Product Strategy

Outcome-Driven Innovation

A systematic approach to innovation that focuses on understanding and satisfying customer desired outcomes rather than product features.

innovationproduct-developmentcustomer-researchjobs-to-be-donestrategy

Components

1

Define Customer Job

Identify the core functional job customers are trying to accomplish

2

Discover Desired Outcomes

Uncover the metrics customers use to measure success in getting the job done

3

Categorize Outcomes

Organize outcomes by importance and satisfaction levels

4

Identify Opportunities

Find underserved outcomes with high importance and low satisfaction

5

Create Solutions

Design products or services that address the highest-value outcome opportunities

When to Use

  • Identifying unmet customer needs for new product development
  • Prioritizing product features based on customer value
  • Finding innovation opportunities in mature markets
  • Reducing risk in product development by focusing on validated outcomes

Benefits

  • +Reduces innovation risk by focusing on validated customer needs
  • +Provides objective criteria for prioritizing development efforts
  • +Uncovers opportunities competitors may miss
  • +Creates products customers actually want and will pay for

Limitations

  • !Requires significant customer research investment
  • !May not capture emotional or social outcomes easily
  • !Assumes customers can articulate desired outcomes
  • !Can be time-intensive to implement properly

Real-World Examples

Bosch Power Tools Innovation

Industry: Manufacturing

Bosch used ODI to identify that contractors valued 'minimize time to complete a cut' over raw power, leading to innovative circular saw designs

Outcome: Developed market-leading products based on outcome priorities

Resources

book

Jobs to be Done: Theory to Practice