JTBD Theory: Insights from Ford and Toyota
What is Jobs to Be Done (JTBD)?
At its core, Jobs to Be Done (JTBD theory) is a framework that helps product and marketing teams understand the real reasons consumers purchase products. The main idea is that people don’t just buy products; they "hire" them to perform specific jobs. For example, someone doesn’t buy a screwdriver for its features but for its ability to assemble furniture and improve their home.
A Practical Example
Think about the Snickers slogan, “You’re Not You When You’re Hungry.” When people buy a Snickers bar, they’re not just buying chocolate and nougat; they’re buying a solution to their hunger. Snickers serves the job of satisfying hunger and providing energy.
The Origin of JTBD
JTBD theory was developed by Harvard professor Theodore Levitt, alongside Tony Ulwick, Bob Moesta and Clayton Christensen. They discovered that understanding why people buy products is more about their goals and less about the product itself. Instead of asking people what products they want, they focused on what people are trying to achieve and how they measure success.
JTBD Theory and the Automotive Industry
In 1985, while interning at Ford, Moesta learned about the importance of understanding customer needs through Japanese manufacturing methods. These methods emphasized funneling customer feedback into product specifications. This approach, combined with the Kano model, which categorizes customer satisfaction levels, influenced Moesta’s thinking.
The Ford and Toyota Experience
Let's dive deeper into Moesta's experience with Ford and Toyota, which was pivotal in shaping the JTBD theory.
Ford's Challenge: In the mid-1980s, Bob Moesta was an engineering student at Michigan State University and interned at Ford Motor Company. At that time, Ford was struggling with quality assurance and failure prevention. The company faced stiff competition from Toyota, which had surged ahead in these areas.
Learning from Toyota: To understand why Toyota was outperforming Ford, Moesta and renowned engineer W. Edwards Deming went to Japan to study Toyota's product development processes. They discovered that Toyota's success was rooted in a method called Quality Function Deployment (QFD). This method, developed by Yoji Akao in the late 1960s, was designed to translate customer needs into technical specifications. It allowed Toyota to ensure that every aspect of their product met customer expectations.
Quality Function Deployment (QFD): QFD was revolutionary because it systematically incorporated customer feedback into the product development process. This method helped Toyota align its manufacturing processes with what customers truly valued, leading to higher quality and reliability in their cars.
The Kano Model: Another significant influence on Moesta was the Kano model, developed in 1984 by Noriaki Kano, a professor at Tokyo University of Science. The Kano model categorizes customer satisfaction into five levels, ranging from basic needs to excitement features. This model helped Moesta understand that customer satisfaction is multifaceted and that meeting basic needs is just as important as delighting customers with unexpected features.
Applying Lessons to Ford: Armed with these insights, Moesta returned to Ford and began applying the principles of QFD and the Kano model. However, he realized that traditional R&D approaches were insufficient. Customers might know that their steering wheel was too stiff, but translating that feedback into design improvements was challenging. What was needed was a deeper understanding of the jobs customers were trying to get done.
Beyond Demographics: Moesta's experience with Ford and Toyota taught him that understanding customer motivations went beyond demographic data. It required a focus on the struggles and jobs that customers needed to address. This insight laid the foundation for the JTBD framework.
The Early 1990s: Applying JTBD
In the early 1990s, Moesta teamed up with Rick Pedi to apply what he had learned from Japan in their consulting work. They worked with companies in various industries, including food and beverage, hospitals, and defense contractors. Their approach involved unpacking the distinct problems people had and identifying the unifying component: the customer's struggle. This method went beyond looking at demographic data to predict what consumers want. Instead, it was about understanding people's motivations and approaching their desires as jobs.
Why JTBD Matters
JTBD reveals the true desires and aspirations of customers when making purchases, informing both product design and marketing strategies. For instance, a Starbucks coffee and a meditation app may serve the same purpose for a commuter: providing five minutes of peace to reset. This broader focus on motives opens up more opportunities for innovation and market potential.
Real-World Applications of JTBD
Basecamp’s Email Service, Hey: Basecamp used JTBD to reimagine email, focusing on making it less of a chore. They designed Hey around user struggles, like organizing emails by importance and reducing spam, to make email more user-friendly.
The Sound’s Streaming Audio Project: When two large streaming audio companies merged, The Sound used JTBD to understand why people listen to various audio formats. They identified 10 different jobs, such as using audio to disconnect and reset, which helped refine their product offerings.
Ontrack’s Legal Services: Ontrack used JTBD to pivot from data security to e-discovery services, aligning their product development with the primary job lawyers needed: finding evidence for cases. This focus led to significant revenue growth.
Applying JTBD in Your Business
To effectively apply JTBD:
Create a Job Map: Visualize the steps needed to complete a job, removing the product from the equation.
Use Market Research: Conduct interviews to understand customer needs and set constraints to manage resources effectively.
Engage with Customers: Ensure your product team is skilled in interviewing customers to uncover their true struggles and desires.
Start Small: Focus on a small segment, achieve quick wins, and gradually expand.
By focusing on JTBD, businesses can shift their product development mindset from what they are selling to what customers need to achieve, leading to more innovative and customer-centric products.
Conclusion
JTBD helps companies understand the deeper motivations behind consumer purchases. By identifying these jobs, businesses can create products that truly meet customer needs and stand out in the market. This approach not only drives product innovation but also enhances customer satisfaction by aligning products with the jobs customers need to get done.
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