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The Design Imperative Steven Chen The Design Imperative The Art and Science of Design Management Steven Chen Department of Marketing Mihaylo College of Business and Economics California State University Fullerton, CA, USA ISBN 978-3-319-78567-7 ISBN 978-3-319-78568-4 (eBook) https://doi.org/10.1007/978-3-319-78568-4 Library of Congress Control Number: 2018942223 © The Editor(s) (if applicable) and The Author(s) 2019 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and trans- mission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors, and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. Cover credit: azerberber/iStock/Getty Printed on acid-free paper This Palgrave Macmillan imprint is published by the registered company Springer International Publishing AG part of Springer Nature. The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland Contents 1 Introduction: The Design Imperative 1 2 H arvesting a Culture of Design: A Review of Organizational Design Research 13 3 Product Design Research: A Review 37 4 Th e Design Studio Approach 55 5 To Develop a Design Language (or Not) 71 6 Design Teams Versus the Lone Designer 87 7 The Open Office: Google and the Modern Penitentiary 101 8 Design Thinking Approaches 111 9 The Product Life Cycle and Product Design 123 10 Designing Extraordinary Service Experiences 143 v vi Contents 11 Design and Global Culture 171 12 Product Design Analytics 205 13 Conclusion: The Keys to Successful Design 215 Index 227 List of Figures Fig. 2.1 A framework for harvesting a culture of design 16 Fig. 4.1 Toolkit: The 50+ consumer and bicycling 64 Fig. 9.1 The product life cycle 126 Fig. 9.2 Ansoff’s growth matrix 134 Fig. 12.1 Alexo knife designs with product design scores from a non-segmented sample 206 Fig. 12.2 Alexo knife designs with product design scores for high-CVPA consumers 212 vii List of Tables Table 2.1 Sample of design process models 18 Table 3.1 Literature that examines the dimensions of product design 42 Table 10.1 Jobs mapping framework 152 Table 10.2 Service segments (aka Practice Styles) 158 Table 11.1 Comparison of mode-of-entry strategies 175 Table 11.2 Personas of ethnic consumers 186 ix 1 Introduction: The Design Imperative Fifteen years ago, companies competed on price. Today it’s quality. Tomorrow it’s design. – Robert Hayes, Harvard University (Dumaine 1991) Coors Light: A Design Story Cool, hip brands with phenomenal product designs litter the market- place. Apple has its iPhone. Porsche’s vehicles are immediately recogniz- able by the car mark’s distinct design language. Coca-Cola’s contour bottle has been a mainstay on retail shelves for over a century. And Herman Miller’s mesh-based Aeron chair is a ubiquitous choice for mod- ern offices. These examples are products with “iconic” designs, and they emerge from organizations that have heavily invested in a culture of design. But let us not use cool, hip brands. It is too easy. Instead, let us use an example of a mundane product, because it is through the lens of the mundane that the power of design really shines through. The mundane product is American light beer, and the brand is Coors Light. American light beer is somewhat of a joke to beer aficionados and consumers who come from cultures where beer consumption is a hallowed pastime. To © The Author(s) 2019 1 S. Chen, The Design Imperative, https://doi.org/10.1007/978-3-319-78568-4_1 2 S. Chen these consumers, American light beer has no taste. It is for lightweights. It is a little better than dirty water. These sentiments are felt even in the United States, where domestic beer has lost market share as consumers have turned to wines, spirits, and craft beers. In this light, the recent resurgence of Coors Light, a “watered down beer,” is remarkable. Since 2006, Coors Light is the only top-10 beer to record consistent sales growth. What is the secret to Coors Light’s suc- cess? The answer is simple, but genius. In the mid-2000s, Coors’ Chief Marketing Officer Andrew England steered marketing efforts on “cold” as opposed to taste (Kusentz 2012). And the cold factor was enhanced by…? You guessed it! Design. In 2006, England launched Coors Light’s cold campaign by naming the liner that already existed within their containers. The “Frost Brew Liner” gave consumers the feeling that Coors Light cans did something special for them. One year later, Coors Light introduced its cold- activated bottle, which has a thermo-chromatic label that turned blue when the beer was cold. In 2008, the same label technology was migrated to Coors Light’s aluminum cans. Around 2010, England introduced the cold- activated window, where packages of Coors Light were given a cutout so that consumers could see whether their Coors Light turned blue. Finally, in 2011, Coors Light implemented a two-stage cold activation label, which is differentiated by cold (blue) and supercold (dark blue). These design modifications continue to the current day. Coors Light’s cold campaign was driven by design. Yes, it was a pack- aging design gimmick; MillerCoors did not reformulate Coors Light. But what the redesign did do was communicate information in a clever way that resonated with consumers. The packaging redesign contributed to an increase in Coors Light’s market share. In 2012, Coors Light debunked Budweiser to become the #2 beer brand in the United States (after Bud Light). According to former Sony CEO, Norio Ogha, “all products of our competitors have basically the same technology, price, performance and features. Design is the only thing that differentiates one product from another in the marketplace.” This is certainly the case in the light beer category, which MillerCoors CMO Andrew England admits is a “rela- tively non-differentiated segment.”

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