Specifics, Incorporated

Ask Yourself

Getting Started with the Value-Measurement Process

For the study you are considering, there are several key issues that you will need to address before we can give you a formal proposal. Regardless of the type of study we conduct, whether win/loss, customer satisfaction, or market opportunity, we ask clients to think about the following:

Objectives: What do you want to accomplish? What questions do you have that beg for answers? What will you do with the answers? When the study is completed, what do you expect to be able to do that you do not do now?

Problems, Issues, and Concerns: Where do you want to focus? Within each functional area (sales, support, etc.), what are the major operational problems, issues, or concerns? Are these quantifiable — can they be measured? If so, how? What metrics are used today?

Scope: What is the total universe and which subsets should be studied? How large are the populations to be sampled? How many contacts are considered for each customer? How many sales are won or lost, and in what timeframe? How many support calls are handled, in what timeframe and with what rate of resolution? Are the measures regional, within product or service groups, associated with certain individuals, or time sensitive?

Validity: What degree of confidence do you need in the findings? Is 60% confidence enough? (This is generally okay for most win/loss studies.) Is 80% confidence more appropriate? (This is better for customer, value, or market-opportunity studies.) Higher confidence means larger samples and greater investment. How much confidence do you have in the validity of the contact lists and demographic information you will provide for the study?

Results: What will you do with the findings? Useful information can be developed, but what is management prepared to do with the results? What managers will be tasked with responsibility for taking action? These managers should be included in the study design. For customer and market studies, which customers and prospects should be included in the study design?

Investment: What should be budgeted for these studies? If your closing ratio is increased by some percentage, what will it mean to company results? If the customer base is totally referenceable, how will sales be increased? If you can increase billing rates or charges for support through increased value, what percentage is appropriate? In other words, how will you measure the return on your investment?

Timing: When would you like to receive the results of the study? Is timing dictated by other events, like user-group meetings or planning sessions? When should the research activity be initiated? Consider up to 12 weeks to complete an in-depth study.