Learnable Services, CRM, and Social Business Design

March 29, 2010

“Presenting a consistent face to customers improves their comfort and satisfaction.”

R “Ray Wang” and Jeremiah Owyang Social CRM: The New Rules of Relationship Management

Marketing, especially social media marketing, and learning, including organizational learning, are both essential components of a dialogue strategy for customer experience design and management. A dialogue strategy builds on the assumption that companies learn more from customers when customers learn from them, and doing so benefits both. I increasingly think it provides a basic framework to think about, and consider as part of your experience design strategy, when relating to customers. Thought leaders increasingly refer to the challenge as social business design.

Given the maturity and diffusion of social media, a dialogue strategy provides a framework to discuss communication as an ecosystem, whether addressing collaboration, innovation, segmentation, sales, customer service, or brands. The key to the process is understanding customers, attracting them, engaging them with sales in mindempowering them to solve your product and service problems, and learning from them to improve products and services, thereby strengthening your brand. It is not simply segmenting them, targeting them, driving them through interactions, and transacting with them through sales.

Over time, people buy things they need from you rather than someone else because they want what you offer, and because they feel an empathic connection, i.e. that you understand them. From my reading, Wim Rampen’s contention that we need to use segmentation the customer’s way gets to the heart of the point. The challenge of learning how to make an empathic connection increases to the extent that CRM (customer relationship management) aims to align customer engagement directly with business transactions.

Those looking for a direct, sustained connection between customer engagement and sales from Social CRM are expecting too much in my opinion. The key question is whether you know that Jane Smith who called for support tonight also chatted with one of your people earlier, or posted (or tweeted) something positive or negative about you on her blog, or posted something about your product/service to a how-to community forum. Knowing any of those things about Jane’s activities and experiences with your brand increases the potential for empathic connection between your people and Jane, meaning your understanding of what Jane needs from your products/services increases.

It would be nice if a monitoring platform could listen for you and, just automatically, determine how influential Jane Smith really is in the scheme of things. It might be nice to have a social media management system that just took care of everything, gauged the influence of anyone commenting about you online, ranked their value relative to your brand, and prioritized the level of response needed. However, in the near term, regardless of how much we want that panacea, your employees, or outsource partners, are going to need to engage with your customers as though their problems are your own

Nestle’ can speak to that issue recently. It is important to note that the Nestle’ example is not the first time a company’s supply chain management, rather than a product or service per se, came under organized criticism. Nike and Shell, among others, found their own supply chain relationships under fire over the past decade. Indeed, Shell’s early experiment in 1998 with a blog called Tell Shell came under such negative commentary from the public that the company shut it down. Nike, on the other hand, engaged the debate and incorporated the criticisms into its business model, I’ll leave it to you to decide which brand strategy makes the most sense for customer relationships.

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Experience Design and the Intelligibility of Interfaces

February 16, 2010

Created by Timo Arnall and Jack Schulze

As I noted in a post on Peter Morville’s Findability several years ago,

“Interfaces are not what they used to be. The computer-human interface is both more and less than it was a few years ago. Interfaces are not only, or even primarily, a screen anymore. Yet, screens remain important to most design efforts, even though interfaces are increasingly part of the environment itself. As John Thackara and Malcolm McCullough both recently pointed out, entire cities are developing into user interfaces as ubiquitous computing environments expand.”

Caleb, over at MobileBehavior, recently observed that mobile phones do not yet provide users with a graphic language for touch interactions. Caleb’s post points to an early visualization of a standard graphic language offered by Timo Arnall of the Touch project, which researches near field communication. Caleb makes his point by talking about the confusion that consumers experience when faced with a visual tag (v-Tag), or 2D Barcode, and does so with the following Weather Channel forecast that offers viewers an opportunity to interact with a visual tag using their mobile phones (wait until about 45 seconds into the video). The forecast fails to indicate to viewers what the v-tag does. 

The user experience team that developed the v-tag for that particular forecast must have assumed viewers would know it represented an invitation to interact. A search on the Weather Channel website fails to return any information on the use of v-tags in their media programming though.

In a previous discussion of Dan Saffer’s book, Designing Gestural Interfaces, I made a similar point about mundane gestural interfaces in public bathrooms, a setting with fairly established graphic language conventions. Yet, even such mundane gestural interfaces can pose difficulty for users. As I noted,

I remember the first time, a few years ago, when I tried to get water flowing through a faucet in a public restroom that used sensor detection. Initially, it was not obvious to me how the faucet worked, and I suspect others continue to experience the same problem based on the photo I took during a recent visit to a physician’s office.

gesture_water

Among other observations, it is important here to note that these examples provide clear instruction for why experience design encompasses user experience. Specifically, people only experience a user interaction if the interactive capability of an artifact is intelligible, if they recognize the artifact as an instance of that kind of thing, i.e. an invitation to interact with media or machinery. Who knows how many people noticed the Adidas logo embedded in a v-Tag on their running shorts, or shoes, and failed to see it as an invitation to a user experience?

People can’t use an interface if it is not recognizable as such or, as the Palcom team coined it, palpable to their use. Otherwise, the invitation to experience, what Dan Saffer calls the attraction affordance, fails. Consider the more telling example of the symbol at the top of this post. It represents an RFID signal environment for devices using the Near Field Communication (NFC) standard. Indeed, Timo Arnall and Jack Schulze’s recent work for the Touch project demonstrates the spatial qualities of an RFID device’s signal, the shape of its readable volume.

Dan Saffer, in Designing Gestural Interfaces, touches on the fact that we are currently missing common symbols for indicating when an interactive system “is present in a space when it would otherwise be invisible,” or when we just wouldn’t recognize it as such. Adam Greenfield’s Everyware made a similar point a half decade ago.

Posted by Larry R. Irons

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Social Networking with Roto-Rooter

October 22, 2009
toilet

Chilling Tales from the Porcelain Seat

You know social networking is going mainstream when service companies like Roto-Rooter start using it. My sewer line backed up yesterday and I called Roto-Rooter to clean it. The guy came out like always, did the job, and I paid him. As he handed me the receipt he also gave me a flyer that asked me to go to either Google, Yahoo, Citysearch, or superpages.com and write a review of the service. Once a week Roto-Rooter selects a name from the reviews submitted on any of these search engines and refunds the cost of the service. It doesn’t say whether the selection process is random or related to the sentiment of the review.

I was a little surprised that such an old-world service like plumbing would encourage customers to review their work. I guess that impression comes from a recent review I wrote on Yelp about another  plumbing company in St. Louis. My review was far from flattering. Anyway, I thought Roto-Rooter’s engagement of social networking interesting enough to check out their activity. Sure enough, they have a blog that Paul Abrams, the Public Relations Manager, updates regularly, and Roto-Rooter maintains a presence on a range of social network channels. From their blog,

Follow us at Twitter under @RotoRooter and here’s our main page on Facebook. You’ll even find a Roto-RooterTV channel on YouTube where you can see pet rescues, old commercials and instructional videos for DIYers. Then check out our photos on Flickr.

And, just in case you are wondering, the service was excellent though it isn’t one I like needing to buy.

Posted by Larry R. Irons

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CMR as a Precursor of VRM

May 28, 2009

Vendor Relationship Management (VRM) is a term used by Doc Searls and other members of ProjectVRM to distinguish market relationships between vendors and consumers where the latter gain increased control over that commercial relationship. Building on the VRM concept, Jeremiah Owyang recently noted that VRM offers a potential future for public relations agencies in which the future of PR is in representing communities rather than brands. As Doc recently declared,

We therefore resolve to avoid all relationships in which the privileges of loyalty are determined entirely by the seller, and to construct new terms and means of engagement that will work in mutually constructive ways for both customers and sellers, for the good of all.

 So, in the spirit of the Declaration of Customer Independence recently outlined by Doc, I offer the following turn of the century anecdote for thinking about Customer Managed Relationships (CMR).

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SharePoint is not Enterprise 2.0 or Social Networking

March 18, 2009
social_stack1

Social Software Stack

The title for this post is drawn from a recent assessment of SharePoint 2007 offered on Thomas Vander Wal’s bog, Personal InfoCloud. Thomas’ post, as always, offers a unique point of view on what Enterprise 2.0 consists and, specifically, how SharePoint measures up. He isn’t offering his own formal assessment as much as reporting the stories clients and potential clients shared with him over the past couple of years. The social software stack, in particular the difference between collective understanding and collaborative understanding, frames Vander Wal’s perspective.

Given SharePoint’s widespread use, and the growing interest in applying social media applications to collaboration challenges in organizations, Thomas’ discussion deserves wider attention. His overall impression is well summarized in the following point.

SharePoint does some things rather well, but it is not a great tool (or even passable tool) for broad social interaction inside [the] enterprise related to the focus of Enterprise 2.0. SharePoint works well for organization prescribed groups that live in hierarchies and are focussed on strict processes and defined sign-offs. Most organizations have a need for a tool that does what SharePoint does well.

This older, prescribed category of enterprise tool needs is where we have been in the past, but this is not where organizations are moving to and trying to get to with Enterprise 2.0 mindsets and tools. The new approach is toward embracing the shift toward horizontal organizations, open sharing, self-organizing groups around subjects that matter to individuals as well as the organization. These new approaches are filling gaps that have long existed and need resolution.

In other words, SharePoint works well for situations in which defined groups need to reach a collaborative understanding of project requirements, their role in achieving those objectives, and what success means for the project. It works less well in providing resources allowing people across the enterprise, and across teams or departments, to discover connections with others and develop social relationships for networking together in ways that meet both personal and organizational challenges.

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Finding the Social Core of Facebook Friends: Revisiting the Dunbar Number

March 2, 2009

friends1A recent Economist article discusses the relevance of Dunbar’s Number to friending in Facebook, and its relation to the size of social networks, especially networks of close friends. The article addresses a similar issue outlined in an earlier post here on the influence of influentials on Twitter, which focused on findings of a recent study by members of the  Social Computing Lab of HP Laboratories .

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