Published on March 13, 2014
www.autoscout24.de Lean Discovery & Development @ AutoScout24 Bonn September, 17th, 2013 www.autoscout24.de
Agenda 1. Short introduction of AutoScout24 and myself 2. The history of product development at AutoScout24 3. How we changed product development 4. Conclusion
Just some words… Introducing AutoScout24 and myself
AutoScout24 – IT IS ALL ABOUT CARS. More than 2 million new and used cars 17.1 million visitors a year in Germany (WNK, ACTA 2012) The largest online car marketplace Europe-wide Over 100,000 used commercial vehicles More than 10 million people Europe-wide use AutoScout24 every month More than 300 million virtual vehicle inspections per month in Europe More than 40,000 dealer clients Europe- wide More than 100,000 motorcycles
AutoScout24 - Europe RUS S PL NL D B F CH A HR RO BG UA I TR E CZ Involved in the markets in 18 countries, AutoScout24 is the largest online car marketplace Europe-wide. AutoScout24 has more than 360 employees throughout Europe.
AutoScout24 Business Model There are two types of customers
Some words about myself Katrin Grothues Born in Marl / Ruhrgebiet Since 01/2012: Product Manager Vehicle Market Dealer Products @ AutoScout24 Before: 3.5 years strategie and projectmanagement at big e-commerce companies Education: Cultural Science (M.A.), university of Lüneburg
Now get to the point Lean Discovery & Lean Development @ AutoScout24
Back then… Product development at AutoScout24 The „discovery“ phase Ok, when you say so… We gonna build the super tool. That‘s fancy and I just know it‘ll work!
Back then… Product development at AutoScout24 The build phase 1st month… 2nd month… 3rd month… Ready!
Back then… Product development at AutoScout24 And finally – get the product to the customer ? Klick
So, where‘s the problem? Stakeholder-centric development lacks user involvement. Market research looks for averages. Market research asks users what they want and does not observe them. It leads to building products, users do not need or cannot use. “If I had asked people what they wanted, they would have said faster horses.” Henry Ford
Discover Build Measure Learn Now: Customer Value Driven Development Observe Observe Observe
Make it better! Focus on the user throughout all the steps of the product development. Observe, don‘t ask. Build small packages and release them fast in order to learn fast.
That‘s theory! What about real life?! A practical example
Here you have it – a real life example Bookmarks Dealer area
The AutoScout24 Value Canvas Customer Quotation Customer Qualification Customer Quantification Customer Insight Customer Value Business Value Key Metrics Key Metrics Uptake Potential
The classical Business Model Canvas
Who‘s my customer? Great, now I see the number of bookmarks for my cars. But what can I do with this information? I do not know the users. Visiting dealers Field sales Customer service Workshops … Start with 1 customer! Observe, don‘t ask!
What‘s his problem? The dealer knows, there are prospects – hot leads - but he cannot directly address them. He has a special offer to convince them to buy, just as he does when a prospect visits the dealership. Focus on the customer‘s 1 core problem!
How many customers have this problem? Identify more real customers with a similar problem! Observe more!
Is the solution successful? Customer Value • Increased Conversion on bookmarks in terms of visits vs. contact mails + x% conversion rate after 2 months Business Value • Dealers‘ usage of product X special offers after 4 weeks Y special offers after 2 months Define actionable key metrics!
What is the solution? Show user addresses! E-Mail system! User- admin! Customer Value Solution Detailpage! Manage Stock! Expiration date! Interfaces! Multiple creation! Text templates! Contact form! Statistics! Bookmarks ! Create! Edit! Delete! Free text!
Build: Implementing the solution Build small packages – Release fast – Learn fast Story Designs Tracking
The first solution on the bookmarks
Measure: Data grabbing User has a favorite list with special offer. User opens special offer. User contacts dealer Dealer inserts a special offer. C o n v e r s i o n F u n n e l
Learn: We have the data – what next? Small open rate Small contact rate Testing with users in lab Telephone interviews with dealers Special offer? That is promotion, I ignore promotions automatically. Special offer? That‘s great! Prospects print it and come to my dealer ship right away! ?
Learn: Adjusting the solution step by step ! Different design drafts – non promotional Fast tests of these drafts with colleagues inhouse A/B test with Optimizely on Live Implementing the winner version Release and tracking on Live Print button on special offer Little open rate Little contact rate
The result: an optimized special offer
Closing notes and take- aways
Get to the right product faster t Specification Build Release Level of uncertainty Order Product Problem Solution Back then Today Level of uncertainty
Make it better! Problems Stakeholder-centric development lacks user involvement. Market research looks for averages. Market research asks users what they want and does not observe them. It leads to building products, users do not need or cannot use. Improvements Focus on the user throughout all the steps of the product development. Observe, don‘t ask. Build small packages and release them fast in order to learn fast.
www.autoscout24.de www.autoscout24.de Thank you for your attention! Kontakt: AutoScout24 GmbH Dingolfinger Straße 1-15 81673 München Katrin Grothues Fon +49 89 444 56-1159 Fax +49 89 444 56 19-1159 firstname.lastname@example.org
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