Lou Carbone - Customer Experience (70 min)

http://itc.conversationsnetwork.org/shows/detail1749.html

In this entertaining talk at Adaptive Path, Lou Carbone, author of 'Clued-in', shows us:

How companies make the customer/you feel
vs
How people feel about companies & products

-------------------------------------------------------------------------
Clue-out vs clued-in of customer experience
Howard Johnson's: Cutting cost for efficiency at the expense of the customer

vs

Disney: Being in the customer's head by making an emotional connection

Relationship drive by Data vs customer experience (Northwest)
Having customer relationship management system/data doesn’t mean you have a relationship with the customers. Why would it?
Northwest think Lou is a very loyal customer with a gold membership, but he would leave in a heartbeat. ‘They do not understand how they make me fell, which is in turn how I feel about them…In one moment I went from hero to zero’

Satisfied customers NOT= Loyal customer
Satisfied customer does not mean loyal customer; In the car rental industry, 60-80% Customers that leave was satisfied customers.
Key question: Would you recommend this experience to a friend?

Clued in
Hair cut experience: Lou became a loyal customer with an incredible experience though a series of small clues; even though he had a horrible haircut.

We have experiences that we:

Reject, Accept or Preferred -> then we create the reason afterward

Remember: Decisions people make are rational & emotional

Going from the world of product to experience
The worst thing happened to Banking industry was product, they used to be in the service business. By thinking they have product, they lost sight of the relationship.

It's not just about quality, but the impact customer experiences as well.
Designing business experiences, such as Starbucks & iPod by increasing value, then profitable also got increased.
-------------------------------------------------------------------------
Key Message:
All the numbers in business are made up of people & what people do & feel. The brand value & customer value fuel each other

-> it’s about how customers associate with product.

Peter Drucker said:

‘The reason for a business’ existence is
to create value for the customer
& profit is the reward.’