Proceedings of 5th Asia-Pacific Business Research Conference 17 - 18 February, 2014, Hotel Istana, Kuala Lumpur, Malaysia, ISBN: 978-1-922069-44-3 Exploring Customer Needs of High-Technology Product: A Preliminary Analysis of Perceived Needs and Kano Model Norlia Ahmad Understanding customer needs is critical in marketing and innovation. High-technology companies continuously face a challenge in ensuring that new product innovations are not merely a bundle of cutting-edge features and gadgets, but rather designed to meet customer requirements. The purpose of this study is to explore the concept of customer needs and examine the relevance of Kano’s classification of needs for a technology oriented product – a mobile phone. This study employs interviews with lead users to gather information on their mobile phone usage and perceived needs of its attributes. Data collection and analysis focus on the ‘must have’, ‘linear satisfier’ and ‘delighter’ attributes of the Kano Model. A preliminary analysis reveals four categories of perceived needs; communication, productivity, entertainment and experiential. Communication needs include the ‘must-have’ features; productivity needs relate to targeted applications such as information and financial services that facilitate the user’s daily activities. The two needs are consistent with Kano’s notion of basic needs (must have) and performance needs (linear satisfier), respectively. Entertainment needs include services that respond to user’s personal and emotional needs, while the experiential needs capture experiences that are associated with personalized contents and aesthetic design. Both of those needs reflect Kano’s notion of exciting needs (delighter). Identifying specific product attributes and categories of perceived needs offer deeper insights to develop and administer questionnaires for further research. This study, though exploratory, highlights the significance of Kano model in understanding customer needs, and provides a framework to analyze those needs in the context of mobile phone. The proposed framework contributes to the discussions of marketing and innovation, and is relevant to other technology-enabled products or services which are ever more pervasive in consumers’ life. Keywords: Customer Needs, Kano Model, High-technology product Track: Marketing ______________________________________________________________ Dr. Norlia Ahmad, Associate Professor, International Management Course, Institute of Business and Accounting, Kwansei Gakuin University, 1-155 Uegahara norlia83@kwansei.ac.jp, Tel: +81-90-9084-8383 Ichiban-cho, Nishinomiya 662-8501, Japan. Email: