“Listening In” to Find and Explore New Combinations of Customer Needs

Abstract

By “listening in” to ongoing dialogues between customers and Web-based virtual advisers (e.g., Kelley Blue Book's Auto Choice Advisor), the authors identify new product opportunities based on new combinations of customer needs. The data are available at little incremental cost and provide the scale necessary for complex products (e.g., 148 trucks and 129 customer needs in the authors’ application). The authors describe and evaluate the methodologies with formal analysis, Monte Carlo simulation (calibrated on real data), and a “proof-of-concept” application in the pickup-truck category (more than 1000 Web-based respondents). The application identified opportunities for new truck platforms worth approximately $2.4 billion–$3.2 billion and $1 billion–$2 billion, respectively.