designing experience

Netflix vs. Blockbuster

what do they sell?

video vs. experiences

different meanings of video rental experiences

multiple meanings of experiences

physicalemotionalcognitive

social cultural

opens up new innovation possibilities

requires new combination of resources

outside-in approach to innovations

most R&D focus on inside-out perspectives

how can you see the outside-in opportunities that customers cannot

articulate?

focus on the meanings, not products in thinking about the innovations

looking beyond the products

focus on services

how customers integrate different services

to co-create value

looking for Tide Killer?

asking right questions

Q: why do you use Tide?

A: to have clean clothes

product-focused question

Q: what do you mean by clean clothes?

meaning-focused question unlocks the door

for product innovations

fresh  smell

soft  fabric

clean  color

ready  for  important  meeting

no  dirt

how do you get these insights?

design research

What is it?

to reduce large volume of qualitative data

into a set of insights

data collection

see with your eyes

who

ordinary people

extreme users

magnifier of

hidden needs

how

follow people

stationary observation

personal archeology

what is in your bag?

follow  people  or  things

follow things

... through the eyes of chopsticks

How do you see?

observe with hypotheses

tools?

culture?

why?patterns

signs?

meaning?

actions

people

where & when

interpretation

ask these questions

what do you see?

try to think what might be the reasons for the

behavior you observe?

what tools are being used?

who else is there?

when and where

what’s before and after?

What can you do with a bottle of water?

rental car

plan a trip

compare different options

make a reservation

pick up the car

drive

return the car

go home

inno

vatio

n op

port

uniti

es

web-basedtravel agentvouchers

cell phones,Never-Lost

Minimal / none

Some activity

Moderate activity

Frequent activity

Non-stop activity

availability,models

rapid pick-up,rapid return

fleetoptimization

modelingtravelagents

airportshuttle bus

businesstravelers

Offering

Core process

Process.

Enabling process

Business model

Finance

Networking Product/Service performance

Service system

CustomerService

Channel

Delivery

Brand Customer experience

Rental Car Example

Most competitive activityin the rental car industry is

focused here

Source: Doblin Consulting

web-basedtravel agentvouchers

cell phones,Never-Lost

Minimal / none

Some activity

Moderate activity

Frequent activity

Non-stop activity

rapid pick-up,rapid return

fleetoptimization

modelingtravelagents

airportshuttle bus

businesstravelers

Offering

Core process

Process.

Enabling process

Business model

Finance

Networking Product/Service performance

Service system

CustomerService

Channel

Delivery

Brand Customer experience

chargeinsurers

• Now largest ($6.9b vs. $4.9b for Hertz, $2.5b for Avis)• Targets the occasional renter• Uses the insurance company channel• Brings the car to the renter; avoids airport cost structure

brings car to you

occasional rentersinsurers

availability,models

Rental car industry

Source: Doblin Consulting

Emerging standards, specialization

e.g. PowerPC (IBM, Motorola, Apple), Zero inventory assembly

Flexible financinge.g. FreePC, Gateway Your: )ware,

Compaq leasing

Networked organizationse.g. Dell paperless purchasing, Intra/

Extranets

Low-cost home PC’se.g. Windows 95, Intel Celeron

Technology-driven multimedia enhancementse.g. Intel 486, Windows 3.0, Adobe

Postscript

Direct distributione.g. Dell, Gateway Country Stores

Source: Doblin Consulting

Global alliancese.g. Star Alliance, OneWorld

Streamlined processes, safety procedures

e.g. Defibrillators in airplanes and airports, streamlined boarding procedures

Outsourcing on non-core processese.g. Gate Gourmet buys SAS Service Partner, Learjet purchase of AMR Coombs facilities

Global alliances and consolidation

e.g. Shared frequent flyer programs and lounge access

Revenue generating innovatione.g. United Connections and Aadvantage

Websites, inflight gambling

Amenities for Premium Passengers

e.g. Virgin Clubhouses, BA First

Lower coste.g. ValuJet, Kiwi

Passenger airline travel

Source: Doblin Consulting

see in time and space

stakeholder experience cube

Events

stakeholder  A current experience

emotionalcognitive

physicalsocial

stakeholder  B

stakeholder  C

Events:•activities•time•location•tools•signs

Taxi Ride:plan - approach - ride - payment - exit

ER visit:notification - travel - triage - initial diagnosis - test - final diagnosis - dismissal

generating solutions

Ask “How might we ...?”

looking for plausible alternative

“There are those that look at things the way they are, and ask why? I dream of things that never were, and ask why not?”

Robert F. Kennedy

brainstorm

prototyping

think with your body

use papers

use post-it

use legos

use markers

... or whatever

building a persona

identifying stakeholders

use research data

identify common dimensions

Name:Age:Job:Family:Gender:Key values:A habit:Home town:Key interests:Hobbies:

follow the character:be generative

not to collect databut to get inspired

not to convergebut to open up new

possibilities

to understand the context and

background in order to innovate foreground