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Validating proposed app services for increasing loyalty

UX CASE STUDY | DAMIEN LUTZ

Overview

About

Challenge:
Customers didn’t feel appreciated or rewarded for staying with Vodafone, and the product team had already proposed four value-add services without validating whether customers actually wanted them

Client:
Vodafone

B2C

My Role:
Lead Product Designer

User Research

Key Outcomes

Impact

4 services ruled out saving investment

Insurance, credit card, utility, and smart home offers all tested poorly for desire

4 clear winners for the roadmap

Rewards points and birthday rewards led, followed by content subscription and telco discounts

UX proved its value in product strategy

Validation reshaped the proposal and earned UX a seat in product strategy

A mobile screen with teh question "How can we add customer value to a Telco App?"
A mobile screen with teh question "How can we add customer value to a Telco App?"

Discovery

The product team had a proposal, but no evidence customers wanted it

The Vodafone product team approached the UX team for help shaping a design brief for proposed value-add services on the self-service app. While the business goal—reducing churn—was clear, there was no evidence yet that customers actually wanted, or would use, what was being proposed. We offered to run research to validate and shape the proposal, bringing the product team along on that journey rather than presenting findings cold.

Proposed value-add services for the Vodafone self-service app.

Proposed value-add services for the Vodafone self-service app.

The questions we needed answered

What user need or pain does this relate to?

Does the proposal address that need?

Do users actually desire the proposed services?

Market analysis

My first step was a market analysis of every service in the proposal, to inform myself and shape the questions I’d bring to the Product Owner.

A table showing a market analysis of proposed services

A market analysis of proposed services

Clarifying business intentions

I workshopped with the Product Owner to write a Mission Statement connecting the business’s need to the user need it was assumed to solve: reduce churn by making the app more engaging, against the assumed pain of “no reward for staying loyal to Vodafone.”

A business Mission Statement for the proposed services

A business Mission Statement for the proposed services

A workshop split 4 proposed services into 7 for detailed value analysis

With the business need and assumptions clarified, I ran an inception workshop with the Product Owner and stakeholders to brainstorm the detail behind each proposed service and how each might actually work.

  • Purpose: Bring a UX/Service Design lens to align business and user needs, and identify what still needed for research
  • Goal: An initial feature list to sense-check with users and technology
  • Method: Diverge and collect ideas widely, not solutioning yet

Codesigning potential features and challenges for each service

The session surfaced enough nuance that the original four proposed services split into seven, each given its own Mission Statement to check it actually tied back to the core business need.

Mission Statement breakdown

Mission Statement breakdown

After discussion, one service didn’t fit and was cut, leaving six services to test with customers.

Revised service list aligned with customer needs

Revised service list aligned with customer needs

Focus Group Research

Two focus groups tested desire for six proposed services

With clearer intent, I worked with our Lead Researcher to run two focus groups exploring desirability and perceived value for each of the six services.

Process:

  • Prepare workbook
  • Recruit and screen
  • Book sessions and invite the Product Team
  • Facilitate
  • Analyse and synthesise

We first validated participants’ actual desire for a sense of loyalty before testing each of the six services against three questions.

Pages from the focus group workshop workbooks

What we asked about each service

Do customers care about loyalty rewards?

Will the proposed services be desired, and provide enough reward?

Will loyalty services bring users back to the app?

Customers rejected four services outright

The focus groups delivered two things the product team needed: which services weren’t wanted at all, and a priority ranking for the ones that were.

The proposed services participants rejected

Insurance offers

Credit card offers

Utility offers

Smart home

The proposed services particpiants values, ranked

1. Rewards points

2. Birthday rewards

3. Content subscription discounts

4. Telco discounts

Playback and prioritisation

A co-design workshop turned findings into a validated, prioritised list

Following the focus groups, we ran a workshop to share findings and jointly edit and prioritise the service list.

  • Purpose: Discuss findings, and edit and prioritise the proposed services
  • Goal: A revised list balancing desirability, feasibility, and viability
  • Method: Converge—review, decide, prioritise
A prioritisation grid for the validated services

A prioritisation grid for the validated services

Outcomes

By validating the proposed services with customers, and bringing the product team along on the research journey rather than presenting findings cold, we saved the business significant time and cost on initiatives that looked exciting on paper but customers didn’t want.

Delivered

Validated and prioritised value-add service recommendations

A recommendation document covering the research summary, top-value services, guidelines for defining each one, and the specific considerations and challenges of building a points-based system.

Outcomes

Undesirable features exposed before investment

Insurance, credit card, utility, and smart home services all tested poorly for desire, money that would have gone into features customers didn’t ask for

Clear winners identified for the roadmap

Rewards points, birthday rewards, content subscription discounts, and telco discounts all tested well, with rewards points and birthday rewards strongest

Assumption replaced with evidence

A four-service proposal based on instinct became a six-service, customer-validated shortlist, split, tested, and re-prioritised through research

Design earned a seat earlier in the process

This project showed the value of bringing UX into pre-design product strategy, proof that research belongs at the front of decisions