CAOS 2015: YACC (Yet Another Curious Canvas): Introducing the Product Discovery Canvas

© 2015, agile Innovation Labs, All Rights Reserved. #ProductDiscoveryCanvas @agileInnovator
1 YACC (Yet Another Curious Canvas): Introducing the Product Discovery Canvas

agile Coach • agile Trainer • Software Developer E-mail: [email protected] Twitter: @agileInnovator LinkedIn: LinkedIn.com/in/agilebillallen Related Website: ProductDiscoveryCanvas.com Bill Allen

Who has a product idea to work on? 3

You’re funded $100M to develop a product. How do you successfully deliver a product? How do you deliver a successful product? 4

5 *Image Credits: Schneider Electric Successfully delivering a product.

Delivering a successful product? 6 Minimize Outputs! Maximize Outcomes and Impacts! Don’t build everything. Build only what is important to your customers! Jeff Patton, User Story Maps

7 *Image Credits: http://steveblank.com/ © 2011 DevJam -‐‑ All rights reserved. Methods of Discovery & Validation Collaborative Chartering Customer Discovery Lean Startup Pretotyping User Story Mapping

8 Know your Users & Customers Vision Statement Tell Stories about the Product Define Goals Define Success Measures Timeframe for Discovery Learn from the Product: Build - Measure - Learn Build a slice of the product (limited features and functionality), measure how customers respond and then learn whether to pivot or persevere. Validate if it is the right Product to build 1. Who are you building this for? 2. What value will they obtain? 1. Business goals? 2. Technology goals? 3. Process Improvement goals? 1. What are you building? 2. What value does it provide? 1. How will you know the product is a success? 2. What will change for the targeted user community? How much time will you invest in validating the product idea? Tell stories about users and customers using the product. Talk in descriptive sentences: who is using, what they are doing and why. Gain product understanding by having discussions to include the following: 1. Examples of users realizing the goals. 2. How realizing the goals impact a specific user (Persona) 3. Play “What if”, taking different routes on the same goal. 4. Discuss what happens in the event of invalid scenarios? Conduct pretotyping experiments to answer these questions: 1. Do customers want it? 2. Will customers buy it? Fake Door, Pinocchio, Mechanical Turk, One Night Stand, Impersonator, Re-label, and more at www.pretotyping.org Product Discovery Canvas Product Name: Designed by: Date: 2 Iteration #: Construct a User Story Map using the story information that was collected; it is a visual narrative of product functionality that includes: 1. Goals 2. Personas 3. Activities performed by users 1 3 5 4 6 What are the outcomes (immediate benefit) of having the product? What are the impacts (long-term benefit) of having this product? 7 8 Make sure - as quickly and as cheaply as you can - that you are building the right “it”. Discuss the frequently occurring problem(s) that the product solves. Examine the User Story Map and build a slice (MVP - Minimum Viable Product) from which to conduct validated learning . Create Personas that describe them, their values and actions with the product. Get out of the Building. Discover your customers! Then answer: 1. Do customers have a need for your product? 2. Is your product what they want? Discuss Pirate Metrics Acquisition, Activation, Retention, Revenue, Referral @agileInnovator [email protected] ©2015, Bill Allen, Licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported. Write your Vision Statement Consider a Canvas for Discovery & Validation Download

9 Photo: Shutterstock Taxi Hailing App

10 • Launched in October 2011 in SF • Founded as a software company • Privately held - Valuation of $60 - 70B (Nov 2015)

11 • Launched Nov 2011 in the UK - one month after Uber • Founded as a taxi company by three former taxi drivers • Enters U.S. market in early 2013 with $100M in funds

Using the Product Discovery Canvas Outcome Project Name … Timeframe … Project Vision - Elevator Pitch … User Personas … High Level Goals … Success Measures … Purpose Define ‘why’ are you building. Why is this necessary? = Vision What is being built? = Mission Who is it being build for? Personas How will we know that we are successful? = Success Measures 12 Attendees Skills & experience over titles Product Owners Project Managers Team Members Key Stakeholders

13 Legal Disclaimer Following is a fictional account of Hailo. It was developed for the purposes of instruction on product discovery practices. Information about Hailo was obtained from this post: http://blog.placeit.net/apps-fail-teach-us-app-marketing/

14 1 Vision Statement What are you building? Hailo is a mobile app to hail a taxi from your phone. What value does it provide? Assists taxi drivers in locating fares. Passengers gain assistance navigating the twisty and confusing streets of their city. Vision Statement / Elevator Pitch: Hailo is a mobile app that allowing passengers to use a smartphone to quickly hail a taxi. In turn, drivers get more fares; passengers gain assistance navigating the twisty and confusing streets of their city.

15 2 Users & Customers Who are you building this for? 1. Describe the different types of users & customers of your product? 2. What value will they obtain from your product? Passengers – want quick, efficient, hassle-free access to a taxi; navigation assistance for hard to locate destinations. Taxi Drivers – that want to increase fares. App provides more passengers. Independent Drivers – They were not targeted. Value obtained from Hailo is Drivers get more fares; Passengers get navigation assistance through the twisty and confusing streets of a city.

16 2 User & Customer Personas Patty the Particular Passenger Description: Owns a smartphone. Wants to save time. Values: Quick, efficient, hassle-free access to a taxi. Navigation assistance. Actions: Signs up for Hailo, Profile has a payment info Hails taxi by pinning a point on the map Receives native OS notifications (not SMS) of trip progress Authorizes payment after arrival to destination Can customize the gratuity. Rates the driver.

17 2 User & Customer Personas Taj the Taxi Driver Description: Owns a smartphone. Understands complex layout of the city. Wants to increase passengers. Values: Increased revenue Quick payment Actions: Signs up as Hailo Taxi partner Profile has a payment info Receives native OS notifications (not SMS) of location of a fare Picks up passenger Finalizes passenger drop-off and fare charges Received weekly commissions

18 3 Define Goals The Business goals of Hailo? 1.Help Taxi drivers locate fares. 2.Help Passengers navigate twisty and confusing streets of a city. The Technology goals of Hailo? 1. Smartphone equipped drivers can assist passengers with navigating twisty and confusing streets 2. Passengers can hail a taxi from their smartphone 3. Hailo can receive instantaneous feedback on the quality of service provided by drivers 4. Enhanced safety for drivers and passengers 5. Safe use of credit and debit cards on new payments system instead of older credit card machines The Process Improvement goals of Hailo? 1. Modernize the manner in which passengers secure taxis, to utilize smartphones. 2. Drivers can use smartphone to call dispatcher for assistance with navigation through cities with winding and difficult street geography.

19 3 Goals The frequently occurring problem(s) that Hailo solves are: 1. Passengers currently use hand signals, whistles or shouts to hails passing taxis. 2. Passengers place phone calls to hail taxis 3. Passengers wait for taxis at marked locations

20 4 Define Success Measures We will know that Hailo product is a Success: 1. Smartphone equipped drivers can assist passengers with navigating twisty and confusing streets 2. Passengers can hail a taxi from their smartphone 3. Hail can receive instantaneous feedback on the quality of service provided by drivers 4. Enhanced safety for drivers and passengers 5. Safe use of credit and debit cards on new payments system instead of older credit card machines 6. Automation of the passenger pickup – taxi destination – payment flow. 7. Revenue generation for drivers and in turn Hailo. 8. Flexible and improved employment opportunities for Taxi drivers.   The Hailo user community will be transformed in the following ways: 1. Passengers find the taxi hailing experience to be more convenient 2. Increased safety for Drivers and Passengers. 3. Drivers can earn more money.

21 4 Define Success Measures The Impact of Hailo: Customers are provided with an easier taxi hailing experience Increased customer use will result in increased revenues   The Outcomes of having Hailo? Today? For the future? The taxi experience is improved because drivers can assist passengers in fining difficult locations. Increased customer base. Increased revenues for Hailo and Taxi drivers.

22 5 Timeframe for Discovery In what Timeframe do we desire plausible feedback about the viability of Halio: Within one-week.

23 6 Tell Stories about the Product Hailo provides Passengers with these features: •Passenger wanting a secure environment sign up for Hailo service •Passenger can edit their profile: •contact information •payment information •Passenger hails a taxi by dropping a pin point on the map •Passenger wanting trip progress info receives native OS notifications (not SMS) of trip •Passenger finalizes payment. •Passenger can customize the gratuity. •Passenger rates the driver. •Passengers are notified of surge pricing when taxis are most in demand

24 6 Tell Stories about the Product Hailo provides Taxi Drivers with these features: •Taxi drivers sign up to be drivers for Hailo •Taxi Drivers must provide own phone (Uber provides phone) •Taxi Drivers are charged a 15% margin on fares. •Taxi Drivers are required to provide Hailo a cut on the tips. •Taxi Drivers are subject to the following monthly costs: 1.dispatch radio at a cost of $375 per month 2.payment terminal $40 a month plus 10% on the transaction •Taxi drivers receive notification of a fare •limited geolocation capability; for example the name of the establishment and the neighborhood, but no map or address. •Taxi drivers finalize the payment of fare •commissions on a weekly basis, deposited to a bank account

6 Tell Stories about the Product Instead of writing User Stories create a User Story Map for Hailo 1.Goal 2.Persona 3.Activities the product will perform 4.Detail 25 Title: Do something As a [Who], I want [What], so that [Why]. Goal Who - Persona Why - Activity What - Task detail

26 7 Validate if it is the right Product Use pretotypes to quickly and inexpensively answer these questions: 1.Do passengers want Hailo? 2.Do taxi drivers want Hailo? 3.Will passengers use Hailo? 4.Will taxi drivers use Hailo? 5.Should we build Hailo? Pretotype - Do Passengers want Hailo •Create a Fake Door - a Fake Landing Page • Purchase google ad words: ‘New York Taxi Service’, ‘New York Taxi Discounts’ • When Passenger performs search capture metrics for click throughs - are people interested? • Offer free premium membership for early sign up in exchange for answering survey questions about usefulness of the navigation feature

27 7 Validate if it is the right Product Use pretotypes to quickly and inexpensively answer these questions: 1.Do passengers want Hailo? 2.Do taxi drivers want Hailo? 3.Will passengers use Hailo? 4.Will taxi drivers use Hailo? 5.Should we build Hailo? Pretotype - Do Passengers want Hailo •Create a Re-label - Pretend that the service already exists • Create an arrangement with a cab company • When Passenger calls for a taxi they are provided an option to receive a taxi driver that provides navigation services • Capture metrics on people are interested in the service

28 8 Learn from the Product: Build - Measure - Learn 1. Examine the User Story Map for the something that you want gain insight about. 2. Goal is to learn, as fast as possible, if we are building the right thing. Investigate new Driver sign up features — Goal is attract 100 cabs to gather data •Taxi Drivers are required to provide own phone (Uber provides phone) •Taxi Drivers are charged a 15% margin on fares. •Taxi Drivers are required to provide Hailo a cut on the tips. •Taxi Drivers are subject to the following monthly costs: 1. dispatch radio at a cost of $375 per month 2. payment terminal $40 a month plus 10% on the transaction Investigate taxi hailing features — Hailo will offer free rides to Passengers to gather data •Pin location using mapping service api •In exchange for no fee see if customers want navigation assistance

29 • Enters U.S. market in early 2013 with $100M in funds • Exits U.S. in October 2014

30 Why did Hailo fail? 1.Lack of understanding the users and customers of their service. a. NYC taxi drivers did not need assistance locating fares b.NYC passengers would not pay a premium for navigation assistance from cabbies 2.Intense Competition from other apps that connect drivers to passengers

Now, Product Discovery on Your Idea 31

32 Know your Users & Customers Vision Statement Tell Stories about the Product Define Goals Define Success Measures Timeframe for Discovery Learn from the Product: Build - Measure - Learn Build a slice of the product (limited features and functionality), measure how customers respond and then learn whether to pivot or persevere. Validate if it is the right Product to build 1. Who are you building this for? 2. What value will they obtain? 1. Business goals? 2. Technology goals? 3. Process Improvement goals? 1. What are you building? 2. What value does it provide? 1. How will you know the product is a success? 2. What will change for the targeted user community? How much time will you invest in validating the product idea? Tell stories about users and customers using the product. Talk in descriptive sentences: who is using, what they are doing and why. Gain product understanding by having discussions to include the following: 1. Examples of users realizing the goals. 2. How realizing the goals impact a specific user (Persona) 3. Play “What if”, taking different routes on the same goal. 4. Discuss what happens in the event of invalid scenarios? Conduct pretotyping experiments to answer these questions: 1. Do customers want it? 2. Will customers buy it? Fake Door, Pinocchio, Mechanical Turk, One Night Stand, Impersonator, Re-label, and more at www.pretotyping.org Product Discovery Canvas Product Name: Designed by: Date: 2 Iteration #: Construct a User Story Map using the story information that was collected; it is a visual narrative of product functionality that includes: 1. Goals 2. Personas 3. Activities performed by users 1 3 5 4 6 What are the outcomes (immediate benefit) of having the product? What are the impacts (long-term benefit) of having this product? 7 8 Make sure - as quickly and as cheaply as you can - that you are building the right “it”. Discuss the frequently occurring problem(s) that the product solves. Examine the User Story Map and build a slice (MVP - Minimum Viable Product) from which to conduct validated learning . Create Personas that describe them, their values and actions with the product. Get out of the Building. Discover your customers! Then answer: 1. Do customers have a need for your product? 2. Is your product what they want? Discuss Pirate Metrics Acquisition, Activation, Retention, Revenue, Referral @agileInnovator [email protected] ©2015, Bill Allen, Licensed under the Creative Commons Attribution-ShareAlike 3.0 Unported. Write your Vision Statement

33 1987 2001 2015 1970 14 years 14 years 17 years Waterfall Objectory Process (RUP) Agile Manifesto Product Discovery Evolution of Software Development

34 Knowledge List

35 Questions Feedback Bull$^!+

The End 36

CAOS 2015: YACC (Yet Another Curious Canvas): Introducing the Product Discovery Canvas

CAOS 2015: YACC (Yet Another Curious Canvas): Introducing the Product Discovery Canvas

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