18541440 10 Principles of Service Design Dubberly

Service Design:10 Principles

AIGA | IDSAImage, Space, Object 58 August 2008 Hugh Dubberly

2Service Design: 10 Principles

The opportunity to delight customers—to garner their love—

lies in deliveringnot just a quality productbut a quality experience.


. . . commercial products are best treatedas though they were services.

It’s not what you sell a customer,it’s what you do for them.

It’s not what something is,it’s what it is connected to,what it does.

Flows become moreimportant than resources.Behavior counts.”

—Kevin Kelly

“


In 2002, IBM boughtPrice Waterhouse’s ITconsulting business

In 2004, IBM sold itsPC business to Lenovo

In 2005, service was 35%of IBM’s income


In 2007, Philips sold its chip division

Philips then acquired Health WatchHoldings and Lifeline Systems,another health services company


80% of the US GDP is in service

39% of China’s GDP is in service

Source: Mary Jo Bitner, ASU


1. Value is in the experience


Ways of thinking about service:Pine & Gilmore—stage experience

Beans Roasted and ground Brewed and served Treating yourself to something special

Commodity Goods Service Experience

5¢–25¢ Per Cup 75¢–$1.50 Per Cup $2–$5.00 Per Cup 1¢–2¢ Per Cup

coffee beans > coffee > coffee shop > Starbucks


Motor

Components Tools System Experience

Appliance Kitchen Cooking

Ways of thinking about service:Rheinfrank and Murrell—define marketspaces

motor > blender > kitchen > dining experience


Music Listener iPod

Hardware Software Networked Service Marketplace

iTunes iTunes Store Record Companies Artists

MENU

Ways of thinking about service:iPod—integrated system of products and services

DRAM > mp3 player > music sharing service > my music


Ways of thinking about service:Each step expands our potential

Person Product+ In

terf

ace

+ In

terf

ace

+ In

terf

ace

Service Exchange

MENU


MENU

User Nikeplus.comiPod Nano (with Receiver)Pressure Sensor

Place the sensor inyour left Nike+ shoe,in the built-in pocketbeneath the insole.

The sensor uses asensitive accelerometerto measure your activity:the number of steps,the rate at which theyare happening, and thetime between them.

As the user runs, iPod nano tellsthem their time, distance, pace,and calories burned (Accordingto your choice of workout) viavoice feedback that adjustsmusic volume as it plays.

In addition to progress reports,voice feedback congratulatesusers when they’ve reached apersonal best—fastest pace,longest distance and time,or most calories burned.

Users can also set a PowerSongfor when they need help with thehome stretch. Press and hold thecenter button at any time hear thepreselected PowerSong.

After the run, the user mayconnect the iPod to their com-puter. iTunes takes over fromthere, automatically syncing allthe run data and sending it tonikeplus.com.

Nikeplus.com keeps stats onevery step. Check the usersspeed, distance, and caloriesburned—by run, by week,or by month.

Nikeplus.com also keeps usersconnected with runners fromevery corner of the web. Usersare encouraged to compete withother runners and compare statson the site.

The sensor thenwirelessly transfersthis data to the receiveron your iPod nano.

Shoe

Apple is a product/service systems companyRecently Apple teamed up with Nike to extend the iPod/iLife systems.


2. Experience = Reputation

Reputation = Brand


Reputation =“

How people think of what you offer”

Qualityrespected? liked? loved?dependable? good value?

Reachwell-known? frequently encountered?

Positionrelevance? relation to alternatives?


This is not a brand.


A logo is a sign of the quality of a product


A brand exists in our minds

It links a symbol and the things which we associate with it—based on our experience


symbol

idea

object

Brands are a special type of “sign”

sign = object + symbol + idea


A product is also a symbol

Both the logo and the product evoke a brand—and its associated experiences


A brand belongs to no one individualA brand is the sum of a community’s experiences


A brand is what everyone thinks of the quality of a product


3. Sending a message is not enoughIt must be received and understood


The message I’m sending may not be the one you’re receiving

sender message receiver


Shannon & Weaver’s model of communicationdescribes technical problems in machine-to-machine communications

Shared Dictionary

DestinationReceiverChannel

Noise Source

Transmitter(sender)

InfoSource Sent

SignalReceived Signal

Noise

MessageMessage


Don Norman’s concept of the system image

To use a product properly, users must have the same mental model as the designer. But the designer can only communicate via the product, the “system image.”

The SystemImage

Designer’sConceptual

Model

User’sMentalModel


4. Learning requires interactionwith an environment


Feedback is the basic process of learning

goal

evaluationeffect

perception

action


Bill Verplank’s Model of Interaction


Internally at the Service Interface Externally

Service Self-diagnostics(current and logitudinal)

Customer Interaction(individual and aggregate)

Individual Comments(e.g., word-of-mouth)

Amplified Comments(e.g., blogs, press)

Services must continuously monitor their operationmaintaining existing standardsidentifying quality problems and setting new standardsrecognizing and exploiting new opportunities in a changing environmentbuilding a culture dedicated to using feedback

----


5. Conversation builds meaning—creates understanding, agreement, action

Noise

“Call”Intended

Message 1

ReceivedMessage 1

Receiver/SenderParticipant B

Sender/ReceiverParticipant A

Signal 1

Channel

Signal 2

ReceivedMessage 2

“Response”Intended

Message 2 Maysuggest

Comparisonmayconfirm

May suggest a response

Shared Experiencee.g., Language

October 25, 2004 | Developed by Paul Pangaro and Dubberly Design Office


Human communication is more complex than machine communication


shared environment

overlappingexperience

person A

perception perception

perception

evaluation evaluation

person B

interface

action action

goal goal

Conversation involves interlocking feedback loops—enabling consensual coordination of goals and actions


Human communication relies on agreement


6. Services are intangibleand unfold through time

Designers and managers need mapsto “see” services as “wholes”

User

Context

Setting (Servicescape)

Service System

Interface (Front-end, “on-stage”) Back-end (“back-stage”)

Touchpoint

Touchpoint

1 2

3

1 2

3

1 2

3

Touchpoint

Activity / Journey / PerformanceElements


Sets of resources composed into interfacesmake up a service system.

Based on Gupta, Vajic—L. Suchman, and J. Lave


7. Experience is a(n) activityperformancejourney

Stage Awareness Consideration Selection

Potentialaudience

Interestedprospects

Actualcustomers

Pool size

Time


The conventional sales cycle funnels prospects to a purchase

Measure

What seller watches

Research stage

Recognition score + # of inquiries

Reputation + quality scores

Sales $ + % repeat purchases

Usability scores + maintenance records

Net promoter + satisfaction scores

# of unexpected uses of product

Action

What seller does

Sales stage

Publicize + advertise

Inform + educate

Close + transact

Service + support

Reinforce + reward

Listen + adopt

Goal

Where seller wants buyer “to be”

Adoption stage

Aware of seller + offering

Understand features + benefits

Interact + decide to try

Increase use + effectiveness

Advocate + influence others

Suggest changes + additions


An updated sales cyclebuilds on the goal-action-measurefeedback loop

connect & attractcapture the user’s

imagination

orienthelp users navigate

the world

interactbecome a part of

user’s lives

extend & retainpromise moregood things

advocate“you just have

to try this”


The experience cycle emphasizes building relationships

in the large

in the middle

in the small


The experience cycle works in the large and in the small

AdvertisingiPod advertising. Billboards. TV. A silhouetted figure against a colorful background. The white earbuds and cord identify it from far away.

StoreThe giant backlit apple and silver/glass backdrop lets you know you are in a different kind of place.Upon entering you find the iPods among the store’s displays.

ProductYou listen/watch. You are in your place wherever you are with this product—it creates your surround. (It is about the experience after all.) And everyone knows it by your identifying white cords.

SharingBuy music for friends. Share playlists on local-area networks, which can be fairly large in libraries or universities. I show off my toys where ever I go. (People smile and often ask about them.) I become an extension of the store.

Software + servicesiTunes helps withmanaging music collections, buying songs through the iTunes store, and transferring data onto the iPod. Once I have my stuff in there—I don’t want to move to any other platform. I buy the phone that integrates iPod into my communication world, or the Touch that extends my iPod experience to calendars, web browsing, and mail.

In the largeMultiple touch-pointsacross the life of a product

connect & attract

orient

interactextend & retain

advocate


Apple store experience cycle: In the largeMultiples touch-points across the life of a product

Busy locationsApple locates flag-ship stores in high-traffic areas like Market Street in SF, Michigan Avenue in Chicago, and 5th Avenue in NY. It also locates mini stores (as narrow as 15 feet) in malls. Both strategies expose Apple products directly to people who wouldn't otherwise see them.

Simple layoutThe stores display relatively few products in an open even sparse layout, so that visitors can easily find what they're looking for. A greeter stands at the door, and plenty of trained staff are available throughout the store to answer questions.

Test driveVisitors can test most of Apple's products in the stores. There's even a special area for kids and internet access. Recently, Apple has begun to replace cash registers with mobile check-out devices, an effort to eliminate check-out lines.

Repeat visitorsApple stores arealmost always busy, often late into the evening. (The 5th Avenue storeis open 24x7.) Many of those visitors are repeat customers.

Genius bar + classesThe genius bar offers on-site service; walk-in or reserve a time online. The theater offers a range of classes, events, and free workshops. $99 a year gets you all the classesyou want, even one-on-one training; one-on-one shopping appointmentsare available, too.

In the middleMultiple touch-pointsin the store experience

connect & attract

orient


advocate


Apple store experience cycle: In the middleMultiples touch-points in the store experience

Museum-style stagingBecause of the sparse layout, it is easy for people to find the product category that they are looking for—differentiation between products is clear—iPods vs. laptops vs. desktops.

Informative signsOnce at a station the information about the product is displayed onsmall cards, so you know what you’re looking at.

Listen to musicPeople can try on the products by playing with them (headsets supplied.)In the ipod section all the colorsare displayed—so you can even try themon with your outfit. A staff member sees you playing, asks if you’d like one.

Connect by mailStaff offers opportunityto receive the receiptby e-mail—so there isanother chance for Apple to touch you via a different channel.

Choose accessoriesThe staff member gathers the item from stock (located near the rear of the store)—and directs you to accessories, cables, cases, etc.,and checks you out right therewith a hand-held device.

In the smallMultiple touch-points within the in-store purchase process

connect & attract

orient


advocate


Apple store experience cycle: In the middleMultiples touch-points within the in-store purchase process


8. Create conditions in whichusers can design


User interacting with artifact


Designer interacting with User interacting with artifact


Meta-Designer interacting withDesigner interacting with User interacting with artifact


9. Build platforms—systems with rules for extension


Rearrange, reconfigure, transform

Transformers


Choose from a range of options

Mini Cooper (Color Options)


Add or delete pieces

Bugaboo


Assemble building blocks or a kit of parts

Lego


Like most fast food from burgers to noodles to wraps, Starbucks drinks are a platform

Short 8oz

Tall 12oz

Grande 16oz

Venti 20oz


Starbucks offers almost 200 million variations on latte

Cup type To-go For-here Personal cup

Drink type Warm Iced

Kind of espresso Regular Decaf Half-caf Tea None

Amount of espresso Single Double Triple Quad N shots

Drink size Short Tall Grande Venti

Milk type Non-fat 2% Whole Soy (2 more)

Syrup combinations (Choose from about 15 flavors)

Whipped cream w/ Whip No whip Light whip

Temperature Extra hot Cooler Specific degree Standard (160°F)

Build order Upside down Right-side up Macchiato Otherwise

Long/Short pull Long Short Normal

Amount of foam Dry Wet Normal None

Amount of syrup 1 pump 2 pumps 3 pumps 4 pumps N pumps


Characterizing platform types

More choicesFewer constraintsHigher granularity

Before system is locked After system is locked

Define a themeCreate a kit of partsAuthor a language

Choose from a menuAdd features

Create variationsAssemble building blocksCreate expressions within a language

RearrangeReconfigureDelete piecesAdd related components

Fewer choicesMore constraintsLower granularity


10. Take advantage of network effects


In a network, each node enhances the value of the existing nodes by increasing the number of connections


iPhoneiTunes

Mu

sic Sto

re

iPh

oto

iMovie H

D

iDVD

GarageBand

Keynote

Pages

Mail (web)

iDisk

Homepage

iWeb

Backup

Mai

l

Add

ress

Boo

k

iCal iC

hat

AV

iSyn

c

Saf

ari B

row

ser

Qui

cktim

e Pl

ayer

Mac

into

sh

Windows

iPod

iPod Hi-Fi

iSight

Other Applications

Hardw

are

Future Developments

iLife

iWor

k

.Mac

The iPhone will connect withApple’s existing system of systems.


As the number of nodes grow, each new node brings an increasing number of new connections

2 nodes1 connection

3 nodes3 connections

4 nodes6 connections


A simple way to caluculate connections:a square minus one row, divided in half

nodes

connections

2

1

2

4

7

11

16

3

3

5

8

12

17

4

6

9

13

5

10

14

19

6

15

20

7

21

n

18

n²-n2


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Principles of Service Design

Value is in the experienceExperience = Reputation = BrandSending a message is not enoughLearning requires interactionConversation builds meaningServiceS must be seen as wholesExperience is a journeyPractice metadesignBuild PlatformsTake advantage of network effects


What does all this mean?

The world is changing We need to “think different” We need to adopt an organic-systems view


Old thinking + New thinking

Product as object + as experience

static + dynamic

node + link

unique + platform

Focus computing + communicating

with + through

Key skills manufacturing + services

product design + interaction design


Thank you

Documents

18541440 10 Principles of Service Design Dubberly