Kano analysis review and discussion with agile austin product sig 2014

1. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) KANO ANALYSIS Agile Austin Product SIG 2014.05.20 Scott Sehlhorst, Tyner Blain 1

2. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) About Scott 2 Product management & strategy consultant 8 Years electromechanical design engineering IBM, Texas Instruments, Eaton 7 Years software development & requirements > 20 clients in Telecom, Computer HW, Heavy Eq., Consumer Durables 9 Years product management consulting >20 clients in B2B, B2C, B2B2C, ecommerce, global, mobile Agile since 2001 Started Tyner Blain in 2005 Helping companies Build the right thing, right

3. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Agenda • Kano’s Roots – Where Kano Started – How Kano Works • Kano for Product Managers – How We Can Use Kano 3

4. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Why Does Kano Exist? • Professor Noriaki Kano Developed the Model • Created As Framework to Analyze Features – Insights Into Customer Satisfaction – Make Informed Design Decisions (Tradeoffs) 4

5. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Intro to Kano • A Model for Classification – Must Be / Must Not Be – Indifference – More Is Better – Customer Delight 5

6. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Must Be • Threshold Capability • Table Stakes 6

7. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Indifference • Nonplussed 7

8. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) More Is Better • Marginal Utility 8

9. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Customer Delight • Exciters 9

10. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Kano Model • Must Be • Indifference • More Is Better • Customer Delight 10

11. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Kano for Product Management • A Feature Focus is Backwards • …But Kano Can Be Used to Understand your Market Problems 11

12. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) How Product Managers Can Use Kano • Apply it To Understanding Market Needs – How do Personas Perceive Problems? – How is Your Competition Engaging? 12

13. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Must Be • External Forces • Boolean Criteria for Go-To-Market – Compliance W/ Regulations, Laws, Policies – Acceptance Criteria – Security – Integration W/ Other Applications 13

14. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Must Be • Internal Choices • Market Strategy – Must Provide Solution to Problem X – Must Match Capability of Competitor Y – Must Satisfy Buyer Perception Z 14

15. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Indifference • Solutions to Non-Valuable Problems – Might Be Valuable to Someone, Just Not Your Target Personas • May Be Innovative, But Also Irrelevant 15

16. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) More Is Better • Cell Phone Talk Time • More Relevant Search Results • Fuel Efficiency 16

17. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Realistic More Is Better • Diminishing Returns – More More Is Less Better 17

18. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Extreme More Is Better • Incremental Improvement Until Tipping Point – Enough More Redefines Market 18

19. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Extreme More Is Better • Extremely Favorable (Low) Pricing – Market Disrupting • Normal Pricing – More favorable pricing is Better • Extremely Unfavorable (High) Pricing – Must (Not) Be For A Given Market 19

20. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Customer Delight • Blue Ocean Hook – Find An Unsolved Problem and Delight Customers With Solution 20

21. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) But Which Customer Is Delighted? 21 0 1 2 3 4 5 6 7 8 9 10 Single Parent Housekeeper Office Cleaner Kid (Doing Chores) Homeowner Retiree Physically Easy to Use

22. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Markets Evolve 22

26. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Market Strategy • Understand Your Personas (User and Buyer) – Who Cares About This Problem? – How Do They View This Problem? • Understand Your Competitors – How Do Their Solutions Compare? – How Should We Approach This Problem? • Market Disruption – Where are Customer Delight Opportunities? 26

27. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Recipe for Using Kano • Create ‘Blue Ocean’ Map of What Target Personas Care About • Classify Those Problems • Plot Competitive Offering • Plot Your Current Solution • Identify Desired Plot (Strategy, Priority) • Gaps Inform Product Roadmap 27

28. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Thanks Very Much! • Any Questions? • Scott Sehlhorst, Tyner Blain • http://tynerblain.com/blog/ • @sehlhorst 28

29. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) References Where Kano Came From http://en.wikipedia.org/wiki/Kano_model http://www.isixsigma.com/dictionary/Kano_Analysis-263.htm Kano and Prioritization http://tynerblain.com/blog/2006/02/27/prioritizing-software-requirements-kano-take-two/ http://www.pragmaticmarketing.com/publications/magazine/4/3/0605ss http://tynerblain.com/blog/2006/04/06/epicenter-software-design-37signals-applies-kano/ 29

30. 2014.05.20. Agile Austin Product SIG: Kano Analysis Scott Sehlhorst, Tyner Blain (http://tynerblain.com/blog/) Customer Delight Disrupts the Market • Amazon Kindle – ‘On Demand’ Ordering – Read on Many Devices • Customer Delight Opportunities for Amazon • Became Must Be Problems for their Competition 30