Customer development and disruption

3. Customer Development
NPD, Design, CX,
Commercialisation
Product, Service Customer
User’ Problem

7. Customer Development
NPD, Design, CX,
Commercialisation
Product, Service Customer
User’ Problem

9. How to make money
MONEY
What its product is
PRODUCT
Who its customers are
CUSTOMER
A startup is a
company that
is confused
about:
Dave McClure, 500 Startups

10. 9/10 startups fail
products

11. PROBLEM IS NOT WORTH SOLVING
SOLUTION IS NOT SOLVING THE
PROBLEM
NO VALUE CREATION FOR A
CUSTOMER
Failure reasons
Source: Omar Mohout, 2015

14. Most firms are not and that undermines their innovation efforts…
Indeed, when developing new products, processes, or even
businesses, most companies aren’t sufficiently rigorous in
defining the problems they’re attempting to solve. Without that
rigor, organizations miss opportunities, waste resources, and
end up pursuing innovation initiatives that aren’t aligned with
their strategies.
“IF I WERE GIVEN ONE HOUR TO SAVE THE
PLANET, I WOULD SPEND 59 MINUTES
DEFINING THE PROBLEM AND ONE MINUTE
RESOLVING IT”

15. IS IT A PROBLEM/ PASSION THAT
MANY OTHERS HAVE?
IS THIS PROBLEM SERIOUS
ENOUGH AND WORTH SOLVING?
HOW OFTEN THE PROBLEM
OCCURS?
B2B – a problem or pain
B2C – a need

17. FREQUENCY
Low
PAIN
High
High
1
2
3
1 = not enough business
2 = strong pain, demand, business
3 = no money from customers

18. Source: Omar Mohout, 2015

19. Source: Omar Mohout, 2015

22. DEMOGRAPHICS
BEHAVIORS
APPEARANCE
NEEDS
INFLUENCERS
BAYER PERSONA
CONTENT
BUYING PROCESS
B2C B2B

24. UNIQUENESS OF YOUR SOLUTION?
EASY OR COMPLEX SOLUTION?
SOLUTION IS SUSTAINABLE?
SOLUTION IS EASY TO PROTECT?

28. 1

29. 1
2

30. 1
2
3

31. Source: Omar Mohout, 2015

32. Source: Omar Mohout, 2015

33. 2015 2018 2021
Ericsson 2015. monthly ExaBytes

34. Source: Goldman Sachs, 2016

38. MARKET10X
Risk / Innovation
Tesla-
fication
TECHNOLOGY10X
Risk/Innovation
“ZERO”Risk
-Customer
lock-in
-Cashcow
AVERAGE Market Risk
- Sci-Fi tech already built
- Market mistrust
- Long evangelization
Uber-
ization
LOW TECH RISK
- Market is ready
- Generic tech platform
- CX & Design
Disruption
- 10X technology
- 10X market
(transformation)

47. 1

49. 1
2

53. 1
2
3

54. 1,000 ENTERPRISE CUSTOMERS PAYING YOU
$100K+ PER YEAR EACH; OR
10,000 MEDIUM-SIZED COMPANIES PAYING YOU
$10K+ PER YEAR EACH; OR
100,000 SMALL BUSINESSES PAYING YOU $1K+
PER YEAR EACH; OR
1 MILLION CONSUMERS PAYING YOU $100+ PER
YEAR EACH
10 MILLION ACTIVE CONSUMERS WHO YOU
MONETIZE AT $10+ PER YEAR

55. CONCLUSION
Innovation is a product commercialization in a market place. Instead of product development
organize customer development first (experiments). Discover a unique customer problem,
pain or a need. Use data to drive insights. Search for a evidence of a problem. Aim to create
a 10X solution.