Seven Things
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Transcript of Seven Things
2006 AIGAGAIN CONFERENCE
DESIGN MEANS BUSINESS
Really Busy
Seven Lessons
Brock Ray
1) Breaking Down the Silos
Moira Cullen, Design Director, Coca-Cola North America
Brand vs. Design
Brand vs. Design
Marketing
Brand vs. Design
Marketing Production
Brand vs. Design
Marketing Production
Intangible
Brand vs. Design
Marketing Production
Intangible Tangible
Brand vs. Design
Marketing Production
Intangible Tangible
Value
Brand vs. Design
Marketing Production
Intangible Tangible
Value Cost
Waste of Time and Money
Myth of the Rational Agent
70%Emotional
Move Tangibles to Intangibles
Move Tangibles to Intangibles
Create Engagements
4 “P”s
4 “P”s
Product
4 “P”s
Product
Price
4 “P”s
Product
Price
Position
4 “P”s
Product
Price
Position
Place
4 “P”s
Product
Price
Position
Place
Commodities
2 “E”s
2 “E”s
Emotion
2 “E”s
Emotion
Engagement
2 “E”s
Emotion
Engagement
Differentiation
How Do We Do It?
How Do We Do It?
Stamina & Perseverance
How Do We Do It?
Stamina & Perseverance
Personal Relationships
How Do We Do It?
Stamina & Perseverance
Personal Relationships
Understand Other Disciplines
“Design is the communication between brand partners and shareholders to define the brand.”
Moira Cullen
2) All Look, No Feel
Michael Hendrix, Tricycle, Inc.Bo Barber, Nood Floorcovering
1 Carpet Sample = 1 Quart of Oil
Environmental Report Card August 2004 – July 2005
SIM from Tricycle™ Alternative Samples Shipped
Gallons of Oil Saved
Pounds of Carpet Not Landfilled
Saved By Manufacturers
Environmental Report Card August 2004 – July 2005
SIM from Tricycle™ Alternative Samples Shipped
Gallons of Oil Saved
Pounds of Carpet Not Landfilled
Saved By Manufacturers
34,443
Environmental Report Card August 2004 – July 2005
SIM from Tricycle™ Alternative Samples Shipped
Gallons of Oil Saved
Pounds of Carpet Not Landfilled
Saved By Manufacturers
34,443
8,611
Environmental Report Card August 2004 – July 2005
SIM from Tricycle™ Alternative Samples Shipped
Gallons of Oil Saved
Pounds of Carpet Not Landfilled
Saved By Manufacturers
34,443
8,611
51,665
Environmental Report Card August 2004 – July 2005
SIM from Tricycle™ Alternative Samples Shipped
Gallons of Oil Saved
Pounds of Carpet Not Landfilled
Saved By Manufacturers
34,443
8,611
51,665
$4,729,825
Nood FloorCovering Green Means Green
Old School
Shoppers vs. Designers
New Is Cool
Dematerialization and Mass Customization
How It Works
“Design will fail if it’s only lipstick on a pig.”
Michael Hendrix
“If a 73-year old gets [Nood], it’s wrong.”
Bo Barber
3) Execute the Obvious to Rise Above the Competition
Scott Williams, Starwood Hotels
Complicated Research Process
Complicated Research Process
1. Asked Customers What They Want
Complicated Research Process
1. Asked Customers What They Want
2. Listened
Complicated Research Process
1. Asked Customers What They Want
2. Listened
3. Did It
Heavenly Bed
Hard To See The Obvious
The Problem With Focus Groups
Focus groups can be used to tell the CEO that what you think is right
Ethnography
[eth-'näg-r&-fE]the scientific description of the customs of individual peoples and cultures
What Marketing Ethnographers Learn
What Marketing Ethnographers Learn
How the product is used
What Marketing Ethnographers Learn
How the product is used
How the product is abused
What Marketing Ethnographers Learn
How the product is used
How the product is abused
What are the user’s expectations
“Buyers are liars!”
Scott Williams
4) The Business Case for Design
Harry Rich, Design Council, U.K.
Trust me. I’m a designer.
Trust me. I’m a designer.
Business Performance
Design Council, U.K.
200%Share Price Outperformance
Don’t Need Exceptional Results
I’m a professional who gets results, so trust me.
“Without design, companies end up competing on price alone, and that is a path to be avoided as it ultimately devalues your product or service.”
Harry Rich
5) Designing in Hostile Territory
Roger Martin, Joseph L. Rotman School of Management, University of Toronto
The Fundamental Tension
Reliability
Identical Or Consistent Results
Validity
Subjective But Accurate Results
Reliability vs. Validity
Reliability vs. Validity
Enterprise resource planning
Reliability vs. Validity
Enterprise resource planning A robust strategy
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems Creativity
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems
Incentive compensation
Creativity
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems
Incentive compensation
Creativity
Jobs that have meaning
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems
Incentive compensation
Meeting analysts’ quarterly targets
Creativity
Jobs that have meaning
Reliability vs. Validity
Enterprise resource planning A robust strategy
Customer relationship management Customer intimacy
Six Sigma and TQM Design excellence
Knowledge management systems
Incentive compensation
Meeting analysts’ quarterly targets
Creativity
Jobs that have meaning
A successful company
Five Tools for Designing in Hostile Territory
1) Take Design Unfriendliness as a Design Challenge
2) Empathize with the Unfriendly Elements
3) Speak the Language of Reliability
4) Use Analogies and Stories
5) Bite Off as Little a Piece as Possible to Generate Proof
“It's not that corporations don't like or want great design. It's just that when a validity-oriented design comes to an important corporate decision gate, the reliability-oriented question inevitably gets asked: ‘But can we prove this will work?’ Or, ‘How can we be sure this will work?’”
Roger Martin
6) Exporting Fast Food to China
LiAnne Yu, Cheskin
Pollo Campero
What Pollo Campero Found
1) Chinese Love Pollo Campero Chicken
What Pollo Campero Found
2) Don’t Know Anything About Guatemala
1) Chinese Love Pollo Campero Chicken
What Pollo Campero Found
What Pollo Campero Found
Proposed Position
1) Cheap Fried Chicken
Proposed Position
1) Cheap Fried Chicken
2) Eliminate Guatemalan Visuals
Proposed Position
Stop
Cultural Immersion
Ethnographers Who Speak Both Spanish and Mandarin
Cultural Immersion
Explore Both Cultures to Identify Similarities
Ethnographers Who Speak Both Spanish and Mandarin
Cultural Immersion
What Cheskin Found
1) U.S. Fast Food No Longer Aspirational
What Cheskin Found
1) U.S. Fast Food No Longer Aspirational
2) Chinese Mourn Loss of Traditional Lifestyle
What Cheskin Found
Revised Position
1) Casual Dining
Revised Position
2) Leverage Latin American Heritage
1) Casual Dining
Revised Position
“While we agree that people can’t always directly describe the product, service or brand they want, they can describe the functions, economics, feelings and meanings they value. They can show you how they live and can point out where their lives could be improved or enriched.”
LiAnne Yu
7) The SHIFT Report™
Kierstin De West, ci: Conscientious Innovation
ci: Conscientious Innovation
The SHIFT Report™
Time
Price
Knowledge
Pressure
Key Findings
1) Consumers Want To Be Told How To Live Sustainably
Key Findings
1) Consumers Want To Be Told How To Live Sustainably
2) Consumers Want Products That Will Help Them Do That
Key Findings
“Brands that understand this consumer and authentically manifest these values are poised to take advantage of an increasingly discerning marketplace.”
Kierstin De West
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