Phil Sager: Experience Is the New Product; Here's How to Manage It

Episodes are the key to successful customer experiences.


Phil Sager: Experience Is the New Product; Here's How to Manage It

Well-designed customer episodes can deliver better customer experiences at a lower cost. Phil Sager, a partner with Bain's Financial Services practice, describes how reorganizing around episodes, instead of products or functions, can produce scalable results. 

Read the Bain Brief: Experience is the New Product; Here's How to Manage It

Read the transcript below. 

PHIL SAGER: Historically, executives have organized their business around products, channels and functional areas. This seemingly logical way of organizing your business makes it really hard to deliver against ever-increasing customer expectations. The pioneers are reorganizing around the customer experience. The unit of transformation is the episode, and the ways of working are agile. Bain defines a customer episode from the customer's point of view -- outside in.

It starts when a customer expresses a need: "I want to live in a home that I own." And the episode ends when the customer moves into that home, not when the bank or financial institution defines the end of the episode. Experience with leading companies suggests that this approach is delivering materially better customer experiences at radically lower costs.

Organizations start by defining a consistent taxonomy of episodes, outside in -- think like a customer. They start by selecting one to two episodes to pilot this approach. Then, as they build confidence and capability, they scale the approach across the organization. They then redefine executive leadership roles, not in product or functional responsibilities, but around delivering industry-leading customer experiences. Teams will enjoy the ownership. The CFO will enjoy better business results. And the customers will stay longer, buy more and tell people about the great experiences.

Read the Brief

Experience Is the New Product; Here's How to Manage It

Organize around customer episodes, improving them through Agile teams.


베인에 궁금하신 점이 있으신가요?

베인은 주저 없이 변화를 마주할 줄 아는 용감한 리더들과 함께합니다. 그리고, 이들의 담대한 용기는 고객사의 성공으로 이어집니다.

Net Promoter®, NPS®, NPS Prism®, and the NPS-related emoticons are registered trademarks and Net Promoter Score℠ and Net Promoter System℠ are service marks of Bain & Company, Inc., Satmetrix Systems, Inc., and Fred Reichheld.