The Product Is not Enough: Deliver Memorable Experiences With Service Design

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The Product Is Not Enough: Deliver Memorable Experiences With Service Design Primož Mahne 3 IN 4 VSA PODROČJA IZOBRAŽEVANJE ZA PROJEKTNEGA IN PROCESNEGA MANAGERJA Operativni, taktični in strateški nivo

Transcript of The Product Is not Enough: Deliver Memorable Experiences With Service Design

The Product Is Not Enough: Deliver Memorable Experiences With Service Design Primož Mahne

3 IN 4VSA PODROČJAIZOBRAŽEVANJE ZA PROJEKTNEGA IN PROCESNEGA MANAGERJAOperativni, taktični in strateški nivo

the original

the copy

Source: dilbert.com/strips/comic/2007-09-13/

Service Design ≠

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1. We Are Willing to Pay Premium for Great Experiences

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This advert allegedly appeared in New York Times recruiting men for the first ever expedition to Alaska (1910).

Joseph Pine, James Gilmore: The Experience Economy

COMMODITIES

GOODS

SERVICES

EXPERIENCEShigh

differentiation

low differentiation

price premiumprice war

Izobraževanje Intra Lighting, 18. december 2013

McLaren P1 GTR / Buy a Car, Get a Racing Driver Experience

10Source: cars.mclaren.com

2. Plan A: Always Have a Plan B

Time

Service Recovery Paradox

Cu

stom

er S

atis

fact

ion

“Fuck-up” Service recovery

Customers with service failure and successful recovery

Customers without service failure

Izobraževanje Intra Lighting, 18. december 2013

Ritz Carlton / Every Employee: 2.000$ Budget “To Make It Right” in Case of Service Failure

14Vir: cars.mclaren.com

Izobraževanje Intra Lighting, 18. december 2013 16

It Has Never Been So Easy to Lose Reputation

…Or To Win It.

…Or To Win It.

3. Every Product Has a Service Component

Izobraževanje Intra Lighting, 18. december 2013

Volvo / Ecosystem for New Services

20Vir: cars.mclaren.com

Rolls-Royce / Power-by-the-hour

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4. Always Start With the User

Imagine two persons:

• born in 1948 in Great Britain, • married, successful and wealthy, • have at least two kids, • both love dogs, • their favourite vacation destination is in the Alps.

Source: Stickdorn, Schneider, This Is Service Design Thinking

Source: Stickdorn, Schneider, This Is Service Design Thinking

…Obviously, demographics don’t work:

Izobraževanje Intra Lighting, 18. december 2013

ProRail / Solving Users’ Real Problems

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5. Discover User Insights With Design Research

“If I had asked people what they wanted, they would have said faster horses.” Henry Ford, Founder of Ford Company

A lot of times, people don't know what they want until you show it to them." Steve Jobs, Apple

Design research

Market research ≠

DESIGN RESEARCH ≠ MARKET RESEARCH

Market research Design research

what/who? why/how?

what people will buy why they will buy it

stat. large sample small sample

wide insight focused insight

business decisions innovation, R&D, iterations

quantitative: numbers qualitative: behaviour

looking back looking forward

at the end of the project beginning of the project begins

Users evaluate

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We assume, we know users’ needs

ProductionMarket launch

Corrections, corrections!

Prototype solutions

Iterate, test, improve

Market launch

Chances for success improved

Design process based on assumptions

Design process based on user insight

We ask users for insights

6. Design the Entire Experience

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0% 20% 40% 60% 80% 100%

Companies: “We offer a great experience”

Users: “Yes, I agree”

Source: Bain Customer Led Growth diagnostic questionnaire

There is Definitely Room for Improvement:

PRE- PURCHASE

EXPERIENCE

Vir: Design Management Institute Review

POST- PURCHASE

EXPERIENCE

PURCHASE EXPERIENCE

BRAND TOUCHPOINTS

7. When Multinational Companies, Consulting Firms and the US Army Start Using it, You Know It Really Works.

US Army / Design Thinking Is Part of the Official Doctrine

Thanks.

Feel free to post feedback or constructive critique in the comments below.

twitter: @primozmahne linkedin: si.linkedin.com/in/primozmahne