Ø Airbnb, we all missed travelling during those dreadful lockdown periods. This meant Airbnb was nowhere near as popular as it used to be, but this brand differentiated their value position. They offered 100,000 stay places for healthcare workers and first responders around the world. They also waived all fees for healthcare workers [1].
Ø Would we survive without Amazon.com in the early days of lockdown? I certainly did not. As a world leader in e-commerce, Amazon became the emergency anchor for those desperate to stock up on vital household goods and products to protect them from Covid-19, like hand sanitizer, face masks and disinfectants. How did they do this, read on.
Ø Stagekings, an Australian live event stage design company, practically shut down overnight due to ban on public gatherings in the pandemic. Jeremy Fleming, the Managing Director of Stagekings decided to write an open letter to people. In his letter he wrote, “we want to keep our specialist tradespeople off the streets and our factor lights on, so tell us what is it that you guys need now that you’re stuck at home?’ His compelling open letter went viral and helped him launch IsoKings, a work from home furniture making company— reporting a profit of 1.5 million in less than a year.
If you look closely, all these three brands have an important connection—customer-centricity an almost difficult to define concept as it is to achieve. Lamberti (2013) defines customer centricity as putting customers’ interests at the centre of a firm’s actions. Yet, 85% of brands fail at achieving just that thus, value creation. [2] Let’s unpack this dilemma for a moment. Most brand have a customer centric value proposition —defined as promise that summarises why consumers should buy a firm’s offering (Payne et al., 2017). But when the pandemic hit, something became very clear; most companies had shallow knowledge on their customers because of which they couldn’t adapt their value offerings quickly enough to cater to the evolving needs of their consumers.[3] Then, for those that were getting close to customers were accused of invading customer privacy. [4] But then how did Amazon, Air BnB and Stagekings managed to create a customer centric business model which is built on the heart, head, and feet?
Customer centricity starts from the heart, as does organisation culture. In case of Airbnb their business model delivers a welcoming and inclusive work culture throughout employee journey from recruiting and onboarding to physical facilities, and food. [5] In an anonymous employee satisfaction survey conducted by Glassdoor, 90% stated that they would recommend Airbnb to others. The company also significantly invests in creating partnerships between their employees, customers, and Airbnb host. Pre-Pandemic, the three co-founders of Airbnb consistently visited and stayed at the homes of key hosts around the world, an experience that likely built significant loyalty (Sundararajan, 2014). Thus, through Airbnb we learn the valued role of organisational culture in deploying empathy by walking into the shoes of the customers.
Another universal truth is that value is not just about winning customers’ hearts but also their head (or minds). Customers care about value —both price and time. Hence, in the lockdown period, Amazon leveraged machine learning to forecast when customers are going to place next order based on their buying patterns. According to David, the vice president of global customer fulfillment at Amazon, “machine learning models running in the background gave us different scenarios that allowed us to plan consumer spending patterns, when different cities conducted different styles of lockdowns.” [6]. Now not everyone knows how to use AI to interact with customers. But the benefit here is that customers are almost always interacting with AI. They look at their phones up to 150 times a day checking Facebook, comparing prices, researching travel, or paying bills. At any given moment a customer could be engaged in multiple interactions — transactional, personal, or even non-intentional. Some will be pleasant and entertaining, some rife with friction and frustration. But the key takeaway is that customer value creation is not only evolving, but increasingly fragmented and highly individualised. Which Amazon learned sooner than other brands.
Finally, customer centricity should be the feet—the purpose of your brand existence. In market orientation literature, the underlying assumption is that a company is a repository of resources and competences. They develop products and services as their core value proposition, then the company acts on them or modifies the offer to meet customers’ expectations (Galbraith, 2002). But consider IsoKings, a brand launched out of desperation to survive the extensive lockdowns in Australia. From the outset, Jeremey Fleming had no money nor the inclination to use direct marketing to sell his furniture. Instead, he focused on direct communications with customers via social media and product reviews. Jeremy asked customers what furniture they needed, people would respond, we want a shoe rack and then 100 people would agree. So, he made a shoe rack. Then he had 1,000 people ask for a cat tower. So, he did a post and said if 400 people like or comment on this, we’ll make a cat tower and they did, so they did. Keeping customers at the core of their value delivery system IsoKings was able to expand his product line from a single work from home desk to 170 home furniture products in the lockdown period. Reflecting on these brand example, a critical learning curve for customer-centric business models is to create value by listening to customers from the head, heart, and feet.
[1] https://news.airbnb.com/en-au/airbnb-hosts-to-help-provide-housing-to-100000-covid-19-responders/
[3] https://www.forbes.com/sites/garydrenik/2021/09/21/85-of-products-fail-when-companies-dont-talk-to-consumers--this-company-is-changing-that/?sh=70364a7d2aa2
References
Galbraith, J. R. (2002). Organizing to deliver solutions. Organizational dynamics, 31(2), 194.
Lamberti, L. (2013). Customer centricity: the construct and the operational antecedents. Journal of Strategic marketing, 21(7), 588-612.
Payne, A., Frow, P., & Eggert, A. (2017). The customer value proposition: evolution, development, and application in marketing. Journal of the Academy of Marketing Science, 45(4), 467-489.
Loved reading this post.
ReplyDeleteThis was a great article to read! It is very important for businesses to understand the values of their customers and simultaneously adapt to their needs as stated in this post. Customers are not just numbers or statistics but people investing their time and money in one’s business. Therefore, not only is it important for businesses to efficiently meet the ever changing needs of their customers, but it is also important for them to properly and ethically sell their products. This post did a great job in defining and providing key evidence of successful businesses who have used this principle of consumer centricity to show how reaching for the heart and minds of consumers should be the main goal for all businesses in the sector and not just blindly aim for financial profit.
ReplyDeleteI completely agree with this article! While businesses need to align with their own values, they also need to make sure those values align with their customers. The market is always changing and same goes for the customer's needs and wants, a business should conform to their market, but their values need to stay aligned with themselves and their customers.
ReplyDeleteThis article points out what I've always thought was obvious. I didn't realize how few companies actually have customer-centric values and act on them. It makes so much sense now as to why so many businesses failed when the pandemic hit -- not just because they didn't adapt, but because they failed to ask their customers how they could adapt. If more companies had used the head, heart, and feet approach when the pandemic hit, I'm sure they would be doing much better than they are now.
ReplyDeleteI found this article to be very true. I think for a business to be successful and lead the market it is important not only to adapt as circumstances change but consumers needs and interests change as well. It is essential to do market research and find out what customers need.
ReplyDeleteAccording to "The Value of Customer Centricity," customer centricity is essential because it has assisted companies such as airbnb and amazon in building better relationships with their customers, which can help them increase sales and sales and revenue. I enjoyed reading this article because it was true and I learned how businesses have customer-centric values and how they execute them. During the pandemic, Airbnb, Amazon, and Stagekings all thrived because they paid careful attention to their customers' needs. They were all able to achieve customer centricity by employing the heart, brain, and feet business model which allowed them to understand the before, during, and after of the customer’s journey.
ReplyDeleteI found this article to be very interesting and reliable. As marketers or business owners it's really important to value our customers. If customers are satisfied with a product or service it will benefit a business by generating success. I think that it's really smart how there has been success in creating patterns for people to interact more by creating value and great customer service.
ReplyDeleteI believe the article touches on important points because it is true that companies such as Amazon and Airbnb cater to the needs of their customers. For example, during the pandemic, Amazon experienced a surge because they were able to supply customers with hand sanitizer and face masks when local stores were unable to do so. Furthermore, Airbnb marketing is fantastic because they target an audience and encourage them to try the experience of living in ultra luxury or simply provide a place to stay while visiting a location. I agree with the statement "customer centricity should be the feet," because it is impossible to provide a quality service unless we understand our customers' needs.
ReplyDeleteFrom: Anastasiia L.
ReplyDeleteThe article encompasses three powerful brands, Airbnb, Amazon, Stagekings & IsoKings, and how they utilized their customer-centricity business models to create customer value above and beyond from head, heart, and feet. Stagekings created a clever launch of IsoKings, a remote, work-from-home furniture-making company— reporting a profit of 1.5 million in less than a year. Communication is the key in any industry. Direct communication, which Jeremy Fleming used in his business and kept in touch with customers via social media and product reviews; despite the pandemic, valuing customers’ opinions, and aiding their needs, and keeping communication as the bridge and connecting it with the products he created, shows determinism and high dedication to his company, and the products they provide to customers. Considering how each company survived through lockdown, pandemic, and post-pandemic is impressive!
I found this article to be interesting and truthful. Personally I feel businesses suffer even with a great product because they forget to meet the needs of consumers providing them with value. When the article said customer centricity should be the "feet", i could not agree more. In fact I have seen this happen as i have worked in customer service related jobs which have shown me that creating customer value is an important part of any business as it will make or break a company (in my opinion). Amazon, Airbnb and stagekings/ isokings are great examples of the role customer needs and values plays in a company.
ReplyDeleteThese are ways of approaching customer value that I would have never thought a company would do. Them being so inovative and caring truly shows how much they value their customers. I was shocked to find out that Airbnb did that for healthcare workers during COVID and it is such an amazing and kind thing to do. This is a perfect example of how customer value comes from the heart.
ReplyDeleteCustomer centricity is crucial, according to "The Value of Customer Centricity," because it helps businesses like Amazon and Airbnb develop stronger relationships with their customers and become more profitable. This article was very informative because it taught me how companies apply customer-centric values. When the pandemic hit, companies like Airbnb and Amazon became more successful by listening to the customers' needs and with the head, heart, and feet.
ReplyDeleteI agree with this article and found it interesting how customer centricity, and how they value their customers through business like Airbnb. Airbnb started to give back to community when Covid happened and that gave a person a sense of relief and then not having to worry where they are going to put their heads at night, and this is why Airbnb boomed over the years after Covid. Because of these business listening to the wants and needs of their customers they are able to produce and provide for their consumers.
ReplyDeleteThis article taught me what customer centricity was. Before I did not know this phrase existed to describe how to keep customers and their needs happy and met, so they can profit more from them. I found interesting how Amazon and Airbnb have taken advantage of Covid and have helped give back to their communities, and this has helped expand their business and succeed.
ReplyDeleteI think these were great ways to add customer value. In a time where people felt hopeless and trapped, these companies not only thought out of the box for their selves, but also provided services for their customers and for healthcare workers. To be able to transition your business in a very difficult time, and still add value to the customer shows what kind of business they are. Businesses that people want to be associated with. Adding customer value is something all businesses should strive for. Customers have lots of options, but the companies that stand out are the ones who think of what they can do for the customer while still making a profit.
ReplyDeleteI thought this article had such a realistic view on centralizing and valuing customers. The author brought up the Covid lockdown and how it affected everyone. It truly did change the way we shopped, kept ourselves entertained while locked down but change does start in the heart. Most companies that struggled through and after the pandemic did so because they lacked want to change to make others lives easier.
ReplyDeleteI thought this article provides a refreshing perspective on how brands can create value by putting their customers first. Too many small companies are struggling to compete in the market against large corporations where they provide better quality services but are hardly utilized. One thing they could do is learn from and employ the techniques described in this article to develop a devoted client basis. Airbnb, Amazon, and Stagekings, have successfully adapted to the changing needs of their customers during the pandemic to remain top of the market. However, their strategies on client centered business models can be used by any aspiring entrepreneur.
ReplyDeleteThis article highlights what a lot of brands are missing. Often times we forget why we do what we do and for businesses it's to create something that customers need and want. Focusing on your customer not only gives you direct communications with them but also gives the customer a chance to be heard. Customers can tell us what they like or don't like and even tell us what they think we are missing. Essential part of the business. Great article!
ReplyDeleteThis article spoke about how companies adapted to new ways of business around the time covid had happened. I really agree with the base of customer centricity. When companies communicate with their customers and keep them at the core of their value delivery system, companies like IsoKings become a thriving business. AirBnb is a great example of a successful business that uses a customer centric model. From personal experience, I think AirBnb is one of the most convenient ways to travel and visit!
ReplyDeleteThis article discusses certain companies' success that use customer centricity. Companies such as IsoKings is a great company that became successful by keeping their customers at the core of their value delivery system and by simply communicating. AirBnb is another example of a successful company that uses customer centricity, creating value by listening to customers from the head, heart, and feet. From personal experience, I believe AirBnb is one of the most convenient ways to travel and visit! Companies should definitely use customer centric models as part of their business.
ReplyDeletePutting customers at the center of your business strategy is crucial for success in today's competitive market.
ReplyDeleteThis is one of the more interesting blogs I have read especially with the perspective of, heart, mind and feet. I really enjoyed how the metaphors made this article comprehensible for people who might still be trying to understand marketing subjects. I have seen many modern guitar manufactures take the approach of asking their clients what they would like out of a guitar and had successful experiences much like Jeremy Fleming.
ReplyDeleteThis article provided significant information as a reminder for companies that customers are more than just a dollar sign. Often times companies lose customers and replace them as just another number and profit margin, forgetting that they are actual people. A great example provided in the article, is how Air BNB was there for their customers by providing health care workers and first responders with housing. This company could've tried maximizing profits, but instead they truly valued their customers and were there for them during the difficult times of Lockdown.
ReplyDeleteI think the idea of centering you firms/businesses actions on the customer is very intuitive and honestly believe more companies should follow this. I also like the idea of not just focusing on Pathos with the customer but also Ethos.
ReplyDeleteI liked this post because it very helpful for the customers and how the customers are always the priority.Businesses like airbnb isn't easy for the people putting in the time and effort to become successful and all these companies use the same thing in becoming a better company which is company centricity. I find it interesting that they offered 100,000 healthcare people and first responders a stay and waived there healthcare.
ReplyDeleteThis was an incredible article to read. I like the perspective given that businesses need to listen to their customers heart, mind and feet. The pandemic did bring out a lot of difficulties when it came to shopping and social interactions. The companies mentioned did a great job at keeping peoples needs met in such a time of necessity.
ReplyDeleteThis was such a powerful article to read due to the aspect of businesses listening to their customers heart, mind and feet. The examples involving Airbnb, Amazon, and Stagekings demonstrated centralizing customers needs during the pandemic. These brands went above and beyond to keep people's needs met in a time of need. I love the emphasis on organization and direct customer engagement as the key to success.
ReplyDeleteThis article effectively highlights the importance of customer-centricity in today's dynamic business landscape, especially in the wake of the COVID-19 pandemic. Meshram uses compelling examples like Airbnb, Amazon, and Stagekings to illustrate how these brands successfully embraced customer-centricity by listening to their customers with not just their heads, but also their hearts and feet.
ReplyDeleteIn a world where 85% of brands fail to achieve true customer centricity, Meshram's analysis provides valuable insights for organizations looking to improve their customer relationships and adapt to changing customer needs. The pandemic exposed the shortcomings of companies with shallow knowledge of their customers, emphasizing the necessity of understanding customer preferences and expectations deeply.
This was a great article to read! I love the explanation of how companies need to hear the clients, what they want, their feelings and not just creating any product for money. The article explains how some companies like Amazon expanded during the pandemic by using customer centricity. If more companies implemented this, they will have more success.
ReplyDeleteThis was such a good and wise article ! I think a lot of companies forget that although they may have their own plans and goals, at the end of the day, the consumer is the one buying from them, so thy need to place themselves in the shoes of the consumers an listen to their need and wants always.
ReplyDeleteThis article is a great reminder and example of the focus in marketing. The customers always comes first, and sometimes companies diverge from being customer focused or don't ask "what we want or desire". The term "customer-centricity" mentioned in the article is something I agree 100% with.By putting customers interests in the center of a firms actions they'll most likely stay in business and gain profits.
ReplyDeleteThis article is the future of marketing, referring to customer-centricity is vital for company success. I thought that this article was very concise and to the point but also effective. Expansion of companies can happen quickly and very efficiently with the right marketing tactics that are outlined by examples of companies within this article.
ReplyDeleteThis article is consider to be valuable because it makes you begin to reflect and understand that to sell a product and grow a business it is very important to listen to people's needs, that needs could change over time and depend on the circumstances. This way, customers will be able to get products that meet their needs.
ReplyDeleteThis article was excellent to read, and I totally agree! Customer-centricity is making the customer the center of the company. When brands understand consumer anticipations and priorities, they can tailor services and products to fulfill needs. Brands can also drive business success by building value for their consumers and creating solid relationships. The examples the article noted, like Airbnb supporting healthcare workers, Amazon delivering essential supplies, and Stagekings redirecting to furniture making, display how brands can prioritize customer needs and make a pleasing impact.
ReplyDeleteHaving a small business crocheting handmade items I too have implemented these tactics during the pandemic. I took advantage of the lock down and sold custom masks and mask extensions. Reading this article has confirmed that I was on the right track to stay focused on the essence of customer-centricity. Helping others during a difficult time has created trust and a better sense of value in my small business. This was overall a great article with valuable resources that can help any business maneuver throughout today's day an age customer.
ReplyDeleteGreat read! Your analysis of how Airbnb, Amazon, and Stagekings adapted their business models during the pandemic is insightful and demonstrates a deep understanding of customer-centricity. Your discussion of the balance between empathy, technology, and market orientation in creating value, especially under challenging circumstances, highlights key strategies for business resilience and innovation.
ReplyDeleteI enjoyed reading this post! Airbnb, Amazon, and Stagekings were great examples to show how during times of change, companies who can adjust their business to interact with their customers and accommodate with them and their likings will be successful. These changes allow businesses to understand their audience and create relationship. This post highlighted the important effects that empathy, social media, and market shifting have on a growing business!
ReplyDeleteThe pandemic has clearly changed society's way of thinking and functioning and the three companies listed clearly illustrate how people worked with the pandemic to come up with new innovations to further their businesses. I agree that customer centricity is vital to a company's success. In fact, it is quite comical that one of the first marketing principles taught in classes is how important the customer/consumer is and how their needs need to be prioritized, yet (like this blog post points out) most companies fail to apply the principle in practice. This blog post was very informative and captured this marketing paradox with relevant real life examples.
ReplyDeleteVery fascinating insights! The examples of Airbnb, Amazon, and Stagekings embracing customer centricity in the midst of the pandemic is truly inspiring. This post emphasizes on the importance of understanding the customer's needs which is something businesses need to listen and adapt to nowadays!
ReplyDeleteThis article provides a compelling exploration of how brands adapted during the pandemic to align with customer needs. The metaphorical framework of heart, head, and feet offers a comprehensive understanding of building customer-centric models. Beyond the discussed points, the article's spotlight on direct communication and agility, as seen in Stagekings' story, implicitly highlights the role of social media platforms as crucial channels for implementing customer-centric strategies. In our Social Media Marketing class, we often explore the impact of platforms like Instagram, Twitter, and Facebook in fostering direct communication with audiences. These platforms serve as dynamic spaces where brands can actively listen to customer feedback, respond in real-time, and cultivate an engaged community. The ability to leverage social media effectively becomes paramount in building not just customer-centricity but also brand loyalty in an ever-evolving digital landscape.
ReplyDeleteTo be completely honest, I had no clue that Airbnb had switched their position in the industry during the Covid-19 pandemic to offer places to stay for healthcare works as well as waiving all of their added fees. While also reading about the impact Amazon made and Stagekings, I have always thought about how valuable all of these brands were during the pandemic but I actually managed to skim over how heavily customer-centric these brands were in such a difficult time for the world. Did all of the brands still make a profit; of course, but it is so much more clearer to me after reading this blog that these brands really did choose to focus on customers without the regard of how much of a loss that they may sustain. I also had not idea that 85% of brands fail at achieving this value. That number is not only incredibly high but unnecessarily as it really would not cost other brands that much, but, could gain three-fold times and more back.
ReplyDeleteI thoroughly enjoyed reading this article. I work in customer service and initially when pitching sales and prices I felt uncomfortable because I just assumed customers don't want to pay anything. But once I started to work for a company whose culture is to explain the sale and product options to the customer, and the benefits of it, I felt way better. Another thing is that in a competitive company culture sometimes it can feel like you have to make he sale for every customer, but you don't. Some customers are just going to say no and that's okay. You will not get a sale on every customer but its better to explain the benefits and not get a sale than to trick or unethically get the customer to accept something you know they dont need.
ReplyDeleteVery interesting article that points out the ways in which customer centric businesses were able to succeed amidst crises! I think it does a great job highlighting the adaptations Airbnb, Amazon, and Isokings were able to make during the pandemic. It seems that businesses that knew their core values were better able to adapt during the pandemic. Another example of this I can think of is Zoom. Even though Zoom could have chosen to capitalize on the pandemic, they chose to temporarily lift the 40-min. time limit, giving their customers more access when they needed it most.
ReplyDeleteGreat insight! The customer centricity approach that companies such as Airbnb, Amazon, and Stagekings used is truly fascinating. I agree that this is important when it comes to reaching your customer base and I believe that all companies should adapt this approach. This was a very informative blog post and provided great examples for the value of customer centricity.
ReplyDeleteThe pandemic proved that businesses that showed care and concern by catering to the clients were a win. Touching the heart, feet, and head of a customer was just what the customers needed. Most were at home, afraid to go out, but still needing essential items. For a company to revamp its policies, have all the products delivered to its customers, and even lobby the customers about what it wanted was brilliant. AirBnB going to homes to support the owners and show they believed in their products was also genius. Then, they offered discounts to the front-line responders. That was the time America was grateful to the first responders for what they gave and the tragedy they withstood through. Amazon is the king of shipment, and they can get almost any item someone wants with the click of a finger. This article is excellent because it states the companies that cared about their customers and readjusted how they serve all did great business through the pandemic. If all companies realize customers spend their money on someone who cares about them as a person, not as someone buying.
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ReplyDeleteI am surprised that a business would approach consumer value in this way. Their creativity and empathetic approach demonstrates their sincere gratitude for their clientele. When I discovered that Airbnb had carried out that for medical personnel during COVID, I was quite surprised. Examples given in the article demonstrate how businesses may put the needs of their customers first and leave a positive impression. These include Airbnb's assistance of healthcare professionals, Amazon's delivery of necessary supplies, and Stagekings' decision to switch to furniture manufacturing.
I believe though the pandemic was hard for all businesses that it proved to customers that the businesses cared about them and catered concern toward their safety and wellbeing of their customers. Air BNB offered discounts to first responders and frontline workers (as did many other small and large companies). All of this is proof in a business and marketing perspective, that when a company shows that they actually care about their customers it will pay off in the long run.
ReplyDeleteCOVID was a terrible time in the whole world. The economy was not doing well and people were dying. In a business perspective, some large and small businesses did very well. As the article states Air BNB offered care and compassion to our first responders and front line workers. They did this by offering discounts. Other business such as Amazon was the king of shipment, everything was delivered ASAP with the customer in mind (no contact delivery)
ReplyDeleteThe whole point, in my opinion, of this article. Is people will support business as much as they can when they know the business will take care of them.
This article offers a fascinating look at how companies changed to meet consumer needs during the pandemic. Beyond the topics covered, the article's emphasis on agility and direct communication—as demonstrated by Stagekings' narrative—implicitly emphasizes the significance of social media platforms as vital conduits for putting customer-centric ideas into practice. We frequently discuss how social media sites like Facebook, Instagram, and Twitter can promote direct audience communication in our Social Media Marketing class. These platforms function as dynamic areas where organizations can foster an engaged community, actively listen to customer feedback, and respond in real-time. The overall point of this article is to prove to customers that the business do care about them. Which makes customers want to support and make these business grow.
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