Designing the moments that matter

Nov 3, 2021 | Blog

Subscribe

Stay up to date with the latest CX expert tips and news.

Design thinking, experience design or service design. Sometimes our playing field seems to be dominated by jargons. Pretty similar terms but what do these words actually mean? And why is it worth to understand?

The boundaries between physical products and services are blurring and, in most cases, one doesn’t exist without the other. We need to think in systems and understand the ecosystem in which services and physical products operate. The ultimate goal is to create great experiences that your customers are willing to pay.

A good definition of service design in “This is service desing thinking” book by Marc Stickdorn and Jakob Schneider is as follows:

“Service Design is a practical approach to the creation and improvement of the offerings made by organizations. […] It is a human-centered, collaborative, interdisciplinary, iterative approach which uses research, prototyping, and a set of easily understood activities and visualization tools to create and orchestrate experiences that meet the needs of the business, the user, and other stakeholders.”

When it comes to design thinking, it’s more about a mindset, a way of thinking. It is about using a process of diverging and converging to solve a wide range of problems. Service Design is mostly practiced by designers. It makes use of more elaborate and extensive design methods, focuses on the development of services and can directly impact all touchpoints of an organisation. Applying tools is important and business objectives are service related, like increasing NPS or reducing churn.

 

Principles of Service Design:

In their book, This is Service Design Doing, Marc Stickdorn and Jakob Schneider, collected six key characteristics of the service design approach.

These six principles of service design doing are:

Human-centered: Consider the experience of all the people affected by the service.

Collaborative: Stakeholders of various backgrounds and functions should be actively engaged in the service design process.

Iterative: Service design is an exploratory, adaptive, and experimental approach, iterating toward implementation.

Sequential: The service should be visualized and orchestrated as a sequence of interrelated actions.

Real: Needs should be researched in reality, ideas prototyped in reality, and intangible values evidenced as physical or digital reality.

Holistic: Services should sustainably address the needs of all stakeholders through the entire service and across business.

 

Business Impact of Service Design:

McKinsey & Company conducted a research on what they call ‘the most extensive and rigorous research’ into design. They assessed 300 publicly listed companies and measured how well they integrated design in their company and compared that with their financial performance.

Companies that put design at their core increase revenues and shareholder returns at nearly twice the rate of their peers!

Conclusion

Service design is a mindset, having outside-in approach and passion for the customer and improvement. It is also a tool set, helps you to explore possible problems and opportunities. Service design is also a structured process and a cross-disciplinary language with the customer at its center, breaking silos and with the customer at its center, and stimulates collaboration between departments.

https://www.mckinsey.com/business-functions/mckinsey-design/our-insights/the-business-value-of-design

 

If you want to learn more about cases where Alterna CX Voice of Customer solution was used for service design, contact us at expertopinion@alternacx.com

 

Related Resources

Webinar_Iutecredit CX success story

Webinar

IuteCredit: Improving Customer Experience in Four Countries with a Streamlined Voice of the Customer Program

On our best practice webinar series, we are joined by Andrus Kotri, Customer Experience Manager at IuteCredit, to discuss how they’ve transformed their company culture through a comprehensive voice of the customer program

Blog Post

Creating a Voice of Customer Program and Making it Work

 Simply, Voice of Customer (VoC) refers to the process of collecting customer feedback about a business, its products and services. Many companies believe that they have a VOC program in place, because they collect customer feedback through surveys. In reality, they don’t.There is a lot more in a VoC program than simply sending out surveys.

Read More

Blog Post

How to Be a Loyalty Leader? 5 Concrete Steps to Become One

 4 years in a row Amazon has been listed as the loyalty leader in the US according to Brand Key’s latest annual loyalty study. What puts the companies at top of the list is simple: for these companies; Customer Loyalty is more than a marketing term or KPI to measured but it is an asset to be developed.

Read More

 

 

 With increasing competition across industries, it is more important to understand what customers are thinking about the products and/or services provided by companies.
Voice of Customer program enables companies to systematically capture, track, and analyze customer feedback and act based on the collected insights.

Discover Voice of Customer Solution

 

 

Ready for simple CX?

Related Resources

CX Signals and Slack Pair for a Perfect Fusion in Organizational Culture

CX Signals and Slack Pair for a Perfect Fusion in Organizational Culture

by | Apr 25, 2022 | Blog | 0 Comments

Slack has come a long way since its inception back in 2009.  Currently, users send over 1.5 billion messages per month. According to Slack statistics from 2021, 88,000...

How to Choose the Right Customer Experience Platform

How to Choose the Right Customer Experience Platform

by | Mar 30, 2022 | Blog | 0 Comments

Customer Experience (CX) is the overall experience that customers have during the relationship with the delivered product/ service from first contact to becoming a...

Getting Actionable Insight from Unstructured Customer Feedback

by | Mar 17, 2022 | Blog | 0 Comments

Many customers want to tell you what they think and how they feel. Are you really listening to them? Most likely your answer is “YES” and you’re not alone! It is fair...

Enabling Technology for Better CX Management

by | Mar 15, 2022 | Blog | 0 Comments

Twenty to thirty years ago, our needs and requirements were limited compared to today's world, so products and services were designed much simpler with customer...

Leveraging Internal Communication for Better CX

Leveraging Internal Communication for Better CX

by | Feb 23, 2022 | Blog | 0 Comments

We already know that good CX quality and customer loyalty drive successful business growth. What most firms overlook is that they should prioritize the “people factor”...

10 Simple Steps to Boost Employee Engagement

by | Feb 10, 2022 | Blog | 0 Comments

COVID-19 has emotionally exhausted many employees leading to a collective burnout. The term “great resignation,” which refers to the high number of people who have quit...

The “EX” Factor

by | Jan 27, 2022 | Blog | 0 Comments

A company can see its definition as a “customer-centric company” as its proudest achievement today. This could only be possible with customer focused employees. A...

The key piece of the puzzle: Change management

by | Jan 13, 2022 | Blog | 0 Comments

In many customer experience research, expert interviews and case studies, we often see how important the concept of change management is for CX. There is no doubt that...

Dream customer experience team – the “starting five”

by | Dec 15, 2021 | Blog | 0 Comments

Forrester recently shared 2022 predictions about customer experience. One of the predictions was: Customers will Want Over Half of the Pandemic-Era Services to Become...

Request a Demo

Seeing is believing

Learn how to apply AI to analyze all the various CX ”signals” generated by your customers via surveys, text, complaints, social media, and other interactions. Discover how to quickly identify and flag the most important problems and opportunities, and then better prioritize your investments.