Presented by: Bob Cooper President Thinking Outside In Identifying New Service Revenue Opportunities

Where are we, right now?

About Me journalist, technical writer, marketer, interactive multimedia designer, entrepreneur, CEO fundraiser, fire-jumper, strategist, advisor, coach service designer

journalist, technical writer, marketer, interactive multimedia designer, entrepreneur, CEO

fundraiser, fire-jumper, strategist, advisor, coach

service designer

Workshop Agenda How can you use service design to identify new sources of revenue within your existing business? Our 3X3 Model Case studies Think and share exercises Realtime design

How can you use service design to identify new sources of revenue within your existing business?

Our 3X3 Model

Case studies

Think and share exercises

Realtime design

Why look for new services? new revenue flexible and adaptable low capital requirements easy to launch high margin (when done right)

new revenue

flexible and adaptable

low capital requirements

easy to launch

high margin (when done right)

Cooper’s Rules Where there is mystery, there is margin. Create value and money will follow. The first wave of any technology is alway overhyped but the second wave is always underestimated. What goes around, comes around.

Where there is mystery, there is margin.

Create value and money will follow.

The first wave of any technology is alway overhyped but the second wave is always underestimated.

What goes around, comes around.

Our Process Define Discover Synthesize Analyze Design Build Launch

Define

Discover

Synthesize

Analyze

Design

Build

Launch

Service Design - 3X3 Model what business needs what humans want what technology enables sweet spot Time-based opportunities (1-Dimensional) Depth-based opportunities (2-Dimensional) Intersecting opportunities (3-Dimensional)

Time-based opportunities (1-Dimensional)

Depth-based opportunities (2-Dimensional)

Intersecting opportunities (3-Dimensional)

First: Understand Your “Core” What is your “end game?” What do YOU need? What do YOU want? What are YOU really good at? What do YOU enjoy doing? What business are YOU REALLY in? what business needs

What is your “end game?”

What do YOU need?

What do YOU want?

What are YOU really good at?

What do YOU enjoy doing?

What business are YOU REALLY in?

What Are Your Assets? People Information Knowledge Technology Relationships Proximity Process Other? Hidden, taken-for-granted, disdained...

People

Information

Knowledge

Technology

Relationships

Proximity

Process

Other?

El Mariachi 81 minute feature film $7,000 budget

1. Sin City 3 (2011) (in production) 2. Sin City 2 (2010) (pre-production) 3. Shorts (2009) (post-production) 4. Planet Terror (2007) 5. Grindhouse (2007) 6. The Adventures of Sharkboy and Lavagirl 3-D (2005) 7. Sin City (2005) 8. Ten Minute Film School: Big Movies Made Cheap (2004) 9. Ten Minute Cooking School: Puerco Pibil (2004) 10. Ten Minute Flick School: (2004) 11. Inside Troublemaker Studios (2004) 12. Once Upon a Time in Mexico (2003) 13. Spy Kids 3-D: Game Over (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: Island of Lost Dreams (2002) 16. Spy Kids (2001) 17. The Faculty (1998) 18. Ten More Minutes: Anatomy of a Shootout (1998) 19. The Robert Rodriguez Ten Minute Film School (1998) 20. From Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Desperado (1995) 23. Roadracers (1994) (TV) 24. "Rebel Highway" (1 episode, 1994) 25. Mariachi, El (1992) 26. Bedhead (1991) 9. Ten Minute Cooking School: Puerco Pibil (2004) 10. Ten Minute Flick School: (2004) 11. Inside Troublemaker Studios (2004) 12. Once Upon a Time in Mexico (2003) 13. Spy Kids 3-D: Game Over (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: Island of Lost Dreams (2002) 16. Spy Kids (2001) 17. The Faculty (1998) 18. Ten More Minutes: Anatomy of a Shootout (1998) 19. The Robert Rodriguez Ten Minute Film School (1998) 20. From Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Desperado (1995) 23. Roadracers (1994) (TV) 24. "Rebel Highway" (1 episode, 1994) 25. Mariachi, El (1992) 26. Bedhead (1991) Robert Rodriguez

Fresh Eyes Receptionist: “Director of First Impressions” Consultants = New Perspective Be willing to plan how to burn down your business What If? Why Not?

Receptionist: “Director of First Impressions”

Consultants = New Perspective

Be willing to plan how to burn down your business

What If?

Why Not?

Exercise: What are all the assets you have? Which are taken for granted? Who would be interested in those/that? Example: CHC

Technology The great seducer Technology matters less and less... and more and more Commoditization Integral to everything, but should not be the driver! what technology enables

The great seducer

Technology matters less and less... and more and more

Commoditization

Integral to everything, but should not be the driver!

And yet... Certain technologies have (and will) fundamentally change things Broadband Storage Mobile Geo-Location Pervasiveness what technology enables

Certain technologies have (and will) fundamentally change things

Broadband

Storage

Mobile

Geo-Location

Pervasiveness

Exercise: How can/will broadband connectivity change your business? Example: OTM

Customer Chain Consists of Multiple Touchpoints Interactions Experiences Person to Person Person to Machine Machine to Machine what humans want

Consists of

Multiple Touchpoints

Interactions

Experiences

Person to Person

Person to Machine

Machine to Machine

Customer Chain Service

Customer Chain Service Experience Interaction Interaction Interaction Experience Experience Experience Experience Interaction Interaction Interaction Interaction Interaction Interaction Interaction Interaction Interaction Interaction

Customer Chain Restaurant Meal Choosing Search Demand Positioning Going Ordering Eating Leaving Reservation Parking Signage Menu Timeliness Waiter Satisfied Paying Bill Food Prep Cleanliness

Then, Talk With Customers Sounds simple, right? Amazing how many people don’t Ethnographic research vs focus groups or surveys Lots of tools for this...

Sounds simple, right?

Amazing how many people don’t

Ethnographic research vs focus groups or surveys

Lots of tools for this...

Understanding Customers Customer journey mapping Ethnographic research Culture hunts Participant journals Contextual interviews Shadowing Experience surveying Filming Personas Empathy tools Card sorting Relationship mapping Graphic facilitation Co-creation Storyboarding Service prototyping Desktop walkthroughs Service specifications Service blueprint Ask, Observe, Co-Design!

Customer journey mapping

Ethnographic research

Culture hunts

Participant journals

Contextual interviews

Shadowing

Experience surveying

Filming

Personas

Empathy tools

Card sorting

Relationship mapping

Graphic facilitation

Co-creation

Storyboarding

Service prototyping

Desktop walkthroughs

Service specifications

Service blueprint

Understanding Customers What do your customers actually need or want? What do your customers actually get ? How do they think of you? Redefine your market in terms of customer activities and customer outcomes - not “products and services”

What do your customers actually need or want?

What do your customers actually get ?

How do they think of you?

Redefine your market in terms of customer activities and customer outcomes - not “products and services”

Customer Journey Time-based sequence of logically related activities Consumers Stage of life (education, career, parenting, retiring) Specific interest (rock climbing, auto restoration) Ownership of asset (home, car, camera, motorcycle) Business Process (logistics, risk management, HR, finance) Assets (computer equipment, machinery, trucks)

Time-based sequence of logically related activities

Consumers

Stage of life (education, career, parenting, retiring)

Specific interest (rock climbing, auto restoration)

Ownership of asset (home, car, camera, motorcycle)

Business

Process (logistics, risk management, HR, finance)

Assets (computer equipment, machinery, trucks)

Customer Journey Leads to defined customer outcomes Retirees want “financial independence” Diners want “good food without the hassle” Computer buyers want “higher productivity” Flyers want “to get there on time with a positive attitude”

Leads to defined customer outcomes

Retirees want “financial independence”

Diners want “good food without the hassle”

Computer buyers want “higher productivity”

Flyers want “to get there on time with a positive attitude”

Exercise: What do your customers buy from you? What do they ultimately want ? Example: Avanceon

Service Design - 3X3 Model what business needs what humans want what technology enables new service revenue

3X3 Model Time-based opportunities (1-Dimensional) Depth-based opportunities (2-Dimensional) Intersecting opportunities (3-Dimensional)

Time-based opportunities (1-Dimensional)

Depth-based opportunities (2-Dimensional)

Intersecting opportunities (3-Dimensional)

Time-Based Opps (1-D) Add services that come before your sale Why couldn’t Continental offer parking? Add services that come after your sale Luggage delivery service?

Add services that come before your sale

Why couldn’t Continental offer parking?

Add services that come after your sale

Luggage delivery service?

Time-Based Opps (1-D) Add services that accompany your core Rent a GPS unit to people renting cars Supplement your core with a network-based service On-Star / Avanceon / Rock crusher Provide ongoing updates Most software today

Add services that accompany your core

Rent a GPS unit to people renting cars

Supplement your core with a network-based service

On-Star / Avanceon / Rock crusher

Provide ongoing updates

Most software today

customize the core for customers? store the product for customers? replace your customer’s inventory-control? take over your customer’s low value (no value) processes? leverage your process expertise ? Depth-Based Opps (2-D)

customize the core for customers?

store the product for customers?

replace your customer’s inventory-control?

take over your customer’s low value (no value) processes?

leverage your process expertise ?

Intersecting Opps (3-D) Leverage your knowledge, assets, brand, experience in other markets Find the intersections with other customer journeys in other markets Could be close or could be far away

Intersecting Opps (3-D) Purchasing a Car Current Market: Travel Having a Baby Buying Insurance

Conclusion Get outside your box - and look at it with new eyes Know what you don’t know Talk with and watch your customers Aim/Fire, Aim/Fire, Aim/Fire Be 80% right - and keep moving

Get outside your box - and look at it with new eyes

Know what you don’t know

Talk with and watch your customers

Aim/Fire, Aim/Fire, Aim/Fire

Be 80% right - and keep moving

Thanks Email: [email_address] Website & Blog: www.FrontierServiceDesign.com

Email: [email_address]

Website & Blog: www.FrontierServiceDesign.com