Thinking Out Loud: Roger Berry & Andy SchwalbBy CIOinsight | Posted 12-01-2003
CIO Insight: How is Disney World's new CRM strategy relevant to all businesses?
Roger Berry: We're trying to see if we can make convergence work for businessthat is, converging business processes onto converged technology networks and servers and data. It opens a whole new paradigm in how to deliver service to customers. On the front end for us is Pal Mickey, a customer interface in the form of a doll and a feel-good brand that can dispatch customer information in individualized ways to help us, say, ease long lines, improve yield management, boost efficiency, enhance the customer experience and drive new revenues. On the back end, we have a strategy so that anywhere a guest comes in contact with uswhether with a food server, merchandise salesperson, ticket seller or what have youwe can use technology to take the hassle out of the guest experience. Fundamentally, it's about using technology to create a more favorable guest experience and leverage customer activity, and in real time. We'll be able to tell you through Pal Mickey or through your cell phone or whatever when the fireworks at Magic Kingdom will begin or where your child's favorite character is going to be at a certain time. A very high percentage of our guests have cell phones, over 95 percent, so it makes sense to use the devices already there to get some of this data out to people.
Andy Schwalb: The concepts we develop here, we'll roll out in our other parks. The idea is that if it works at Walt Disney World, it'll work anywhere because we're so much bigger than everybody else.
Berry: For anything that you want to test and get a really good look at, to see if it will work in a broad way in a commercial market somewhere, this is a good place to try it. We're about as big as San Francisco. Technology used to fall under the financial arm of the company, but it doesn't anymore, at least not at Walt Disney World. Disney World IT reports directly to the president, and Disney World has become the new test site for Disney IT. It's a great place to work if you're a technologist.
How else will the mobile Internet and convergence be applied?
Schwalb: We know our guests hate waiting in line, so we're developing GPS and mobile Internet systems that, for example, count the number of people waiting for a bus for a particular hotel or resort. This system can dynamically dispatch the buses, which are not on a static schedule, and change the routes depending on demand. The system can also automatically change the sign on the bus, count the people getting on the bus, tell people how many minutes before a bus shows up so they don't have to wait, and route buses dynamically. Nobody else in the world does this because everybody else uses static routes.
Could you describe some of the thinking behind Pal Mickey?
Schwalb: We experimented a lot with the concept, and there were many details to worry about. What should Mickey's voice sound like? How loud should his voice be? Giving it volume without disturbing anybody else is a fine line that was a real challenge, for example. Would it work to wear Mickey around your wrist, or would it get too hot in the summer? We're rolling out a Spanish-speaking Pal Mickey and looking into other language possibilities.
Berry: Pal Mickey is another type of point of service. It's another character we can employ to increase our ability to touch more customers personally. If you're a reservations agent, you pull information from our information system. If you're Pal Mickey, you push information from our data system to the customer. We have an architecture strategy that allows anywhere, anyplace, anytime delivery of information to any device. It's pervasive computing. It's an early form of customization. Pal Mickey isn't interactive yet, but he could be. Now he's being used to tell you information depending on where you areand in the future, depending on who you are. We're also looking at interactive television in our hotel rooms and other ways to help guests understand what we've got to offer and make their experience better.
Schwalb: Our clear target is to use technology to reduce customer hassle. The money will follow.
Will this add a lot of complexity to your IT architecture?
Berry: When you get under the covers and look at the technology underlying this, it's an evolution. First it was a business vision. Then we had to ask ourselves if we really had the technology to deploy it. Once we decided that some of it was commercially available and some would need to be developed ourselves, we went into a huge architectural design to lay this out. This isn't like the traditional way of building a system because you can't just build one piece of it. So I use the analogy of Legos. Some of it is stuff proprietary to us, but most of it is off-the-shelf technology exploited in a big way, kind of plug and play. The role of IT is changing. It's not simply an organization that is deploying technology, but integrating technology from a lot of different angles.