THE EXPERIENCE [r]EVOLUTION
By Talia Bravo & María Jesus Domeyko
The border between products and services is merging into integrated experiences.
2 main reasons for this to happen:
1. Experience over products & services
Studies show that spending our hard-earned money on experiences actually makes us happier often because they can be shared with others in the moment, as well as offering shareability on social media. In short, experiences are a way to build community and to deepen relationships.
Case: Airbnb now offers an Experience service that lets you immerse into local life as a traveler, rather than simply seeing typical tourist traps.
2. Liquid experiences
The last best experience that anyone has anywhere becomes the minimum expectation for the experiences they want everywhere.
Case: Fintechs are creating 100% digital experiences where in one click customers can create an account, as simple as ordering a taxi.
Applying Design to Businesses is at the heart of creating exceptional experiences with real impact
Start-ups are the ones that create and give success to this movement
The Experience [r]evolution Cases
TESLA
Industry: Electric Vehicles (EV)
“Turning the way of buying cars into a digital experience”
THE DESIGN CULT
“Tesla’s mission is to accelerate the world’s transition to sustainable energy.”
DATA OVER GUTS
Tesla, Inc. regularly evaluates customer experience and feedback that helps to pave the next generation in improving its software spectrum and the sufficiency of its vehicles.
(NPS = 90%)
ITERATION OVER PERFECTION
Tesla, unsurprisingly, operates like a software company. It iterates and rolls out improvements as they come. It takes in feedback regularly, as if it thrives on new ideas, solving problems, continuous improvement and iteration.
REAL ECONOMIC COMMITMENT
Tesla’s modus operandi is to sell high-end cars in different car segments, and use the profits to realize greater efficiencies in the production and distribution process, in order to bring down the unit price and expand its market share.
#Sustainability #Touchless experience #Mobile first
Netflix
Industry: Entertainment
“Personalizing the access to entertainment”
THE DESIGN CULT
“Quality entertainment on your free time, 24/7”
DATA OVER GUTS
Netflix offers personalized lists and recommendations, based on the content that each user watches.
ITERATION OVER PERFECTION
Netflix’ service proposal evolution:
- 1998 — Sending physical copies of films through the standard mailing system, in a pay-for-use model
- 1999: Subscription model
- 2013: Self-produced programs
- 2019: Streaming service
- 2021: Looking for the next step
REAL ECONOMIC COMMITMENT
Netflix strives to create a “dream team” of top performers by emphasizing flexibility, speed, and continuous improvement of its workforce.
#On-demand #Personalized experience #Watch everyone, anytime
Warby Parker
Industry: Optical
“Buying eyewear should leave you happy and good-looking, with money in your pocket”
THE DESIGN CULT
Tired of spending so much money on eyewear? Warby Parker offers designer eyewear sold digitally, at a revolutionary price, leading the way to a socially conscious business model — “buy a pair, give a pair”
DATA OVER GUTS
Since buyers usually receive the glasses in their office and try them on in front of their co-workers, they generated an offline viral situation that helped to attract new customers: they understood that one customer has the potential to multiply by many more.
ITERATION OVER PERFECTION
Warby Parker has been iterating its business model from the beginning:
- Intention to use facial recognition software try on the glasses “virtually”
- Home try to be able to sell virtually
- Simple, user-friendly design and out of distractions website
REAL ECONOMIC COMMITMENT
At Warby Parker the experience design was key. They designed different points of contact with the brand: from the moment the user enters one of the shops, calls the call centre, receives their glasses, opens the order box, and finds their pair of glasses.
#Virtual purchase, Get 5, keep 1 #Omnichannel experience #Cost cutter
Starbucks
Industry: Retail Coffee
“It’s not just a place for a couple of coffees, it’s your third living place”
THE DESIGN CULT
Becoming your “third living place”, after home and the workplace. We deliver experiences through offering a consistent service everywhere.
DATA OVER GUTS
When Starbucks tried to set up shop in Milano, Italy, the country was reluctant to trade its iconic one-finger tall espressos for caramel macchiatos in tall cups. Starbucks adapted its value proposition through a special decoration for the coffee shop, that blends the most exclusive Milanese luxury, with a tribute to Italian coffee traditions.
ITERATION OVER PERFECTION
They need to be continually evolving to seize the moment and keep up with social changes. Also, they must adapt to the particularities of each place where they are present. The third place is not necessarily fixed places; they are, above all, an evolving philosophy, an organizational culture.
REAL ECONOMIC COMMITMENT
Starbucks’ commitment towards their customers does not only goes for coffee. It goes for the experience. Even if they stop selling coffee, customers would still go for the rest of the experience; a co-working place, a customized service, good wifi, comfortness and beyond.
#Personalized experience #Market trends adaptive #Customer First
This articule was created by:
Talia Bravo
Business & Design Lead
Raven
María Jesus Domeyko
Business & Design Consultant
Raven
If you like this article, you should read “6 key principles to apply Design to Business in a successful way” written by Talia Bravo
