Why B2B Product Teams Often Misunderstand Customer Problems, According to Shreyasdoshi

In a recent LinkedIn post, Shreyasdoshi discusses a common pitfall for B2B product teams: the misconception that customers are eager to solve every problem presented to them. Shreyasdoshi argues that many product teams fail to recognize that not all customer problems are perceived with the same urgency or that customers may have existing workarounds or internal solutions that negate the need for a new product.

The Illusion of Customer Problem-Solving

Shreyasdoshi highlights that product teams often operate under the assumption that their solution to a customer pain point is inherently valuable. However, the reality, as outlined by Shreyasdoshi, is far more complex. The post lists numerous reasons why a seemingly obvious customer problem might not be a priority for the customer, including:

• The problem not being severe enough.
• The problem providing job security for certain individuals.
• The existence of adequate alternative solutions.
• The problem being a byproduct of other issues.
• High perceived or real inertia to change.
• The problem being confined to a niche group of customers.
• Users being resistant to change or their pain not being adequately heard.
• The problem being too diffuse across departments or difficult to justify financially.
• The problem being too intermittent to maintain focus.
• The problem existing primarily in the team’s own perception.

As Shreyasdoshi puts it:

“Every B2B product team thinks it is solving customer problems, but they don’t understand that their customers have zero interest in solving every problem they’re facing.”

The Cost of Delayed Insight

A significant portion of Shreyasdoshi’s analysis focuses on the financial and temporal costs associated with teams failing to grasp these customer dynamics early on. The post criticizes the common outcome of extensive product iteration leading to failure, often attributed to high switching costs that could have been identified much sooner.

Shreyasdoshi emphasizes the importance of understanding these challenges within the first couple of years of a product’s lifecycle, rather than years later after substantial investment.

“While you couldn’t have predicted this on day 1, it was your job to have figured this switching costs problem out in year 1 or year 2, not in year 6 after burning through $30 million.”

The author argues that earlier identification of such issues would have allowed for better customer segmentation, product adaptation, or commercial model adjustments, thereby increasing the likelihood of success.

Mindset as a Barrier to Insight

Beyond skill, Shreyasdoshi points to mindset as a critical barrier preventing product teams from accurately assessing customer needs. Many founders and leaders, according to Shreyasdoshi, believe they are immune to these customer problem blindspots due to their intelligence, customer-centricity, or expertise.

This self-assuredness, Shreyasdoshi suggests, leads them to believe they can intuit customer needs perfectly, while ironically blinding them to the deceptive tricks their own minds play.

“They are certain they can read their customers’ minds, but alas they fail to read the tricks their own mind is playing on them.”

In conclusion, Shreyasdoshi’s post serves as a critical examination of how B2B product teams can fall into the trap of solving problems that their customers do not prioritize, urging a more rigorous and self-aware approach to understanding the market and the inherent challenges of adoption.