AIM Archives - Tag: customer outcomes

What drives B2B organic growth more than anything else?

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In our research, B2B professionals rated a strong value proposition as the #1 most important driver of profitable, sustainable organic growth. But what makes it strong? Certainly not the supplier’s opinion. A value proposition is only strong if it addresses outcome(s) important and unsatisfied to the customer. This is the part that most B2B new-product teams bungle. They guess, hope, or hypothesize which outcomes customers want. Big mistake. Without unbiased, unfiltered data, most teams are led astray by their confirmation bias.

More in video, Leader’s Guide to B2B Organic Growth series, Video Lesson #19

Great B2B innovation requires 2 forms of evidence.

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Exhibit A is an attractive market and Exhibit B is a documented need within this market. Most companies do OK with Exhibit A… identifying a market segment that is winnable and worth winning. But most are terrible at Exhibit B. This is being sure of which customer outcomes (desired end-results) companies will be rewarded for satisfying with a new product. Increasingly, companies are using Market Satisfaction Gaps to do this. (See 12 case stories)

More in white paper, Market Satisfaction Gaps

How is the modern B2B innovator like a weather forecaster?

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In both cases models are used to predict future behavior. Barometric pressure and other data are the “raw material” for weather models. For you, it’s quantitatively measuring key customer outcomes in the front-end of innovation. Your model lets you replicate the customer experience… so you can know with confidence how they’ll react to any of your product designs.

More in article, How to model customer needs (Originally published in B2B Organic Growth newsletter).

Be clear on what you own and what your customers own.

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Customers own “outcome” space. You own “solution” space. Don’t let them into your space… unless you want to become a contract manufacturer. Instead, enter their space to understand desired outcomes better than competitors. This lets you deliver unique value in your solutions, which is handsomely rewarded though premium pricing.

More in article, Should You Develop New Products like Steve Jobs? (Originally published in B2B Organic Growth newsletter).

Fully understanding customer outcomes requires 9 levels of examination.

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You begin by uncovering, understanding, defining and setting outcomes’ direction… and end by quantifying their value. Skipping just one level dramatically decreases your odds of a highly-profitable new product. Do you know how many levels are baked into your new product development process? If you don’t, it’s less than nine.

More in article, The Science behind Great Value Propositions (Originally published in B2B Organic Growth newsletter).

For many companies, innovation is like a medieval comet… rare, unexplained and unpredictable.

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That’s too bad, because customer insight—the first critical step to B2B innovation—can be learned like any other science. You examine customer outcomes (desired end-results) at nine levels. Just as a microscope’s magnification is increased, so each level reveals something new about each outcome. You should try it. Before your competitors.

More in white paper, Catch the Innovation Wave (page 8).

A customer outcome is like a scientific specimen, waiting to be examined and understood.

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Great value propositions begin and end with customer outcomes. It’s like collecting specimens, sliding them under your microscope, and continuing to turn up the magnification. The careful researcher doesn’t have to agonize over the right value proposition. It comes into increasing focus, waving its arms and screaming to be addressed.

More in white paper, Timing is Everything (page 9).

A value proposition is simply improving important outcome(s) for customers’ benefit.

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Unlike many B2C benefits, e.g. amusement, comfort, and self-esteem, B2B customer benefits are usually measurable, economic and—wait for it now—predictable. This predictability means B2B suppliers who study customer outcomes, like a science, will be handsomely rewarded. B2B customers will eagerly help you… if you know how to ask them.

More in article, The Science behind Great Value Propositions (Originally published in B2B Organic Growth Newsletter).