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Straker, Karla & Wrigley, Cara(2013)Emotionate: an emerging research agenda.In Lim, Y K & Sato, K (Eds.) Proceedings of the 5th International Congressof International Association of Societies of Design Research (IASDR).Shibaura Institute of Technology / Japanese Society for the Science ofDesign, Japan, pp. 5986-5990.

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Emotionate: An Emerging Research Agenda

Karla Straker and Cara Wrigley

Queensland University of Technology, School of Design k.straker@qut.edu.au and cara.wrigley@qut.edu.au

Abstract: The creation of value through emotion has been previously explored through product

design, marketing and consumer hedonics. While the notion of value creation is an important driver

in business model generation, understanding what the customer honestly values and why, also

needs to be considered. However, the role of emotion as a source of innovation, spanning business

model creation to customer experience is not yet well understood. This research investigates how

the inclusion of emotion will impact the design of a business model and business operations. A

brief overview of relevant literature, the research gap and question, along with the future direction

of this research is discussed in this paper.

Key words: Emotion, Innovation, Value Creation, Business model design

1. Introduction The value of design as an innovation driver has been seen in the uptake of Government programs such as

Ulysses (Australia), Better by Design (New Zealand) and Design Demand (United Kingdom). The EU also

launched a design innovation policy in 2010. The aim of these policies and programs are to provide firms with

design methods, theories and thinking to create innovative solutions in order to gain a competitive advantage in

the world market [7]. Traditionally design within a company is confined to the manufacturing and production area

or as a styling afterthought [4]. Companies have a basic understanding of design as a means of improving

functionality and ergonomics of products, however only very few consider design as a strategic resource [1].

Liedtka [13:4] states that “business strategy desperately needs design” due to the vast differences between the

two. The UK Design Council [7] explains that the idea of adopting design principals into business culture and

management is closely linked to success stories such as Apple and Dyson. Design thinking [2] and design led

innovation [4] build upon and collate theories such as creative culture, thinking styles and design methods to

provide new approaches to business management [7]. Both approaches are pushed by a deeper understanding of

customer meaning and value, rather than being pulled by user requirements [21].

Meaning is heavily intertwined with emotion and has been a driver for the past decade in product design as

the creation of value between customer and product [17]. However, the integration of emotion into business model

design or throughout company culture is yet to be well understood. In order to sustain a competitive advantage in

a global marketplace, it is the proposition of this research that various types of emotional innovation need to take

place in conglomerate, ranging from business models to company culture to customer engagements. Therefore this

research will investigate how the inclusion of emotion within all aspects of business strategy and operations will

enhance the creation of value and connection with the customer.

   

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2. Literature Emotional design is described as the emotional connection humans have with everyday products and how

designers design for that relationship [17,22]. Founding authorities such as Norman [17], Desmet [8] and Jordan

[12] have addressed the theme of product design and emotion. Norman [17] explains that emotional responses

result from processing at three different levels of the brain, visceral, behavioural and reflective levels, while

Jordan [12] suggests a hierarchy of product appreciation similar to Maslow’s [15] hierarchy of needs. Jordan’s

hierarchy is based on functionality, usability, and pleasure. Desmet’s [8] study on emotions is in relation to

product appearance, expanding upon this by describing that emotions are not elicited by the tangible product but

by a personal meaning derived from it. The meaning interwoven with products can influence purchase decisions

[1], product attachment [22] and product sustainability [5]. However, not all interactions include tangible products. Goffin, Varnes, Van der Hoven and Koners [10]

explain that companies that provide services, rather than tangible products face the challenge of acquiring insights

into customer needs. Nevertheless, the emotional experience is vastly important as, “nothing is more emotional for

consumers or dangerous for companies than an unsatisfied customer” [11:226]. The interaction with a customer

either through visiting a store, website, employee contacts, advertisement or loyalty programs can all impact a

customer’s emotions [19]. Robinette and Brand [20:4] believe that “in every encounter there's an opportunity to

meet a need and make an emotional connection” with a customer. DeWitt, Nguyen, and Marshall [9] also express

that emotions play an important role in the mediation of service recovery.

Marketing literature highlights the use of emotions through the creation of emotional connections in brand

communication and customer loyalty as a form of business strategy [9,18,19,20]. Robinette and Brand [20:4]

discuss emotion marketing, recognising its importance in creating or strengthening a relevant brand identity and

managing a customer's experience.

The use of emotion in product design and marketing relates back to the creation of value for the customer. The

purpose and key aspects of a business model is also the notion of value, either through the value proposition,

value stream or value chain [6]. Morris [16] explains to produce a competitive advantage through business models

it must align with their customers’ values and preferences. The integration of emotion into business model design

is seen as a way to innovate beyond products, services and processes [3]. However, in order for companies to

design competitive business models they must engage in trial and error (prototyping) processes [3]. Prototyping is

a fundamental characteristic of design, however in business model innovation it allows various scenarios and the

viability (and profitability) to be tested iteratively [3]. Martin [14] builds upon this saying designers learning from

doing, while business is largely inductive and deductive thinking, therefore believing business has much to learn

from design.

3. Research Gap Highlighted literature described above discuss emotion independently, however, are not examined as a

conglomerate or as a strategic driver for innovation. Figure 1 illustrates relevant literature reviewed to date, the

current literature gaps and the positioning of this research.

   

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Figure 1. Literature Review Summary and Research Gap

4. Research Question This research explores emotion as innovation. Questioning the role of emotion through all aspects of a

business, spanning from business models to customer engagements through an iterative design (prototyping)

process. The primary research question will explore:

‘How can the inclusion of emotion from the strategic to the operational functions of a business impact the

business model through an iterative design process?’

5. Research Significance and Contribution The aim of this research is to gain insights on how emotion can provide innovative processes for businesses.

As Bucolo and Wrigley [3] explain firms have difficulty providing the same clarity on the emotional aspects of

business activities as they do for function requirements. The objective is to understand the role of emotion beyond

product design and marketing strategies to deliver stronger customer value, required to create sustainable

competitive advantages.

Expected contributions to the field aim to provide companies with new approaches to innovate through a

deeper understanding and holistic integration of emotion. This research has the unique opportunity to change the

way companies understand and value their customers.

   

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6. Future Work This research will involve three phases i) content analysis, ii) case study research and iii) action research. The

content analysis involves the breakdown of existing companies’ business models. This process will engage in

already established tools and frameworks, such as business case modelling, customer experience mapping and

service blueprinting. Sixty businesses, in a variety of sizes and industries are to be analysed using these methods.

The findings from this analysis will inform the second phase. The second phase, case study research, informs the

creation of new tools and theories created from phase 1 findings. These tools will then be tested in eight

Australian small to medium enterprises, varying from product manufactures, retail suppliers to service providers.

In phase three, the researcher will be embedded within a multi-national and/or international firm(s) over a set

period of three to six months. This longitudinal action research component aims to gain a greater understanding of

overall company culture, challenges, opportunities and possible influences in the uptake of emotional innovation.

The insights found through this fieldwork will allow for further development of theories and practical outcomes.

The chosen methodologies of this research allow for a continuous cycle, in which findings influence the next

phase of data collection. It is the proposition on this research that the consideration and integration of emotion

outside product constraints has the possibility to create innovative and sustainable competitive advantages for

companies worldwide.

7. References [1] Acklin, C. (2010). Design Driven Innovation Process Model. Design Management Journal 5:2 50–60. [2] Brown, T. (2008). Design thinking. Harvard Business Review, 86:84–92. [3] Brunswicker, S., Wrigley, C., and Bucolo, S. (2012). What is the role of design-led innovation and design-led

prototyping in developing novel business models? In Proceedings of the 28th EGOS Colloquium, 1–17. [4] Bucolo, S., and Matthews, J. (2011). Design led innovation: Exploring the synthesis of needs, technologies

and business models. In Proceedings of Participatory Interaction Conference, 1–5. [5] Chapman, J. (2009). Emotionally Durable Design: Objects, Experiences & Empathy. Earthscan: London. [6] Chesbrough, H. (2010). Business Model Innovation: Opportunities and Barriers. Long Range Planning. [7] Design Council. (2011). Design for Innovation. London: Design Council UK. [8] Desmet, P. (2002). Designing Emotions. The Netherlands: TU Delft. [9] DeWitt, T., Nguyen, D. T., and Marshall, R. (2008). Exploring Customer Loyalty Following Service Recovery:

The Mediating Effects of Trust and Emotions. Journal of Service Research 10:269–281 [10] Goffin, K., Varnes, C. J., Van der Hoven, C., and Koners, U. (2012). Beyond the Voice of the Customer:

Ethnographic Market Research. Research-Technology Management 55:45–54 [11] Hill, D. (2010). Emotionomics: Leveraging Emotions for Business Success. London: Kogan Page. [12] Jordan, P. (2000). Designing Pleasurable Products. New York: Taylor and Francis. [13] Liedtka, J. (2010). Business Strategy and Design  : Can this Marriage Be Saved  ? DMI Review 21:6–11. [14] Martin, R. (2009). The Design of Business. Harvard Business Press. [15] Maslow, A. (1968). Towards a psychology of Being. John Wiley & Sons, New York [16] Morris, L. (2009). Business Model Innovation The Strategy of Business Breakthroughs. International Journal

of Innovation Science 1:191–204. [17] Norman, D. (2004). Emotional Design. Basic Books, New York. [18] O’Shaughnessy, J., and O’Shaughnessy, N. J. (2003). The Marketing Power of Emotion. New York: Oxford

University Press. [19] Roberts, K. (2005). Lovemarks. UK: PowerHouse Books: U.K. [20] Robinette, S., Brand, C., and Lenz, V. (2003). Emotion marketing. McGraw-Hill, New York. [21] Verganti, R. (2006). Innovating through design. Harvard Business Review 1–9. [22] Wrigley, C. (2013). Design Dialogue  : The Visceral Hedonic Rhetoric Framework. Design Issues 29:2 82-95.