6 Steps for Product Managers to Handle the Pokemon Go Augmented Reality Craze

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Executive Summary:

With Pokemon Go’s explosive growth, product teams around the world are asking, “What are we going to do with Augmented Reality?” Jobs-to-be-Done provides a customer-centric framework for deciding if and how to invest resources in this new technology and ensure your efforts will create customer value.

  1. Don’t rush to build; be swift but purposeful. Flocking to new technology without a clear strategy can be counter-productive and increase your risk of failure.
  2. Define your customer’s job-to-be-done.
  3. Identify the unmet needs in the job-to-be-done.
  4. Answer these questions, “Can augmented reality help our customers meet these needs faster or more accurately? If so, how?”
  5. Measure if the new ideas will meet customer needs faster or more accurately than the existing solutions.
  6. Determine if you can integrate the ideas from Step 4 into your existing product or if you need to build something new.

If you’ve gone online in the past week, even for just a moment, you’ve no doubt heard about Pokemon Go, the Augmented Reality game that has men, women and children taking to the streets, parks and museums in a fevered effort to catch ’em all. The game’s success has sent Nintendo’s stock soaring and Product Managers across the country are being asked: What’s our AR strategy?

As recently as last year, Augmented Reality was firmly ensconced in the Trough of Disillusionment on the Gartner Hype Cycle. However, Pokemon Go’s success coupled with reports of it driving real in-store traffic and revenue, shows the technology is realizing its commercial potential. The distant, sci-fi promise of AR is here, now.

If you’re a Product Manager, you may have colleagues running rampant with “shiny new toy syndrome,” asking when you’ll have an AR solution ready to launch. Someone may have even written a press release already. The temptation to build first and ask questions later is strong, but it doesn’t feel right to you. Prioritizing your existing road map was agonizing and re-allocating resources to the dream of AR will take away from key projects already underway. But, you don’t want to appear staid, lacking in agility and dynamism, and, above all, you’re a team player. Shouting down your better angels, you say, “OK, let’s do a brainstorming session.”

Famous last words.

The company’s best minds are assembled. The room is full of energy. BD talks about partnerships. The UX team argues the finer points of distinguishing reality from augmentation. Someone’s telling a story about their neighbor’s nephew’s crazy antics hunting down Pokemons. Ideas flow like water from a firehose–plenty of volume, but little precision. Two hours later you’ve got four walls filled with sticky notes, divergent ideas, and a vague direction set by the HIPPO (Highest Paid Person’s Opinion).

Back at your desk, trying to piece the ideas into a project plan, you wonder how you could’ve done things differently.

Here’s an idea: turn your generic brainstorming session into a Jobs-to-be-Done idea generation session. It focuses your team on the most important issue: how to address the unmet needs in our customer’s job-to-be-done. This approach ensures that what you do with Augmented Reality, if anything at all, will be of real value to your users and not just a transparent, rudderless attempt to ride the wave of a suddenly popular technology.

In the JTBD idea generation session you’ll focus on those unmet needs and continually ask, “would an AR solution help our customers accomplish their jobs-to-be-done faster or more accurately?”

Let’s walk through the process as if you’re a Product Manager in the field of medical imaging.

First, define your customer’s job-to-be-done through research and customer interviews. For our example, let’s say the JTBD is “Diagnose skin cancer.”

Next, interview your customers to determine the needs within the job and then survey them to identify which needs are unmet (important and unsatisfied). For the job of “Diagnose skin cancer” unmet needs may include:

  • Reduce the time it takes to detect a change in a patient’s skin condition e.g. a mole has grown in size or changed in color or texture.
  • Reduce the likelihood of missing a change on the patient’s skin.

NB: If you have already defined your customer’s JTBD and researched the needs, you don’t need to do it again just because there is new tech available. You can jump straight to idea generation, using the research you already have. Incidentally, thrv can help you execute these steps quickly.

Now, assemble the company’s great minds for an idea generation session. But, don’t guide the session with “How do we add Augmented Reality to our product?” Instead, ask “How can augmented reality help our customer reduce the time it takes to identify a change in a patient’s skin condition?”

After collecting ideas on how augmented reality can serve this unmet need, judge the ideas based on how well they meet the need. In other words, which solution will identify skin changes fastest? Think through the process of using the new AR solution and consider if it’s actually faster than the existing solutions your customers use. If the AR solution is faster, it will create value and drive growth. If it’s not, don’t bother investing it.

Finally, if your idea does meet the needs in the job faster or more accurately, determine if you can integrate it into your existing product or if you need to make a new one.

Explosive growth is exciting. When it happens with a new technology or platform, it’s natural for someone to catch a case of GMOOT (Give Me One Of Those). It’s easy to start with the ideation process, usually in the form of an unfocused brainstorming session. Instead start with asking the right questions–what’s our customers’ job-to-be-done and how can the technology can help them get it done better?

How the Jobs-to-be-Done Vocabulary Can Align Your Team

From xkcd.com

thrv works with product teams to help them satisfy their customers’ needs. Critical to this effort is alignment among the teams we work with. They need to be aligned around who their customer is, their product strategy, and, at the core of it all, the words they use to communicate with each other. What is a “product strategy”? What is a “customer need”? What’s a “market”? If a team doesn’t agree on the definitions of these terms or the definitions frequently change, it’s very hard to gain alignment and build something that matters to customers.

Since language is so important, we work hard to keep it specific and consistent. When you and your team first embark on your Jobs-to-be-Done journey, you’ll hear new terms and new definitions for old terms, and everyone needs understand them all. To help you and your team speak our language, we’ve created the below glossary of key JTBD terms. We’ll be adding to this over time and linking to it when we use the terms in our blog posts.

Hopefully, the glossary helps your own team increase consistency with their language and avoid communication breakdowns. It may also help you translate customer feedback into actionable metrics, but if you really want to learn how to do this, reach out to us. We’re happy to help.

Jobs-to-be-Done: A theory introduced by Harvard Business School Professor Clay Christensen to explain why customers buy or use products–they hire them to get a job done. Importantly, jobs enable product managers to define market from the customer’s rather than the product’s perspective. As a result, jobs (which are independent of any product) are stable over time.

For example, consumers have used records, cassettes, CDs, iPod, and streaming apps to execute the jobs of curating and discovering music. While products change over time, the customer’s job will not.

Customer: The key customer is the person who is executing the job. This is why a market exists: because a person in either a personal or a business context needs to execute a job and they look for solutions to “hire” to get the job done.

Functional Jobs: The most important types of jobs because they are the reason that a market exists. When we write “job” we are referring to the Functional Job. A Functional Job is the core task or goal that some person is trying to accomplish in a personal, business, or medical context. When someone has a functional job to accomplish, they look for a product or service to “hire” in order to get the job done. Check out this short post for a little more info on what qualifies as a functional job.

Functional jobs begin with an action verb that describes the job. Some common job verbs include: determine, ensure, create, learn, obtain, develop, identify and optimize.

Emotional Jobs: Statements about how people want to feel about themselves or how they want to be perceived by others when they are executing a Functional Job.

Since emotions can be both positive and negative, Emotional Jobs include both how someone wants to feel and how they want to avoid feeling. For example, when consumers are selling a used car, they want to avoid feeling gullible.

Consumption Jobs: Tasks that relate to consuming and using a product or service. Consumption jobs include: install, learn-to-use, repair, maintain, interface, and dispose.

For example, if consumers hire an app to help them sell a used car (a functional job), they need to learn how to use it and to interface with it.

Job Executor: The person or entity who is trying to get the job done. For example, in the job of “sell a used car” the job executor could be a consumer (an individual who owns a car and wants to sell it), a car dealership, or an auction house. In the job of “Create a mood at an occasion with music” the job executor could be a consumer, a professional DJ, a radio show host, a sync department for a tv show, etc.

Job Steps: Every functional job is a process that has a beginning, a middle, and an end. Functional jobs can be broken down into different steps that fall into six main categories: define, prepare, execute, monitor, modify, and conclude.

Customer Need: A metric that the customer uses to measure the speed and accuracy of executing a job step.

In order to be measurable and actionable for your product team, a customer need statement should be structured with three important elements: (i) a direction of improvement (usually “minimize”), (ii) a metric (usually “time” or “likelihood”), and (iii) a goal that relates to the job step. The goal should always be independent of any solution.

For example, when consumers are selling a used car and executing the step of “assessing the vehicle’s market value,” they need to minimize the time it takes to determine the local fair market value of the vehicle.

Importance: a measure of how important a customer need is to the customers. Importance scores are calculated using a five point scale: not important, somewhat important, important, very important, and extremely important. An importance score is a measure of the percentage of customers who say that the need is very or extremely important.

Satisfaction: a measure of how satisfied customers are that they can achieve the goal of the Customer Need. Like importance scores, satisfaction scores are calculated using a five point scale: not satisfied, somewhat satisfied, satisfied, very satisfied, and extremely satisfied. A satisfaction score is a measure of the percentage of customers who say that the need is satisfied.

Opportunity Score: A measure of the difference between importance and satisfaction for a customer need (weighted for importance). An opportunity score is calculated by the following equation: Opportunity = Importance + (Importance – Satisfaction).

Opportunity scores range from 0 to 20 for each customer need in the job. Any opportunity score of 10 or higher means that the customer need is unmet by current solutions in the market because customers rate the need as highly important by not satisfied.

Unmet Need: A Customer Need that has an Opportunity Score of 10 or higher because the Importance Score is high and the Satisfaction Score is low.

Segmentation: In Jobs-to-be-Done, customers are segmented by how satisfied they are with their ability to execute the job. To identify groups of underserved customers, thrv using the opportunity scores to group customers who all have similar needs with high importance and low satisfaction, regardless of their demographics.

Competitor: Any company that has a product or service with features that satisfy customer needs in any job step in the job and manual processes that people use to get the job done, even if they are not associated with a business. Often companies think of their competitors as those companies who offer similar products. In Jobs-to-be-Done a competitor is any company who is helping a customer get the job done, even if they only help get a few steps in the job done.

Competitor Feature: Any part of a competitor’s product or service that helps a customer satisfy a need in the job-to-be-done or an activity within a manual process that a person executes in order to satisfy a need.

Competitive Analysis: An assessment of how well the customer can get the job done with the competitor’s solution. The assessment is a collection of measurements of the speed and accuracy with which a customer can satisfy needs with the competition’s features.

Idea Generation: The act of thinking up features that will satisfy unmet customer needs faster and more accurately than the competition.

JTBD Product Management: An Education Market Example, Part 3. Road Mapping, Aligning the Team, & Scoping an MVP

This week features the third and final installment of our JTBD Product Management: An Education Market Example series. If you haven’t read them already, check out Part 1, Part 2, and our Cheat Sheet. With this series, we’re presenting you with an overview of how the Jobs-to-be-Done framework can help you view product management and product development through a different lens – one which focuses on the customer, the job they are trying to get done, and their unmet needs.

We’ve been using the educational publishing industry in order to bring this thinking to life, but the ideas presented here can be applied to any industry where you’re tasked with creating new products, or new features to existing products.

In today’s post we’ll talk about how to prioritize your road map, align your team and develop your minimum viable product.

Prioritization

When you spend all day, every day thinking about your product, it’s only natural that your success metrics will be product-centric. For example, if you’re building an education app road map, you might optimize for an increase in “time spent in app” or “frequency of sessions.” Any feature that would make these metrics go up would be high priority.

However, if you’ve read the previous entries in this series you know that the customer’s satisfaction with getting the job done is your ultimate target. When developing a road map, Product Managers using Jobs-to-be-Done prioritize features that serve the most important and least satisfied customer needs.

If we’re working on the job “learn a subject,” we might find that “minimizing the likelihood of having a question that can’t be answered in the moment” is very important and not satisfied. Interestingly, a feature serving this need might cause users to spend less time in our educational app because more of their questions are answered right away and they are learning the subject faster. The app is increasing value for the customer even though a commonly used KPI is decreasing.

Prioritizing by customer needs leads to releases that deliver value to users and avoids those that could be great for the business but irrelevant to the users.

Align Team

Designing, developing and bringing a new product to market requires a team of skilled individuals who are committed and focused on a common goal. You’re going to be challenged with a host of difficult decisions from feature prioritization to scope to where to invest resources. Even the best teams can be challenged by these situations, especially when the time for discussion ends and choices need to be made.

All too often, this is when the course is determined not by data, but by The Boss, who makes a suggestion that’s really more of a directive. Since she’s in charge, the HIPPO (HIghest Paid Person’s Opinion) rules. As a result, your team is left in a state of frustration. Everyone is left to argue for their ideas on what to prioritize and the result is time and money wasted, a dysfunctional team, and customers who are potentially confused by or unsatisfied with your product.

So, how do you get team alignment? By removing the personal and focusing on the measurable. When you measure things like speed and accuracy, you eliminate opinion or hunches. If the research shows that students learning algebra have an unmet need to “reduce the time it takes to learn how to factor quadratic equations” and it currently takes days, everyone can get behind an idea that reduces that time to hours or even less. When you align the team around customer needs, opinions matter a lot less.

Scope MVP

The idea of delivering a minimum viable product to market as fast as possible is so widely accepted, it’s nearly conventional wisdom. But, how do you know which features belong in the MVP? What makes your product viable?

You and your team may bring years of training and experience to the task so you could rely on intuition. Or you could attempt to estimate the impact on your business and include the features that will generate pageviews or time spent in your app or repeat visits–whatever your KPIs are. Or you could show the MVP to your customers and say, “Do you like this?” If they say, “yes,” are you ready to go?

When scoping your MVP, Jobs-to-be-Done thinking prompts the question, “What features will have the most impact on my customer’s needs?” For example, Britannica may have shown new editions of its encyclopedia with “even more volumes” to its customers. They may have said, “Great! We love information. Bring on more volumes!”

But do the extra volumes help reduce the likelihood that a student’s question can be answered in the moment? Does it reduce the time it takes to find the definition of an unfamiliar word?

“Liking” a product is not the same as having it serve your needs much better than previous solutions.

Jobs-to-be-Done assumes if you create value for your customer, value for your business will follow. The features that belong in your MVP are those that serve at least one important and unsatisfied customer need. It’s best if your MVP meets the most underserved need i.e. the one with the highest opportunity score. If your MVP doesn’t serve an unmet need, you’re not ready to ship. If your MVP includes features aligned with over-served needs, you may have to re-think your roadmap.


That wraps up our JTBD Product Management introductory series. We hope you’ve found it informative and that it has sparked questions, such as “Is our company defining our market as a product or a job?” “Is someone out there getting our job done better with a different product?” “Do we agree on what a customer need is and does our MVP meet at least one?”

If you feel you could benefit from implementing the thrv approach, get in touch with us. We’d love to talk with you about how our products and services can help you launch high growth products. Be sure to check the thrv blog regularly for more ideas, stories and insights on how to implement the Jobs-to-be-Done framework.

JTBD Product Management: An Education Market Example, Part 2. Generating Ideas, Pricing, & Revenue Projection

Today, we continue our exploration of how Jobs-to-be-Done helps product managers think different, drive innovation, and develop new products and features based on the needs of the customer. In our first two posts, we gave you a Jobs-to-be-Done Cheat Sheet and used the example of an educational publisher to look at defining your market with the customer’s job-to-be-done. Let’s dig deeper into this example, looking at generating ideas, pricing, and market sizing.

Generate Ideas

We’ve all been in those meetings where “no idea is a bad idea” and the goal is to come up with as many ideas as possible. Brainstorming is the best way to generate ideas, right? Well, often these sessions lead to long lists of features without clear criteria for prioritizing them. Not to mention some people are now excited enough about their creative efforts, they are willing to fall on a sword to see their ideas realized.

You don’t need a long list of ideas. You need to generate ideas that will lead to results for your customer and your bottom line. High impact features are more likely to come from asking a specific question: How do we serve our customers’ most important and least satisfied needs?

In the last post we discussed the need of a student to reduce the likelihood that they have a question which can’t be answered in the moment. Imagine you’re a Product Manager at an educational publishing incumbent like Macmillan or Pearson. It’s the late-90s and the internet is just beginning to reach a mass market. To serve this need, you could add more information to printed books or to a new CD-ROM product. Or you could notice that the internet enables students to connect with other people who could answer their questions. The customer need “reduce the likelihood of having a question which can’t be answered in the moment,” gives us clear criteria for knowing which solution is best. It’s the one that makes it most likely the student’s question can be answered immediately.

Pricing

The difference between paying for a product or getting the job done can seem subtle. Think of it this way: A person may only be willing to pay a one time purchase fee for a book (a product), but might pay a recurring monthly subscription to learn a language (see how DuoLingo gets the job done). Pricing by the customer’s willingness to pay to get the job done helps you avoid leaving money on the table and gives you a more accurate picture of your market size.

Market Sizing

There are two conventional methods of estimating the size of your market and your projected revenue: top down and bottom up. Top down is an estimate of the total revenue for some geography and industry (eg. dollars spent on education in the US) multiplied by an estimated percentage of that revenue you can obtain. The bottom up approach looks at how many people you can get to buy your product based on marketing and sales projections and multiplying that estimate times the price of your product. For instance, we project our marketing will reach 1 million people and we’ll convert 10%, so we’ll sell 100,000 books. Multiply 100,000 by $50 per book to get a $5 million market.

With Jobs-to-be-Done, the focus isn’t on the product because products change over time. The focus is on the customer’s job. The market size is based on the customer’s willingness-to-pay to get the job done and the number of job executors.

This approach helps you avoid market mistakes, which can be lethal. For example, Encyclopedia Britannica was a leader in education, the gold standard of information. Its business model was to sell books to consumers to help them and their children learn subjects. But just as there is no “iPod” market, there is no “encyclopedia” market. To size the market opportunity, instead of calculating the market size based on encyclopedias sold times price, education markets should be sized using the job executor (e.g. parents, students or teachers) times their willingness to pay to get a job (e.g. learn a language, learn a skill) done better.


 

That does it for this second installment of JTBD Product Management. Is your company still operating the old way? Could you benefit from implementing the thrv approach? If so, get in touch with us, we’d love to talk with you about how our products and services can help you launch high growth products. Next week will wrap it up by exploring how to approach the product roadmap, aligning your team and delivering an MVP.

11 Ways to Think Different about Product Management Using Jobs-to-be-Done

This is the introduction to a series about how Jobs-to-be-Done can change your product development mindset. Part 1 explains the first five rows of the chart using the example of an educational publisher. Part 2 discusses Idea Generation, Pricing, and Market Sizing. Part 3 covers Road Mapping, Aligning the Team, and Scoping an MVP.

Jobs-to-be-Done is often presented from a theoretical point-of-view. To help you apply it to your everyday life in product development, we’ve created a Jobs-to-be-Done Cheat Sheet.

The Cheat Sheet illustrates the practical difference between a traditional approach to product management, and the JTBD approach from thrv. If you’ve ever found the theory to be a little overwhelming, this breakdown may help.

To ground the concepts, we imagine how Microsoft could have used JTBD to think differently when competing with the iPod. If you were a PM at Microsoft then and focused on the customer’s unmet needs in the job of curating music, would you have proposed the Zune?

Think of the Cheat Sheet as a first step towards setting yourself apart from all other product managers and companies who don’t know about Jobs-to-be-Done. Save the image and refer to it when you’re about to do something the same way you always have.

To dig deeper into the Zune vs iPod, sign up for our free email course: How Microsoft Could Have Beaten the iPod Using Jobs-to-be-Done.

To apply JTBD to your market, check out our training, software, and services or contact us.

thrv Jobs-to-be-Done Cheat Sheet

Why thrv, or How I Set Out to Improve Product Launches and Product Teams’ Lives

It’s one of the toughest moments for any company. You’ve spent time and money, pushed a great team to their limits, and now you are ready to launch a product into the world. You should be proud, elated even, but your stomach is in knots. Why?

Because, despite all your efforts, you’re not sure if it’s going to be a success. You’ve seen this movie before. A big investment in all the best ideas from all the most talented people results in a lackluster response from your customers. The stakes are high so you tightened up your sprints and got more ruthless with your prioritization. Maybe this time will be different?

I’ve been there and know the feeling well. Excitement, fear, hope and trepidation all swirling around inside your heart, head and stomach. I’ve optimized design and engineering processes until my team is a well-oiled machine, but it had no effect growth. It’s an experience I kept coming back to when thinking about the next challenge to take on in my career. The more thought I gave to it, the more it became clear: I was passionate about the product launch, or more specifically, helping organizations launch products with more confidence, less risk, and in ways that not only brought business success but also led to happy and focused teams.

The turning point for me occurred when I learned and adopted the Jobs-to-be-Done framework. JTBD clarified my thinking and reoriented my perspective on product management. After years with a product-centric point of view, JTBD asked me to take a customer-centric view. It made all the difference in the world. I realized that the tightest sprints in the world won’t fix a broken product strategy that doesn’t focus on customer needs. I’ll admit, it was challenging at first. I had to break the way I had been thinking and speaking about products for years.

Eventually, I understood Jobs-to-be-Done was more than a buzzword and more than a mindset. It’s also a process that brings science to the art of product management and increases the product launch hit rate and efficiency for those willing to put in the effort. When it came time for me to venture out on my own, I knew that helping others reap the benefits from this approach was not only what I wanted to do, but was also something that the product community needed.

thrv helps companies and product teams understand that successful launches aren’t about innovative features (though that can help) or user tests saying your product is “cool” but rather about satisfying unmet customer needs. People buy products, people switch from other products, not just because something new comes along, but because it helps them do something they are already trying to do faster or with greater accuracy. With thrv, we are building the only platform for product managers based on understanding and quantifying the unmet needs of the customer’s job-to-be-done.

Nothing gets me more excited than working with an organization and being there for the “lightbulb moment” when the customer-centric approach kicks in. thrv helps people understand and leverage the Jobs-to-be-Done process in a way that makes adoption faster and keeps the entire team focused on the customer throughout product development. While the theory of JTBD has a growing influence within the product management field, little has been done to help teams implement the practice. And as product managers, we all know a great idea doesn’t launch a successful product–it’s all about implementation and execution. thrv’s tools and services are here to support you every step of the way.