Applying the framework to identify customer value: A case of sustainable product in agriculture

Abstract

Developing innovative solutions begins with the identification of needs to represent customer value. This understanding is essential for entrepreneurs to test their hypotheses and deliver value propositions, especially in startups, where the degree of uncertainty is high, and the business model has no consolidation. To this end, different approaches, which are mostly supported by learning cycles of experimentation, have emerged to assess customer and stakeholder value in innovation projects. To understand how these approaches and practices represents an alternative for value identification and proposition, this study aims to demonstrate a method to conduct practices and techniques in innovative solutions to anticipate customer value during the front-end phases of a sustainable product. The main contribution is the application of the framework in the case of a startup focused on agriculture for the development of a grain drying machine. The main technology behind this innovation is the drying through oxyhydrogen burn, which is extracted from the water. The framework proved to be useful for organizing market-bound information to form customer value proposition. The results allow the startup to reduce or solve uncertainties in its business model, which are challenges inherent to the innovation market. The learning from the application of the framework resulted in a remodeling of the business model to achieve a broader public as the startup pivoted initial customer needs into product requirements.