Where to Start? Always Start With Customers!

March 11, 2009 · Posted in business, economics, entrepreneurship, innovation, mindset · Comment 

I recently taught a short introduction to Predictive Innovation class for a group of design students at Eastern Michigan University (EMU). One of the students listed his biggest problem as, “not knowing where to start.” He had a product idea and hundreds of ways to approach it but he didn’t know how to begin to get it to market.

I must apologize to that student because I did not clearly answer his question. The correct answer of where to start is always, “Start With Customers!”

Outcome diagram the customers’ desires. Find the most pressing must be satisfied outcome then base your product and marketing around that desire. Make sure there are enough customers you can reach and who will pay for the product or service you plan to offer. If you can, pre-sell your product to them. Use their up front commitment to get financing to develop the product. That might mean actually having them pay or it might mean showing the width and depth of demand to investors.

Figure out what products the customers already own or use and try to use those as resources to develop your product. If they already own items that perform 80% of the tasks then its much easier for you to be an add-on rather than reinventing the wheel. For instance if they have a laptop with a USB connector then you can get power for your device from their laptop battery. Or you can use the keyboard and screen of their laptop to see and change settings in your small USB device.

Figure out all the desires that your product or future or generations of your product could satisfy. Look at the lifetime value of the customer relationship.

If you’re planning to partner with another company to get your product to market they are your customers as much as the end consumer. Draw the outcome diagram for all the desires related to buying and selling your product. Make sure you satisfy those outcomes.

The particulars of manufacturing or a design alternative over another are just details. The most important thing to remember, “Start With Customers.”

How are Predictive Innovation and Evangelism Marketing related?

The world business environment has fundamentally changed Customers can now both find and filter information to get what they want. This means traditional interrupt based advertisement is losing its effectiveness. At the same time customers can search the entire world for exactly what they want. Technology is also making it possible for customers to easily build more of what they want for themselves. So to succeed you need to:

Provide exactly what the customer wants, when the customer wants it, in the way the customer wants, and for the price the customer is willing to pay.

And you must communicate to customers you have what they desire while the customer is actively trying to ignore you because so many others are trying to get their attention.

Innovation gets you half way, but you can’t just innovate, you must Predicatively Innovate to stay ahead of the competition. And how do you communicate something new to people who are ignoring you? Search based marketing won’t work very well because people must first know something exists in order to search for it. That is why Evangelism Marketing is so important.

The great news is Evangelism Marketing doesn’t just introduce a new product; it builds the confidence of each level of user from early adopter to mainstream to late comers. But it’s not just a technique for selling. Evangelism Marketing guides the processes of innovation. In order to get customer to freely sell your product for you, you must first Make them so happy they want to do it. Giving them exactly what they want when they want how they want in the way they want for the price they are willing to pay is essential to Evangelism Marketing.

Evangelism Marketing is a relationship. You are helping someone by giving them information. They in turn give you back information and continue to spread the information you gave them. You might say surveys and marketing research does that, but it doesn’t. How do you get someone to take a survey? Often you can’t. Even with bribes it’s hard and the data is frequently heavily skewed. What about getting customers to freely spread the message? Traditional top down concepts don’t work in a distributed environment. More power, more widely spread is the wave of the future. There are HUGE opportunities for people willing to embrace it and horrible disruption for those that cling to the old way. Which will you be?

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