Customers expect
companies to offer more than a “one-size-fits-all” product or service.
The à la carte customerTM wants to be in control of what they
buy. A prospective customer wants to know what is available, at what
price and, if we’re talking about a manufactured product, how long it
will take to produce.
Traditionally, companies
with configurable products and services build and maintain elaborate,
electronic menus—often referred to as “configurators”—that describe the
array of options available. Many companies offer so many choices that
prospective customers are overwhelmed leaving them to wonder, “Where do I
start? How do I begin to understand what product or service is appropriate
for me?” For example, Dell’s website,
dell.com, offers a vast array of choices yet does not go far enough in
helping a prospective customer converge on the best solution based on their
individualized needs.
Most companies discuss
their products and services using industry-centric language which may align
poorly with the language and expertise of the prospective customer. If a
prospective customer doesn’t understand a company’s lingo, there’s going to
be problems. Here’s an example.
Imagine you have just
arrived in Malaysia and you are taken to a local, traditional buffet. You
know nothing about the food you see. Some things look like insects, some
things look raw — you are going to have many questions. There will be
language differences that make it difficult to communicate with your local
host. There will be a lot of “yeses” and head nodding but you wonder, “Did
she really understand that I can’t tolerate anything spicy? When she tells
me it’s not spicy, can I trust she understands my definition of ‘spicy?’” It
is no different speaking to a prospective customer who does not possess
expertise about your products and services.
If a company does a poor
job of helping prospective customers make appropriate choices through its
selling tools, it forces the prospective customer to speak with someone to
help them figure out what to buy or, worse, turns the prospective customer
toward competitors who more effectively help an individual decide what they
need to buy.
Sometimes, a prospective
customer will connect with a knowledgeable sales agent and, at other times,
the customer will speak to a sales agent who knows little more about the
company’s offerings than the prospective customer. The prospective customer
has no means to determine the skill and expertise of the sales agent taking
their call. If the product or service doesn’t meet the customer’s
expectations, the customer may never buy from that company again. The
unhappy customer is likely to share their negative experience with others.
Most configurators fail
to offer what prospective customers really need. What are the best practices
that companies of configurable products and services must employ in
next-generation configurators?
Has any company created
what I call the “next-generation configurator?” Not that I am aware of. Most
companies that have implemented configurators have done what I call Version
1.0 but need to be thinking about Version 2.0. Version 2.0 offers companies
an opportunity to distance themselves from the competition.
These best practices for
offering and presenting configurable products and services via
next-generation configurators will turn customers into committed, raving
fans. That’s exciting!

David
J.
Gardner, has held management and
senior management positions in Product Development,
Manufacturing, Sales, Marketing, and Customer Service, and
Product Management. He joined Tandem Computers in 1979 where
he was responsible for Corporate Documentation Standards for
Tandem's highly configurable and expandable computer
systems. In 1983, he designed and implemented a
Configuration Guide for Dialogic Systems instituting a
process that greatly simplified a complex, modular product
such that the field sales organization and international OEM
customers could easily define their order requirements. This
methodology satisfied the product definition needs of sales,
marketing, engineering, manufacturing, customer service and
finance. David founded his consulting practice in 1991. He
is a graduate of San Jose State University (BA) and Santa
Clara University (MBA). David is a member of the Society for
the Advancement of Consulting (SAC) and has been Board
Approved in the Area of Configurable Product & Services
Strategy and Implementation. In 2010, he was inducted in the
Million Dollar Consultant® Hall of Fame. Out of
over 1,000 consultants who have completed Alan Weiss’s
mentoring program, only 26 have been inducted in the Hall of
Fame.
Visit the Authors Web Site
http://www.gardnerandassoc.com
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