On Purpose – The Masters Programme
Eight practices define the essence of being On Purpose. They describe the actions and behaviours of the brands we studied. In this book and in our online toolkit we share some of the techniques that we use to help organizations become purposeful in their direction and in the experience they deliver to customers. We hope that you will apply the learning to your own organization, but if you need greater immersion and intensive coaching speak to us about our one-day or two-day ‘On Purpose Masters Programme’. This workshop is designed to take executive teams through the principles, case studies and apply the learning in a highly interactive way to your own organization. The one-day programme uses case studies to illustrate the principles; the two-day programme allows us to apply these principles to your own situation with coaching from the facilitators.
Led by the two authors of On Purpose, Shaun Smith and Andy Milligan, the Masters Programme is designed for executives who have probably already embarked on a customer experience initiative but are ready to take it to the next level. We will conduct our On Purpose survey with your delegates and compile a report of our findings. This will be used to guide discussion and to focus on the areas of opportunity for your organization.
Visit our website at http://www.smithcoconsultancy.com, or for more information contact jd@smithcoconsultancy.com.
The authors
Shaun Smith
Since the mid-1990s Shaun has been a key catalyst in expanding management focus from the tactical issues of customer service to the much wider and strategic issue of customer experience. He has developed some of the latest thinking and practice around this subject, helping organizations worldwide to create compelling customer experiences that achieve brand differentiation and long-term customer loyalty.
He has featured a number of times on the Ask the Expert programme on CNBC and is co-author of five critically acclaimed business books. His first book with Andy Milligan, Uncommon Practice: People who deliver a great brand experience, examines those companies that create exceptional customer experiences. His second book, Managing the Customer Experience: Turning customers into advocates, reveals how leaders can build this kind of competitive advantage for their own organizations. See, Feel, Think, Do: The power of instinct in business, also co-authored with Andy Milligan, explores how highly successful business leaders and entrepreneurs use the power of instinct to achieve results, and Bold: How to be brave in business and win picked up from their first book and explored brands that were transforming their markets. Bold was awarded ‘Business e-Book of the Year’ in 2012.
Andy and Shaun’s latest book, On Purpose, develops their thinking to explore why and how the bold brands do what they do.
Shaun is co-founder and partner in the customer experience consultancy Smith+co, which works with leading brands around the world to design, develop and deliver dramatic customer experiences. Shaun is a fellow of the Professional Speakers Association, a member of the Global Speakers Federation and has been awarded the Professional Speaking Award for Excellence. For more information visit: http://www.smithcoconsultancy.com/speeches-and-workshops/about-our-speakers or email Shaun for his speaker profile at ss@smithcoconsultancy.com.
Andy Milligan
Andy Milligan is a leading international consultant on brand and business culture. He has worked for almost 25 years advising major organizations on strategies for brand building, customer experience and internal culture as well as running seminars and conferences on brand alignment and employee engagement worldwide. Andy has worked on a wide range of projects internationally and across a number of market sectors including airlines, financial services, packaged goods, telecommunications, sports and leisure. He has directed major projects in Japan, South Korea, Singapore, the United States and throughout Europe.
Andy appears regularly in the media to comment on brand issues including appearances on CNN, Sky, CNBC and the BBC. He is an acclaimed author on the subject of branding and has published four bestselling books: Uncommon Practice: People who deliver a great brand experience and See, Feel, Think, Do: The power of instinct in business with Shaun Smith, Brand it like Beckham, which analyses how the Beckham brand has become a global phenomenon, and Don’t Mess With The Logo, co-written with the designer Jon Edge, which has been described as doing ‘for brand management what the Haynes workshop manuals do for cars’. Making it simple, easy to understand and enjoyable!
Andy is a founder and partner in The Caffeine Partnership, a strategic consultancy which helps leaders to deliver brand-led growth. For more information visit www.thecaffeinepartnership.com.
Acknowledgements
First of all, a big thank you to Janine Dyer who created the online toolkit and provided invaluable feedback and suggestions on the manuscript.
Thanks to the members and associates of the Smith+co team who wrote the ‘guest panels’ on their various areas of expertise: Alison Battisby, Vanessa Hamilton, Linda Moir, Claudio Toyama and Tim Wade. You can find their profiles and read more about their perspectives on our website: http://www.smithcoconsultancy.com/about-us/meet-the-experts.
Thanks to Tim Sefton who conducted the research with the giffgaff executives and provided invaluable help with this case study.
For their assistance with the On Purpose survey distribution we thank our friends at Mycustomer.com, see: http://www.mycustomer.com/; CustomerThink.com, see: http://www.customerthink.com/; GCEM.com, see: http://gccrm.com/eng/content_e.jsp. If you haven’t seen these portals you should. They are an invaluable source of all the latest and best thinking around customer experience.
Our CEM partners, TOTE-M, in the Netherlands for their help conducting the research and customer experience workshops at Liberty Global. See: http://www.tote-m.com/en/.
To Claudio Toyama, Smith+co’s director of customer and employee insight, for conducting and analysing the quantitative research; and Tanja Kirtley who helped obtain the necessary approvals from the many people we interviewed.
Finally, thanks to Helen Kogan, Jasmin Naim and the team at Kogan Page, our publishers, for their enthusiasm and tremendous support for the book.
Index
Note: italics indicate a Figure, Image or Table in the text.
advertising 60
Agnefjäl, Peter 176
Ahrendts, Angela 43, 100
Air Canada 61
Alibaba 109
Altro 186, 187–200
core values 191–92, 194, 199
vision 189–90, 193
‘Voice of the Customer’ programme 187, 191, 194–97, 199
Amazon 172–73
Prime Air 113
Apple 22, 30, 43, 59, 92, 174
Arup, Ove 176
Bamford, Sir Anthony 47, 109
banking sector 4
Barclays Bank 3, 20, 23
‘Digital Eagles’ programme 26–27
Battisby, Alison 66–69
Beer, Professor Michael 163
‘Berber moment’ 171–72
Bernbach, Bill 107, 171
Best Buy 43
Best Western 100–04, 122
Bezos, Jeff 171
bitcoin 11
Blockbuster 172
Bossidy, Larry 236
BP 70
Brady, Amanda 247, 251, 256–58, 261, 264–65, 267
‘Branded Customer Experience Training’ 236
brands 24–25, 40
authenticity 265
characteristics 132
DNA 256
‘hallmarks’ 84–85, 112
marketing 59–60
media 27–28, 203
Meaningful Brands Index 10
promise 217, 218
purpose and 29–32, 111–12, 203–09
questions to ask 203
values 211, 265
vision 215
BrandZ survey 81
Branson, Sir Richard 3, 8, 39, 47, 107, 225
Braterman, Russell 253
Brozin, Robbie 41, 42
Buffet, Warren 8
Burberry 43, 59, 100, 111, 122
business failure 172
Carphone Warehouse 47
Carroll, Dave 64
Carter, Michael 150–51
Chadha, Rattan 50–54, 122, 123–26
Chadwick Lawrence 64
change formula 163–64
Chase, Richard 97
Chilli Beans 110, 111
citizenM 50–54, 122, 123–29, 132–33, 140–42
employee experience 165–69
measuring guest satisfaction 162–63
coaching 49
Coca-Cola 25, 42–43, 174
Coles, Chris 240, 242, 243
Collins, Simon 118
communication
engagement with 65–69
infectious 58–78, 63
problems 63–64
see also marketing, social media
Constantine, Mark 86, 87–88, 110
Constantine, Mo 85
Convergys 63–64
Costa Coffee 41
Cregan, Jimmy 66–67
crowd ourcing 62
‘cult-like culture’ 132, 134–37
see also holocracy
culture 157
as competitive advantage 163
customer advocacy 4
customer experience (CX) 4, 12–14, 213–14
align 219–20, 256–62
define 217–18, 230–32, 250–54
design 218–19, 232–33
distinctive 81–104, 122, 164
end-to-end 125
engage 215–16, 226–29, 246–49
five simple rules 99
‘fix it or feature it’ 84–85
‘flat lining’ 94–104
‘immersive’ 13
innovation and 87–88, 110, 221–23, 240–42
insight 216–17, 229–30, 249–50
lip-service leadership 211
management (CEM) 215, 216
measure 162–63, 220–21, 237–39
‘omni-channel’ approach 14
over-indexing 96–97, 98, 121, 222
satisfaction 214
seven deadly sins 211–15
‘Seven Step Guide’ 211, 214, 215–23
silo thinking 211–12, 234
technology and 111–12, 164, 214
touchpoints 213, 233
training 213
‘WOW’ moments 110
see also Liberty Global Business Services case study, Premier Inn case study
customer focus 44–47
customer loyalty 6, 165
customer relationship management (CRM) 13–14
‘cycle of capability’ 162
Dasu, Sriram 97
Davis, James 72
Davis, Ray 47, 111
de Kloet, Frans-Willem 225–26, 231, 240, 244
de Jong, Lennert 126–29
Delport, Dominique 25
Dempsey, Patrick 107–08, 245, 246–48, 259, 265–66, 268–69
differentiation 4–5, 41
culture and 132
innovation and 112–21
digital technology 10–12
consumers and 12
‘omni-channel’ approach 14
Disney 25, 31
Donaldson, Craig 173
Drucker, Peter 7
Duarte, Fernando 41
Dunne, Ronan 14, 139
Duracell 40
Easyjet 85
Edelman 40, 41
Global Trust Barometer 6, 7
employee engagement 7, 139–42
employee experience 132, 138–59, 256–57
differentiated customer service training 142–45
engagement 262–64
motivation 145–46
satisfaction 238
see also citizenM, London 2012 Olympic and Paralympic Games, Timpson
Facebook 109
Fairtrade 9
Fairman, Mike 35, 73–77
Fast Company 176
Fells, Mark 249, 250, 256, 266
First Direct 4, 7, 62
Fishburne, Tom 221
Fisk, Peter 109
Foley, Christa 135–37
Forrest, John 246–47, 251, 254, 255, 256, 261–62, 263, 267, 268, 269
Gates, Bill 8
Gates, Melinda 8
Geek Squad 21, 31–32, 43, 62, 69, 137
General Motors 59
Ghosn, Carlos 44, 177, 179
Gianforte, Greg 84
giffgaff 32–36, 73–77
Gilmore, James 12
Go Pro 68–69
Google 12, 108, 109
Greenwood, Adam 59
GT Academy 177, 187
see also Nissan
Guiness 84
Gulliver, Stuart 3
Hamilton, Vanessa 143–45, 236
Hamilton Fisher, Gouy 153–56
Hammerstein, Matt 20, 23–24, 26
Havas Media Group 24, 25
Meaningful Brands Index 10
Hayward, Tony 70
Hegarty, Sir John 112
Henry, Lenny 253
Heskett, James 163
Hill II, Vernon W 88–94
Hointer 118–21
holocracy 135–37
see also purpose
Hsieh, Tony 135
Hurricane Sandy 40
IBM 25–26, 81
IKEA 84–85, 95, 122, 164, 174, 175–77
implementation 210–23
measurement 239
see also ‘Seven Step Guide’
infectious communication see communication
Innocent 12, 42–43, 69, 83, 122
‘Big Knit’ 109–10
innovation 106–29, 171–200, 221–23, 240–42, 264–66
customers and 110
differentiation and 112–21
technology 111–12
‘internet of things’ 11, 25
Ives, Johnny 31
JCB 47, 109, 174
Jenkins, Sir Anthony 27
Jimmy’s Iced Coffee 66–67
Jobs, Steve 30–31, 38
John Lewis Partnership 47, 60
Jones, Simon 249, 250–51, 254–55, 262, 266, 267
Kahneman, Daniel 96–97
Kelleher, Herb 7, 44
Kellogg’s 25
key performance indicators (KPIs) 24
Khan, Richard 188–92, 195
KPMG 116–18
Laffley, AG 44–45
leadership 38–57
authenticity 48, 70
behaviour 41–42
conviction 39–40
creative competencies 48
executive coaching 49
purposeful 48–51, 52–54, 121
reactive tendencies 49
Leahy, Sir Terry 6
Lee, Sampson 95
Legere, John 39, 46–47
LEGO 59, 61, 114–16, 174
‘Ambassadors Network’ 115–16
Levie, Michael 132–33, 140–42, 161–62
Liberty Global Business Services case study 225–46
align 234–37
brand principles 228
define 230–32
design 232–33
engage 22
6–29
insight 229–30
innovate 240–42
measure 237–40
monetization strategy 243
purpose 228
scorecard 231
‘Stand Up’ workshop agenda 227
Lloyds Bank 173
Loerts, Soraya 226–37, 240–41, 244
London 2012 Olympic and Paralympic Games 146–49, 161
games makers 147–48
‘loose/tight’ 235–36
Lush 85–87, 121, 122
Mackle, Felim 96
marketing 59–60
Marks & Spencer 64
Markson, Mitch 41
Maslow, Abraham 8–9
McDonald, Robert 45
McClaren Motors 116–18
McClennan, Steve 178
measurement 160–69, 220–21, 237–39, 262–64
communication 221, 222
‘double-loop’ learning 163
implementation 239
indicators 221
key performance indicators (KPIs) 24
score card 161, 221
‘Share of Wallet’ 24
see also net promoter score (NPS)
Metro Bank 88–94, 122, 173–74
Microsoft 109
Millson, Tonia 192–94
Moir, Linda 81
motivation 39–40, 145–46
intrinsic rewards 145
self-actualization 8–9
mutuality 34–36
Nando’s 41–42
Napier, Lanham 163
National Customer Satisfaction Index (US) 4
Nestlé 9
net promoter score (NPS) 32, 162, 237, 238, 242, 243, 263
News of the World 28–29
Ni Dhulchaointigh, Jane 70–73
Nicholls, Lee 151–53
Nissan 44, 62–63
battery technology 179
branding 181
innovation and 177–87
Nismo 182–87
Nokia 109, 172
not-for-profit organizations 21
Oakley, Tony 194–97
Ogilvy 12, 81
O’Leary, Kevin 19
On Purpose toolkit 214–15
Bold survey 204, 205–06
company profile 207
comparison brands profile 208
on purpose brands profile 208
profiles compared 209
research findings 203–09
‘Seven Step Guide’ 215–23
The Masters Programme 270