How to Lead Customer Value Creation by Dan Olsen at Leading the Product Melbourne
Transcript of How to Lead Customer Value Creation by Dan Olsen at Leading the Product Melbourne
how to lead customer Value creation DAN OLSEN OCT 20, 2016
HowDoesYourCompanyMakeMoney?
ByCrea5ngValueforCustomers
Product-MarketFit
Whoatyourcompanycreatesvalueforcustomers?
Whoatyourcompanycreatesvalueforcustomers?
Whosejobisittomakesureyourcompanyiscrea5ngvalueforcustomers?
AProductManagerbyanyothername…
Spiderman’smo.o:“Withgreatpowercomes
greatresponsibility”
ProductManager’smo.o:
Spiderman’smo.o:“Withgreatpowercomes
greatresponsibility”
“Withgreatresponsibility
comesNOpower”
It’sMoreLikeThis
AsaProductManager,YourJobIsTo:
n Herdthecatsinsideyourcompany
n Togetthemtocreatevalueforcustomers
n Undercondi5onsofextremeuncertainty
Soundsgreat!WheredoIsignup?
That’sWhyIWrote
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TheProduct-MarketFitPyramid
TheProduct-MarketFitPyramid
TheProduct-MarketFitPyramid
TheProduct-MarketFitPyramid
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
TheLeanProductProcess
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TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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Transporta5onwithin100kmofmyhome
SoccerMom
SpeedDemon
Carrykids&gear
Safety
Fueleconomy
Gofast
Lookscool
Makesmelookcool
TargetCustomerHasDis5nctNeeds
High-levelneed
TargetCustomer
Detailedneeds
IdealProduct
SoccerMom SpeedDemon
TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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n Russians:pencil
n NASA:spacepen($1MR&Dcost)
Example
n Abilitytowriteinspace(zerogravity)
ProblemSpacevs.Solu5onSpace
ProblemSpace
n Acustomerproblem,need
orbenefitthattheproduct
shouldaddress
n Aproductrequirement
Solu5onSpace
n Aspecificimplementa5on
toaddresstheneedor
productrequirement
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Problemvs.Solu5onSpace:ProductLevel
ProblemSpace(userbenefits)
Solu5onSpace(product)
TurboTax
TaxCut
Pen and paper
Prepare my taxes
File my taxes
Check my taxes
Maximize deductions
Reduce audit risk
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ProblemSpace
Problemvs.Solu5onSpace:FeatureLevel
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Save time filing taxes
Save time preparing taxes
Maximize my tax deductions
Check my return
Reduce my audit risk
Help me prepare taxes
Empowerment/ Confidence
Save Time
Save Money
Tax Interview Wizard
Audit Risk Analyzer
Tax Return Error Checker
Tax Data Downloader
Electronic Tax Return Filing
Tax Deduction Finder
Solu5onSpace
Priori5zingNeeds:Importancevs.Sa5sfac5onIm
portanceofUserNeed
UserSa5sfac5onwithCurrentAlterna5ves
Compe55veMarket
Low High
Low
High
NotWorthGoingAjer
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Priori5zingNeeds:Importancevs.Sa5sfac5onIm
portanceofUserNeed
UserSa5sfac5onwithCurrentAlterna5ves
Low High
Low
High
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Priori5zingNeeds:Importancevs.Sa5sfac5onIm
portanceofUserNeed
UserSa5sfac5onwithCurrentAlterna5ves
Low High
Low
High
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Priori5zingNeeds:Importancevs.Sa5sfac5onIm
portanceofUserNeed
UserSa5sfac5onwithCurrentAlterna5ves
Compe55veMarket
Opportunity
Low High
Low
High
NotWorthGoingAjer
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Priori5zingNeeds:Importancevs.Sa5sfac5onIm
portanceofUserNeed
UserSa5sfac5onwithCurrentAlterna5ves
Low High
Low
High
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Crea5ngCustomerValue
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ImportanceofUserNeed
UserSa5sfac5onwiththeProduct
Low High
Low
High
Area=CustomerValueCreated
Area=OpportunitytoCreateCustomerValue
UsersRated13KeyFeaturesinaSurvey
Recommendedreading:�WhatCustomersWant�byAnthonyUlwick
Great
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Bad
KanoModel:UserNeeds&Sa5sfac5on
UserSa5sfac5on
UserDissa5sfac5on
Performance(moreisbener)
Delighter(wow)
Neednotmet
Needfullymet
MustHave
Needs&featuresmigrateover5me
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TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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WhatisYourValueProposi5on?
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WhatisYourValueProposi5on?
n Whichuserbenefitsareyouproviding?
n Howareyoubenerthancompe5tors?
MustHaveBenefit1
PerformanceBenefit1
PerformanceBenefit2
PerformanceBenefit3
DelighterBenefit1
DelighterBenefit2
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WhatisYourValueProposi5on?
n Whichuserbenefitsareyouproviding?
n Howareyoubenerthancompe5tors?
Compe9torA Compe9torB YouMustHaveBenefit1
PerformanceBenefit1
PerformanceBenefit2
PerformanceBenefit3
DelighterBenefit1
DelighterBenefit2
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WhatisYourValueProposi5on?
n Whichuserbenefitsareyouproviding?
n Howareyoubenerthancompe5tors?
Compe9torA Compe9torB YouMustHaveBenefit1 Y Y
PerformanceBenefit1 High Low
PerformanceBenefit2 Low High
PerformanceBenefit3 Med Med
DelighterBenefit1 Y -
DelighterBenefit2 - -
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WhatisYourValueProposi5on?
n Whichuserbenefitsareyouproviding?
n Howareyoubenerthancompe5tors?
Compe9torA Compe9torB YouMustHaveBenefit1 Y Y Y
PerformanceBenefit1 High Low Med
PerformanceBenefit2 Low High Low
PerformanceBenefit3 Med Med High
DelighterBenefit1 Y - -
DelighterBenefit2 - - Y
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TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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WhatisanMVP?
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WhatisanMVP?
CourtesyofJussiPasanenSeeAaronWalter’sbookDesigningforEmo-on
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WhatisanMVP?
CourtesyofJussiPasanenSeeAaronWalter’sbookDesigningforEmo-on
Copyright©2016@danolsen
TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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TheUXDesignIceberg
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Whatmostpeopleseeandreactto
Whatgoodproductteamsthinkabout
TheUXDesignIceberg
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Whatmostpeopleseeandreactto
Whatgoodproductteamsthinkabout
Itera5veDesign&TestWorkflow
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Hand
sketches
Interac5vity
Fidelity
Clickable
Wireframes*
Clickable
Mockups**
Live
Product
Test Test
Test
*Balsamiq:balsamiq.com**InVision:invisionapp.com
TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
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Dos&Don’tsofUserTes5ngSessions
Do
n Explaintotheusern Feedbackwillhelpimprovetheproduct
n Nottoworryabouthur5ngyourfeelings
n �ThinkAloudProtocol�
n Trytobeaflyonthewall
n Takenotesandreviewthemajerwardsfortake-aways
Don’t
n �Help�userorexplaintheUI(e.g.,�clickoverhere�)
n Askleadingorclose-endedques5ons
n Getdefensiveorblametheuser
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Itera5ngBetweenUserTes5ngWaves
CustomerFeedback
Mockups/Code
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ProblemSpaceAllyourhypotheses
Solu5onSpaceUserreac5ons
ProblemSpace
Solu9onSpace
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TheLeanProductProcess:Marke5ngReport.comCaseStudy
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Marke5ngReport.comCaseStudy
n Myclient(CEO)hadanewproductidea
n Team:me,CEO,VPmarke5ng,UIdesigner
n Goalsn Seeifbusinessopportunityexists
n Dosoquicklyandinexpensively(nocoding)
n �Marke5ngreport��wouldletconsumerscontrolthedirectmailthattheyreceive
n Analogoustocreditreport
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MappingOutCustomerBenefits
Reduce Junk Mail
Find out what �they� know about you
Money Saving Offers
Compare Yourself to Others
Social Networking
Marketing Report
Marketing Score
Marketing Profile
Save Trees
�Marke5ngShield�Concept
�Marke5ngSaver�Concept
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Recrui5ngTargetCustomers
n Usedcustomerresearchfirm(panel)
n Wrotescreenertoiden5fytargetcustomers
n Workfull-5me
n FitforSaver:usecoupons,Costcomembership
n FitforShield:usepapershredder,blockcallerID
n Moderatedusersthroughthemockups
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LearningfromFirstWaveofUserTests
Reduce Junk Mail
Find out what �they� know about you
Money Saving Offers
Compare Yourself to Others
Social Networking
Marketing Report
Marketing Score
Marketing Profile
Save Trees
Legend
Strong appeal
Some appeal
Low appeal
�Shield� Concept �Saver� Concept
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SummaryofCaseStudy
n 4weekstovalidatedproductconcept
n 1roundofitera5on
n Zerocoding
n Reasonablecost
n Customerswillingtopay$10/month
n Trimmedawaynon-valuablepieces
n Youcanachievesimilarresults
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TheLeanProductProcess
1. Determineyourtargetcustomer
2. Iden5fyunderservedcustomerneeds
3. Defineyourvalueproposi5on4. SpecifyyourMVPfeatureset
5. CreateyourMVPprototype
6. TestyourMVPwithcustomers
Iterate:
§ Hypothesize-Design-Test-Learnloop§ Improveproduct-marketfit
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Qualita5vevs.Quan5ta5veApproach
Qualita5ve Quan5ta5ve
Oprah Spock
THANK YOU!
@danolsen
dan-olsen.com
slideshare.net/dan_o