Product Management Event at #ProductCon Los Angeles with Lenworth Gordon, Senior Product Manager at Amazon.

1. www.productschool.com
Customer Development Strategies by
Amazon Sr PM

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4. Corporate
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5. Lenworth Gordon
S P E A K E R

6. Customer Development
Tools and Techniques

7. Lean Startup methodology
Customer
Developmen
t
Agile
Engineering
Business
Model
Design

8. Lean Startup methodology
Customer
Developmen
t
Agile
Engineering
Business
Model
Design

9. What is Customer Development?
Customer
Discovery

10. What is Customer Development?
Customer
Discovery
Customer
Validation

11. What is Customer Development?
Customer
Discovery
Customer
Validation
Customer
Creation

12. What is Customer Development?
Customer
Discovery
Customer
Validation
Customer
Creation
Company
Building

13. What is Customer Development?
Customer
Discovery
Customer
Validation
Customer
Creation
Company
Building
search
execution

14. What is Customer Development?
Customer
Discovery
Customer
Validation
Customer
Creation
Company
Building
search
execution

15. What is Customer Development?
Customer
Discovery
Customer
Validation
Customer
Creation
Company
Building
search
execution
pivot

16. Why is this important
Studies show that around 60 to 80% of
new products fail

17. Closer to customers
“Get closer than ever to your
customers. So close that you tell them
what they need well before they realize
it themselves”
Steve Jobs

18. "If I had an hour to solve a problem and
my life depended on the solution, I would
spend the first fifty-five minutes
determining the proper question to ask, for
once I know the proper question, I could
solve the problem in less than five
minutes.”
Albert Einstein
Asking the right questions

19. Henry Ford

20. Key Questions for innovation
❑ What do customers really need?
❑ How might we better meet those needs?
❑ How might we create sustainable
advantages?

21. Innovation

22. Innovation Ingredients

23. Design Thinking - Customer Development alignment
Customer
Discovery
Customer
Validation
Customer
Creation
Company
Building
EMPATHIZE IDEATE
DEFINE PROTOTYPE
TEST
23pivot

24. Needfinding
For product/service development

25. Case study: needfinding through design thinking

26. Design Thinking

27. Case study
Students at the Stanford d.school were challenged to design a less
expensive incubator for babies born
prematurely in Nepal. The students traveled to Nepal to meet
with families and doctors and see the problem for themselves.

28. Design Thinking Introduction

29. Empathize

30. But it has limit
❑ We assume other people think the same way we do
(Projection bias)
❑ We look for, interpret and remember information that fits our
existing models (Confirmation bias)
❑ We overestimate the effect of disposition or personality and
underestimate the effect of the situation in explaining social
behavior (Fundamental Attribution Error)

31. Empathy vs Sympathy
Sympathy: is feeling
compassion, sorrow, or pity for
the hardships that another
person encounters
Empathy: is putting yourself in
the shoes of another, which is
why actors often talk about it

32. Empathizing

33. People
• Who is around you?
• How do they behave?
• What do they struggle with?
• How do they resolve it?
Objects
• What things do you see?
• How are they working (or not)?
• What workarounds do you see?
Environment
• How does the space feel, smell, sound?
Messages
• What is being communicated? (Look and listen for conversations, announcements, signals)
Services
• How are people interacting with others, with objects and with the spaces?
Empathizing - Observe

34. Empathizing - Engage
Open-ended
interview

35. Empathizing - Engage

36. Empathizing - Engage

37. Empathy Map

38. Upon arrival, notify staff
Regarding iPhone 5s's issue.
1st Trial : Touch wasn’t working
2nd Trial : LCD was not power on
Set up Genius appointment from apple.com
Input : Apple ID, Symptom, Warranty availability
IEMI, identification info…
Output : Appointment (1~3 days window)
Staff took device to the back
for the inspection: Phone
came back with no power and
phone does not power on
(took around 15 minutes)
Staff came with their iPad and
check device's warranty status
Apple claimed battery’s connector
cable was damaged
(Both cases, they were not able to
identify that the glass was not
original apple component)
The LCD Module is original Apple
Changed the LCD glass with after-market
1st Visit : They offered the repair (they didn’t find any
issue from touch that we claimed)
2nd Visit : They offered “Replacement” as they knew it
was second time
Staff run quick test through
IPad: however, was not able to
identify anything
Customer Journey Map

39. Customer Journey Map
❑ Process
❑ Pain Points
❑ Touch Points
❑ Moment of truths

40. Customer Persona
Answer these questions using text and drawings
1) What is their name and age?
2) Is (she/he) married? Spouse’s name?
3) Number of children (if any)?
4) Occupation
5) What city or town does she live in?
6) Last movie or book (she/he) raved about?
7) Type of car (she/he) wishes they could drive?
8) What song(s) does (she/he) sing in the shower?
9) What does (she/he) do for fun that most people
wouldn’t know about?
10) Last thing (she/he) did that made them feel special?
11) If they won $20 million what would (she/he) do?
Normalizing the identity of
the group/ segmentation

41. Customer Persona

42. GO-TO-GEMBA
“Gemba” – Japanese word that refers to the
actual workplace location
“Gemba”
The act of going to the place where the
product, service, or process is actually
used to gain a better understanding
To successfully go to Gemba, start with the
people, then observe the process and its
performance

43. Point of view
Point of view
A unique, concise reframing of the
problem that is grounded in user
needs & insights

44. “People don’t want a quarter-inch
drill, they want a quarter-inch hole.”
Theodore Levitt
What do customers really want?
What is their motivation?
Point of view

45. User
Be specific
Need
Use verbs
Insight
Observation + Interpretation
Point of view: Components

46. Point of view - Example

47. The embrace point of view
User
Desperate Nepali mother living in a remote village
Need
To keep premature baby warm to give it a chance to survive
Insight
Most mothers don’t have the means to bring their baby to a
hospital
Point of view - Example

48. Needs
Needs last, but answers often don’t

49. Needs
Look for the needs, not answers

50. Develop the Business Model Canvas with needfinding

51. www.productschool.com
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