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Customer centric innovations - the Swedish way


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Customer centric innovations - the Swedish way

  1. 1. Customer centric innovation Zélia Sakhi
 Chief Experience 
 Officer The Swedish Way
  2. 2. Can say sjuksköterska
 But not a true Swede
  3. 3. Through the looking glass Digital Art Director Casus Belli / France Design Subject Matter Expert 
 Amazon / UK Head of Design Nordics
 Deloitte Digital / Sweden Head of Experience APAC
 Mullen Lowe / Japan Chief Experience Officer
 Virtusize / Japan
  5. 5. SEOUL STOCKHOLM TOKYO 6 OUR PROGRESS SO FAR Products covered 1.5 BILLION Impressions served last year 30 MILLION Users RECOGNIZED BY 10 MILLION
  6. 6. In the end, it all comes
 back to Sweden. No ma!er where
  7. 7. Why and how
 is Sweden a thriving environment for customer centric innovations? The key question
  8. 8. What are customer-centric innovations
 3 key things to remember What does success look like 
 What does Sweden (and Virtusize) do differently 1 2 3
  9. 9. What is customer-centricity? And why does it ma!er.
  10. 10. Reversing the business development process, starting from the consumers needs first. The organisation issues an objective It generates ideas It hopes
 consumers like it We understand 
 customers We generate ideas We help organisations 
 build them
  11. 11. Adapting the resulting ideas iteratively (Kaizen), so that they fit the market and increase customer satisfaction. Discover Define Design Data
  12. 12. Why would an e-commerce platform sell diapers?
  13. 13. Consumers change their behaviours when they have a child.
 Amazon offers Prime subscriptions on diapers.
  14. 14. Most newborns wake up between 3 and 4 AM.
 Amazon advertises those services at that time.
  15. 15. Customer centricity generates business ideas continuously, by observing behaviours and needs.
  16. 16. 11.4
  17. 17. It applies to all sorts of organisations
  18. 18. It can be a startup adopting lean design methodologies…
  19. 19. 20 The tools A tool to identify what we are assuming from the beginning.
 We use a canvas to map out everything that is not being backed up by data during the ideation process.
 We then work on validating our most pressing hunches through small, bite-sized experiments. What gets proven gets implemented. Hypothesis driven design: Lean canvas
  20. 20. Or a major financial institution sending their top execs to their call-centers to generate new ideas based on customer needs.
  21. 21. 22 The tools A tool to help an organization understand who their customers are.
 Usually presented as a character sheet, it summarizes what the target customers wants and needs from the brand.
 they are most useful when based on real data and actual behaviors rather than just demographics. Personas
  22. 22. Or a major car manufacturer walking a mile in their consumers shoes to design their retail spaces.
  23. 23. 24 The tools A tool to help an organization visualize where they fail to serve customer’s needs and how they can create new services. 
 There are usually many customer journeys for one client and while we make them look linear, they are usually way more complex. 
 They are a conversation starter, not and end- deliverable. Customer journeys
  24. 24. Or simply an organisation trying to understand better what opportunities lie ahead.
  25. 25. 26 The tools With ultra-personalization as a trend, clients are trying to define what they can offer for each customer segment. 
 It sometimes comes from a branding angle, sometimes from a business one. What they are asking is really: what should we do for our customers, that still makes sense for us as a brand? Value propositions
  26. 26. Good customer experience Is capitalism 101
  27. 27. Copyright © 2015 Deloitte Digital LLC. All rights reserved. A 2% increase in customer retention has the same effect as a 10% reduction 
 in operating costs. Source: Leading on the Edge of Chaos, Emmet Murphy & Mark Murphy
  28. 28. !29 A better customer experience is a business driver in itself 1“The Business Impact of Customer Experience ,” Forrester, 2014 2“Customer Experience is the Future of Marketing,” Forbes, 2015 3,4,5“The Value of Customer Experience, Quantified,” Harvard Business Review, 2014 6“Gartner Predicts a Customer Experience Battlefield.” Gartner, 2015 Customers who have positive customer experiences will likely remain customers for 5 years longer than customers with negative customer experiences4 T E N U R E Customers tend to mention a good brand experience to an average of nine people, but will talk about a bad one to 16 people2 P R O M OT I O N Customers who have the best past experiences spend 140% more compared to those who have the poorest past experiences3 S P E N D Delivering great experiences reduces the cost to serve customers by as much as 33%5 C O S T TO S E R V E
  29. 29. Design-led companies reported: 41% higher market share 46% competitive advantage overall 50% more loyal customers 70% digital experiences beat competitors Design-Driven Companies Outperform the S&P by 219% over 10 years
  30. 30. One single change in user experience 
 outperfomed millions spent in advertising for AirBnB.
  31. 31. But Swedish or not Swedish, not all those ventures are successful. Reality hurts
  32. 32. What does success look like?
  33. 33. The reality is very often different.
  34. 34. The 20mn brainstorm
  35. 35. The corporate antibodies Introducing
  36. 36. No long 
 term vision
  37. 37. Internal politics
  38. 38. Diluted responsibilities
  39. 39. Misaligned KPIs
  40. 40. Lack of mandate
  41. 41. Arbitrary timelines
  42. 42. Unsustainable approach
  43. 43. 
 of those surveyed say that fewer than 25% of their pilots have resulted in commercial deals. 81% Why So Many Corporate Innovation Programs Don’t Work | Fortune
  44. 44. Success is a product that launches.
  45. 45. Success is a product that stays live.

  46. 46. Success is a team that adapts to changes and deals with ambiguity. Everyday. Without burning out.
  47. 47. What does Sweden 
 (and Virtusize) 
 do differently?
  48. 48. We capitalise on people as a long term investment. We promote diversity of backgrounds, to create teams that can see problems from all angles.
 We nurture individual talents, to grow our company as a whole. We understand that a flat organisation doesn’t equate to an organisation without leadership or vision.
  49. 49. We understand tools are crutches to help you walk, until you can run by yourself. We adopt tools in an agnostic fashion, to serve our needs and our customers best.
 We never say “this is how we have always done it” but rather, this is how we can do it better or smarter. We start small and iterate: we are stubborn on our vision but nimble in executions.
  50. 50. We promote a holistic vision 
 of success, beyond work. We understand that top-performers can only excel when they bring their whole selves to work. We cater for life outside of work, as we want our team mates to find time and energy for inspiration and hard work. We embrace modern working practises and flexibility as a key recruitment incentive.
  51. 51. Innovative futures lie in innovative cultures.
  52. 52. What are customer-centric innovations
 3 key things to remember 1 Profitable ideas that solve consumer problems and that are iterated over time by observing actual behaviours What does success look like 
 2 Delightful products and services that launch, and stay relevant over time, built by sustainable teams What does Sweden (and Virtusize) do differently 3 We promote a culture centred around humans and agility, not as a manifesto, but as a way of navigating business and life
  53. 53. What could you do tomorrow 
 to foster customer-centric innovative processes? In short
  54. 54. Talk to your end-customers Data is no substitute for empathy. Send your whole team where your end-customers are with the mission to find one insight they did not know about previously.
  55. 55. Improve the existing Existing business ideas should be iterated Select one of your existing offering and look at what the customers say to find one key improvement you could potentially launch in less than a month
  56. 56. Find your bollplank Ideas require diversity Find the one person who is the most different from you to validate and discuss your ideas. This person needs to have a different education, gender and background than you do.
  57. 57. Tusen tack ありがとうございます