Innovative and superior customer experience strategy by bhawani nandan prasad iim calcutta

1. Innovative and superior customer experience strategy By Bhawani Nandan Prasad IIM
Calcutta
Mature companies routinely perform a set of sound, standard practices that result in a high-
quality outcome. It's true for manufacturers--they don't get up in the morning and start
pondering how they'll produce high-quality widgets that day. Similarly, retailers have
practices for keeping their supply chains flowing and their shelves stocked, and media
companies have practices for getting the news online and into print. That's how grown-ups
do business.
Companies that want to produce a high-quality customer experience also need to routinely
perform a set of sound, standard practices. These practices fall under six high-level
disciplines: strategy, customer understanding, design, measurement, governance, and
culture.
The strategy discipline is the game plan. It's a set of practices for crafting a customer
experience strategy, aligning it with the company's overall strategy and brand attributes,
and then sharing that strategy with employees to guide decision-making and prioritization
across the organization.
The customer experience strategy defines the intended experience. For example, the
experience at Big Bazaar - a large retail store where customers push giant carts through
huge aisles stacked high with value-priced products--is very different from the experience at
an Apple store, where customers see a comparatively sparse selection of pricey products
and get expert assistance with picking the right one. Big Bazaar's experience aligns with its
overall strategy as a cost leader; Apple's aligns with its strategy of innovation.
The strategy discipline is critical because it provides the blueprint for the experience we
design, deliver, manage, and measure. Without it, the employees and partners won't know
whether to deliver an experience like the one at Big Bazaar, at Apple, or somewhere else
entirely. Worse, we could deliver a Frankenstein experience of mismatched parts, like
putting an Apple genius bar in the middle of a Big Bazaar store where customers wouldn't
care about it but would worry that prices were going up to pay for it.
The customer understanding discipline is a set of practices that create a consistent shared
understanding of who customers are, what they want and need, and how they perceive the
interactions they're having with the company today. In other words, it's the thing that
replaces everyone's best guesses about customers with real, actionable insights about
customers.
The practices in the design discipline help organizations envision and then implement
customer interactions that meet or exceed customer needs. It spans the complex systems of
people, products, interfaces, services, and spaces that your customers encounter in retail
locations, over the phone, or through digital media like websites and mobile apps.
The measurement discipline is a set of practices that let organizations quantify customer
experience quality in a consistent manner across the enterprise and deliver actionable
insights to employees and partners. This is how you put customer-experience metrics on par
with traditional-business metrics, such as sales and profitability.

2. The governance practice is essential because it holds people accountable for their role in the
customer experience ecosystem and helps keep bad experiences from getting out the door.
It also gives a boost to initiatives that improve customer experience.
The culture discipline consists of practices that create a system of shared values and
behaviors that focus employees on delivering a great customer experience. You might think
of it as the way you shape what your employees do when you're not in the room.
Apple founder Steve Jobs said when announcing the iPhone in 2007, “Every once in a while
a revolutionary product comes along that changes everything.”
However, the product is only part of the story. Revolutionary products such as the iPhone
flourish by providing a fantastic customer experience. It’s the product, the in-store
experience, the applications, the customer service, the whole ecosystem. In today’s globally
competitive world, companies that want to succeed must combine innovation with
customer needs and satisfaction. Apple has been able to create successful new business in
recent years because they focused intensely on the customer experience.
Customer Experience Management is a result of many overlapping messages, product
features used, goals achieved, and emotions felt. Companies that address the full spectrum
of levels of customer needs will be more valuable, profitable, enduring, and strategically
aligned with the market.
This new Total Experience Model integrates functional, activity, and life needs with the right
mix of basic, performance, and delight features. Meanwhile, some companies need to stay
viable and healthy by having product lines that turn over quickly. These companies achieve
success, in part, by having a pipeline of innovations that continuously replace outdated
features and products. They recognize that their products and innovation investments must
continuously improve to fulfill their customers’ activity and life needs.
Whether it's launching its latest iPhone or iPad, Apple sure knows how to create buzz with
consumers and the media. While other companies fight for attention, Apple seems to
effortlessly dominate the media--not to mention the hearts and minds of customers--with its
new product launches. Recently, Apple sold 2 million iPhone 5's on day one, and then a
couple of days later the stock hit the stratospheric price of $700 a share. So you could say
they're doing something right. The strategies and tactics used by Apple to create media and
consumer buzz that were not commonly employed by other brands.
Many companies go to great lengths to preserve confidentiality during the product
development phase, but Apple is a master of the teaser marketing campaign, dragging on
the suspense for as long as possible. For weeks if not months before the release of every
iPhone, the media conversation builds to deafening levels. Apple stokes the buzz by
providing virtually no information.
Luxury goods marketers have long realized that scarcity (real or perceived) makes a product
more desirable and in demand. Scarcity not only increases the value of a product, it propels
the procrastinators and all us who want to be part of the trendy crowd to step up and buy.
That's why it is a favored tactic of designer handbag manufacturers and other luxury goods.
Apple has found its own ways to hype the sense of faux scarcity. It did not have enough

3. phones available when it went on sale. Just one hour after the iPhone 5 went on sale for
preorders on September 14, 2012, the Apple website reported that heavy demand had
necessitated delayed delivery. Adding to the illusion of scarcity was the fact that you could
only preorder the phone, and lines were long. The tactic worked. Not only did the iPhone 5
set a record for first-day sales, even two weeks after the iPhone went on sale, it was on a
back order of three to four weeks, prolonging the difficulty (and desirability) of owning one.
Apple products have always been designed to be different, delightful and friendly.
"Friendly” because the core driver of every Apple product is the removal of complexity in
favor of ease of use with innovative features like touchscreen "gestures” for zooming and
scrolling or SIRI, their personal assistant. Its history of innovative, "friendly” gadgets creates
anticipation about what they will do next to advance the consumer experience. The new
iPhone 5 ads capture its new friendly features in one phrase: "4-inch Retina display, ultrafast
wireless, iOS 6, in a thinner, lighter design.”
While other tech manufacturers see their products as utilitarian, geeky and inexpensive,
Apple is the opposite: cool, friendly, and upmarket. Apple has created a brand culture that
has attracted a passionate brand community of followers who identify with the brand's
innovativeness, simplicity, and coolness. They are fans who lock into the entire family of
Apple products and must have the latest gadget right when it comes out, even if it means
waiting in line for hours. It's quite a phenomenon to behold.
Once the apple iphone was launched, it had been costing the significant $599. Nevertheless,
thousands and thousands of individuals hurried away to find the brand new telephone,
shelling out another around they’d have experienced these people anxiously waited an
additional a few months. a few months following the preliminary discharge, Apple company
decreased the buying price of the actual apple iphone in order to $399. This particular
angered Apple’s faithful clients as well as customers that bought the brand new telephone
simply several weeks previously. Twelve months later on, Apple company once again
decreased the buying price of the actual apple iphone in order to $199, 66% under the initial
cost.
Within This summer, 2007, the actual Iphone had been all of the hoopla. Their own item had
been probably the most revolutionary away on the market location, Iphone marketing
strategy providing Apple company the actual independence in order to cost the actual apple
iphone from whatever these people desired. Numerous thought which Apple company
experienced reduce the cost following finding less than anticipated apple iphone product
sales.
Technology items tend to be usually contending towards “the most recent as well as
greatest” whilst sustaining another cost on the market location. Experienced Apple
company not really decreased the buying price of the actual apple iphone, the client bottom
might have dwindled rapidly as numerous individuals are not willing to invest $599 on the
mobile phone, regardless of the number of helpful functions the telephone might have.
Since the apple iphone continues to be to become the main smartphone close to, the
merchandise keeps growing, growing dimension abilities, growing the amount of programs
obtainable, as well as supplying brand new functions which are launched via brand new
iterations from the telephone, still give a higher worth towards the apple iphone as the
prices continues to be appropriate.

4. At the moment within the item existence period, Apple company is constantly on the
discharge improved iterations from the apple iphone. Along with the majority of apple
iphone customers un-willing to buy a more recent edition from the apple iphone due to cost,
the prospective target audience for that more recent era cell phones is actually brand new
apple iphone clients. Along with Apple’s set up bottom ongoing to develop, they’ve
discovered a means generate reoccurring income using their current clients with the
product sales of the software downloading. Because increasing numbers of people buy the
apple iphone, Apple’s target audience with regard to new clients is constantly on the
diminish. Luckily with regard to Apple company, they’ve built-in an additional supply with
regard to income which proceeds through the existence I-phone marketing strategy from
the item.
According to the latest research from Strategy Analytics, Apple's iPhone 5 overtook
Samsung's Galaxy S3 to become the world's best-selling smartphone model for the first
time ever in the fourth quarter of 2012. A rich touchscreen, extensive distribution and
generous operator subsidies have propelled the iPhone 5 to the top spot.
As BlackBerry launches the first smartphone from its make-or-break BB10 line in India, one of
its most loyal markets, the company faces new competition from a formidable rival that has
long had a minimal presence in the country.
More than four years after it started selling iPhones in India, Apple Inc is now aggressively
pushing the iconic device through installment payment plans that make it more affordable, a
new distribution model and heavy marketing blitz.
"Now your dream phone" at 5,050 rupees , read a recent full front-page ad for an iPhone 5
in the Times of India, referring to the initial payment on a phone priced at 45000.
The new-found interest in India suggests a subtle strategy shift for Apple, which has moved
tentatively in emerging markets and has allowed rivals such as Samsung and Blackberry to
dominate with more affordable smartphones. With the exception of China, all of its Apple
stores are in advanced economies.
Apple expanded its India sales effort in the latter half of 2012 by adding two distributors.
Previously it sold iPhones only through a few carriers and stores it calls premium resellers.
The result: iPhone shipments to India between October and December nearly tripled to
250,000 units from 90,000 in the previous quarter, according to an estimate.
At The Mobile Store, an Indian chain owned by the Essar conglomerate, which says it sells 15
percent of iPhones in the country, iPhone sales tripled between December and January,
thanks to a monthly payment scheme launched last month.
India is the world's No. 2 cellphone market by users, but most Indians can't afford fancy
handsets. Smartphones account for just a tenth of total phone sales. In India, 95 percent of
cellphone users have prepaid accounts without a fixed contract. Within the smartphone
segment, Apple's Indian market share last quarter was just 5 percent, according to Canalys,
meaning its overall penetration is tiny.
Still, industry research firm IDC expects the Indian smartphone market to grow more than
five times from about 19 million units last year to 108 million in 2016, which presents a big
opportunity.

5. Samsung Electronics dominates Indian smartphone sales with a 40 percent share, thanks to
its wide portfolio of Android devices priced as low as Rs 5500. The market has also been
flooded by cheaper Android phones from local brands such as Micromax and Lava.
Most smartphones sold in India are much cheaper than the iPhone. Apple helped create the
smartphone industry with the iPhone in 2007, but last year lost its lead globally to Samsung
whose free Android software is especially attractive in Asia.
The new monthly payment plan in India goes a long way to expanding the potential market.
The Apple campaign is not meant for really the regular top-end customer, it is meant to
upgrade the 10,000-12,000 handset guy to 45,000 rupees.
BlackBerry, which has seen its global market share shrivel to 3.4 percent from 20 percent
over the past three years, is making what is seen as a last-ditch effort to save itself with the
BB10 series.
Until last year, Blackberry was the No. 3 smartphone brand in India with market share of
more than 10 percent, thanks to a push into the consumer segment with lower-priced
phones. Last quarter its share fell to about 5 percent, putting it in fifth place, according to
Canalys. Apple was sixth.
Culture, people, training, and motivation must be carefully nurtured. You can’t open a box of
these attributes, put them in your business and have them just start working. One of Apple’s
best known but least understood innovations is the Apple Store App. This is a downloadable
app for iPhones that lets customers schedule appointments to shop, get help, get training,
or get their own project work done. Putting the control in the customers’ hands is central to
superior customer experience design. This app, and the operational infrastructure that
supports, is what supplies some of the magic.
One of the many ways Apple creates air-tight customer loyalty is by consistently increasing
the value customers get out of their devices. Shortly after iPhone 5 was released, Apple
announced iOS 6. The iOS 6 upgrade gave the users over 200 new features for existing
iPhone 4s. All the users had to do was download the software upgrade to turn the camera
into a panoramic camera, get Siri to now make restaurant reservations or give scores for
favorite teams and have a GPS on the iPhone. Apple keeps customers happy with consistent
and valuable upgrades; FREE upgrades that enhance the customer experience in relevant
ways. Enhancing customer value inspires customer loyalty. Customer loyalty inspires bigger
profits.
Apple employees execute the recently leaked “A P P L E 5 Steps of Service” model from the
super secret Apple Customer Service Training.
A P P L E stands for:
 Approach Customers with a Personalized Warm Welcome
 Probe Politely to Understand All the Customer’s Needs
 Present a Solution for the Customer to Take Home Today
 Listen for and Resolve Any Issues or Concerns
 End with a Fond Farewell

6. Apple stores are so very profitable and enjoyable because employees approach customers
with a warm welcome, they gently ask questions, there’s a fierce focus on solutions the
customer can take home that day, concerns are addressed head on and customers leave
with a fond farewell. Study Apple’s 5 Steps of Service and look for ways you can adopt,
adapt and apply the steps in your business, be that a retail business, call center or an online
customer experience.
LG has an extensive range of microwave ovens that meet the requirement across the entire
segment of consumers. LG microwave oven is the undisputed market leader for the past 3 years.
It has a market share of more than 35% in 2012 proving that it has got an unassailable lead over
its competitors. LG’s key USPs include highest auto-cook menus; lightwave technology for
healthy and tasty cooking; long-lasting stainless steel cavity; char- coal lighting heater; Indian
bread basket; most extensive product range with superior aesthetics; healthy fry; steam chef;
three cookery classes free; prompt customer service – 450 service centers – recipe book; and
smart start-up kits. Some of the unique features include auto-cook menus, lightwave
technology, long-lasting stainless steel cavity, charcoal lighting heater, Indian bread basket,
steam chef, and smart start-up kits.
With their extensive variety of models and innovations to choose from, LG microwave oven has
definitely outdid rivalry in the microwave oven industry with its short period of operations.
It comes with a 5 year warranty. Industry leaders are not capable to stopover the show of
expertise and skill.
With state-of-the-art and topnotch technology, constant research and innovations, LG
microwave oven has definitely set the values / volumes in this industry.