Identifying Customer Needs - Stephan Sorger · Identifying Customer Needs: 5 Steps Gather Raw Data From Customers Interpret Raw Data in Terms Of Customer Needs Organize the Needs

IdentifyingCustomer Needs

New Product Development © Stephan Sorger 2010: www.stephansorger.com; Customer Needs 4.1

Disclaimer:• All images such as logos, photos, etc. used in this presentation are the property of their respective copyright owners and are used here for educational purposes only• Some material adapted from: Ulrich & Eppinger, “Product Design and Development,” 4th edition

http://www.stephansorger.com/

Identifying Customer Needs: 5 Steps

Gather RawData FromCustomers

Interpret RawData in TermsOf Customer Needs

Organize theNeeds into a Hierarchy

Establish theRelativeImportanceof the Needs

Reflect on theResults andthe Process

NeedStatements

ImportanceSurvey

HierarchicalList

DataTemplate

1 5432


Input: Mission Statement(from previous chapter)


Step 1: Gather Raw Data from Customers: 1 of 5

Method Description

Interviews 1-2 hour one-on-one interviews with key customersAdvantage: Quick, Inexpensive

Focus Groups 2 hour discussion with group of 8-12 customersAdvantage: Discussion may prompt new ideas

Observation Watch customer use productAdvantage: Readily shows product deficiencies

Data Collection Methods

1 2 3 4 5 6 7 8 9 10

80%

20%

40%

60%

% of NeedsIdentified

# of Interviews

Comparison ofEffectiveness ofFocus Groups vs. Interviews

Focus GroupsInterviews: One-on-One




Method Description

Extreme Users Target extreme users- Customers using product at maximum capability- Dependent on performance of product in some way- Often able to articulate their emerging needs- Frustrated with inadequacies of other products- Using product in unusual way- Modified product with new features

Leapfrog Competitors Can gain advantage over competitive products

Example Procter & Gamble Swiffer focus groupProduct used for cleaning wood paneling on walls

Selecting Customers to Interview


Focus group found thatextreme users cleanedtheir wood wall panelingwith Swiffer product



Tip Description

Interview Guide Prepare ahead of time- Why do you use the product?- Walk us through a typical usage scenario- How do you decide on a product?- What do you like/ dislike about existing products?- What improvements would you suggest?

Props Bring your product, competitors’ products, prototypes

Latent Needs Listen for needs not currently fulfilled by any product(Such as Swiffer example)

Interviewing Tips


Prepare an interview guide,but feel free to explore interesting topics brought upby product user



Tip Description

Handwritten Notes Taking notes during conversation- Easy, fast, customer usually does not mind

Audio Recording Using recorder to capture audio- Time-consuming to transcribe into text

Video Recording Capture interaction using video device- Useful to understand user environment

Still Photographs Record visual environment without video equipment- Easy, but can not capture dynamic effects

Documenting Customer Interactions


Video recording is agood way to capturethe user environment



Category

Typical Uses

Likes

Dislikes

Suggestions

Final Result: Customer Data Template


Example of pistol-gripelectric screwdriver

Customer Statement

“I drive screws to installelectrical devices, like outlets and switch covers.”

“I like the pistol grip.”

“I want to lock it so I can use it with a dead battery (!)

“Would be nice if it couldpunch a pilot hole (!)

Interpreted Need

Unit can be used for screwson electrical devices

Unit is comfortable to grip

User can apply torquemanually to drive screw

Unit can create a pilot hole


Step 2: Interpret Raw Data

Category

“What” not “How”

Specific

Positive not Negative

Product Attribute

Avoid “Must”

Writing Good Need Statements


Customer Statement

“Put protective shieldsaround battery contacts”

“I always drop it.”

“I need to work outside in the rain”

“I want to recharge it with the cigarette lighter”

“I want to see how much juice is left in the battery”

Need Statement - Wrong

Unit contacts covered by sliding plastic door

Unit is rugged

Unit not disabled by rain

Cigarette lighter adaptorcan recharge unit

Unit should provideIndication of battery level

Need Statement - Right

Battery protected fromaccidental shorting

Operates after dropping

Unit operates normallyin the rain

Battery can be chargedfrom cigarette lighter

Unit provides indicationof battery level

Cigarette LighterAdaptor for Recharging Battery

Battery Level Meter


Tip Description

Wall Perform prioritization process on blank wall

Post-It Notes Record each need statement on card or Post-It note

Delete Redundancies Dispose of redundant need statements

Group Notes Group notes having similar need- Organize by customer need, not technology- Example: “Energy” needs, not “Battery” needs

Choose Label Select label to describe each group

Create Supergroups If necessary, group small groups into larger groups- Consolidate to 20 groups max


Wall full of sticky notes

Step 3: Organize Needs Into Hierarchy: 1 of 2

Tips on Organizing Needs into Hierarchical List


Step 3: Organize Needs Into Hierarchy: 2 of 2

Label

Unit has plenty of power to drive screws

Unit makes it easy tostart a screw

Unit feels good in user’s hand

Unit easy to control while turning screws

Unit easy to set upand use

Hierarchical List of Primary & Secondary Needs


Customer Need and Priority: * (Low) - *** (High)

* Unit maintains power for several hours of heavy use** Unit able to drive screws into hardwood

* Unit retains the screw before it is driven*(!) Unit can be used to create a pilot hole

*** Unit comfortable when user pushes on it* Unit balanced in the user’s hand

*** User can easily resist twisting motion of unit**(!)User can control speed while turning a screw

* Unit easy to turn on*(!)Unit provides ready access to bits and accessories

Abundance of Screw-driving poweris a primary need


Importance: 1 – 5 Question

1 2 3 4 5 Screwdriver maintains power for several hours/charge

1 2 3 4 5 Screwdriver can drive screws into hardwood

1 2 3 4 5 Screwdriver can control speed while turning screw

1 2 3 4 5 Screwdriver has pleasant sound when in use

Ratings 1 - Feature undesirable2 - Feature not important, but would not mind having it3 - Feature nice to have, but not necessary4 – Feature highly desirable, but not critical5 - Feature critical. Would not consider without it.


Typical Survey

Step 4: Establish Relative Importance of NeedsSurvey: Customer’s Relative Importance of Needs- Required to conduct design trade-offs


Topic Question

Interaction Have we interacted with customers in target market?

Latent Needs Did we capture latent needs, not just obvious ones?

Follow-Up Should we conduct follow-up interviews?

Key Customers Which customers should we contact during design?

Surprises What surprising needs did we discover?

Collaboration Did we engage everyone in our organization?

Improvement How might we improve our efforts in future?


Meet to discuss the process

Step 5: Reflect on Results and Process

What are the Lessons Learned?


Documents

Identifying Customer Needs - Stephan Sorger · Identifying Customer Needs: 5 Steps Gather Raw Data From Customers Interpret Raw Data in Terms Of Customer Needs Organize the Needs