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What does it mean to be Customer Centric?
Alan Mitchell
8 February 2007
“When I use a word," Humpty Dumpty said in rather a scornful tone, "it means just what I choose it to mean - neither more nor less.”
“When I use a word," Humpty Dumpty said in rather a scornful tone, "it means just what I choose it to mean - neither more nor less.”
'Customer focus'
“When I use a word," Humpty Dumpty said in rather a scornful tone, "it means just what I choose it to mean - neither more nor less.”
'Customer focus'
Organisational structure
“When I use a word," Humpty Dumpty said in rather a scornful tone, "it means just what I choose it to mean - neither more nor less.”
'Customer focus'
Organisational structure
Customer Orientation
“What gets measured gets managed”
Producer push
Brand ‘loyalty’“‘The acid test of brand loyalty is whether a housewife, intending to buy Heinz Tomato Ketchup in a store and finding it to be out-of-stock, will walk out of the store to buy it elsewhere or switch to an alternative product.”
Tony O’Reilly
Marketing schizophrenia
Get the customer to do what the company wants him to do
Marketing as persuasion and manipulation
Get the company to do what the customer wants it to do
Marketing as identifying and meeting needs
Customer centric companies make their money by improving their customers’ profitability
'The consumer' is a business seeking to
improve its own profitability
Objectives E.g health, wealth, happiness
The consumer as a business
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Better Processes Time, Money, Energy
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Better Processes Time, Money, Energy
Better Products/Services Value for money(Utility, Quality, Price etc)
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Better processes Time, Money, Energy
Better products/services Value for money(Utility, Quality, Price etc)
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Better Processes Time, Money, Energy
Better Products/Services Value for money(Utility, Quality, Price etc)
OPTIMAL value
Operations: work, energy
?
Passion: emotional costs/benefits
Information: needed/gained
Time: spent well/badly
Money: saved, spent well/badly
Attention: well/badly invested
OPTIMAL signatures
O
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Less More
What I want
What I get
Business objectives Emotional outcome
The consumer as a business
Better decisions Information, Attention
Better Processes Time, Money, Energy
Better Products/Services Value for money(Utility, Quality, Price etc)
The consumption process
Clarify and articulate needswhat do I want?what's available?
OPTIMAL signatures
O
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P
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Less More
The consumption process
Clarify and articulate needswhat do I want?what's available?
Searchwhere can I get it from?at what price?on what conditions?how do I acquirehow to install, set up etc?
OPTIMAL signatures
O
?
P
I
T
M
A
Less More
The consumption process
Clarify and articulate needswhat do I want?what's available?
Searchwhere can I get it from?at what price?on what conditions?how do I acquire, install, set up etc?
Comparehow does this offering
stack up against available alternatives
which outlet or retailer?
OPTIMAL signatures
O
?
P
I
T
M
A
Less More
The consumption process
Clarify and articulate needswhat do I want?what's available?
Searchwhere can I get it from?at what price?on what conditions?how do I acquire, install, set up etc?
Comparehow does this offer stack up which outlet or retailer?
BuyOPTIMAL signatures
O
?
P
I
T
M
A
Less More
The consumption process
Clarify and articulate needswhat do I want?what's available?
Searchwhere can I get it from?at what price?on what conditions?how do I acquire, install, set up etc?
Comparehow does this offering stack up against available alternativeswhich outlet or retailer?
Install
Solve problems
Upgrade
Buy
OPTIMAL signatures
O
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M
A
Less More
OPTIMAL signatures
O
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P
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A
Less More
O
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Customer
O
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Customer
Value exchange
Marketing innovation: designing richer win-wins
Business objectives Emotional outcome
Serving the ‘household’ business
Better decisions Information, Attention
Better processes Time, Money, Energy
Better products/services Value for money(Utility, Quality, Price etc)
All four levels, integrated
Driven by customer metrics1a) by what customers actually do
Driven by customer metrics1b) by what customers actually ask
‘Problem solving communities’
Driven by customer metrics2) by customers’ value signatures
Driven by customer metrics2) by customers’ value signatures
Driven by customer metrics2) by customers’ value signatures
Driven by customer metrics2) by customers’ value signatures
‘Second wave’: better processes
‘Third wave’: better decision-making
Personal media management services
Personal media management services
Ubiquitous search
Downloadable content
IndividualHere I am. This is what I
want!* my characteristics* my likes and dislikes, wish lists* my intentions* my specifications* my purchasing and usage patterns Personal media
management services
IndividualHere I am. This is what I
want!* my characteristics* my likes and dislikes, wish lists* my intentions* my specifications* my purchasing, usage patterns
Personal media management
services
Peer2PeerThis is what we
recommend!* P2P & expert reviews* ‘if you liked this, you might like …* what people like you are watching, searching for, etc* community generated content
Personal media management
services
ProvidersHere we are! This is what we have to offer!* filtered, permission based ads* free trials, first episode offers* distributed content (new and repeat)* searchable, downloadable archives
Peer2PeerThis is what we
recommend!
IndividualHere I am. This is what I
want!* my characteristics* my likes and dislikes, wish lists* my intentions* my specifications* my purchasing and usage patterns
* P2P & expert reviews* ‘if you liked this, you might like …* what people like you are watching, searching for, etc* community generated content
To conclude …
OPTIMAL value
Operations: work, energy
?
Passion: emotional costs/benefits
Information: needed/gained
Time: spent well/badly
Money: saved, spent well/badly
Attention: well/badly investedO
P
I
T
M
A
Customer
O
P
I
T
M
A
Customer
Value exchange
Marketing innovation: designing richer win-wins
