Customer Development Methodology
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Customer Development Methodology
- 1. The Customer Development Methodology Steve Blank [email_address]
- 3. Product Development Model Concept/ Seed Round Product Dev. Alpha/Beta Test Launch/ 1 st Ship
- 11. Build a Customer Development Process Customer Development ? ? ? ? Concept/ Seed Round Product Dev. Alpha/Beta Test Launch/ 1 st Ship Product Development
- 12. Customer Development is as important as Product Development Company Building Customer Development Customer Discovery Product Development Customer Validation Customer Creation Concept/ Bus. Plan Product Dev. Alpha/Beta Test Launch/ 1 st Ship
- 17. Sidebar How to Think About Opportunities
- 21. End of Sidebar
- 24. Sidebar Customer Development Engineering And Agile Development Methodologies
- 26. Problem: known Waterfall Unit of progress: Advance to Next Stage
- 27. Problem: known Waterfall Unit of progress: Advance to Next Stage Solution: known
- 28. Problem: known Solution: known Waterfall Unit of progress: Advance to Next Stage
- 30. Problem: known Agile (XP) “ Product Owner” or in-house customer Unit of progress: Working Software, Features
- 31. Problem: known Solution: unknown Agile (XP) “ Product Owner” or in-house customer Unit of progress: Working Software, Features
- 32. Problem: known Solution: unknown Agile (XP) “ Product Owner” or in-house customer Unit of progress: Working Software, Features
- 33. Problem: unknown Customer Development Engineering Unit of progress: Learning about Customers Hypotheses, experiments, insights
- 34. Problem: unknown Solution: unknown Customer Development Engineering Unit of progress: Learning about Customers Hypotheses, experiments, insights
- 35. Problem: unknown Solution: unknown Customer Development Engineering Unit of progress: Learning about Customers Hypotheses, experiments, insights
- 36. Problem: unknown Solution: unknown Customer Development Engineering Unit of progress: Learning about Customers Hypotheses, experiments, insights Data, feedback, insights
- 37. Problem: unknown Solution: unknown Customer Development Engineering Unit of progress: Learning about Customers Hypotheses, experiments, insights Data, feedback, insights Incremental, quick, minimum features, revenue/customer validation
- 42. End of Sidebar
- 46. Three Types of Markets New Market Resegmented Market Existing Market
- 59. A Plethora of Opportunities
- 61. Market Risk vs. Invention Risk
- 63. Execution: Lots to Worry About
- 65. Execution: Very Different by Vertical
- 66. Market Risk Reduction Strategy
- 67. Customer Development and the Business Plan
- 69. Business Plan Becomes the Funding Slides Fire Founders Concept Business Plan Seed or Series A Execute
- 72. “Lessons Learned” Drives Funding Concept Business Plan Lessons Learned Series A Do this first instead of fund raising Test Hypotheses
- 76. Further Reading Course Text at: www.cafepress.com/kandsranch or www.amazon.com
Notas del editor
- Steve Blank has an additional screen for opportunity – the “Type of Market” Three types of markets Each with a radically different set of needs Palm in 1995 created a “New Market” Handspring in 2000 with the exact same product, entered an “Existing Market Microsoft with the Pocket PC, is attempting to “Resegment” the Market Why does this matter in weighing and assessing opportunity?
- Steve Blank has an additional screen for opportunity – the “Type of Market” Three types of markets Each with a radically different set of needs Palm in 1995 created a “New Market” Handspring in 2000 with the exact same product, entered an “Existing Market Microsoft with the Pocket PC, is attempting to “Resegment” the Market Why does this matter in weighing and assessing opportunity?
- Each “type of market” is radically different Different ways to size the market opportunity Different sales costs Different demand creation costs Different time to liquidity Very different capital requirements And as we’ll see market type choices radically effect the Customer Development process.
- In looking at how companies succeed and fail, their success tends to be organized around groupings of customers and markets. More importantly it is how these groupings of customers view their needs and how your new product satisfies those needs
- - Entering an existing market means you are targeting demanding high-end customers with better performance than what was previously available.
- - When threatened at the low-end existing companies are wired to go “up market.” Existing companies are almost never motivated to defend a low-end market. They tend to ignore them. For this strategy to work the low-end innovation needs to be disruptive to all the incumbent existing companies. The startup must continue to innovate up market. This is the reason Dell is profitable and Gateway is an also-ran. Think of low-end as a market entry not an end goal.
- For this strategy to work the low-end innovation needs to be disruptive to all the incumbent existing companies.
- A New Market is competing against non consumption. For this strategy to work the low-end innovation needs to be disruptive to all the incumbent existing companies.
- Why Do You Work Here? Why Did We Hire You? How Are You Managed? Star System Work Potential Professional Engineering Work Skills Peers/Culture Commitment Love Fit Peers/Culture Bureaucracy Work Skills Formal Autocracy Money Skills Direct James N. Baron Stanford Graduate School of Business