CustDev or JTBD: what to choose for audience research

Market research, target audience - these are key tasks in the development of any business. Only if you understand who you should focus on in providing your own goods, services, you will be able to correctly adapt your strategies and get the maximum return in practice. Today, the process of collecting information about competitors, consumers has become an automated task due to the availability of specialized services. In this case, it will be enough to perform basic settings in order to subsequently receive the necessary information as quickly and comprehensively as possible.

So, for audience research, most modern businesses use 2 main methods: CustDev and JTBD. These are a kind of interviews that will help to understand the needs of customers, as well as the tasks that the consumer market would like to solve with the help of services or products of the business, respectively. In essence, both of these methods are quite similar. Therefore, many of those who are faced with the selection process rely on one of the methods, without delving too much into its features. As a result, it turns out that the ready-made solution does not quite live up to expectations and you have to do additional work.

As part of today's review, we will dwell in more detail on what the CustDev and JTBD methods are, how they are similar and what differences are present in the mechanics of the implementation. We will talk about what data can be obtained as a result of using each of the tools. We will tell you how to use CustDev and JTBD in practice to minimize all possible errors and difficulties. The information provided will allow you to delve into the specifics of these tools in as much detail as possible and understand which solution is best for your business.

You may also be interested in this question, dedicated to how to work with the Facebook&Instagram audience.

Features of the CustDev and JBTD methods

Before moving on to familiarization with the features of each of the tools, let's get to know them briefly. So, CustDev is an abbreviated name for, which literally translates as “customer development”. It is an interview during which specialists can find out whether there is a need for a certain company product or service on the market at a given time. That is, in this case, we are talking about whether there is a problem that your business's products can solve. During such an event, the very idea of launching a product on the market is tested even before its development begins, and feedback is formed with the target audience. Today, the CustDev strategy is an integral part of a lean startup (Lean startup methodology).

In turn, JTBD is an abbreviation for Jobs To Be Done, which translates as "work that must be done." This is also an interview, but it is already aimed at finding out what problems your product can solve for the audience. Alternatively, a buyer buys a washing machine not so that it fits harmoniously into the interior of his bathroom, but to improve his own comfort, reduce the time spent on housework, getting rid of hand washing. That is, a washing machine is bought to automate the process of washing linen and clothes.

Both interviews that we are considering in the review today can rightfully be called truly advanced tools for studying the target audience, namely, the tasks that the consumer market sets for itself. They will help to understand what kind of product people want to see on the market, what properties it should have.

Both the first and second methods allow you to identify all those hypotheses that will contribute to the improvement of an existing product, as well as one that is only planned to be launched on the market. As a result, the likelihood of releasing an unclaimed product is minimized. They also have a lot in common directly in the mechanics of conducting interviews, in particular:

1. Focus solely on facts during the interview. Alternatively, here they do not ask "would you like such a product to be on the market?" In this case, a more specific question is asked: "When this product comes to market, will you buy it?"
2. The numbers will show the exact results of the surveys. In order to get the most correct answer that you can use when forming the final report, it is suggested to ask specific questions. For example, “How many times have you already had a similar problem?”, and not “Have you ever had a similar problem?”.
3. The purpose of such interviews is to study the audience, and not to sell them a product or service. That is, the methodology of these tools does not involve informing about the properties or competitive advantages of the product. Here, it is important to simply understand whether this or that person will buy the product when it appears on the market - and that's it.

But, despite sufficient similarity, including in the interviewing mechanics, the JTBD and CustDev methods still have a number of fundamental differences. And this is what makes them not interchangeable, but complementary methods of audience research. Now we will get to know each of these tools in more detail so that you can delve deeper into the specifics of their work and determine for yourself the need to use them.

Getting to know the CustDev methodology in detail

CustDev is an interviewing method that identifies the problems and needs that existing and potential clients of your business face. Based on the information received, you can get a deeper understanding of the situation that exists on the market today and draw conclusions that were previously not obvious. Alternatively, you can identify the shortcomings of existing products or solutions, note new growth points. It may well turn out that your clients lack the delivery methods that you offer.

In this case, the audience is studied directly from the point of view of product release, existing strategies, and functional specifics. Existing hypotheses can be easily tested in practice by “trying on” them to the real market and current consumer problems. By analyzing the data obtained, you will be able to make adjustments to the product development strategy, prioritize certain functions. That is, within the framework of such a study, the hypothesis of growth, demand, and value for real buyers is confirmed or refuted.

The CustDev methodology was first proposed for use by entrepreneur Steve Blank. He argued that before developing a particular product, it is necessary to determine whether there is a need for it in today's market. And only in the case of a positive answer could the entire production process be launched. That is, the focus should be on solving the problem of the target audience. Following this methodology, the product will be created not on the basis of personal preferences and assumptions of business representatives, but on what buyers want to see in it. In-depth interviews are launched and various surveys are created to find out their opinion. Recently, A/B testing has also been actively used. Despite the fact that in its original version the CustDev methodology was primarily focused on startups, today it is actively used in other areas.

If you decide to use the Customer Development technology in your practice, you will be able to:

• get to know your target audience better, understand who exactly your business is focused on;
• determine the future course of product promotion, identify the properties that should be characteristic of it and what it lacks;
• understand that the market really needs your product or service, that is, that it will be in demand among buyers;
• minimize the risks associated with launching a product on the market by identifying and promptly eliminating weaknesses, prevent wasting funds;
• study the expectations of potential buyers, set priorities as correctly as possible when developing and launching your product on the market.

That is surveys and testing within CustDev are what will allow you to look at your product through the eyes of potential buyers. See the moments that require improvements, or even corrections. Using this method in practice, you will be able to avoid launching failed products and services. That is, you will offer the market only relevant offers that will be in consistently high demand.

A little about the basic principles of CustDev

The CustDev methodology is what will allow business representatives to get to know their target audience in as much detail as possible, as well as to identify what products they need from the company, what they will buy and recommend to their friends. In order for such studies to yield the maximum result in practice, they must be implemented as correctly as possible. And this means that it is necessary to have a good understanding of the principles on which this methodology is built. Here are the main points:

1. First of all, you need to think about the client. About satisfying his requests and wishes. To implement this, it is necessary to create the most detailed portrait of the target audience. It should contain not only information about the age, gender, income level of clients, but also include pains, needs, desires and interests, preferred communication channels and much more. And it is also very important to find solutions that can satisfy all this. Such developments will be useful not only at the stage of direct product creation, but also at the stage of its launch on the market.
2. Test absolutely all hypotheses in practice. Even those solutions that at first glance may seem unlikely or irrelevant to you, will show their potential upon closer examination. The opposite picture is also possible here: you are confident that your product will enter the market and will be highly appreciated by the audience, but in practice it will turn out that you made a mistake, and a rather serious one at that. This means that money and time have been lost. Therefore, before launching any work, carefully check all hypotheses.
3. Focus on customer values. If you cannot understand what user problems your product can solve, there is no point in even assuming that it will enter the market and be in demand. You will not achieve your own business goals without satisfying user requests, regardless of how much money, time and effort you spend on launching the product.
4. Approach the implementation of the CustDev methodology as consistently as possible, perform a detailed study of each stage. This means that all these questions that you will include in interviews with potential clients should be prepared in advance, carefully thought out. This way, you will not miss important points and ultimately receive the most reliable and comprehensive information. Haste will do no good here.

So what are the strengths of the Customer Development methodology and does it have any disadvantages? We will talk about this further.

Strengths and weaknesses of CustDev

All those who have already used CustDev in practice have probably been able to see how much help this product provides to businesses at the product development stage. With its help, you can build a future business development strategy based on the real picture of the market, and not on your own preferences and illusions. And this can rightfully be called one of the key advantages of this methodology. But it is far from the only one. The strengths here also include:

• the ability to compare the hypothesis and the real needs of customers, their interests;
• risk minimization, including material risks;
• the ability to attract the attention of investors to your ideas, startups, because you will clearly show that your product will interest the audience;
• the most correct assessment of the financial prospects of the idea.

However, along with the strengths, there are also disadvantages. In particular, the use of CustDev in practice excludes the possibility of keeping information about the product secret. You must be prepared for the fact that your competitors will also be able to find out about the development and, perhaps, even get ahead of you with its production and launch on the market. You also need to understand that conducting all the interviews, surveys, research, as well as the subsequent processing of the obtained data is a process that takes a lot of time. This means that the procedure for launching a product or service on the market can be seriously delayed, or even turn into a vicious circle, which involves constant testing of hypotheses. And the most offensive thing about this is that your competitors can develop and move on. Weigh all the pros and cons of the CustDev tool. And then you will be able to understand whether it is worth using this method in practice for you.

How to conduct a CustDev interview correctly

We have already talked about the fact that tools like CustDev can be used not only by startups, but also by any other companies, including those that have been successfully operating on the market for a long time and are now planning to launch a new product. With the help of clearly planned interviews, you can check the prospects of your idea, prevent unnecessary expenses, and put a product on the market that is guaranteed to be perceived positively by the audience.

To implement such tasks, CustDev suggests using two versions of the methodology: problem and solution interviews. This is what will allow you to get to know the target audience in more detail, create a portrait of it, and estimate the possible cost. Thus, a problem interview is what will allow you to launch a test of your own hypotheses regarding current problems of the consumer market. Along with this, solution surveys are what will help test the effectiveness of hypotheses regarding solutions to existing problems. Moreover, you will be able to obtain information that will become the subsequent basis for launching targeted advertising, promoting both a separate product and the company as a whole on the market.

The entire process that needs to be implemented within the framework of CustDev can be divided into 4 main stages:

1. Searching for an audience that will take part in research and preparing people for questions.
2. Directly conducting interviews, as well as obtaining information that will confirm or refute the hypothesis.
3. Product development if the test showed good results.
4. Promotion of the product on the market, launch of sales, business expansion.

All these stages will need to be repeated cyclically as new hypotheses emerge. That is, initially you create something, then - measure the potential, and only then launch it into development. If it turns out that the idea did not work, then it will be necessary to radically rework it and re-check the potential through CustDev.

The whole process in this case will be carried out in the following sequence:

• The hypothesis itself is formed based on a detailed market analysis. That is, from the very beginning you need to look for a product that can hypothetically appeal to consumers. Identify the problems that people have today and offer them a solution - your future product.
• Clearly outline your target audience. You should have a buyer profile containing very deep information, including gender, age, interests, income level, preferences and much more. This is what will allow you to build the most effective strategy for promoting on the market.
• Prepare a list of questions that you will ask your contact group during the interview. Build them in such a way that people give the most detailed answers. Banal "yes" and "no" will not give you the desired picture. Here you need to deeply understand the current problems of a person and the market as a whole, and then offer solutions.
• Gather a group of people who will take part in your interview. In most cases, it will be enough to find about 50 people to get a more or less clear picture. Here you can use social networks, instant messengers, thematic forums, as well as your subscribers, clients, and just site visitors. Inviting opinion leaders and conference participants to CustDev also works well in practice. The main thing is that these people match the portrait of your target audience.
• Conduct the interview itself. It is optimal to use a voice recorder to record the answers. This way you will be able to cover all the information, not miss anything and save your time, as well as the time of people. Do not demand excessive efforts from your group: allocate no more than 15 minutes for each individual person. All questions should be asked in the same sequence.
• Analyze the information received and form on its basis the corresponding tables, graphs, displaying the opinion of the audience. This way you will get the most visual picture, easy to perceive.

The last thing that needs to be done when performing CustDev is to summarize and answer the question about the prospects of the hypothesis. We have already said above that if it turns out to be a failure, it is necessary to find out the reason, eliminate it and conduct a repeat study.

What results will CustDev allow you to get?

Using the CustDev methodology, you will be able to obtain visual information about the state of the market, about the problems that are relevant to it today, and also get the most detailed portrait of the target audience. And you will also be able to test your own hypotheses for prospects, get a number of recommendations on how to improve the product. This is what will allow you to launch a product on the market that will be extremely popular and will help achieve key business goals and objectives in the shortest possible time.

Such interviews can be conducted at any stage of product development, but it is still recommended to do this before the launch of a new production. This way, you can minimize your costs, as well as eliminate failure when entering the market. This is why the CustDev methodology is widely used by startups already at the stage of the idea's emergence.

Getting to know the JTBD methodology in detail

Such an interview method as JTBD assumes that people will use the product in order to solve some problem important to them. This is why these studies are conducted in a specific market segment. Where the most important behavioral factors are present. That is, they are focused on people who have encountered a certain problem, want to solve it and forget about it. But all this will be done with the help of a certain product.

Alternatively, thanks to JTBD, you can assess the importance of performing certain works for a market segment, as well as quantitatively measure these works. The main emphasis here is on what exactly a person would like to receive at the end, that is, having completed the corresponding works. Alternatively, you are thinking about buying a car. During such surveys, you begin to understand what exactly you expect from the future vehicle, that is, what characteristics it should have, how much you are willing to pay for it. As a result, you clearly realize that you know exactly what brand and model you need and are ready to make a purchase.

As a result, it turns out that one main goal is divided into a number of smaller works, which can be implemented using the JTBD Canvas framework. You will have a tool at your disposal that will be able to systematize all the data obtained as a result of the previous interview based on key parameters:

• understanding what problem the potential client would like to solve;
• familiarization with the context itself, that is, with the context in which a similar problem arose for a person;
• the methods that the consumer is currently using to solve the existing problem;
• analysis of the advantages and disadvantages of the existing solution.

Thanks to such information, it will be possible to create several hypotheses for a new product or an expansion of the functionality of an existing one. And here all the advantages of analogs that were identified during the study should already be taken into account, and weaknesses should be eliminated. Due to the fact that business representatives will understand in what direction their client is working, how well he is able to solve existing problems and what results he expects as a result, it will be possible to develop the most effective marketing strategy for their own product, identify growth points and see those points that were missed earlier. That is, thanks to JTBD, you will know the real situation in your market segment and will be able to offer the solutions that it lacks.

Nuances of working with the Jobs To Be Done methodology

In principle, any product can be considered from the point of view of a product aimed at a certain group of people similar in age, social status, interests, preferences. But in the JTBD methodology, everything looks a little different. Here, the product is a way to satisfy the needs of different people who have nothing in common, but who find themselves in the same situation. With its help, you can understand the motivation of the consumer market, that is, why they chose one product and not another. What parameters do they pay attention to in the process of choosing it. All this will allow you to create a product that is ideal for the market, rather than spending your budget on solutions that are obviously not popular.

Working with the JTBD methodology involves implementing a number of stages:

1. Defining the key goal for research. Here, it is important to understand what exactly is planned to be studied and what information should be obtained at the output. Alternatively, if you already have a product, and it does not go to the market, then it is important to understand why this is happening. But it is not that simple. Along with the fact that in order to understand why people do not buy certain products well, it will also be necessary to find out why orders still come from time to time for it, as well as whether it is possible that the product will still become in demand on the market.
2. Building hypotheses. In this case, we are talking about finding out what situation a person should be in to buy your product. Here you should create a fictitious situation. For example, “there is not enough time to do laundry, you need to buy a washing machine.” You should also determine how you can help your client, namely, what specific machine you can offer him to solve the problem most effectively. Perhaps he needs a model with a drying chamber, special programs, etc. The result is also described here: what the buyer will receive after ordering your product.
3. Formulating Job Stories. We are talking about preparing a text description of some hypothetical situation or circumstances in which a person would use your product in practice. At this stage, you can identify the motives of different people who find themselves in a similar situation. That is, here you initially describe the situation itself and the state of your potential client when he needs to purchase your product. Next, the reasons that contribute to the purchase are identified. The last component of Job stories is the result itself, that is, what the person gets at the end.
4. Summarize and draw appropriate conclusions. After all possible Job stories have been formulated, they must be combined into separate groups. This will make the analysis process simpler and more effective. As a result, you will be able to understand customers and their needs, and also pass on all the collected information to marketers so that they can process it and use it when creating a future business development strategy.

As a result, thanks to the use of the JTBD methodology, it will be possible to obtain the most detailed information about a certain market segment and its behavioral factors. This is what will allow you to build the most effective marketing strategy and advertising campaign, understanding what work will need to be done in the future. That is, this is what will allow you to bring your product to the market as easily, quickly, and effectively as possible, and to mark your own presence on it.

When is it worth using JTBD in practice

Using the JTBD methodology in practice will be useful for many business representatives, in particular those who are working on selecting a sales market. Any business, before launching a particular product into production, initially looks for a niche where it will be in demand. And JTBD can provide significant assistance in this. Here you need to understand that in this case, the research is focused on a group of buyers who would like to make some improvements in their own everyday life, life through the use of a certain product. And if you manage to find them, you can be sure that your product already has guaranteed buyers. And JTBD helps to find them. It turns out that you develop and launch a product for which there will be demand.

The JTBD methodology can also be used in practice when developing a new application. If your business is going to make adjustments to the products it manufactures, improve certain indicators, then it is important to understand whether the market will be interested in this offer. That is, you will be able to find out whether your customers need an updated product in principle.

To implement these tasks, JTBD involves the use of two main strategies:

1. Jobs-As-Progress. In this case, it is assumed that the buyer is looking for a certain product in order to improve his everyday life. That is, something that can change his existence for the better. Here, purchases are more emotional in nature. Alternatively, it could be a home orbitrek, a dress from the latest fashion collection of a famous brand, etc.
2. Jobs-As-Activities. This approach involves searching for a product that could perform its direct operational tasks well. That is, the emotional component is minimized here, and the emphasis is on a rational approach. It is assumed that people clearly understand what they are looking for, carefully study reviews, compare the characteristics of different models, pay attention to the description of user experience, warranty period, etc.

Both of these methods have a right to exist and have proven to be highly effective in practice. Which option should you use for yourself? Here, first of all, you should focus on the features of the product itself, as well as what market segment you are working with.

Summing Up

Each business chooses individually which tool to use in practice when conducting interviews with the target audience, based on the tasks it faces at a given time. Thus, CustDev is what will allow you to identify existing problems in the user market, its needs. As a result, you can see things that you did not even suspect existed. It is optimal to use this methodology for startups, as well as when trying to launch completely new products on the market. The main thing is to do all this work as early as possible, literally at the stage of discussing the idea. This will minimize possible risks and prevent wasted funds. CustDev is also suitable for improving an existing product by receiving feedback from the consumer market - those who actually used the product in practice. Such a study will require quite a lot of time, since it covers a wide segment of the market and directly user needs.

JTBD is the technique that will help you delve deeper into the pains and tasks of the consumer audience. It should be used by companies and startups planning to launch a new product. One that will perform specific tasks and solve user problems. This technique will also be useful in developing marketing strategies, determining the product's position on the market in order to ensure the highest possible results for the consumer audience. In work, such studies will be faster, since here there is a focus on a specific segment. That is, all work will be carried out directly with a specific group of people.

Despite the fairly large similarity, both methods have their fundamental differences. This means that they cannot replace each other. Moreover, to get the most clear picture of the feasibility of launching a product on the market, it is advisable to use both interview options and analyze the results together. This will help make the most correct and appropriate decision.

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