The Value Proposition Canvas vs. The 1-Minute Value Proposition Act: A BETTER WAY TO UNDERSTAND HOW CUSTOMERS THINK AND ACT
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The Value Proposition Canvas vs. The 1-Minute Value Proposition Act: A BETTER WAY TO UNDERSTAND HOW CUSTOMERS THINK AND ACT

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“Customers Deserve the Best Products, Services, and Tools to Help Them Delightfully Get Their Jobs Done” ...

“Customers Deserve the Best Products, Services, and Tools to Help Them Delightfully Get Their Jobs Done”

Wouldn’t it be great if we so deeply understand customers that we could accurately predict customers’ adoption, hiring, and buying decisions? Then, no startup or established business would build products, services, and tools that customers do not want or buy. Waste in business and the dismal failure of startups would be eliminated. Newly launched products, services, and tools would achieve Product-Market fit in no time. And … gainful employment, generated income, and standard of living would be higher. But, why do we not have this paradise especially in the world of entrepreneurship and startups?

My main hypothesis is that currently, business management is largely an art the mastery and tacit knowledge of which reside with a few practitioners such as the late Steve Jobs. Business management is still a blackbox: we know what goes in and what comes out of business. However, we have yet to fully figure out and accurately model how the inside of a business’s blackbox interacts with the environment at present as well as in future.

In the past, the main tools for systematically planning, launching, and building products, services, and organizations was the voluminous and rigid business plan. In today’s volatile, uncertain, complex, and ambiguous environment, the voluminous and rigid business plan is increasingly considered inappropriate. New tools are emerging to replace the business plan especially in the world of startups. This article focuses on tools that facilitate the achievement of Product-Market Fit since Product-Market fitness is considered the greatest risk to having a repeatable and scalable business model and consequently, a profitable and enduring organization.

In this presentation, two tools are presented that focus on achieving Product-Market Fit. One is Alexander Osterwalder’s Value Proposition Canvas (VPC) while the other is my 1-Minute Value Proposition Act (VPA). Both the VPC and 1-Minute VPA are modules of a business model (story). The VPC focuses on the “Job-To-Be-Done” as a unit of analysis while the 1-Minute VPA considers a “customer’s trade-off and decision-making” as the unit of analysis.

In the presentation, elements of the VPC and 1-Minute VPA are considered and examined within the context of a case study. The aim is to enable readers which include entrepreneurs and startups to compare and contrast the two tools with a view to making informed decisions while trying to achieve Product-Market Fit for newly launched products, services, and organizations. As the quote at the beginning says: “Customers Deserve the Best Products, Services, and Tools to Help Them Delightfully Get Their Jobs Done.”

Your feedback would be greatly appreciated.

Rod.

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  • @RodKing
    Rod, I meant it to any reader who is at least partly familiar with your work. I ran into this mood because I wanted to show my appreciation of this work with the simultaneity of not repeating myself. Unfortunately, I had to edit the comment because itemizing the comment is not possible with SS comments. I wish this presentation gets the attention it deserves.
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  • Ali, Your comments are on the mark. I must admit though that the comments read like poetry (I don't know whether that was intended or not). The paragraph is rich in symbolism. Nevertheless, I feel that people who are not familiar with my (previous) work may have difficulty deciphering the poetry. If your comment was meant for my consumption, you certainly hit the target.
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  • Fee the mind, heart and body. See the three scenes of your product/service story. Sense the five senses of all your stakeholders leave no question voids or holes. This way you value your customer by giving him /her a differentiated service/product and this way his/her delight/pain ratio is maximized.
    Rod, I hope my summary is not off the mark
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The Value Proposition Canvas vs. The 1-Minute Value Proposition Act: A BETTER WAY TO UNDERSTAND HOW CUSTOMERS THINK AND ACT Presentation Transcript

  • 1.                                                                                          The  4  Parts  of  the  1-­‐Minute  Value  Proposi6on  Act  (VPA)                                                          A  Be%er  Way  to  Understand  and  Predict  Customers’  Adop8on,  Hiring,  and  Buying  Decisions     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   VALUE  PROPOSITION  PLOT   (STATEMENT)   PRODUCT/SERVICE/TOOL   CUSTOMER/CONSUMER   VPA   JOB-­‐TO-­‐GET-­‐DONE  
  • 2.                                      1-­‐Minute  Value  Proposi6on  Act  (VPA):  A  Universal  Decision-­‐making  Template                                                A  Be%er  Way  to  Understand  and  Predict  Customers’  Adop8on,  Hiring,  and  Buying  Decisions   PRODUCT/SERVICE/TOOL   (PROP)         -­‐     +   CUSTOMER/CONSUMER   (PROTAGONIST)         -­‐   +     JOB-­‐TO-­‐GET-­‐DONE   (MOTIVATION:  Help  me/us  …)           -­‐   +   VALUE  PROPOSITION  PLOT   Similarity:  ………………………….…..………   DifferenAaAon:  …..……………………………   WHY  (ACT/BUY,  NOW)?     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   VPA   Key   -­‐      PAIN:  “undesirable”  impact     +    DELIGHT:  “desirable”  impact                                :  Informa8on  flow                
  • 3.              1-­‐Minute  Value  Proposi6on  Act  (VPA):  A  Universal  Decision-­‐making  Template  (Checklist)                                          A  Be%er  Way  to  Understand  and  Predict  Customers’  Adop8on,  Hiring,  and  Buying  Decisions   PRODUCT/SERVICE/TOOL   (PROP)   q  What  product/service/tool  is   being  offered?     -­‐     +   CUSTOMER/CONSUMER   (PROTAGONIST)   q  Who  is  the  customer/consumer?       -­‐   +     JOB-­‐TO-­‐GET-­‐DONE   (MOTIVATION:  Help  me/us  …)   q  What  is  the  customer  job-­‐to-­‐get-­‐ done  or  task?  Where?  When?  How?   q  What  is  the  business  job-­‐to-­‐get-­‐ done  or  task?    Where?  When?  How?     -­‐   +   VALUE  PROPOSITION  PLOT   q Similarity:  What  are  similariAes  with   exisAng  products/services/tools?   q Differen8a8on:  What  are  differences   from  exisAng  products/services/tools?   WHY  (ACT/BUY,  NOW)?     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   Key   -­‐      PAIN:  “undesirable”  impact     +    DELIGHT:  “desirable”  impact                                :  Informa8on  flow                 VPA            (Pain?)                                              (Delight?)            (Pain?)                                              (Delight?)            (Pain?)                                              (Delight?)  
  • 4.            VALUE  PROPOSITION  ACT  (VPA)  CHECKLIST  FOR  “CUSTOMER  REQUIREMENT  INTERVIEW”                                                              QuesAons  for  Designing,  Managing,  and  TesAng  a  MagneAc  Value  ProposiAon   10  Ques6ons  for  Designing,  Managing,  and  Tes6ng  a  Magne6c  Value  Proposi6on  (MVP)     Product/Service/Tool  (Prop)   q  Could  you  tell  me  whether  you  use  tools  such  as  [Leading  Product  1]  or  [Leading  Product  2]  for  [Job-­‐To-­‐Get-­‐Done]?   q  How  does  [Leading  Product  1]/[Leading  Product  2]/[Low-­‐end  Product]/[Alterna8ve  Product]  help  you  at  work/home?   q  What  are  the  top  3  problems  that  you  want  to  prevent,  avoid,  or  solve  today  regarding  [Job-­‐To-­‐Get-­‐Done]?   q  If  you  had  a  dream  Product/Service/Tool,  how  would  it  help  you  at  work/home;  in  life?     Customer/Consumer  (Protagonist)   q  Could  you  tell  me  about  the  results  or  outcomes  that  you  are  trying  to  get  when  you  use  the  [Prototype  or  Proposed   Product/Service/Tool]?     Jobs-­‐To-­‐Get-­‐Done  (Mo8va8on)   q  How  well  is  the  current  process  of  [Job-­‐To-­‐Get-­‐Done]  working  for  you?   q  What  is  preven8ng  you  from  having  an  extremely  delighhul  or  magical  experience  with  [Job-­‐To-­‐Get-­‐Done]?   q  If  you  could  improve  anything  about  the  process  of  [Job-­‐To-­‐Get-­‐Done],  what  would  it  be?   q  What  do  you  normally  do  before/during/aier  [Job-­‐To-­‐Get-­‐Done]?  Where?  At  what  8me?     Value  Proposi6on  Plot  &  Statement   q  How  well,  on  a  scale  of  1  (low)  to  10  (high,)  does  the  following  statement  mo8vate  you  to  take  ac8on  or                [Job-­‐To-­‐Get-­‐Done]:  [Value  Proposi8on  Statement]?  What  can  be  improved?   VPA     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing  
  • 5.            VALUE  PROPOSITION  ACT  (VPA)  CHECKLIST  FOR  “INSIDE  THE  ENTERPRISE/HYPOTHESES”                                                          QuesAons  for  Designing,  Managing,  and  TesAng  a  MagneAc  Value  ProposiAon   4  Categories  of  Ques6ons  for  Designing,  Managing,  and  Tes6ng  a  Magne6c  Value  Proposi6on  (MVP)     Product/Service/Tool  (Prop)   q  What  is  (the  name  and  product  category  of)  the  main  product/service/tool  that  is  (to  be)  offered  to  customers?   q  What  are  func8onali8es  or  capabili8es  of  the  product/service/tool?   q  What  are  key  features  of  the  product/service/tool?   q  What  are  3  important  benefits  that  the  product/service/tool  offers  to  customers?   q  What  are  3  serious  pains  or  problems  encountered  by  customers  when  they  use  the  product/service/tool?     Customer/Consumer  (Protagonist)   q  Who  are  the  target  customers/consumers?   q  How  would  you  describe  the  persona  and/or  demographic  profile  of  the  most  valuable  customer/consumer?   q  What  physical/intellectual/emo8onal/spiritual  problems  are  customers/consumers  trying  to  prevent  or  solve?   q  What  are  important  likes  or  delights  of  the  customer/consumer?   q  What  are  important  dislikes  or  pains  of  the  customer/consumer?     Jobs-­‐To-­‐Get-­‐Done  (Mo8va8on)   q  For  what  events,  goals,  ac8vi8es,  and  tasks  do  customers  use  the  product/service/tool:  physical/intellectual/emoAonal/spiritual?   q  What  is  the  most  important  event,  goal,  ac8vity,  and/or  task  for  which  customers  use  the  product/service/tool?   q  In  what  places,  loca8ons,  or  areas  do  customers  use  the  product/service/tool?   q  When  (during  the  day/week/month/year)  do  customers  use  the  product/service/tool?   q  What  are  typical  obstacles  or  barriers  that  prevent  customers  from  effec8vely  using  the  product/service/tool  or  achieving  their   goals/objec8ves?   q  What  are  evalua8on  criteria  for  Jobs-­‐To-­‐Be-­‐Done  or  desired  outcomes  (or  unacceptable  criteria  for  undesired  outcomes)?     Value  Proposi6on  Plot  &  Statement   q  What  features  of  the  product/service/tool/business  model  are  SIMILAR  to  those  in  the  exis8ng  marketplace?   q  What  features  of  the  product/service/tool/business  model  are  DIFFERENT  from  those  in  the  exis8ng  marketplace?   q  What  is  your  Value  Proposi8on  Statement  (VPS)  for  the  product/service/tool?   q  Are  you  sa8sfied  with  the  effec8veness  of  your  Value  Proposi8on  Statement  (VPS)?   VPA     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing  
  • 6. 4  Types  of  Scenes  (Templates)     For  Collabora6vely  Managing     A  Value  Proposi6on  Act  (VPA)     On     A  Large  Table  or  Wall    
  • 7. PRODUCT/SERVICE/TOOL:  ……………………………………………………………………………………………………………    (PROP)                         -­‐    (PAIN)     +    (DELIGHT)   Product/Service/Tool  Scene       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   Illustra6on/Func6onality/Aaributes/Features  (Physical/Intellectual/Emo8onal/Spiritual)  
  • 8. CUSTOMER/CONSUMER:  …………………………….…………………………………………………………………………………   (PROTAGONIST  -­‐  Empathy  Mapping)                         -­‐    (PAIN)     +    (DELIGHT)   Customer/Consumer  Scene  –  Empathy  Mapping       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   q Hearing   q Thinking  and  Feeling   q Seeing   q Saying  and  Doing   Adapted  from  Xplane’s  “Empathy  Map”  
  • 9. CUSTOMER/CONSUMER:  …………………………….…………………………………………………………………………………   (PROTAGONIST  -­‐  “EAARRR”  Performance  Management)                         -­‐    (PAIN)     +    (DELIGHT)   Customer/Consumer  Scene  –  Performance  Management       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   q Customer   Engagement   q Customer  Acquisi6on   q Customer   Ac6va6on   q Customer  Reten6on/Revenue/Referral   Adapted  from  Dave  McClure’s  Pirate  Metrics  (“AARRR”)  
  • 10. JOB-­‐TO-­‐GET-­‐DONE  (TASK):  ……………………………..……………………………………………………………………………..   (MOTIVATION:  Physical/Intellectual/Emo8onal/Spiritual  Job)                         -­‐    (PAIN)     +    (DELIGHT)   Job-­‐To-­‐Get-­‐Done  (JTGD)  Scene       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   q  Home   q  Office   q  Online  q  Outdoors/Public/Store/Vehicle  
  • 11. JOB-­‐TO-­‐GET-­‐DONE  (TASK):  ……………………………..……………………………………………………………………………..   (MOTIVATION:  Physical/Intellectual/Emo8onal/Spiritual  Job)                         -­‐    (PAIN)     +    (DELIGHT)   Job-­‐To-­‐Get-­‐Done  (JTGD)  Scene       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   q  Home   q  Office   q  Online  q  Outdoors/Public/Store/Vehicle   Eliminate   Reduce   Increase   Create   q  Cost;  Price   q  Complexity;  Confusion   q  Inconvenience;  Inaccessibility   q  Defects;  Mistakes;  Errors   q  Time  (Delay)   q  Environmental  DegradaAon   q  Risk;  Uncertainty;  Worries   q  FrustraAons;  Fear;  Doubt   q  Performance;  FuncAonality   q  Quality   q  Brand/Status/PresAge   q  Novelty/Surprise/AestheAcs/Design   q  InteracAvity;  CustomizaAon   q  Learning/Insights   q  Revenue;  Sales   q  Customer  Engagement/AcquisiAon/RetenAon  
  • 12. VALUE  PROPOSITION  PLOT:  …………………………….…………..………………………………………………………………                         -­‐    (PAIN)     +    (DELIGHT)   Value  Proposi6on  Plot  (VPP)  Scene         #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    ……………………………………………………………………………………….   q  Similarity   q  Differen6a6on  
  • 13. Case  Study   The  Value  Proposi6on  Canvas  (VPC)   As   A  Subset   of   The  Value  Proposi8on  Act  (VPA)    
  • 14.                                                                              The  2  Parts  of  Alexander  Osterwalder’s  Value  Proposi6on  Canvas     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing                
  • 15.  The  2  Scenes  of  Alexander  Osterwalder’s  Value  Proposi6on  Canvas   Only  2  of  the  4  Trade-­‐off  Scenes  (Blocks)  of  the  Value  Proposi8on  Act  are  Covered  on  the  Value  Proposi8on  Canvas   PRODUCT/SERVICE/TOOL   (PROP)         -­‐     +   JOB-­‐TO-­‐GET-­‐DONE   (MOTIVATION:  Help  me/us  …)           -­‐   +     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   For  more  informaAon  on  the  Value  ProposiAon  Canvas,     see  hbp://www.businessmodelgeneraAon.com/downloads/value_proposiAon_canvas.pdf    
  • 16. PRODUCT/SERVICE/TOOL:  Value  Proposi8on  Canvas  (VPC)   (PROP)                         -­‐    (PAIN)     +    (DELIGHT)     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)            Product/Service/Tool  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas     PRODUCT/SERVICE   JOB-­‐TO-­‐BE-­‐DONE   For  more  informaAon  on  the  Value  ProposiAon  Canvas,     see  hbp://www.businessmodelgeneraAon.com/downloads/value_proposiAon_canvas.pdf     Osterwalder’s  Hypotheses  (Assump8ons/Benefits/Value  Factors)   q  Avoid  building  products  that  customers  don’t  want  or  buy   q  Facilitate  design  of  value  proposi8ons  that  match  customer   needs  and  solve  customer  problems   q  Have  be%er  strategic  conversa8ons  about  product-­‐market  fit   q  Be%er  track  and  manage  progress  of  Minimum  Viable  Product   q  Be%er  prepare  for  Customer  Development  Interviews   q  Use  “Plug-­‐in”  to  integrate  tools  of  Business  Model  Genera8on,   Customer  Development,  and  Lean  Startup     Sheet  1  of  3   Illustra6on/Func6onality/Aaributes/Features  (Physical/Intellectual/Emo8onal/Spiritual)   (To  map,  test,  and  decide  on  assump8ons  &  value  proposi8on;  To  achieve  product-­‐market  fit)  
  • 17. PRODUCT/SERVICE/TOOL:  Value  Proposi8on  Canvas  (VPC)   (PROP)                         -­‐    (PAIN)     +    (DELIGHT)     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)            Product/Service/Tool  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas     PRODUCT/SERVICE   JOB-­‐TO-­‐BE-­‐DONE   For  more  informaAon  on  the  Value  ProposiAon  Canvas,     see  hbp://www.businessmodelgeneraAon.com/downloads/value_proposiAon_canvas.pdf     Online  Feedback  from  Delighters   q  “Wow!  Really  impressed  with  the  Value  Prop  approach.   Another  great  tool  to  use  in  conjuncAon  with  business  model   generaAon.  Great  work!”  Kathy  Mast     q  “I  tested  this  out  on  a  friend's  business  when  you  had  just   designed  a  prototype  and  we  loved  the  results…”  Roselida   q  “…  our  new  Designer  helps  to  build  value-­‐proposiAons  not  only   for  customers  but  also  for  partners,  suppliers,  employees,  etc.”   Reiner  Walter     Sheet  2  of  3   Online  Feedback  from  Dissa8sfiers   q  “CreaAng  a  hypothesis  of  what  product/market  fit  looks  like  is   not  achieving  product/market  fit.”  Tristan  Kromer   q  “Frankly,  I  could  not  explain  the  difference  either  [between   Pain  Relievers  and  Gain  Creators].”  Noah  J  Revoy   q  “…  the  quesAons  to  be  asked  in  both  Gain  Creator  and  Pain   Reliever  seem  to  be  the  same.  What's  the  subtle  difference?”   Hugo   Illustra6on/Func6onality/Aaributes/Features  (Physical/Intellectual/Emo8onal/Spiritual)   (To  map,  test,  and  decide  on  assump8ons  &  value  proposi8on;  To  achieve  product-­‐market  fit)  
  • 18. PRODUCT/SERVICE/TOOL:  Value  Proposi8on  Canvas  (VPC)   (PROP)                         -­‐    (PAIN)     +    (DELIGHT)     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)   Illustra6on/Func6onality/Aaributes/Features  (Physical/Intellectual/Emo8onal/Spiritual)   (To  map,  test,  and  decide  on  assump8ons  &  value  proposi8on;  To  achieve  product-­‐market  fit)            Product/Service/Tool  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas     PRODUCT/SERVICE   JOB-­‐TO-­‐BE-­‐DONE   For  more  informaAon  on  the  Value  ProposiAon  Canvas,     see  hbp://www.businessmodelgeneraAon.com/downloads/value_proposiAon_canvas.pdf     Further  Prospects  (Reviewer:  Rod  King)   q  Offers  framework  for  visually  documenAng  and  organizing  the   pain  and  delight  of  a  Product/Service  as  well  as  Job-­‐To-­‐Be-­‐Done   q  Provides  parAal  model  for  tesAng  staAc  fitness  between  Product   and  Jobs-­‐To-­‐Be-­‐Done  (which  differs  from  Product-­‐Market  fit)   q  Provides  a  tool  for  qualitaAvely  tesAng  staAc  assumpAons  of   Product  and  Job-­‐To-­‐Be-­‐Done  (Customer  Requirements)  as  well   as  their  fitness   q  Facilitates  collaboraAve  Value  ProposiAon  Design  &  TesAng   Sheet  3  of  3   Further  Limita8ons  (Reviewer:  Rod  King)   q  No  suggesAon  on  how  to  develop  Value  ProposiAon  Statement   q  Inadequate/Limited  tool  for  achieving  Product-­‐Market  Fit   q  Complex  and  Ame-­‐consuming  to  use  Value  Prop.  Canvas  (VPC)   q  Cluber  &  informaAon  overload  using  disparate  checklists   q  The  template  of  the  VPC  is  not  suitable  for  documenAng,   organizing,  managing,  and  evaluaAng  ideas  away  from  a  wall   q  VPC  weakly  links  to  exisAng  body  of  knowledge  on  Job-­‐To-­‐Be-­‐ Done,  trade-­‐offs,  innovaAon,  strategy,  and  value  proposiAons  
  • 19. JOB-­‐TO-­‐GET-­‐DONE  (TASK/MOTIVATION):  Map,  test,  and  decide  on  assump8ons  &  value   proposi8on;  Achieve  product-­‐market  fit  (BEFORE/DURING/AFTER)                         -­‐    (PAIN)     +    (DELIGHT)   Job-­‐To-­‐Get-­‐Done  (JTGD)  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   q  Home   ü  Office   q  Online  ü  Outdoors/Public/Store/Vehicle   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)   u  Physical  Job   u  Intellectual  Job:  Map,  test,  and  decide  on  value   proposi8on;  Achieve  product-­‐market  fit   u  Emo8onal  (Social)  Job   u  Spiritual  Job   u  Physical  Job   u  Intellectual  Job:  Map,  test,  and  decide  on  value   proposi8on;  Achieve  product-­‐market  fit   u  Emo8onal  (Social)  Job   u  Spiritual  Job   Eliminate   Reduce   Increase   Create   q  Cost;  Price   q  Complexity;  Confusion   q  Inconvenience;  Inaccessibility   q  Defects;  Mistakes;  Errors   q  Time  (Delay)   q  Environmental  DegradaAon   q  Risk;  Uncertainty;  Worries   q  FrustraAons;  Fear;  Doubt   q  Performance;  FuncAonality   q  Quality   q  Brand/Status/PresAge   q  Novelty/Surprise/AestheAcs/Design   q  InteracAvity;  CustomizaAon   q  Learning/Insights   q  Revenue;  Sales   q  Customer  Engagement/AcquisiAon/RetenAon  
  • 20.  The  2  MISSING  Scenes  from  Alexander  Osterwalder’s  Value  Proposi6on  Canvas   Customer/Consumer  Scene  &  Value  Proposi8on  Plot  (VPP)  Scene     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   CUSTOMER/CONSUMER   (PROTAGONIST)         -­‐   +     VALUE  PROPOSITION  PLOT   Similarity:  ………………………….…..………   DifferenAaAon:  …..……………………………   WHY  (ACT/BUY,  NOW)?  
  • 21. CUSTOMER/CONSUMER:  Users  of  the  Value  Proposi8on  Canvas/Business  Model  Canvas   (PROTAGONIST  -­‐  “EAARRR”  Performance  Management)                         -­‐    (PAIN)     +    (DELIGHT)   Customer/Consumer  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas       #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)   q Customer   Engagement   q Customer  Acquisi6on   q Customer   Ac6va6on   q Customer  Reten6on/Revenue/Referral  
  • 22. VALUE  PROPOSITION  PLOT:    “Achieve  Product-­‐Market  Fit  With  Brand  New  Value  Proposi8on            Designer  Canvas”                         -­‐    (PAIN)     +    (DELIGHT)   Value  Proposi6on  Plot  (VPP)  Scene  for  Alexander  Osterwalder’s  Value  Proposi6on  Canvas         #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   Industry/Market/Niche/Arena/Zone:    Business  Design  and  Management  Tools  (Startups)   Plug-­‐in  for   u Business  Model  Canvas     u   Lean  Canvas  (Ash  Maurya)   “There  is  no  prac(cal  tool  that  helps  business  people  map,  think   through,  discuss,  test,  and  pivot  their  company’s  value  proposi(on  in   relaAonship  to  their  customers’  needs.”     Alexander  Osterwalder     “Ash  re-­‐purposed  our  Business  Model  Canvas  to  focus  on  products.   Conceptually,  I  feel  that  Ash's  adapta(on  leaves  us  with  something   between  business  models  and  products  and  thus  does  neither  job   well.  Personally,  I  prefer  having  a  tool  for  each,  because  they  are   totally  different,  yet  related  jobs  (designing  your  BM  Model  vs.   designing  your  VP).”     Alexander  Osterwalder     ü  Similarity   ü  Differen6a6on  
  • 23.                                      1-­‐Minute  Value  Proposi6on  Act  (VPA):  A  Universal  Decision-­‐making  Template                                              A  Be%er  Way  to  Understand  and  Predict  Customers’  Adop8on,  Hiring,  and  Buying  Decisions   PRODUCT/SERVICE/TOOL   (PROP)         -­‐     +   CUSTOMER/CONSUMER   (PROTAGONIST)         -­‐   +     JOB-­‐TO-­‐GET-­‐DONE   (MOTIVATION:  Help  me/us  …)           -­‐   +   VALUE  PROPOSITION  PLOT   Similarity:  ………………………….…..………   DifferenAaAon:  …..……………………………   WHY  (ACT/BUY,  NOW)?     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   VPA   Key   -­‐      PAIN:  “undesirable”  impact     +    DELIGHT:  “desirable”  impact                                :  Informa8on  flow                
  • 24.                                                                                          The  4  Parts  of  the  1-­‐Minute  Value  Proposi6on  Act  (VPA)                                                          A  Be%er  Way  to  Understand  and  Predict  Customers’  Adop8on,  Hiring,  and  Buying  Decisions     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing   VALUE  PROPOSITION  PLOT   (STATEMENT)   PRODUCT/SERVICE/TOOL   JOB-­‐TO-­‐GET-­‐DONE   CUSTOMER/CONSUMER   VPA  
  • 25. ENVIRONMENT     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hap://businessmodels.ning.com  &  hap://twiaer.com/RodKuhnKing   BUSINESS  MODEL   (STORY)   VALUE  CREATION  ACT   VALUE  SHARING  ACT   VALUE  PROPOSITION  ACT   1 3 2 The  Global  Business  Model  (GBM)  Story   A  Fun,  Fractal,  and  Holis8c  Template  for  Visualizing  the  3  Acts  of  a  Business  Model  
  • 26. Acknowledgement   The  Value  Proposi8on  Act  (VPA)  is  a  unique  synthesis  of  the  best  ideas  for  designing,  managing,  and  tes8ng  customer  value  proposi6ons.   The  VPA  mainly  draws  from  the  ideas,  frameworks,  and  tools  of  the  following  authors:     q  Peter  Drucker:  Marke6ng  and  Innova6on  as  the  Two  Basic  Func6ons  of  an  Enterprise     q  Michael  Porter:  Value  Proposi6on  Triangle  of  “Customers-­‐Needs-­‐Price”;  Trade-­‐off;  3  Generic  Strategies;  Shared  Value   q  Clayton  Christensen:  Job-­‐To-­‐Be-­‐Done;  Disrup6ve  Innova6on   q  Anthony  Ulwick:  Outcome  Driven  Innova6on;  Job-­‐To-­‐Be-­‐Done     q  W.  Chan  Kim  &  Renee  Mauborgne:  Blue  Ocean  Strategy;  Strategy  Canvas;  Value  Factors;  Value  Curve;  4  Ac6ons  Grid   q  James  Anderson  &  Wouter  Van  Rossum:  Point  of  Parity  &  Point  of  Difference   q  Alexander  Osterwalder:  Value  Proposi6on  Canvas  &  Business  Model  Canvas   q  XPlane:  Empathy  Map   q  Eric  Ries:  Lean  Startup  (Problem-­‐Solu8on  Fit;  Market-­‐Product  Fit);  Steve  Blank:  Customer  Development  (“Get  Out  Of  Building”);                      Dave  McClure:  Pirate  Metrics  (“AARRR”)   q  Neil  Borden’s  Marke6ng  Mix  &  E.  J.  McCarthy’s  4Ps  of  Marke6ng   q  Simon  Sinek:  Golden  Circle  &  Start  With  Why     q  Genrich  Altshuller:  Theory  of  Inven6ve  Problem  Solving  (“TRIZ”)  Especially  Contradic6ons;  Contradic6on  Matrix;                        Mul6screen  Diagram;  Substance-­‐Field  Analysis;  Ideal  Final  Result;  Evolu6onary  Paaerns     q  Eli  Goldraa:  Theory  of  Constraints  Especially  Undesirable  and  Desirable  Effects;  Weakest  Link  in  Chain     #VPGen.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  h%p://businessmodels.ning.com  &  h%p://twi%er.com/RodKuhnKing  
  • 27. For  Addi8onal  Informa8on  on  the  1-­‐Minute  Value  Proposi8on  Act,   See  the  Following  Presenta6ons:     h%p://www.slideshare.net/RodKing/1-­‐minute-­‐value-­‐proposi8on-­‐act-­‐value-­‐proposi8on-­‐canvas-­‐rodking       and     h%p://www.slideshare.net/RodKing/1minute-­‐value-­‐propos