Brand Services / Service Design Drinks

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Service Design Berlin

T L G G / A U G U S T 2 4 , 2 0 1 6

Brand Services

Pic

ture

: Mel

anie

Dre

ser

Katrin PhD Candidate, University of Potsdam

Who is inviting?

Olga Business Consultant, Fuxblau

Manuel Service Designer, Fuxblau

Mauro CEO & Designer, Boana

Martin Service Designer, UK Gov

Formats of Service Design Berlin

Service Design Drinks

Service Experience Camp

Service Design Dinner

Where are we?

How does it work?

Input Exercise Mingling

Who is speaking tonight?

Christian Vatter User Psychologist and Brand Consultant

Brand Services – A user centric marketing toolChristian Vatter for Service Design Berlin, August 2016

3 factors influence consumerism nowadays

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– Abundance of choices– Marketing distrust– Customer sophistication

Abundance of choices

3

Competing number of „things to do“

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So much content to chose from: What happens in an internet minute

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Source: intel.com/content/www/us/en/communications/internet-minute-infographic.html

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So many new products and services every day

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As customers we face an abundance of choices

available time

choices

People are confronted with an abundance of choices.

8

Their attention has become a valuable resource – everybody asks for it, but only few are rewarded with it.

Marketing distrust

9

10

Source: Nielsen Global Trust in Advertising

Recommendations from people I know

Consumer opinions posted online

Editorial content (e.g. in newspapers)

Ads on TV

Ads in magazines

Billboards / outdoor advertising

Ads in radio

Ads served in search engine results

Online banner ads

0 50 100

67

60

58

53

53

53

42

30

8

33

40

42

47

47

47

58

70

92

Trust completely / somewhat Don’t trust much/at all

Communication has lost credibility

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Advertising is not always 100% truthful

12

Interrupting, disguising, tricking

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Marketing Communication has lost credibility.

14

Many companies try to outsmart people, ignoring that it is about fostering a valued relationship, not making a quick sale.

Customer sophistication

15

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Forrester Research regard customer centricity a necessity

Source: Forrester Research, 2012

Age of the customerBuyers empowered by digital and transparency make customer centric companies successful

Amazon Zappos

Age of informationConnected PCs and supply chains makes companies who control information successful

AmazonGoogle

Age of manufacturingIndustrial manufacturing makes mass-producing companies successful

FordBoing

Age of distributionGlobal connections and transportation makes companies with good distribution successful

ToyotaProcter & Gamble

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Forbes Magazine sees Customer Experience as the new benchmark

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Source: Forrester Research;North American Technographics Customer Experience Online Survey, Q4 2011, Base: US Online consumer

Positive experiences increase loyalty and recommendation

Low 0

0.71

0.65

MediumHigh Low Medium High

Willingness to consider the company for another purchase

Likelihood to recommend to a friend or colleague

Correlation with Customer Experience

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US company Zappos reaches the top with customer focus

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More communications

dm in-store experience

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More communications

Schlecker in-store experience

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vs.

While »dm« is Germany‘s most loved drugstore chain, competitor »Schlecker« must close down

5,85,1

4,54,1

3,8

Revenue 2009 2010 2011 20122008

0

4,44,64,84,7

bankrupt

Revenue 2009 2010 2011 20122008

Source: dm, Schlecker

dm in-store experience Schlecker in-store experience

Customers know the rules of the game.

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They seek out those companies that appreciate them and add value to their lives.

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The Marketing dilemma

need for attention and preference

Abundance of Choice

Marketing Distrust

Consumer Sophistication

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I want you to listen and understand.

What‘s in it for me?

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A simple solution

Marketingneeds

Userneeds

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It is not an »either or«, it‘s an »and«

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Service design is great at delivering on user needs …

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… but usually doesn‘t take the brand into account

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Marketing communication knows how to give a brand promise …

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… but is extremely bad at creating value for people

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Why not combine the approaches?

Marketing Communication

Service

Design

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We researched and analyzed 90+ examples

http://www.christianvatter.com/great-examples-of-brand-services/

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Enter: Brand Services

a service that helps promoting the offer/brand

a service that is an add-on to the core offer

a service with little or no costs for users

by Christian Vatter & Martin Jordan

Example: Guide Michelin

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One of the oldest brand services offers a list of worthwhile restaurants for travelers

Example: Kodak Picture Spot

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Recommends best spots from which to take a photograph

Example: KLM Meet & Seat

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Provides passengers the option to sit next to interesting people, based on Facebook & LinkedIn profiles

Example: Adidas Runbase

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A concept store in Tokyo next to a popular running site offering free running gear, showers & lockers

Relevant aspects of a brand service

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Brand-fit

Services that deliver on the brand

Novelty

Services that have news value

Usefulness

Services that are highly useful

Usefulness: Hornbach Projekt-Buch

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A comprehensive book that teaches you everything from laying parquet flooring to building a pond

Brand Fit: Sit or Squat by Charmin

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Provides an app called “sit or squat” that helps to locate clean public toilets

Novelty: Ikea Catalogue

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Augmented reality mode lets you to place furniture into your home via your phone before going to store

Relevant aspects of a brand service

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Brand-fit

Services that deliver on the brand

Novelty

Services that have news value

Usefulness

Services that are highly useful

The Ideal

Ideal Example: KLM Must See Maps

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A digital city plan of KLM destinations, where your can invite your friends to mark their favorite places

Benefits of Brand Services

Service as an add-on to core-

offer at little or no cost for

users

Service based on user needs

Service with brand message

„baked in“

value for user

(„what‘s in it for

me?“)

positive/favorable

experience with

the brand

experience of the

brand promise

delivered

value for brand

(„I want you to

listen &

understand“)

Building a Brand Service – schematic approach

Brand Promise: What is the

brand‘s benefit/

contribution to the world?

Customer need, pain point:

Where can the brand help?

(assessed through persona

& typical user situation)

Useful service that helps to

convey the brand promise

Make people want things

Make things people want

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About Rlevance

Rlevance is a human centered business consultancy focussed on brand and customer experience.

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Mission: Making companies relevant for people.

Services: Exploring, inspiring and maintaining bonds with customers

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Customer

insight studies

Brand creation &

development

Customer

Experience

& Service Design

concepts

Brand

communication,

customer

engagement &

activation

– User psychologist and brand expert

– in the past 15 years consulted companies from 24 different industries, in 9 different countries, from startup to bluechip

– founded Rlevance Consulting – a strategic brand and customer experience consultancy

– inspired by environmental design/architectural psychology

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Behind Rlevance: Christian Vatter, Brand Expert

Clients: Experience from a wide range of industries and customer segments

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making companies relevant for people

making companies relevant for people

Rlevance Consulting GmbHChristian Vatter, Managing Director

cv@rlevance.com, +49 151 2520 5043

Berlin, Germany

www.rlevance.com

all intellectual property rights reserved

Get in contact:

Icons: Olivier Guin, Vivian Lai, Stephen West, Creatorid’immagine, Nikhil Dev, John Caserta, Simon Child / The Noun Project Jakob Schneider / This is Service Design Thinking, Marty Neumeier

What’s happening next?

What’s happening next?

What’s happening next?

Returning from 18–19 November

Thank you!servicedesignberlin.de

@SD_Berlin

@Rlevance

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