Creating value in augmented service...
32
Creating value in augmented service journeys BIT annual conference March 28 th , 2014 Andreina Mandelli
Transcript of Creating value in augmented service...
Creating value in augmented service journeys
BIT annual conferenceMarch 28th, 2014
Andreina Mandelli
Information economy/Service industrialization
Service InnovationMarkets asrelationship
networks
Changes inSupply chains &
Business networking in services
The impact of ICT
Cheaper and easier connections
Modularization
Standardization
Service enrichmentThrough digital
Easier service integrationand service package building
Service convergence
Clin analSW
Adv and media
Entertain
Esteth
Fitness
Market research
Consultancy
Tourism
SPA
How digital tecnology (social ubiquitous computing) influences value creation in services
How to design and innovate services in times of ubiquitous computing and augmentedreality?
What relationship management in augmented service journeys?
New research questions
Digital today: social ubuquitouscomputing
• Four screen media• Social media and social commerce• Mobile and social mobile• Geo-location services• Cloud computing• Augmented Reality• The Internet of things
From social media to collaborative economy
In constant evolution
New brand interactions, new brand relationships
Innovation in services through mixed reality
The hybrid shopping experience
THE HYBRID SHOPPING EXPERIENCE
LOCATIVE JOURNALISMOnly the news relevant to your individual, social and geo-located context
GEO-LOCATED FITNESS CENTERWho, among your friends have suggestions or is likely to be there when you check in?
“The Chinese e-commerce player Yihaodian recently launched 1,000 ‘virtual stores’ that could be accessed only in specific locations using the company’s Virtual Store app, which uses GPS to create a store on the user’s device in a specific location…. These stores are located at some of China’s most iconic landmark locations as well as directly in front of Yihaodian’s offline competitor brick & mortar supermarket stores”
Virtual geo-location stores
Augmenting social reality
The social in augmentedreality
The role of context
The context is also machine-powered and socialSocial machines: ubiquitous computing in social
networks
Communities of elderly people securely and privately share health information that originates from various monitoring devices with one another, their caregivers, and their loved ones,resulting in lower medical bills, fewer hospital visits, better quality of life, and longer lives.
Your house communicates with its occupants and other Facebook “friend houses” to shareheating and cooling information, security data, utility usage metrics, and environmentalmeasurements, resulting in improved energy efficiency and healthier, more secure homes andneighborhoods.
Cars, homes, bycicles and other objects of our everydaylife become part of our social networks. They collect data for us, they are connected through networks for exchanging data, they are connected to us and our peers
From invisible computing to ambient commons
The overabundance of mediated information defines our social life
Augmented reality: technical and marketing definitions
Augmented reality is a real-time interface technology that adds an extra layer of digital information on top of the real world. … AR refers to applications and environments where virtual data (texts or graphics generated by computational technology) augment the user’s perception and cognition in the experience.
In marketing perspectiveSocial ubiquitous (mixed-reality) mediations that augment value creationopportunities in social territories and experiences
It is not a matter of an interaction (touchpoint). It is a matter of a journey
“Through a mobile application, the shopper can check into thestore, alerting the NeimanMarcus personal shopper to his or her arrival.The personalshopper then calls up theguest's previous purchases so that he or she can moreaccurately pull merchandisebefore the customer arrives.(The Futures Company, 2013)”
Neiman Marcus personal shoppers are also reachable on LInkedin
Before buying: mobile
During buying: in-store
After buying: social media
What frameworks for relationshipmanagement and service design?
What is missing here?
The servicescape concept includes the ambient but also the social
interactions
The journey concept in includes the dynamic context of each interaction and the relationship perspective
From experiences to relationshipsThe brand relationship emerges from the accumulated value built in the brand encounters (direct and mediated)
Designing dynamic service journeys
From augmented service journeys to augmented service relationships
Managerial implications: changing the service design process
SERVICE OFFERING STEPS SERVICE MARKETING APPROACH (Grönroos, 2007)
AUGMENTED SERVICE JOURNEY APPROACH
1. Analysis of target customers’ everyday activities and processes
o Learning about customers’ activities through episodical market research and everyday service interaction.
o CRM for learning about individual customers
o Continuous learning through everyday service interaction (at each touchpoint, physical and online)
o Continuous tracking and storing of individual, social and geo-located behavioral information.
o CRM and Social CRMo Web and mobile analyticso Continuous monitoring of the online
conversationso Continuous netnographic learning through
deep immersion in online communities and long-term partnerships
2) Assessment ofcustomer benefits soughtto support these activitiesand processes
o Assessment of individual expectations and motivations
o The assessment is episodical and refers to static needs
o Assessment of individual and social expectations and motivations
o The assessment is continuouso The assessment is dynamic, referring to
the specific behavioral, geo-located and social context
3) Defining overall features of an augmented service offering(Value proposition)
o The value proposition is individual, guided by CRM
o The value proposition is static
o The value proposition is individual and social, guided by CRM and social CRM
o The value proposition is dynamic and contextualized, changing in real-time, according to the changes in the context of the interaction
4) Defining a service concept which guides the development of the service offering
o Service design is company-driven, hierarchical and developed by specialized marketing teams
o In the social enterprise, where employees and different departments are interconnected through social media platforms, the process of developing the service concept is more collaborative and interdepartmental.
o Through crowdsourcing and continuous reciprocal learning, via social media, the customers increase their active role in the service design process.
5) Developing the core service and enabling and enhancing services and goods of the basic service package
o Bundle of service featureso It includes accessibility and enhancing
services
o Digital technology can enrich the accessibility and the enhancing features offered in the basic package through digital communication
6) Planning the accessibility, interaction and customer participation elements of the augmented service offering
o The company designs the servicescape(the service ambient)
o The company can plan most of the interactions, because they are mostly hierarchical and static
o Service ambient must be conceived (and designed) as social and dynamic ambient, with the actors that can digitally manipulate it
o In the social ubiquitous media, consumers initiate most of the interactions. It is possible to plan only little. It is necessary to plan to be prepared to unexpected interactions, developing service recovery plans and contingency plans
o Interaction design must consider that interactions have dynamic relevant context
7) Planning supportive marketing communication
o Hierarchical broadband communication
o The influencers are the professional mass media
o Hierarchical broadband communication becomes mostly ineffective if it is not designed as value-based (content marketing)
o Important is the role of the new influencers (brand advocates and bloggers)
o Social media marketingo Collaborative storytelling
8) Preparing the organization for producing the desideredcustomer benefits in the service processes
o Important role of the employees and their training;
o Important role of the corporate culture (must be service-based)
o Need to organize the invisible part of the service system (supporting resources, supporting technology and routines, supporting management in the backoffice)
o The enterprise becomes social and work more collaboratively
o The employees become the best brand advocate for the company in social media
o Also the employees assigned to the invisible part of the service system participate to the interactions with the customers in social media; the line of invisibility in the service system collapses, and service design neds to take it into account
o Higher investments for training and culture-change management
Critical issues
• Big data
• Privacy management
