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Concept Generation

Idea and Concept
• Product Idea:
– idea for a possible product that the company can see itself offering.

• Product Concept:
– detailed version of the idea stated in meaningful consumer terms.

Product Concept
• • • • A concept includes: a specific product form (the attributes) a specific technology (the source of the form) a specific benefit for a particular usage situation

Required Creation Process Inputs
• Form
– the physical thing created, or the set of steps by which the service will be created

• Technology
– the source by which the form is to be attained

• Benefit/Need
– benefit to the customer for which the customer sees a need or desire
Technology permits us to develop a form that provides the benefit.

New Product Concepts and the New Product Need C “C”= Concepts C Form C Technology New Product .

” • Form: “We should make a darker. maybe we can use that for decaffeinating espresso coffee.” • Technology: “There’s a new chemical extraction process that isolates and separates chemicals from foods.” Why would each of these taken individually not be a product concept? .The Designer Decaf Example • Benefit: “Consumers want decaffeinated espresso that tastes identical to regular. thicker. Turkish-coffee-like espresso.

” “A new way to solve the in-home training/educational needs of PC users.What a Concept Is and Is Not “Learning needs of computer users can be met by using online systems to let them see training videos on the leading software packages.” .” “Let’s develop a new line of instructional videos.

What a Concept Is and Is Not “Learning needs of computer users can be met by using online systems to let them see training videos on the leading software packages. actually more like a wish) “Let’s develop a new line of instructional videos. need and technology clear) “A new way to solve the in-home training/educational needs of PC users. lacking market need and form) .” (need only.” (technology only.” (good concept.

Methods for Generating Product Concepts  Two Broad Categories of Methods: – Gathering Ready-Made Product Concepts – Using a Managed Process Run by the New Products Team .

engineering. design Marketing and manufacturing Lead Users • Customer/ End Users – • • • • Resellers. Suppliers.) Idea exploration firms and consulting engineers . Vendors Competitors The Invention Industry (investors. etc.Best Sources of Ready-Made New Product Concepts • New Products Employees – – Technical: R&D.

Best Sources of Ready-Made New Product Concepts (continued) • Miscellaneous Categories – – – – – – – – – – – – Consultants Advertising agencies Marketing research firms Retired product specialists Industrial designers Other manufacturers Universities Research laboratories Governments Printed sources International Internet .

Customer Needs Analysis Voice of Customer .1.

Identifying Customer Needs • Goals – Ensure product is focused on customer needs – Identify both explicit and latent/hidden needs – Provide fact base for justifying product specifications – Create archival record of the needs activity – Ensure no critical customer need overlooked – Team understands customer needs .

Organize needs into a hierarchy (primary. secondary.Identifying Customer Needs The 5 step process: 1. Gather raw data from customers 2. Establish relative importance of each need 5.) 4. Interpret raw data in terms of customer needs 3. Reflect on the results and the process . etc.

Focus groups 2. Lead Users .Identifying Customer Needs I. Interviews b. Gather raw data from customers Verbatim a. Empathic (observation) 3. 1.

Depth Interviews .

feelings.What is an In-depth Interview? A conversation on a given topic between a respondent and an interviewer • Used to obtain detailed insights and personal thoughts • Flexible and unstructured. beliefs • Lasts about an hour • Interviewer creates relaxed. open environment • Wording of questions and order are determined by flow of conversation • Interview transcripts are analyzed for themes and connections between themes . but usually with an interview guide • Purpose: to probe informants’ motivations.

1. Depth Interview Example: Wide Seats in an Airplane I: “Why do you like wide seats in an airplane?” R: “It makes me comfortable.” I: “Why is important that you can accomplish more?” R: “I feel good about myself.” I: “Why is it important to be comfortable?” R: “I can accomplish more.” Implication: Wide seats may relate to self-esteem! .

Advantages – Tendency to have a freer exchange – Can probe potentially complex motivations and behavior – Easier to attach a particular response to a respondent Disadvantages – Qualified interviewers are expensive – Length and expense of interview often leads to small sample – Subjectivity and “fuzziness” .

Focus Group .

Focus Group A group of people who discuss a subject under the direction of a moderator. Focus groups are used to: • • • • • Spot source of marketing problem Spark new product ideas Develop questionnaires for quantitative research Identify new advertising themes Diagnose competitors’ strengths and weaknesses .

and their emotional involvement with it .Focus Group Research Overview  The goal of focus group research is to learn and understand what people have to say and why  The emphasis is on getting people to talk at length and in detail about the subject at hand  The intent is to find out how they feel about a product. or organization. concept. idea. how it fits into their lives.

chain reaction to comment by one individual.participants may get ideas on the spot and discuss interaction excites people. • Stimulation . . • Snowballing .together.Benefits of Focus Group Research • Synergy . • Spontaneity/serendipity . the group can provide more insights than insights obtained individually.

Moderator Guide 3. Define objectives of study 2.Steps 1. Analyze and report results to decision makers Results can be misleading if the focus group is not conducted properly. Conduct Session with a moderator 5. Develop questions for discussion . . Recruit participants 4.Focus Group Research .

Focus Group Issues (1 of 2) • How many people in a focus group? • What type of people should be recruited? • Should participants be … – Knowledgeable? – Diverse? – Representative? .

Focus Group Issues (2 of 2) • How should participants be recruited? • Should they be given monetary incentives? • Where should the focus group be held? • How much interaction among participants? • What is the role and qualification of the moderator? • How to write the moderator guide? • Should management observe the focus group? • How should the report be written? .

com .Trends in Focus Group Research • Telephone Focus Groups – Focus groups that are conducted via conference calling. • On-line focus groups – Focus groups that are conducted through internet (Chat rooms) . • Videoconference Focus Groups – Staffers can watch focus groups via videoconferencing and avoid the costs of travel.greenfieldonline.http://www.

• Types of insights (unexpected success and failure) – – – – – Triggers of Use (what? why? ) Coping strategies with unarticulated user needs (how?) New usage situations (what’s new?) Customization (when.Empathic Design (observation) • Because users may be unable to articulate their needs. where. this technique focuses on observations of customer behavior and workarounds to develop a deep understanding the user’s environment. who?) Intangible Attributes .

5 Steps in Empathic Design 1. Capture the Data – Less focus on words/text. more on visual. auditory. Observation – Who should be observed? – Who should do the observing? – What behavior should be observed? 2. . and other sensory cues – Via photos. etc.

Reflection and Analysis – Identify all customers’ possible problems and solutions 4. Develop prototypes of solutions – Tangible representation or role play/simulation of ideas . Brainstorm for Solutions – Transform observations into ideas 5.) 3.5 Steps in Empathic Design (Cont.

Inability to measure attitudes. . .EMPATHIC (OBSERVATION) VS. USER ARTICULATION (INQUIRY) Strengths .Technique relies upon welltrained observers who can convert observations to innovative solutions. . . Empathic (Observation) User Articulation (Inquiry) .Innovation possible beyond what users are able to tell you. Weaknesses .Interview/interaction process may bias response. .Easy to acquire information. .Users may be unable to articulate needs (e.g unnoticed workarounds).Technique relies upon real actions.Information can be acquired on attitudes and reasoning from users.

Have new product or service needs that will be general to the marketplace. Expect to benefit significantly by finding a solution to those needs • . but they face them months or years before the bulk of the market 2. Lead Users 1.Lead Users • Lead User innovations form the basis for new products and service of value to manufacturers.

• Their needs may be more extreme than typical customers – Ex: auto racers and military’s combat fighters need for better brakes • They stand to benefit substantially by obtaining solutions to their needs sooner rather than later • They struggle with the inadequacies of existing products tend to innovate their own solutions to their needs .Lead Users • Some customers face needs before a majority of the market place.

Identify important trend – Via standard environmental scanning – 3M identified trend of detecting small features via medical imaging. and high-resolution images . which required higher-quality.Steps in Lead User Research 1.

networking with experts. who had developed imaging innovations to meet their needs • Networking to other fields in pattern recognition (the military) and semiconductors . surveys.Steps in Lead User Research 2. Identify and question lead users – Personal contacts with customers. empathic design – Respect possible sensitivity of information – Ex: • 3M identified radiologists working on most challenging medical problems.

Steps in Lead User Research 3. Assess how well lead user data and experiences apply to more typical users – Gather market research from typical users The possibility of extrapolation . and pattern recognition developed ideas 4. Develop the breakthrough product(s) – Host a workshop for experts and lead users to brainstorm – Ex: medical imaging. experts in high-resolution imaging.

Benefits of the Lead User Process • New insights from gathering and using information in new ways • Cross-functional in nature • Identifying and capturing the innovation sources earlier than competitors (appropriability) • Collaboration with innovative customers • Requires corporate support. time. . skilled teams.

Adopter Categorization on the Basis of Innovativeness • Lead users are not the same as “early adopters” .

Interpret raw data in terms of customer needs – – – – – Express need as “what”. phrasing Express the need as an attribute to the product or User Avoid the words must and should . not “how” • Identify the benefit and not the function Express the need as specifically as the raw data Use positive.Identifying Customer Needs 2. not negative.

etc.” Interpreted Needs “The tool is comfortable.” .” “The tool can peel.Designing a Kitchen Tool Customer Comment “It hurts my hand. cut.” “It is not very attractive.” “The tool looks stylish. gouge.” “It only does one thing.

The product has good cord management.” “I don’t like having the cord stretched all over the counter. The product keeps itself and the area around it clean. with clean lines.” ”I hate it when it drips if I pull out the pot or the filter. The product makes good coffee. . The product heats and keeps water at the appropriate temperature.Designing a CoffeeMaking Machine Verbatim Needs “I would like it to remind me of an English butler.” “I just want a good tasting cup of Joe.” Interpreted Needs The product is elegant and unassuming.

The screwdriver operates normally in the rain. The screwdriver is rugged.” “I’d like to charge my battery from my cigarette lighter. The screwdriver operates normally after repeated dropping. The screwdriver is not disabled by the rain. . The screwdriver should provide an indication of the energy level of the battery. The screwdriver battery is protected from accidental shorting.” An automobile cigarette lighter adapter can charge the screwdriver battery. The screwdriver provides an indication of the energy level of the battery.Five Guidelines for Writing Needs Statements Guideline Customer Statement “Why don’t you put protective shields around the battery contacts?” Need Statement: Wrong Need Statement: Right The screwdriver battery contacts are covered by a plastic sliding door.” Positive Not Negative Attribute of the Product Avoid “Must” and “Should “It doesn’t matter if it’s raining. What Not How Specificity “I drop my screwdriver all the time.” “I hate it when I don’t know how much juice is left in the batteries of my cordless tools. The screwdriver battery can be charged from an automobile cigarette lighter. I still need to work outside on Saturdays.

don’t write • Show “data” to people who didn’t observe firsthand and discuss observations • Brainstorm for solutions .use video or still pictures.Translating Observations into Interpreted Needs (Empathic Design) • Observation • Capture “data” .

Organize needs into a hierarchy (one method) • • • • • • Print each need on separate card/post-it Eliminate redundant statements Group cards according to similar needs met Choose a label for each group Create supergroups (2 to 5 groups) where possible Review / edit the organized need statements .Identifying Customer Needs 3.

Identifying Customer Needs 4. Establish relative importance of each need • Develop a weighting system for customer needs: – Rely on consensus of the team based on their experience with customers Use further customer surveys Or – .

”) – M = Must Haves (“I won’t buy without!”) – D = Delighters (“What an unexpected treat!”) .”) – N = Neutral/Indifferent (“No big deal.Prioritizing Interpreted Needs • Kano Classification (one approach) – L = Linear Satisfiers (“The more the merrier.

Kano Diagram for Customer Satisfaction Delighted Performance Wants (revealed) Customer Satisfaction Exciters – “wow” (unspoken) Absent Fully Implemented Basic Expectations (unspoken) Disgusted Product Function .

Reflect on the results and the process – – – – Are results consistent with results of team’s interaction with the customers? Have all important types of customers in target market been interacted with? What do we know that we didn’t know when we started? Any surprises? How can we improve the process? .Identifying Customer Needs 5.