Deck 3: Defining the Needs of Target Customers

Question 1

What is a mandatory requirement for successfully creating a new venture?

A) Being in the right place
B) Always having a sense of urgency
C) Spending time with customers in a selected industry niche
D) Trusting your instincts

Answer 1

C

Question 2

What is the true litmus test for a venture concept?

A) Whether or not the customer sees value in the concept and is willing and able to pay for it
B) Whether or not customers are at least willing to try your product
C) An experiment that proves your prototype works
D) Whether or not the customer reacts positively to the concept

Answer 2

A

Question 3

In which of the following areas are latent needs often found?

A) Safety
B) Sustainability
C) Personalization
D) All of the above

Answer 3

D

Question 4

In which dimension of a use case can latent needs appear?

A) Before use
B) During use
C) After use
D) All of the above

Question 5

What is a disadvantage to communicating with potential customers via just email and telephone?

A) Takes away the intimacy of observation and learning by direct contact in the field
B) It is an in-depth approach to collection of customer data
C) It allows the customer to elaborate on their answers
D) Technical issues can get in the way

Question 6

What does a use case activity almost always have?

A) Just an after use element
B) A before, during, and after use dimension
C) Just a use case element
D) A production and consumption dimension

Question 7

Which of the following statements is true?

A) There are fewer B2C customers to potentially observe in a market
B) It is much more difficult to observe B2C customers
C) A B2C customer's use environment is more difficult to define
D) Gaining access to potential B2B customers is much more difficult compared to B2C customers

Question 8

Consider, first and foremost, ______________ to guide your innovation.

A) the cost of entering the market
B) customer needs frustrations
C) competitors' current industry position
D) adjacent markets

Question 9

What is ethnography?

A) Data collection done through participant observation and interviews in a customer's context of use
B) The study of what encourages people to buy
C) Data collection done through internet surveys
D) The study of product placement

Question 10

Latent needs are _____________________.

A) implied or hidden needs without the customer knowing the solution
B) obvious needs that address users initial commitment to a product
C) observable customer needs
D) a missing piece of the product

Question 11

How do you identify the customer needs your venture should address?

A) By observing and talking to customers
B) Asking the competitors
C) Looking it up on the Web
D) Calling your customers on the phone

Question 12

Which is true with regard to the target customer?

A) The target customer is the target buyer.
B) The target customer is the target end-user.
C) The target customer can be a target end-user and/or a target buyer.
D) The target customer is always the target user.

Question 13

What is value?

A) A function of the short-term benefits of a product or service
B) How long the product will last
C) The price of the product
D) A function of the short and long-term benefits of a product or service exceeding the costs of purchasing and maintaining it

Question 14

What is a key caveat of using observation of customers?

A) Quality is more important than quantity
B) Observe as many customers as possible
C) Observe customers in only one location
D) Only allow one venture team member to do the observation

Question 15

What does a "persona" of a target customer not contain?

A) The customer's demographic information, either consumer or business related
B) The design of your own product or service for the customer
C) The customer's core needs, values, and beliefs
D) The customer's purchase preferences

Question 16

What is the recommended number of quality conversations with potential customers?

A) 6-12
B) 3-6
C) 12-15
D) Over 20

Question 17

How should entrepreneurs think about leveraging latent needs?

A) Latent needs should lead to new solutions
B) Latent needs should be considered in the design, but not the focus of the product
C) Latent needs should be considered only in the packaging of the product
D) Latent needs should be disregarded

Question 18

A valued trend is ______________.

A) emerging but not yet mainstream
B) constant growth
C) fluctuating revenues
D) financing milestones

Question 19

When attempting to understand target customers it is important to ______________.

A) know their demographics
B) observe and speak with them in their places of use
C) simply confirm your initial assumptions about them
D) observe and speak with a large number of them

Question 20

A balance of which two concepts should you base your target market upon?

A) User needs and industry
B) Financial projections and market price
C) Internal and external factors
D) White space and venture concept

Question 21

What of the following should you not do during detailed consumer interviews?

A) Offer a genuine thank you
B) Use yes or no questions
C) Position it as a conversation not formal interview
D) Apply the laddering technique

Question 22

The customer's specific desires and frustrations as they relate to a specific use case are known as:

A) Latent Needs
B) Annoyances
C) Core Needs
D) Preferences

Question 23

Which of the statements are true

A) A functional benefit for a new product is when it provides better performance than existing products
B) An emotional benefit is when a new product makes the user "feel better" or more satisfied, empowered, etc.
C) A social benefit is when the new product contributes in some way to a larger societal good, either from the product itself or the business behind the product.
D) All of the above

Question 24

Which of the following is not a latent need?

A) Safety
B) Reuse
C) Personalization
D) Price

Question 25

A product concept includes:

A) The target customer
B) The product description and the most important design points
C) Primary use cases and customer benefits
D) All of the above

Question 26

What is the difference between perceived and latent needs? Give one clear example of that difference with a B2B business; and then another clear example for a B2C business.

Question 27

For your own venture, present a plan for doing the "ethnography" needed to get the customer insights you require to create your new products or services? Where are you going to go? How many people are you going to talk to? What do you think, before even starting that work, will be the two or three distinct "persona's" that you will encounter?

Question 28

Demonstrate your understanding of a use case scenario for a particular product or service. Be sure to include the "before - during - after" elements. You can even use taking this course for learning about entrepreneurship as an example if you so choose.