2015-02-05

Chris Spiek: All right. Welcome to the latest edition of Jobs-to-be-

Done radio. I’m Chris

Spiek. As always I’m joined by Bob Moesta and Irvin Folks [SP].

Co-host: Hey, Chris. What’s up, man?

Speaker 2: Hey, Chris. How are you?

Chris: Today we have a very special guest. We have Des Traynor

on, who is the

cofounder at Intercom. Hey, Des.

Des Traynor: Hey guys. How’s it going?

Co-host: Hey Des.

Chris: Good, good, good. So, super excited to have you on. I feel

like we go way back,

but we haven’t had a whole lot of opportunities to interact and

collaborate. So I’m really excited to get a good block of time

to talk to you here.

So I know you attended a switch workshop back in San Francisco.

We got a chance to hang out there. I think we had been

introduced or at least emailed or tweeted back and forth even

before that a couple of years ago.

Then most recently, I think, you gave one of the highlight

speeches at Business of Software when we were in Boston back in

October of 2013 here.

I feel like we have been in the same spaces and places, but it’s

good to actually have you on and get to have a serious

conversation about this stuff. So, welcome.

Des: Thank you very much. It’s super cool to be here, and as you

correctly said, we’ve

certainly been dancing in the same areas [inaudible 1:33] for

quite a while now, so it’s actually cool to get to sit down and

have a chat.

Chris: Des, if I remember right it was almost three years ago. I

did a podcast with you

on the Intercom podcast after I did the [Horace] to-do one.

Des: That’s right.

Chris: That’s how you reached out to me. That’s how we really got

started around the

jobs thing, because you’re a big [Horace] fan, aren’t you?

Des: That’s right. So the full background there was I saw Clay

Christensen speak

[about] business software, I guess three years ago, and he told

a milkshake story, basically. Like a lot of people, I was

fascinated by pieces of it, and I went on a progressive hunt to

try to find, like, you know, where can I get more of this sort

of stuff?

I was talking to Ryan Singer [SP], and he said that you were

definitely a key player in this.

I heard you on Horace’s [sP] podcast and that was very cool.

Maybe we could do this for the Intercom podcast, so my idea was,

at the time, it’s weird to talk about [inaudible 2:34] thing,

but at the time [inaudible 2:35] wasn’t really popular in the

text startup scene.

I was thinking it would great. It could be something that the

Intercom blog would share a spotlight on or shine a spotlight

on. We did, I think, maybe a one hour talk. It has been across

two different blog posts, but it’s still one of our most popular

podcasts and interviews that we’ve done to date.

Chris: Wow. I didn’t know that. Cool. So how are you using jobs

now? I mean, at some

point your business and software talk, what do they call it?

Lighting round? You get so many slides in so many minutes. What

was the rules on that?

Des: Yes. It was kind of interesting. You get seven minutes and 30

seconds. You’re

supposed to have, I think, 15 slides and 30 seconds per slide,

and I cheated. There’s no other word for it. I basically broke

the rules. What I did was, I had 15 slides, technically.

But I had, I guess, probably 100 different transitions and in

page animations to simulate more and more slides.

So my talk there was really about one sort of reoccurring theme

I noticed is that people, when they talk about design, obsesses

over version 1.0 and how hard it is to get that right. I think

at 1.0 you have so much clarity and what it is you want to do,

what job your [selling], what [inaudible 3:51] you’re taking,

who you are building for.

It actually gets really, really hard post 1.0 when you get

traction and you start getting pulled in all the different

directions. In my opinion, that is the bigger challenge of

design. Keeping a product on Horace after it has been

successful.

Chris: Yes, and focused. It’s one of those things that people,

they put so much energy

on just getting the 1.0 out that they don’t realize that the day

after 1.0, it’s now pulled in 50 million directions.

You get all this feedback and you’re, like, what do we do with

this feedback? Without having clarity around the job you end up

just doing future creep and solving a bunch of problems that

don’t matter. It’s just a mess.

Des: Totally. The title of that talk, I think, was Product Strategy

[inaudible 4:39]

saying no. I was just recapping different areas where that’s

super important.

Chris: So what are you doing with Jobs-to-be-Done now at Intercom

and other places?

I know you talked at, what was it . . . You were in San

Francisco talking.

Des: Yes. Lean startup.

Chris: Yes. The lean startup conference. How did that go and how

are you using it.

Des So I’ll start with how we’re using it. So Intercom is a tool.

Our goal is to make

web business personal, and what we do is we try to connect

people who run web businesses with their customers. That would

be a really super gauge high level job, but we have very

specific instances of it.

So, basically, anytime anyone is running a web product, they

have regular points in their life when they need to talk to

customers. So let’s say, for example, you just ship a feature.

Right after you click launch and you publish the blog post and

you sit back and you’re, like, “Hey, we did it.”

A whole heap of questions just land in your brain. One of them

is, “I wonder if anyone is using this.” The second one is, “If

they’re using it, is it working for them?” The third one is, “I

wonder who is not using it, and why they’re not using it?”

The old school pre Intercom, most of these questions would be

hit with barriers of difficulty. So you would be, like, “Okay,

let me go and ask a developer to pull database dump of everybody

who hasn’t used this feature yet.

“Let me import that into my meal marketing tool and let me

compose a message out to those guys so that I can ask them for

feedback, and then let me aggregate that feedback and see what I

can make sense of.”

Because that was so tricky it often just didn’t get done. There

were just too many barriers for people to actually do it. So

what they would do is they would maybe call a couple of

customers, or they would read a few blog comments in a feature.

But the complexity, the multitude of steps involved in actually

doing what should be a pretty simple thing prevents you from

doing it.

I always liken it to, imagine if a chef is in a restaurant. He

comes up with a new French onion soup, and he wants to see if it

was easy.

In the internet world what he would do is he would wait four

weeks and then he would email everyone who has ever been at his

restaurant with a Survey Monkey link, and he would say, “Hey

guys. Did you or did you not have the French onion soup? If you

did, can you remember if it was nice?”

Chris: That’s awesome.

Des: That’s the world pre Intercom. Post Intercom it’s the chef

getting his ass out of

the kitchen and going, “Guys, is that soup nice?”

Chris: Nailed it.

Des: So talking to people while they’re doing something is the right

time to actually

get the feedback about what it is you’re doing. That’s one of

the jobs we’ve solved with Intercom.

However, like any sort of job, they don’t exist in a vacuum.

They exist in a work flow in a person’s role in the company.

So you get all this feedback. Well, what are you going to do

with it? And what if somebody reports a bug? That opens a

dialogue. One interesting thing I’ve learned is that only

companies divide communications between bugs, issues reports,

feature feedback, progressive engagement marketing.

For a customer it’s all just talking. Again, imagine you didn’t

enjoy the soup or you had a suggestion. Imagine you had to talk

to two different chefs depending on whether it was a bug

request. That’s the other thing a typical web business does.

They say, “Oh, if this is just your opinion, please send it over

here,” where if you think it’s a fundamental problem and you can

rate in our priority one through four, please go over and talk

to the maitre d’

Chris: Right. Or it’s the analogy of, it’s too hot. So it goes to

the person cooking the

soup, and it might be too spicy hot, not too hot-hot, and then

all of a sudden all chaos breaks out.

Des: Exactly, and for some reason the person who is cooking the soup

can’t talk to the

customer. They have to go through some middle man.

Chris: That’s right.

Des: I’ve talked around a set of problems. Each of those problems

maps to a job, and

that’s what we do at Intercom. Our job is ultimately

communication to connect web businesses with our customers, but

there are several sub jobs. Inter feedback is just one of them.

Surveys, reaching out, asking people to do things. They’re all

different ways, but any time a company is talking to a customer

through the web or through online or mobile, that’s where

Intercom is relevant.

Co-host: To me, especially when you’re doing feature feedback, it’s,

like, “Are you using

the feature the way it was designed? Are you suing the feature

as a workaround and saying, ‘Boy, it doesn’t work for this and

this and this?’ ” Okay, it wasn’t designed for that, so you’re

really giving bad feedback around what it was really not

designed for.

So everybody takes every comment as it’s relevant, and it’s not.

That’s the thing that’s really apparent to me.

Chris: I actually want to go back, because this is really

interesting to me. Clay has this

thing where, and I won’t say it eloquently enough, but an answer

needs a spot in the brain to land, or it’s just going to bounce

off. Can you go back, do you remember seeing him speak at

business of software?

You said that you thought his talk was interesting. What were

you up against at Intercom in that moment that made you actually

think, “Hey, I need to dive into this, learn more about it. Find

out if there’s anything really here.”

The story you just told is, like, everything is solved. We know

what we do. We have a great product and we provide a ton of

value. What was it like back then when we actually gave the

talk?

Des: Sure. That’s an investing question. Clay’s phrase is, I think,

“Questions are places

in the mind where answers fit, and until you have a question the

answer doesn’t fit.” I think it was three years ago.

Business software has always interested me. It’s a way of

punctuating the progress of Intercom for me, because the first

time I went there I stayed at the crappiest air B and B, like,

25, 30 minutes outside of the conference venue.

And next year I’ll be speaking at the conference [and staying

at] the speaker’s hotel. So it’s funny to see progress. But way

back then Intercom, there were a few things that Clay’s talk

made clear to me. One of them was just his basic theory of

disruption. I didn’t realize the opportunity personally that

Intercom had prior to Clay’s talk.

But when he talked about jobs, I guess what it best focused me

on was the idea that we are always of the opinion Intercom was

for people who run web products or web service, or mobile

startups, I guess.

That in and of itself isn’t actually actionable information in

comparison with Intercom [being a] great way to get feedback on

a new feature, or a great way to check up on customers who

aren’t performing, or whatever.

So the biggest insight I got, like, the biggest eye opening

realization was this idea that the customer isn’t the

fundamental unit of analysis.

We basically spoke to too many different types of web businesses

with too many different attitudes towards how they engage with

customers. We couldn’t find any useful commonalities amongst the

people, but we could find plenty of useful commonalities amongst

the tasks.

That was, I think, the piece that really clicked. And I was,

like, “Right.” So if we actually obsess over doing these tasks

rather than understanding these people, we’ll actually make much

more progress much quicker.

Bob: I was talking with Clay right before the Christmas break. He

and I get on the

phone for an hour. We just riff, if you will. HE had a question

for me that was very interesting.

He asked me – he said, “Bob, you said that a job is more like a

verb than it is a noun. I’ve been thinking about that. Tell me

why a job is like a verb,” and to me it goes back to, most

marketing talks about people as nouns, products as nouns, but

jobs are all about the action you do with nouns, right?

So it’s the verbs that are most important. What are you doing

and what do you want to do as opposed to what it is? It’s

really, to me, it gets back to fundamental language and being

able to talk to people about what they’re doing and what they’re

trying to do, not what it is and what it’s trying to be.

Des: Yes. That resonates a lot with me. Often I find any sort of

interesting web

product, people are so quick to try to pigeonhole it using

nouns.

Chris: Yes. That’s right.

Des: They’re, like, “Oh, you’re a help desk. Oh, you’re an analytics

tool.” Straight

away, when they categorize you like that they’ve moved away from

the idea of the jobs you do into the product segment you have to

fit into, and therefore all these assumptions you now have to

have whether you want them or not.

When you let that happen, that’s exactly how you build the

[inaudible 13:28] technology, just being pigeonholed by what’s

already out there.

Chris: That’s right. Nouns are categories, right? This category

or that category.

Categories are important for us to filter, but at the end of the

day we still have to get things done. It’s the action of being

able to turn nouns back into verbs. We don’t need to be working

in the noun space. We need to be working in the verb space, if

that makes any sense.

Des: Yes. The verb space is where you can actually [map] onto things

that are actually happening in reality.

Chris: That’s right, versus what people say. “Oh, it was really

cool.” I don’t know what

cool is, and it’s not a verb. Right? So, anyway.

Des: The one product category I find that’s stunningly in need of

this type of thinking

is actual web analytics. So many web analytics packages are

obsessed. They actually think that their job in life is to join

dots on fancy, pretty, beautiful looking line charts?

Chris: Oh my gosh, Des, you’re going to open Pandora’s box here.

Des: Yes. Maybe I’ll just leave that.

Chris: It’s one of those things I’ve been waiting for somebody to

bring up. So we’ve

been working with Jason and Ryan and those guys at 37 Signals

and looking at some of their data.

What’s so interesting is people aren’t looking at data in the

right way as it relates to what people are doing. They will say,

“Somebody is on a page for 4.3 seconds.”

I don’t know what that is. What are they doing? Where are they

going? What’s the flow? They’re going from here to there, and

what’s the pattern of behavior through it? And when you start to

time slice the data, people aren’t using time slicing the right

way.

So it’s one of those things when you start to see patterns of

how people are behaving on the web, not, like, “Oh, they went

here and they backed out, and then they went here and they

backed out, and then they went here and here and here.”

Okay. Let’s look at the patterns of behavior in it. Let’s not

just say, “Oh, they are on this page for 3.2 seconds and they

went here and they went there.” You need to look at it as each

individual session, and then build the job that they were trying

to get done in that session, and then look at the patterns of

sessions.

It’s very, very different. What you find is I find that web

analytics is driven by the math guys who know how to analyze the

data, but don’t have a theory of how it works.

Des: Yes. I would even possibly be harsher.

Chris: Please do.

Des: I honestly think what it’s driven by is the data points we can

easily collect, and

the prettiest looking visuals that we can easily render. That’s

what [inaudible 16:14] obsess over. They call it analytics, but

when’s the last time a product actually did any analysis for

you? Analysis, to me, looks like that new on boarding you

launched. [It's] actually causing you more friction up front,

and you’re dropping customers at a rate of five more than you

were before.

That’s analysis. Programatically, software can do that for you.

But what they’ll actually tell you is, they will just show you a

lot of numbers and spark lines.

Bob: I remember Chris and I having deep discussions around what does

consumption

look like. How do you know that somebody is consuming your

webpage? What does consumption mean? What are they doing and how

do you know it? It’s taking that conversation and then turning

it into, all right, how do I look at the data to see if I can

see whether they are consuming or not.

So it’s not about them coming. Some people will say, “Well, how

many people signed up?” My thing is that sign up is not

consumption. How many people are putting in tasks? How many

people are creating lists? How many people are doing those

things? That’s real consumption, versus, “Hey, how many people

signed up?”

The thing is, people are focused on the money side, which again,

I’m not saying it’s wrong, but money is not necessarily the true

consumption. It’s where they make the commitment, but that’s not

where they create the value.

Des: That’s true, but also, [inaudible 17:37] on sign ups. That’s

such an easy number

to goose.

Co-host: Yes.

Des: You could just try within sign in via Facebook. Let’s redefine

an active project

manager as somebody who has signed in via Facebook. Now it’s one

click, and all of a sudden your numbers will go up. You’ve just

basically gamed your own system.

Chris: They’re not consuming it any more. They’re just able to

sign up easier. So sign

up doesn’t mean consumption.

Co-host: Is anybody doing it well, do you think, Des? I think you’re

spot on. It needs to be

called, like, web data collection. I can attach page views and I

can create events and I can get all these data points, but there

isn’t real analysis.

The interesting thing is what Bob’s talking about is still

incredibly complex math computations and theory building using

the data, but I don’t know if there’s anybody out there that’s

doing it well, or even getting close to it.

Have you heard anybody or talked to anybody that has a hunch?

Des: No. Luckily, no. I could see different ways. The fundamental

shift that has to

happen in that whole industry is that they need to realize

they’re actually in the business of answers, not in the business

of analysis or analytics or data collection. They’re in the

business of answers. So it’s, like, answer me a question.

If I log into Google Analytics, I’m actually going there to

answer a question, and that question, really, where you look at

where the volume is, the low order bids here are how many hits

did we have yesterday? That’s really worth nothing to me.

A question I want to answer is, given the rate of growth for the

blog, how long before we have a million monthly visitors? Or,

more likely, what will our traffic be like in June? There are

questions I have that inform decisions we make, and what does a

2% increase in sign-ups look like cash wise to our business?

These are things that people want answers to.

If everyone just sat down and said, “We’re now in the business

of answers for web businesses,” they will realize that spark

lines and fancy charts and [data pickers] and all that sort of

stuff isn’t actually what people are chasing.

Bob: Yes. The thing is that, what we’ve been able to do is do the

jobs. Find out the

jobs, for example, of Base Camp. Then go into the data. You can

see behavior of people who are behaving that way to say, for

example, help me think this through, which is they create lots

of lists. They invite a bunch of people. They do all these

things.

But they don’t check anything off, and that’s okay. What their

job is, is to help me think it through. Help me get all the

tasks out. Help me get the different buckets out. Help me invite

the right people to look at it. Make sure I get comments on it.

But it’s not about check, check, check, check. But if you look

at somebody else you has the job of cover my ass, which is, I

want to make sure that I don’t get sued, it’s, like, “Here’s the

task. When did you check it off? What’s the date?”

But you can see that behavior in the data. So when you have the

jobs you actually now have the theory of what you need to go

form the analytics around. That is what true consumption is.

That’s the power of this thing, and so to me, no one is working

on that, and I can’t find anybody who is willing to work on

that.

As Chris says, it’s complex math. I know it’s complicated now.

We need to make it simpler, but I’ve been working on this for

five, six years. It’s just one of my passions. So when I said

you open the box – and I apologize for those who are bored by

this conversation.

Co-host: I want to jump in for a second because I believe it goes back

to what Clay said.

The idea of, analytics built a product. But I don’t believe

anyone upstreaming, and this comes from me having years of doing

reports and saying, “Hey, here’s the pretty graphic,” and then

just getting the cheers. Hey, the numbers went up! Yay! Things

are great! No one has any clue at all what’s going on.

Co-host: Except for when you sit with me and we sit down and talk about

that stuff.

Co-host: I get blasted. But the idea of, until upper management or

anybody up there has

the question that clears the space in their mind to say, “You

know what, we need to think differently.” Because everyone in

the company out there is getting ran by the desk trainer.

They’re not thinking of it on that level.

They’re all just sitting there saying, “You know what? I hired

this company to do analytics management for me, do SEO for me,

do social for me, whatever the job they hire at this company

for, just show me positive numbers. I just want to see green.”

I believe [that] until you have management that can see that

there’s something deeper here, there are deeper insights we can

pull from this information. I don’t think anyone is going to

create a product for that until we have that conversation.

Co-host: So there’s one simple question. How many people are paying for

your product

and not using it, and just waiting to leave, but they don’t know

how? When you ask that they’re going to say, “I don’t know.”

All right. Let’s look at the number of people who are paying who

haven’t logged in and used your product. When are they going to

go? That’s when people go, “Holy crap. Nobody has asked that us

question before.”

Co-host: I think they’re afraid to ask it.

Co-host: The reality is, they have to ask it. That’s real. That’s

fundamentally real. How

many people are on the verge of quitting? We see the positive

side, but how many people are on the verge of quitting

something? It’s like sugar synch, right?

I have Sugar synch, I have Amazon, I have Drop Box. I used sugar

synch religiously until it got all convoluted, and I’m still

paying for it, because I’ve got a bunch of data out there. But

I’m not actively synching with it anymore because it literally

corrupted all of my computers.

I still have it out there, but it’s one of those things that if

they looked at me and said, “Well, wait a second. You were using

this a whole bunch.

Now you’re not using it, but you still have data on it.” I’m on

the verge of, if I can just figure to how to transfer, if I get

the time to transfer the data from that over to Amazon, I’m

done.

How many people are on the verge of quitting, but they’re never

asking those questions because they don’t understand true

consumption?

Des: Two or three, I guess, interesting things on that. It’s funny

you brought that up.

That’s one of the things interim actually can do, which is show

you who is about to quit. We have a segment called slipping

away. It’s people that are inactive. We call it zombie revenue.

Chris: Love it.

Des: You’re counting it, but it’s actually dead. [There are] two

interesting things we’ve

learned from that. Mentally, you have already fired sugar synch,

right?

Co-host: Yes. That’s correct.

Des: They’re gone. I’ll tell you what hasn’t happened. You haven’t

been triggered to

cancel.

Co-host: The bill came the other day, and it was one of the things like,

“Okay, do I have

the time to download the 75 gig of data?” I got on it. I don’t

know where to put it. Screw it. I’ll pay [for] it one more year

and keep going.

I haven’t had the pain to have to get rid of it, but it’s

exactly right. I haven’t had to fire it, is really the role

there.

Des: We looked at this ages ago. We worked with a few customers. We

reached out to

lots of people who have recently quit web products. We’re trying

to work out what the cause or quit is, and if you take a really

naive analysis, and this is one of the points of Intercom.

Here’s what’s going to happen with you, Bob. You’re going to

quit. I guarantee you there are two ways that’s going to cause

you to quit. One of the themes sugar synch is going to send you

a reminder email one day when you actually have a bit of time to

spare, and you’re going to say, “Right. Then I’m actually go

ahead and do it.”

Co-host: There they are, like, “Hey, you haven’t been back. You should

be back.” I’m like,

“No, I should fire you.”

Des: That’s exactly what’s happening, right? And then the other

thing that’s likely to

[happen], and this is really common, they will either say,

“Thank you, Bob, for another $2,000 to cover for your yearly

payments.”

And you’ll go, “Shit, I meant to cancel that ages ago!”

Co-host: That’s right.

Des: Or your credit card expires, right.

Co-host: Oh, that’s a good one.

Speaker Two: That’s a good one.

Co-host: It’s automatic.

Des: What I love about the credit card expiring are the…

Co-host: I wish the credit card would expire sooner sometimes. I have no

idea some of the

time. Oh my God, Yes, I’m still paying for that. I didn’t know

that.

Des: I always ask for a credit card that expires every year, because

it actually forces

me to reconsider all my purchases every October.

Co-host: Oh, I love it. Then you don’t have to cancel.

Des: Exactly. The worst damage they can do to me is accept books for

the next six

months. Then I just know they’re gone. And what’s hilarious is,

this is one of the points at Intercom.

When you cancel with Sugar synch, right, they’re going to count

that as churn. It will be July 2014 or something. We lost Bob.

He was a great customer. What went wrong?

You’re going to get some email from some dude on the sales team

at sugar synch, and he’s going to b alike, “Hey Bob. Notice

you’re a big heavy user, but you quit. What can I do to get you

back? How’s about a 10% discount?’

You’ll be, like, “Dude, I quit mentally in 2013.”

Co-host: 2012, really.

Des: 2012, exactly. Whereas Sugar synch, if they had an Intercom

solution or

something like Intercom, what they would actually realize is

they would have spotted it the very second you stopped using it.

Co-host: That’s right.

Des: It’s debatable whether or not they could have ever reclaimed

you as a customer,

but at the very least they would have gotten fresh data about

why you’re quitting, which is actually this [corruption] issue,

you know?

Co-host: Yes, but in Sugar synch, so we’re talking about one specific

instance, but it’s

interesting that when you think about all the other backup

appliances, devices, services, things that you have signed up

for since you mentally fired sugar synch, you are entrenched in

a new solution.

At the moment that you fire it, I’m still looking. I’ve got to

figure this out, and sugar synch is out.

And it’s one specific [example]. We’re talking about Bob’s use

of one product. I would think that there’s an opportunity for

them at this point to say, “Hey, we notice something is going

wrong here. Did you know about ‘XYZ’ feature, or this other

product we offer?”

It’s before you jump. I’m looking around the office. You’ve got

time capsules. You’ve got Amazon going. For the sales guy to

come in now it’s, like, “Bro, I have spent a thousand dollars

since I fired you two years ago. This is a foregone conclusion.”

That’s right. So I think it’s very cool. So what Intercom is

doing is it’s measuring true consumption at the moment of

consumption and giving you signals to say, “Hey, something is

wrong. Something is different. Something has changed. You need

to reach out.”

To me, a product like yours would have told them to say, “Wait a

second, he’s deleting computers. They’re not synching up as

often.” They should have had enough cues. Let’s be clear. They

have enough interaction with me to know that there’s a problem.

Des: Absolutely.

Co-host: In the manufacturing world we have something called statistical

process control

to know when is there a special cause to the variation of how

things are happening, and at some point in time it’s got to be

like, “Hey, this has changed. You need to reach out.”

So, to me, you’re the SPC of web, which is awesome.

Des: Right. The high level problem for me is just that,

at counting, product engagement, [they] just don’t cross swords

enough. What sugar synch [makes] money for and what their

product team was building and what their customers are actually

using are usually three different things.

Co-host: That’s right. And what they value, because at some point

somebody would say,

“Boy, I’m willing to value this for a lot more.” They end up

usually valuing things to the lowest common denominator. That’s

the thing that’s most amazing to me.

People take the lowest common denominator as opposed to saying,

“Hey, I can charge $100 bucks as opposed to $10 bucks and have

people have more value for what I do than charging people $10

bucks and thinking they can switch every two months.”

Des: Exactly. I would agree.

Co-host: So it’s very powerful stuff.

Chris: Wait, I want to go back to that. You said people value

things for the lowest

command denominator.

Co-host: So product companies. When they’re looking at it they say, “How

do I get the

most people?” It’s usually the lowest price. My thing is that if

you value one thing, you find the situation where it’s valued

the most. Boy, people value this a lot. They’re willing to pay

$100 bucks.

Think of the alarm clock for the kid that’s two years old or

three years old that just learned how to get out of their bed

and come into the parents room.

We interviewed a guy about that, and he basically said, “I want

to pay $100 bucks for this alarm clock so my kid wouldn’t come

in a room before 7 a.m. because they would walk in at 3 a.m. .”

So at that moment what they’re doing is saying, “Well, what

would people pay? Well, all the other alarm clocks are this

price. We should be about 30 dollars.”

Literally everybody you interviewed came back and said, “To have

my kid not come in until seven o’clock?” That’s worth 100 bucks

to me.”

So they’re taking it to the lowest common denominator of what

other clocks are charging as opposed to what’s the value of one

clock, which is a clock that kids can read, that they don’t get

out of the room until seven.

Co-host: Excellent. Okay. Got it.

Des: Yes, they’re selling in the clock category rather than selling

on the job to be

done.

Co-host: That’s exactly right.

Speaker Two: Wow. perfect.

Co-host: So you touched for a little bit about the lean startup

conference that you spoke at

in San Francisco. I’ve got this theory that within the lean

methodology are the bullet points are, get out of the building,

talk to the customers, understand if your product is actually

providing value, that sort of thing.

My perspective on it is that it’s all great advice, but that’s

kind of where it leaves off. At this point, I always view Jobs-

to-be-Done as the method. So if you prescribe to lean and you

think you need to get out of your building and go talk to

customers, use the jobs interview and the jobs conversation to

have those conversations.

It’s not a pick list or a list of questions, but at least it’s a

method to be able to say, “Okay, here’s the general way that I’m

going to have a conversation with a prospective customer.”

How do you see jobs and lean interacting? Do you see any of

that, or do you look at it in a different way? I’m really

interested to hear both how the conference went and how you

think about it.

Des: The conference was good. I got a few good talks. I’ve read the

lean manifesto.

I’ve read the book. I’m familiar with a lot of what they preach.

I agree with a lot [of it]. A lot of it is standard practice if

you are building a startup and you really want to find answers

quick. I think whenever people talk about jobs and lean they try

to imply that jobs isn’t someway a subset of lean, as in, if you

say, “Here’s what you should be really focusing on, things

people are trying to do,” of course that’s what we do.

That’s not really true. They are not in any way conflicting, but

there are two different skillets that need to be applied. Lean

is more, for me, about how you build your product, and to some

degree how you run your business. Jobs is really about how you

understand the place of a product in the world.

When it comes to, say, getting out of the office and going to

talk to customers, Yes, obviously no one would ever say that

that’s a bad idea.

So what I find interesting is, lean doesn’t advise people to

focus enough on what I would consider to be real paying points.

I always tell people, show me a check or a credit card that was

swiped to solve a problem.

Co-host: I love that.

Speaker Two: I love that.

Co-host: That’s an awesome quote.

Co-host: I don’t know if you know, [but] the history of jobs actually

comes from two

generations earlier from lean. So lean is actually from six

sigma. Sig sigma really is from TQM, and TQM really comes from

the Toyota production system.

In the mid ’80s when I was a freshman in college I happened to

be Dr. Demming’s [SP] gopher boy. I was an intern for him. So I

learned all the process control, all the lean principles, all

that stuff early on.

One of the methodologies that I was responsible for helping to

translate was something called quality function deployment, QFD,

and it’s about connecting the voice of the customer down to the

production floor.

The thing that they had no real ability to do was to connect and

pull apart the voice of the customer to what they really meant,

and as I tried to apply QFD in the US and in Europe, [I] just

found that the language and the market research we had was

inadequate.

So it all is derived from a lot of the lean principles, which

is, we need to be able to make tradeoffs. We need to be able to

understand what people value. We need to understand what things

they are willing to trade off on, and how do we translate that

down to what we do.

So Jobs, it really does come from a lean perspective from that

way. But I think it proceeds lean because it was really about

this idea of translating the voice of the customer into what do

we do and not do.

Des: Yes. I would agree. I think one of the reasons my talk went

down quite well, I

guess, at the lean startup conference was that it gave more . .

. It was kind of, like, okay, you’re out of the office. Now

what? That was almost where my conversation started.

Chris: That’s awesome. That’s the thing. People would say, “All

right. We need to get

the voice of the customer.” Okay, what does that mean? How do we

talk to them? What you found is people would say things one way,

but they would behave differently. To me, what I came to believe

is what they say and what they do are totally different.

I actually don’t believe half of the things that people say, but

when they talk about what they say they do, [the verbs], and you

interrogate them the right way through the jobs interview, now

you can talk about behavior.

But otherwise, when they say, “Oh, I like it,” or, “It’s read

enough,” or whatever that is, to be honest, it’s all BS. I have

a hard time believing that.

Des: People take the phrase voice of the customer too literally, I

guess.

Chris: That’s right.

Des: It’s actual, probably, the behavior of the customer or the

action of the cushion is

what you want to listen to.

Chris: That’s right. I don’t think you need to listen to them. I

think you need to be able

to watch them. Sometimes you can get some of the words, but,

again, looking for the verbs, not the nouns. I think that’s big.

Des: Exactly.

Chris: So where do you see jobs going?

Co-host: Well, before we dive into that, what are you doing with jobs at

Intercom now?

We’ve got the on boarding. Do you guys have an ongoing workflow

that it fits into? I know we talked to Alan and talked about the

user stories, and it sounds like you’re using those. But what’s

the day to day? Or is there one?

Des: The day to day at Intercom has a large number of jobs it can

do. The typical one

would be something, like, get feedback from you from important

users. And the day to day is understanding how well we perform

on these jobs based on bugs in the software, complaints or

feedback from customers about . . . It’s usually, like, what

we’re most interested in is, “I wanted to use this feature, but

I couldn’t because of X.”

It’s understanding the barriers to adoption, or understanding

the barriers to frequent usage for any give job, and then

working on smoothing the path for people. So we do actually

have, internally, documents which list out jobs that we do, jobs

that Intercom has hired for.

We focus on improving the product for those. You can see our

marketing site calls out specific jobs. We don’t literally write

them in in some use case format. We certainly call out specific

jobs that we know that people enjoy the product for.

We also know, we have seen checks written to solve these

problems. We have seen people spend money or spend time to get

this stuff done, and we pitch Intercom as a tool that does this

job.

What’s useful there is, one thing I learned through previous

products and when we used to consult at software companies, in

the early stages a lot of companies, somebody will sign up and

they will be using the product in something that’s slightly an

edge case.

When you are early, you’re flattered by the fact that, “Oh,

look, we can even do this as well.” What you tend to do is

actually support the edge case, and later on you tend to promote

the edge case.

You see even big companies do it. People are even using

Microsoft service in an operating theater.

Co-host: Yes.

Des: You’re, like, “Right.” That is edge case use. The problem is,

you’re now literally

pitching to your weaknesses. Somebody should not be using their

product for that. When we talk about where Intercom goes we

restrict what we say. People use Intercom for literally,

probably thousands of different types of jobs.

But we restrict anything that we say to the ones that we know

are excellent at that.

Chris: The thing is that, what you find is, when you’re really

good there are four or five

jobs that you do, and then they will pull it to over things.

Des: Of course. Base Camp is a perfect example of that, right?

Chris: That’s exactly right. Base Camp is a good example. There’s

something called

Magic Eraser, which I love. It’s another really good example.

People aren’t buying it to do all these other things. They’re

buying it to get the marker off the wall so they don’t have to

repaint.

So it competes with repainting, but once they get it in the

house they’re using it to clean pots and pans and shoes and

floors and all these other things, but they’re not using it to

clean those other things.

It’s just a real interesting thing.

Co-host: We leap from software to consumer package goods. Now people are

going to be

going on magic eraser.com trying to figure out if it’s some kind

of software or something. No, it’s an actual eraser.

Des: What I love about that example, though, is that you could

imagine. Consumer

package goods is great, because these guys have got to get

categorized in a supermarket book.

Co-host: That’s right.

Des: If they wanted to sit beside oven cleaner they would look like

a terrible product,

right? You’re looking at some sort of heavy duty wire gauze and

all this sort of stuff, and then you’ve got this thing that

claims it can erase marker off the wall. You’re, like, “What the

hell? I’m not going to clean my oven with that.”

It’s always important to pitch to your [killer] use case. Base

Camp, I’m sure if they tested this they would find . . . Imagine

a home page where it was, like, “Use us to plan your wedding.” I

know for a fact that people use Base Camp to plan weddings, but

it would lose a fight of wedding [anecdotes].

Co-host: That’s right, but it’s one of those things where if it does one

job well people are

going to say, “Well, I can use it for this or I can use it for

that.” That’s what the whole notion is. If you play to your

strength they will actually extend the jobs that you do to other

places. If anything, you need to just advertise and say, “Use

number 482: wedding planning.”

It’s, like, “Wow.” All of a sudden the people are, like, “Wow. I

could use [that].” They haven’t thought about it. So how do you

actually just change the advertising and the messaging to

actually help with the use cases, but at the same time focus on,

these are the five core jobs we do, and oh, by the way, people

have used it for these other things.

So, to me, you don’t have to be the best at wedding planning

anymore. It’s because I’m comfortable with it. I use it for all

these other things.

Oh my gosh. I could use Base Camp to plan my wedding.

Des: Exactly. I think the difference is, is that, like, when

somebody is familiar . . .

Apologies to the team [inaudible 41:25] for keep using their

product, but I know how everything works in Base Camp, for

example.

I use it and have used it for many, many years. I know the

product inside out. So if I came and we’re planning, say, a home

renovation project, I’m sure there are tools out there to do

that. But I have to do and learn how to use that tool. I don’t

really want to do that.

My perspective shifts from what’s the best tool for me right

now, as opposed to what’s the best holistic tool. Best for me

right now is one where I don’t have to do any learning.

I can literally start making lists and assigning tasks today,

versus signing up for [inaudible 42:03] getting a welcome email,

dropping into a tutorial, watching a couple of video guides,

reading some documentation.

I really feel that if you can capture a few use cases really,

really well, you don’t need to market the edge cases. They

actually happen anyway. We stopped them. I wish we could, at

times. People are going, like, “Hey, I’ve installed Intercom

into a Chrome app that works as part of a Chrome plugin, so

actually it’s inside of a browser inside of a browser,” and I’m

just like, oh God, can we stop this from happening?

Co-host: Well, to be honest, that’s how Jason and Ryan and David all

came up with Base

Camp one, which is, how do we have the one-time fee for $25 for

one project for one thing where people can say, “Yes, I’m

putting this addition on my house. We’re going to run it through

Base Camp.”

I don’t have to buy it through my corporate account. I’m not

going to use it. It’s there. It’s one time. It’s a one-time fee,

and you saw enough jobs where people got it done.

It was no more change than turning off a couple of features that

said you could add projects. It’s one project and it’s one fee,

and it’s fixed.

So it’s those kinds of things where you can find the extremes,

but then you can make it easier for people to do it.

So you look for non-consumption there. It’s low hanging fruit.

Des: Absolutely.

Chris: So what do you see as the future for jobs? Where is it

going?

Des: I think you guys need to write a book.

Co-host: About what?

Des: I’m really only speaking from the software industry

perspective. I know there are

far wider reaching applications, but a lot of different

movements whether it’s Lean Startup, or whether it’s Getting

Real, or whatever, there have been seminal books along the way

that have basically changed the industry’s way of thinking about

things.

People used to use Microsoft front space express to build

websites, and then a guy called Jeffrey Selden wrote a thing

called” Designing Web Standards”, and now literally the entire

industry shifts.

People used to not think that they could turn a side product

into a million dollar business, and then a book called “Getting

Real” came along and that changed all that.

People used to think that building your company involved massive

overheads and massive funding, and then Eric Ries wrote “Lean

Startup”. I feel like there’s a gap, and it’s a necessary step

if you like the process, or whatever they categorized jobs as,

for it to mature as a way that people work. There needs to be a

seminal piece of literature. Often times, at the end of my

talks, people come up and say, “What should I do? How do I read

more?”

I’m, like, “Well, you should check out jobs[inaudible

44:47].org, of course. By the way, this great paper called

“Marketing Malpractice”, and there’s also this other paper

that’s [inaudible 44:55], and there’s also this other paper, and

there’s a half a chapter in this book.” You keep going and

going. I’m saying so many things because I can’t say one thing.

Chris: Yes. So we’re working on that.

Co-host: That’s a good piece of advice. I think you’re right, though.

Des: So when I think about where it’s going, the logical trajectory

without this change

will be that it will progressively become more and more popular

as more and more people talk about it.

It itself will become less of a useful thing to give a

conference talk about. People have heard it. So it itself can’t

be the core of the talk. You know how people say, like, of

course we’re an agile company.

Logical trajectory is to head towards the agile software

movement, where everyone agrees, everyone is on board with it.

It never really had its defining moment, I guess,[ inaudible

45:48] manifesto for them.

What I would really like to see is, there have been books in

design “About Face” or [Don Norman] “The Design of Everyday

Things.”

It has changed entirely how people think about software. I feel

that jobs is the opportunity to do that. The future, for me, is

getting it to a point where if you’re a product designer and you

haven’t read this book, you’re probably not a good product

designer.

Co-host: Wow. I love it.

Speaker Two: We’ve got a book. It’s in the last changes. It’s written

like the book “The Goal”,

which is Shelly [SP], who is a product manager and going through

development of a piece of software.

How she struggles the whole way through to find out the right

things to do for it, and how she finds jobs, and what jobs are,

and how they work in software. So we’re using Mike Rhodes

[SP]out of Milwaukee.

He did the “Rework” book and “Remote”. He did all of the

illustrations for that. He’s in the midst of just finishing up

those illustrations.

So that’s the first book. I’m actually going to see Clay next

week. We’re working on an HBS book for jobs.

Des: That’s going to be excellent.

Bob: It’s very case study based, academic. I’m trying to make sure

we can build some

practicality into it. So we should have some kinds of things out

there, but we also have a Udmey course out there that we have

been working on. So I don’t know if you have seen that, but I

really would appreciate some feedback on that if you had the

chance to see that [inaudible 47:38] course. So Chris, anything

to add?

Chris: Yes, so definitely check [that] out. We think of the

[inaudible 47:50] course as

the online version of the Switch workshop. It’s 16 hours of

video. You learn to interview. You learn the frameworks. We’ve

seen a lot of international consumption of that. People that

can’t come to the Switch.

Des: That’s great. I guess the interesting [thing] about Switch is

that as a workshop it’s

really useful for teaching you how to actually ask deep

questions, and even just how to think about product consumption.

An extra piece that’s missing, and I think everyone is making up

their own way of [doing this] right now, is the documentation

side of jobs.

So let’s say that you guys work with some hot new startup and

you help them interview all their customers. They really get

amazing insights. The stuff you guys deliver.

How do they package that up and bring it back to the team? What

does a job look like? Is it written on a whiteboard? Is it a

paragraph of text? Are there numbers and mats inside it?

Exposing that side of the workflow, I think, is important just

to give people a language.

I’ve definitely talked to people who have said they practice

jobs we don’t look like. It’s chalk and cheese, who they

actually talk about it.

Co-host: Yes, so Chris and I, we’re working on something earlier this

week and then

we’re trying to fit it into the corporate format of power point.

It was just driving us crazy.

Chris: It’s what we’ve done for years.

Co-host: Right. So we’ve said, screw that. Let’s just start over. What

would we do? So we

said, “You know, we’re going to create a four foot by four foot

piece of paper, and we’re going to foot everything on it. We’re

going to end up printing it and creating it as a board to sit in

the war room.”

Here’s the job. Here’s what it’s about. Here’s what it’s not

about. Here’s what the value code is. Here’s what the energy

looks like. Here’s the positive energy. Here’s the negative

energy. Here’s the insight. Here’s the tradeoffs people are

willing to make in this job.

So it becomes this icon to help people see the whole that’s not

on an eight and a half. I feel [that I'm being] so constrained

by that eight and a half piece of paper.

Co-host: So the thing that we’re trying to get to, [and] it speaks to

your answer to our

previous question of how are you using jobs at Intercom today,

and what we find is that if they’re not living things in the

office, if it’s not something that you can actually have and

look at and say, “Okay, we’re thinking about building this

feature. Let’s look at the five jobs that we serve.”

Would it help people with job number one? No. Would it help

people with job number two and four? Maybe.

But if it’s hidden in a 50 page deck somewhere in some Base Camp

project that I’ve got to print out and we’re all going to cram

and go through, it makes it too difficult. So one of the things

we’re really trying, so Bob, it’s a canvas wrapped big four foot

board. All right, this is now the war room and we have a

decision to make.

Either we trust our research or we don’t, but if we trust it

we’re going to go in there and say, “All right, we’re going to

talk about this one person who had job number one, and I want to

talk about this feature we’re building for Intercom.”

Let’s play through how they would interact with it. Would it

make things harder, easier? Would it break down barriers? We

might need some help, but we’re going to do some writing and

maybe some presenting on how to come up with these boards. We

feel, so what we have found in the Power Point, we will have 15

slides that describe one job.

So one is what it’s about. One is what it’s less about. One is

the energy through time. One is the [Pixar]. We have all these

methods, but turning page after page, unless I can see it all in

front of me I’m trying to remember what was five pages ago.

I think you’re spot on. I think that’s the next thing that needs

to involve in order for us – we want to be able to go back to it

is months from now and say, “Okay, let’s revisit this. Let’s

talk about a feature. Let’s take a look at it.”

Co-host: The other thing that’s next after this is that after we start

to see [tests] of jobs you

start to see questions you can ask. So it’s almost, like, what

are the ten to 15 questions you can ask up front that actually

help people understand what job they’re in? There’s a way in

which the web, and the way you serve up questions to people, can

help them actually shop better.

To me, I think that where we’re headed is there are questions

and there’s math, and there are starting to be ways in which to

take emotion, social and functional requirements, wrap them

together and say, “Hey, what are you trying to do?” It’s not

that direct, but it’s, like, “Hey, have you done this? Or are

you coming from this perspective?”

So as you start to see the portfolio of jobs you understand the

right set of ten questions that then create the space and the

brain for the solution to fall into. So I think the role of the

web is to help, again, it’s about answering questions. But I

also think it’s about asking questions so people can do the hard

work up front to know what they want.

As consumers, we need to become better shoppers.

Des: Yes, that’s the flip side of it. One thing I’m quite good at

now is spending

money more effectively. I’ll tell you a silly example. I was

going to a fancy dress party on New Year’s Eve. I was on 8th

street here in San Francisco.

I was looking to buy a silly outfit and I was shopping at all

these hipster stores, and what I realized very quickly was I was

buying irony and they were selling cool.

Co-host: Awesome.

Des: I was willing to spend maybe $20 bucks for a stupid looking

jumper, whereas

they were selling what I would consider to be stupid looking

jumpers for $150. They were, like, people would come in here and

look at that and go, “Shit, that’s cool.”

Co-host: It’s the alarm clock.

Des: It’s exactly that. I saw a lowly example of this in Target the

other day. So

SONOS has this whole huge set up in Target. A guy came running

in. I was just watching to check SONSO stereos.

A guy came running in. He goes straight over to the sales dude.

He’s, like, “Hey, I want to get something set up for my

apartment. Just moved in. I’m thinking of going 7.1,” and the

consumer starts throwing out all these different terms.

And the sales person was so polite. He listens to him. He makes

all the right facial expressions, as if he cares, and then at

the very end of it he goes, “Let’s talk about your sitting

room.”

He’s like, “Okay.” “Describe it to me.”

So he gets the dude to draw out a little map of a sitting room

on a piece of paper, and then they talk about that for a while.

He goes, “Tell me about your friends. Who has got the best one?”

It became so clear to me 30 seconds in the conversation this

dude was jealous of Hell over one of his friends. So he wasn’t

buying SONOS. He was buying getting even. That was his actual

sales pitch.

Co-host: Who is this Target sales guy, and what does he want for a

salary?

Speaker Two: And why is he still at Target?

Speaker Three: And why is he not the CEO of Best Buy?

Co-host: That’s amazing.

Des: It was so interesting, because all the stuff that this dude

described about his

friend’s apartment, very little of it had anything to do with

sound. Sound was just the most obvious. What he was describing

was this nice view, and he was like, “Right. I can’t sell you a

new view.”

He was able to map his requirements of how to have a better set

up than your friend, which is actually what the guy wanted. [He]

realized you also need a new sofa or a new couch. He wants one

of those La-Z-Boy sort of things. He walked out of there with a

shopping list of stuff, and a wood piece, which he didn’t buy.

It was probably $1,000 worth of equipment. [It was also] a

stereo. He also realized he needed so many other things. I think

he also bought a television in Target that day as well.

Co-host: Oh my gosh. That’s the best fly on the wall jobs interview you

could have.

Des: It was such a great understanding of, this dude wasn’t buying sound.

He was buying a

solution to jealousy, and that’s what the guy sold him, and

that’s why he took a lot more money. Sound systems cost maybe

$500, but that wasn’t what he was shopping for.

Co-host: That’s right. Jobs is also rooted in the sales side. It’s

really rooted in the buying

side. What do you want to do? So to me, good sales people

actually know Jobs-to-be-Done, because all they’re really

worried about is not their product, but what the customer is

really trying to do.

Speaker Two: And the completely blows my mind. We sit with so many

entrepreneurs, well,

actually when we say entrepreneurs, more of the established

players in the industries, that sit down with us and say, “Oh,

we can’t get margin anymore. Our competitors are eating our

lunch. We can’t find any place to get money anymore.”

We will talk to ten customers and we’re, like, “Dude, you left

so much money on the table by just missing the simplest steps

that you could have just nailed by just listening.”

It just kills me.

Co-host: That’s right.

Chris: Are you between San Francisco and Ireland now, Des? Where

are you at?

Des: I still consider myself living in Ireland, but I spend a lot of

time in San

Francisco. I’ve grown to like the city. I probably do maybe

eight, nine months of the year in Dublin, and the rest in San

Francisco.

I travel back and forth for things like board meetings and

customers. I run a customer facing team, so we necessarily have

to cover a lot of time zones. We’ve got people in Italy, people

in Berlin, Dublin, San Francisco. I travel around a bit.

Chris: We need your help. One of our big initiatives for 2014 is

getting the Jobs-to-be-

Done meet ups off the ground. I don’t know if you’re involved in

the one that’s taking shape in San Francisco, but it would be

great to get you linked up with those guys if you aren’t, and

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