Project Everest

Proposed Experiment

[Proposed Experiment]: Offer Testing - Price Testing - Fuel Timor Leste December 2019

Lean Phase: Revenue Streams

Assumption: It is assumed that individuals in Dili will be interested in putting down a $5 downpayment to prove interest in the Fugaun Seguru at the price point of $75 (with option for payment plan). 

Time Box: 2 weeks or until statistical significance (>50 responses from individuals due to varied customer segments)

Success Metric: Price test for $75 with at least 50 people in different appropriate customer segments. Use a $5 down payment as confirmation that $75 is an acceptable price point. 

Green Light Proceed - proceed with current price point ($75) in highlighted customer segments. Update Fuel Bible and appropriate internal documents.

Success Point(s) - 15% of people willing to buy brochure for USD$5 as a down payment on the stove.

Orange Light - Consider adapting current price model or design to better cater to trends found in results. Focus on customer segments that showed greater levels of interest in the stove at the $75 price point. Create new Crowdicity posts to show validated price tests.

Failure Point - If less than 3% of people are willing to make the down payment. 

Red Light Failure - Identify from the negative responses why customers were not willing to invest in the product. Consider further testing of lower price points or making changes to the design to better suit customers’ needs and wants. Consider price testing different customer segment to ensure results are accurate.

 Experiment build: 

  1. Ensure that all teams have a stove with them to present to potential customers, as this was the largest deficiency with the previous test. Empathise and lead to a conversation around cooking and fuel use. An offer test can still be incorporated, and data collected to determine where people drop out along the process of interest.

  2. Once an interest in the product has been identified, offer a brochure and down payment form. We will ask for $5 USD for the brochure, which will be deducted from the full price of the stove should they chose to follow through with their purchase. Reiterate that payment plans are an option to lower the barrier to entry.

    1. If no to the brochure and down payment, try to gain an understanding of why not, offer objection handles.

    2. If yes to the brochure and down payment, proceed with sale, collect relevant details to follow up the rest of the process according to payment plan protocol. 

edited on 30th July 2019, 23:07 by Lucy Preiss

Nic Makram 6 months ago

Status label added: Proposed Experiment

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