Feb 2016

Customer Experience Competitive Advantage in New Product Development

Copyright CX NPD Ltd

Product Development can feel like it can tie you up in knots…it must minimise time to market, with simple processes…

Copyright CX NPD Ltd

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And developing products in the new Digital World means every business must re-assess its basic beliefs…

Product features are irrelevant. Customer

Experience is key

Loading up products with many features kills speed to

market

Don’t try to build it all yourself. Use suppliers with relevant features as out-of-

the-box functionality.

In the Digital world nobody can predict the next big thing.

Reacting quickly is vital

Agile techniques can dramatically improve speed to market even when applied to

traditional product development approaches

All successful product features will be copied by competitors

Simplicity--the art of maximizing the amount of

work not done--is essential in a digital world

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When product features are irrelevant, only customer experience delivers a competitive advantage…

Think

Build

Launch

Improve Customer A good product is delivered in multiple releases

Principles

Customer at the centre

Deliver a valuable product early

Continuous learning

Customer Focus

Speed to Market

Improvements delivered quickly

Competitive advantage through

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Use Agile principles and remain customer focussed…

Think

Build

Launch

Improve Customer

Customer at the centre A good product is delivered

in multiple releases

Continuous Learning

Deliver a valuable product early

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Use effective decision making…

Think

Build

Launch

Improve Customer

1) Improve the product?

2) Maintain as is?

3) Kill/Stop the product?

Should we

Is there customer problem worth solving?

Is there a Problem / Solution fit?

Should we design it?

Should we build it?

Will it deliver the customer experience?

Are we ready for sale?

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Deliver customer value in multiple releases…

New Customer

Focus on maximising speed to market Focus on a specific customer type Deliver a Minimum Viable Product (MVP)

which validates the product and the customer needs

Emphasis on learning, low cost & low risk

• Test and measure the assumptions and

hypothesis • Use off-the-shelf functionality • Only develop what is absolutely

Release 1 MVP

Release 2 (to Release n)

Learn from the customers, iterate and

improve the Customer Experience

Focus on creating a sustainable product

Grow into additional customer segments

Deliver repeat usage, growth and or stickiness

Optimise the Customer Experience

• Add functionality only if needed • Optimise across all touch points

Release 2-n Product vision

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Apply Agile techniques to improve speed of development, even in traditional environments…

Write requirements as User Stories…Who am I? What do I want? Why do I want it? These get people talking –and allows the development team to work out the best way to meet each requirement.

Don’t put your team through the pain of long, wordy Product Requirement Documents. Banish the tedium…less is definitely more…

Simplify! Don’t be tempted to throw in everything. You know your customers…work out what they really value, validate and deliver only a Minimum Viable Product initially. You’ll deliver faster, and get customer feedback faster…so you’ll know what you need to improve in the next version.

Scrap the silos in your business. Break down those walls… Cross-functional teams and collaboration across functions are where it’s at!

Ditch the formal product development meetings in favor of focused daily stand-ups. What did you do yesterday? What are you going to do today? And what’s holding you up?

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Think what building blocks to use & maximise things not done…

Concept Capture Customer

Experience Design Build Test Launch Assess

Problem/Solution Fit

Customer Segment

Draft Unique Value Proposition

Initial Financial Assumptions

Strategic Rationale & Objectives

Market and Customer Research

Unique Value Proposition

Customer Journey

Customer Touchpoints

Outline Revenue Potential

Business Architecture

Technical Solution

Operating Model

UX & UI Validation

Service Levels

Reporting

Business Model and Pricing

Business Case

Product Delivery Platforms

Billing Platform

Operational Model Support Systems

Legal & Regulatory

Security, Business Risk & Fraud

Product / Device

Proof of Concept Tests

Solution Tests

Operational Readiness Tests

Service Readiness Tests

Customer Experience Tests

Operational Ready for Service Check

Marcomms & Demand Generation

Channel, Sales & Distribution

Sales Collateral & Toolkit

Incentives and Commissions

Customer Support

Training

Ready for Sale Check

Customer Feedback

Performance Reporting

Draft Product/Market fit

CE & Concept Validation

Product Market / Fit

However never compromise on delivering a great customer experience!

Innovation

Research

Analysis

Synthesis

Idea Screen & Capture

Concept Validation

Lifecycle Management

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Apply effective governance through clear decision gates and cross functional prioritisation…

Business Plan & Strategy

Product Portfolio Management Resource Management

Gating and Governance

Concept Capture

Customer Experience Design Build Test Launch Assess

Tasks & Activities

Documentation

Project Management

Systems

Pro

cess

Man

agem

ent

Sup

po

rt

Bu

sin

ess

Man

agem

ent

Create a line-of-sight from business strategy to execution. Stop the barnacle NPD projects!

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A Customer Experience driven NPD process delivers significant benefits for every business

Customer experience at the heart of product

development

01

02 03

05 04

06

Products are based on deep insights and continuous

learning

Competitive advantage obtained through simplicity

and speed

Drives the business plan, goals and

strategic initiatives into tangible

launched products

Agile and responsive methodology with

extensive cross-functional problem-

solving

Provide clear guidance for businesses

transitioning into the digital space

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More on the Customer Experience NPD methodology….

The CX New Product Development methodology places Customer Experience at the heart of your product development. It embeds CX focus deep into each development phase ensuring that your processes and organisation deliver a great customer experience at every customer touch point.

The method integrates the latest product development techniques such as concept canvas, product market fit, lean development and other agile techniques in a pragmatic product development process.

The methodology provides: • A process based on deep customer insight and continuous learning; • Clear guidance at every stage of product development; • An agile and responsive approach with extensive cross-functional problem-solving; • A clear translation of the company business plan into a winning product portfolio.

The CX NPD methodology will enable your business to gain competitive advantage through placing Customer Experience at the heart of your product development.

Please visit www.cxnpd.com