Are you experienced: the evolving consumer

By Rob Lewis, staff writer

Everybody wants more these days. More quality, more information, more satisfaction and more enjoyment. And critically for businesses, customers want a bigger return on their investment in goods and services than ever before. They want to be able to wring the maximum pleasure out of their purchases - and leading-edge firms are clamouring to comply.

The automotive industry offers a number of good examples of businesses that are exploring ways of increasing customer returns. Land Rover’s solution, for example, is a nationwide chain of nine centres offering expert tuition in extreme off-roading – an impressive proposition for customers who are hungry for skills to better enjoy the driving experience.

For a day, customers can learn to manage a side-hill traverse, master skid control and tackle a 45-degree ascent. In this way Land Rover is helping owners and potential owners to get the most out of their product, which is now no longer just an envy-inducing way of taking the kids to school, but also a way to show off new-found skills and recount a rare and exciting experience.

“We see it as our job to make the cars come alive,” explains Georgina Farnell of the Land Rover Experience North Yorkshire, and who admits that the service has been a superb marketing tool, having attracted over 50,000 visitors in the last five years.

Drivers are often surprised to find out what they and their vehicles can do. “I didn’t expect such an overall grounding in the mechanics of the vehicles,” wrote one customer on the facility’s website. “The combination of qualities, both intellectual and practical, was simply amazing.”

Blogger and 4X4 owner Kristin Varela said “the con [about 4X4 drivers] is that we don’t always get to use the car the way it is designed, engineered and built to be put to use. I finished the day feeling like I’d learned so much more about the Land Rover product line than I otherwise would have”.

Similarly, BMW’s US and continental driving schools have ensured closer relations with loyal customers, as well as winning sales amongst the undecided, by offering experiences such as week-long Namibian safaris in their X5s or power driving lessons on the famous Nürburgring track. The courses are frequently booked out well in advance and more than pay for themselves.

Filling the knowledge gap

It’s not just the motor industry, of course, that’s aiding its customers in this way. Anything technological is obviously a key area in which businesses can supply more than just a material product, as customers are often left struggling to keep up with the pace of change. Smart companies are filling the knowledge gap themselves.

In 2003, a survey by Orange Retail revealed that 80 percent of phone users only used 10 percent of the handset’s functions, often because the user simply didn’t know how to use them. In response, Orange launched its much vaunted Orange Academy that same year, reclassifying one in five shop staff as dedicated 'trainers', not 'sellers', with the initiative heralded by a £10 million advertising campaign.

In media releases that accompanied the launch of the “Orange Experience” the company detailed how the initiative was designed “to cover the wholly individual needs of every single customer with simple and individually tailored services. This does not concern a product or technology, but every contact with the customer.”

The Orange Experience was test-launched in Switzerland, where it saw a user increase of 13.5 percent and a revenue increase of 21.6 percent in one quarter. After its implementation in the UK, the results were equally impressive. Ofcom figures show that connections during the final quarter of 2003 increased by an awesome 31 percent. Orange had become more than just handset vendors: it had become teachers and mentors too, and its rewards are obvious.

Evolving consumerism

Likewise, Apple has been doing its bit to keep customers up to speed with its free, hour-long Apple workshops. Qualified specialists help Mac owners to derive maximum benefit from their machines, as well as giving them the chance to network with other customers who share the same interests, thereby creating a brand community. It even offers workshops in professional software applications like Final Cut Pro and Adobe Photoshop, where an hour’s training might normally cost the customer over £100.

Suffice to say, Apple is making a lot of new friends. Keith Silva of Television Film Services attended a free workshop that Apple ran and was very impressed. “I went out immediately after the workshop and bought four copies of Apple’s Final Cut Pro,” he says. Wendy Gallagher attended a podcasting and blogging workshop and admits “it was very heavy on the Apple equipment side,” but that it was still “pretty cool stuff...it was interesting and informative, and provided several resources.” It also led to her purchase of a new video iPod.

Start-ups and new businesses are especially well-placed to take advantage of the growing consumer expectation for more than just a material product. The Whisky School at Ladybank Distillery, Fife, is a private club where members can make their own whisky. Founded in 2004, it has over 400 members from all over the world, all of whom can attend courses in distillation and tasting.

“Consumerism is evolving, and major brands are really struggling to differentiate themselves," explains founder James Thomson. "The food and drink industry is a perfect example. Look at the number of premium spirits that rely on exotic ingredients like wild herbs from the Shetlands or pure Icelandic water just to identify themselves. It’s nonsense. We’re just marketing a drinks brand as a lifestyle brand – it’s not really that complicated.”

Whisky School member Bert Currie says the extra value for the customer comes from the level of involvement: “The product is the whole experience. Joining, expecting, waiting, blogging, bragging, contributing and achieving. We are all looking forward to the day when we can enjoy the whisky, but for me the participation and involvement is exciting.”

Whatever sector you’re in, or even if your business is still on the drawing board, the message is clear. Consumers want more from their purchases, and the opportunity is there for you to show them how - consumers will certainly raise a glass to that.

Read more features, practical case studies and white papers about how to improve your customer value proposition.