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Why sell an ‘experience’ rather than a service or product?

Why sell an ‘experience’ rather than a service or product?. Thought Leaders. Don Tapscott . Thought Leaders. Don Tapscott Simon Sinek. Thought Leaders. Don Tapscott Simon Sinek Adam Grant. Thought Leaders. Don Tapscott Simon Sinek Adam Grant Spongebob Squarepants.

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Why sell an ‘experience’ rather than a service or product?

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  1. Why sell an ‘experience’ rather than a service or product?

  2. Thought Leaders Don Tapscott

  3. Thought Leaders Don Tapscott Simon Sinek

  4. Thought Leaders Don Tapscott Simon Sinek Adam Grant

  5. Thought Leaders Don Tapscott Simon Sinek Adam Grant Spongebob Squarepants

  6. Key Points • What is an ‘experience’? • What perspective are we talking about? • Organisation • Director • Employee • Client • The ‘Open World Experience’

  7. Definition of an ‘Experience’ • Phases andan underlying unity of emotions • Connection and continuity • Full meaning only grasped in experiencing all phases Qualities of a successful experience • Neither humdrum nor conventional • Consistently positive from many perspectives • continuityof end-to-end processes Demands for a successful experience • Constantlyutilises feedback to improve the experience • Reviewed by teams with different perspectives

  8. Why consistency of experience matters

  9. Consistency and Perspectives Director’s Perspective Employee’s Perspective Client’s Perspective

  10. 1. Director Perspective Discussion 1 Imagine this conference was a Kaplan, EF or Wall Street Conference…. • How different would the conference be? • How different would our relationship be to the organisation as a whole? • How different would our relations be to fellow ‘managers’?

  11. Director’s Perspective Imagine if this conference were EF, WALL ST, KAPLAN • Chasing the 'top jobs' - competitive spirit of envy, jealousy, backbiting and we would all be • Trying to 'get ahead' in the organisation. • How much greater our spiritual investment in our own schools than ‘appointed’ managers with no direct involvement in the local culture • We may complain that we do not have as big a budget as KP,EF,WS – but what have achieved with such limited funds is a true source of our pride.

  12. InternationalHouse

  13. Kapefwall

  14. Multi-national (MN) model POP! Less Passion and Trust Less Responsive and Adaptable Lose the ‘WHY?’

  15. IH v Krapefwall - The Visitor’s Tale • More uniformity and Very similar programmes. • Couldn’t tailor programmes to local situation. • Decisions and changes happened without consultation • New and very structured courses imposed • International House]teachers better qualified than average [Kapefwall] school and were more used to working independently.Sales and Marketing centralised • Agents annoyed couldn't deal directly with school. • Having visited a range of very different IH schools in the last couple of years I am always struck by • ….how different each of them is but they all still are unmistakably IH.

  16. We are so different-BUT....

  17. Founders/Ownershave heart in it…. ….hard work not only tolerable but even joyful ….deeply passionate ….you want to share your mission and vision with the world ….have a higher sense of purpose and spirit to succeed ....you have a clear why, or reason for what you do ….clear underlying values not just “making money” ….your values have strong connection to what you do More likely to do what we say and say what we do, based on principles and beliefs These create confidence and trust that leads to improved leadership, impact, and business-building potential.

  18. 3. Employee’s Perspective

  19. Discussion - WHY? Employee Perspective • Zappos shoe store in New York offers all new recruits the opportunity to resign after one week and receive a $2000 pay off. WHY? • Is it better to have an 'A Team' with a plan B, than a 'B Team' with a plan A? • Are ‘Awkward buggers’ in reality just compulsive perfectionists

  20. Discussion 2 answers? • Zappos shoe store in New York offers all new recruits the opportunity to resign because…. • The pure act of reflecting on their commitment to Zappos makes them appreciate the value and reward of loyalty. It also builds in quality control advantage into recruitment process • A team with Plan B? • Yes, but some awkward buggers are just awkward buggers

  21. WHY? - Employee Perspective • The Challenge: If IH Experience = continuous and consistent we must channel it through employees to clients • The Goal: hire people who believe what we believe! • ‘A Brand that captures your mind gains behaviour, a brand that captures your heart gains commitment • Employees must know WHY they are important to International House and clients WHY working for International House is special WHY they are part of the unique IH story And……..see their place in it (Personal reflection: On visits, I often meet IH Employees who know little about the IH World. For them it’s a mythical mountain range beyond their horizon. These employees have less appreciation of what a great organisation this is.)

  22. Meet Adam Grant….. he’s adamant about something.

  23. Employee Perspective - Theory Adam Grant, Organisational Psychologist • how to get the most out of employees • how employees get most benefit from work Greatest motivation is purpose in work and a sense of service to others Fundraising Organisation Experiment 1. Personal Benefit/Control groups = same pledges 2. Task Significant Group= more than doubled pledges

  24. Why ‘why’?

  25. EmployeePerspective - Consistency 1. Training • The ‘IH Way’ bespoke courses • IH Network and Community • Learn Vision/ See Big Picture • Learn Unique Story of IH

  26. EmployeePerspective - Consistency 1. Training IH Way - Network - vision and unique story 2. Appreciation – (from the above) • Value professional development • Build loyalty to IH • Feel part of something bigger

  27. EmployeePerspective - Consistency 1. Training - ‘IH Way’ - Vision – Unique story 2. Appreciation - professional development - build loyalty - gain purpose Sense of purpose and seeing the big picture adds value to... 3. Initiative • Seethings in harmony with peers and leaders • Appreciate ‘Change is good’ in terms of whole system • Such initiative in turn appreciated by directors.

  28. EmployeePerspective - Consistency 1. Training - ‘IH Way’ - Vision – Unique story 2. Appreciation - development - build loyalty - gain purpose 3. Initiative - see things in harmony - ‘Change is good’ - whole system 4. Communication • Network through the IH organisation enthusiastically - every level - all divisions • Can identify opportunities and are part of a network that shares best practice • Develop open and honest attitude see benefit of sharing best practice

  29. EmployeePerspective - Consistency 1. Training - ‘IH Way’ - Vision – Unique story 2. Appreciation - professional development - build loyalty - gain purpose 3. Initiative - see things in harmony - ‘Change is good’ - whole system 4. Communication • Networking - Identify opportunities - open and honest 5. Positive Feedback The more enthusiastic and positive the employees - better the boss wants to be.

  30. The Client’s Perspective

  31. Virgin’s ‘Rock and Roll’ Spirit

  32. Apple – Hippies and Alternative Culture

  33. Discussion – Client Perspective • Why do Virgin promote a rock and roll spirit? • Why do Apple promote a druggie, peace and love message? • How come they are two of the most successful brands in the world?

  34. What can we learn? • Do not focus on WHAT you sell – Virgin and Apple focus on WHY you should like them and want to be associated with them. • Stressing the core functions describes facts it does not motivate • Stressing quality or spirit of the experience suggests the core of what you do is taken for granted. They should be confident that the how is carried out to a high standard and the only real decision is …. …….why?

  35. People don’t want to be told they need what you have – they want you to believe what they believe and be a part of their ‘tribe’ (Seth Godin) and they will support you and associate through you. WHY? - Client Perspective 50% of HBS Alumni aged over 50 spend 25% of time on social enterprise projects. Biggest Harvard Conferences and Forums are in social enterprises…. AND Over 50s and under 25s are coming together on such projects more and more.

  36. Why motivates! WHAT NEO-CORTEX Rational and Analytical This is the Part that Drives Behaviour

  37. SO……. • When we communicate to the limbic area of the brain we communicate directly to the part that drives behaviour • THEN we rationalise our decisions and behaviour • To get any loyalty, trustand engagement, we have to appeal to core human values

  38. WHY? - Client's Perspective Key Ideas – Consistency and dependability not two-faced Shouting ‘We are the Best!’ is working less and less…… Subtle and continuous interaction reinforcing that consistency across all media; • comments on social media *recommendations on peer review sites *IH language rainbow on a branded poster on the wall *overheard conversations • One puzzle piece added to another

  39. The Open World Perspective 2 Message that matters = from their connected customers. 4.5 billion customers control social media messaging talking about IH - influencing family and friends. The most important factors are: Trust Transparency Humility • Listen to Customers - turn feedback into better products • Publish Great Content not Shouting Exercises • Service Customers through every Channel (Skype, Tweets etc.) A customer complaint dealt with well, is a great opportunity to create an advocate for life.

  40. “….how different each of them is but they all still are unmistakably IH” • Perhaps we shouldn’t think what the ‘defining’ IH experience is. Nor defining our USP • Perhaps it is in our people and where it is lacking we can nurture it • We must carry the spirit of the International House experience, that every one of our employees knows the story is trained to see and understand the bigger picture and feels that purpose that comes from the vision, sense of loyalty to this great co-operative venture

  41. If your school was a person…. • Trust - Watch out for customers’ interests • Humility – If criticised, engage - admit things to learn- others see response and warm to the company • Empathy - See things from the customer’s perspective • Humanity – People are falliblebut good ones say sorry • Make Friends - Long-term thinking builds friendships • Competence - product and service quality – dependable character • Share – create pleasant surprises: be enthusiastic …….would they like you?

  42. Humility Fullness of knowledge always and necessarily means some understanding of the depths of our ignorance, and that is always conducive to both humility and reverence." — Robert A. Millikan "Humility is the only true wisdom by which we prepare our minds for all the possible changes of life.“ — George Arliss "Pride is concerned with who is right. Humility is concerned with what is right.“ — Ezra Taft Benson

  43. At the end of a blue sky session….

  44. In that spirit….

  45. So if you haven’t enjoyed it….

  46. So what about me? Thank You!

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