Simply stated, business has just
two functions, innovation and
marketing.
But only the seasoned managers
understand the complexity
behind this simplicity.
Buyer Utility Map help
managers break the
utility for their
consumers and generate
innovative ideas
People don’t use products, they indulge in experiences
Idea generators need to focus on experiences and not on products
Buyer’s experience can be better understood by dividing it into six stages, these are six
different occasions where marketers can create value for their buyers
Purchase
How easy it is to find the
product, the attractiveness
and accessibility of the store,
the level of comfort the speed
with which purchases are
made.
Purchase
Delivery
The speed and convenience of
product delivery, the ease of
unpacking and installing the
product.
Purchase
Delivery
Use
What training or expert
assistance is required while
using the product, ease of
storing the product, the
effectiveness of the product's
features and functions.
Purchase
Delivery
Use
Supplements
Other accessories that are
used along with the product.
Purchase
Delivery
Use
Supplements
Maintenance
Ease of maintaining the
product and the amount of
expert assistance required.
Purchase
Delivery
Use
Supplements
Maintenance
Disposal
If the product generates
waste, the ease of disposing
drills consumer’s mind off!
Purchase
Delivery
Use
Supplements
Maintenance
Disposal
Thinking ahead, there are six different ways of innovating and creating value in each of
these stages
The innovation helps
customers do things faster,
better or in different ways.
The innovation offers
enhanced ease-of-use.
Customer
Productivity
Simplicity
The innovation makes a
desired activity easier to
perform.
Customer
Productivity
Simplicity
Convenience
The innovation minimizes
customers' financial or
physical risks.
Customer
Productivity
Simplicity
Convenience
Risks
The innovation delights
customers.
Customer
Productivity
Simplicity
Convenience
Risks
Fun and
Image
The innovation facilitates
recycling and other
environmentally sensitive
practices.
Customer
Productivity
Simplicity
Convenience
Risks
Fun and
Image
Environment
Friendliness
Customer
Productivity
Simplicity
Convenience
Risks
Fun and
Image
Environment
Friendliness
This approach help managers
think of 36 opportunity types to
create value for buyers…
Purchase
Customer
Productivity
Simplicity
Convenience
Risks
Fun and
Image
Environment
Friendliness
Delivery
Use
Supplements
Maintenance
Disposal
So what’s your next big idea?
Source:
Kim, W. Chan and Mauborgne, Renee; "Knowing a Winning Business Idea When You
See One"; Harvard Business Review; September-October 2000.