L5, Target market & user identification Flashcards Preview

Product planning > L5, Target market & user identification > Flashcards

Flashcards in L5, Target market & user identification Deck (44)
Loading flashcards...

Explain and differentiate between the meaning of key terms such as customer, user and consumer!



Explain and differentiate between the meaning of key terms such as need, want, demand and engineering requirements!



Explain what is meant by market segmentation and describe aspects by which a market can be segmented



What methods can you use to get to know the company and its context?

1. PEST analysis
2. Business model canvas
3. SWOT analysis


What can you do to learn about competitors?



What can you do to learn about B2B customers?

Customer needs study


What can you do to get to learn about customers?

Market identification


What is the end result of identifying customer needs?

A customer needs list including:

1. articulated as well as latent needs
2. All critical needs are identified
3. Basis for stating technical requirements
4. common understanding in the team
5. documentation


what is a customer?

1. The individual or organisation that PURCHASES the product
2. the same as client, buyer, purchaser etc.


What is a user?

1. The human being involved in a USE activity
2. The same as end-user and primary user


Har is a secondary user?

e.g. the person who is to repair ot maintain the product


what is a lead user?

1. A person who experience a new product ahead of others
2. Stand to benefit greatly from. the new product
3. often have useful ideas to share
4. can articulate their needs better than the average user


facts about lead users and innovation?

— A user that develop the solution that they need by themselves

— Even if the lead user themselves innovate the actual product they might trigger the product development of the innovation

— About 30% of the 30 top innovations from the last 25 years have been lead user initiated


what are extreme users?

1. users who use the product in special environments
2. Have individual circumstances that require them to have an adapted product

3. Extreme users special needs may reflect latent needs of mainstream users.


what is a consumer?

1. one that consumes
2. Person that acquires goods or services for direct use or ownership rather than for resale or use in production or manufacturing


What is a stakeholder?

1. A person, group or organization that has interest or concern in a situation

2. someone who is involved or affected by the course of action

e.g. investors, employees, suppliers, customers, society, community


name som definitions of "need"!

"A lack of something necessary for survival and well-being"

1. "Statement and phrases, stated in the customer's own words that enable the design team to focus on delivering the benefits of the customer wants"

2. "the gap between existing situation and the desired situation"

3. "Any attribute of a potential product that is desired by it's customers"


what is a want?

the forms taken by human needs as they are shaped by culture and individual personality


what is a demand?

wants when backed by buying power


what is a customer/user requirement?

1. the customer/user's own formulation of requirements, usch as, "easy", "fast", "natural",

2. user requirements are those requirements which the user has for the product in use


what is a technical requirement?

1. the desired properties of a technical product, service or system.

2. statements that in a clear concise and ambiguous way describe the significant aspects of the future product

3. the customer/user requirement transformed into a "measurable" engineering term or specification.


describe the iceberg phenomenon

only a very small amount of the total list of customer requirements are immediately available

Top of the iceberg:
1. requirements of which the customer is aware
2. problems that the customer wants solved
3. solutions identified in other products

Below the surface:
1. requirements associated with problems which the customer is not aware due to habits "compensating behavior"
2. Emotional and semantic requirements
3. requirements associated with culture and socio-historical aspects


describe how the customers values and views on products has changes with time!

The customers fascination with technical functions has shifted. Functionality, reliability and cost have been replaced by e.g. comfort, enjoyment, satisfaction and usability


describe the kano model!

The kano model proposes three types of need and requirements that need to be adressed from a competitive perspective

1. basic needs/requirements
2. Performance needs/requirements
3. Excitement needs/requirements


What do Johan mean with saying we often have too much focus on the product?

We have to little attention to the product in a context being used, maintained etc.


what is the consequence of having too much focus on the product?

Requirements customer needs elicitation METHODS

1. the methods must adress a multitude of stakeholder needs

2. the methods must helt detecting articulated as well as non-articulated needs

3. the methods must take into consideration that functionality and functions are not the only thing that will provide the company with a competitive edge.
—>Its the functionality, usability AND pleasure in experience.

4. methods must be able to elicit basic performance and excitement requirements


describe the customer needs study process!

INPUT: research objectives and questions

1. plan the customer needs study
2. Gather raw data from customers
3. Interpret the raw data in terms of customer needs
4. Organize the needs in a hierarchy
5. establish the relative importance of needs

Customer needs list


describe some desirable characteristics of markets

Facts that can be used to form a market profile

1. large market size
2. high market growth potential
3. strong economy - high potential for sales
4. early appropriate time of entry
5. competitively attractive
6. low rivalry
7. low investment required
8. no specific technological development required
9. no patent protection
10. high reward potential
11. low risk


what is a target market?

A group of customers that:
—> is interested in product
—> has the resources to purchase the product
—> is permitted by law or other regulations to acquire the product


How do you define different markets?

The market definition begins with total population and progressively narrows down

1. total population
2. potential market
3. available market
4. qualified available market
5. Targeted market
6. penetrated market