3. Many innovation projects fail – why?
• Problem in product development?
• Problem to attract customers?
• Match customer needs and create new
business
– “Customer development” harder than “Product
development”
4. Unknown need and solution
• You fail in 98% of the cases
• But late
Concept Finance Dev. Test Launch
• Stay focused, execute the business plan, etc.
5. Unknown need and solution
• First market, then product
• Invest few resources, fail early
• Learning through iterations
Concept Finance Dev. Test Launch
• Patent and NDA
6. • Paul Ahlstrom: “If you have an idea, don’t
build anything.”
• Steve Blank: “Get the hell out of the building.”
• Randy Komisar: “Getting to Plan B.”
7. Before you start developing
• Customer hypothesis
• Henry Ford: “If I had asked people what they wanted, they
would have said faster horses”
• Test hypotheses as early as possible
• Identify “customer pain” and your solution
with customer
• Build a “minimal viable product”
8. Unique product
• It is probably not unique
• “Nobody walks in here with a new idea. I’ve
seen all ideas 10 times.”
• “For every decent idea there are 30-40 guys
working on it.”
• Why is a unique product good?
• Product only one piece of the business model
• Scalable and repeatable business model
11. What to do?
• Formulate hypotheses of customer pains and
solutions part of everybody’s day to day work
• Most resources to test customer hypotheses
on the market (learning)
• Fewer resources spent on development of a
minimal viable product (much spent later)
• Think business model, not product only
• Promote iterative work and learning, not
delivering what you thought initially
