“Transformative Pyramid” Applied to Meeting the Needs of Customers

Chip Conley developed the “transformative pyramid” as a reflective framework for his leadership philosophy and approach.  He had created it by adapting the work of Viktor Frankl and Abraham Maslow who focused on the hierarchy of human needs.  Applied to employees, the Transformative Pyramid translates into leadership action to meet basic security needs (such as adequate and fair pay), recognition for contribution to the organisation and providing clarity around the meaningfulness of their work.  Chip was very focused on enabling leaders to grow and develop through reflection and to develop a growth mindset in their transition to midlife.  Associated with this mindset change is the need for leaders in midlife to learn through curiosity from millennials in their organisation.

Chip not only applied his Transformative Pyramid to employees but also to investors and customers.  He suggested that in relation to customers, businesses too often benchmarked against the lowest common denominator which in his model represents the security needs of customers.  His pyramid, however, suggests that great companies can move up the pyramid of need and really engage customers to the point where they become intensely loyal and market the company themselves by their word-of-mouth “advertising – sharing their great experience with others in their family and social networks.

Transformative Pyramid applied to customer needs

Chip explained in a podcast interview with Tami Simon that the Transformative Pyramid when applied to customers, involved the same three levels as when the pyramid is applied to employees – survival, success and transformation.  However, each of the levels has a different meaning when applied to customers.  “Survival” relates to meeting customers’ expectations (a basic need also for business survival); “success” in this context involves meeting the desires of customers; and at the highest level, “transformation”, means to differentiate and expand through meeting an “unrecognised need of the customer”.

Identifying and meeting a need of customers that has been unrecognised and unmet is the basis of Chip’s approach to marketing as explained in his book, Marketing That Matters.  Chip gives the example of one of his boutique hotels, Hotel Vitale, that developed a yoga studio on its top-level floor and provided free morning yoga classes.  This met an unexpressed and unrecognised need of travelling businesswomen who wanted to maintain their health to counteract the wear and tear of business travelling.  The convenience of being able to do yoga before work without leaving the hotel premises was a real selling point.  Up until this point, boutique hotels were very much designed as “men’s clubs”- meeting the needs of male business travellers.

Innovation and transformation

Chip drew on his experience as owner and CEO of 52 boutique hotels to put forward what he described as The Three Key Rules Around Innovation and Disruption.  He spoke about (1) foreshadowing that occurs before an innovation (some companies begin to move in the direction of the innovation but their early efforts are incomplete or inadequate); (2) innovators fulfill “an underlying human need that has not been met” adequately or comprehensively; and (3) established companies eventually catch up and adopt the innovation (and we can see this happening daily in the growth of “gluten-free” and “vegan” products in our major supermarkets, previously the province of specialist (organic) stores). 

However, being innovative and creative by departing from established practice takes courage and bravery.  An Australian example is Karen Quinlan who introduced fashion as a key differentiating theme of the Bendigo Art Gallery.  Karen recognised that over 80% of visitors to art galleries were women and they were very interested in fashion and its history.  She set about meeting this “unrecognised need” – a need that art galleries around the world had not met because they were almost exclusively managed by male Art Directors who were blind to this need of their predominant customer base.  Bendigo Art gallery now enjoys global recognition for its innovative approach and theme-based fashion exhibitions.

Chip points out that deep listening to customers can lead to identifying needs that have not been met.  He suggests that what is important in innovation is understanding customer psychographics – their interests, passions, values and who/what they identify with.  He suggests that the great companies develop the capacity to effectively “mind-read” their customers.  To do this their leaders have to be fully present to customers and notice their inclinations, behaviours and self-expression.

Reflection

As we grow in mindfulness, we can develop curiosity, creativity and innovation and begin to understand our own needs and those of our customers/clients.  We can progressively move from trying to make ourselves appear interesting to being genuinely interested in our customers and their unmet needs.  This requires mindful listening, an openness to new ideas (from whatever source) and the courage to act on our insights and avoid procrastination through fear of departing from the established norm.

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Image by Angelo Esslinger from Pixabay

By Ron Passfield – Copyright (Creative Commons license, Attribution–Non Commercial–No Derivatives)

Disclosure: If you purchase a product through this site, I may earn a commission which will help to pay for the site, the associated Meetup group and the resources to support the blog.

Be Brave, Be Creative

In the previous blog post I discussed the need for boldness to take action on a creative idea – to be willing to break with tradition and act on a different way of conceiving something, e.g. Karen Quinlan’s innovations based on a new conception of an art gallery.  I also explained how mindfulness can help us to be bold enough to initiate action on a creative idea – by helping us to build calm, clarity, focus and self-belief.

To sustain creative activity, however, also requires bravery.  It takes courage to explore new terrain, persevere despite setbacks and maintain your energy and enthusiasm when the going gets rough.

Creativity and bravery

Bravery can be defined as “having or showing mental or moral strength to face danger, fear, or difficulty”.   Invariably, there will be setbacks when you set out on a creative endeavour.  For instance, Karen Quinlan found that some gallery directors she approached refused to loan her artwork for her gallery.  However, she was able to persist with her creative ideas and enlist the help of others who supported her ground-breaking ideas.

While Karen was prepared to take risks, like many successful entrepreneurs, she took only calculated risks.  This required considerable research and planning.   Amanda Sinclair explained that Karen, for example, knew that women make up 80-90% of visitors to art galleries in Australia and that very few of the male-dominated, art gallery directors made any effort to satisfy the interests and needs of this demographic group.  So, she was able to draw on her own interests, training and experience to identify these needs and develop creative ways to meet them.

When you encounter a setback, you often cannot see the way forward but you are able to persevere because of your strong belief in the creative idea, its potential contribution and your capacity to see it through to completion.  Mindfulness builds the persistence and resilience required to overcome difficulties and fears along the way even when the way ahead is becoming increasingly unclear.

As you progress your creative ideas and implement your new approach, you will encounter increased resistance from those who have a vested interest in maintaining the status quo.  Reg Revans, the father of action learning, who met considerable opposition to his creative approach throughout his life, quoted the German philosopher Nietzsche to explain how new ideas are opposed:

If you think you have a new idea, see what happens.  Unless it is opposed by the stupid and ridiculed by the clever, it can have nothing new in it.

In the face of this kind of irrational and emotive opposition, you need support to sustain yourself and your energy.  Karen was able to gather a creative team to support the development and implementation of her ideas.  This collaboration helped her to maintain motivation, develop creative solutions to problems encountered and build external support.  Karen found, as often is the case, that local businesses came on board with her ideas with cross-promotions when they started to see the increase in tourist traffic and international acceptance and accolades for the Bendigo Art Gallery being developed by Karen.

Bravery and mindfulness

Mindfulness helps you to be more conscious of, and grateful for, the internal and external support you receive and to develop the relationships involved through awareness, empathetic listening and loving kindness.

Mindfulness develops calm and clarity in the face of stressors that would undermine confidence or cloud your vision.  It helps you to strengthen the courage of your convictions, overlook sustained opposition of fearful people, build resilience and develop new ways around roadblocks and impediments to the way forward.  As you grow in mindfulness, you become braver in the pursuit of creative ideas and less fearful of the risks, dangers and difficulties involved.

By Ron Passfield – Copyright (Creative Commons license, Attribution–Non Commercial–No Derivatives)

Image source: courtesy of johnhain on Pixabay

Disclosure: If you purchase a product through this site, I may earn a commission which will help to pay for the site, the associated Meetup group and the resources to support the blog.

Be Bold, Be Creative

In recent blog posts, I have identified how mindfulness opens the way to creative ideas through:

However, it is one thing to generate creative ideas; it is another to act on them.   Being creative requires boldness.  The very definition of creativity entails “inventiveness” and “the use of imagination or original ideas to create something” – going beyond traditional ways of conceiving things and acting on that insight.

Creativity and boldness

Creativity entails action – going beyond the creative idea to taking action to realise the potential of that idea.  As Amanda Sinclair points out in her book, Leading Mindfully, being creative requires boldness which is defined in the online Oxford Dictionary as “the willingness to take risks and act innovatively”.  Starting out on a new venture requires this boldness – a willingness to initiate action to create a new response to the micro- and macro-environment.  This requires the calmness and focus generated by mindfulness and the ability to still the inner chatter as you set forth on this new journey with an uncertain end.

Breaking with tradition

A further explanation of creativity suggests that it involves “the ability to transcend traditional ideas” to “create meaningful new ideas”.  It takes boldness to break away from established ways of conceiving and doing things.

In her chapter on “Opening to Creativity“, Amanda discusses the creativity of Karen Quinlan, Director of the Bendigo Art Gallery, and her bold and very successful endeavour to break away from tradition.  Her success was been encapsulated in the term “the Bendigo Effect” and its alternative, “the Quinlan Effect”.

Her first break with tradition was to take on the Director’s role where leadership in the area was typically male-dominated.  She also broke the mould by conceiving of high-end art as incorporating fashion – an inclusion that was a blind spot for male Directors.  In pursuit of this expanded perspective, Karen put on exhibitions such as Marilyn Munroe and Grace Kelly-Style Icon.  She also incorporated topics and art forms that fell outside the normal realm of established art galleries, e.g. Australian Women Photographers.

Karen was open to ideas from any source and this openness and awareness led to the development of an Imagining Ned exhibition based on the story of Ned  Kelly and artefacts from Ned’s life (including his armour).  Her vision of an art gallery incorporated a strong focus on education and relaxation (with the development of an art gallery cafe).

One has to be bold to make such a major departure from tradition – to take innovative action rather than be frozen by fear.  It also takes a very strong self-awareness and self-belief to ignore the naysayers who are always present to “throw cold water” on a new idea to discourage your eagerness.  Mindfulness strengthens self-esteem and builds resistance to the unwarranted assumptions of others.

With bold action comes uncertainty about outcomes – the road ahead is not always clear and can become quite cloudy and fogged in.   Mindfulness helps to maintain focus, remain calm, build self-control and achieve clarity of purpose and vision.

To reinforce her boldness and maintain her energy, Karen undertakes regular exercise (walking & running) and relaxation through gardening or a quiet restaurant lunch.  She gives priority to her family, does not work in the evenings and “loves to enter a zone of quiet contemplation”.

As we grow in mindfulness, we can be bold and creative, knowing that we are developing focus, clarity and calm; strength of conviction and self-belief; and the ability to ignore the negative comments of others who lack our vision and perspective.

By Ron Passfield – Copyright (Creative Commons license, Attribution–Non Commercial–No Derivatives)

Image source: courtesy of pasja1000 on Pixabay

Disclosure: If you purchase a product through this site, I may earn a commission which will help to pay for the site, the associated Meetup group and the resources to support the blog.