The webinar discusses service design and knowledge management to improve the customer experience. It introduces the concepts of Woo, Wow, and Win, which represent attracting customers, delighting customers, and ensuring long-term success. The webinar covers the five principles of experience design: having the right customers, managing expectations, fixing pain points, delivering coherence across channels, and continuous innovation. It also discusses how knowledge management can enhance the customer experience by facilitating knowledge sharing across the organization and with customers. The webinar provides a framework to assess customer experience and technical excellence using a report card and identifies common barriers that prevent organizations from achieving excellence.

1. Woo, Wow, and Win
Service Design, Knowledge
Management, and the Art of
Customer Delight
SIKM August 20, 2019

2. Today’s Webinar
• What’s design got to do with it?
• How you WOO: What experience do you want customers to have?
• How you WOW: The Five Principles of Service Design and
Delivery
• What’s KM got to do with it?
• How you WIN: Planning Your journey
• Your Service Design Report Card
• Three big moments
• Three fundamental questions
2

3. What’s Design Got
to Do with It?
3

4. Customer Experience:
The Next Battleground
TOP THREE CUSTOMER CONCERNS
83%
70%
64%
48%
36%
Quality
Customer experience
Price
Selection (breadth of
service/product offerings)
Innovativeness
Source: National Center for the Middle Market 4

5. Customer Experience:
The Next Battleground
Quality
Customer experience
Price
Selection (breadth of
service/product offerings)
Innovativeness Source: Walker Information, Customers 2020, 2016
5

6. Designing a Service,
Designing an Experience
“The Italians had created the theater,
romance, art and magic of experiencing
espresso. We began to elevate the
romance and theater of the beverage,
integrated with the merchandising and
storytelling of roasting and selling whole
bean coffee. It’s all steeped in that trip
to Italy in 1983.”
--Howard Schultz
“The America that we’re talking about
here are the everyday folks who get
things done. They’re unpretentious,
comfortable just being themselves, and
like to order their coffee in small, medium
or large, thank you very much. They’re
busy people who use Dunkin’ to get
fueled up for work or play. They don’t
have time to linger, because they’ve got
things to do. But they do like to have fun.”
--Hill Holliday blog 2006
6

7. Four Fundamental Beliefs
• The design of a service—what it does and doesn’t do, the
experience it creates, the value it delivers—is an essential element
of every business, from a coffee shop to an investment bank
• Excellence in service delivery, like quality in manufactured goods,
needs to be built in from the start, not slapped on at the end
• Great service should be free—i.e., well-designed service pays for
itself and more, by saving you and your customers time and money
• Service design is a sustainable, repeatable way to differentiate your
company; it is a pillar of strategy, not a fancy form of customer
service
7

8. Your Goal: An “Ahh” Moment
8

9. How You WOO
9

10. THE AGGREGATOR
We’ve got everything in one
place. One-stop – and maybe
even one-click -- shopping.
“We’re the Amazon of ____”
THE UTILITY
Often regulated and bureau-
cratic, we provide essential
services—and do it well.
“We’re the Ma Bell of ____”
THE CLASSIC
We’re the best. Not the hippest,
probably not the cutting edge—
just the best.
“We’re the Mercedes of ____”
THE BARGAIN
If price is your problem, we’re
your solution. Don’t come here for
anything fancy.
“We’re the Walmart of ____”
THE SOLUTION
Different from the aggregator, we
put things together or
choreograph others.
“We’re the IBM of _____”
THE SAFE CHOICE
We’re solid. You might not be
thrilled, but you won’t be sorry.
Bring your in-laws.
“We’re the Allstate of _____”
THE SPECIALIST
We’re the laser to others’
shotguns. No one is better at
what we do.
“We do one thing really well”
THE TRENDSETTER
We’re sleek, quick, hip. We give
you a dazzling experience.
“We’re the Apple of ____”
THE OLD SHOE
Decent place, decent price, you
know us well, and we know you.
“We’re the Cheers of ____”
The Promise You Make:
Service Design Archetypes
10

11. Wizards of “Ahhs”
THE TRENDSETTER
THE SAFE CHOICE
THE AGGREGATOR
THE UTILITY
THE CLASSIC
THE BARGAIN
THE SOLUTIONTHE SPECIALIST
THE OLD SHOE
11

12. How You WOW
The Five Principles
of Experience Design
12

13. The Challenges of
Service Design
• The customer shares in the act of production
• Relationships involve multiple interactions—touchpoints,
channels, conversations
• It is harder for customers to know in advance what they are
getting
• Emotions play a bigger role
You must be able to handle variety and customization
Every department and every partner affects your success
You must create clear expectations and tangible evidence of quality
Transactions evolve into partnerships
13

14. The Customer Is Always
Right—
If the Customer Is Right for
You
“The industry too often
gets in the way of investor
success”
“Convenient face-to-face
financial advice to
conservative individual
investors who delegate
their financial decisions”
The First Principle
14

15. Don’t Surprise and Delight
Your Customers—Just Delight
Them
Expectations are disappointments waiting to happen
IN THE AD ON THE PLATE
The Second Principle
15

16. Great Service Can’t Require
Heroic Efforts by You or Your
Customer
The Third Principle
The Downton Abbey
syndrome
Lean service design
Being easy to do business
with
16

17. Are You Easy to Do Business With?
Among B2B companies,
say they focus on
improving ease of doing
business
80%
57%
<40%%
Customers agree
Think they are
succeeding
17

18. Are You Easy to Do Business With?
80%
57%
<40%%
How easy are you to do business with?
0 We make the DMV look good
1 Fair at best
2 Good, as long as nothing is too
complicated
3 Very solid
4 So good that it wins us business
18

19. The Third Principle
Fix Your Customers’ Pain
Points
“Please listen carefully as our menu options have changed.”
19

20. Deliver a Coherent Experience
Across All Touchpoints &
Channels
“Our customers don’t think of engaging with us through separate
channels. They think of us as a brand. It’s about engaging with
Warby Parker, not whether they do it on our website, on their phone
with our mobile experience, or in retail.”
Dave Gilboa, co-founder and co-president,
Warby Parker
The Fourth Principle
20

21. Coherence = Coordination
• What it takes
o Unified view of the
customer
o Single face to the
customer
o “Feedforward” and
feedback loops
o The ability to partner with
other providers
80% of companies with strong
omnichannel capabilities retain
customers, vs.
33% of companies with weak
omnichannel capabilities
--Aberdeen Group
72% of B2B marketing executives
say brand experience is often
inconsistent and fragmented across
channels and platforms
--DeSantis Breindel
The Fourth Principle
21

22. Who Else Affects Your
Clients’ Experience?
The Fourth Principle
LOGISTICS SERVICES PROVIDER
Clients’
customers
Trucking
cos.,
drivers,
unions
Foreign
gov’t
(regs, tax,
customs)
Banks
(trade
finance,
payments)
Insurance
Federal,
provincial,
local gov’t
(regs, tax,
customs)
Port and
highway
authorities
Container
and other
leasing
companies
22

23. Example: Caring for Cancer Patients
at a Major Hospital
ThedaCare facility and employees
No direct relationshipCo-ownership, joint venture
ThedaCare facility, independent contractors
PRIMARY CARE PHYSICIAN
IN-PATIENT SURGERY, CHEMO
RETAIL PHARMACY
HOSPICE
HOME CARE
Acuity
TREATMENT ECOSYSTEM FOR CANCER PATIENTS AT THEDACARE
SURVIVORSHIP
PROGRAMS
Adapted from presentation by Mike Stoecklein at the ThedaCare Center for Healthcare Value
Patient Experience Summit, Oct 28-29, 2013
The Fourth Principle
23

24. You’re Never Done
The Fifth Principle
24

25. The Fifth Principle
Innovation in Services:
It’s Different
Customer / user experience is the locus
of innovation
Intuit’s “Design for Delight” framework
The customer is an active part of the process
Innovation can and should happen at
touchpoints all along the value chain
Coherence must be maintained
• Along the journey
• Across channels
Cadence is critical
25

26. What’s KM Got to
Do with It?
24
26

27. What Would “Bi-directional”
Knowledge Management Look Like?
Strategy
 What is our strategy? (Where do we play,
how do we win, what do we do?)
 What knowledge makes us different
(creates barriers, makes us the best at
what we do)?
Content and
capabilities
Tools, processes,
key performance
indicators
OutsideInside
SHARPENING DIFFERENTIATION
AND HELPING CUSTOMERS WIN
 Custom solutions, “co-creation”
 Customer access to your knowledge
 A knowledge-enabled sales force
 Metrics: Market share, pricing power
BECOMING “EASY TO DO
BUSINESS WITH”
 Tools that help customers “use us”
 Concierge services
 Turbocharged customer support
 Metrics: Share of wallet, repeat
business, transaction costs
EFFICIENCY
 Metrics: cost, usage stats,
comprehensiveness of data
EFFECTIVENESS
 Metrics: alignment and relevance,
teaming and learning, speed and
quality of work
KNOWLEDGE MANAGEMENT
 Explicit and embedded knowledge,
KM platforms, content repositories,
data; intellectual property
KNOWLEDGE SHARING
 Tacit knowledge, communities of
practice, innovation, networks,
institutional memory, culture
27

28. The Four Dimensions of the
Customer Experience
Emotion Knowledge
Onstage
Backstage
 What is customer feeling?
 Do we want to change the
feeling (up or down, etc.)?
 Can we create engagement?
 Can we create an “Ahh”
moment?
 What proof points do
customers need?
 What overall knowledge does
customer have? What gaps
exist? How are they filled?
 What customer knowledge do
we have? What gaps exist?
 What do we want to learn?
What did we learn?
 Have we agreed on expectations?
 Does customer know whom to deal with?
 Can customers monitor performance?
 Is interface robust and easy to use? Can
clients work in it, not just read it?
 How are problems solved?
 Are we easy to do business with?
 Is our technology robust?
 Are our processes mapped and flexible?
 Can we handle multiple types of data
streams (database, pdf, etc)
 Can everyone who touches the customer
see all relevant info?
 Can we deliver reliably without rework and
without heroics? 28

29.  Identify customers’ knowledge
needs at key touchpoints. What
must they know to make decisions,
get the most value?
 Identify internal knowledge needs
at key touchpoints. What must your
people know to “win” this
touchpoint?
 Link KM and CRM: knowledge for
customers and knowledge about
them
 Forge continuous learning
loops among customers, your
front line, and the back office
 Share knowledge horizontally,
vertically, with partner
companies, and with
customers
 Develop knowledge-based
ways to make customers
more valuable
Six Ways KM Can Strengthen
Customer Experience
29

30. On Customers’ Journeys with
You, They Need Knowledge, Too
Source: adapted from Yves Pigneur, e-service blueprint and visualization
https://www.slideshare.net/ypigneur/service-blueprint-presentation
Customer Actions
Onstage Contact
Employee Actions
Support Processes /
Staff / Data / IT
Backstage Contact
Employee Actions
Onstage
Backstage
30

31. Example: A MarTech Company
Redesigned Touchpoints to Increase
Learning
Selling
Learning Loops
Implementation
Sustaining
• Consultative
• Focus on
customer value,
not price
• Lots of inquiry
• Often senior
level on both
sides
• 3-12 months
• Consultative, broad teams
• Custom or at least customized
• Deep knowledge sharing
PREVIOUS
• Focus on SLAs, uptime metrics,
activity
• Meetings involved only client
admin and company RM
• Little senior level, more
monitoring than learning
IMPROVED
• Make activity / SLA metrics live
and real-time
• Focus client review meetings on
insights, customer initiatives and
goals, strategy, challenges
• Emphasize helping customers
learn how to become better
users of company software and
use it to address business
challenges
• Regularly engage senior leaders 31

32. A Large Learning / Customer
Development Opportunity
Well-known Customers
Engaged Customers
Total Customers
Individual Users
Most companies regularly communicate with, learn from,
and teach to only a fraction of their customers
32

33. Capitalize on Customer
Knowledge
Transactional
Investment
Co-Creation
Strategic Partnering: At the top of the ladder, you and
your customers share responsibility for a successful
outcome
Integration: On the next rung, expertise and resources are reciprocally
shared, with customer directly leveraged into operations and product
development
Bundling: Up one rung, multiple products and/or services are purchased
as integrated combinations
Selling: On the lowest rung, products and services are purchased as isolated
entities, with no interaction beyond the exchange of money
Adapted from Strategic Insights
Not all relationships can or should advance all the way up the ladder. However, with ascendancy,
relationships become more stable. Price sensitivity decreases. Mutual learning increases.
Knowledge gained going up the ladder can be converted into offerings that scale down the ladder.
Enhancement
Learning Scaling
33

34. How You WIN
Planning Your
Journey
34

35. Experience Design Report
Card
DELIGHT
TECHNICAL
EXCELLENCE
CUSTOMER
EXPERIENCE
= X
35

36. Your Experience Design
Report Card
Customer Experience
• Empathy (0-4) ____
• Expectation ____
• Emotion ____
• Elegance ____
• Engagement ____
Total ____
Experience GPA (÷5) ____
Technical Excellence
• Execution (0-4) ____
• Engineering ____
• Economics ____
• Experimentation ____
• Equivalence ____
Total ____
Excellence GPA (÷5) ____
Overall GPA _____
Get your GPA: www.woowowwin.com/report-scorecard 36

37. What Stands Between
You and a 4.0?
37

38. What Stands Between
You and a 4.0?
• Values issues
• Overpromising
• The front line
• The back office
• Technical breakdowns
• Silos
• Regulations
• Money
• Weak knowledge management
• Ecosystem partners
• Inadequate training
• Planning, KPIs, etc.
38

39. How to Start
Ahh and Ow:
Analyze the Customer Journey
Peak and Last:
What Customers Remember Most
Make or Break:
Moments of Truth
Are you solid on the basics, competitive on the essentials,
and awesome when it counts most?
39

40. Fundamental Questions:
Three Sets of Three
Service Design
What experience do we want our customer to have?
What does the customer see at each stage of his or her journey?
What must happen backstage to make the magic happen every time?
Knowledge Management
How can we capture what we know?
How can we share what we know?
How can we apply what we know?
Knowledge Strategy
What knowledge sets us apart?
Where should we create, renew, or expand our knowledge?
What is our knowledge worth?
40
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41. www.woowowwin.com
info@woowowwin.com
http://woowowwin.com/report-card/#/1
Customer experience differentiates you.
Differentiation happens by design.
Design will help you woo, wow, and win.
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