AMA Customer Experience Workshop: Optimizing the Customer Experience

  • Published on
    12-Apr-2017

  • View
    486

  • Download
    3

Embed Size (px)

Transcript

  • Propr ietary & Confiden0al

    brandgrowthstrategy

    OptimizingtheCustomerExperienceTutorialworkshoppreparedforandfacilitatedonbehalfof:

    AmericanMarketingAssociation2014AnnualConference,InspiredMarketing

    MichaelMillion

    mmillion@fullsurge.com

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    2

    Youvegottostartwiththecustomerexperienceandworkbacktowardthetechnologynottheotherwayaround

    SteveJobs

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    3

    Weseeourcustomersasinvitedgueststoaparty,andwearethehostsItsourjobeverydaytomakeeveryimportantaspectofthecustomerexperiencealittlebitbetter

    JeffBezos

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    4

    Starbucksspentlessthan$10MMonadvertisingfrom1987to1998yetaddedover2,000newstorestoaccommodategrowingsalesStarbucks'popularityisbasedontheexperiencethatdroveitscustomerstohighlyrecommendtheirstoretofriendsandfamily

    HowardShcultz

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    5

    AtrioofanthropologistsrecentlypublishedanarticlebasedonobservationsatthreeindependentlyownedcoffeeshopsandthreeStarbuckslocationsaroundBoston.TheirintentionwastodeterminehoweffectivelyStarbucksareabletoprovidethesamecommunity-basedsocialenvironmentassociatedwithtraditionalcoffeeshops.

    HowStarbucksdrivesloyalty-astudyincustomerexperience

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    6

    ThebiggestsurprisewasthatStarbucksactuallyprovidedamorewelcomingenvironmentthananyofthethreelocalcoffeehouses.TheycreditedoneStarbuckswithhavingthemostvibrantsenseofcommunity,andobservedthatthebaristasthereknewmanypatronsbynameandcouldanticipatetheirorders.TheanthropologistsalsonotedthattheStarbucksbaristaswerefriendliertonewcustomersthanthebespokehipstersbehindthecounteratthelocalplaces.

    Sameeverywhere,butwestillmakeyoufeelspecial

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    7

    WarmupExercise 15

    FoundationalTerms&FocusforToday 15

    Inspirations&Examples 15

    MethodologyAppliedtoaCase 30

    Break-outs&Report-backs 45

    Conclusions

    Agenda

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    8

    Whataresomeofexamplesofgreatcustomerexperiences?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    9

    Whatmakesthemsogreat?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    10

    Wheredoescustomerexperiencesitinyourcompany?

    Howmuchofapriorityisit?

    Howisitviewedintheorganization?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    11

    Wheredoescustomerexperiencesitinyourcompany?

    Whosresponsibilityisit?

    Howisitmanaged?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    12

    WarmupExercise 15

    FoundationalTerms&FocusforToday 15

    Inspirations&Examples 15

    MethodologyAppliedtoaCase 30

    Break-outs&Report-backs 45

    Conclusions

    Agenda

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    13

    Whatiscustomerexperience?

    CumulativeImpactDefinition

    Multipletouchpointsovertime,whichresultinarealrelationshipfeeling,orlackofit.

    -Wikipedia

    Asetofexpressions,impressions,andinteractionsbetweenacustomerandcompanythatresultincertainperceptionsofthatcompanythat,inturn,drivesometypeofactioninthenearorlonglong-term

    -M.Million

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    14

    Whatiscustomerexperience?

    DistinctEconomicOfferDefinition

    Apersonalandmemorableexperiencethatcreatesadistincteconomicofferdifferentfromthegoodssoldandservicesdelivered

    Acompany'sabilitytodeliveranexperiencethatsetsitapartintheeyesofitscustomersservestoincreasetheamountofconsumerspendingwiththecompanyand,optimally,inspireloyaltytoitsbrand

    -PineandGilmore,ExperienceEconomy

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    15

    Whatiscustomerexperience?

    PsychologicalUnderpinningDefinition

    Aninteractionbetweenanorganizationandacustomerasperceivedthroughthecustomersconsciousandsubconscious

    Ablendofanorganizationsrationalperformance,thesensesstimulatedandtheemotionsevokedandintuitivelymeasuredagainstcustomerexpectationsacrossallmomentsofcontact

    Notjustabouttherationalwhatbutalsoabouttheemotionalhow

    Morethan50%issubconscious,orhowacustomerfeels

    Factorssuchastheemotional,cultural,social,andphysicalaspectsareoftenover-looked

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    16

    Differentapproachestowardcustomerexperience

    Likesegmentation,therightapproachdependsonknowingspecificallywhatthebusinesschallengesareandobjectivesyouseek

    Financialhowdowesqueezecostsoutofthesystem,getcustomerstopaymore(e.g.airlineschargingforpillows),orexpeditetransactions(pathtopurchase)?

    Operationalhowdowestreamlineoperationstomakeitmoreefficientfromendtoend(e.g.processreengineering)?

    Technicalhowdoweenablethesystemtobemoreproductive,manageable,andinterconnected(digitalenablement)?

    InternallyOriented ExternallyOriented Functionalpathhowdowemake

    customersjourneyseasy,informative,andhelpfulthroughout?

    Emotionalpathhowdoweaddresscustomerschangingpsychologicaloremotionalneedsastheirdecision-makingevolves(e.g.decisionanxiety,confusion,frustration,boredom)?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    17

    AnargumentforaBrandExperienceApproachTheworldisgrowingincreasinglycomplexandfast-paced

    Weareinundatedbymoreandmoremarketingmessages(andyet,wedonttrustthemanymorethanweusedto)

    Technologyimprovementsareenablingmoreandmorecompaniestogetthebasicsright(e.g.convenience,reducedwaittimes)

    Copyingisbecomingincreasinglyeasysamenessofmoreandmoreproductsandservices/makingdifferentiationevermoredifficult

    Brandexperienceswilldrivetomorrowssuccessandallowcompaniestostandout(products,services,andevengoodexperiencesarentenoughanymore)

    Welookforandvaluewhatispersonallymeaningfultous-experienceswehavewithcompaniesseemtomattermore

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    18

    So,whatisaBrandExperience?Interactionssoimpactfulanduniquelyidentifiabletoaparticularcompany,thattheydefinethebrandincustomersminds,distinguishthecompanyfarandawayfromitscompetitors,andhaveahighinfluenceonfuturebehaviors

    Nordstrom'ssalesrepresentativesgoingaboveandbeyond

    Tumislifelongrepairpolicy

    ApplesGeniusBar

    Uberspaymentsystem

    Others????

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    19

    BenefitsofaBrandExperience

    AccordingtostudiesbyMcKinsey,brandexperiencesarethemostpowerfulformofwordofmouthdrivingactivity-accountingfor50to80percentinanygivenproductcategory.Brandexperienceisinherentlysocial,it'sbuiltonideasthatpeoplewanttospendtimewithandthatpeoplewanttoshare.

    50%to80%ofwordofmouth-drivenbybrandexperience

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    20

    BenefitsofaBrandExperience

    70%ofconsumerstrustbrandrecommendationsfromfriends,butonly10%trustadvertising.UKEnergysupplier,E.ONdevelopedEONOpenHouse,astoreinNottingham,UKthateducateslocalcustomersaboutsmartmeters,whicharebeingfittedforfreeacrossNottingham.Theprojectprovesthepowerofbrandexperiencebydeliveringpositiveadvocacywhentraditionalmethodshadpreviouslyfailedthebrand;NetPromoterScoresof+88%vs.E.ONCustomerscontrolof-17.7%.

    -TheGuardian

    70%trustbrand

    recommendationsfromfriends

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    21

    BenefitsofaBrandExperience

    TheKellerFayGroupresearchshowsthatgoodbrandexperiencesarethreetimesmorelikelytosparkconversationsthananad.Furthermore,over50%ofconversationstriggeredbyanin-personexperienceaccountforpassalongandpurchase.

    >50%Accountforpassalong

    andpurchase

    3XMorelikelytosparkconversationsthan

    advertising

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    22

    IdontwanttobesoldtowhenIwalkintoastore.Thejobistobeabrilliantbrandambassador.Dontsell!No!Becausethatsaturn-off.Buildanamazingbrandexperience,andthenitwilljustnaturallyhappen.

    AngelaAhrendt

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    23

    Agreatbrandexperienceisaboutknowingandinterpreting

    Knowthyself(inside-out)

    Whoyouare

    Whereyouregoing

    Whatyourbrandstandsfor

    Knowthycustomer(outside-in)

    Whotheyare

    Whatsmostimportanttothem

    Whattheirjourneyislike

    InterpretInterpret BrandExperience

    WHATcanwedoforcustomersthatmakestheirjourneybetter

    HOWcanwedoitinawaythatisuniquelyus

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    24

    Greatbrandexperienceshavesixthingsincommon

    1. Brandfirst,transactsecond

    2. Distinguishescustomertypes

    3. Focusesonwhatmattersmost

    4. Makespeoplefeelspecialinsomeway,atsomepoint

    5. Designsforcontinuityandintent(acrosschannels,platforms,andpathtopurchase)

    6. Measures,manages,andcontinuouslyimproves

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    25

    WarmupExercise 15

    FoundationalTerms&FocusforToday 15

    Inspirations&Examples 15

    MethodologyAppliedtoaCase 30

    Break-outs&Report-backs 45

    Conclusions

    Agenda

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    26

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    27

    VIDEO

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    28

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    29

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    30

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    31

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    32

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    33

    hEps://www.youtube.com/watch?v=Y1nzWY3JFJQ

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    34

    ?HowwouldyoucharacterizetheVirginAmericaexperience?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    35

    Grabapillow,takeanap

    TheSwedishmanufacturerofhand-madeluxurybeds,strivestomakeconsumersexperiencetransformative,fromthefirsttimetheylayonthebeduntilthebedarrivesintheirbedroom.

    Guestsareencouragedtotakeofftheirshoes,picktheirownpersonalpillow,andeventakeaprivatenaponthebedoftheirchoice.

    ThissimulationcoupledwiththehighestlevelofhospitalitydistinguishesHstensandburnishesthebrandlikenootherformofmarketingcan.

    WinnerofSwedensprestigiousSignumawardforqualityoflong-termbrandingin2013

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    36

    Imheretotakecareofyou

    Eachcustomerservicerepresentativeisavailablearoundtheclockandempoweredtoactoncustomerissues.

    Theyareassignedtocustomers,staywiththemthroughouttheirproblemresolutionprocess,andgettoknowthemasindividuals.

    Theyoftenprovideapersonaltouch,likeoccasionallysendingflowerstoacustomerortheirpartnertomarkabirthday.

    Thesegesturesturnafacelessandcoldexperienceintosomethingmorespecial,andgivethebrandarealheartandsoul.

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    37

    Non-stopcoffee

    ThroughremotediagnosticseachNespressomachineistechnologicallyenabledtofeedup-to-the-minuteinformationofitsstatusincludingrateofconsumption,watertemperature,pressure,extraction,etc.,solocalNespressoserviceofficesgetwarningtoproactivelyaddressissuesvs.waitingforaservicecall.

    ThispreventativemaintenancehassignificantlyincreasedtheuptimeofitsmachinesandallowsNespressotomorecontinuouslybrewgreatcoffeefordiscriminatingguests.

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    38

    WarmupExercise 15

    FoundationalTerms&FocusforToday 15

    Inspirations&Examples 15

    MethodologyAppliedtoaCase 30

    Break-outs&Report-backs 45

    Conclusions

    Agenda

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    39

    Roadmaptobuildabrandexperience

    DIAGNOSE(customer,journey,brand) Knowthycustomer,theirjourney,andtheircontexts Knowthycustomerpainpoints/improvementopportunitiesthroughoutthejourney Knowthybrand,whatmakesitspecial,andwhattypeofexperiencesitshouldprovide

    CREATE&BUILD(messyinnovation,front-enddesign,engineering) Interpretwhatyouknowaboutthetargetcustomerandyourbrand Envisiontheimpressionandinteraction/look,feel,etc. Buildouthowthingsfittogethertoturnthevisionintoareality

    STRATEGIZE(business,brand,prioritization,plan) Clarifybusinessobjectivesandgrowthstrategy Determinebrandintent/roleofbrandindrivingbusinessobjectives Pinpointinteractionsthatmattermost(what,when,andwhereyoushouldspendeffortson) DetermineyourCEprinciples

    EXECUTE&OPERATIONALIZE(systematize/routinize,manage,monitor)

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    40

    Decimatedbythefinancialcrisis,amiraclewasneeded

    In2005,theUSpowerboatingindustrywas307Kunits.by2011itwas139Kunitsadeclineof55%

    24-36SportCruisers(SeaRayscore)wasdownevenmorethehardesthit

    The50-70yachtclass($3Mboats-customhomesthatfloat)representedthebestopportunityforSeaRaytobegingrowingagain,asitwasexpectedtorecoverthefastest,but.

    SeaRayhadverylittlepresenceorproductinthecategory,and..

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    41

    Opportunityinthesmallyachtclass,butsomuchwasunknown

    .theorganizationknewverylittleaboutthemarketfromaconsumerperspective:

    Whoweretheconsumersfortheseproducts?

    HowdidtheyperceiveSeaRay?

    Whatkindofexperiencedidtheyexpectandwerentreceivingfromstrongcompetitors?

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    42

    Approach

    DIAGNOSE(consumer,journey,brand)

    STRATEGIZE(business,brand,prioritization,plan)

    CREATE&BUILD(messyinnovation,front-enddesign,engineering)

    EXECUTE&OPERATIONALIZE(systematize/routinize,manage,monitor)

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    43

    In-depthresearchwithtargetconsumersaroundtheworld

    Industryreports

    Boatinglifesocialmedia

    Competitorwebsites

    Executiveinterviews

    Productdevelopmentplans

    EthnographicinterviewsattheworldslargestMarinas

    Dealer/brokerinterviews

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    44

    Knowthycustomer

    Observations Traits WhattheyValue Expectations

    Buyersaresurprisinglygrounded

    WealthypeopleWhoalsoWorkhard

    Initforthelonghaul

    Sharp,quickstudieswhounderstandcustomerservice.Thosewhokeepthemfromwastingtheirtimewillearncredit.

    Responsive

    Buyersarerestlessanddriven

    Self-madeWhoalsoRespecttheirroots

    Whathasbeenearned

    Theyrenotfamousandtheyrenotblue-bloods.Theyresearchingforsuperiorthingshavetruemerit.

    Real

    Cruisersareemotionalamplifiers

    StretchedthinWhoalsoCraverelationships

    Theirtime,aboveallelse

    Boatinggivesthemameaningfulwaytoconnectwithwhotheyare,withthosetheylove,andwiththenaturalworld.

    Connected

    Everybuyerisuniqueinpersonalityandexpectations

    CharactersWhoalsoAppreciatedetails

    Cultivatingrapportthroughgraciousness

    Treatingthemwithsamethoughtfulnessandattentiontodetailthattheystrivetoupholdmatterstothemagreatdeal.

    Personal

    GenuinelyrootingforSeaRay

    NostalgicWhoalsohaveDiscriminatingtastes

    Familiarthingsreinvented

    Evolutionary

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    45

    Knowthycustomerjourney

    ServiceArea Pain

    Prep&Strike Peoplejustwanttogetoutonthewaterpreptaskstakeupvaluabletimeforownersandtheirguests

    Eventhesmallestissuediscoveredduringprepcansparkfrustrationwhenpeoplearewaitingtoleavethedock

    Maintenance Ownershavelittlefaithinthequalityofmaintenanceandsuspectcornersarecut

    Repair Therepairprocessfeelsopaqueandlacksresponsiveness Ownersdontknowwhotheyaresupposedtocallwhencertainboatpartsfail

    Enhancement Pricingforapost-productionchangeisoftenanegotiationthatfeelslikebeingnickelanddimed

    Thereisverylittlesupportfromthemanufacturer,mostoftheloadisontheowner

    Hospitality Takingaboatoutisntaspontaneousadventureitrequiressignificantplanningtoaccountforthingsoutofaboaterscontrol(e.g.,weather)

    Peoplewanttoenjoythemselvesontheboatwithfood,drinks,andvariousotherprovisions,butitrequiresalotoftime

    Crewing Theresponsibilityofoperatingaboatisntsomethingpeoplewanttotakeonallthetimetherearemanywaystoenjoyaboat,andsomeownersfeellockedintoone

  • PROPRIETARYANDCONFIDENTIAL

    SUBSECTIONTITLE

    46

    Knowthybrand

    PARENTAGEWhoisbehindthebusiness

    PURCHASERWhobuysit

    PURPOSEWhatitsdesignedfor

    PROCESSCustomvs.Production

    PLACEWhereitsbuilt

    drawsheavilyfromparentLMVHtogivethebrandaluxehotelfeel

    long-standingassociationwith007solidifiespositioninthemarket-Britishqualitywithpolarizingattitude

    theromanticsideofoldItaly

    themodern,flashy,sexysideofIta...

Recommended

View more >