welcome
join the conversa1on on twi7er with @vicsportAU
@DoingSomeGood #vsfwdthinking
DAVID HOOD @DavidAHood
JULIAN WATERS-‐LYNCH @jwaterslynch
doing something
good
“If I had an hour to solve a problem I would spend 55 minutes thinking about the problem and five minutes thinking about solu@ons.”
“You don’t invent the answers, you reveal the answers by finding the right ques%ons.”
-‐ Jonas Salk
1. Think about your most treasured possession. This is your ‘swishy’.
2. Your partner now needs to ask you ques%ons to figure out what your swishy is.
1. Think about your most treasured possession. This is your ‘swishy’.
2. Your partner now needs to ask you ques%ons to figure out what your swishy is.
YOU HAVE THREE MINUTES
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Business Model Canvas
Business Model Canvas > value and customers
1. customers
4. relation
3. channels
2. value
http://www.businessmodelgeneration.com
the value reaches
the customers
through channels
value - customer
communication
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Business Model Canvas
Business Model Canvas > value
2. value
6. resources
7. activities
8. partners
Those contribute
creating value
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Business Model Canvas
earnings = revenues - costs
Business Model Canvas > costs and revenues
1. customers
5. revenues9. costs
6. resources
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Customers
pay
Creating value
costs money
Earnings
should be
greater than
zero
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Business Model Canvas
earnings = revenues - costs
Business Model Canvas > relationships
1. customers
4. relation
3. channels
2. value
5. revenues9. costs
6. resources
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8. partner
http://www.businessmodelgeneration.com
1. Be present.Focus on what you’re doing right now and pay aBenCon to every aspect of what you’re doing: to your body, your senses, your thoughts. 2. Accept everything as an offer. Receive thoughts, ideas, quesCons or comments of others as a giJ.
3. There are no mistakes.Only invitaCons into a new level of creaCvity: breaking paBerns and allowing new ones to emerge.
4. Make everyone else look good. You do not have to defend or jusCfy yourself or your posiCon -‐ others will do that for you and you do that for others.
5. Be changed by what is said.Accept your reacCon as an opportunity to take a new or expanded perspecCve to inspire new ideas.
6. Keep the energy going.No maBer what is given, or what happens, accept it and keep moving.
7. Serve the good of the whole.Always carry the quesCon, "How can I best serve this situaCon?"
8. Yes and ... Fully accept what is happening and what is being offered, and add a NEW piece of informaCon -‐ that is what allows it to be adapCve, move forward and stay generaCve.
Inspired by 7 Basic Improv Principles with thanks to Michelle James (crea%veemergence.com)
DOING SOMETHING GOOD creative jammin’ principles
Making Ideas HappenWhen you have an idea for a new product, service or program, what do you need to make it happen? • Before you start: What do you need to consider?
Priorities, timing, resources..?• Processes and systems: Do you have a process to
follow and a system in place? What does that look like and how does it work?
• Authorising environment: Who needs to be involved? Who’s support and authorisation do you need? What do you need to do before you get the go ahead?
riskThere are three areas in which a startup typically faces a very high degree of uncertainty—or risk:
1. Technical risk (feasibility)
2. Customer risk (desirability)
3. Business model (viability)
technical riskYou could think of this as the ques@on: Can we build this thing at all? For example, if you’re seeking a cure for cancer, there’s a big risk that you’ll fail to find it. If you do find it, you’ll certainly have customers, so there’s no market risk.
customer riskThis is the ques@on: If we build this thing, will people use or buy it? Put another way: Should we build this thing?
business model riskThis amounts to the ques@on: Can we create a way for this thing to make us money?
biggest risk = customer riskOpera@ng under the assump@on that the demand exists and that customers will buy and use your product or service in the way you believe. “learning what customers want and will pay for is your biggest priority. It’s the thing you want to do most quickly and effec@vely.”
“Lean Startup is a method for crea@ng and sustaining innova@on in all kinds of organisa@ons. It helps you get good at answering two cri@cal ques@ons: 1. Should we build this new product or service? 2. And how can we increase our odds of success in this new thing?”
~ Sarah Milstein, co-‐founder Lean Startup Produc@ons
"Lean Startup" is a system for developing a business, product or service in the most efficient way possible to reduce the risk of failure. It is an approach that treats all ideas as having assumpCons (or hypotheses) that must be validated by rapid experimentaCon in the marketplace. The approach relies on scienCfic experimentaCon, iteraCve product releases, and customers feedback to generate validated learning.
A startup is a human ins%tu%on designed to create a new product or service under condi%ons of extreme uncertainty. In Lean Startup terms, a startup is a group of people working on a risky new product, even if that group of people works for Starbucks or the US Marine Corps.
-‐ Eric Ries
The key is to idenCfy assumpCons -‐ would people actually buy or do this? Not by building the whole product, but by building a Minimum Viable Product (MVP).
The MVP is the most basic version of your product that is valuable to your user, that will enable you to test and learn.
DIFFERENT MODES OF INQUIRY
Inductive: observing patterns
Abductive: educated guesses
Deductive: testing hypotheses
SCENARIO: FAST SOCCERYou are a group that manages a local soccer club facing diminishing revenue from declining membership numbers.
You have noCced recent trends around ‘anyCme anywhere fitness’, such as fitness apps and 24 hour gyms and ‘fast sports’, such as 3 on 3 basketball, and your club wants to explore how soccer might adapt and learn from these innovaCons. You have also read the recent research by the CSIRO and Australian Sports Commission on mega trends shaping the future of sport, trends such as as ‘a perfect fit’ and ‘anybody’s game’. You are also aware of the Australian InsCtute of Sport’s market segmentaCon research, especially personas such as ‘ponders’, ‘sidelined sportsters’ and ‘apathe@c clubbers’ for whom tradiConal sporCng codes and club membership models are less appealing. Finally you are aware of the wider trends around changes to membership models.
You have decided to develop some innovaCons to the game and/or club membership models with the aim of creaCng more appeal for these personas. You are looking to idenCfy the assumpCons underpinning your innovaCon ideas and design some experiments to test these assumpCons with potenCal users.
WHAT IS A GAME?A game is a voluntary social process.
It is made up of: • game space • boundaries • rules • artefacts (equipment) • a goal (how you win)
hBps://www.safaribooksonline.com/library/view/gamestorming/9781449391195/ch01.html
what’s your innovaFon?Which innovaCon in the sport do you think is most likely to get your market segment joining in?
1. changes to game space (how people start playing)
2. changes to boundaries (space or Cme)
3. changes to rules
4. changes to artefacts (equipment)
5. changes to the goal (purpose of the game/how you win)
how sure are you?How sure are you from a score of 1 to 10, that people are going to like your change and get them to consider trying your variaCon?
will they pay?If they like your innovaCon, would they be willing to pay?
How much would you be able to get them to pay?
What structure of offering (eg membership, pay as you go) do you think they'd like the most?
INTERVIEW TECHNIQUES - DON’TS1. Never start off by saying that you’re working on an idea. This biases the interviewee and they will feel inclined to be nice or reverse engineer your quesCons.
2. Never ask leading quesCons. You are priming the interviewee for the answer you want to hear.
3. Never put the interviewee in hypotheCcal scenarios. The more you ask them to imagine a situaCon, the less you can trust their answers.
4. Never start a quesCon with “would.” This asks them about future behavior, which they cannot predict and is not reliable.
5. Never start a quesCon with “do,” unless it’s a qualifying quesCon. hBp://uxceo.com/post/80877539095/quick-‐Cps-‐for-‐effecCve-‐customer-‐interviews
INTERVIEW TECHNIQUES - DO’S1. Qualify the person you’re talking to and make sure he/she fits your customer hypothesis.
2. Always ask about past behavior.
3. Always start quesCons with “who, what, why, when, where, how.” Why and how quesCons surface the most insighpul answers.
4. Always close by asking for their contact informaCon and an intro to others who fit the customer profile. Chances are they have friends or colleagues who do.
hBp://uxceo.com/post/80877539095/quick-‐Cps-‐for-‐effecCve-‐customer-‐interviews
ask open ended questionsDo not ask too many yes/no quesCons. For example, minimize such quesCons as “do you like Groupon?” Instead ask “what kinds of deals do you look for, if any?” “What moCvates you to hunt for deals?” “How do you discover deals?”
SomeCmes it is hard not to ask a yes/no quesCon, but always follow up with an open-‐ended quesCon like “why?” or “tell me more about that experience.”
POSSIBLE QUESTIONSQualifier Do you or have you played organised sport?
QuesCons about the sport 1. What do you like about..? 2. What don’t you like about..? 3. What would help you overcome/change/decide differently…? 4. On scale of 1 to 10 how likely would you be to…. 5. On scale of 1 to 10 how interested would you be in trying… 6. If you were able to do “x” for $y would you be interested? 7. If not, how much would you be willing to pay and in what way?
minimum viable product
Barn Suppers. Image courtesy of Philip Dunda
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Business Model Canvas
Business Model Canvas
1. customers
4. relation
3. channels
2. value
5. revenues9. costs
6. resources
7. activities
8. partners
http://www.businessmodelgeneration.com
Assumption TestingExperiment Design
Hypothesis Participants
Approach & Activities Expected Data & Actual Data
Learning Goals & Outcomes Decision
BMC Iteration
TESTING BMC ASSUMPTIONS