by Robyn Bolton | Mar 29, 2022 | Innovation, Leadership, Metrics, Strategy
“We need to be more innovative.”
How many times have you said or heard that? It’s how most innovation efforts start. It’s a statement that reflects leaders’ genuine desire to return to the “good ol’ days” when the company routinely created and launched new products and enjoyed the publicity and growth that followed.
But what does it mean to “be more innovative?”
Innovation’s ABCs
A is for Architecture
Architecture includes most of the elements people think of when they start the work to become more innovative – strategy, structure, processes, metrics, governance, and incentives.
Each of these elements answers fundamental questions:
- Strategy: Why is innovation important? How does it contribute to our overall strategy?
- Structure: Who does the work of innovation?
- Process: How is the work done?
- Metrics: How will we know when we’re successful? How will we measure progress?
- Governance: Who makes decisions? How and when are decisions made?
- Incentives: Why should people invest their time, money, and political capital? How will they be rewarded?
When it comes to your business, you can answer all these questions. The same is true if you’re serious about innovation. If you can’t answer the questions, you have work to do. If you don’t want to do the work, then you don’t want to be innovative. You want to look innovative*.
B is for Behavior
Innovation isn’t an idea problem. It’s a leadership problem.
Leaders that talk about innovation, delegate it to subordinates and routinely pull resources from innovation to “shore up” current operations don’t want to be innovative. They want to look innovative.
Leaders who roll up their sleeves and work alongside innovation teams, ask questions and listen with open minds, and invest and protect innovation resources want to be innovative.
To be fair, it’s incredibly challenging to be a great leader of both innovation and operations. It’s the equivalent of writing equally well with your right and left hands. But it is possible. More importantly, it’s essential.
C is for Culture
Culture is invisible, pervasive, and personal. It is also the make-or-break factor for innovation because it surrounds innovation architecture, teams, and leaders.
Culture can expand to encourage and support exploration, creativity, and risk-taking. Or it can constrict, unleashing antibodies that swarm, suffocate, and kill anything that threatens the status quo.
Trying to control or change culture is like trying to hold water in your fist. But if you let go just a bit, create the right conditions, and wait patiently, change is possible.
Easy as 123
The most common mistake executives make in the pursuit of being “more innovative” is that they focus on only A or only B or only C. But, as I always tell my clients, the answer is “and, not or.”
- Start with Architecture because it’s logical, rational, and produces tangible outputs like org charts, process flows, and instruction manuals filled with templates and tools. Architecture is comforting because it helps us know what to do and how.
- Use Architecture to encourage Behavior because the best way to learn something is to do it. With Architecture in place (but well before it’s finished), bring leaders into the work – talking to customers, sharing their ideas, and creating prototypes. When leaders do the work of innovation, they quickly realize what’s possible (and what’s not) and are open to learning how to engage (behave) in a way that supports innovation.
- Leverage Architecture and Behavior to engage Culture by creating the artifacts, rituals, and evidence that innovation can happen in your company, is happening and will continue to happen. As people see “innovation” evolve from a buzzword to a small investment to “the way we do business,” their skepticism will fade, and their support will grow.
Just like the Jackson 5 said
ABC, It’s easy a 123
Architecture, behavior, culture – they’re all essential to enabling an innovation capability that repeatedly creates new revenue.
And while starting with architecture, building new leadership behaviors, and investing until the culture changes isn’t easy, it’s the 123 steps required to “be more innovative.”
by Robyn Bolton | Mar 23, 2022 | Customer Centricity, Innovation, Stories & Examples
“He’s just not that into you.”
That sentence is usually uttered as tough-love advice to a friend who can’t seem to let go of a guy that’s clearly let go of her. A few weeks ago, it was tough love advice to one of my friends who couldn’t understand why customers weren’t swooning over his company’s newest product.
They didn’t hate.
But most didn’t like it enough to buy it.
It wasn’t rejection that was killing the business. It was apathy.
It was painful to witness.
It is also solvable.
Breeding apathy
I’m a baseball fan. I’m also the first to admit that baseball breeds apathy amongst its fans.
4-hour games. At-bats that feel like 4 hours. Fan involvement that is limited mainly to the Wave and the 7th Inning Stretch. It’s boring.
Unless you’re in Savannah, GA.
If you’re in Savannah to see baseball, you show up 2 hours before the game starts. When the gates open, you rush to your seats because you don’t want to miss a moment of the pre-game festivities. During the game, you bounce in and out of your seat so much that it counts as a workout. After the game, you spend another hour dancing and singing with the band and the team. By the time you get home, your voice is hoarse, your head is spinning, and you swear you never knew a baseball game could be so fun.
It’s bananas. The Savannah Bananas.
Converting the apathetic into raving fans
How do they do it?
How does a collegiate summer baseball team sell out every game since 2016 and routinely attract people from around the world?
More importantly, what can you (and my friend) learn from them?
1. Do Your (customers’) Job (to be Done).
Most people go to baseball games to have fun and make memories. Most MLB franchises are focused on making a profit and winning trophies. Not a whole lot of overlap there.
The Bananas promise “to provide an electric atmosphere at all of our games! Our fans come first, and we’re dedicated to entertaining you!” There’s a complete overlap between what the fans want – have fun and make memories – and what the Bananas offer.
2. Deliver an end-to-end experience
For most businesses, designing and delivering an end-to-end experience is about investing in technology to make buying their products “frictionless” and training customer service to be more “helpful.”
The Bananas invest in delivering delight. Here’s what happened after I spent a whopping $50 to buy two tickets:
- I received an email telling me I had just made the “best decision of my life” and sharing a video of the “live” view of their offices when my order came in (dancing and chaos)
- Three days later, Carson called to thank me for buying tickets
- Two weeks before the game, they emailed to help me “mentally prepare” for the experience.
- One week before the game, they sent a permission slip to give to my boss to get out of work early.
- On gameday, they emailed a Spotify playlist so we could prepare for the game
- The day after, they emailed a handwritten thank you note from the owners
- A week after the game, they emailed a video montage of the game we attended
3. Be human
Most companies “run lean” and use technology to improve efficiencies because humans are expensive.
The Bananas are human. Carson emailed the permission slip. She also called to thank me for buying tickets. Nick sent the gameday email. He also gave me the wristband required to get to our seats. The owner, Jesse Cole, spent the night running around in a yellow tuxedo hyping up the crowd. His wife wrote a thank you letter.
4. Give thanks. No strings attached
We’ve all received the “Thank You for Your Purchase” email after an online transaction. We also know that the email will ask for something more – track your package, write a review, post on social media, buy another product.
The Bananas say, “Thank You,” then give you something more – a funny video, a permission slip, a Spotify playlist, a handwritten thank you note. They don’t ask you to buy merchandise or post about your experience on social media, or leave them a review.
5. Care
If you don’t care about your product, no one else will.
In a world of baseballs, be a banana.
There are dozens of other things the Savannah Bananas do that make them unique and delightful that your business (and MLB) would struggle to copy.
But there are at least five things you can copy to stave off customer apathy and inspire die-hard, life-long, “tell all your friends” loyalty.
What did I miss? What have YOU experienced or done to be a banana?
by Robyn Bolton | Mar 16, 2022 | Innovation, Leadership, Strategy
Imagine that you decided to temporarily shut down your business. You made this decision because you knew something major could go wrong and, despite some efforts, you didn’t make as much progress as you hoped. So, you temporarily closed without knowing how long “temporarily” would be.
Three months later, you have made big changes. Massive, ginormous, monumental changes. Changes to foundational elements of your business. You discontinued a beloved product, made existing products safer and expanded a controversial product.
Now, imagine that the press followed all of this. They reported on every meeting, speculated on every discussion, and critiqued every statement. They even said you should be fired.
But now, today, you announced that you’re open for business. All the problems are solved, and all the changes rolled out. The press celebrated, and articles, podcasts, and news stories heralded your business’ re-opening.
Your customers yawned.
They didn’t miss you.
Many didn’t even know you were gone.
A True Story
You just read the story of Major League Baseball at the end of its 99-day lockout.
But it could also be the story of your business if you make the same mistake MLB did in December, which is the same mistake it has made for the past 20+ years.
It forgot what business it’s in.
MLB thinks it’s in the baseball business. For some customers, diehard fans, it is. But for most, baseball is in the business of helping customers to:
- Make memories
- Have fun
- Feel connected to others
- Be entertained
- Drink beer and eat junk food without guilt
These are the Jobs to be Done that customers hire baseball to do for them. But there are dozens of other businesses offering to do the same Jobs, many in ways that are lower cost and more easily accessible. And fans are taking their business to those competitors.
According to Statista, the average per game attendance was 18,900 in 2021, a 34% decline from 2019. Even more troubling than this “generational low” is that people aren’t even watching baseball at home, evidenced by the 12% decline in TV viewership for games.
Customers are rejecting baseball. They just don’t care about it as much as they used to. As a result, they’re spending less time and less money on it and finding newer and better alternatives.
3 Questions to Figure Out if You’re Out (or In)
This story isn’t unique to MLB. It’s the story at the core of many failed businesses. The outward view of solving customers’ problems gives way to an increasingly inward-facing view of the business the business is in.
The story isn’t fast-paced or obvious, either. The declines happen slowly – average gameday attendance dropped only 367 people annually from 2012 to 2019, a decrease that’s easy to miss when considering that the average MLB ballpark holds 43,000 people.
But once the decline starts and apathy sets in, it is challenging to change the story. But not impossible.
If you want customers to care about you again, to need you and your products the way they used to, you need to care more about your customers than your business. You need to ask three questions:
1. “Why do you choose us?” (in Innovation-speak this translates to, “What are your Jobs to be Done?”)
2. “When you don’t choose us, who do you choose and why?”
Then you must listen. Really listen. To EVERYTHING customers say. The reasons you want to hear and the ones you don’t, The competitors you know and the ones you least expect. The things that make them better that you know and the ones you don’t agree with.
Then, and only then, do you look inward at your operations and business model and ask.
3. “What business are we in?”
Are your operations set up to deliver delight to customers or maximum efficiency to your business? Is your business model set up to create value for customers or maximize profit for you? Are you increasing the size of bases 3 inches and claiming its safer or doing everything possible to reduce the game’s length and increase its fun factor?
It’s not customer rejection that kills a business. It’s customer apathy.
Don’t allow your customers to become apathetic. They cared about your business once. Keep giving them reasons to care by asking what they care about and delivering it.
How do you make sure that you’re in the right business?
