Manila, 24 May 2017 — What paradigm will drive marketing when the Millennials take over? Asia is leading the change as marketing changes color.
In 2020, Millennials (GenY) will make up half of the global workforce, bringing profound changes to the way businesses are managed.
In their bestselling book Marketing 3.0 – From Products to Customers to the Human Spirit, authors Philip Kotler, Hermawan Kartajaya and Iwan Setiawan have outlined how these changes are affecting the marketing profession.
Not long ago, in what the authors describe as the Marketing 1.0 paradigm, the objective was to sell as many products as possible and maximize profits, with a value proposition about product functionality, and through a one-to-many interaction with consumers.
Then, as the industrial economy made way for the information economy, the focus of marketing shifted to satisfying and retaining customers, and paying more attention to their emotions and preferences became a key for success. The authors describe this phase as Marketing 2.0, marked by a one-to-one relationship between producers and consumers.
More recently, and strongly influenced by the worldview held by many Millennials, the focus of marketing has shifted again, this time to embrace the emerging values of sustainability to make the world a better place. In the paradigm of Marketing 3.0, the interaction with consumers has become more communal in a many-to-many collaboration.
We can see how these successive marketing paradigms are consistent with the evolving orange, green and yellow worldviews that are featured in the Work In All Colors method to help leaders improve their effective communication.
Marketing 3.0, reflecting the emerging yellow worldview, is remarkable for its message as well as its messengers, featuring Hermawan Kartajaya and Iwan Setiawan, two influential innovators from Southeast Asia, working in partnership with marketing guru Philip Kotler from the US.
Equally remarkable is the establishment of a Museum for Marketing 3.0 in Ubud, the cultural capital of Bali, Island of the Gods. The MM3 museum is located on the premises of the Puri Lukisan (Palace of Painting) museum and is supported by the Royal Family of Ubud.
During the 4th Ubud Royal Weekend, Hermawan Kartajaya facilitated a rich conversation between the weekend's international participants and three of Ubud's princes, led by Tjokorta Gde Putra Sukawati, about Bali being recognized as the number 1 tourist destination in the world by TripAdvisor.
According to Kartajaya and Ubud's royal princes, the most compelling value proposition for visitors to keep coming to Bali is its people's combined focus on spirituality, community and environment, powered by the Balinese philosophy of Tri Hita Karana (three sources of wellbeing).
As Tjok Putra explained, the secret for continuing Bali's successful marketing will be to nurture the values of building a sustainable future with the continuous effort of the local community, in collaboration with the island's visitors from all corners of the world, as a celebration of culture and diversity.
The prince's value-driven approach to marketing seems tailored to resonate with the yellow worldview that is increasingly popular among Millennials.
With Kartajaya's support, Ubud's princes are showing a good example how value-driven Marketing 3.0 will inspire a new generation of leaders to make the planet a better place.
Many of the participants who turned up for the Royal Ubud Weekend were Millennials.