From commodity to experience

Market strategy generally deals with so called differentiation. That is changing your product from being a commodity, like sugar, wheat or crude oil, to becoming a distinguished product with certain properties so that customers will prefer your product from others and thereby also pay more.

The first thing you do is to, for example, to refine your wheat into noodles. Then you give your product a brand, like Uncle Ben’s for rice. The brand promises a certain, consistent quality. Then, when you continue developing and refining your product you will soon find yourselv developing not the physical product in itself but the experience around it.

In modern product development you switch the process around and start with understanding and developing the experience. This experience is created in the consumers’ heads as an effect of advertising, packaging, product features and personal experiences.

What interests me is why these things still so often are developed separately in a linear process rather than from a customer oriented concept. I believe that those who manage to play all the strings from a common idea can offer stronger experiences, get more satisfied customers and a more successful business.

Sorry, comments for this entry are closed at this time.