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Lovability: How to Build a Business That People Love and Be Happy Doing It QUOTES

21 " A great story about a big company’s ability to do this comes from one of the world’s biggest businesses, General Electric. I learned about Doug Dietz a few years ago when I saw him speak to a group of executives. Doug leads the design and development of award-winning medical imaging systems at GE Healthcare. He was at a hospital one day when he witnessed a little girl crying and shaking from fear as she was preparing to have an MRI — in a big, noisy, hot machine that Dietz had designed. Deeply shaken, he started asking the nurses if her reaction was common. He learned that 80 percent of pediatric patients had to be sedated during MRIs because they were too scared to lie still. He immediately decided he needed to change how the machines were designed. He flew to California for a weeklong design course at Stanford’s d.school. There he learned about a human-centric approach to design, collaborated with other designers, talked to healthcare professionals, and finally observed and talked to children in hospitals. The results were stunning. His humandriven redesigns wrapped MRI machines in fanciful themes like pirate ships and space adventures and included technicians who role-play. When Dietz’s redesigns hit children’s hospitals, patient satisfaction scores soared and the number of kids who needed sedation plummeted. Doug was teary-eyed as he told the story, and so were many of the senior executives in the audience. Products should be designed for people. Businesses should be run in a responsive, human-centric way. It is time to return to those basics. Let TRM be your roadmap and turn back to putting people first. It worked for our grandparents. It can work for you. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It

22 " When I talk about kindness in business, a few people scoff. They say, “Steve Jobs and the leaders at Apple created a pressure-cooker environment but it produced category-defining products that people love and obsess over.” That is the point — the results are not worth the cost, because there is an alternative. The goal of TRM is to create a kind, sustainable, and fulfilling experience for everyone. Caring and a sense of purpose evoke better performance than pressure and fear. The idea that only obsessive egomaniacs can produce breakthroughs is nonsense. People are the most important resource for any business, and people — whether they are employees, vendors, or customers — respond best to kindness, respect, humility, and empathy. You never know what other people are going through in their lives. Many of us are under great stress, especially when business cycles shift and economic pressures build. Others are struggling in relationships. When everyone feels valued and heard, they are more likely to show up fully and bring their best each day. Kindness is the alternative to the unnecessary “business is war” analogies that are not only tiresome but borderline offensive. It is the opposite of the “outcome justified the means” mentality that drives many entrepreneurs to consider sacrificing everything (including their morals) to build $100 million businesses in seven years. It’s success without the collateral damage. This aspect of TRM creates a healthy framework for daily interactions and long-term goals and helps people avoid burnout even when they put in heavy hours over long periods of time. We are all naturally optimistic, motivated to be better tomorrow than we are today. A kind organization understands that and leverages it. Your goal is to build a product that lasts, but to do that, you must also build an organization, a work environment, and a fabric of relationships that last too. People will remain engaged and focused on achievements when they are doing something meaningful that they care about in an organization that lets them live the way they want to live. “Caring and a sense of purpose evoke better performance than pressure and fear. The idea that only egomaniacs can produce breakthroughs is nonsense. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It

23 " Persson did not create Minecraft because he wanted to create a billion-dollar company; he loved video games and kept his day job while developing it. When the game soared in popularity, he started a company, Mojang, with some of the profits, but kept it small, with just 12 employees. Even with zero dollars spent on marketing and no user instructions, Minecraft grew exponentially, flying past the 100 million registered user mark in 2014 based largely on word of mouth.2 Players shared user-generated extras like modifications (“mods”) and custom maps with each other, and the game caught on not only with children but their parents and even educators. Still, Persson avoided the valuation game, refusing an investment offer from former Facebook president Sean Parker. Finally, he and his co-founders sold Mojang to Microsoft for $2.5 billion, a fortune built on one man’s focus on creating something that people loved.3 On the other end of the spectrum is Zynga, one of the fastest startups ever to reach a $1 billion valuation.4 The social game developer had its first hit in 2009 with FarmVille. Next came Zynga’s partnership with Facebook that turned into a growth engine. The company began trading on the NASDAQ in December 2011 and had 253 million active users per month as late as the first quarter of 2013.5 Then the relationship with Facebook ended and the wheels started coming off. Flush with IPO cash, Zynga started exhibiting all the symptoms of ego-driven, grow-at-any-cost syndrome. They moved into a $228 million headquarters in San Francisco. They began hastily acquiring companies like NaturalMotion, Newtoy, and Area/Code. They infuriated customers by launching new games without sufficient testing and filling them with scripts that signed players up for unwanted subscriptions and services. When customer outrage went viral, instead of focusing on building better products, Zynga hired a behavioral psychologist to try to trick customers into loving its games.6 In a 2009 speech at Startup@Berkeley, CEO Mark Pincus said, “I funded [Zynga] myself but I did every horrible thing in the book to just get revenues right away. I mean, we gave our users poker chips if they downloaded this Zwinky toolbar, which . . . I downloaded it once — I couldn’t get rid of it. We did anything possible just to just get revenues so that we could grow and be a real business.”7 By the spring of 2016, Zynga had laid off about 18 percent of its workforce and its share price had declined from $14.50 in 2012 to about $2.50. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It

26 " A lovable organization builds lovable products. It does so by delivering a Complete Product Experience (CPE) that customers and employees care deeply about. And as we have seen, The Responsive Method (TRM) is the system for discovering what customers need while creating the purposeful organization that can build it. The advice and ideas in this chapter are the logical next step — the blueprint for applying TRM in real time. If you do, it will transform your business. You will be able to quantify the impact the changes have by measuring your lovability scores by using the tools featured in chapter 10. My examples and advice will revolve around software businesses because that is what I know best. However, TRM and lovability are relevant to any technology-based product or service. And considering that every meaningful business today depends on technology to deliver a CPE, I believe that these insights and recommendations have widespread applicability. Technology is already interrupt-driven — especially in the software-as-aservice (SaaS) era of endless iteration and instant updates. It is collaborative and dynamic in a way that no other industry can match. Whether your product runs on code or microchips, you can apply TRM to what you are doing to immediately do it better. However, remember that the goal is not simply profit or growth but customer love. That means recalibrating how you see your business. Most technology companies are service businesses. More and more, today’s technology is rented rather than owned. That makes it dynamic, changeable, and fluid — a model that benefits customers, who commit fewer resources to implement and support it while getting products that continually improve. This environment challenges product builders while shifting the power to customers. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It

27 " For example, every year, I rent Intuit’s TurboTax so I can do my income taxes. I pay for something I only need for a few weeks in February even though it holds my data for the entire year. That is because it has my data from the previous year (and for years before that). It simply asks if my financial situation has changed or if I have unique needs for a given tax year. It even has built-in, crowd-based support to help me when I get stuck. TurboTax meets many of the lovability requirements. It solves my problem, meets needs I did not know I had, makes my life easier, and adapts as my circumstances change. Best of all, I pay a reasonable price to rent it every year. But how does Intuit really know what I need? Well, Intuit is famous for a program they call Follow Me Home. It sounds exactly like what it is — a way to observe customers in their homes or offices in order to understand how they actually use Intuit’s products. The founding team used Follow Me Home as a way to help their teams get an immersive look at what customers liked and what they needed, as well as what worked and what did not work. By observing customers in their own spaces, the Intuit team was able to see how often customers were interrupted while trying to use their product, or if they started on one device and finished the task on another. They were able to funnel that information back to their development team to make updates in subsequent releases. It is important to note that they were not following customers home to look for bugs in the product. No, they had a deeper purpose — to truly understand the experience of their customers and if their products were making their work and life easier. That deep commitment to understanding customers helped Intuit find elegant ways to help them. It is a simple concept and one that more product builders would benefit from. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It

30 " Harvard economist Theodore Levitt was the first authority to write about what he called the total product.2 A total product has four dimensions that marketers, executives, and support people need to understand if they want customers to appreciate the value of what they are selling:   1.Generic What your product is — software, a suitcase, etc. 2.Expected The essential features and benefits the product must provide, e.g., a refrigerator has to cool food. 3.Value-Added Features and benefits that exceed customer expectations. 4.Potential Future enhancements to value based on what customers want. Levitt’s thinking was daring but limited because it focused on features and benefits but not the overall customer experience. Then in 1999, Geoffrey A. Moore took Levitt’s ideas to the next logical level with his book, Crossing the Chasm. According to Moore, the way to create a “whole” product is to think through both your customer’s problems and solutions. It’s not enough to address the core product — you have to think about everything needed to get your customer from consideration to an imperative to buy. This can be everything from the installation of the product to training to procedural standards to integrations, whether they are provided by your company or achieved using partners.3 “The product is the complete experience and the relationship you and the customer share.” Moore moved beyond features and benefits — bigger iPhones with higher camera resolution — to something else: Being the solution to customers’ problems. Doing that requires more than visionary engineers and brilliant designers. It means getting to know your customers, learning what they care about, and learning to care about them. That’s why Moore is the grandfather of the CPE. "

Brian de Haaff , Lovability: How to Build a Business That People Love and Be Happy Doing It