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A while back, we facilitated a strategy workshop for a leadership team at a law firm. We felt confident going in and opened by setting the context with facts and data. We moved through our slides and discussed the urgency for change. Finally, we shifted focus to the team to get ideas and solutions to their problems. Unfortunately, the workshop fell flat. People were uninspired and disengaged. Senior leaders dominated the conversation, and their ideas lacked creativity. It was not our finest work. Thats why in our next session, we decided to change things up a bit. Katie opened by sharing a story about the magic shed experienced working in a team where everyone was truly aligned and clear on purpose. We then asked the leaders to share when they had experienced this team at its best and what had created that magic. As each person shared their story, the energy in the room began to shift. This time, people leaned in, listened intently, and built on each others ideas. The conversation became more engaged, constructive, and focused on practical solutions. By the end, the team had developed a set of tangible actions that everyone was committed to implementing. Storytelling is a powerful tool for problem-solving and collaboration. By tapping into peoples emotions and lived experiences, it opens up new realms of possibility and inspires commitment to action. And the “magic” we feel in these situations is based on neuroscience. Two neural networks for different thinking Our brains have two neural networks that govern two distinct types of thinking: the task-positive network (TPN) and the default mode network (DMN). The TPN is active during strategic, mathematical, logical, and rational thinking, while the DMN is engaged when we think about people, emotions, experiences, and creativity. These networks are antagonistic. They operate like a seesawwhen one is active, the other is quiet. They are also responsible for emotional states. When we engage the TPN, we tend to be in a more negative, backward-looking state, which can make us less open to creative thinking and new possibilities. But when we activate the DMN, we are in a more positive, forward-looking state, which enhances our ability to think creatively and embrace new ideas. So, what does all this have to do with creative problem-solving and collaboration? Lets go back to our first workshop (which well admit was a failure). We started with facts and data, and we assumed this was the best way to frame the context. But science shows that data and facts activate the rational, logical, negative TPN, and reduce activity in the creative, positive DMN. By beginning with logical and rational informationeven with the best of intentionswere shutting down the cognitive and emotional pathways to peoples most innovative solutions. So, how can we stay open to new concepts, collaborate, and solve complex problems creatively? How can we reliably and easily create these “magic” meetings? Stories Storytelling has a remarkable ability to activate the DMN by engaging our creative thinking and putting us in a positive, forward-looking emotional state. By using storytelling to tap into the DMN before presenting data or discussing a problem, we prime our brains to be more open, less defensive, and more receptive to new ideas and possibilities. That sets us up for that “magic” feeling. Recent research suggests that storytelling may even help us activate multiple networks simultaneously. Thats because it requires both goal-directed thinking (seeking to process the storys content) and self-referential thinking (relating the story to our personal experiences and emotions). Both of these things can help us overcome the seesaw relationship between these networks. Storytelling can also bring groups into a state of coherence and synchronicity. Studies have shown that when groups enter this state, their heart rate, heart rate variability, and brain waves synchronize. In this state of synchronicity, they are more effective at problem-solving and collaboration. So, not only does storytelling activate the neural networks that will help us problem-solve creatively as individuals, it also impacts our collective brains. How to harness the power of storytelling So, how can we ensure optimal performance from individuals and the team as a whole during those gritty problem-solving meetings? Following these simple steps to unlock the power of storytelling. Identify your story: This might be about a future state you want to achieve, a past experience that highlights key lessons, or a current situation that illustrates the challenges you face. If youre not sure where to start, begin with the prompt think of a time when . . . Write your story: Make it authentic, engaging, and relevant to the problem at hand. Use vivid language and sensory details to draw your audience in and help them connect with the story on a personal level. Let go of perfection: You dont need to be Brené Brown or Barack Obama to make an impact. Its your genuine connection to the story that matters most, not how polished a storyteller you are. Open with your story: Dont recite the story like youve been called on in class. Its far more compelling and connecting if you tell it from your heart. Encourage others to share: Invite group members to contribute their own stories or experiences that align with the outcomes youre seeking. This helps create a shared vision and foster a sense of unity and purpose. Explore the current situation: After storytelling, discuss the current problem and the evidence at hand. Encourage the group to view the problem through the lens of the stories you share, which focuses on possibilities rather than obstacles. Brainstorm solutions: Have the team generate ideas and possible solutions. Use the stories as a reference point to guide the brainstorming process, and keep the group focused on the desired outcomes. Develop an action plan: As a group, identify the most promising solutions and create a clear action plan for implementation. Regularly refer back to the stories to maintain motivation and alignment with the overall vision. Unleash the scientific magic of storytelling Storytelling is a powerful tool for creative problem-solving and collaboration. It allows us to switch our neural networks in an optimal way and reliably tap into that magical flow and synchronicity, even when were facing daunting, complex problems. In todays world, great team collaboration and problem-olving are no longer just nice-to-have skillstheyre essential. If you start embracing the power of storytelling with your team today, youll reap the benefits just that much sooner.
Category:
E-Commerce
Change management is a multibillion-dollar industry built on the fundamental claim that most people dislike change, and that someone needs to manage that resistance. But after decades of organizational theories and billions in consulting fees, the industry does not work as promised: change management projects have a failure rate of around 70%. Theres a reason no one asked McKinsey or any other leading consulting firm to run DOGE. As enterprises large and small grapple with the wholesale transformation that will be wrought by the rise of artificial intelligence, its time to face an uncomfortable truth: Change, especially today, doesn’t happen in neat phases. It’s cyclical, unpredictable, and requires constant adaptation. The Old Model Never WorkedBut It Especially Doesnt Now Traditional change management follows a predictable model. Under investor scrutinyor to avoid itthe CEO announces a transformation is coming. Consultants conduct surveys, present slides at workshops, and create communication plans to deal with signs of revolt. Success gets measured by stakeholder-focused metrics like adoption rates, and KPIs like number of training programs deployed. It’s an industry that prioritizes rationality at the expense of inspiration and serendipity. AI will be the force that kills this episodic approach. First, the tech is already moving too quickly for rigid approaches to be relevant. Second,AI requires significant amounts of training and customization to be effective in most organizations, rendering a one-size-fits-most approach obsolete. And finally, the human side of AI-driven change is more complicated than a standard reorganizationbecause AI anxiety strikes at the heart of what is human, and what sort of careers we and our children will have. A Tale of Two Companies In our recent work inside companies that are adopting new AI tools and workflows, weve seen the potential for a new way of working. Instead of a traditional change management approach, smart leaders today are understandingand embracingthat change in the era of AI is often organically driven by shifts brought about by AI eureka moments. Competitive advantage is built not by how quickly you move humans through a change program, but how seamlessly your organizations source codethe unique combination of people, process, and technologyrewrites itself in real time. A Tale of Two Companies Consider a recent tale of two companies. First, fintech company Klarnas recent initiative to automate its customer service operations using generative AI. The company publicly claimed that its AI tools were performing the work of 700 full-time agents, leading to a dramatic reduction in hiring and headcount. The rollout was managed through a centralized, top-down approach: executive-led messaging, internal dashboards to track AI performance, and a focus on cost savings and productivity metrics. But the transition sparked internal unease and external criticism, and Klarna quietly began rehiring human agents within the year. The AI may have delivered efficiency on paper, but the rigid implementation and lack of human-centered change management eroded trust, both inside and outside the company. Contrast that with one of our clientsa multinational pharmaceutical organization that took a radically different approach. Rather than relying on static KPIs and sequential rollouts, they used using AI to surface real-time insights from employee sentiment, social media behavior, and internal feedback loops. These insights continue to inform tailored interventions across roles and geographies. AI-powered chatbots enable employees to access personalized resources on demand, while leaders use behavioral analytics to trigger timely nudges and adapt strategies instantly. The result has been a more agile, inclusive transformationwhere change has been continuously shaped by how employees are actually working. How Organizations Can Stay Ahead In this new world, best practice changes from week to week. But the most important trends we see in recent, successful transformations are: First, build a nonlinear approach. When it comes to generative and agentic AI, you often dont know your best use cases until you experiment. Embrace the 3-D problem solving that comes with transformation by moving to organized but flexible processes that account for two-way feedback. Second, create pilots. Understand that new processes, technologies, and workflows will work differently for each organization and team. Select specific organizational areas for focused experimentation and training. Give them deadlines and establish feedback loops between pilot participants and the transformation team. Then, scale successful approaches across the organization using champions as advocates for the technology and its impact. Third, work to understand and activate teams with precision. Identify specific employee categories to play a role in championing change. Every organization has a group of early adoptersthe weekend warriors who explore AI on their own time. And every organization also has laggardsthose who will require structured protocols and personalized training plans to implement new systems. Focus your communicationsand your expectationsby identifying each group and understanding the different needs it requires. Finally, empower leaders. Measure success not by who attended the meeting or did the training, but by whos actually creating new pathways in process or technology. Encourage those leaders, from the CEO down, to show how they use AI tools, and arm with appropriate nudges for staff. According to the Boston Consulting Group, the small minority of companies already operating at this level are realizing 1.5× revenue growth, 1.6× shareholder returns, and 1.4× ROI. The goal is improving organizational metabolism so your organization stays healthy, instead of contracting a disease that needs treatment. The business model for change management consulting may shift to something far more organic: Enabling leaders to role model and guide, designing teams built for experimentation and imbuing organizational culture with a growth mindset. Adaptability counts most Corporate America rewards risk-taking and stories about explosive growth, rapid innovation, and bottom-line-enhancing layofs. But it’s adaptability that will count most in the AI era, and continuous improvement is what will deliver it. Organizations that continue to rely on traditional change management consultancies are not just wasting moneythey’re actively handicapping their ability to compete in an increasingly dynamic business environment.Consultants can either changethe irony!or go down with their ship.
Category:
E-Commerce
Labubu, the bug-eyed elves from Beijing, might just be the unlikeliest face of global brand disruption. But the viral figurines, sold in blind boxes across Asia, Europe, and the Americas, are helping rewrite the rules of consumer engagement and revealing what the future of global brands might look like. Their success isnt really about toys; its about building a new kind of consumer community. Pop Mart, the brand behind Labubu, has built a business on orchestrating demand, emotion, and engagement at scale. In the first half of 2024, the company posted RMB 6.65 billion in revenue (roughly $920 million), tripled its profits year-on-year, and reached a $40 billion market capitalization, more than double that of U.S. toy giants Hasbro and Mattel combined. It recently told investors to expect a 350% year-on-year profit surge for the first half of 2025. What makes Labubu exceptional is that it represents one of Chinas first truly organic cultural exports. Its a phenomenon driven by its community of fans, rather than top-down orchestration. A TikTok moment Born from the imagination of Hong Kong-based illustrator Kasing Lung, the ugly-cute dolls were catapulted into the spotlight after Blackpinks Lisa was spotted carrying a plush version. That moment triggered a viral TikTok surge and helped drive a 726.6% increase in Labubu-related revenue, now accounting for 25% of Pop Marts total. What were seeing isnt a one-off success, its a structural shift in how cultural IP is created, scaled, and consumed globally. Chinese consumer innovation is entering a new phase, moving from platforms and hardware to emotionally resonant, creator-led IP. These fandom-driven communities bypass traditional media gatekeepers entirely. Other Chinese firms are accelerating this shift. Xiaomi, Miniso, and Heytea are part of a new generation of brands not competing on price or scale, but by building fan communities, embedding emotion, and turning cultural resonance into business strategy. The orchestration of desire Labubus rise is no accident. Sold in blind boxessealed packaging that hides the variant insideits more than clever merchandising. Its behavioral design. The randomized reward system mirrors gaming mechanics, tapping into dopamine loops and repeat engagement. Over 1.7 million TikTok videos tagged #Labubu feature unboxings. Limited editions, like the Rainbow Labubu, have fetched over $150,000 at auction. Instead of relying on loyalty programs or sales funnels, the brand creates micro-moments of surprise that make shopping feel like play. Its 66.8% gross margin reflects not just operational efficiency, but emotional value. The retail strategyvending machines, roboshops, and immersive flagshipsis designed for experience, not efficiency. In New York, teens queue outside Pop Marts SoHo flagship not to shop, but to swap figurines, livestream unboxings, or hunt for rare Labubu variantsmimicking sneaker culture. From product to platform This emotional engagement mirrors moves by other Chinese innovators. Xiaomi, once a low-cost smartphone player, has evolved into a lifestyle platform spanning wearables, TVs, EVs, and smart home devices. Its loyal Mi Fan community is central to its success by participating in product development. This two-way relationship cuts marketing costs and builds loyalty. Online forums, feedback channels, and fan events make Xiaomi feel less like a company and more like a community. Miniso, too, has leaned into aesthetic curation and scarcity. Its co-branded collections with Sanrio, Marvel, and Coca-Cola go viral on social platforms, while its treasure-hunt store layout fuels impulse discovery. Despite affordable price points, it achieves performance that rivals luxury retailersproving emotional design can scale. At the center of this shift is aesthetic fluency. Pop Marts roboshops now span 25 countries, including the U.S., France, and Australia. Flagship stores in New York and Los Angeles draw Gen Z crowds reminiscent of Supreme drops. The design of Labubuquirky, ironic, expressivetaps directly into Gen Zs appetite for memeable, imperfect symbols of self-expression. This isnt imitation. China is exporting design-native communities that speak to youth culture through visual language. Monetizing emotion at scale Chinese brands are also redefining how emotion scales. While legacy Western players rely on storytelling and identity marketing, their Chinese counterparts are building infrastructure for emotional engagement. Heytea treats each product launchwhether a limited-edition cheese tea or a regional collaborationas an event, amplified through influencers, teaser campaigns, and fan buzz. Its minimalist, Instagrammable stores are designed for social interaction, turning queues into part of the experience. Co-branded drops with luxury names like Fendi and seasonal exclusives fuel emotional attachment. This isnt just clever marketingits a system that turns a beverage into a lifestyle, and a brand into a community. That same emotional infrastructure powers Labubus rise into fandom. Rare figurines flip for 5 to 30 times their retail value on Xianyu, Alibabas resale platform, some with blockchain verification. Police raids on counterfeit Lafufu dolls signal Labubus ascent to luxury-like status, making it a new asset class: IP with emotional and economic value, validated in real time. What Western brands can learn Some Western executives may dismiss blind boxes and roboshops as quirky or culturally niche. But under the surface lies a global truth: Consumers crave emotion, novelty, and community. Labubus rise shows how brands can scale through visual culture that travels without translation. No slogan, no storyline, just design. It spreads like a physical meme, interpreted across cultures from Seoul to Paris. The core question is no longer Whats the story? Its Whats the emotion were scaling? Chinese brands are showing that strategy today is built from small, orchestrated moments that add up to immersive communities. Theyre blurring the lines between product and platform, commerce and culture. The old playbookposition, promote, pushwas built for mass marketing and one-way messaging. Todays leading brands thrive on feedback loops, cocreation, and community-driven agility. The next wave of global brands? Its tempting to view Pop Mart as a regional curiosity. That would be a mistake. Labubu may look like a viral toy, but its also a case study in how design, emotion, and communities converge into strategic advantage. What ties these brands together is not just design or digital presenceits the way they build and sustain fan communities. Labubu isnt a preview, its proof. And for global brands still running on legacy logic, its time to catch up.
Category:
E-Commerce
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