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Grace Ng | SearchLove San Diego, 'Designing Effective Experiments for Product Decisions'

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Grace Ng | SearchLove San Diego, 'Designing Effective Experiments for Product Decisions'

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Every product decision is an experiment. If we can reframe our thinking from launching campaigns and building features to challenging assumptions and running experiments, then we can increase our productivity and get better results with less effort. Grace will share a structured process for designing effective experiments, and talk about some of the common pitfalls and challenges teams face when running experiments in their companies. Using examples from her work helping product teams within large companies, Grace will reveal a few ways to overcome these challenges.

Every product decision is an experiment. If we can reframe our thinking from launching campaigns and building features to challenging assumptions and running experiments, then we can increase our productivity and get better results with less effort. Grace will share a structured process for designing effective experiments, and talk about some of the common pitfalls and challenges teams face when running experiments in their companies. Using examples from her work helping product teams within large companies, Grace will reveal a few ways to overcome these challenges.

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Grace Ng | SearchLove San Diego, 'Designing Effective Experiments for Product Decisions'

  1. 1. Designing Effective Experiments for Product Decisions Grace Ng Co-founder, Javelin.com creators of QuickMVP @uxceo
  2. 2. "Business has only two functions - marketing and innovation." - Peter Drucker
  3. 3. Build
  4. 4. BUILD EXPERIMENT Hypothesize Test METRICS PIVOT/PERSEVERE Analyze @uxceo LEARN MEASURE
  5. 5. Javelin Experiment Board Start here. Brainstorm with stickies, pull it over to the right to start your experiment. Experiments Customer Problem Solution Riskiest Assumption Method & Success Criterion Result & Decision Learning 1 2 3 4 5 >OVPZ`VYJZ[VTLY)LHZZWLJPÄJHZWVZZPISL Time Limit: 5 Min What is the problem? Phrase it from your customer’s perspective. Time Limit: 5 Min +LÄUL[OLZVS[PVUVUS`HM[LY`VOH]L]HSPKH[LKHWYVISLT^VY[OZVS]PUNTime Limit: 5 Min List the assumptions that must hold true, for your hypothesis to be true. Time Limit: 10 Min Need help? Use these sentences to help construct your experiment. To form a Customer/Problem Hypothesis: I believe my customer has a problem achieving this goal. To form your Assumptions: 0UVYKLYMVY̸hypothesis to be true, assumption needs to be true. Determine how you will test it: The least expensive way to test my assumption is... To form a Problem/Solution Hypothesis: I believe this solution will result in XHU[PÄHISLV[JVTL. To identify your Riskiest Assumption: The assumption with the least amount of data, and core to the viability of my hypothesis is... Determine what success looks like: I will run experiment with # of customers and expect a strong signal from # of customers. Project Name: Team Leader Name: GET OUT OF THE BUILDING! Download Experiment Board and watch case studies at www.javelin.com © 2014 Javelin. You are free to use it and earn money with it as an entrepreneur, consultant, or executive, as long as you are not a software company (the latter need to license it from us). @uxceo http://bit.ly/xB0@Dux ceo grace@QuickMVP.com
  6. 6. Step 1 Define Your Hypothesis @uxceo
  7. 7. Who is your customer? Must be specific to be easily testable! @uxceo
  8. 8. What is his/her problem? Must be specific to the customer @uxceo grace@QuickMVP.com @uxceo
  9. 9. Problem INCORRECT: “People are not buying enough cameras” is not a problem someone has CORRECT: “The outdoor adventurer hates the bulkiness” “The amateur photographer doesn’t think his skills are good enough to invest in a DSLR ” Different customers, different problems @uxceo @uxceo grace@QuickMVP.com
  10. 10. Problem Hypothesis I believe [my customer] has a problem [achieving this goal] @uxceo @uxceo grace@QuickMVP.com
  11. 11. Solution Do not define until the problem is validated Why? Because every problem has multiple solutions @uxceo @uxceo grace@QuickMVP.com
  12. 12. Discover @uxceo
  13. 13. What is the solution? What will solve your customer’s problem? @uxceo
  14. 14. Solution Hypothesis I believe [my solution] will result in [my customer] taking [specific action] @uxceo grace@QuickMVP.com @uxceo
  15. 15. Step 2 Plan your experiment @uxceo @uxceo grace@QuickMVP.com
  16. 16. What must we LEARN? What are the Core Assumptions of our business? Assumption: A behavior, mentality, or action that needs to happen in order for hypothesis to be true. @uxceo @uxceo grace@QuickMVP.com
  17. 17. What must we TEST? Prioritize: Which Assumption is the Riskiest? The one that is most unknown, and crucial to the business @uxceo @uxceo grace@QuickMVP.com
  18. 18. Minimum Viable Product Use the least amount of effort to get the most amount of customer feedback @uxceo @uxceo grace@QuickMVP.com
  19. 19. What What do must we BUILD we BUILD? to test? 1. Exploration: test validity of problem 2. Pitch: test value of your solution 3. Concierge: test customer satisfaction or behavior @uxceo @uxceo grace@QuickMVP.com
  20. 20. How to MEASURE success? Minimum Success Criteria : What’s the weakest outcome you need to see in order to move forward? @uxceo @uxceo grace@QuickMVP.com
  21. 21. How to MEASURE success? 1. Cost • Project Cost • Opportunity Cost 2. Existing metrics • Business KPI • Specific user behavior @uxceo @uxceo grace@QuickMVP.com
  22. 22. Step 3 Run your experiment @uxceo @uxceo grace@QuickMVP.com
  23. 23. @uxceo
  24. 24. Step 4 What did you learn? @uxceo @uxceo grace@QuickMVP.com
  25. 25. Invalidated? PIVOT! @uxceo
  26. 26. Validated? PERSEVERE! @uxceo
  27. 27. Keep Testing @uxceo
  28. 28. Case Study @uxceo
  29. 29. @uxceo Founders UX Help
  30. 30. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... Boot-strapped startup founders Getting UX feedback No reliable source Interview: 6/10 GET OUT OF THE BUILDING!
  31. 31. Exploration Interviews @uxceo
  32. 32. Effective Interviews 1. I’m doing some research around... 2. Have you ever [experienced problem]? 3. Tell me about that time, what happened? 4. What did you do to resolve it? 5. How satisfied were you with the outcome? 6. If unsatisfied, how else have you tried to solve it? @uxceo @uxceo grace@QuickMVP.com
  33. 33. Collect Data • Level of pain/frustration • Frequency of encounter with pain • Existing behavior to solve problem • Time/money spent searching for a solution @uxceo @uxceo grace@QuickMVP.com
  34. 34. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! 9/12 Persevere Friends. Classes. Paid UX designers hourly for help @uxceo
  35. 35. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... Boot-strapped startup founders Getting UX feedback No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback @uxceo
  36. 36. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... Boot-strapped startup founders Getting UX feedback No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 @uxceo
  37. 37. @uxceo grace@QuickMVP.com $10 @uxceo
  38. 38. No Backend @uxceo grace@QuickMVP.com @uxceo
  39. 39. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Pay for virtual UX feedback Pitch: 8/10 10/10 Test 2nd side of market Don’t mind virtual at all. Price is cheap 9/12 Persevere Friends. Classes. Paid UX designers for help @uxceo
  40. 40. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... Boot-strapped startup founders Getting UX feedback No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting @uxceo
  41. 41. Boot-strapped startup founders Getting UX feedback Boot-strapped startup founders Getting UX feedback No reliable source No reliable source Interview: 6/10 Interview: 6/10 Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 @uxceo
  42. 42. Seriously? @uxceo
  43. 43. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Pay for virtual UX feedback Pitch: 8/10 10/10 Test 2nd side of market Don’t mind virtual at all. Price is cheap Will consult virtually Pitch: 8/10 0/10 Pivot! 9/12 Persevere Friends. Classes. Paid UX designers for help @uxceo
  44. 44. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Pay for virtual UX feedback Pitch: 8/10 10/10 Test 2nd side of market Don’t mind virtual at all. Price is cheap Will consult virtually Pitch: 8/10 0/10 Pivot! No! 5 yrs exp. Established 9/12 Persevere Friends. Classes. Paid UX designers for help @uxceo
  45. 45. Boot-strapped startup founders Getting UX feedback Boot-strapped startup founders Getting UX feedback No reliable source No reliable source Interview: 6/10 Interview: 6/10 Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 Recent grad UX designers experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 Recent grad UX designers Getting clients for quick UX consulting @uxceo
  46. 46. Boot-strapped startup founders Getting UX feedback Boot-strapped startup founders Getting UX feedback No reliable source No reliable source Interview: 6/10 Interview: 6/10 Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 Recent grad UX designers Getting clients for quick UX consulting Virtual UX feedback Give quick online feedback Pitch: 60% experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 Recent grad UX designers Getting clients for quick UX consulting Virtual UX feedback Give quick online feedback Pitch: 60% @uxceo
  47. 47. Pitch @uxceo @uxceo grace@QuickMVP.com
  48. 48. Google Ads @uxceo @nycuxpa #ngnycuxpa @uxceo
  49. 49. No Backend @uxceo
  50. 50. Quick MVP @uxceo grace@QuickMVP.com @uxceo
  51. 51. 3 Data Points @uxceo @uxceo @nycuxpa #ngnycuxpa
  52. 52. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! 8/10 Persevere Friends. Classes. 2 paid UX designers for help Pay for virtual UX feedback Pitch: 8/10 10/10 Test 2nd side of market Don’t mind virtual at all. Price is cheap Will consult virtually Pitch: 8/10 0/10 Pivot! No! 5 yrs exp. Established Give quick online feedback Pitch: 60% 37/184 emails Persevere Started referring friends @uxceo
  53. 53. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... Boot-strapped startup founders Getting UX feedback No reliable source Interview: 6/10 GET OUT OF THE BUILDING! Boot-strapped startup founders Getting UX feedback Virtual UX feedback Pay for virtual UX feedback Pitch: 8/10 UX Designers Getting clients for quick UX consulting Virtual UX feedback Will consult virtually Pitch: 8/10 Recent grad UX designers Getting clients for quick UX consulting Virtual UX feedback Give quick online feedback Pitch: 60% Boot-strapped startup founders Getting UX feedback Virtual UX feedback Online platform is sufficient Concierge: 60% satisfied @uxceo
  54. 54. Customer Submits Request UX Designer gets email and submits feedback Concierge @uxceo grace@QuickMVP.com @uxceo
  55. 55. Customer Submits Request UX Designer gets email and submits feedback Manually @uxceo grace@QuickMVP.com @uxceo
  56. 56. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. No reliable source Interview: 6/10 GET OUT OF THE BUILDING! 8/10 Persevere Friends. Classes. 2 paid UX designers for help Pay for virtual UX feedback Pitch: 8/10 10/10 Test 2nd side of market Don’t mind virtual at all. Price is cheap Will consult virtually Pitch: 8/10 0/10 Pivot! No! 5 yrs exp. Established Give quick online feedback Pitch: 60% 37/184 emails Persevere Started referring friends Online platform is sufficient Concierge: 60% satisfied 20% Iterate Wanted more function-ality @uxceo
  57. 57. @uxceo High Frequency Low Pain High Pain Low Frequency Focus
  58. 58. @uxc@eolissijean
  59. 59. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic GET OUT OF THE BUILDING! @uxceo
  60. 60. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block GET OUT OF THE BUILDING! @uxceo
  61. 61. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic Shoppers will buy GET OUT OF THE BUILDING! @uxceo CMS Block
  62. 62. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Concierge: Purchase up 20% GET OUT OF THE BUILDING! @uxceo Shoppers will buy
  63. 63. @uxc@eolissijean
  64. 64. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. Shoppers will buy from CMS Concierge: Purchase up 20% GET OUT OF THE BUILDING! @uxceo $0 in Revenue No CT
  65. 65. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. Shoppers will buy from CMS Concierge: Purchase up 20% GET OUT OF THE BUILDING! @uxceo $0 in Revenue No CT Shoppers don’t looks at the home feed, only emails
  66. 66. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Shoppers will buy from CMS GET OUT OF THE BUILDING! @uxceo Concierge: Purchase up 20%
  67. 67. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Shoppers will buy from CMS GET OUT OF THE BUILDING! Opensky Shoppers Not seeing curator messages @uxceo Concierge: Purchase up 20%
  68. 68. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Shoppers will buy from CMS GET OUT OF THE BUILDING! Opensky Shoppers Not seeing curator messages @uxceo Concierge: Purchase up 20% Email messages
  69. 69. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Shoppers will buy from CMS GET OUT OF THE BUILDING! Opensky Shoppers Not seeing curator messages @uxceo Concierge: Purchase up 20% Email messages Shoppers will buy
  70. 70. experiment. Experiments Customer Problem Solution Riskiest Assumption Success Criterion Result Decision 1 2 3 4 5 Time Limit: 5 Min Time Limit: 5 Min OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... OpenSky Shoppers Think curators not authentic CMS Block Shoppers will buy from CMS GET OUT OF THE BUILDING! Opensky Shoppers Not seeing curator messages @uxceo Concierge: Purchase up 20% Email messages Shoppers will buy Concierge: Purchase up 20%
  71. 71. @uxceo
  72. 72. Success! 2x Open Rate 3x Purchases @uxceo
  73. 73. Solution Riskiest Assumption Success Criterion Result Decision Learning OZVS]PUNTime Limit: 5 Min Time Limit: 10 Min Hypothesis: solution will result XHU[PÄHISLV[JVTL. Assumption: the least core to the hypothesis is... like: with # of expect a strong customers. Shoppers will buy from CMS Concierge: Purchase up 20% GET OUT OF THE BUILDING! $0 in Revenue No CT Shoppers don’t looks at the home feed, only emails Shoppers will buy Concierge: Purchase up 20% 300% on purchases Shoppers like videos, photos, from curator in email @uxceo
  74. 74. Guess? @uxceo
  75. 75. 8 Weeks + 5 People -$77,000 @uxceo
  76. 76. 2 Weeks + 2 People +$10,000 @uxceo
  77. 77. 1. Form your hypothesis 2. Identify your riskiest assumption 3. Decide how you’ll test it 4. Define success 5. Analyze results and try again @uxceo
  78. 78. Thanks! Download resources at Javelin.com @uxceo

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