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To create new offerings that serve unmet or unspoken needs, it is best to actually know what those needs are. To do that requires research into future consumer behavior – which, of course, can’t be measured. But what can be explored is what motivates future behavior. To gain this type of knowledge, it is necessary to engage the community of both current and potential customers.

Community Research and Development (Community R&D) is a knowledge discovery process for understanding how people think and choose. Community R&D uses a method called engagements (in-depth discussions driving at the reasoning behind choice and decision) with a relatively few key individuals to gain an understanding of the different types of potential future customers. Customers don’t all think alike, yet they influence each other, and collectively their behavior determines adoption rates.

The critical aspect of Community R&D is discovering those whose involvement will bring the greatest understanding. In the language of Community R&D, this work is called Community Building – creating a knowledge community of individuals who have the knowledge, both tacit and explicit, that you need to know.

What is a Knowledge Community?

A knowledge community consists of specific individuals who can help you understand the nature of an opportunity. These are individuals with diverse perspectives and who have something to contribute to the many facets of product adoption.

Table 1 below shows the differences between a Market and a Community. This contrast points to the need for different research methods in each domain.

Markets

Communities
Many CustomersNo Customers
Clear SolutionsFuzzy Problems
Specified ProductsProof-of-concept & Prototypes
Competitive DifferentiationAnticipated Performance
Pricing StrategiesUncertain Competitors
Application SpecificsApplication Possibilities
Use ContextDevelopment Context
Defined Buying ProcessUncertain Buying Process
Reference AccountsTechnical Validation
Economic Value ExchangeMutual Learning

What this table makes clear is that, in the realm of innovation, we are always investigating something new to the world. What we wish to discover is typically ill-defined, incomplete, or has tenuous analogs with existing offerings. In other words, it doesn’t exist now so people can’t directly experience and react to it; they can only speculate. The farther that the new innovation is from something that currently exists, the more speculation is required. Unfortunately, people are notoriously poor speculators. Asking “would you use this” and “how much would you pay for it” can be worse than guessing.

The creation and use of a knowledge community is specifically designed to get around the issue of customer speculation. By seeking diversity along several dimensions of knowledge, and by targeting individuals with specific knowledge and traits, it is possible to see the ‘wisdom of crowds’ that turns speculation in to informed insight.



laschmitt
laschmitt
Latest page update: made by laschmitt , Apr 28 2007, 10:04 PM EDT (about this update About This Update laschmitt Edited by laschmitt

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