Millennials are no longer turning to their banks for advice. In fact, over 70% of Millennials would rather go see their dentist than listen to what banks have to say. Since the financial meltdown of 2008 the perception of banks has been significantly marred. Trust has been eroded and loyalty ruined. Adding fuel to the fire, today’s digital revolution is poised to impact the financial services industry in a way that hasn’t been seen since the ATM was introduced in the 1970s. Technological progress is affecting every sector of the industry including asset management in the shape of robo-advisors. These robo-advisors are growing at unprecedented rates by meeting Millennials’ jobs to be done – an important segment to attract as Millennials are now the largest generation in the US and are about to command the largest share of wallet in the US with an estimated $7 trillion in liquid assets by 2020.
Over the past few years, Jobs to be Done (“JTBD”) has emerged as one of the leading tools for innovators. As companies struggle to figure out which products will become breakthrough innovations and which will fall flat, companies large and small have time and again found that Jobs to be Done can provide the answer. Netflix co-founder Reed Hastings has talked openly about using JTBD to disrupt the video rental industry. General Mills regularly employs the theory to develop new product lines so it can hit its growth targets. Johnson and Johnson has even started listing familiarity with JTBD as a qualification for those applying for front-end innovation jobs. But despite the acclaim the theory has garnered and the obvious successes that have been born from it, organizations that stop with merely uncovering customers’ jobs are still launching products that struggle in the market. Ford is the latest casualty.
In March, Ford launched Credit Link — a pilot program that would let three to six customers share the lease on a new car. Through the program, customers would all have access to the new car, using an app to divvy up driving times and payments however they wished. Three months into the pilot, not a single customer has signed up. Some quick analysis has shown good traffic to the program’s website, but the number of conversions remains at zero.
New Markets Blog