… why is that ‘AND’ stuck in the middle of a fairly common business term ‘mass customization’ (coined by
Stan Davis in his book Future Perfect)…? Because it is the key to the concept, and often overlooked. But that’s not usually the case. A firm tends to be more ‘mass’ (greater efficiency) or more ‘customization’ (greater individuality),… but a few have optimized for both. Take for example
GNC, the vitamin company. They package and ship a Vitapak just for you. More green vegetables, they can do it,… help for allergies, no problem. And a combination of Vitapaks or specific other pills can be built into a personal profile called ‘my regimen’,… and remind you when it is time to reorder. What makes it work is that they have developed and produced a number of different vitamin modules,… that can be combined in many different ways to match the demands of any one consumer. Any company that has componentized the various elements of their offering in a way that reduces cost and waste (mass), and then tailors the final packaging and/or assembly based on a particular customer order only after the order is placed (customization),… earns the ‘mass customization’ badge of honor.
The above has huge implications for experience design. Customizing a good creates a service opportunity,… customizing a service makes for a compelling experience. If you get exactly the same good or the same service the previous customer got, where’s the positive impression, where’s the memorable encounter…?! There is none. Companies that don’t take the time to engage each customer to identify what they value, and instead focus on making a good or providing a service at the lowest possible cost,… have actually sown the seeds of the own demise. Due to their lack of tailoring, what they offer will be based on price alone. And the next time they buy, the customer will expect to pay less. It’s a never ending downward spiral to commoditization,… and the opportunity for profits spirals down as well. Commoditization or customization...?
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