Market sensing comes before everything else. Decisions should be informed by data. With regards to product development and getting a new product to market, a user’s story can be incredibly helpful. Below are some of the major factors that can hurt product development efforts.
Customer-Fit With Segment
Will people choose your product based on price rather than functionality? How does compatibility (product, experience, business model) change segmentation?
Is there cross elasticity of demand?
What are the user switching costs? Product replacement or product extension?
Scott Ings, Bunker Labs mentor and VP of Product Management at Applied Predictive Technologies, addresses these questions head-on every day. Ings believes the best way to determine a customer’s needs through product development is by talking to users and understanding their common generalizable problems. It’s also important to tie it back to the specific examples of those problems. This enables you to develop quick, incremental milestones where you can get a product out there, receive feedback and translate that information into what the key problem is you are trying to solve.
Failure to understand the problem you’re trying to solve can really hinder the success of your business. Products pivot, but problems don’t. Watch my interview with Ings in the video below.