To have a leg up and become more relevant in the market, tech startups are urged to address existing issues in their products through novel and competitive solutions that can satisfy a wide array of customers’ needs.
This was said by Progresif Chief Commercial and Digital Officer Adi Iskandar Haji Basri during the Google Developers Group (GDG) DevFest held at the Anggerek Desa Technology Park, Berakas, earlier this month.
Delivering a talk on “how to build great tech products for start-ups”, Adi Iskandar explained at length the concept of the Kano model – an approach which prioritizes features of a product based on the degree of customer satisfaction.
The model, he explained, starts with understanding the market and the target customers.
“The first step before building any solutions or sell any products is to understand the target customer; you have to pick and choose your customers and then group them together with a common underserved need,” said Adi Iskandar.
“Underserved needs means that there is something that they find very important but not satisfied with; and there is always a target segment no matter how micro and niche they are,” he added.
The Chief Commercial and Digital Officer gave an example of the automotive industry where there is a segment of customers who prioritize speed performance and utility.
He explained that certain customers may go for fast engines, and some may go for vehicles with bigger spaces; and in all of the products listed, there are features that certain groups of people may find important but are dissatisfied with.
In this, he highlighted the terms “must-haves”, “performance” and “delighters”.
“In thinking of products using the Kano model, they have got the “must-haves”, meaning you need to tick the boxes for features on the products you are building and selling against the product developed by your competitors,” he said.
“Whatever feature your competitors have, you need to have them as well. For instance, banks; now all banks are expected to have an automatic teller machine (ATM), you are not going for a bank that does not have one,” he added.
Once all the “must-have” features are met, then businesses should evaluate its performance – where they now have to think of ways to give more values to their customers for the sake of their satisfaction.
On the other hand, he also noted that tech startups should also look out for the “delighters” – which is something that is optional but very appreciated by their customers, giving examples on how vehicles now have Android car radios instead of the traditional audio receivers.
“You do not necessarily have to give this, but if you do, it will be the “wow factor” – which over time will turn into something that is a must-have,” said Adi Iskandar.
“When that happens, businesses need to think outside the box and strategise for more performance and delighters,” he added.
Adi Iskandar noted that it is natural for startups to build the solution first, then look into the problem space later due to most “techies” coming from the engineering field rather than a business background.
“I really think it depends on what your background is. Speaking for a lot of techies, you know we like to be in front of the computer instead of being in front of people – and I think that is a general personality for us,” he said.
“A shift needs to be taken when it comes to these (tech) startups. They need to be more engaged with people to understand what they are building to really address the needs of their chosen target market.”
“If they are able to think, build and address that problem space, then there is a great opportunity there for them,” added the Chief Commercial and Digital Officer.
Waqiuddin Rajak
BANDAR SERI BEGAWAN
MediaStar
