Michaela Louise DelfinadoKenneth P. SulipaKarla Mae S. Jalad

MM 230 – Marketing ManagementUniversity of the Philippines

Prof. Mita Angela M. Dimalanta

IDEO is the largest consultancy firm in the United States who created some of the most recognizable design icons of the technology age, which includes the first laptop computer, first mouse, the Palm V PDA and the TiVo digital video recorder. Since its founding, it has been issued over 1,000 patents, and in 2008 IDEO generated $120 million in revenues.

IDEO’s Design Thinking is an approach based on “Human-Centered Methodology” where the company strives to design products that consumers actively want because they offer a superior experience and solve a problem.

IDEO’s clients include:• AT&T• Bank of

America• Ford Motor• PepsiCO• Nike• Marriot

• Caterpillar• Prada• Mayo Clinic• Eli Lily• Lufthansa

 Why has IDEO been so

successful?Success of IDEO is credited to their human centered research methodology that involvesobservational methods to uncover customers’ insights and points of view.

• Methods collectively referred to as “design thinking” integrate customers’ needs with what is technologically feasible and economically viable

• They • Turn their customers to

innovators. • Design products from “outside in”

by putting customers first. • Study consumer behavior to

determine how they purchase, interact with, use, and even dispose of their products.

Why Has IDEO Been So Successful?

 What is the most difficult challenge it

faces in conducting its research and designing its

product?

The customer-centered approach which entails the in-depth participation of customers. It’s difficult to obtain data from consumers.

Customer Centered Approach

Interview may be

subjective and biased

Time Consuming Expensive

Sampling can be small & skewed

Human shadowing

can be ethically

questioned

Challenges of Customer-Centered Approach

In the end, IDEO creates great solution for companies that then receive all the credit. Should IDEO try to create more brand awareness for itself? Why or why not?

IDEO should try to create brand awareness for itself to market its services to potential clients. Its products and innovations are associated with their clients and not to IDEO. IDEO is relatively unknown to the users of the products they designed, although it is the largest design consultancy firm in the United States. To become more competitive, consumers should become aware of the products and services provided by IDEO.

There is no need for IDEO to create more brand awareness for itself because their clients are doing the brand awareness for them. IDEO is a global design company that creates impact through their designs. Their business is to connect people to brands in harmonious, meaningful ways. Primary clients of IDEO are businesses that hire them, not end consumers. Allowing their clients to shine is building IDEO’s reputation in the business world and this is the best brand awareness one can get. The reason why IDEO is the largest and most trusted consulting firm in the US is because they always put their clients and consumers first, instead of focusing on their own brand.

REFERENCE : Kotler , P., & Keller , K. (2012 ). Marketing Excellence: Ideo . In P. Kotler, & K. L. Keller, Marketing Management (pp. 119-120). Pearson Education Inc.