rich warnaka: using journey mapping to drive digital transformation

Journey Mapping: A Tool That Can Transform

Rich Warnaka

The Digital Divide The most digital companies are leaving the rest behind

The US Economy Operates at only ~ 18% of its Digital Potential

The 'Have Mores' are maintaining a wider and more persistent gap

[ Source: McKinsey Global InstituteHarvard Business Review ]

The Most Innovative Companies

1. Apple

2. Google

3. Tesla Motors

4. Microsoft Corp

5. Samsung

6. Toyota

7. BMW

8. Gilead Sciences

9. Amazon

10. Daimler

• Tech Companies dominate the top 10

• 76% (38) of the top 50 companies are 'non tech'

[ Source: Boston Consulting Group ]

The World Has Become More Complex

20051995 20001990 2010 2015

InternetFirst e-Commerce sites are

established.Email marketing starts

InternetGoogle opens first office

InternetEmail is launched

MobileWI-FI Launched

E-mail on mobile devices Launched

MobileiPhone Launched

Mobile3G Launched

IoTIoT added to Gartner Hype

Cycle

MobileiPad LaunchedLTE Launched

MobileFirst Blackberry Released

MobileFirst Camera Phone

MobileApp Store Launched

IoTTerm ‘Internet of Things’

Coined

IoTIntel creates IoT Group

IoTSHODAN Launched

IoT Presents a Unique Challenge

20051995 20001990 2010 2015

InternetFirst e-Commerce sites are

established.Email marketing starts

InternetGoogle opens first office

InternetEmail is launched

MobileWI-FI Launched

E-mail on mobile devices Launched

MobileiPhone Launched

Mobile3G Launched

IoTIoT added to Gartner Hype

Cycle

MobileiPad LaunchedLTE Launched

MobileFirst Blackberry Released

MobileFirst Camera Phone

MobileApp Store Launched

IoTTerm ‘Internet of Things’

Coined

IoTIntel creates IoT Group

IoTSHODAN Launched

Digital Transformation - Defined

Digital Transformation is the holistic change of an organization to better compete in the

electronic age

Digital Transformation has two key characteristics:

• Customer Centric (Customer Experience Strategy)

• Technological Capabilities

Customer Experience Strategy

…that encompasses both Digital and Non Digital components

In 2016, 89% of Companies expect to compete based on Experience

[ Source: Gartner]

The Intersection of Corporate/Customer Strategy = Win/Win

Corporate Strategy Customer Strategy

Win/Win

Experience Strategy Wins

“Companies that provide the customer with the best experience from start to finish along the journey can expect to enhance customer satisfaction, improve sales and retention, reduce end to end service cost, and strengthen employee satisfaction.”

McKinsey – March 2016

Experience Strategy Wins

DMI Study – The Design Value Index

Typical Retail Business Model

CustomerRetail

Typical Insurance Company Business Model

Insurance Company Agent Customer

Typical Insurance Interactions

Insurance Company Agent Customer

Initial Sales Call

Insurance Needs

Quotes

Claim

Bill Payment

Axiom: When a level of extrapolation exists between the company and the

customer, details of the customer journey are hidden

Claim

Understanding Experience

Experience

What does experience really mean?

Defining Experience

Experience = Doing + Thinking + Feeling

What the Customer is…

Touchpoints vs. Journey

Touchpoints Journey

• Individual Transaction that are typically one channel

• Reflects the Organizational Structure

• Easy to build into operations

• Holistic View what the customer is Doing to achieve their goal(s). This typically spans channels.

• Reflects how the customer Thinksabout the interaction

• Can require significant change to drive a positive Feeling in the customer

Touchpoints vs. Journey

Touchpoints Journey

Business Centric Customer Centric

Touchpoint Example

Problem: Could not order movie

Action: Called Customer Service

Touchpoint Example



Result: Movie ordered for free

Touchpoint Example




A

Touchpoint Example




A

Action: Technician sent to house

Result: Technical issues resolved

A

Action: Received Bill

Result: Charged for movie that was ‘Free’

F

Action: Ordered Movie, had to call customer service

Result: Movie started

C

Journey Mapping

“To make sense of all the possible interaction points that a customer may have is almost impossible unless you are managing the journey.”

McKinsey – March 2016

By Understanding and Managing the Journey…

Existing Customer

Increased Customer

Satisfaction

Increased Willingness to Recommend

Increased Engagement

By Understanding and Managing the Journey…

Existing Customer

NewCustomer

Increased Customer

Satisfaction

Increased Willingness to Recommend

Increased Engagement

Recommendationto NEW Customers

NEW Customers more likely to try

How to Define the Customer Journey

What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Journey Step

1

Journey Step

2

Journey Step

3

Creating A Customer Journey MapStep 1

Understand the Steps in the Customer Journey

Simplified Insurance Journey Map

What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Discover

Insurance

Options

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Creating A Customer Journey MapSteps 2, 3, 4

Understand what the Customer is:• Doing • Thinking • Feeling in each step of the Journey


What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Discover

Insurance

Options

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Details of what the Customer is Doing at each step of the Journey

Doing Example

What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Discover

Insurance

Options

I go online to research insurance options for my personal insurance needs


What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Discover

Insurance

Options

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Details of what the Customer is Thinking at each step of the Journey

Thinking Example

What the

Customer is

Doing

What the

Customer is

Feeling

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Discover

Insurance

Options


What the

Customer is

Thinking

I want to understand insurance so that I can explain what we need to my spouse


What the

Customer is

Doing

What the

Customer is

Thinking

What the

Customer is

Feeling

Discover

Insurance

Options

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Details of what the Customer is Feeling at each step of the Journey

Feeling Example

What the

Customer is

Doing

Understand

Insurance Needs

Understand

Coverage/Price

Details

Purchase

Insurance

Renew

Insurance

Discover

Insurance

Options


What the

Customer is

Thinking

I want to understand insurance so that I can explain what we need to my spouse

What the

Customer is

Feeling

I am frustrated because there is too much jargon that makes it very hard for me to understand

How to Start Understanding Your Customer

1. Examine the types of calls that your call center is receiving. This is a direct link to your customer, but may not give you the whole picture. Listen to calls – empathize with your customers.

2. Talk to Agents, start to understand the front end of the journey. This is an indirect link to your customers, so take this with a grain of salt. Examine tasks that the agent performs.

3. Analyze the performance and analytics reports from your website/applications. This can tell you a lot about what customers are searching for or where they are encountering problems.

4. Start to compile the information that you learn into a journey map.