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Experience Design (english) #HSGStGallen

One of the main reasons, why products, services, and startups fail, is because of not being customer-centric. Companies that regard experience and service design as core part of their business often out-perform competitors or find new business opportunities. This talk shows real life examples to illustrate that. It serves as well as an overview and introduction into service design, and its methods and tools, such as design thinking and customer journey mapping.

#CustomerCentricity, #CustomerExperience, #CX, #CustomerJourneyMapping, #Designthinking, #ExperienceDesign, #ServiceDesign

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Experience Design (english) #HSGStGallen

  1. 1. @BennoLoewenberg   EXPERIENCE DESIGN  ST. GALLEN UNIVERSITY NOVEMBER 2, 2016 @BENNOLOEWENBERG
  2. 2. Source: Ana Domp Where is the emergency room ? (»Urgencias«)
  3. 3. @BennoLoewenberg   CLOSE YOUR EYES …   … think about the last time you had a remarkably good experience with a product or service. What made it so great ?
  4. 4. @BennoLoewenberg BUSINESS MARKETCUSTOMERPRODUCT CX Graphic: Benno Loewenberg Context & Focus Value & interactions
  5. 5. @BennoLoewenberg   »DON’T BUILD A PRODUCT    BUILD A TRANSLATOR « 
  6. 6. @BennoLoewenberg  PRODUCT-MARKET-FIT  Product optimization and development of services that enhance product usefulness and attractiveness to gain or sustain competitive edge and value. & Service-Customer-Fit
  7. 7. @BennoLoewenberg@BennoLoewenberg   STRATEGIC DESIGN  Turning complex contents and functions into understandable, usable and appealing solutions. Shaping the details, that are most crucial for success.
  8. 8. @BennoLoewenberg Effectively solving business problems by design that makes peoples lives and work easier.   BUSINESS FACILIATION 
  9. 9. @BennoLoewenberg   »YOU CANNOT    DESIGN EXPERIENCES« 
  10. 10. @BennoLoewenberg  DESIGN FOR EXPERIENCES  You can support good experiences by providing service through solutions designed to make customers feel smarter and to keep their flow.
  11. 11. @BennoLoewenberg   NICE TO HAVE ?  Design and services have long been regarded as commodities in which is wasn’t worth investing. Now there is an increasing need to gain capability of being differentiated and to meet customer expectations through design.
  12. 12. @BennoLoewenberg   INTEGRAL PART !  Rather than just visual decoration, design is creative problem solving baked in right from the beginning to strategically shape solutions.
  13. 13. @BennoLoewenberg XD
  14. 14. @BennoLoewenberg   EXPERIENCE DESIGN (XD)  Shaping products, services, product-service-systems (PSS), journeys across multiple channels, environments and events, that contribute positively to the human experience in a broader context (aka »life«). It combines expertise and methods from many fields:
  15. 15. @BennoLoewenberg XD SD
  16. 16. @BennoLoewenberg   SERVICE DESIGN (SD)  Shaping service offerings around customers to provide value e. g. by improving products to meet increased customer expectations or by making the changes driven by digitalization customer friendly.
  17. 17. @BennoLoewenberg XD SD CX
  18. 18. @BennoLoewenberg   CUSTOMER EXPERIENCE (CX)  Shaping the interactions between a customer and a business during their commercial relationship (incl. the sales funnel).
  19. 19. @BennoLoewenberg XD SD CX UX
  20. 20. @BennoLoewenberg   USER EXPERIENCE (UX)  Shaping contents und functions to provide value for the context in which a (digital) touch point of a product or service is used.
  21. 21. @BennoLoewenberg XD SD CX UX U
  22. 22. @BennoLoewenberg   USABILITY (U)  Shaping e. g. user interfaces for they become usable and understandable.
  23. 23. @BennoLoewenberg XD SD CX UX U UI
  24. 24. @BennoLoewenberg   USER INTERFACE (UI) DESIGN  Designing (digital) user interfaces visually and/or acoustically. Based on the affordances of all before mentioned  areas of expertise !
  25. 25. @BennoLoewenberg   »BETTER DESIGN =    BETTER BUSINESS«  Source: Benno Loewenberg aft. Thomas J. Watson Jr.
  26. 26. @BennoLoewenberg   CUSTOMER CENTRICITY  Focus on those you want to make money with. All parts of your business need to contribute to that. Together. All the time.
  27. 27.   USER PERSPECTIVE  1. What is this ? 2. Do I trust you ? 3. What are you offering me ? 4. How do I get it ? (IF it passed the ›moment of truth‹ positively) Source: Seth Godin
  28. 28. @BennoLoewenberg CUSTOMER: DESIRABLITY BUSINESS: VIALBILITY TECHNOLOGY: FEASIBILITY
  29. 29. @BennoLoewenberg DO THEY WANT THIS ? SHOULD WE DO THIS ? CAN WE DO THIS ? Most valuable design
  30. 30. @BennoLoewenberg $ 10.000 $ 17.500 Jun. 2003 Dec. 2013 S&P INDEX DESIGN VALUE INDEX $ 39.900 228% Graphic: DMI – Design Value Index
  31. 31. @BennoLoewenberg 28 % CX Laggards 72 % S&P 500 CumulativeTotalReturn2007–2014 108 % CX Leaders Source: Watermark CX ROI / Forrster CX Index
  32. 32. @BennoLoewenberg   VALUE CALCULATOR  VALUE  Source: SAP – UX Value Calculator
  33. 33. @BennoLoewenberg   »SUFFERING FROM FEATURITIS    AND USER BLINDNESS« 
  34. 34. @BennoLoewenbergSource: Sam Weller Bloated feature sets render things unusable
  35. 35. @BennoLoewenbergSource: CultOfMac Refocus on basic needs & actual usage context
  36. 36. @BennoLoewenberg   DON’T LOVE THE SOLUTION  »Success is not delivering a feature; success is learning how to solve the customers problem« Source: Mark Cook
  37. 37. @BennoLoewenbergSource: Benno Loewenberg Instead extending a feature beyond actual usage …
  38. 38. @BennoLoewenbergSource: Benno Loewenberg … integrating solutions customers really need
  39. 39. @BennoLoewenberg   THE USER PERSPECTIVE COUNTS  »Talk to your users – build and test for actual users and for real context of use« (friends, family and colleagues are not your users)
  40. 40. @BennoLoewenberg Once a game changer …
  41. 41. @BennoLoewenberg … now coming up with such
  42. 42. @BennoLoewenberg   DETAILS MAKE OR BREAK IT  »The details are not the details. They make the design « »Good design makes a product understandable and is thorough down to the last detail « Source: Charles Eames & Dieter Rams
  43. 43. @BennoLoewenbergSource: Benno Loewenberg Insufficient data transfer from online to hotel forces repetition Source: Benno Loewenberg
  44. 44. @BennoLoewenbergSource: Benno Loewenberg Crappy pens can deteriorate an entire service experience
  45. 45. @BennoLoewenberg   EDGE CASES ARE THE NORM  »Real customers often struggle with ›simple‹ details; your solution must cover those scenarios or it will fail for them most of the time.«
  46. 46. @BennoLoewenberg excellent physical design + poorly designed software = very limited product use
  47. 47. @BennoLoewenbergSource: Benno Loewenberg Marketing campaign fail: extremely bad entry forms and no response at all
  48. 48. @BennoLoewenberg  AVARENESS  One of the main reasons why products or services and startups fail is not knowing the own customers. (no market need, poor solution, ignored customers) Source: CBinsights et. al.
  49. 49. @BennoLoewenberg  ATTITUDE  The customer is not disturbing us in our work. It is all about him. The customer does not depend on us. We are depending on him. Source: Aristide Boucicaut Customer-centricity lead to multi-million francs success already 150 years ago !
  50. 50. @BennoLoewenbergSource: Victor Papanek
  51. 51. @BennoLoewenberg   »A BAD SERVICE DIGITALISED,    STILL IS A BAD SERVICE«  Source: Benno Loewenberg aft. Andreas Koch
  52. 52. @BennoLoewenbergSource: Ted Goff
  53. 53. @BennoLoewenbergSource: dpa
  54. 54. @BennoLoewenberg Design is a cost. To leverage design successfully in tech, don’t spray design on at the end. B E G I N N I N G M I D D L E E N D D E S I G N AT T H E V E RY E N D ( o r “ C O S M E T I C S U R G E RY ” ) D E S I G N A S “ B A K E D - I N ” $ $ $ $ $ DES I GN Start with design, rather than just end with it. an investment. Source: @kpcb @johnmaeda @wsj #DesignInTech http://blogs.wsj.com/accelerators/2014/02/21/john-maeda-three-principles-for-using-design-successfully/ 13 Source: John Maeda
  55. 55. @BennoLoewenberg   DESIGN SKILLS  Big tech companies and consultancies acquire complete design agencies at large scale, set customer-centricity as top priority, and establish their own set of tools and methods for it.
  56. 56. @BennoLoewenbergSource: John Deere – InSight From tractors to 360° farming services
  57. 57. @BennoLoewenberg  BEISPIEL  Source: Benno LoewenbergSource: Wired – Disney MagicBand Personalised services as playful experience
  58. 58. @BennoLoewenbergSource: atlassian Replacing middle management with the help of digital tools
  59. 59. @BennoLoewenbergSource: Slashgear First successful of its kind because delivering use through contents
  60. 60. @BennoLoewenberg AirBnB, Alibaba, Facebook, Uber are digital service platforms Source: St. Galler Tagblatt Nov. 2. 2016
  61. 61. @BennoLoewenberg   PERCEPTION SHIFT  Products become physical instances of services.
  62. 62. @BennoLoewenberg   »DON’T MAKE CUSTOMERS HAPPY,    MAKE HAPPY CUSTOMERS«  Source: Dharmesh Shah
  63. 63. @BennoLoewenberg  EXPERIENCED DESIGN  Look at your customers ›needs‹ rather than their ›wants‹. Knowledge needed about what and how to shape for supporting excellent customer experiences.
  64. 64. @BennoLoewenberg   CUSTOMER EFFORD  CompanyCustomer Graphic: Benno Loewenberg WORK (E. G. CONGNITIVE LOAD)
  65. 65. @BennoLoewenberg   CUSTOMER EFFORD  CompanyCustomer Graphic: Benno Loewenberg WORK (E. G. CONGNITIVE LOAD) Customer willingness to use product
  66. 66. Source: Corey Stern  COMPONENTS A multi-disciplinary, holistic approach
  67. 67. @BennoLoewenberg   BEYOND SILOS  It is about customer value: and many expertises are needed to address and serve this successfully. Therefore a multi-disciplinary approach across all departments is needed.
  68. 68. @BennoLoewenberg Only possible, when ALL departments work together
  69. 69. @BennoLoewenberg   THE RIGHT MIND-SET-UP  + Innovation comes from anywhere + Focus on the customer + Ship and iterate (don’t die in perfection) + Give employees 20 percent time (tinkering fosters ideation) + Default to open processes + Have a mission that matters (as overall guideline) Source: Google – Core Principles of Innovation
  70. 70. @BennoLoewenberg   »TO DESIGN SIMPLY    YOU NEED TO UNDERSTAND DEEPLY«  Source: unknown
  71. 71. @BennoLoewenberg   DESIGN THINKING  A way to realize innovation. It`s all about human centered- ness, hands-on approach, iteration and learning. Especially suitable for establishing new business models, idea-boost from outside, challenging current structures and developing new product and service prototypes. Source: Design Thinking @ University of St. Gallen
  72. 72. UNDERSTAND IDEATEDEFINE PROTOTYPE VALIDATE Graphic: Benno Loewenberg Method Phases DIVERGE DIVERGE CONVERGE DIVERGE CONVERGE
  73. 73. Graphic: Benno Loewenberg Phases as Microcyle Source: Design Thinking @ University of St. Gallen
  74. 74. LAUNCHIDEATE BUILD LEARN 3 2 1 4 Product Cycle Animated overview here: http://j.mp/2dDb4RY Graphic: Benno Loewenberg
  75. 75. MEASUREIDEATE BUILD LEARN 3 2 4 1 Established use of Design Thinking Lean Startup Animated overview here: http://j.mp/2dDb4RY Graphic: Benno Loewenberg
  76. 76. @BennoLoewenberg   DESIGN DOING  Turning design thinking into real solutions with the help of experience and service design. Becoming a design-driven company by making the mind-set, processes and tools part of the company culture.
  77. 77. @BennoLoewenbergSource: NNGroup – UX Maturity Model CUSTOMER-DRIVEN CORPORATION INITIAL (0) PROFESSIONAL DISCIPLINE MANAGED INTEGRATED UX DEDICATED BUGET SYSTEMATIC PROCESS CORPORATE COMMITMENT
  78. 78. @BennoLoewenberg   »INSIGHT ABOUT USERS IS NOT A NUISANCE,    IT’S A STRATEGIC OPPORTUNITY.«  Source: Scott Berkun
  79. 79. @BennoLoewenberg   CUSTOMER JOURNEY MAP  Diagramming the elements of a customer experience path from the customer’s point of view. The area of interest and intended use of the CJM determines what is included:
  80. 80. @BennoLoewenberg   EXPERIENCE MAP  Including the emotional state of a human in the context of his wider life, to analyse his general experience. For analysing the actual state to reveal insights by identifying threats and opportunities.
  81. 81. @BennoLoewenbergSource: …Source: Effective UI
  82. 82. @BennoLoewenbergSource: …Source: Jim Tincher
  83. 83. @BennoLoewenberg   SERVICE BLUEPRINT  With layers added for the business side behind the touch points, that is invisible to the customer. Suitable for diagnosis, improvement and management of existing as well as for envisioning and planning of future service offerings.
  84. 84. @BennoLoewenbergSource: Brandon Shauer
  85. 85. @BennoLoewenbergSource: …Source: Andy Polaine
  86. 86. @BennoLoewenberg  APPLICATION  CJM is a tool to communicate (strategic) insights and ideas for common understanding and decision making. It helps determining what to measure and analyse as well as what actions need to be taken in order to put an appropriate solution into real.
  87. 87. @BennoLoewenberg   »EXPERIENCE DESIGN IS    A FULL-CONTACT SPORT«  Source: James Kalbach
  88. 88. @BennoLoewenberg   PUT ONESELF IN THE CLIENT  Avoid stupid ideas and bad customer experiences through taking the user’s perspective and his context into account.
  89. 89. @BennoLoewenberg   ALL IN THE SAME BOAT  Since customers do not care about inner structures of companies and regard every outcome as from one entity (the brand), all departments have to work together for successful outcome.
  90. 90. @BennoLoewenberg   TAKING THE PULSE  Any experience design measure never is a one-off ! The value lies in using e. g. CJMs repeatingly to adjust to the changing business conditions.
  91. 91. @BennoLoewenberg   »THEY DON’T WANT A ¼” DRILL,    THEY WANT A ¼” HOLE«  Source: Benno Loewenberg aft. Theodore Levitt
  92. 92. @BennoLoewenberg   CRUICIAL SUCCESS FACTOR  + Experience Design is Customer Service + Experience Design is Product Quality + Experience Design is Branding + Experience Design is Trust It is a means for business to stay viable !
  93. 93. @BennoLoewenberg   BENNOLOEWENBERG   LINKEDIN / XING / TWITTER   @

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One of the main reasons, why products, services, and startups fail, is because of not being customer-centric. Companies that regard experience and service design as core part of their business often out-perform competitors or find new business opportunities. This talk shows real life examples to illustrate that. It serves as well as an overview and introduction into service design, and its methods and tools, such as design thinking and customer journey mapping. #CustomerCentricity, #CustomerExperience, #CX, #CustomerJourneyMapping, #Designthinking, #ExperienceDesign, #ServiceDesign

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