Concept Development

/ concept development

A user oriented approach

Concept Development

Build a concept around your product/service

/ the userWho are the users/customers buying and using your concept?

Make detailed user profiles/personas of fx 3-5 usertypes.

/ the basic ideaWe want to give………….(customer value)

To…………………(user groups/segments)

By…………………………...(the solution)

/ functions (products /services)

Core – product or service that gives the fundmental customer value

Additional – related products and services also valuable to customer

Peripheral – ”nice to have” – the extra twist that is memorable and creates loyalty.

/ processesCustomer oriented processes and activities

Internal processes and activities

/ information (customer interface)

Where, when and how do customers/users meet the concept?

Design the experience

Create identity and feelings

How do you ”speak” to customers?

“We are more than a club”

Més Que Un Club

/ business modelHow do you earn money? What do people pay for – and who pays?

Pricing

/ income streamsSelling

Lending

Licencing

Transaction cut

Advertising

Sponsorship

/ pricing principles Some examples:

Pay per use

List price

Feature dependant

Customer characteristics

Volume dependant

Value based

Bargaining

Yield management

Auction

Dynamic market

/ partnersSuppliers

Distribution channels

Who is doing what– Own production– Outsourcing– Customer producing

Fixed or variable costs

Look at your processes and decide your core competence.

/ competitionDirect competition – comparable products/services

Substituting offers – satisfying similar needs

Indirect competition – factors, that may reduce the interest for your product/service

/ technology and IPRWhat gives you unique competitive advantage?– Patent– Design protection– Knowledge– Network– Experience – Etc

/ prototype and visualization

Visualize your product or service in some way – Quick & Dirty in the beginning