Successful service innovation is brand-driven
Services represent 75% of GDP in western economies, yet service innovation is little understood and poorly done. To find out the secrets of successful service innovation, Oxford Saïd Business School and Wolff Olins examined nine successful service providers: American Express, IBM, Disney, Orange, First Direct, Direct Line, London Underground, Progressive and Zions Bank.
We concluded that outstanding service organisations adopt what we call the Right Services discipline, which has three components. First, and most obviously, function, which means singlemindedly delivering the brand promise – for example, Oyster delivers on smarter, easier, cheaper travel around London. Second, form, which means imaginatively designing a unique brand experience – for example, iTunes as an entertainment service that’s intuitive, personal and collaborative. Third – and this is the critical component – feeds, which means involving customers in the service, so that they can participate in the brand – for example, Disney’s Magical Express tailors the Disney experience to each customer’s needs.
The research shows that these three principles are the key to creating successful new services – and therefore to business growth.
Brand guided companies do better
In this 2005 report Wolff Olins partners with Booz Allen Hamilton to examine the attributes needed to become a successful brand-guided company.
This research, conducted with marketing executives across Europe, shows that over 90% of companies believe their brand is a key element of their success - twice as many as five years ago. Yet less than 20% put the management of their brand at the heart of their strategy and capabilities. The report discusses the importance of placing brand at the centre of a business and identifies ten key areas where brand-guided companies excel.