The Corona crisis has caused digitalization to take a rapid leap forward in large parts of the German economy. Things that were still unthinkable two years ago…

This has presented major challenges for all parties, but also brought significant advantages in some cases. At the same time, digital solutions have become even more widespread than before. People who previously worked largely in analog formats have come into contact with new solutions and discovered a new world.

For providers of digital solutions, this means a larger and more active market than ever before. At the same time, user expectations are rising just as rapidly as digitalization itself. Solutions now need to be better than ever and integrate seamlessly into users’ everyday lives. Competitive pressure is increasing, as is users’ willingness to try and switch to alternative solutions. As a result, IT providers face the challenge of deciding early on which product ideas have good market potential and then implementing them in a way that is both economically viable and compelling. Unfortunately, decisions about product ideas are still often made based on the HIPPO effect: following the highest paid person’s opinion. While this can work, it doesn’t have to. All too often, the true needs and desires of customers remain hidden, resulting in products that are not good—or at least not as good as they could be. In an era of increasing competition, this is no strong foundation for securing or even growing your business.

So how can you counter the HIPPO effect? As a company that supports many other businesses, we’ve had the great opportunity to observe the HIPPO effect across numerous projects and in a wide variety of companies. Thanks to these countless perspectives, we’ve developed a successful method to counter the HIPPO effect: Data Driven UX Design (3DUX®). Data Driven UX Design offers an alternative to gut feeling and provides decision-makers in companies with a methodology for making informed decisions. Data Driven UX Design specifically generates data or uses existing data to decide whether to pursue or reject product ideas and to optimize existing ones. The idea for the new business field is first evaluated using a criticality and data matrix to identify the type and volume of data required. A subsequent gap analysis also ensures that gaps in the decision-making process are revealed. Data Driven UX Design then focuses on quickly collecting the missing data. For example, our Fast Idea Testing methodology can be used, where business ideas or their implementation are visualized using a comic.

The major advantage is that the problem the business idea aims to solve, as well as the solution itself, can be presented at a stage when no development or design work has yet been carried out. The comic then enables targeted user surveys, allowing you to gather real data about the intended business field early on, which can be incorporated into its development.

Dr. Benjamin Franz is a PhD engineer with a passion for technology since childhood. However, he soon realized that technology alone is just one piece of the puzzle for successful products. He then specialized in the field of "human-machine interfaces" and founded Custom Interactions, a data-driven UX design agency focused on outstanding user interface design & testing, helping customers unlock the full potential of their products.