Every time we run a breakfast briefing we get the same feedback – “I wish my boss was here!”   When Fly Buys asked us to speak at their national conference earlier this month, we saw the perfect opportunity to present a clear argument for why organisations need to treat the user experience as their number one priority. In other words, we think we’ve finally put together the presentation you’ve been asking for!   So grab your boss, come along and hear:   How widespread broadband, smart phones and social media is fracturing our attention and driving us to abandon traditional touchpoints (like stores and call centres) for emerging touchpoints (like Facebook and apps) Why many consumers use more than one touchpoint to make a purchase, even though they are less satisfied as a result How people are becoming less tolerant of poor service and why many organisations struggle to see it How loyalty (not customer satisfaction or NPS) is the best predictor for revenue growth, and how you can increase it The key to creating great user experiences – it’s Design with a capital D Stories of New Zealand innovation – including more examples of real projects than you would have heard at any other Optimal Usability presentation   Even if you can’t get the boss to come and are already convinced about the importance of the user experience, it’ll be worthwhile attending to hear the latest user experience statistics from New Zealand, Europe and the US.

1. Why user
experience
is more
important
than
marketing
Trent Mankelow
Optimal Usability

3. AIR NZ:
“come to queensland
why don’t cha!?”

5. Nice site

6. This port
douglas deal
looks good

7. Looks
promising. Ok,
where next?

8. Apparently I have to
use the “fare finder”.
That’s a bit weird

9. Ok, I’ll plug in
some random
dates

10. What the…?!

11. Is this the same site?
Where’s the hotel I was
looking AT?

12. Oh here it is – way
down the bottom

13. hang on – why is it so
expensive? wasn’t the
deal for $435 per
person?

14. Oh that’s right, it did
say something about “7
nights”. How do I
change the dates?

15. Oh well, start again.
This time with 7 days
instead of 10…

16. It’s still not $435 per
person! I can’t be
bothered…

19. Over $2B was spent on
advertising in New Zealand in
2010
Source: http://www.asa.co.nz/industry_turnover/media_turnover_with_explanatory_notes_2010%20final%20.pdf

20. The bad news

21. Our attention is fracturing

22. Consumers decrease time with traditional touchpoints…
Stores / branches
•More than 1 in 4 UK adults claim that online product reviews have a
major influence on their purchasing decisions 1
•Only 16% of Americans prefer to deal with a customer-service problem
in person 2
TV
•US online adults spend equal amounts of time – 13 hours a week –
watching TV and being online 3
Other media
•The percent of US online adults reading print newspaper has fallen from
81% in 2007 to 73% in 2010 3
1 TGI, June 2011 2 What’s wrong with customer service?’, Consumer Reports, July 2011 3 Forrester Research, 2010

23. … and increase engagement with newer emerging ones:
The Web
•Online retail expenditure now accounts for 5.1% of all retail sales in New
Zealand 4
•My Dad is the only one left in New Zealand who is not online
Mobile
•New Zealand’s mobile penetration is estimated to be 120% 6
•Within five years the number of users accessing the Web from mobile
devices will surpass the number who access it from PCs 7
•Global shipments of smartphones and tablets surpassed shipments of
desktop PCs and notebooks in Q4, 2010 8
Social networks
•96% of Kiwi Internet users visited a Social Media site in May 2011 5
•34% of Kiwi shoppers follow an online shopping site on Facebook 4
4 Digital Media Research 2011, PwC and Frost & Sullivan 5 comScore State of The Internet with a Focus on New Zealand, July 2011
6 http://www.nbr.co.nz/opinion/what-2degrees-should-announce-tomorrow 7 http://www.wired.com/magazine/2010/08/ff_webrip/all/1 8 http://www.slideshare.net/kleinerperkins/kpcb-top-10-mobile-trends-feb-2011

24. We live in a multichannel world

25. Example: My TV Buying
Experience

26. I started my
research on
the consumer
website…

27. Found the
cheapest price
using
pricespy…

28. Bought the tv
online through
noel leeeming…

29. Your TV is ready
to pick up!

30. Went into the
store to pick it
up…

31. A new TV!!

32. Websites
Communications
Physical environments
Customer-facing staff
Multiple
organisations,
channels and Payment systems
interactions,
across time
Packaging

33. Pop quiz
What percentage of people cross at
least two channels when making a
purchase?
a) 15%
b) 30%
c) 50%
d) 70%

34. 70%
Source: Profiling The Multichannel Consumer
How Retailers Can Enable Multichannel Consumer Behavior
Forrester Report July 29, 2009, By Patti Freeman Evans

35. Consumers who gave channel or channel transition a 4
or 5 on a scale from 1 (not satisfied) to 5 (very
satisfied):
Bought in a store 82%
Researched a product online
and bought it in a store 61%
Bought online
61%
Researched a product in the
store and bought it online 56%
Source: http://www.retailtouchpoints.com/cross-channel-strategies/201-forrester-shoppers-show-cross-channel-eagerness-but-satisfaction-levels-slump-.html

36. Consumers who gave channel or channel transition a 4
or 5 on a scale from 1 (not satisfied) to 5 (very
satisfied):
Most people
use more than
one channel,
Bought in a store And are less 82%
satisfied as a
result
Researched a product online
and bought it in a store 61%
Bought online
61%
Researched a product in the
store and bought it online 56%
Source: http://www.retailtouchpoints.com/cross-channel-strategies/201-forrester-shoppers-show-cross-channel-eagerness-but-satisfaction-levels-slump-.html

37. Websites
Communications
Physical environments
Customer-facing staff
More channels
= more failure
points Payment systems
= more likely
to have a bad
experience Packaging

38. 64% of respondents had left a
store because of poor service
in the last 12 months.
67% had hung up on
customer service without
having their issue addressed.
Source: What’s wrong with customer service?, Consumer Reports, July 2011

39. 80%
Many
organisations
have a blind
spot when it
comes to their
customer
experience
8%
Companies that believe Companies whose
they provide a superior customers agree
proposition
Source: http://www.bain.com/bainweb/PDFs/cms/Public/BB_Closing_delivery_gap.pdf

40. The bad news
Our attention is fracturing across
channels, and many of us use more than
one channel to make a purchase
Those who use more than one channel
are less satisfied, and less tolerant
towards poor service
And companies can’t see the blind spots
in their customer experience

41. The good news

42. Design is the key

43. Design is not just what
it looks like and feels
like. Design is how it
works.
- Steve Jobs
Source: http://experiencematters.wordpress.com/2011/08/25/customer-experience-lessons-from-steve-jobs/

44. Design isn’t just about
making things
beautiful; it’s also
about making things
work beautifully.
- Roger Martin

45. We need to design the entire
experience:
across interactions and across
channels

46. How do you “do” design?
The uk design
council looked at
11 world-leading
companies and
found their
design processes
mapped to 4
stages…

47. Source: http://www.designcouncil.org.uk/about-design/How-designers-work/The-design-process/

48. 1. DISCOVER

49. 1. Who your users are
2. Their goals
3. Their characteristics
4. Their context of use
5. Existing usage

50. FOCUS
GROUPS
ARE aren’t
enough

51. More than 60% of
participants testing a
new kitchen appliance
indicated that they were
“likely” or “very likely” to
buy it in the next 3
months.
8 months later, only 12%
had.

52. Focus group
participants will
tell you they
don’t like all the
sex and violence
on tv. Yet what
do we watch? Sex
and violence.

53. Observation is the key to the
Discovery phase
You have to go
beyond what
people say and
watch what
they do

54. Field studies: Who users are, goals, characteristics, context

56. On-street videos: Who users are, characteristics, goals

57. In-lab user testing: Who users are, goals, characteristics

60. Analytics: Existing usage

61. Surveys: Who users are, characteristics, goals

65. Eye tracking: Existing usage

66. Customer
complaint
info is what
draws the
eye!

67. 2. DEFINE

68. Customer journey maps

72. Personas

73. PERsonas
can help
drive the
strategy
& design

74. 3. DEVELOP

75. Myth: the
design
process is
necessarily
chaotic

76. Myth: great
design is
part MAGIC

77. TRUTH: great
design involves
users early and
often, is
iterative, and is
participatory

88. WEB

89. STORE
DESIGN

90. mobile

92. Contact
centre

93. There is even
an iso
standard for
this stuff!
(ISO 13407)

94. 4. DELIVER

95. Sorry! This is where we’d normally
show you all the sexy stuff we did
with the Air New Zealand Skycouch.
Unfortunately we can’t put the
photos online, so drop us a line if
you’d like us to run you through
them in person.
trent@optimalusability.com

96. Imagine if…

97. Over $2B was spent on
Improving the customer experience
advertising in New Zealand in
2010

98. Source: State of The Internet with a Focus on New Zealand - comScore , July 2011

99. Advertising is the
price you pay for
having an
unremarkable
product or service.
- Jeff Bezos
Source: http://blog.seattlepi.com/amazon/2009/05/28/amazons-jeff-bezos-on-kindle-advertising-and-being-green/

102. And BE more
loyal…

103. Loyalty is the best predictor of
repurchase and growth…

104. .. And reducing customer effort
has the greatest impact on
loyalty

105. Consumers spend between 7 –
22% more with companies that
they believe provide excellent
customer service.
Source: American Express Global Customer Service Barometer, May 2011

106. In
conclusion

107. World-class organisations
don’t compete on service,
products, technology or
features.
They compete on
experience.

108. Websites
Communications
Physical environments
Customer-facing staff
Payment systems
Packaging

109. You are here

111. 9 years
experience
190
clients
19
industries

113. We love to design
cross-channel
customer experiences.
Talk to us today
trent@optimalusability.com
Sign up to our newsletter at
www.optimalusability.com!

114. Image credits
Slide 1: http://www.kewlwallpapers.com/bulkupload/73/Animals/Bear%20Boxing.jpg
Slide 4: http://www.imgbase.info/images/safe-
wallpapers/photography/beach/18223_beach_tropical_palm_beach.jpg
Slide 21: http://www.flickr.com/photos/jesse757/3094868007/sizes/l/in/photostream
Slide 30: http://www.dnzproperty.com/images/objectImages/highres_images/PMC-Noel-Leeming.jpg
Slide 42: http://www.pollsb.com/photos/o/30630-key.jpg
Slide 43: http://themoodbooster.net/wp-content/uploads/2011/10/Steve_Jobs_portrait_by_tumb.jpg
Slide 44: http://www.phorecast.com/wp-content/images/dean_roger_martin.jpg
Slide 50: http://www.msresearchinc.com/images/Focus%20Group.jpg
Slide 52: http://errornotfound.files.wordpress.com/2011/06/true-blood-true-blood-7167238-1280-1024.jpg
Slide 76: http://www.viruscomix.com/creativevitaerc.jpg
Slide 77: http://www.alistapart.com/d/demystifying-design/demystifying-design.jpg
Slide 91: http://img.scoop.co.nz/stories/images/1103/richardsimmons.jpg
Slide 100: http://theasiacareertimes.com/wp-content/uploads/2011/07/bezos.jpg
Slide 101: http://en.wikipedia.org/wiki/File:Line_at_Apple_Store_in_NYC.jpg
Slide 102: http://theoatmeal.com/comics/customer_service