1. Panorama Strategy: Finding Opportunities in Everyday Inconveniences
Everyday inconveniences can turn into significant business opportunities. The case of Keith Alexander’s trampoline development illustrates this well. Alexander identified safety issues with existing trampolines and developed a new one with various safety features. This product became widely popular and achieved global success. Similarly, it is crucial to pay attention to minor inconveniences and find innovative solutions to address them.
2. Microscope Strategy: Delving into Root Causes of Problems
The Microscope Strategy involves analyzing customer problems in detail to address their root causes. A good example is Pierre Larragoiti’s development of a cost-effective xylitol production method. Larragoiti researched xylitol production to address the high cost of quality sweeteners for his diabetic father, leading to an innovative production method. As a result, xylitol became more affordable, benefiting many diabetic patients.
3. Telescope Strategy: Discovering Potential in Niche Markets
The Telescope Strategy focuses on identifying new markets by addressing the specific needs of niche customer groups. Chris Sheldrick’s development of the what3words location system is a prime example. Sheldrick solved the problem of locating places without addresses by dividing the world into 3m x 3m squares, each with a unique three-word address. This system is particularly useful in regions with poor address infrastructure, and what3words has grown into a global company.
4. Kaleidoscope Strategy: Approaching Problems from Various Perspectives
The Kaleidoscope Strategy involves looking at problems from different angles to find creative solutions. Volvo’s development of bicycle safety technology exemplifies this. Volvo created a system to protect both car passengers and cyclists. This system uses sensors on cars to detect bicycles and warns or automatically brakes to prevent collisions. This innovation has helped Volvo establish itself as a leader in road safety.
Conclusion
The Panorama, Microscope, Telescope, and Kaleidoscope strategies are highly effective in identifying customer needs and seizing business opportunities. Focusing on customers and creating what the market demands enables a business to not only survive but thrive.
Reference: Harvard Business Review, “Find Unmet Needs in the Digital Age”