Customer Involvement in the Product DevelopmentProcess at an SME Digital Business Platform

University essay from KTH/Skolan för industriell teknik och management (ITM)

Abstract: Some of the world’s most valuable companies today are platform businesses. Both smaller and larger companies are turning their product and service development from a linear developmentapproach to a platform approach. Despite the emerging studies on platforms, and even though studies on customer involvement have been performed for decades, there is an acknowledged research gap on customer involvement in the development of platforms. This thesis contributes to research by studying Tradera, an online small to medium-sized (SME) marketplace platform facilitating and enabling sales of goods through matching of sellers and buyers on the site. The study is based on an extensive literature search within the fields of customer involvement anddigital platform businesses. The results were based on qualitative data received from exploratory studies in the form of 13 semi-structured interviews conducted at the company. The results from studying the company revealed the complexity in the product of being a platform as well as the complexity of the user base involved in the product development. The complex user base leads to heterogeneity in user needs and difficulty of knowing which users to involve and when to involve them in the product development in order to increase user satisfaction. There was also found to be difficulties in the allocation of resources for (SME)platforms regarding user involvement. Even though difficulties in user involvement were found, the research also showed the great resource of user data that is to be utilized. The purpose of the study was to map and refine the process of user involvement in the product development of an SME platform in order to increase user satisfaction. The study resulted in a framework and recommendation for how to find and involve users in the product development process. The recommendations are to be considered by SME platform businesses wanting to increase the user satisfaction of their product.

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