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PIG Strategy in a Nutshell
Published on March 31, 2015
incorrectly
avoid pain wrong pain improve pain
Pursuing Excellence Gets IN THE WAY
You are sitting at your desk reviewing the latest customer feedback report.
Looking at the customer dissatisfaction issues raised in the report, you cannot
help but frown: queuing time is too long, background music too loud, payment
choices too limited… you are on edge, about to pick up the phone to call every
department head and demand a revolutionary enhancement to the customer
experience. But, wait just a minute; will eliminating all the customers’
dissatisfaction really keep your customers satisfied?
Figure 1 - Pursuing Excellence: Avoid Pain with Insignificant Pleasure
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disallow minimize
Figure 2 - Resource Revolution:
Allow Pain for Significant
Pleasure
allow pain
more less
avoids
Customer Centricity is IN THE WAY
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It has been three years since you took charge of customer centricity. For the first
Sampson Lee 249 53 387
two years, you tried to “wow” every customer and address every pain and
complaint. Yet you don’t have unlimited resources to do this – what a disaster!
Learning from your past mistakes, you stop trying to satisfying ‘all’ needs of ‘all’
customers. Instead, you focus your limited resources on satisfying only the ‘most
critical’ needs of ‘target’ customers. This is the right way to go, isn’t it?
Figure 3 - Customer Centricity:
Bad Pleasure & Unnecessary
Pain
Figure 4 - Branded Experience:
Branded Pleasure & Good Pain
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both
Allowing Pain
right right
wrong wrong
Continuous Improvement is IN THE WAY
Your CEO attended a conference last month and he was inspired: the next big
thing is Customer Experience. His recent headaches have included regulatory
changes that opened the market to competition, previous ‘hero’ products that are
no longer among consumers’ favorites, and strong pressure to lower prices that
eat into already slim margins. So, this inspiration comes at the right time. He
quickly sets up a steering committee. Customer experience has to be improved
continuously to become the company’s new core competence. Is your CEO
driving your company toward a prosperous future?
Figure 5 - Continuous Improvement: Improve Pain to Reduce Pleasure vs. Creative
Aggravation: Aggravate Pain to Maximize Pleasure
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aggravate
improves
PIG is a More Effective Solution
creating a memorable customer experience
differentiate your brand
build your core competences
disremembered’ experiences
no different than your competitors –
weakens your comparative advantage
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not are
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Figure 6 - The Opposite Take
on Pain: Conventional
Approach vs. PIG Strategy
resource revolution
branded experience,
creative aggravation
is
not only
more
effective
allow pain
right pain aggravate pain –
unusual natural unusual
natural
extremes
balance
. Isn't it?
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Patient’s Memories of Painful
Medical Treatments: Real and Retrospective Evaluations of Two Minimally
Invasive Procedures
Evaluations of Pleasurable Experiences: The PeakEnd Rule
One Cup of Coffee, 20
Experiences: Take a Tip From Starbucks
Blue Ocean Strategy: How To
Create Uncontested Market Space And Make The Competition Irrelevant
About the Author
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