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Joe Dager – Business901
R. Eric Reidenbach
Six Sigma Marketing Institute
Customer
Identification
Customer
Value
Customer
Acquisition
Customer
Retention
Customer
Monitoring
Current
State
Metrics
Value
Stream
Future
State
Kaizen
Identify Value Retain Acquire Monitor
Customer Monitoring (Control)
Value Proposition Transactional
Customer Retention (Implement)
Loyalty Value Model Loyalty M...
Lean Thinking
• Identify Value
• Map Value Stream
• Create Flow
• Establish Pull
• Seek Perfection
What a Customer
will
pay for!
goods dominant logic
• Assumes Better, Faster, Cheaper wins
• Limits mind-set for co-creation opportunities
• Transactiona...
My Last Mention of
Inside – Out Thinking
Where Does Demand
come from?
1. Make it Magnetic
2. Fix the Hassle Map
3. Build a Complete Backstory
4. Find the Triggers
...
Where Does Demand come from?
1. Make it Magnetic: It’s not the first mover that wins; it’s the first to create and capture...
Demand side Thinking
Fleetguard developed a decisive competitive edge through
its guarantee of availability.
Drive by empt...
It is not about the things we make
it how we use the things we make
It is not about the things we make
it is About how our customer use
the things we make
Service dominant
logic
Service Dominant Logic
The Service-Dominant Logic of Marketing edited by Robert Lusch and Stephen Vargo
1. Service is exch...
Value is Derived thru USe
Functional Emotional Social
Forrester predicts that by 2012 half of all consumer purchases will ...
Value is Derived thru USe
Functional: It gets me there
Emotional: It makes me feel good
Social: It is what others think
Today’s most successful companies organize their business
around users and building user satisfaction,”
writes Aaron Shapi...
It is not about the things we make
it is About how our customer use
the things we make
Service dominant
logic
• Lean
• Collaboration
• Co-Creation
• SD -Logic
• Value–in–Use
• Gamification
• Service Design
• Design Thinking
What would happen if your
product or service was free?
It can be commoditized
How would you make
money?Where would your de...
Customer Value for Lean Marketing
Customer Value for Lean Marketing
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Customer Value for Lean Marketing

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There is a presentation using this slide deck in the Business901.com training section. At the foundation of my Sales and Marketing thinking is a program that I helped develop with Dr. Eric Reidenbach; it is the 5Cs of Driving Market Share. Since that time, I have added and subtracted a few things from it, but at its core is an outline focused on customer value.

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Transcript of "Customer Value for Lean Marketing"

  1. 1. Joe Dager – Business901
  2. 2. R. Eric Reidenbach Six Sigma Marketing Institute
  3. 3. Customer Identification Customer Value Customer Acquisition Customer Retention Customer Monitoring
  4. 4. Current State Metrics Value Stream Future State Kaizen Identify Value Retain Acquire Monitor
  5. 5. Customer Monitoring (Control) Value Proposition Transactional Customer Retention (Implement) Loyalty Value Model Loyalty Matrix Customer Acquisition (Analyze) Competitive Value Matrix Competitive Value Model Customer Value (Measure) Value Model Customer Identification (Define) Product Market Matrix Market Opportunity Matrix
  6. 6. Lean Thinking • Identify Value • Map Value Stream • Create Flow • Establish Pull • Seek Perfection
  7. 7. What a Customer will pay for!
  8. 8. goods dominant logic • Assumes Better, Faster, Cheaper wins • Limits mind-set for co-creation opportunities • Transactional exchange struggles w loyalty • Constraints on developing lifetime value
  9. 9. My Last Mention of Inside – Out Thinking
  10. 10. Where Does Demand come from? 1. Make it Magnetic 2. Fix the Hassle Map 3. Build a Complete Backstory 4. Find the Triggers 5. Build a Steep Trajectory 6. De-Average Demand: Creating What People Love Before They Know They Want It by Adrian Slywotzky
  11. 11. Where Does Demand come from? 1. Make it Magnetic: It’s not the first mover that wins; it’s the first to create and capture the emotional space in the market. 2. Fix the Hassle Map: Map the hassles and fix them. This will provide a path to explosive potential demand. 3. Build a Complete Backstory: Till this in place and all the dots connected in the hassle map, demand simple does not happen. 4. Find the Triggers: Always experiment, search to turn fence sitters into customers. 5. Build a Steep Trajectory: Continuously innovate. 6. De-Average: Constantly improve product fit for varying customers. Demand: Creating What People Love Before They Know They Want It by Adrian Slywotzky
  12. 12. Demand side Thinking Fleetguard developed a decisive competitive edge through its guarantee of availability. Drive by empty Coffee Shops and you see lines at Starbucks. The release of new iPhone: Store manager told me that they were fully staffed and everyone had to come in at 7AM. Xerox uses Lean Six Sigma to assist in-house printers to create better internal efficiencies..
  13. 13. It is not about the things we make it how we use the things we make
  14. 14. It is not about the things we make it is About how our customer use the things we make Service dominant logic
  15. 15. Service Dominant Logic The Service-Dominant Logic of Marketing edited by Robert Lusch and Stephen Vargo 1. Service is exchanged for service. 2. Indirect exchange masks the fundamental unit of exchange 3. Goods are distribution mechanisms for service provision 4. Knowledge is the fundamental source of competitive advantage 5. All economies are services economies 6. The customer is always a co-creator of value 7. Value is always determined by the customer (value-in-use) 8. A service-centered view is customer oriented and relational
  16. 16. Value is Derived thru USe Functional Emotional Social Forrester predicts that by 2012 half of all consumer purchases will either be transacted online or driven by online research and word of mouth. To succeed in the digital marketplace, it’s no longer customers that matter most, but users—anyone who interacts with your company digitally. Keep users happy, and customers follow.
  17. 17. Value is Derived thru USe Functional: It gets me there Emotional: It makes me feel good Social: It is what others think
  18. 18. Today’s most successful companies organize their business around users and building user satisfaction,” writes Aaron Shapiro CEO of digital agency HUGE in his book Users, Not Customers: Who Really Determines the Success of Your Business. usability excellence
  19. 19. It is not about the things we make it is About how our customer use the things we make Service dominant logic
  20. 20. • Lean • Collaboration • Co-Creation • SD -Logic • Value–in–Use • Gamification • Service Design • Design Thinking
  21. 21. What would happen if your product or service was free? It can be commoditized How would you make money?Where would your demand come from? Handout
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