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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
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Page 1: 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

Page 2: The Product Is not Enough: Deliver Memorable Experiences With Service Design

the original

the copy

Page 3: The Product Is not Enough: Deliver Memorable Experiences With Service Design
Page 4: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 5: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Service Design ≠

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Page 6: The Product Is not Enough: Deliver Memorable Experiences With Service Design

1. We Are Willing to Pay Premium for Great Experiences

Page 7: The Product Is not Enough: Deliver Memorable Experiences With Service Design

8

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

Page 8: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Joseph Pine, James Gilmore: The Experience Economy

COMMODITIES

GOODS

SERVICES

EXPERIENCEShigh

differentiation

low differentiation

price premiumprice war

Page 9: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Izobraževanje Intra Lighting, 18. december 2013

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

10Source: cars.mclaren.com

Page 10: The Product Is not Enough: Deliver Memorable Experiences With Service Design

2. Plan A: Always Have a Plan B

Page 11: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 12: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 13: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Izobraževanje Intra Lighting, 18. december 2013 16

It Has Never Been So Easy to Lose Reputation

Page 14: The Product Is not Enough: Deliver Memorable Experiences With Service Design

…Or To Win It.

Page 15: The Product Is not Enough: Deliver Memorable Experiences With Service Design

…Or To Win It.

Page 16: The Product Is not Enough: Deliver Memorable Experiences With Service Design

3. Every Product Has a Service Component

Page 17: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Izobraževanje Intra Lighting, 18. december 2013

Volvo / Ecosystem for New Services

20Vir: cars.mclaren.com

Page 18: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Rolls-Royce / Power-by-the-hour

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Page 19: The Product Is not Enough: Deliver Memorable Experiences With Service Design

4. Always Start With the User

Page 20: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 21: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Source: Stickdorn, Schneider, This Is Service Design Thinking

…Obviously, demographics don’t work:

Page 22: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Izobraževanje Intra Lighting, 18. december 2013

ProRail / Solving Users’ Real Problems

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Page 23: The Product Is not Enough: Deliver Memorable Experiences With Service Design

5. Discover User Insights With Design Research

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

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

Page 26: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Design research

Market research ≠

Page 27: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 28: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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

Page 29: The Product Is not Enough: Deliver Memorable Experiences With Service Design

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:

Page 31: The Product Is not Enough: Deliver Memorable Experiences With Service Design

PRE- PURCHASE

EXPERIENCE

Vir: Design Management Institute Review

POST- PURCHASE

EXPERIENCE

PURCHASE EXPERIENCE

BRAND TOUCHPOINTS

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

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US Army / Design Thinking Is Part of the Official Doctrine

Page 34: The Product Is not Enough: Deliver Memorable Experiences With Service Design

Thanks.

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