{"id":40090,"date":"2020-05-05T00:00:00","date_gmt":"2020-05-05T00:00:00","guid":{"rendered":"https:\/\/newrcblog.wpengine.com\/how-systems-of-experience-will-become-the-new-competitive-differentiator\/"},"modified":"2022-12-30T04:41:54","modified_gmt":"2022-12-30T12:41:54","slug":"how-systems-of-experience-will-become-the-new-competitive-differentiator","status":"publish","type":"post","link":"\/us\/en\/blog\/how-systems-of-experience-will-become-the-new-competitive-differentiator\/","title":{"rendered":"How Systems of Experience Will Become the New Competitive Differentiator"},"content":{"rendered":"

As his son approached his 14th birthday, Trevor Schulze, RingCentral\u2019s chief information officer, asked his child how he\u2019d like to celebrate. \u201cDave & Buster\u2019s?\u201d he asked. As is often the case with 14-year-olds, his son responded with an epic eye roll. \u201cDaaaaaad,\u201d he said. \u201cC\u2019mon. Not Dave & Buster\u2019s. That\u2019s lame.\u201d<\/span><\/p>\n

Ok, Schulze thought, if not sugar-amped kids playing Pop-a-Shot, then what? The answer surprised him. It turns out, his son didn\u2019t want a \u201ctraditional\u201d party. In fact, it could be argued what his son wanted wasn\u2019t technically a party at all. An avid game player, Schulze\u2019s son wanted to host his friends from around the world for a marathon session of the latest Tom Clancy video game. No birthday cake required, the son said. \u201cFor him,\u201d said the elder Schulze, \u201cthe cake is a loot crate in a Tom Clancy video game.\u201d<\/span><\/p>\n

Shifting to a digital experience economy<\/span><\/h2>\n

It was a startling revelation for Schulze, one that solidified a strong opinion he\u2019d been forming about a new shift in \u201cthe experience economy.\u201d (To learn more about technology\u2019s role in the experience economy, register for HMG\u2019s upcoming webinar, <\/span>\u201cExcelling in the Experience Economy<\/a><\/span>\u201d<\/span>). In the late 90s, Joseph Pine and James Gilmore coined the term in a <\/span>Harvard Business Review<\/span><\/i> article.<\/span><\/a> The two management advisors saw the experience economy as the successor to the agrarian, industrial, and service economies the US had already built. In this new landscape, they said, successful businesses wouldn\u2019t just sell products. They\u2019d build memorable, customized experiences for their customers that would surround those products. In fact, these experiences would become integral parts of the products themselves, which could then be sold at higher prices.\u00a0<\/span><\/p>\n

For Schulze, his son\u2019s party represented an evolution from what he considered the \u201canalog\u201d experience economy, which involved a physical gathering for the party with customized components, like a birthday cake. In a digital experience economy, that experience becomes entirely virtual\u2014and quite profitable.\u00a0<\/span><\/p>\n

What are \u201csystems of experience?\u201d<\/span><\/h2>\n

As he continued to explore this new digital economy, Schulze became convinced that to succeed, companies needed to make a fundamental technology shift to support these customer experiences. He dubbed the new technology \u201c<\/span>systems of experience<\/span><\/a>,\u201d which he believes have a number of common traits, including hyper-individualization, immersive, a sense of community, intelligence, simplicity, and more. Effective systems of experience, he said, should accomplish three main objectives:<\/span><\/p>\n

    \n
  1. Increase existing product revenue<\/span><\/li>\n
  2. Improve the customer experience<\/span><\/li>\n
  3. Improve the employee experience<\/span><\/li>\n<\/ol>\n

    Systems of experience and driving revenue<\/span><\/h2>\n

    Schulze\u2019s son\u2019s virtual birthday party provides the clearest example of how systems of experience can drive revenue. The ability to have friends around the world simultaneously running missions to save the planet comes at a price. As Schulze aptly notes, \u201cMy son spends a lot of money on videogame platforms.\u201d\u00a0<\/span><\/p>\n

    Systems of experience and customer engagement<\/span><\/h2>\n

    The customer experience dynamic has changed radically in recent years and will continue to do so, said Schulze. Customer systems must keep pace. Businesses no longer control the conversation, said Schulze, noting that customers won\u2019t be satisfied using communications channels of the brand\u2019s preference. Today, customers decide when and how to reach their favorite brands\u2014social media, text message, phone, whatever.\u00a0<\/span><\/p>\n

    Systems of experience and employee engagement<\/span><\/h2>\n

    For Schulze, employee engagement is the most important\u2014and most frequently overlooked\u2014component of a systems of experience strategy. That\u2019s because the other two components fall in line when employees feel engaged. \u201cWhen you have engaged employees that don\u2019t use old technology, you drive better customer experience,\u201d he said. \u201cWhen you drive better customer experience, you have a better brand. And when you have a better brand, you sell more product.\u201d<\/span><\/p>\n

    To learn more about systems of experience, and to hear RingCentral\u2019s Trevor Schulze discuss systems of experience, register for HMG\u2019s upcoming webinar, <\/span>\u201cExcelling in the Experience Economy<\/a>.<\/span>\u201d<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

    As his son approached his 14th birthday, Trevor Schulze, RingCentral\u2019s chief information officer, asked his child how he\u2019d like to celebrate. \u201cDave & Buster\u2019s?\u201d he asked. As is often the case with 14-year-olds, his son responded with an epic eye roll. \u201cDaaaaaad,\u201d he said. \u201cC\u2019mon. Not Dave & Buster\u2019s. That\u2019s lame.\u201d Ok, Schulze thought, if …<\/p>\n","protected":false},"author":29,"featured_media":40091,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17901],"tags":[8764,17532,17600,17601,17602,883],"class_list":["post-40090","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-leadership","tag-employee-experience","tag-importance-of-user-experience","tag-ringcentral-customer-experience","tag-ringcentral-new-products","tag-ringcentral-systems-of-experience","tag-ringcentral-webinar"],"acf":[],"yoast_head":"\nHow Systems of Experience Will Become the New Competitive Differentiator | RingCentral Blog<\/title>\n<meta name=\"description\" content=\"As his son approached his 14th birthday, Trevor Schulze, RingCentral\u2019s chief information officer, asked his child how he\u2019d like to celebrate. \u201cDave &\" \/>\n<meta name=\"robots\" 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