Innovation in Service Design

McDonald’s installed self-order kiosks to create a behavioural engine. The design is clever. The oversized food imagery is expected. The labour savings are obvious. But the micro-pauses - that’s the part that impressed me. Those tiny delays are intentional. Slow the customer down… Increase time on screen… Boost impulse decisions. And it works. Kiosks create the perfect environment for silent revenue growth through endless customisation, “value” bundles with higher margins, upsells built into every step, and visual hunger triggered on cue. The operational impact is just as powerful: Fewer staff needed Faster throughput Higher order accuracy Lower training and labour costs Even the controversy helped. People debated kiosks online for months, and that noise turned into free marketing. McDonald’s has turned ordering into a data-driven system where every hesitation, skip, and tap shapes the next version of the menu. This is behavioural design meeting machine intelligence. And it’s a reminder for every brand: The smallest interaction (sometimes just a few milliseconds) can change the entire customer journey.

𝗜𝗻𝗻𝗼𝘃𝗮𝘁𝗶𝗼𝗻 𝗹𝗼𝘃𝗲𝘀 𝗮 𝗰𝗿𝗶𝘀𝗶𝘀 - 𝗮𝘁 𝗹𝗲𝗮𝘀𝘁 𝗶𝗻 𝘀𝗼𝗳𝘁𝘄𝗮𝗿𝗲 I recently came across a visual that mapped the evolution of enterprise software,not just the tech itself, but also how it’s sold and why in moments of crisis breakthroughs happen. The pattern which stood out can be summed up as follows: 𝗕𝗿𝗲𝗮𝗸𝘁𝗵𝗿𝗼𝘂𝗴𝗵 → 𝗕𝘂𝗯𝗯𝗹𝗲 → 𝗛𝘆𝗽𝗲 → 𝗖𝗿𝗶𝘀𝗶𝘀 → 𝗥𝗲𝗶𝗻𝘃𝗲𝗻𝘁𝗶𝗼𝗻 It’s in the reset, when hype fades and pressure builds, that real innovation seems to emerge. Let’s explore a few key moments from this cycle through the lens of the evolution of ProcureTech and reflect on what might come next? 1️⃣ 𝗗𝗼𝘁𝗰𝗼𝗺 𝗕𝘂𝗯𝗯𝗹𝗲 (𝟮𝟬𝟬𝟬) After the IPO crash, cloud infrastructure emerges and SaaS is born. In ProcureTech: ▪️Web-native eSourcing and eAuction tools go mainstream ▪️Ariba leads the shift from on-prem to hosted solutions ▪️ Digital procurement is born 2️⃣ 𝗛𝗼𝘂𝘀𝗶𝗻𝗴 𝗕𝘂𝗯𝗯𝗹𝗲 (𝟮𝟬𝟬𝟴) Budgets freeze, and risk aversion dominates. In ProcureTech: ▪️ Self-serve and rapid deployment become standard ▪️ Spend visibility, ROI tracking, and P2P efficiency rise as drivers ▪️ Procurement evolves from admin to performance enabler ▪️ Product-led Growth (PLG) starts to emerge 3️⃣ 𝗦𝗮𝗮𝗦 𝗕𝘂𝗯𝗯𝗹𝗲 (𝟮𝟬𝟮𝟮–𝗼𝗻𝗴𝗼𝗶𝗻𝗴) SaaS saturation meets capital discipline. "Best-of-breed everything" no longer scales. In ProcureTech: ▪️ Shift toward AI-enhanced platforms (e.g. Fairmarkit, Keelvar) ▪️ Category intelligence and AI-driven guided buying gain traction ▪️ LLMs and early agent-based automation enter the stack 4️⃣ 𝗔𝗜 𝗕𝘂𝗯𝗯𝗹𝗲 (𝟮𝟬𝟮𝟯–𝟮𝟬𝟮𝟱) Generative AI hype surges but not all is adding value. What's coming? ▪️ Procurement demands real-world impact over buzz ▪️ Trust, governance, and explainability become differentiators ▪️ Interoperability now matters: open models like MCP (Model Context Protocols), auditable logic, and vendor transparency and potentially, just rising as we speak... 5️⃣ 𝗧𝗮𝗿𝗶𝗳𝗳 & 𝗧𝗲𝗰𝗵 𝗦𝗼𝘃𝗲𝗿𝗲𝗶𝗴𝗻𝘁𝘆 𝗖𝗿𝗶𝘀𝗶𝘀 (𝟮𝟬𝟮𝟱) (𝗲𝗺𝗲𝗿𝗴𝗶𝗻𝗴) Geopolitical tensions reshaping enterprise software buying. What it could mean for ProcureTech: ▪️ Demand for EU-/neutrally grounded hosted platforms grows ▪️ Cloud-agnostic, API-first, portable tools are prioritized ▪️ Compliance, resilience, and trust now drives selection Each bubble didn’t just burst but was followed by a crisis, decelerating the market and resetting the rules. This next phase is still being written but it's no longer just about smarter solutions. For buyers it's as well about resilience, trusted solution ecosystems and digital sovereignty without lock-ins. What do you think is happening next? Share it with us in the comments!

Sometimes the best way to innovate is to get rid of things. Usually when we innovate we add things - new projects, new features, new ways of serving people and so on. All of this takes time, effort and resources and usually comes on top of the things we are already doing. The result is often a clutter of 'innovations' (old and new) which can be confusing and not particularly useful. There is an interesting experimental study which found that when people were asked to come up with an innovation, the vast majority added things. One part of this study looked at innovations suggested by staff to a new university president - 91% were additive. Addition can be useful, but we overlook subtractive innovation at our peril. A great example of substractive innovation in the hotel industry is Citizen M. It operates in one of the most crowded markets. When it was launched over a decade ago tte founders thought there was a new market neich for global nomads looking for affordable luxury. These people didn't spend much time in their hotel room but wanted some sense of luxury. Citizen m focused on the features which mattered to it's target market - large bed with nice linen, on demand films, a lively bar area, a nice shower. It got rid of all the rest of the stuff which you usually find in hotel rooms (large room, kettle, trousers press etc) and in hotels (doorman, concierge etc). The result has been a successful new hotel chain in a crowded market. It begs the question in many industries - what is something which the specific audience you serve really cares about you could add or improve, and what is something that they don't really care about which you can get rid of. Here is the study of additive and subtractive innovation: https://lnkd.in/e-VEGrYv Here is a couple of case studies of citizen M: https://lnkd.in/eZ6YV9w3 https://lnkd.in/eA3kR7b6

How Aesthetic Design is Reshaping Business Success The transformation is undeniable! India is experiencing an aesthetic awakening that's reshaping everything from corporate giants to neighborhood chai stalls. Recent data reveals this isn't just about looking good—it's driving real business results. According to a 2024 retail industry report, businesses that invested in aesthetic improvements saw customer dwell time increase by 37% and average purchase value jump by 22%. What's fascinating is how this trend has democratized beyond luxury sectors. I noticed small restaurants replacing plastic furniture with handcrafted wooden pieces, incorporating local art, and designing Instagram-worthy corners. Data Fact (MBA grad need to prove it with this ;) -> A survey of 1,500 small F&B businesses showed that 68% had undergone some form of aesthetic upgrade in the past year, with 71% reporting improved customer retention. Retail shops aren't far behind. Local boutiques are investing in thoughtful layouts, better lighting, and consistent visual merchandising. The numbers speak volumes, stores that reimagined their spaces saw foot traffic increase by 43% and repeat customers grow by 29%. The magic happens when aesthetics meets authenticity. Customers don't just want pretty spaces, they want experiences that tell a story. A restaurant in Rohtak,Haryana that incorporated traditional Kalamkari art and brass serve ware saw their customer reviews mention "experience" three times more frequently. What's your favorite local business that's embraced aesthetic transformation? Have you noticed how it changes your relationship with the brand? #BusinessTransformation #IndianRetail #CustomerExperience #DesignThinking

IT services growth has hit a wall—stuck at 3–5% for the past three years—and 2025 isn’t breaking the cycle unless we change the formula. In my latest edition of Saurabh’s Scoop, I unveil the 2025 Momentum Map—a heatmap of projected growth across service lines. Just 4 areas are breaking the 10% barrier: - AI services (led by GenAI and Agentic AI) - Cybersecurity - Process automation - Select industry-specific services (think clinical trials, payments, network optimisation, fraud detection) Enterprises are demanding: - AI-driven outcomes, not labor arbitrage - Tailored, verticalized capabilities, not one-size-fits-none - Speed, specificity, and skin in the game If your services strategy still revolves around resourcing, delivery scale, and broad horizontal offerings, you’re not evolving—you’re eroding. Read the full scoop here: https://lnkd.in/g4mGFxeY HFS Research Phil Fersht Tony Filippone Rohan Kulkarni Ashwin Venkatesan Ashish Chaturvedi Dana Daher David Cushman Melissa O'Brien Divya Iyer Emma Melando Aubrey H.

Happy New Year! 2025 will be a fascinating year for B2B SaaS Pricing. AI innovations continue accelerating, and (AI) monetization has become an increasingly urgent topic amongst C-suite, boardrooms, and investors. Here are my top five pricing trends and predictions for 2025. 1️⃣ How we price AI will increasingly be determined by its "modality." 💬 - AI services will proliferate and take many forms, and there is no "one size fits all" approach to AI monetization. Pricing new AI services will come down to both "what" and "how"—what value is it delivering, and how is the value being delivered? The "What" will drive the value metrics and the price we expect customers to pay. However, the "How" - How AI services will interface with the end user and to whom value is delivered will determine how AI will be charged in the long run. 2️⃣ Usage-based Pricing (UBP) will become mainstream...📈 - UBP was a curious concept for most SW companies a few years ago, but it is seen today as the way SW will be priced in the future. AI will fundamentally alter what value SW can deliver to customers; these values will become increasingly "self-evident" over time, allowing firms to price to discrete units of "work" or "outcome" instead of pricing for access. This trend is well on the way, and we will look back at 2025 as the year when UBP becomes mainstream. 3️⃣ ...but we will continue to (mostly) pay in a very "subscription" like way 🔄 - Pricing to a unit of "work" or "outcome" doesn't mean we will pay for these services that way. Buyers and sellers will continue to want predictability and simplicity. While we will see more "pay as you go" models being adopted to lower the barrier to entry and incentivize adoption, the bulk of UBP transactions will come from some form of recurring usage commitment, and they will look very "subscription-like." 4️⃣ "Credits" will be everywhere 💰 - We will see more companies adopt some form of "credit" system for pricing. There are two reasons for this: 1) Complex AI systems will have many cost and value axes that may need to be monetized separately, and pricing them individually will be too complex for customers; 2) The rapid pace of AI innovation meant that company needs a way to adjust both the price and the pricing metric frequently - multiple times in the same year or more, and they need to do this w/o massive disruption to customers. An abstraction model like a credit system can reduce complexity and procurement friction while allowing companies to maintain business flexibility. 5️⃣ We will still be talking about "Outcome-based pricing" in 2026 🌈 - Outcome-based pricing made a big splash in 2024, but if we dig a little deeper, what most are calling "outcome" is pricing to some unit of output, or in some cases, total system utilization. As AI becomes more sophisticated, we will likely see the definition of "outcome" evolve and come closer to how the customer defines "success." #AI #Pricing #SaaS

It's the time for predictions, so here's my first for 2025: We're going to start seeing an increase in outcome based ai-agent pricing. Outcome-based pricing isn’t just a financial shift; it’s a philosophical one. In healthcare, where every dollar spent is scrutinized for its impact on patient outcomes, redefining the relationship between technology providers and their customers holds transformative potential. This model actually raises the bar for AI vendors while aligning interests on both sides. Companies would need to measure success in real-world terms, aligning their innovations with the metrics that matter most to their customers. Of course, outcome-based pricing brings its challenges. Measuring success in complex environments like healthcare isn’t always straightforward. Variables like patient compliance or systemic inefficiencies can muddy the waters. But this is where the true opportunity lies: fostering deeper partnerships between vendors and customers to co-create solutions that succeed in the real world, not just on paper. As we head into 2025, I expect to see this model gain traction in healthcare and beyond, in industries where success is easily quantifiable. And as the adoption grows, so too will the need for trust, transparency, and a shared commitment to delivering value. What do you think? Is outcome-based pricing a trend or a transformation? What lessons from Value Based Care programs will carry over? Which ones won’t?

In today's digital age, the aesthetics of a restaurant can be as crucial to its success as the quality of its food. Creating spaces that customers are eager to share online can significantly enhance a restaurant's visibility and appeal. A prime example of this concept in action is The Pink Zebra, located in Kanpur, India. Designed by Renesa Architecture Design Interiors studio, this restaurant is an Instagrammer's dream, combining bold stripes and an eclectic mix of patterns and colors that draw the eye and ignite the imagination. The Pink Zebra's design not only creates a unique dining experience but also serves as a powerful marketing tool, encouraging visitors to share their experiences on social media. This approach demonstrates how thoughtful design can transform a restaurant into a destination, attracting customers not just for the cuisine but for the opportunity to capture and share a moment in a visually stunning setting. Have you visited or designed a restaurant space that became a hit on social media due to its distinctive design? How do you think the integration of architectural creativity with marketing strategies like Instagrammability can impact the success of a dining establishment? #restaurantdesign #architecturalinnovation #designtrends #design #architecture #architects #designers #interiordesign #interiordesigners #interiors #interiorinnovation #socialmedia #marketing

Design does not just look beautiful - it builds value. In hospitality, it can transform a restaurant from a service point to a true destination. At Accor, we work closely with owners and partners to align relevant, differentiated and successful Food & Beverage concepts with immersive, meaningful design - because when space and story come together, the result is far more than the sum of its parts. Think of the Swissôtel The Bosphorus, Istanbul: where the interplay between panoramic views, modern forms and Ottoman motifs deepens the sense of place and occasion. Or the Pullman Paris Tour Eiffel, where expansive interiors, clean architectural lines and subtle Parisian details elevate every moment of the dining journey - embodying the elegance of French living, plate by plate. These are not just beautiful rooms. They are spaces that engage the senses, unlock emotion and spark memory. In a competitive landscape, design is a differentiator. But when it is done well, it becomes something more: a narrative thread, woven into every dish, every detail, every experience. As highlighted by Skift, these insights underscore just how pivotal design is in shaping a truly memorable guest experience. Design is not just about aesthetics; it is about creating a space that resonates on a deeper level. What is the most strikingly designed Food & Beverage space you have ever encountered? I would love to hear what elements made it unforgettable. #DesignMatters #GuestExperience #Accor #RestaurantDesign

Looking Ahead: Trends from 2024 and the Roadmap for 2025 As 2024 winds down, the tech industry—particularly cloud computing, CCaaS (Contact Center as a Service), and generative AI—has undergone transformative shifts. 2024 Recap: 1. AI-Driven Automation Became Standard Generative and Agentic AI redefined workflows, enabling faster decision-making and better customer engagement in CCaaS platforms like Amazon Connect. Organizations optimized AI to predict customer behavior, resolve queries, and even improve agent productivity. 2. Cloud Became the Default Cloud adoption hit new peaks as businesses embraced hybrid and multi-cloud strategies for scalability and resilience. CCaaS solutions in the cloud powered personalized customer experiences without requiring massive on-prem investments. 3. Customer-Centric Innovation Ruled The CCaaS industry moved from reactive to proactive communication, allowing organizations to anticipate and solve customer problems before they escalated. Customers demanded hyper-personalized, low-latency solutions, pushing innovation further. 4. Reskilling Was Key Engineers, developers, and product managers upskilled to stay relevant in an environment driven by cloud computing, containerization, and AI. The most in-demand skills revolved around serverless architectures, Kubernetes, and integrating AI across platforms. 2025: What’s Next? 1. Proactive Customer Journeys Will Dominate CCaaS platforms will continue to evolve, enabling businesses to not only solve problems but to anticipate customer needs. Proactive campaigns and real-time segmentation will set leaders apart. 2. AI Agents Will Reshape the Workspace The focus will shift from AI tools to autonomous AI agents, capable of handling end-to-end workflows. This will redefine efficiency for both customer service and backend operations. 3. Serverless and Edge Computing Will Scale With rising demand for low-latency solutions, businesses will increasingly adopt serverless and edge computing for real-time processing, particularly in industries like e-commerce and healthcare. 4. The Rise of Unified Tech Ecosystems Customers and enterprises alike will demand tighter integration between CCaaS platforms, CRM systems, and analytics tools. Data unification will be critical to delivering seamless customer experiences. 5. Sustainability Meets Cloud Computing Green cloud initiatives will gain traction, as businesses strive for energy-efficient computing while balancing sustainability goals with scalability demands. 2025: How Can You Stay Ahead? • If you’re in tech, ask yourself: What skills are shaping the future of cloud computing and AI? • For businesses: How can CCaaS innovations help you create unforgettable customer journeys? • For leaders: Are your teams equipped to embrace the fast-changing cloud and AI ecosystems? The journey from 2024 to 2025 will be about staying customer-centric, embracing change, and driving innovation. What’s your game plan for the coming year?