Customer Benefit Analysis
A Profit Stream is designed to serve customers segments with the highest profit potential.
The Software Profit Stream Customer Benefits Analysis helps individuals, teams, and organizations through a structured process designed to answer two key questions:
What dimensions of our solution provide benefit to our customer(s)?
What is the magnitude of these benefits to our customer(s)?
Customer Benefit Analysis captures the answers to these questions in a unified economic model based on tangible and intangible economic benefits.
When to Use it?
Customer Benefit Analysis can be used at any time for new or existing software-enabled solutions.
Use the canvas if you want to:
Identify the most promising ideas.
Guide development to create profitable solutions.
Create marketing and sales materials that promote the benefits customers will receive.
Prioritize new and/or improved features.
Adjust pricing choices to enhance profitability and respond to competition threats.
How does Customer Benefit Analysis work?
Goal
To create Dimension and Magnitude Benefit cards that outline a potential solution and the tangible and intangible benefits, and then to evaluate and prioritize them to generate validated benefits that can be used in planning your economic and pricing models (part of the larger Profit Stream Canvas).
Practicalities
Engage multiple participants from product management, marketing, sales, and, for smaller companies, executive leaders.
Leverage one facilitator to guide discussion and a second facilitator to assist with capturing notes, insights, and action items.
Facilitators preparation time needed 0.5-1 day
Process
Follow the flow of the canvas by filling in the DMB cards in Step 1. In Step 2, you will sort the DMB cards into validated and unvalidated learning, which is then prioritized in Step 3. In Step 4, further insights are generated using systems thinking to create a system map of the DMB cards.
