Building a Downstream Focus

When asked about the level of market research that went into the development of the iPad, Steve Jobs famously answered, “None. It’s not the consumers’ job to know what they want.” Think about it. If asked two decades ago, “What new development would be most beneficial for your personal life or for your business?”, would you have identified the Internet, email, the iPhone, or even automated production technologies? The answer is no. None of us even dreamed we wanted or needed those innovations. However, today, we would be hard pressed to keep in touch with family and friends or be successful in business without them.

Steve Jobs did not ask us if we needed the high tech products he invented. He developed the products, showed us why we needed them, and then convinced us of the perceived value in using them. The point is that the most sacred of business tenets, “listen to your customers’ needs,” is not as sacred as we once believed. Today’s reality is that some of the most successful businesses are finding success not by being responsive to customers’ stated preferences but by defining what customers are looking for, creating a vehicle that meets that criteria, and then shaping the customers’ reasons for buying. There are myriad examples of businesses that have successfully shaped the buying experience. Let’s take a look at Starbucks. Who would have dreamed that in 1980 consumers wanted, needed, or would even pay for a $4.00+ cup of coffee when a cup of coffee in a local restaurant or coffee house cost less than a dollar? Or that in 2013 we would stand in long lines craving to part with that amount and more for a “Venti Iced Skinny Hazelnut Macchiato, Sugar-Free Syrup, Extra Shot, Light Ice, No Whip”? Perhaps it’s the allure of the individualized order, or the convenience of location, or the comfort of the sameness of the ambiance and experience regardless of location that has built such an unbreakable bond of customer loyalty.