Value proposition

Stop Talking, Start Listening: Connect with your clients

Business strategy, Propositions, Technology, Value proposition /

How well do you know your clients? How often do you reconsider your understanding of your clients’ changing needs, pain points, and preferences? In today’s dynamic and client-centric business landscape, understanding your clients crucial for achieving success. By understanding what frustrates and energizes clients, you can leverage these insights to enhance the quality of your products, effectively addressing their needs and solving their problems. Without a deep understanding of clients’ needs, and desires, and how you can genuinely serve them, your products will face an uphill battle. Building on our March blog post about how to Build a Robust Product Proposition and Strategy, in this article, we delve into the importance of understanding and connecting with your clients in a B2B context, exploring practical strategies for strengthening these vital relationships. Gauge how well you already know your clients The journey to understanding your clients begins with self-assessment. Ask yourself, how well do I currently understand my clients? What do I know about their needs and pain points? What about their preferences and buying or using behaviors? How do I understand their decision-making? What are their long-term goals and aspirations? How do I communicate with them? And so on… Reflect on these experiences and see what you already know and where the gaps lie. Talk to colleagues or team members who have direct client contact. Ask for their insights and findings based on their experience of client needs, wants, and pain points. Consider the most common questions, concerns, or requests clients have. The knowledge you have accumulated is your starting point; now it’s time to go further. Harness the Power of Research Research is a powerful tool that can offer you invaluable insights into who your clients are and how you can connect with them. Here are some different types of research you should be conducting: Persona research Persona research dives into qualitative aspects such as a client’s attitudes, values, interests, and lifestyle. This information helps you to build an extensive profile to better reach your client and improve your offering based on their needs. Look for patterns in your client data to understand the traits and behaviors that define your clients. Build detailed personas based on these common traits. This will help you visualize who your clients are, what they want, and how they make decisions (and whether they have decision-making authority). Use these personas when making decisions about product development, marketing strategies, and customer service. Here’s a short guide to conducting persona research: Collect client data from surveys, interviews, and feedback. Identify common traits and behaviors among your clients. Group clients into segments based on similarities. Create detailed profiles for each segment, including demographics and preferences. Validate personas with client insights through interviews or surveys. Use personas to inform sales, marketing, or project decisions. Regularly update personas as client preferences evolve. Experience research Immerse yourself in your client’s shoes by observing their habits, routines, and interactions with your product or service in their natural environment. This real-time qualitative approach provides deeper insights into their experiences, pain points, and preferences. Make sure to leverage feedback and reviews. Different types of client feedback and reviews are a goldmine of information that can help you understand your clients on a deeper level. Actively encourage clients to provide feedback through, for example, surveys or post-purchase emails. Pay attention to both positive and negative feedback, as they can highlight areas for improvement or reinforce what you’re doing well. Analyzing client sentiment and identifying common themes in feedback will allow you to make informed decisions about your product offerings and marketing messages.   Online community research Monitor social media platforms to grasp how clients perceive your brand. By actively reviewing and reading client conversations and analyzing their opinions, you gain valuable insights into their satisfaction levels and identify opportunities for improvement or engagement. But also, don’t be afraid to truly engage with online communities that are relevant to your industry or target clients. Participate in discussions, share valuable insights, and listen to what clients are saying. This will give you a unique perspective on their needs and preferences, helping you create a more authentic connection. And if you don’t have an online community yet, create one! Embrace Co-Creation and Co-Design Involving your clients in the creation and design process can be an incredibly valuable and unique way to understand their needs and desires by validating your offering. By seeking input from your clients and incorporating their ideas, you make them active participants in shaping the final product or service. This approach deepens your understanding of client preferences and fosters a sense of ownership and loyalty among your clients. Consider conducting focus groups, beta testing, or even inviting customers to collaborate on product development through crowdsourcing platforms. Utilize Artificial Intelligence and Big Data Advancements in technology have given businesses access to vast amounts of data that can provide valuable client insights. Artificial Intelligence (AI) and Big Data analytics tools can help analyze client behavior patterns, preferences, and purchasing habits on a large scale. By leveraging these technologies, you can uncover hidden trends and correlations that may not be apparent through traditional research methods. For example, AI-powered algorithms can identify purchase patterns and recommend personalized product suggestions to individual clients, enhancing their experience and strengthening your relationship with them. Other examples include personalization, sentiment analyses, and predictive analytics. Continuously monitor and adapt Client expectations are always evolving. Stay up to date with the latest trends and be ready to adjust your strategies, as necessary. Combine external trends with direct client engagement to truly understand their evolving needs and expectations. A proactive approach to understanding your clients is key. And remember that assumptions can lead to costly mistakes. To truly differentiate your business, it’s important to not only understand your client but also create a client-centric culture within your organization. More on this topic in future blog posts. Engage with your clients directly, ask questions, send out surveys, organize focus groups, and, most importantly, listen intently to

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A Guide to Building a Robust Product Proposition and Strategy: The Recipe to Your Own Secret Sauce

Business models, Business strategy, Platforms, Propositions, Value proposition /

It’s difficult to remain relevant in today’s fast-paced business environment. It’s even more difficult to remain competitive. To do so, having a robust product proposition and strategy is essential. To quote Roger Martin’s Playing to Win: strategy is about choices. And the choices we make can enable us to win. Building a robust strategy entail being able to make the right choices (for you, your client, and the broader ecosystem) at the right times. “A robust product strategy involves having a vigorous and strong plan that starts with a clear vision and can withstand the ever-changing business environment effectively.” But a robust strategy is also one that is also able to adjust or tweak certain aspects if the situation calls for change. How can you achieve this? We’ll fill you in on some basics that are a must for your product strategy. Stop talking and start listening… Understanding your customers. It is important to understand your customers’ needs, preferences, and pain points. By understanding your customer, you are better able to develop the necessary features and benefits within your product. You have to get out there and start talking to people. Start by defining your research goals and identify what objectives you want to reach. The next step is pinpointing the best methods to reach them; surveys, focus groups, data analysis, and so on. Where necessary, leverage your network to get additional reach. After you have collected insights, use this information to create fictional representations of your target customer’s demographics, behaviors, preferences, and challenges: persona’s. These will be used to inform your product strategy. But beware: assumptions are the mother of all screw-ups! Avoid making assumptions about your customer’s needs, behavior, or challenges, as this can be very costly. Making assumptions can put you at a competitive disadvantage because if you’re wrong, it doesn’t only make you look bad, you’re also back at square one. A good and easy-to-use method for this is 5x why, to drill down on the root cause of a problem. Keep asking your customer ‘why’ until you can narrow down the key focus area. In short, you have to really talk to your (end) customer first (and ask them: “why?” a million times) to really understand them.  Keep your friends close and your enemies closer… Understanding your competition. The next step is gaining a firm understanding of your competition, relevant trends in the industry, and customer behavior.  By gathering knowledge of the competitive landscape’s strengths and weaknesses, you can identify opportunities where your offering can fill the gaps in the market. A few tips and best practices for conducting a competitive analysis and developing a competitive strategy: Identify your direct and indirect competitors Use an ecosystem map (for example from Ecosystemizer) to capture the roles each competitor plays in the market and identify your position (more on this in future blogs!) Analyze your competitor’s offering (pricing, strengths, features, quality, value proposition, etc.) vis-à-vis your offering Uncover how your competitors reach their customers (and who their customers are) From here on out you have a more solid foundation for building your well-informed competitive strategy. Knowing your customers and the competitive landscape better allows you to find your ‘why’.   Have a North Star… Understand your why. Now, at first glance, finding your North Star might seem easy, but to be entirely honest, it is not a simple task. However, although finding that North Star might seem daunting, it is crucial to take the time to reflect on who you are and what you represent. This is the first foundational block to building a product strategy.   Don’t be afraid to think about your personal link to the product or company’s North Star; what makes you excited? What will get you out of bed in the morning? How can you link these aspects to building a unique proposition? At the end of the day, you, as an individual, need to stand behind your product and strategy. A few things that are important in this process include: Identifying your product’s strengths Identifying critical challenges that you may face in the future Identifying where to play (compete) And identifying how to play Having a compelling story to bring along your key stakeholders What do you need to bridge the gap between starting and winning Identify your secret sauce… Define your unique value proposition. So, by now you should know your customer, know what your competition is doing, and know why you do what you do. The last crucial element is creating a unique value proposition to differentiate from competitors in the market. Just like grandma’s secret recipes that are just so good, but you do not know how she does it, your organization needs its secret sauce. A secret sauce that is so good that your customers keep coming back to you and it is hard to be copied by your (direct) competition. Is it the way you leverage technology? Is it how you present your brand to leverage customer loyalty? Or is it because you gained a first-mover advantage, or your product is unique? Zeroing down on your secret sauce is crucial. The next step is linking your secret sauce to the pain points you have previously identified. Consider how your company can make life easier for your customer, and how you can truly delight (not just satisfy – delight!) them with your offering. A key aspect of this step is validating your unique value proposition. Does your offering delight your customers? What is it missing? What else does it need to make it a unique offering that resonates with your target customer? Iteration is crucial: approach your target, ask for feedback, revise, and repeat! Once you can align your unique offering and your client’s needs, go out and get them!  Go out and do it. The final step in building a robust product strategy is to get out there and start doing! At The Value Department, we strongly believe in “learn by doing”. Start talking to your (end) customers, start interviewing people, start doing research, and start asking questions. Why? Because the

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