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Authors:
Wolfgang Ulaga (Arizona State University); Kathryn Eaton (Arizona State University); Darima Fotheringham (Arizona State University)
Published in:
2017
Version:
30-May-2017
Revision date:
06-Jul-2017
Length:
14 pages
Data source:
Field research

Abstract

This is part of a case series. Case (A) discusses how consumer-packaged goods giant Procter & Gamble disrupts the US dry cleaning industry with Tide Dry Cleaners, an innovative franchising concept built around Tide, P&G’s iconic billion-dollar brand. Based on consumer insights and a thorough understanding of the customer 'jobs-to-be-done', the company translates a unique and differentiated customer promise into a 'wow' guest experience that stands out in a highly fragmented dry-cleaning market. To help understand the value proposition and customer journey, Case (A) first provides a brief background about P&G, its expertise in marketing and sales of fast moving consumer goods (FMCG), and its bold strategic move into new service business models to reignite growth and profitability. With Tide’s brand identity in mind, the case then allows participants to explore the Tide Dry Cleaners concept and discuss each of the critical steps of the customer journey. Based on understanding the concept and customer experience, Case (A) finally culminates into a call for decision whether the company should invest in a large-scale dry cleaning plant and a satellite network of small stores, or stick to Tide Dry Cleaners’ tried and tested store concept as a basis for building a better customer experience.

Topics

Business model innovation; Service business models; Customer experience; Customer job to be done; Service blueprinting; Customer value proposition; Customer promise; Franchising; Servitization

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