2. The Customer: Understanding The Opportunity Flashcards
Challenge at understanding the customer:
Know what customers really want, and turn that knowledge into a concept
The “Fuzzy” Front End of Innovation
-Product strategy formulation and communication
-opportunity identification and assessment
-idea generation, product concept definition
-project planning
-and executive reviews
→ Activities that come before the formal and well-structured new product (technology/service) portion of innovation
Common Problems at FFE
-Lack of highly profitable ideas
-Lack of understanding where highly profitable ideas come from
-Front end perceived as mysterious (unclear responsibilities)
Main clusters at FFE
-Trend analysis: Understanding external environment
-Opportunity analysis: Identifying gaps present state ↔ envisioned future
-Idea generation: Creating alternatives for solutions from opportunities
-Concept development: Combining ideas into concepts which cover primary features and customer benefits
Trend and Opportunity Analysis
-Methods for trend analysis: Scenario planning, trend workshops customer innovation workshops, coolhunting, open technology scouting
-Methods for opportunity analysis: technology forecasting, outcome-driven innovation, competitor intelligence, netnography
-Netnography: Analyzing social media and forums → identify latent needs / early concepts / trends, build up customer loyalty
Idea and Concept Generation
-In order to capitalize from an opportunity, an idea is needed
-Definition of product concept: A product concept is a verbal or prototype statement of what is going to be
changed and how the customer stands to gain or lose.
-Inputs to the creation process: Benefit to the customer, form (physical thing or steps in process), technology
-Elements of concepts
“Jobs” of a product
-Challenge: Job to be done independent of particular solution
-Approach: Qualitative research (asking about problems with existing solutions), quantitative research
(validate and prioritize with large group of customers)
-Goals: Reveal “true” needs, address all possibilities by focusing on needs instead particular technology,
identify new business models
What is a „Job“?
A ”job“ is a stable factor over time – products or services are temporary solutions which are evaluated based on
their contribution to a solution.
Components of a „Job“
-Jobs-to-be-done: Context-specific problem or goal of a customer
-Objectives or outcomes: Functional, emotional, social metrics
-Barriers: Factors inhibiting getting the job done
-Solutions: Products, services, compensating behaviors
Getting at latent needs through empathic design
-Challenge: Customers: envisioning future solutions / verbalizing their needs
Company: doesn’t know users’ own solutions to improve products
-Approach: Observing customers in non-intrusive way in their usage environment: interaction, habits,
validation of product features
-Goals: Develop concepts based in unarticulated needs, breakthrough design in potentially shorter
development cycles, create opportunities for differentiation strategies
Process of empathic design:
- Search field definition: target segments/users, issues to focus on, permission for observation
- Capturing data: Non-intrusive, photography/videography, note critical incidents and customers’ solutions
- Evaluation and documentation: Share and extract observations, cluster to need areas, formulate problem
statement (not solution) - Reflection and analysis