presented by: bob cooper president

Presented by:Presented by:Bob CooperBob CooperPresidentPresident

Thinking Outside InThinking Outside InIdentifying New Service Revenue Identifying New Service Revenue

Opportunities Opportunities

Where are we, right Where are we, right now?now?

About MeAbout Me

journalist, technical writer, marketer, journalist, technical writer, marketer, interactive multimedia designer, entrepreneur, interactive multimedia designer, entrepreneur, CEO CEO fundraiser, fire-jumper, strategist, advisor, fundraiser, fire-jumper, strategist, advisor, coachcoachservice designer service designer

Workshop AgendaWorkshop AgendaHow can you use service design to identify new How can you use service design to identify new sources of revenue within your existing sources of revenue within your existing business?business?

Our 3X3 ModelOur 3X3 ModelCase studiesCase studiesThink and share exercisesThink and share exercisesRealtime designRealtime design

Why look for new Why look for new services?services?

new revenuenew revenueflexible and adaptableflexible and adaptablelow capital requirementslow capital requirementseasy to launcheasy to launchhigh margin (when done right)high margin (when done right)

Cooper’s RulesCooper’s RulesWhere there is mystery, there is margin.Where there is mystery, there is margin.Create value and money will follow.Create value and money will follow.The first wave of any technology is alway The first wave of any technology is alway overhypedoverhypedbut the second wave is always but the second wave is always underestimated.underestimated.What goes around, comes around.What goes around, comes around.

Our ProcessOur ProcessDefineDefineDiscoverDiscoverSynthesizeSynthesizeAnalyzeAnalyzeDesignDesignBuildBuildLaunchLaunch

Service Design - 3X3 Service Design - 3X3 ModelModel

whatwhatbusinessbusiness

needsneeds

what what humanshumans

wantwantwhatwhat

technolotechnologygy

enablesenables

sweet spotsweet spot

Time-based opportunitiesTime-based opportunities (1-Dimensional) (1-Dimensional)Depth-based Depth-based opportunities opportunities (2-Dimensional)(2-Dimensional)Intersecting opportunities Intersecting opportunities

(3-Dimensional)(3-Dimensional)

First: Understand Your First: Understand Your “Core”“Core”

What is your “end game?”What is your “end game?”What do YOU need?What do YOU need?What do YOU want?What do YOU want?What are YOU really good at?What are YOU really good at?What do YOU enjoy doing?What do YOU enjoy doing?What business are YOU REALLY in?What business are YOU REALLY in?


needsneeds

What Are Your Assets?What Are Your Assets?PeoplePeopleInformation Information KnowledgeKnowledgeTechnologyTechnologyRelationshipsRelationshipsProximityProximityProcessProcessOther?Other?

Hidden, taken-for-granted, disdained... Hidden, taken-for-granted, disdained...

El MariachiEl Mariachi81 minute feature film81 minute feature film

$7,000 budget$7,000 budget

1. Sin City 3 (2011) (in production) 2. Sin City 2 1. Sin City 3 (2011) (in production) 2. Sin City 2 (2010) (pre-production) 3. Shorts (2009) (post-(2010) (pre-production) 3. Shorts (2009) (post-production) 4. Planet Terror (2007) 5. Grindhouse production) 4. Planet Terror (2007) 5. Grindhouse (2007) (2007) 6. The Adventures of Sharkboy and Lavagirl 3-D 6. The Adventures of Sharkboy and Lavagirl 3-D (2005) 7. Sin City (2005) 8. Ten Minute Film (2005) 7. Sin City (2005) 8. Ten Minute Film School: Big Movies Made Cheap (2004) School: Big Movies Made Cheap (2004) 9. Ten Minute Cooking School: Puerco Pibil (2004) 9. Ten Minute Cooking School: Puerco Pibil (2004) 10. Ten Minute Flick School: (2004) 11. Inside 10. Ten Minute Flick School: (2004) 11. Inside Troublemaker Studios (2004) 12. Once Upon a Time Troublemaker Studios (2004) 12. Once Upon a Time in Mexico (2003) 13. Spy Kids 3-D: Game Over in Mexico (2003) 13. Spy Kids 3-D: Game Over (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: (2003) 14. Del Castillo: Live (2003) 15. Spy Kids 2: Island of Lost Dreams (2002) 16. Spy Kids (2001) Island of Lost Dreams (2002) 16. Spy Kids (2001) 17. The Faculty (1998) 18. Ten More Minutes: 17. The Faculty (1998) 18. Ten More Minutes: Anatomy of a Shootout (1998) 19. The Robert Anatomy of a Shootout (1998) 19. The Robert Rodriguez Ten Minute Film School (1998) 20. From Rodriguez Ten Minute Film School (1998) 20. From Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Dusk Till Dawn (1996) 21. Four Rooms (1995) 22. Desperado (1995) 23. Roadracers (1994) (TV) 24. Desperado (1995) 23. Roadracers (1994) (TV) 24. "Rebel Highway" (1 episode, 1994) 25. Mariachi, El "Rebel Highway" (1 episode, 1994) 25. Mariachi, El (1992) 26. Bedhead (1991)(1992) 26. Bedhead (1991)

Robert RodriguezRobert Rodriguez

Fresh EyesFresh Eyes

Receptionist: “Director of First Impressions”Receptionist: “Director of First Impressions”Consultants = New PerspectiveConsultants = New PerspectiveBe willing to plan how to burn down your Be willing to plan how to burn down your businessbusinessWhat If?What If?Why Not? Why Not?

Exercise: Exercise: What are all the assets you have?What are all the assets you have?Which are taken for granted?Which are taken for granted?Who would be interested in Who would be interested in those/that?those/that?

Example:Example:CHCCHC

TechnologyTechnologyThe great seducerThe great seducerTechnology matters less and less...Technology matters less and less... and more and more and more and moreCommoditizationCommoditizationIntegral to everything, but shouldIntegral to everything, but shouldnot be the driver!not be the driver!

whatwhattechnolotechnolo

gygyenablesenables

And yet...And yet...Certain technologies have (and will) Certain technologies have (and will) fundamentally change thingsfundamentally change thingsBroadbandBroadbandStorageStorageMobileMobileGeo-LocationGeo-LocationPervasivenessPervasiveness

whatwhattechnolotechnolo

gygyenablesenables

Exercise: Exercise: How can/will broadband connectivity How can/will broadband connectivity change your business?change your business?

Example:Example:OTMOTM

Customer ChainCustomer ChainConsists of Consists of

Multiple TouchpointsMultiple TouchpointsInteractionsInteractionsExperiencesExperiences

Person to PersonPerson to PersonPerson to MachinePerson to MachineMachine to Machine Machine to Machine


wantwant

Customer ChainCustomer Chain

ServiceService


ServiceService

ExperiExperienceence

InteraInteractionction


















RestaurantRestaurantMealMeal

ChoosiChoosingng

SearcSearchh

DemaDemandnd

PositioPositioningning

GoingGoing

OrderiOrderingng

EatingEating

LeavinLeavingg

ReservReservationation

ParkiParkingng

SignaSignagege

MenuMenuTimeliTimelinessness

WaiteWaiterr

SatisfiSatisfieded

PayinPaying Billg Bill

Food Food PrepPrep

CleanlCleanlinessiness

Then, Talk With Then, Talk With CustomersCustomers

Sounds simple, right?Sounds simple, right?Amazing how many people don’tAmazing how many people don’tEthnographic research vs focus groups or Ethnographic research vs focus groups or surveyssurveysLots of tools for this...Lots of tools for this...

Understanding Understanding CustomersCustomers• Customer journey mappingCustomer journey mapping

• Ethnographic researchEthnographic research

• Culture huntsCulture hunts

• Participant journalsParticipant journals

• Contextual interviewsContextual interviews

• ShadowingShadowing

• Experience surveyingExperience surveying

• FilmingFilming

• PersonasPersonas

• Empathy toolsEmpathy tools

• Card sortingCard sorting

• Relationship mappingRelationship mapping

• Graphic facilitationGraphic facilitation

• Co-creationCo-creation

• StoryboardingStoryboarding

• Service prototypingService prototyping

• Desktop walkthroughsDesktop walkthroughs

• Service specificationsService specifications

• Service blueprintService blueprint

Ask, Observe, Co-Design!Ask, Observe, Co-Design!

Understanding Understanding CustomersCustomers

What do your customers actually need or What do your customers actually need or want?want?What do your customers actually What do your customers actually getget? ? How do they think of you?How do they think of you?Redefine your market in terms of customer Redefine your market in terms of customer activities and customer outcomes - not activities and customer outcomes - not “products and services”“products and services”

Customer JourneyCustomer JourneyTime-based sequence of logically related activitiesTime-based sequence of logically related activitiesConsumersConsumers

Stage of life (education, career, parenting, retiring)Stage of life (education, career, parenting, retiring)Specific interest (rock climbing, auto restoration)Specific interest (rock climbing, auto restoration)Ownership of asset (home, car, camera, Ownership of asset (home, car, camera, motorcycle)motorcycle)

BusinessBusinessProcess (logistics, risk management, HR, finance)Process (logistics, risk management, HR, finance)Assets (computer equipment, machinery, trucks)Assets (computer equipment, machinery, trucks)

Customer JourneyCustomer Journey

Leads to defined customer outcomesLeads to defined customer outcomesRetirees want “financial independence”Retirees want “financial independence”Diners want “good food without the hassle”Diners want “good food without the hassle”Computer buyers want “higher productivity”Computer buyers want “higher productivity”Flyers want “to get there on time with a Flyers want “to get there on time with a positive attitude”positive attitude”

Exercise: Exercise: What do your customers What do your customers buybuy from from you?you?What do they ultimately What do they ultimately wantwant??

Example:Example:AvanceonAvanceon

Service Design - 3X3 Service Design - 3X3 ModelModel


needsneeds


wantwantwhatwhat

technolotechnologygy

enablesenables

new service revenuenew service revenue

3X3 Model 3X3 Model

Time-based opportunities (1-Dimensional)Time-based opportunities (1-Dimensional)Depth-based opportunities (2-Dimensional)Depth-based opportunities (2-Dimensional)Intersecting opportunities (3-Dimensional)Intersecting opportunities (3-Dimensional)

Time-Based Opps (1-D)Time-Based Opps (1-D)

Add services that come Add services that come beforebefore your your salesale

Why couldn’t Continental offer Why couldn’t Continental offer parking?parking?

Add services that come Add services that come afterafter your sale your saleLuggage delivery service?Luggage delivery service?

Time-Based Opps (1-D)Time-Based Opps (1-D)Add services that Add services that accompanyaccompany your core your core

Rent a GPS unit to people renting carsRent a GPS unit to people renting carsSupplementSupplement your core with a network- your core with a network-based servicebased service

On-Star / Avanceon / Rock crusherOn-Star / Avanceon / Rock crusherProvide ongoing Provide ongoing updatesupdates

Most software todayMost software today

customize the core for customers?customize the core for customers?store the product for customers?store the product for customers?replace your customer’s inventory-replace your customer’s inventory-control?control?take over your customer’s low value take over your customer’s low value (no value) processes?(no value) processes?leverage your leverage your process expertiseprocess expertise??

Depth-Based Opps (2-D)Depth-Based Opps (2-D)

Intersecting Opps (3-D)Intersecting Opps (3-D)Leverage your Leverage your knowledge, assets, knowledge, assets, brand, experience in brand, experience in other markets other markets

Find the intersections Find the intersections with other customer with other customer journeys in other marketsjourneys in other markets

Could be close or could Could be close or could be far awaybe far away

Intersecting Opps (3-D)Intersecting Opps (3-D)

PurchasingPurchasinga Cara Car

Current Current Market: Market: TravelTravel

Having a Having a BabyBaby

Buying Buying InsuranceInsurance

DeDemanman

dd

DeDemanman

dd

CaterinCateringg

ChChoosoosinging

SeSeararchch

DeDemmananddPosPositioitioninningg

GoiGoingng OrOr

derderinging

EatEatinging

LeLeaviavingngReRe

serservatvationionPaParkirkingng

SigSignanagege MeMe

nunu

TiTimemelinlinessess

WWaitaiterer

SaSatistisfiefieddPaPa

yinying g

BillBillFoFood od PrePreppCleCle

anlanlineinessss

RestaurRestaurant ant

MealMeal

ChChoosoosinging

SeSeararchch


GoiGoingng OrOr

derderinging

EatEatinging

LeLeaviavingngReRe


SigSignanagege MeMe

nunu


WWaitaiterer


yinying g


anlanlineinessss

Order Order TakeouTakeout Onlinet Online

ChChoosoosinging

SeSeararchch


GoiGoingng OrOr

derderinging

EatEatinging

LeLeaviavingngReRe


SigSignanagege MeMe

nunu


WWaitaiterer


yinying g


anlanlineinessss

DeliverDeliveryy

ChChoosoosinging

SeSeararchch


GoiGoingng OrOr

derderinging

EatEatinging

LeLeaviavingngReRe


SigSignanagege MeMe

nunu


WWaitaiterer


yinying g


anlanlineinessss

Event Event HostingHosting

ChChoosoosinging

SeSeararchch


GoiGoingng OrOr

derderinging

EatEatinging

LeLeaviavingngReRe


SigSignanagege MeMe

nunu


WWaitaiterer


yinying g


anlanlineinessss

PeoplPeoplee

KnowlKnowledgeedge

AssetsAssets ProceProcessss

No Patents?No Patents?

No Proprietary Process?No Proprietary Process?

No Products?No Products?

No Problem!No Problem!

ConclusionConclusion

Get outside your box - and look at it with new Get outside your box - and look at it with new eyeseyesKnow what you don’t knowKnow what you don’t knowTalk with and watch your customersTalk with and watch your customersAim/Fire, Aim/Fire, Aim/Fire Aim/Fire, Aim/Fire, Aim/Fire Be 80% right - and keep movingBe 80% right - and keep moving

ThanksThanksEmail: Email: [email protected] & Blog: Website & Blog: www.FrontierServiceDesign.com

mailto:[email protected]

http://www.FrontierServiceDesign.com/

presented by: bob cooper president

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