Page 138 - DNBI_A01.QXD
P. 138

115

Table 4.3 Osborn product and service development list                    Key word        4 : STEP TWO – GENERATING NEW IDEAS

 Checklist statement                                                     adapt
                                                                         modify
 G What other product or service could I adapt to my opportunity?        magnify
 G How could I change the existing product/service?                      minify
 G How could I add to this product/service?                              substitute
 G What could I take away from this product/service?                     rearrange
 G What could I use instead of this product/service or a portion of it?  reverse
 G How could I alter the composition of this product/service             combine
 G How could I turn the problem/service around?
 G What could I put together to make a new product/service?

Imagine how the founders of low-cost airline easyJet could have
applied this technique as they assessed how to break into the low-cost
end of the air travel market – see Table 4.4.

Table 4.4 Osborn product and service development list applied to easyJet

Adapt       Apply the principles of the economy-class segment which exists
            within conventional full-service airlines to an entire fleet; mimic the
Modify      no-frills concept from American pioneer Southwest Airlines; apply the
Magnify     lowest-cost self-serve marketing principles of discount stores such as
            Aldi to the airline business
Minify
            Sell tickets direct to the customer and create cost savings through
Substitute  eliminating travel agents; eliminate meals from the service offering
Rearrange
Reverse     Extend the time spent flying by aircraft with full passenger loading
Combine     by minimising turnaround times at airports, by maximising pilot flying
            hours within legal requirements, by eliminating the need to load the
            planes with pre-prepared food at every stop, by discouraging customers
            from bringing baggage which requires storage in the hold, by heavy
            discounting to ensure that flights are always full

            Offer price discounts to passengers carrying hand luggage only;
            eliminate system of pre-allocating seats; reduce customer service to
            bare minimum; do not offer refunds for delayed flights; minimise the
            number of routes offered; minimise the different types of aircraft flown to
            optimise aircraft maintenance arrangements

            Purchase second-hand aircraft with low depreciation; fly to
            out-of-town airports

            Focus flights very early and very late during the day

            Unbundle the service so that customers are charged for all baggage
            stored in the hold (which incurs handling cost for the airline and
            impinges on turnaround time) rather than charge customers only for
            excess baggage

            Establish in-house car rental service for easy onward transmission
            for customers from airports; multi-skill the staff to maximise
            productivity
   133   134   135   136   137   138   139   140   141   142   143