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Creating Do-It-Yourself Customers
© 2012 Customer Performance Group | AGA-EEI Conference April 2012 www.doityourselfcusotmers.com | [email protected] | 775-846-0398
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Customer Performance
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CPG’s Thinking and Approaches
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About CPG
Consulting, Research, and Design Services • Guide Management and Marketing Strategy • Launch Innovations • Improve Performance of Customers and Employees
Scientific Instruments
Publishing Behavioral Health Smart Meter Systems
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Customer Co-Creation of Value
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Co-Creation of Value in Utilities
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CODESIGNERS COCREATORS
COPRODUCERS
Customers Have A Value-Creating Role In The Experience
Customer Roles
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The Coproduction Experience Model
Goals and Feedback
Rewards & Punishments
Customer Education
Processes, People, Tools, and Interfaces
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Vision • Goals • Feedback • Expectations • Plans
Goals and Feedback
Goals Feedback Control
Source: Bandura and Cervone, 1983.
0%
60%
20% Perf
orm
ance
Incr
ease
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Vision Examples
• No housekeeping or maintenance between 9pm and 10am
• No children, groups, marching bands, or circus animals
• Keep TV and radio low • Prevent doors from
slamming • No loud singing in the
shower
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Access
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Access Examples
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Incentive • Rewards • Punishments • Negative Reinforcement • Removal of Punishing Conditions
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Incentive
(c) Guest acknowledges that Carnival’s vessels contain non-smoking sections. Guest agrees to refrain from smoking in those sections and agrees that Carnival has the right to disembark the Guest for failure to observe Carnival’s non-smoking policy.
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Expertise
Basic Tools Instructional Manual
Problem Tools 800-Number
Support Tools
Web-based Tutorials
Premium Tools Training Class
Embedded Tools
Speech Prompts
Problem-solving/ Physical skills
Choice and Usage Tasks
Immediate Help
Product-driven Assistance
Immediate Help
Immediate Help
Refreshers
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Expertise Examples
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1st
Notification 2nd
Notification
To Do:Unloc k Gate
Dis able Security
Clear Path to Meter
~~~~~~~~~~~~~
~~~~~~~~~~~~~~~~~~~~~~~~~~~
Reset clocks
Customer reads and learns about new
rate
Customer completes
survey for $15
Sign in to access energy management
tools on web
Sign up for pricing notifications and
additional hhd members
Exit or Access Energy Data
Customer completes survey
Customer receives letter from ComEd
Customer opens invitation to complete
survey for $35
Notification of next day’s
rates
Customer adjusts usage during peak
hours
Customer receives feedback
Customer receives monthly bill
Customer notices bill has new information on it and inserts that
indicate he’s saving $$
Smart Meter Installation
Web Access for Energy Management Tools
Rate Notification
In-home Device Experience
Monthly Bill
PricingNotification
PostSurvey
Prep ListTechnician installs
meter
Customer receives letter
Label
6 AMI Customer
Experience
5
4
3
2
1
7
Your Energy.
Your Way.
Technician notifies upon arrival
Post-install communication
Receives device in a box via mail
Opens box containing device and getting
started guide
Customer experiments with
new device
Customer pays bill
Access Your
Energy Data
Change Password
Change password
A Customer Experience
17 Source: Customer experience design for the ComEd Customer Applications Pilot (2010)
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Experience versus Relationship
• Customer Relationship – The emotional or intangible
connection that exists between an organization and its customers
• Customer Experience – The physical or tangible
connection (direct or indirect) that organizations create for customers
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Change the Relationship? To What?
Marriage of Convenience Arranged
Casual
Partnership
Best Friend Childhood Friend
Acquaintance
Kinship
Avoidance
Introductory
Dependent
Temporary Bitter Private
Reliant
Mor
e D
esira
ble
Less
Des
irabl
e
Adapted from Fournier, S. 1998
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What’s the Customer Relationship Now?
Leadership Caucus N=33
1. Marriage of Convenience (14) 2. Arranged (11) 3. Reliant (8)
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Further Analysis
Regulatory Filing Analysis N=5
> 50%
20% - 49%
<20%
Convenient ▼ Partnership ▲
Casual ▼ Acquaintance Best Friend ▲ Arranged ▼
Convenient Casual
Arranged Acquaintance Partnership
Kinship
Current Relationship Future Relationship
Customer Survey N=763
• Rate Case 1 = Convenient • Rate Case 2 = Arranged • AMI = Convenient to Partnership • Demand Response = Convenient • Energy Efficiency = Partnership
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Qualities of a Desirable Relationship
Proactive Mutually Beneficial Collaborative
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Some Thoughts About Being Collaborative
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What Happens When Father Knows Best
This is the door to Grandma’s house.
This is how the designer wants grandchildren to get to Grandma’s house.
The road to Grandma’s House. Which way would you go?
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The Five First Principles
1. Embrace Customer-Centered
Design
2. Blend Rational and
Emotional Experiences
3. Engage in Small,
Observable Adoption
Steps
4. Segment by
Observable Actions
5. Use Action
Research to Drive
Evolution
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Plant A Lot of Grass
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Cred
it: K
ake
Pugh
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1. Know your customers 2. Create coproduction experiences by design, not
by default 3. Give customers choices 4. See customers as cocreators of value 5. Reduce the effect of silos to enable efficiency,
control, and differentiation
Your Action Plan
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Additional Reading
• Fournier, S.(1998). “Consumers and Their Brands: Developing Relationship Theory in Consumer Research,” Journal of Consumer Research, 24(March), 343-373.
• Honebein, P.C. and Cammarano, R.F. (2011). “The Agony and the Ecstasy of CRM in a Smart Grid World ” Database Marketing and Customer Strategy Management, 18(4), 225-232.
• Honebein, P.C., Cammarano, R.F, and Boice, C. (2011). “Building a Social Roadmap for the Smart Grid.” The Electricity Journal, 24(4), 78-85.
• Honebein, P.C. and Cammarano, R.F. (2011). “The Five Qualities of Effective Smart Grid Customer Education.” Metering International, March(1), 24-29.
• Honebein, P.C. (2010). “We Got a New Digital Meter. Our Usage Went Up 123%. Our Bill Went Up 65%.” The Electricity Journal, 23(2), 76-82.
• Honebein, P.C. & Cammarano, R.F. (2009). “Balancing Act: The Impact of Rational and Emotional Designs on Memorable Customer Experiences. In A. Lindgreen et al (Eds.), Memorable Customer Experiences. Surrey, UK: Gower.
• Honebein, P.C., Cammarano, R.F., and Donnelly, K. (2009). “Will Smart Meters Ripen or Rot? Five First Principles for Embracing Customers as Co-Creators of Value.” The Electricity Journal, 22(5), 39-44.
• Honebein, P.C. (2009). “The New Energy Interface.” Interactions, 16(5), 26-28. • Honebein, P. C. and Cammarano, R.F. (2008), “Crafting a Persuasive Smart Meter Customer Experience.” Metering
International, January(1), 102-105. • Honebein, P.C. & Cammarano, R.F. (2005). Creating Do-It-Yourself Customers. Natorp, OH: Texere. • Honebein, P.C. (1997). Strategies for Effective Customer Education. Chicago: NTC Books
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About Peter C. Honebein Dr. Peter C. Honebein is an internationally-recognized expert on smart grid customer experience and is co-founder of the Customer Performance Group, a management and marketing strategy consulting firm. He is also an adjunct professor at the University of Nevada, Reno and Indiana University, where he teaches graduate and undergraduate classes in marketing, customer experience design, human performance technology, and instructional design. As a designer and consultant, Dr. Honebein applies his vast knowledge of design, marketing, product development, and performance technology to solve novel problems related to human performance. He has created, marketed, and licensed commercial products, designed the system that tracked the cleanup of the Exxon Valdez oil spill, and consulted on the design, strategy, and launch of numerous innovations, products, and services, including the system that sequenced the human genome and smart metering systems for utilities such as SDG&E, ComEd, NV Energy, and Duquesne Light. Dr. Honebein is the author of the books Creating Do-It-Yourself Customers and Strategies for Effective Customer Education, as well as numerous articles in such multidisciplinary publications as The Electricity Journal, Metering International, Database Marketing & Customer Strategy Management, Marketing Management, Educational Technology, and Interactions. He has also presented on topics related to the customer side of smart metering systems at numerous industry conferences. Customer Performance Group 775-846-0398 | [email protected] | www.doityourselfcustomers.com