The document discusses how lean and service design methods can be used to create innovative digital products that challenge the status quo. It provides insights into digital user behavior, technological trends, and changes in value chains to help facilitate new product development, customer development, launch, and evaluation. The key points are that the internet is changing business models and consumer behavior, and that companies need to work like startups by prototyping solutions, getting customer feedback, and adapting quickly.

1. How lean & service design
methods can create
innovative, digital products
that challenge status quo
October 2012
Magnus Christensson
Socialsquare
Partner and CEO

3. Digital innovation
We make sure that
choices are made and
prioritised. We create
We provide insight business prototypes
into the digital of future products
behaviour of users, and services
technological trends
and changes in value
chains
We facilitate product
development, customer
development, launch
and ongoing evaluation

4. Some of our references:

5. Some of our references:

6. 3 things
1. Internet is changing business
2. Design services in new ways
3. Make things happen by working like a
start-up

7. The internet changes
everything.

10. Consumption Distrib
ution
Cre ation
Behaviour changes Consumption
with new technologies

13. More people have access
to the marketplace
Transactions
The marketplace are social
is back on the
internet

14. Trebor Scholz http://collectivate.net

15. Trebor Scholz http://collectivate.net

16. Compe
titors
digital are
-only
ins
cha ing
lue ang
Va ch
are
Disruption does not
care about your brand
will
ustry ible
You r ind tang
e in
b ec o m
Change comes from
every direction Trebor Scholz http://collectivate.net

19. 133 years
Invented the digital camera
Kodak share price + 300.000 Facebook likes
60$
Flickr is launched in
2004
The iPhone is launched
40$ in 2007
Instagram is
launched in
20$ 2010
0$
1998 2000 2002 2004 2006 2008 2010 2012
Bankruptcy in
2012

20. The future belongs to
those who challenge.

22. It has never been easier...
- 20 mill. active users / month - 70,822 projects worth
- Grew by 400% last year
- 4 mill. of those pay monthly 353 mill. $ since 2009
- 5 mill. bookings and
- 500.000 user in Denmark in - With project success
transactions worth 500 mill. $
six months rate of 43.88&, 29.490
since 2007
projects have been
realised

23. Simple
Social
Scaleable

25. Focus yesterday
PRODUCT &
SERVICE
Focus today
COMMUNICATION
& BRANDING
COMMUNICATION
& BRANDING
PRODUCT &
SERVICE

27. It’s not enough to...
> Design and implement
user-friendly touchpoints
> Create service
blueprints and user
flows
> Interview and
observe users

28. It’s not enough to... If you can’t, at the same time...
> Design and implement > Understand the internet,
user-friendly touchpoints changes in value chains and
new challengers
> Create service > Understand communities,
blueprints and user participation and social
flows interaction
> Interview and > Be agile and prototype your
observe users business. Work in iteration,
close to the customers

30. Understand Be agile &
communitie prototype
s, your
participatio business,
work in
n and social
iterations,
interaction close to your
customers

31. Design and launch for sociality
and co-creation over time.

32. PRESENCE
CONVERSATIONS IDENTITY
SOCIAL
OBJECT
SHARING RELATIONS
GROUPS
K

33. SOCIAL
OBJECT

34. Identity
SOCIAL
OBJECT

35. Identity
SOCIAL
OBJECT
Relations

36. Identity
SOCIAL
OBJECT
Presence
Relations

37. Identity
Groups
SOCIAL
OBJECT
Presence
Relations

38. Identity
Groups
SOCIAL
OBJECT
Presence
Relations
Conversations

39. Identity
Sharing
Groups
SOCIAL
OBJECT
Presence
Relations
Conversations

40. Identity
Sharing
Groups
SOCIAL Flow
OBJECT
Presence
Relations
Conversations

41. ACCESS?
FLOW? HISTORY?
TOPICS? PRESENCE APPROACH?
CONVERSATIONS IDENTITY
SOCIAL
ACTIONS? TRUST?
OBJECT
SHARING RELATIONS
FORMATS? GROUPS CULTURE?
K
PRAXIS? ROLES?
SEGMENTS?

42. Digital products and
services are co-
creation in themselves

44. “Life is too short to
build something

45. LEAN START-UP

46. PROTOTYPE
S
HYPOTHESE MVP
S
BUILD CUSTOMER
DEVELOPMEN
ADAPTION
T
LEAN START-UP
ANALYSIS LEARN TEST INTERVIEW
S
EVALUATIO FEEDBACK
N

48. Design Design
should not should be
be looking looking for
for ideas. customers

52. Denmark’s largest e-
commerce site
Revenue of 200 mill. DKK. in
2011
10 mill. visitors / year

54. How does the
Who are the book of the
future What are the
new platforms?
How is the
value chain of What is SAXO.com’s What is the
book industry next business? price of
information in
How does the
future book Who is the
How is the author of the
future reader

56. Market space
VID
AUTHOR INTERVIEWS READERS INTERVIEWS EXPERT INTERVIEWS
INSIGHTS & ANALYTICS ANALYSIS OF THE BOOK INDUSTRY REVIEW OF PLATFORMS
WORKSHOPS WITH
SAXO.COM

57. Findings
Publisher
Store
Writer Book
Reader
The traditional value chain in
the book industry

59. Publisher Print Store
Writer Readers

60. Book
Publisher Print Store
Writer Readers
FEEDBACK

62. Blogger Consultant Company Writer
Scientist Culture Professional Company
institution Speaker
Book Magazin Chapter
Book Reports
e s
Writer
White
Pictures Thesis Blog
paper
Catalog Journal Article Booklet

64. How will
Which market SAXO.com
position should make money in
SAXO.com the future?
assume?
What services How will the
How is the
should platform look?
value chain of
the book SAXO.com offer?
industry
How should
SAXO.com’s
How should organisation
SAXO.com relate to evolve?
readers and writers in
the future?

66. Value chain in SAXO.com SAXO.com’s
the market market position focus and
functions
Where is the How should What services
competition SAXO.com earn should Saxo.com
strong money in the offer?

68. Vision Hypothesis Test Validation/Pivot
SAXO.COM TO HYPOTHESIS
FILE CONVERSION FILE CONVERSION
HELP WRITERS REJECTED
PROVIDES VALUE IS NOT HARD
PUBLISH FROM A-Z

69. Vision Hypothesis Test Validation/Pivot
SAXO.COM TO HYPOTHESIS
FILE CONVERSION FILE CONVERSION
HELP WRITERS REJECTED
PROVIDES VALUE IS NOT HARD
PUBLISH FROM A-Z
iv ot!
P
New hypothesis Test Validation/Reject
HYPOTHESIS
VALUE PROPOSITION:
ACCESS TO AND VALIDATED
EASY PUBLISHING
AND EFFECTIVE INSIGHT INTO
QUICK ACCESS TO
MARKETING MARKET MARKET

70. Allow easy and free access to the
marketplace to everyone
Make previously hidden data
available, e.g. through business
intelligence
Allow “stakeholders” to connect
Lower cost and barriers of entrance
Create communities for authors &
readers

71. !

72. Business Prototype
no!
! yes! yes!
yes! no! ?!
?!
no!
yes!
Blogger Consultant Business Author Scientist Cultural Professional Company
owner institutio Speaker
n

74. Stop Go!
?

76. How do we deliver the
most value with the least
effort - as quickly as
possible?

78. We established a
start-up
- Part of core dev team
- Managed through a
Launch framework
- Customer development
workshops
- Ongoing build - test -
learn
- Weekly sprints
- Daily check-ins

80. Launch
DEFINE CORE-LEVERAGE AND TEST OG VALIDATION OF DEVELOP BETA & COMMERCIAL
BUSINESS CASE HYPOTHESES RAMP-UP VERSION
DEFINE MINIMAL VIABLE DESIGN OF SOCIALITY DESIGN OF CORE FEATURES
PRODUCT OG SERVICE FLOWS
DESIGN OF WIREFRAMES DESIGN OF PROTOTYPES
DEVELOP SKETCHES

82. Launch
ESTABLISHING PARTNERSHIPS
IDENTIFY INTRAPRENEUR & DEFINE LAUNCH CRITERIA &
TEAM PARTICIPATION ACTIVITIES
CUSTOMER DEVELOPMENT VIDEO PR
ANALYSIS AND ADAPTION
LAUNCH EVENTS COMMUNICATION

84. Publish in 2 min. 10 mill. visitors
WRITER
Complete Market with:
control Proof readers
Keeps all rights Editors
Gets 70% of Translators
sales Illustrators Purchase
marketing on
SAXO.com
Business
intelligence
Community Community
with other with readers
writers

86. CONCEPT
ADAPTED
BOARD LAUNCHED ON
CONTINUOUSLY
OBJECTIVES TIME TOGETHER WITH
MET CUSTOMERS
450 LAUNCH
PUBLICATIONS ADAPTION OF EVENT WITH
1 MONTH AFTER ORGANISATION MORE THAN
LAUNCH 300

87. To conclude...

88. B2C = B2C + C2C + C2B

89. CO-CREATION
products
INTERNAL services EXTERNAL
process
tools
communication
network

91. “Start-ups are not
small versions of large
corporations”
- Steve Blank

92. Thanks.
Magnus Christensson
mobil: +45 26 800 388
twitter: @mchristensson
e-mail: magnus@socialsquare.dk
www.socialsquare.dk