In her book Competing Against Luck, Karen Dillon explains the critical adjustments companies need to make to increase the success of their products and services in a world where customer choice drives the market.
Dillon starts the book by introducing the concept of the “Theory of Jobs to Be Done,” a groundbreaking approach to understanding how customers make decisions. The theory provides a framework that companies can use to better understand their customers’ needs and how they approach decision-making. As Dillon explains, the theory helps companies put themselves in the customers’ shoes, allowing them to focus not just on the product or service they’re selling, but on the experiences and outcomes customers seek when buying them.
Throughout the book, Dillon provides a series of examples to illustrate the Theory of Jobs to Be Done and its real-world effects. She begins by describing the story of how McDonald’s transformed itself from a regional burger joint to a global leader in fast food and how the company used the Theory of Jobs to Be Done to help make it happen. Other examples include Walmart’s evolution from a struggling retailer to a discount giant and Nestle’s development of the Kit Kat bar from a regional British snack to an international best-seller.
Dillon then turns to the main theme of the book: how companies can use the Theory of Jobs to Be Done to create products and services that are both successful and profitable. To do this, she explains that companies need to take the customer experience into account when designing and introducing new products and services. She emphasizes the importance of market research and explains that it’s no longer enough to simply develop a great product; companies also need to understand how and why customers want to buy products and services in the first place.
Dillon then dives deeper into the specifics of the Theory of Jobs to Be Done, exploring how companies can use her approach to craft truly successful products and services. She focuses on the concept of “Customer Momentum,” which she defines as the amount of effort customers will expend to make a purchase or use a service. Dillon explains that customers need to trust the company, believe the product is worth the investment, and have their needs accurately identified and satisfied. She also provides practical strategies for companies to use in order to increase customer moment and maximize customer satisfaction.
The book ends with Dillon’s “Four Cs” framework, which she outlines as being critical for success in the age of customer choice. The “Four Cs” are: Customer Understanding, Customer Moments, Customer Experience, and Customer ROI. Each of these components must be well-managed in order to compete against luck in the customer choice-driven market.
Competing Against Luck is an essential read for anyone looking to better understand their customers, craft successful products and services, and make the most of their businesses’ potential. Through her examples, explanations, and advice, Dillon provides readers with invaluable insights into how companies can adapt to the customer choice-driven market and make their products stand out from the competition.
