Revisioning Custom Retailing: Part 5: Disruptive Innovation Will Transform Home Integration
Electronic Service Providers
Apple, with all its focus on closed architecture and high-control business practices, probably isn’t interested in custom home electronics. Too messy, too non-uniform. But electronic service providers like ADT, Verizon, AT&T, and Comcast are—provided the customer will accept cookie-cutter solutions. They’re now beating the drum for small sets of home integration features, which they package and sell using the same recurring revenue model that has been so successful in building the cellphone, cable TV, satellite and burglar alarm industries. They will be our new competitors, and in some locales, they probably already are.
Coming Soon: Great News
Well ... that’s all the bad news. Next time, we’ll deconstruct the traditional custom retailer business model, and look at new ways to tell our story to consumers, to engage and qualify them, to design and engineer projects, and to install them. The emphasis will be on virtualizing business practices to dramatically reduce costs. CR
George E. McKechnie, Ph.D., is president of Axiom Home Theater in Monterey, Ca., and founding editor of SyncMyHome.com.