Why and how to turn your service into a product

1. Productize your service
Aarni Heiskanen
©2010 AE Partners

2. Products are standardized and
inflexible

3. ...whereas
services are
flexible and
adaptable

4. So, what is the point in
“productizing” a service?

5. The idea is not to make the
service inflexible

6. The idea is to systematize the
service in a way that benefits
both the customer and the
provider

7. Effect of service systematization on
service tasks
Customer- 50...75%
specific
work 85...95%
Standardized 25...50%
Automated 5...15%
Repeatable
Before After

8. How can productization
improve your service business?

9. It establishes
trust and
reduces the
customer’s risk

10. It makes the intangible more
tangible

11. It increases service
productivity

12. It can make
your service
stand out

13. Through
consistent
delivery it
increases
customer
satisfaction

14. “A service is productized when
its ownership can be traded”
Jorma Sipilä

15. How to start productizing a
service?

16. 1. Explore what
new value a
productized
service would
provide to your
customers

17. 2. Define what is standardized
and what customizable in your
service

18. 3. Make a service blueprint

19. 4. Automate parts of the
service process with online
tools

20. 5. Devise a simple pricing
system

21. 6. Create a consistent look and
feel for tangible service
elements

22. 7. Train your
people how to
fulfill the
customer
proposition

23. Examples

24. Text editing and proofreading with
an online service process (Wordy)

25. Mass-customized home design (Moor)

26. Software care service (Fujitsu, Finland)

27. www.aepartners.fi