Why user experience is more important than marketing Trent Mankelow Optimal Usability
Why user experience is more important than marketing
Jan 27, 2015
Every time we run a breakfast briefing we get the same feedback – “I wish my boss was here!”
When Fly Buys asked us to speak at their national conference earlier this month, we saw the perfect opportunity to present a clear argument for why organisations need to treat the user experience as their number one priority. In other words, we think we’ve finally put together the presentation you’ve been asking for!
So grab your boss, come along and hear:
How widespread broadband, smart phones and social media is fracturing our attention and driving us to abandon traditional touchpoints (like stores and call centres) for emerging touchpoints (like Facebook and apps)
Why many consumers use more than one touchpoint to make a purchase, even though they are less satisfied as a result
How people are becoming less tolerant of poor service and why many organisations struggle to see it
How loyalty (not customer satisfaction or NPS) is the best predictor for revenue growth, and how you can increase it
The key to creating great user experiences – it’s Design with a capital D
Stories of New Zealand innovation – including more examples of real projects than you would have heard at any other Optimal Usability presentation
Even if you can’t get the boss to come and are already convinced about the importance of the user experience, it’ll be worthwhile attending to hear the latest user experience statistics from New Zealand, Europe and the US.
When Fly Buys asked us to speak at their national conference earlier this month, we saw the perfect opportunity to present a clear argument for why organisations need to treat the user experience as their number one priority. In other words, we think we’ve finally put together the presentation you’ve been asking for!
So grab your boss, come along and hear:
How widespread broadband, smart phones and social media is fracturing our attention and driving us to abandon traditional touchpoints (like stores and call centres) for emerging touchpoints (like Facebook and apps)
Why many consumers use more than one touchpoint to make a purchase, even though they are less satisfied as a result
How people are becoming less tolerant of poor service and why many organisations struggle to see it
How loyalty (not customer satisfaction or NPS) is the best predictor for revenue growth, and how you can increase it
The key to creating great user experiences – it’s Design with a capital D
Stories of New Zealand innovation – including more examples of real projects than you would have heard at any other Optimal Usability presentation
Even if you can’t get the boss to come and are already convinced about the importance of the user experience, it’ll be worthwhile attending to hear the latest user experience statistics from New Zealand, Europe and the US.
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Transcript
Why user experience is more important than marketingTrent MankelowOptimal Usability
AIR NZ:“come to queenslandwhy don’t cha!?”
Nice site
This port douglas deal looks good
Looks promising. Ok, where next?
Apparently I have to use the “fare finder”. That’s a bit weird
Ok, I’ll plug in some random
dates
What the…?!
Is this the same site? Where’s the hotel I was
looking AT?
Oh here it is – way down the bottom
hang on – why is it so expensive? wasn’t the deal for $435 per
person?
Oh that’s right, it did say something about “7
nights”. How do I change the dates?
Oh well, start again. This time with 7 days
instead of 10…
It’s still not $435 per person! I can’t be
bothered…
Over $2B was spent on advertising in New Zealand in
2010
Source: http://www.asa.co.nz/industry_turnover/media_turnover_with_explanatory_notes_2010%20final%20.pdf
The bad news
Our attention is fracturing
Consumers decrease time with traditional touchpoints…
TV
•US online adults spend equal amounts of time – 13 hours a week –watching TV and being online 3
Other media
•The percent of US online adults reading print newspaper has fallen from 81% in 2007 to 73% in 2010 3
Stores / branches
•More than 1 in 4 UK adults claim that online product reviews have a major influence on their purchasing decisions 1
•Only 16% of Americans prefer to deal with a customer-service problem in person 2
1 TGI, June 2011 2 What’s wrong with customer service?’, Consumer Reports, July 2011 3 Forrester Research, 2010
… and increase engagement with newer emerging ones:
Mobile
•New Zealand’s mobile penetration is estimated to be 120% 6
•Within five years the number of users accessing the Web from mobile devices will surpass the number who access it from PCs 7
•Global shipments of smartphones and tablets surpassed shipments of desktop PCs and notebooks in Q4, 2010 8
6 http://www.nbr.co.nz/opinion/what-2degrees-should-announce-tomorrow 7 http://www.wired.com/magazine/2010/08/ff_webrip/all/1 8 http://www.slideshare.net/kleinerperkins/kpcb-top-10-mobile-trends-feb-2011
The Web
•Online retail expenditure now accounts for 5.1% of all retail sales in New Zealand 4
•My Dad is the only one left in New Zealand who is not online
Social networks
•96% of Kiwi Internet users visited a Social Media site in May 2011 5
•34% of Kiwi shoppers follow an online shopping site on Facebook 4
4 Digital Media Research 2011, PwC and Frost & Sullivan 5 comScore State of The Internet with a Focus on New Zealand, July 2011
We live in a multichannel world
Example: My TV Buying Experience
I started my research on the consumer website…
Found the cheapest price using pricespy…
Bought the tvonline through noel leeeming…
Your TV is ready to pick up!
Went into the store to pick it up…
A new TV!!
Customer-facing staff
Websites
Communications
Physical environments
Payment systems
Packaging
Multiple organisations, channels and interactions, across time
Pop quizWhat percentage of people cross at least two channels when making a purchase?
a) 15%
b) 30%
c) 50%
d) 70%
Source: Profiling The Multichannel ConsumerHow Retailers Can Enable Multichannel Consumer BehaviorForrester Report July 29, 2009, By Patti Freeman Evans
70%
Consumers who gave channel or channel transition a 4 or 5 on a scale from 1 (not satisfied) to 5 (very satisfied):
Bought in a store
Researched a product online and bought it in a store
Bought online
Researched a product in the store and bought it online
82%
61%
61%
56%
Source: http://www.retailtouchpoints.com/cross-channel-strategies/201-forrester-shoppers-show-cross-channel-eagerness-but-satisfaction-levels-slump-.html
Consumers who gave channel or channel transition a 4 or 5 on a scale from 1 (not satisfied) to 5 (very satisfied):
Bought in a store
Researched a product online and bought it in a store
Bought online
Researched a product in the store and bought it online
82%
61%
61%
56%
Most people use more than one channel, And are less satisfied as a result
Source: http://www.retailtouchpoints.com/cross-channel-strategies/201-forrester-shoppers-show-cross-channel-eagerness-but-satisfaction-levels-slump-.html
Customer-facing staff
Websites
Communications
Physical environments
Payment systems
Packaging
More channels
= more failure points
= more likely to have a bad experience
64% of respondents had left a store because of poor service
in the last 12 months.
67% had hung up on customer service without
having their issue addressed.
Source: What’s wrong with customer service?, Consumer Reports, July 2011
80%
8%
Companies that believethey provide a superior
proposition
Companies whosecustomers agree
Source: http://www.bain.com/bainweb/PDFs/cms/Public/BB_Closing_delivery_gap.pdf
Many organisations have a blind spot when it comes to their customer experience
The bad news
� Our attention is fracturing across channels, and many of us use more than one channel to make a purchase
� Those who use more than one channel are less satisfied, and less tolerant towards poor service
� And companies can’t see the blind spots in their customer experience
The good news
Design is the key
Design is not just what it looks like and feels like. Design is how it works.
- Steve Jobs
Source: http://experiencematters.wordpress.com/2011/08/25/customer-experience-lessons-from-steve-jobs/
Design isn’t just about making things beautiful; it’s also about making things work beautifully.
- Roger Martin
We need to design the entire experience:
across interactions and across channels
How do you “do” design?
The uk design council looked at 11 world-leading companies and found their design processes mapped to 4 stages…
Source: http://www.designcouncil.org.uk/about-design/How-designers-work/The-design-process/
1. DISCOVER
1. Who your users are
2. Their goals
3. Their characteristics
4. Their context of use
5. Existing usage
� FOCUS GROUPS ARE aren’t enough
More than 60% of participants testing a new kitchen appliance indicated that they were “likely” or “very likely” to buy it in the next 3
months.
8 months later, only 12% had.
Focus group participants will tell you they don’t like all the sex and violence on tv. Yet what do we watch? Sex and violence.
Observation is the key to the Discovery phase
� You have to go beyond what people say and watch what they do
Field studies: Who users are, goals, characteristics, context
On-street videos: Who users are, characteristics, goals
In-lab user testing: Who users are, goals, characteristics
Analytics: Existing usage
Surveys: Who users are, characteristics, goals
Eye tracking: Existing usage
Customer complaint info is what draws the eye!
2. DEFINE
Customer journey maps
Personas
� PERsonascan help drive the strategy & design
3. DEVELOP
Myth: the design process is necessarily chaotic
� Myth: great design is part MAGIC
TRUTH: great design involves users early and often, is iterative, and is participatory
WEB
STORE DESIGN
mobile
Contact centre
There is even an isostandard for this stuff! (ISO 13407)
4. DELIVER
Sorry! This is where we’d normally show you all the sexy stuff we did with the Air New Zealand Skycouch.
Unfortunately we can’t put the photos online, so drop us a line if you’d like us to run you through
them in person.
Imagine if…
Over $2B was spent on
advertising in New Zealand in 2010
Improving the customer experience
Source: State of The Internet with a Focus on New Zealand - comScore , July 2011
Advertising is the price you pay for having an unremarkable product or service.
- Jeff Bezos
Source: http://blog.seattlepi.com/amazon/2009/05/28/amazons-jeff-bezos-on-kindle-advertising-and-being-green/
� And BE more loyal…
Loyalty is the best predictor of repurchase and growth…
.. And reducing customer effort has the greatest impact on
loyalty
Consumers spend between 7 –22% more with companies that they believe provide excellent customer service.
Source: American Express Global Customer Service Barometer, May 2011
In conclusion
World-class organisations don’t compete on service, products, technology or
features.
They compete on experience.
Customer-facing staff
Websites
Communications
Physical environments
Payment systems
Packaging
You are here
9 years experience
190clients
19 industries
We love to design cross-channel
customer experiences. Talk to us today
Sign up to our newsletter at www.optimalusability.com!
Image credits
Slide 1: http://www.kewlwallpapers.com/bulkupload/73/Animals/Bear%20Boxing.jpg
Slide 4: http://www.imgbase.info/images/safe-wallpapers/photography/beach/18223_beach_tropical_palm_beach.jpg
Slide 21: http://www.flickr.com/photos/jesse757/3094868007/sizes/l/in/photostream
Slide 30: http://www.dnzproperty.com/images/objectImages/highres_images/PMC-Noel-Leeming.jpg
Slide 42: http://www.pollsb.com/photos/o/30630-key.jpg
Slide 43: http://themoodbooster.net/wp-content/uploads/2011/10/Steve_Jobs_portrait_by_tumb.jpg
Slide 44: http://www.phorecast.com/wp-content/images/dean_roger_martin.jpg
Slide 50: http://www.msresearchinc.com/images/Focus%20Group.jpg
Slide 52: http://errornotfound.files.wordpress.com/2011/06/true-blood-true-blood-7167238-1280-1024.jpg
Slide 76: http://www.viruscomix.com/creativevitaerc.jpg
Slide 77: http://www.alistapart.com/d/demystifying-design/demystifying-design.jpg
Slide 91: http://img.scoop.co.nz/stories/images/1103/richardsimmons.jpg
Slide 100: http://theasiacareertimes.com/wp-content/uploads/2011/07/bezos.jpg
Slide 101: http://en.wikipedia.org/wiki/File:Line_at_Apple_Store_in_NYC.jpg
Slide 102: http://theoatmeal.com/comics/customer_service
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