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The Experience Economy is Alive &

Kicking. Are you?

ARI Conference 2010

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“Commoditised. No company wants that word applied to its goods or services.

Merely mentioning commoditisation sends shivers down the spines of executives and entrepreneurs alike.

Differentiation disappears, margins fall through the floor, and customers buy solely on the basis of price, price, price.”

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The Service Economy

The Experience Economy

The Goods-Based Economy

The Agrarian Economy

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Goods = Tangible

Services = Intangible

Experiences = Memorable

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• “What would we do differently in if we were to charge admission?”• “What would our instructors do differently if at the end of their swim lesson, a collection bowl

was passed around for participants to donate to their wage?”• “What would our receptionists do differently if they were paid a minimum wage but could keep

100% of tips from the people who walk through the door?”

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Customer Participation

Passive Active

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Customer Connection

Absorption

Immersion

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Absorption

Immersion

Passive Active

Entertainment Educational

Aesthetic Escapist

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Absorption

Immersion

Passive Active

Entertainment Educational

Aesthetic Escapist

The Sweet Spot

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4 Step Plan1. Theme your experiences2. Harmonise the impressions with positive cues3. Mix in memorabilia4. Engage all 5 senses

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Where Now?

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Justin TamsettB.Ed (Phys & Health Education)

Feel free to contact JT: jt@activemgmt.com.au or 0438 015 677

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"What you leave behind is not what is engraved in stone monuments, but what is woven into the lives of others."

Pericles