10. 10
System Logics – Customer Needs
Functional Need
Activity Need
Life Need
11. 11
Important Because
1. Mostly only observe & listen for the feature
needs
2. Features lead only to incremental
improvements
3. New technologies will replace features
4. Addressing Activity Needs and Life needs
will lead to more valuable, profitable, long
term, and strategically powerful solutions
16. 16
My Nikon on This Model
Basic
Feature
Performance
Feature
Delight
Feature
Functional
Need
Activity
Need
Life
Need
17. 17
Did Nikon ignore key needs/features?
Basic
Feature
Performance
Feature
Delight
Feature
Functional
Need
Activity
Need
Life
Need
18. 18
A New Model – a Combination of 2
Basic
Attribute
Performance
Attribute
Delight
Attribute
Feature
Need
Activity
Need
Life
Need
19. 19
Example – recent flight
Security check so
everyone aboard
is safe
Direct flight to
save me time
Lounge access to
help me relax &
take nap safely
On time
departure so I
can get to my
meeting on time
Wifi on board so I
can work on my
presentation
Power outlet at
my seat
Comfortable seat
Light for reading
Flight schedule &
price,
leg room
Live TV at seat
Free upgrade
Food on board
Basic
Feature
Performance
Feature
Delight
Feature
Functional
Need
Activity
Need
Life
Need
20. 20
New model – Thinking about Gen Y & Z
Gen Y
Gen Z Gen Y
Basic
Feature
Performance
Feature
Delight
Feature
Functional
Need
Activity
Need
Life
Need
22. 22
New Model – Multi Levels
Generation Z
Generation Y
Generation X
Segment A
Segment B
Segment C
23. 23
Independence, self reliance
Optimism, Can be & do anything
Live first, work second
Job must bring joy, meaningful work
Care for the earth
Speed & fast service & on my schedule
Need an “experience”
Be stylish
Gen Y: Born 1982 to 2002
1975 1980 1985 1990 1995
37 32 27 22 17
1975 Digital camera
1977 Personal computer
1978 Space Invaders
1979 Zagat
1990 WWW, hypert
1991 AOL for DOS
1993 Pentium
1994 Netscape
1994 Yahoo
1994 EBay
1994 Amazon
1994 Blog
1995 DVD
1996 Hotmail
1996 Palm PDA
1996 API – Sabre
1996 Telecom Act
1997 Prius in Japan
1999 iMode in Japan
1999 Tivo
1999 WebEx
1999 Napster
1980 IBM PC/DOS
1980 CNN
1981 Space Shuttle
1981 Osborne portable comp.
1981 Tunneling microscope
1982 PC clones
1984 CD-ROM
1985 MS Windows
1986 Smoking ban
1987 Disp contact lens
1987 SMS
1988 D. cell phone
1988 Starbucks
1989 HDTV
Year
Age
Today Y
Life
Needs
Mass media hype not impactful
Selective about who they listen to
Not as interested in TV.
Don’t care that Mike Jordan likes Nike
Traditional marketing ineffective
Low cost, good quality, value seekers
Brand loyal
Sense of entitlement
Traits
24. 24
Independence, self reliance
Optimism, Can be & do anything
Live first, work second
Job must bring joy, meaningful work
Care for the earth
Speed & fast service & on my schedule
Need an “experience”
Be stylish
Gen Y: Born 1982 to 2002
1975 1980 1985 1990 1995
37 32 27 22 17
1975 Digital camera
1977 Personal computer
1978 Space Invaders
1979 Zagat
1990 WWW, hypert
1991 AOL for DOS
1993 Pentium
1994 Netscape
1994 Yahoo
1994 EBay
1994 Amazon
1994 Blog
1995 DVD
1996 Hotmail
1996 Palm PDA
1996 API – Sabre
1996 Telecom Act
1997 Prius in Japan
1999 iMode in Japan
1999 Tivo
1999 WebEx
1999 Napster
1980 IBM PC/DOS
1980 CNN
1981 Space Shuttle
1981 Osborne portable comp.
1981 Tunneling microscope
1982 PC clones
1984 CD-ROM
1985 MS Windows
1986 Smoking ban
1987 Disp contact lens
1987 SMS
1988 D. cell phone
1988 Starbucks
1989 HDTV
Year
Age
Today Y
Life
Needs
Mass media hype not impactful
Selective about who they listen to
Not as interested in TV.
Don’t care that Mike Jordan likes Nike
Traditional marketing ineffective
Low cost, good quality, value seekers
Brand loyal
Sense of entitlement
Traits
25. 25
Comfortable with technology
Low attention span
Multi-taskers
Curators
Not brand loyal
Social, collaborative
Friends connected for life
Self publishers
Gen Z: Born 1995 to 2012
1995 2000 2005 2010
17 12 7 2
1995 DVD
1996 Hotmail
1996 Palm PDA
1996 API – Sabre
1996 Telecom Act
1997 Prius launched Japan
1998 Viagra
1999 iMode in Japan
1999 Tivo
1999 WebEx
1999 Napster
2005 YouTube
2006 Wii
2006 Twitter
2007 iPhone
2008 Airbnb
2009 Quora
2009 Pres. Obama
2010 Foreclosures
2011 Egyptian Rev.
2011 Space Shuttle ends
2011 Siri
2011 Pizza is a veg.
2012 SOPA battle
2000 PayPal
2001 Wikipedia
2001 9/11
2001 iPod
2003 Skype
2004 Flickr
2004 Google Maps
2004 Facebook
2004 Yelp
Year
Age
Today Z
Life
Needs
Traits
Peer acceptance is important
Flexibility
Being always connected
Instant gratification
Using imagination, making an impact
26. 26
Comfortable with technology
Low attention span
Multi-taskers
Curators
Not brand loyal
Social, collaborative
Friends connected for life
Self publishers
Gen Z: Born 1995 to 2012
1995 2000 2005 2010
17 12 7 2
1995 DVD
1996 Hotmail
1996 Palm PDA
1996 API – Sabre
1996 Telecom Act
1997 Prius launched Japan
1998 Viagra
1999 iMode in Japan
1999 Tivo
1999 WebEx
1999 Napster
2005 YouTube
2006 Wii
2006 Twitter
2007 iPhone
2008 Airbnb
2009 Quora
2009 Pres. Obama
2010 Foreclosures
2011 Egyptian Rev.
2011 Space Shuttle ends
2011 Siri
2011 Pizza is a veg.
2012 SOPA battle
2000 PayPal
2001 Wikipedia
2001 9/11
2001 iPod
2003 Skype
2004 Flickr
2004 Google Maps
2004 Facebook
2004 Yelp
Year
Age
Today Z
Life
Needs
Traits
Peer acceptance is important
Flexibility
Being always connected
Instant gratification
Using imagination, making an impact
27. 27
Brand Gen X Gen Y Gen Z
Kodak/Polariod Yes No No
AOL Yes No No
McDonalds Yes Yes Yes
Apple No Yes Yes
Disney No Yes Yes
Levi’s Yes Yes ?
Jeep/VW Yes Yes ?
Nintendo Yes Yes ?
JetBlue Yes Yes ?
Remaining Relevant for Each Generation
36. 36
Social Media Monitoring
1. Listen
2. Discover
3. Engage
Free feedback
Have the decision makers start using Twitter
themselves
But think about actionability
There’s a gap with what social media can do alone
37. 37
Listen Near the Transaction
1. Post Purchase transaction (brick & mortar or
ecommerce)
2. Post Flight
3. Post check out of the hotel
4. Call center call / post service
5. During regular use
42. 42
Surveys + Segment + Operational + $
A modern web based survey is much more than the
questions you directly ask your customers. Augment the
invitation with data which will add value to the analysis.
Survey data
Segment data
Operational data
Financial data
A Survey
Record
43. 43
• Correlation of any independent field to preset dependant
fields.
Simple Metrics: e.g. Net Promoter Score
How likely are you to recommend this product to a friend ?
45. 45
Text Analytics
Natural language analytics power
Multiple concepts per verbatim
Beyond just sentiment analysis
Why: Gen Y & Z provide more
unsoliciated feedback through text
content
First let’s review a couple of traditional modelsThe Kana model is a popular way to balance features and engineering effortIt suggests there are 3 types of features.Basic features are those that have come to be Must-HaveFor example, seatbelts in cars. Auto manufactures and standards have done all they can in this regard. Any more effort would not improve customer satisfaction about the carPerformance attributes are those which you can compete on. Customers will use these to compare you with others.For example, the cars roominess, the engine’s power, or the beauty of the car’s design.Delight features are those where innovation and additional engineering effort can indeed increase customer satisfaction.Sticking with the automobile example, adding more connected services in the car may do this. DVD players for the kids already embedded in the back of the front seats, one tap open all windows to let the heat out feature,
We all know about Maslow’s Hierarchy of NeedsThis model is designed to address our motivations in life.
I propose a similar model to address the needs of your customer.This is in-part based on a model called System Logics, which some old friends of mine from Ford Motor Company, developed at their design firm in the bay area called Jump Associates. They had 4 tiers. I propose a simpler 3 tier model here. I also renamed them a bit.The premise is that all needs are not created equal.Features needs are there simply because you’re doing something with a product. e.g. I need for my laptop power to remain healthy during this presentation. I need a comfortable seat on my flight to sxsw.. I need my coffee cup to keep me from getting stained and burned.Important: feature needs may disappear if the currently available solutions are redesigned or replace.Activity needs are about your immediate goals or activities. They are about the situation in which you live, work, and operate.E.g. need to deliver a new product design. I need to visit a customer in a city across the country. I need to get some customer supportLife needs are the most fundamental and universal of all. The need to build a relationship with that customer, the need to feel informed, The need to make a difference
Read the bullets
What if we were to lay the 2 models out as shownKana on the horizontalThe need levels on the vertical
Irrational needs
As for my favorite recent customer experience. It has to be my new camera. Beginner level Nikon D3100.With the little photography skill I have, this thing turns out pictures like I could never capture with my phone.Full of features, too many features maybeBut this camera addresses my needs on many levels. We’ll get into why that’s important later
What if we were to lay the 2 models out as shownKana on the horizontalThe need levels on the vertical
Instagram met needs nikon missed
What if we were to lay the 2 models out as shownKana on the horizontalThe need levels on the vertical
Let’s think about how your trip to SXSW falls into these areas.Our sales team has also found this way of thinking helpful. The model ensures you’re covering all areas.
So now we have a framework to consider the generations.Gen Y may consider something a delight at feature need level or even life need levelBut Gen Z might consider it just a basic attribute and feature need“Of course it’s connected to the internet, why wouldn’t it be”
Perhaps we need a new version of the needs and attributes grid per each generation, or each customer segment
Theres a lot here, but trust me.. This is one Tufte would like because it has a high data to ink ratioWhat should we do about these generations and their characteristics?I’m going to cover 3 areasThe inventions of the past 30 years and how they feed or respond to the needs of gen y and zI’m going to propose a new model for ensuring you’ve got all the bases covered in regards to customer experienceAnd wrap up with some of the best practices we’ve seen and have been involved with in our work helping large enterprise maintain great customer experience
Mapping some life needs to products which were invented
We’d like to propose a new model for thinking about customer experience
Mapping some life needs to products which were invented
The future is shaping differently than other generations, and the product and experiences must too evolve. Top firms have struggled to remain relevant over time. It’s not about being fresh, cool, or even social. It’s about being relevant. And not just your product, the entire experience needs to be relevant.
There are many social networksThese are their #s end of summer 2011Facebook is now at 1bilI just read this weekend that Twitter will be at 500mil in Feb.Stat: 100 mil tweets per dayCustomers are talking about products and services here.
Leading companies review what customers say about them and their competitors on the new tools like TwitterTwitter, Facebook, and all social networking services have an inherent interest in growing their user base. Hence, they continuously innovate and build new tools and services to foster easy sign-up, discovery and broadcasting of users’ experiences
Survey data remains one of the most powerful ways to drive action and accountability of your studyGood companies keep them short, design them well, and augment the heck out of the data with hidden informationSolicited and unsolicited feedback
Survey data remains one of the most powerful ways to drive action and accountability of your studyGood companies keep them short, design them well, and augment the heck out of the data with hidden informationSolicited and unsolicited feedback
We’ve built prototypes that embed surveys directly into facebook.Many of our clients are particular about their data sample so there hasn’t been a huge request for this,At least not yetWe think it’s a good mechanism for unsolicited feedback.
Read slide
Leading companies use design thinking to listen, plan, test, and and build products
At the end of the day, it’s about understanding the full customer experience and knowing which one of these 9 points you should focus on