the Unthinking Customer

thinking t-shirt As consumers we have many choices of what we do and how we spend our money. Given too many choices we get overwhelmed and tend to do nothing. Ninety-eight percent (98%) of the time, however, we rely on our subconscious to make decisions. Scientists tell us this is a good thing as our brains are not able to process the millions of information bits thrown at us daily. If we had to think about everything we do, our days would be filled with just getting through our breakfast menu.

rational thinking only represents 2% of decision making

As business people we know the importance of telling customers about the features and benefits of our products and services, so that any thinking person would be compelled to make a purchase. The trouble with this “rational thinking” approach is it only targets 2% of the decision making process and not the 98% of the buyer’s subconscious driven actions. This helps to explain why customer behavior is so often misunderstood and may explain, for example, why 75% of customers in surveys say they are satisfied right before they leave. Of course, measuring customer satisfaction can be helpful in spotting trends; the problem is using a customer satisfaction survey to understand customer thinking or justify getting a good night sleep is misguided.

You need the courage to run experiments

How many times have you thought, “we just need a better website”, or “better leads.” Don’t be surprised if one more communication or one more survey, doesn’t lead you to the Promised Land.  Knowing if customers are happy or what will make them purchase is more complex. You need the courage to run experiments and observe firsthand what works and what doesn’t. Beware of gator brains reactions from those that think they already know the answers. Don’t let unproductive thinking get in your way. See related post –Innovation Squelchers: Pattern Thinking, Biases, and Gator Brains

In the next issue of the What’s Next newsletter we’ll share a free and simple exercise that enables you to detect pattern thinking in yourself as well as others.

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Innovation Squelchers: Pattern Thinking, Biases, and Gator Brains

primitive brainOur primitive brains establish patterns that for the most part keep us safe and out of trouble.  This has kept our ancestors out of the jaws of wild beasts.  This is also what happens when you apply your vehicle brakes when it looks like the speeding car is going to plow through the intersection and smash into you.  You see the pattern and act accordingly. Our brain creates and recognizes Continue reading “Innovation Squelchers: Pattern Thinking, Biases, and Gator Brains”

Are you Going Mental?

Are you Going Mental?
Ok, phew – you’ve landed.  You got past the headline.  Now you may be wondering what this post is all about.  An article on crazies.  No – though I did like the movie by that title.Crazies Movie Poster

Going mental is what you need to do more of.   Nobody gets harmed, unlike in the movie.  When you get stuck, you lack a mental model of how to proceed, similar to a 2nd grader trying Continue reading “Are you Going Mental?”

7 Steps to Make the Customer Come Alive Inside Your Organization

Customers are the lifeblood of your organization. Delighting them is your surest path to sustainable success. When you make the customer come alive inside your organization you leverage employees natural empathy, focus employees on what customers value and provide them with a shared purpose. This renewed understanding and engagement may unlock the answers to some of your most vexing problems and give you insights into profitable growth opportunities.

7 Steps to Make the Customer Come Alive Inside Your Organization

  1. create a dedicated space to demonstrate customer thinking – a wall works.
  2. place photos of typical customers – could be other stakeholders depending on your business and focus, e.g. investors, prospects, employees, partners, patients, members, guests, visitors, volunteers, voters, citizens, students, clients, etc.
  3. ask and answer questions –
    1. how did they become aware of us?
    2. what are their communications habits?
    3. why did they buy from us?
    4. what are their needs and are they changing?
  4. enroll others in an ongoing dialogue around customers – encourage colleagues to place sticky notes or write on the wall
  5. continue to gain new insights and generate new questions
  6. as you have customer interactions share your learning at the wall
  7. prioritize and take action on insights – you can’t do it all so focus on the projects and programs that will have the most impact and look for quick wins.

Other Projects that can help you improve your Customer Thinking and eliminate blind spots include:  net promoter score (NPS) & loyalty strategy; customer evidence (case studies, testimonials, references); customer observation, behavior, and needs analysis; segmentation and ecosystem mapping; customer storybook and voice of the customer; win/loss/stall analysis; empathy lab; and customer profitability & retention analysis.

How Can my Car Possibly Breakdown, I’m on Cruise Control?

Trends to Pay Attention To - from Now and Next - DelightabilityEverything has changed, but you’re still executing on the old strategy? Chances are you’ve been too busy to re-examine your strategy, let alone change course. Like most organizations you’ve completed your annual planning and you’re on cruise control –Set it and Forget. Of course, you’ll revisit the strategy in next year’s annual planning session. But what happens when you’re cruising down the road and a competitor, customer, partner, or legislation throws the proverbial monkey wrench in your spokes. Right – your organization will react to it when you encounter that problem. If that is what you believe, then you’ve fallen into the trap. That’s the thing, you can only react to those things you are aware of. Most things that erode your business are more subtle than the abrupt, spoke shearing monkey wrench. Think of a hidden killer like pancreatic cancer. You don’t have years of leading indicators. When it is too late, it is sadly, too late.

One of my mentors once told me “A lot can happen in a little while.” If you caught the Oscars last night, in particular the memorandum part, recall the talent that expired in the past year. Writers, Producers, Actresses, Actors, all removed from the talent pool that brought us great entertainment. The business world is no different. People, businesses, technology, relationships – it’s all changing faster than your annual planning cycle.

So, take a trip around your organization. Are your people keeping up in real time or are they unquestioningly executing on yesterday’s strategy? How ready is your organization to adapt to a shifting strategy? What are you doing to notice trends and changes in the business landscape and customer and partner ecosystems? These are key areas that present both opportunities and threats. Who is watching your organization’s back? Who is spotting dangerous currents or bountiful waters? Is anybody at the table bringing an outside perspective? Do you have sensors in the ground to take notice? Here is a visual tool and 5 steps that will keep your business apprised to the changing world outside your organization.

Trends and Technology Timeline 2010 and beyond - From Now and Next - Delightability

 

5 steps to business success

  1. Study, really study, the Trends & Technology Timeline 2010+
  2. Shift your perspective
  3. Receive feedback from Sensors in the Ground
  4. Change the dialogue in your organization
  5. Expand your innovation neighborhood to include outsiders

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