Crafting a clear customer value proposition: Do you even speak customer?

In the sprawling jungle of business, from agile startups to towering enterprises, everyone's chasing that elusive headline. Apple's "Think Different" wasn't just a slogan — it was a declaration of culture. But many companies, regardless of size, struggle with a basic question: can they articulate a value proposition that doesn't just resonate and consistently echoes authentically across every CX touchpoint, but is also a genuine reflection of their cultural commitment to customers?

The essence of value propositions: More than words

From Salesforce's "Customer Success Platform" to Oracle's ambitious vision, "Help People See Data in New Ways" (shoutout to my former colleagues), to the startup universe I now advise aiming to be the next big thing, the spectrum is vast. The giants have their game on, but many in the corporate landscape, startups included, sometimes miss the mark.

A value proposition isn't merely a catchy phrase. It's an embodiment of a company's culture, driving every interaction, decision, and strategy. For a true pivot to customer-centricity, it must be deeply ingrained in the company's ethos, serving as the North Star guiding every employee — from the mailroom to the boardroom.

Marketing meets service: A cultural symphony

Remember Best Buy's David vs. Goliath saga against Amazon? The cheat sheet is here. It wasn't just strategy — it was cultural transformation. CEO Hubert Joly's eight-week reality check shaped a phygital strategy that made Best Buy the lone retail gladiator in its category.

Net result: Best Buy is the only North American survivor from the retail industry in its category; and is profitable, leveraging its physical stores and Geek Squad customer service to protect the customer value chain. Moral of the story? Marketing might set the stage, but customer service is the show. When they're in sync, it's nothing short of Broadway.

The power of design thinking: Crafting culture, not just products

Airbnb, a once-small startup, didn't just sell rooms; it sold experiences. On the flip side, Wells Fargo, a financial titan, harnessed design thinking not only to innovate but also to instigate a cultural shift towards humanizing banking. Both zeroed in on deeper customer desires, albeit at different scales.

Design thinking isn't just a tool; it's a mindset. It can shape the experiences of both customers and team members. By incorporating it early in the process, it can have a transformative impact on their journey. Beyond product design, design thinking is about cultivating a culture that's deeply attuned to customer desires, needs, and feelings. It's about fostering a company-wide mindset of empathy, innovation, and relentless customer focus.

Elizabeth Trudeau, the founder and head of strategic design at Wells Fargo, has played a pivotal role in integrating human-centered design into financial services — read her interview here. Trudeau’s team concentrates on the initial stages of service design, encompassing strategy, experience design, and process design. Rather than focusing on specific design terminologies like ‘design thinking’ or ‘service design’, Trudeau prioritizes problem-solving, curiosity, experimentation, empathy, and collaboration.

She underscores the necessity for improved innovation and problem-solving skills in an ever-evolving world. However, large organizations like Wells Fargo face several challenges. These include altering the mindset and behavior of people within the organization, grappling with legacy systems and conflicting priorities, and catering to diverse stakeholders.

Trudeau's pioneering efforts at Wells Fargo demonstrate how it redefines organizational culture. And as a certified practitioner of design thinking from IDEO U, I attest you can apply it to craft and refine your customer value proposition as well. This is where the true magic of design thinking lies.

Engaging top management: Leading the cultural charge

The legendary Jeff Bezos’s symbolic empty chair isn't just a quirky Amazon meeting ritual — it's a powerful statement of Amazon's customer-centric culture. Every organization, from garage startups to sprawling multinationals, must remember their true boss: the customer.
And the first step for CX practitioners? Take the CEO to shadow a customer service agent call with real customers. That is one of the most powerful shortcuts to create awareness with top execs, and for them to take responsibility and above all action. Speaking customer starts at the top.

Pragmatic insight: Culturally crafting and delivering authentic value

Dos:

• Engage and listen actively: Like Spotify's masterful use of Twitter, ensure you're hearing, not just broadcasting.
  
  
• Deep dive: Emulate Dropbox. Understand your users through research, feedback, and continuous engagement. For a deeper exploration of crafting a resonant value proposition, I've shared some insights here.
  
  
• Simplicity and authenticity: Let your value proposition be as straightforward and memorable as Evernote's "Remember Everything.

Don'ts:

• Tech as a tool, not a crutch: Google Glass was revolutionary but lacked clear utility. Technology should enhance, not overshadow.
  
  
• Stay grounded: Ensure your promises, whether as ambitious as a startup's or as grand as a multinational's, are always deliverable.
  
  
• Break down silos: Tesla’s agility stems from its integrated approach. All teams, regardless of function, should march to the same customer-centric beat.

Crafting a value proposition with design thinking: A cultural blueprint

1. Empathize deeply: Understand your customers' motivations, challenges, and aspirations.
   
   
2. Define with insight: Pinpoint the problem, ensuring a keen understanding of customer needs. Stand apart by understanding deeper than competitors.
   
   
3. Ideate with distinction: Brainstorm solutions, but always with an edge that differentiates you.
   
   
4. Prototype for your audience: Customize solutions. Avoid the trap of one-size-fits-all.
   
   
5. Test, learn and adapt: Engage real users, and refine based on feedback.
   
   
6. Iterate and evolve: Markets and needs shift. So should your value proposition. If you're considering harnessing design thinking for your business transformation, I've compiled some actionable suggestions here.

The journey ahead

In the intricate web of CX, understanding the threads that connect every touchpoint is crucial. As we navigate further into this series, gear up for a deep dive into OKRs and KPIs. But always remember, it's not about the destination—it's about the journey, the learning, and the transformation. Onward to our next adventure —until then, ponder this: is your company's culture truly reflected in its value proposition?