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[Experiment Results]: Validating customer Archetypes, Fuel Fiji, Jan 2019

by
Tariq Uddin
Tariq Uddin | 3 months ago | in Sustainable Fuel Consulting

Reference the Experiment Design Post

Validating customer archetypes. Fuel Fiji, January 2019.

 

Lean Phase: Value Proposition, Customer Segmentation

 

Assumption: Testing 6 assumptions with the same success metrics and experiment builds:

 

 

 

1.)   The preference for firewood as cooking fuels presents as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being from rural and coastal villages, predominantly female, Native Fijian populations and mothers.

 

 

 

2.)   The preference for portability for everyday functionality presents as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being from rural and coastal villages, male, occupation in the agricultural sector, with an age range between 30-45.

 

 

 

3.)   Those who express lower cost due to the use of firewood as a fuel and the efficiency in the use of the amount of firewood as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being from rural villages, male, Native Fijian, limited economic resources.

 

 

 

4.)   Those who express convenience as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being returning customers, female, aged 20-40, mothers, occupations in the tourist industry, largely located in urban and coastal environments.

 

 

 

5.)   Those who express health and safety as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being male, 30-40 years of age, educated and fathers

 

 

 

6.)   The preference for recreational use presents as the dominant motive for stove purchase to a segment of our customers. This segment of customers may be identified by the commonality of being from coastal villages, male with an age range between 30-40 and of middle-class socioeconomic status.

 

 

Results:

The green light success point:

  • For the customer archetype to be confirmed, 80% of the sales made for the Buka stove identified one of the above reasons as a motive for purchase, for each of the 6-individual archetypes
  • Minimum of 6 people identified each of the above reasons as a motive for purchase (i.e. there are at least 6 people who said they bought the Buka stove for portability, at least 4 people who bought it for health and safety reasons, etc...)

 

For 3 of the 6 archetypes: preference for firewood, preference for portability, and finally convenience, a green light was achieved, with over 80% of responses being yes, and more than 6 people responding to each question, whereas for archetypes 5 and 6 (health and safety, and recreation) only an orange light was achieved, with both lying between 40-79% for a yes response. Archetype 3 cannot be validated because the related question in the survey was not correct or not correctly worded. The archetype in question was that of lower cost of firewood, however no question in the survey related to that archetype. Furthermore, there was a question in the survey that relates to the Smokey flavour which was confirmed successful (see pie charts below) but was never identified as an archetype in the original experiment design. Overall for archetype 3 there is a null result.

 

Raw data from the entire survey is given in the link below:

https://docs.google.com/spreadsheets/d/1o9GfNlmlbzlpQ9kNgX6zBWf08wh5FGH7ZfDGVMXmcE8/edit#gid=695493216

For analysis purposes the unknown or incomplete answers were factored out and updated data without unknown answers is given below in a series of pie charts (see end of post):

 

 Firewood preference:

30 people responded; 27 yes, 3 no

 Portability:

32 people responded; 28 yes, 4 no

 Smokey Flavour:

27 people responded; 22 yes, 5 no

 

 

 

 

 Fast cooking:

28 people responded; 25 yes, 3 no

 Health and Safety

23 people responded; 11 yes, 12 no

 

 Recreation:

23 people responded; 10 yes, 13 no

 

Validated Learning:
The experiment validated 3 of the 6 assumptions about archetypes, this result indicates that its highly likely that the archetypes of “rural and coastal villages, predominantly female, Native Fijian populations and mothers “rural and coastal villages, male, occupation in the agricultural sector, with an age range between 30-45” “returning customers, female, aged 20-40, mothers, occupations in the tourist industry, largely located in urban and coastal environments” are significant. 2 of the archetypes were neither confirmed nor outright denied, and requires orange light optimization, and finally the last assumption (assumption 4) was not able to be tested due to the experiment execution, though it did validate that customers enjoy Smokey flavour. The orange light result on the health and safety aspect is interesting as it seems possible that a significant portion of the customers are possibly unaware of health issues caused by smoke inhalation, or simply don’t see the buka stove improving that aspect, showing that possibly the archetype of “30-40 years of age, educated and fathers” is not very dominant. As for the recreational usage, while speaking from personal experience of talking to people in Sigatoka market stall about the way they use the Buka and other rocket stoves, it appears that many mentioned that they enjoy taking it camping, though given the above results it seems that this is only a small, yet not insignificant portion of the customer, showing that possibly, the archetype of “coastal villages, male with an age range between 30-40 and of middle-class socioeconomic status” is not a dominant archetype.

 

Despite the above demographic-based archetypes being identified it is worth noting that customer segmentation testing has pivoted from demographic based to value proposition based. so, these demographics aren't as important as the value propositions gauged from the survey question.

 

A major issue with the results is that there were so many incomplete surveys, the raw data indicates that a majority of these questions relating to archetypes were simply unanswered, given the large segment of “unknown” responses. This could possibly affect the results, depending on the people that didn't complete the survey. If, for whatever reason, a large section of the unknown answers were customers of a certain archetype for instance, that archetype would not be represented in the survey.

 

Further testing of customer segments is required since this experiment was only able to confirm three of the six customer archetypes, two of the six were given an orange light and require optimization, and finally one archetype was not tested. Furthermore, since the pivot of archetypes from demographic to value prop, the assumptions in the original experiment need to be redefined to better align with this pivot.

 

Next Move:

With three of the six archetypes identified, the next step is to use these value propositions to either market the stove and/or target consumers. These value propositions are: preference for firewood, preference for portability, and convenience/time to cook. Having quantitative figures to back up these relevant value propositions could work in our favour e.g. time to cook. The experiment also inadvertently identified another value prop of smoky flavour, incorporating this as a value proposition could be advantageous.

 

Since two of the six archetypes received an orange light, they require orange light optimization, the issue with this is one of the orange light actions is to re-adjust the demographics. But with value prop archetypes this isn't relevant. So the only orange light action left is to identify further motives/value propositions. This can be done through further experiments of value proposition, having a new experiment similar to this one, but with new assumptions could achieve this goal.

 

As the sales of the buka 4.0 continue, and the introduction of the 5.3/dragon onto the market, it will be important to maintain data collection practices for both EOI and actual customers as an ongoing task for future project months. A customer information survey has already been made (see link below), continuing use of this and making modifications where necessary, to test out different value propositions will enable this.

https://docs.google.com/forms/d/1L-rK0Qwt1JSseZiPyS6e6V_DCSE5-WsoZqsnIY525eM/edit

 

Finally, the null result needs to be addressed and correctly accounted for. This can easily be incorporated into the new follow up experiment discussed in the previous paragraph.

edited on 16th January 2019, 03:01 by Tariq Uddin
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