presented by: bob cooper president thinking outside in identifying new service revenue opportunities
TRANSCRIPT
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Presented by:Presented by:
Bob CooperBob CooperPresidentPresident
Thinking Outside InThinking Outside InIdentifying New Service Revenue Identifying New Service Revenue
Opportunities Opportunities
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Where are we, right Where are we, right now?now?
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About MeAbout Me
journalist, technical writer, marketer, journalist, technical writer, marketer, interactive multimedia designer, entrepreneur, interactive multimedia designer, entrepreneur, CEO CEO
fundraiser, fire-jumper, strategist, advisor, fundraiser, fire-jumper, strategist, advisor, coachcoach
service designer service designer
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Workshop AgendaWorkshop Agenda
How can you use service design to identify new How can you use service design to identify new sources of revenue within your existing sources of revenue within your existing business?business?
Our 3X3 ModelOur 3X3 Model
Case studiesCase studies
Think and share exercisesThink and share exercises
Realtime designRealtime design
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Why look for new Why look for new services?services?
new revenuenew revenue
flexible and adaptableflexible and adaptable
low capital requirementslow capital requirements
easy to launcheasy to launch
high margin (when done right)high margin (when done right)
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Cooper’s RulesCooper’s Rules
Where there is mystery, there is margin.Where there is mystery, there is margin.
Create value and money will follow.Create value and money will follow.
The first wave of any technology is alway The first wave of any technology is alway overhypedoverhypedbut the second wave is always but the second wave is always underestimated.underestimated.
What goes around, comes around.What goes around, comes around.
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Our ProcessOur Process
DefineDefine
DiscoverDiscover
SynthesizeSynthesize
AnalyzeAnalyze
DesignDesign
BuildBuild
LaunchLaunch
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Service Design - 3X3 Service Design - 3X3 ModelModel
whatwhatbusinessbusiness
needsneeds
whatwhatbusinessbusiness
needsneeds
what what humanshumans
wantwant
whatwhattechnolotechnolo
gygyenablesenables
whatwhattechnolotechnolo
gygyenablesenables
sweet spotsweet spot
Time-based opportunitiesTime-based opportunities (1-Dimensional) (1-Dimensional)
Depth-based Depth-based opportunities opportunities (2-Dimensional)(2-Dimensional)
Intersecting opportunities Intersecting opportunities
(3-Dimensional)(3-Dimensional)
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First: Understand Your First: Understand Your “Core”“Core”
What is your “end game?”What is your “end game?”
What do YOU need?What do YOU need?
What do YOU want?What do YOU want?
What are YOU really good at?What are YOU really good at?
What do YOU enjoy doing?What do YOU enjoy doing?
What business are YOU REALLY in?What business are YOU REALLY in?
whatwhatbusinessbusiness
needsneeds
whatwhatbusinessbusiness
needsneeds
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What Are Your Assets?What Are Your Assets?PeoplePeople
Information Information
KnowledgeKnowledge
TechnologyTechnology
RelationshipsRelationships
ProximityProximity
ProcessProcess
Other?Other?
Hidden, taken-for-granted, disdained... Hidden, taken-for-granted, disdained...
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El MariachiEl Mariachi
81 minute feature film81 minute feature film$7,000 budget$7,000 budget
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1. Sin City 3 (2011) (in production) 2. Sin City 2 1. Sin City 3 (2011) (in production) 2. Sin City 2 (2010) (pre-production) 3. Shorts (2009) (post-(2010) (pre-production) 3. Shorts (2009) (post-production) 4. Planet Terror (2007) 5. Grindhouse production) 4. Planet Terror (2007) 5. Grindhouse (2007) (2007) 6. The Adventures of Sharkboy and Lavagirl 3-D 6. The Adventures of Sharkboy and Lavagirl 3-D (2005) 7. Sin City (2005) 8. Ten Minute Film (2005) 7. Sin City (2005) 8. Ten Minute Film School: Big Movies Made Cheap (2004) School: Big Movies Made Cheap (2004) 9. Ten Minute Cooking School: Puerco Pibil (2004) 9. Ten Minute Cooking School: Puerco Pibil (2004) 10. Ten Minute Flick School: (2004) 11. Inside 10. Ten Minute Flick School: (2004) 11. Inside Troublemaker Studios (2004) 12. Once Upon a Time Troublemaker Studios (2004) 12. Once Upon a Time in Mexico (2003) 13. Spy Kids 3-D: Game Over in Mexico (2003) 13. Spy Kids 3-D: Game Over (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: Island of Lost Dreams (2002) 16. Spy Kids (2001) Island of Lost Dreams (2002) 16. Spy Kids (2001) 17. The Faculty (1998) 18. Ten More Minutes: 17. The Faculty (1998) 18. Ten More Minutes: Anatomy of a Shootout (1998) 19. The Robert Anatomy of a Shootout (1998) 19. The Robert Rodriguez Ten Minute Film School (1998) 20. From Rodriguez Ten Minute Film School (1998) 20. From Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Desperado (1995) 23. Roadracers (1994) (TV) 24. Desperado (1995) 23. Roadracers (1994) (TV) 24. "Rebel Highway" (1 episode, 1994) 25. Mariachi, El "Rebel Highway" (1 episode, 1994) 25. Mariachi, El (1992) 26. Bedhead (1991)(1992) 26. Bedhead (1991)
Robert RodriguezRobert Rodriguez
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Fresh EyesFresh Eyes
Receptionist: “Director of First Impressions”Receptionist: “Director of First Impressions”
Consultants = New PerspectiveConsultants = New Perspective
Be willing to plan how to burn down your Be willing to plan how to burn down your businessbusiness
What If?What If?
Why Not? Why Not?
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Exercise: Exercise: What are all the assets you have?What are all the assets you have?Which are taken for granted?Which are taken for granted?Who would be interested in Who would be interested in those/that?those/that?
Example:Example:CHCCHC
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TechnologyTechnology
The great seducerThe great seducer
Technology matters less and less...Technology matters less and less... and more and more and more and more
CommoditizationCommoditization
Integral to everything, but shouldIntegral to everything, but shouldnot be the driver!not be the driver!
whatwhattechnolotechnolo
gygyenablesenables
whatwhattechnolotechnolo
gygyenablesenables
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And yet...And yet...
Certain technologies have (and will) Certain technologies have (and will) fundamentally change thingsfundamentally change things
BroadbandBroadband
StorageStorage
MobileMobile
Geo-LocationGeo-Location
PervasivenessPervasiveness
whatwhattechnolotechnolo
gygyenablesenables
whatwhattechnolotechnolo
gygyenablesenables
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Exercise: Exercise: How can/will broadband connectivity How can/will broadband connectivity change your business?change your business?
Example:Example:OTMOTM
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Customer ChainCustomer Chain
Consists of Consists of
Multiple TouchpointsMultiple Touchpoints
InteractionsInteractions
ExperiencesExperiences
Person to PersonPerson to Person
Person to MachinePerson to Machine
Machine to Machine Machine to Machine
what what humanshumans
wantwant
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Customer ChainCustomer Chain
ServiceServiceServiceService
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Customer ChainCustomer Chain
ServiceServiceServiceService
ExperiExperienceence
ExperiExperienceence
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
ExperiExperienceence
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
InteraInteractionctionInteraInteractionction
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Customer ChainCustomer Chain
RestaurantRestaurantMealMeal
RestaurantRestaurantMealMeal
ChoosiChoosingng
ChoosiChoosingng
SearcSearchh
SearcSearchh
DemaDemandnd
DemaDemandnd
PositioPositioningning
PositioPositioningning
GoingGoingGoingGoing
OrderiOrderingng
OrderiOrderingng
EatingEatingEatingEating
LeavinLeavingg
LeavinLeavingg
ReservReservationation
ReservReservationation
ParkiParkingng
ParkiParkingng
SignaSignagege
SignaSignagege
MenuMenuMenuMenuTimeliTimelinessness
TimeliTimelinessness
WaiteWaiterr
WaiteWaiterr
SatisfiSatisfieded
SatisfiSatisfieded
PayinPaying Billg BillPayinPaying Billg Bill
Food Food PrepPrepFood Food PrepPrep
CleanlCleanlinessinessCleanlCleanlinessiness
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Then, Talk With Then, Talk With CustomersCustomers
Sounds simple, right?Sounds simple, right?
Amazing how many people don’tAmazing how many people don’t
Ethnographic research vs focus groups or Ethnographic research vs focus groups or surveyssurveys
Lots of tools for this...Lots of tools for this...
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Understanding Understanding CustomersCustomers• Customer journey mappingCustomer journey mapping
• Ethnographic researchEthnographic research
• Culture huntsCulture hunts
• Participant journalsParticipant journals
• Contextual interviewsContextual interviews
• ShadowingShadowing
• Experience surveyingExperience surveying
• FilmingFilming
• PersonasPersonas
• Empathy toolsEmpathy tools
• Card sortingCard sorting
• Relationship mappingRelationship mapping
• Graphic facilitationGraphic facilitation
• Co-creationCo-creation
• StoryboardingStoryboarding
• Service prototypingService prototyping
• Desktop walkthroughsDesktop walkthroughs
• Service specificationsService specifications
• Service blueprintService blueprint
Ask, Observe, Co-Design!Ask, Observe, Co-Design!
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Understanding Understanding CustomersCustomers
What do your customers actually need or What do your customers actually need or want?want?
What do your customers actually What do your customers actually getget? ?
How do they think of you?How do they think of you?
Redefine your market in terms of customer Redefine your market in terms of customer activities and customer outcomes - not activities and customer outcomes - not “products and services”“products and services”
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Customer JourneyCustomer JourneyTime-based sequence of logically related activitiesTime-based sequence of logically related activities
ConsumersConsumers
Stage of life (education, career, parenting, Stage of life (education, career, parenting, retiring)retiring)
Specific interest (rock climbing, auto restoration)Specific interest (rock climbing, auto restoration)
Ownership of asset (home, car, camera, Ownership of asset (home, car, camera, motorcycle)motorcycle)
BusinessBusiness
Process (logistics, risk management, HR, finance)Process (logistics, risk management, HR, finance)
Assets (computer equipment, machinery, trucks)Assets (computer equipment, machinery, trucks)
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Customer JourneyCustomer Journey
Leads to defined customer outcomesLeads to defined customer outcomes
Retirees want “financial independence”Retirees want “financial independence”
Diners want “good food without the hassle”Diners want “good food without the hassle”
Computer buyers want “higher productivity”Computer buyers want “higher productivity”
Flyers want “to get there on time with a Flyers want “to get there on time with a positive attitude”positive attitude”
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Exercise: Exercise: What do your customers What do your customers buybuy from from you?you?What do they ultimately What do they ultimately wantwant??
Example:Example:AvanceonAvanceon
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Service Design - 3X3 Service Design - 3X3 ModelModel
whatwhatbusinessbusiness
needsneeds
whatwhatbusinessbusiness
needsneeds
what what humanshumans
wantwant
whatwhattechnolotechnolo
gygyenablesenables
whatwhattechnolotechnolo
gygyenablesenables
new service revenuenew service revenue
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3X3 Model 3X3 Model
Time-based opportunities (1-Dimensional)Time-based opportunities (1-Dimensional)
Depth-based opportunities (2-Dimensional)Depth-based opportunities (2-Dimensional)
Intersecting opportunities (3-Dimensional)Intersecting opportunities (3-Dimensional)
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Time-Based Opps (1-D)Time-Based Opps (1-D)
Add services that come Add services that come beforebefore your your salesale
Why couldn’t Continental offer Why couldn’t Continental offer parking?parking?
Add services that come Add services that come afterafter your sale your sale
Luggage delivery service?Luggage delivery service?
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Time-Based Opps (1-D)Time-Based Opps (1-D)
Add services that Add services that accompanyaccompany your core your core
Rent a GPS unit to people renting Rent a GPS unit to people renting carscars
SupplementSupplement your core with a network- your core with a network-based servicebased service
On-Star / Avanceon / Rock crusherOn-Star / Avanceon / Rock crusher
Provide ongoing Provide ongoing updatesupdates
Most software todayMost software today
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customize the core for customers?customize the core for customers?
store the product for customers?store the product for customers?
replace your customer’s inventory-replace your customer’s inventory-control?control?
take over your customer’s low value take over your customer’s low value (no value) processes?(no value) processes?
leverage your leverage your process expertiseprocess expertise??
Depth-Based Opps (2-D)Depth-Based Opps (2-D)
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Intersecting Opps (3-D)Intersecting Opps (3-D)
Leverage your Leverage your knowledge, assets, knowledge, assets, brand, experience in brand, experience in other markets other markets
Find the intersections Find the intersections with other customer with other customer journeys in other marketsjourneys in other markets
Could be close or could Could be close or could be far awaybe far away
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Intersecting Opps (3-D)Intersecting Opps (3-D)
PurchasingPurchasinga Cara Car
Current Current Market: Market: TravelTravel
Having a Having a BabyBaby
Buying Buying InsuranceInsurance
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DeDemanman
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ChChoosoosinging
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DeDemmananddPosPositioitioninningg
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GoiGoingngGoiGoingng OrOr
derderinging
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EatEatingingEatEatinging
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ReReserservatvationion
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SigSignanagege
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LeLeaviavingng
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ReReserservatvationion
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nunuMeMenunu
TiTimemelinlinessess
TiTimemelinlinessess
WWaitaiterer
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SaSatisftisfiedied
SaSatisftisfiediedPaPayinying g
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PaPayinying g
BillBillFoFood od PrePrepp
FoFood od PrePreppCleCle
anlanlineinessss
CleCleanlanlineinessss
Event Event HostingHostingEvent Event
HostingHosting
ChChoosoosinging
ChChoosoosinging
SeSeararchch
SeSeararchch
DeDemmanandd
DeDemmananddPosPositioitioninningg
PosPositioitioninningg
GoiGoingngGoiGoingng OrOr
derderinging
OrOrderderinging
EatEatingingEatEatinging
LeLeaviavingng
LeLeaviavingng
ReReserservatvationion
ReReserservatvationionPaParkirkingng
PaParkirkingng
SigSignanagege
SigSignanagege MeMe
nunuMeMenunu
TiTimemelinlinessess
TiTimemelinlinessess
WWaitaiterer
WWaitaiterer
SaSatisftisfiedied
SaSatisftisfiediedPaPayinying g
BillBill
PaPayinying g
BillBillFoFood od PrePrepp
FoFood od PrePreppCleCle
anlanlineinessss
CleCleanlanlineinessss
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PeoplPeoplee
PeoplPeoplee
KnowlKnowledgeedgeKnowlKnowledgeedge
AssetsAssetsAssetsAssets ProceProcessss
ProceProcessss
No Patents?No Patents?
No Proprietary Process?No Proprietary Process?
No Products?No Products?
No Problem!No Problem!
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ConclusionConclusion
Get outside your box - and look at it with new Get outside your box - and look at it with new eyeseyes
Know what you don’t knowKnow what you don’t know
Talk with and watch your customersTalk with and watch your customers
Aim/Fire, Aim/Fire, Aim/Fire Aim/Fire, Aim/Fire, Aim/Fire
Be 80% right - and keep movingBe 80% right - and keep moving
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