Logistics, Strategy, Supply Chain
When it comes to IT Asset Disposal here are 5 must-ask questions for third-party providers.
When the industry thinks of data breaches it raises the specter of a savvy hacker lurking very far, and yet very close, intermingling with a larger organization of internet criminals, breaking into our technology and gathering most private information: credit card and bank account details, social security numbers, and personal health and income data. The recent breaches at Anthem insurance and the retail giant Target make users worry about the trail they leave when they swipe a card or populate a form with personal information. This is how individuals think identities might be exposed. Individuals often don’t think about what happens when a company retires old servers, computers, printers, copiers, and scanners. What happens to confidential data? This is something businesses must think about.
ITAD
Receipt, processing, destruction and disposal of hardware and software are a necessary and growing business. The Blumberg Advisory Group’s 2014 ITAD Trends Report shows that data security is the number one reason why companies implement an IT asset disposition (ITAD) strategy. News reports highlight examples of sensitive data being found on retired assets, frompersonal photos and information to matters of national security. The costs associated with data breaches and with the improper disposal of IT assets are great. They include financial implications such as penalties, the loss of customer loyalty, and the tarnishing of one’s reputation. To mitigate risk, asset recovery management is critical to companies operating in today’s global supply chain.
According to Transparency Market Research (TMR) as reported inElectronics Purchasing Strategies, ITAD represents an estimated $9.8 billion handling 48 million tons of discontinued or excess technology gear. According to TMR, by 2019 the predicted market will grow to $41 billion made on 141 million tons of used equipment. Concerns about data security have resulted in companies becoming more aware of the need for ITAD and the need to budget for it. In 2014, 87 percent of companies reported having an ITAD budget; 38 percent more than in 2012.
Outsourcing this complex work can be a necessity for many companies who don’t understand the intricacies, regulations, labor and cost of asset disposition. Electronically stored data is subject to stringent HIPAA/HITECH, FACTA, SOX, GLB, and FERPA regulations, complicating responsible disposal. Secure and thorough “wiping” of data is critical, and the environmental impact of retired assets is also a vital concern.
More and more companies, 65 percent of companies larger than 10,000 workers and up to one third of all businesses, are turning to 3rd-party service providers to manage end-of-life assets. The factors seen as most important in selecting a 3rd-party service provider include: adoption of industry-recognized compliance standards (97 percent); a well-documented and enforced chain of custody (95 percent); and high-quality, thorough client reporting (95 percent).
Reduce, Reuse, Recycle
ITAD is expensive and it can be risky. It is, therefore, important to find a 3rd-party service provider who can ensure as much safety and security as possible. Many ITAD companies have a split business model working with upstream partners to collect and process retired material, then turning to downstream partners who are looking to purchase used technology gear. Given this model, your server could be someone else’s server one day. Ensuring proper receipt and processing is critical.
Must-Ask Questions
These are must-ask questions businesses should ask 3rd-party providers before hiring them. Be certain these questions are answered thoroughly and confidently.
1. What is your specialization?
2. Is there uniformity in the process?
3. Who would manage our relationship?
4. How flexible are your operations?
5. What if something goes wrong?
Companies operating in today’s global supply chain need to take the necessary steps to mitigate risk when it comes to asset recovery management.
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This article was originally published on Electronics Purchasing Strategies.
by Elizabeth Hines | Oct 15, 2015 | Blog, Consumer Electronics, Logistics, Marketing, Social Media, Strategy, Supply Chain
Consumers are using social media to help them make purchase decisions. An infographic by Invesp provides key details including that:
- 4 in 10 social media users have purchased an item online or in-store after sharing it or marking it as a favorite on Twitter, Facebook or Pinterest.
- 50% of those purchases take place within a week; 80% take place within 3 weeks.
- 71% of consumers are more likely to make a purchase based on social media referrals.
- Twitter is the most influential for tech purchases, and the least influential for gardening and decor.
- The top 2 ways Twitter helps solidify purchase decisions are: purchase location identification and product discovery.
A Consumer Electronics Association (CEA) study found similar results. CEA found that 24 percent of consumers who use social media say that they always or almost always refer to social media websites before they make a consumer electronics purchase. For high engagement users (13.5 or more hours per week) this increases to 65 percent.
Here’s how companies can use this information to reduce returns.
Inform
Use social media to give consumers the basic facts about your company and your product.
Educate
Use social media to educate consumers about your product. Specifically, social media can be used to educate the consumer about how the product can be used, the benefits that can be realized by the use of the product, and the ROI of the product.
Engage
Use social media to engage with consumers.
If a consumer is considering the product, use social media to answer questions the consumer has, or to address concerns. Similarly, if the customer has already purchased your product, you can use social media to answer questions the consumer has, or to address concerns.
Through the use of social media you can enable consumers to make more informed purchase decisions. Additionally, you can use social media to answer questions and better educate consumers on how to use your product thereby reduce no fault found returns.
This was originally published on Electronics Purchasing Strategies.
