Achieving Product-Market Fit for Nature-Based Solutions
Nature-based solutions (NBS) hold tremendous potential to address the challenges of climate change and biodiversity loss but are failing to achieve the level of scale required to have impact. Eva Muller and I argue that the environmental sector should draw on the expertise of product development experts to assess product-market fit and rapidly scale nature-based solutions.
Introduction
Nature-based solutions (NBS) have emerged as a promising approach to tackle the urgent and large-scale challenges posed by climate change and environmental degradation, because they simultaneously benefit ecosystems and societies. In Australia, to achieve the Federal Government’s 30% vegetation cover by 2030 goal (30 x 30) to avert catastrophic biodiversity loss requires 4.9M hectares of NBS to be deployed in the next six years. However, to date the adoption of practical, on-ground nature-based solutions at scale, beyond the localised proof-of-concept stage, are not widespread. Often tech-led alternatives win over NBS in terms of being quickly deployable and scalable, availability of expertise and funding, as well as a higher public acceptance rate. Understanding the barriers and drivers related to the mainstreaming of NBS is critical if we are to make the most of such solutions for society and nature.
Defining Nature-Based Solutions
Nature-based solutions encompass a broad range of approaches that use natural processes and biodiversity to address environmental challenges. These solutions can include revegetation, wetland restoration, green infrastructure, sustainable agriculture, and more. Unlike conventional methods, NBS work with nature rather than against it, fostering ecosystem resilience and supporting human well-being.
Understanding Product-Market Fit
To better understand barriers and drivers related to mainstreaming of NBS, we can learn from other sectors and apply a product development lens, where we might think of a NBS as a ‘product’, which is sold to satisfy the need(s) of a customer. The human-centered design practise is about identifying what those needs are throughout the product development process.
A successful product or service is one that meets the (underserved) needs and preferences of its target market better than alternatives. This is the so-called ‘product-market fit’.
Satisfying the needs of nature
When developing a NBS, environmental scientists put nature at the heart. They often assume the role of ‘customer’ on behalf of nature, and develop solutions that consider biodiversity, physical processes and the ecosystem services and benefits that manifest over time.
Let’s use a shelterbelt as an example of a common NBS. Shelterbelts in cleared landscapes tailor to nature’s need by slowing wind speed, increasing habitat availability (and presumably biodiversity), and improving soil and water condition.
Besides nature, another customer of a shelterbelt is the farmer where the shelterbelt is planted. The farmer might want a shelterbelt to provide shelter for lactating cows on hot days, which in turn improves milk production and in theory, farm profitability. Shelterbelts may also have a real or perceived tradeoff with pasture availability. A deep understanding of farmer’s needs is therefore important, so that the shelterbelt can be successfully designed and implemented.
However, the human need(s) might not directly align to the needs of nature in the long term. We must be aware of this tension and the trade-offs that come with balancing these needs.
A spectrum of customers
The concept of ‘customer’ becomes more complex when it comes to NBS because it concerns the well-being of both people and nature, and customers may benefit directly or indirectly from the installation of the NBS. Customers include governments and businesses who have set sustainability targets and fund projects and the landholder upon whose property the NBS is installed. But the spectrum also includes investors, scientists, communities, UN agencies, restoration companies, wildlife, and more. Each of these ‘customers’ benefits from the delivery of the product and the subsequent improvement in the condition of nature, either directly or indirectly.
Collaboratively designing for a multitude of NBS customers comes with identifying a shared problem space, shared aspirations and shared goals. And with prioritising actions based on their importance and urgency.
Better than alternatives
Understanding the needs of (all the) customers is one part of the equation, but ‘doing it better than alternatives’ is as important a concept to consider when designing NBS.
In terms of the shelterbelt - what if a farmer can meet their need for improved animal welfare in a way that is cheaper? Or what if they can access a tech-based solution that’s quicker to deploy? We have to recognise these potential barriers from the get-go so we can design to overcome them.
Ecosystems thinking
Quite suiting, the term ‘ecosystem’ used in design (referring to a complex and interconnected network of products, services, technologies and stakeholders that collectively work together to create value and meet the needs of users and customers) borrows from ecological systems found in nature, where various organisms, elements, and processes interact to sustain life and maintain balance.
So in the example of a shelterbelt, it’s not just the needs of farmers we need to unravel. The supply chain or better yet the ‘ecosystem’ that surrounds the NBS, such as seed, fencing, funding and policy comes with elements, contexts and dependencies that are just as important to consider. For example, it may take 5 years or more for a shelterbelt to grow to its full potential and create product value for customers.
Conclusion
Nature-based solutions hold tremendous potential to address the challenges of climate change and environmental degradation while providing numerous social and economic benefits. Applying a product development lens to NBS is beneficial because it allows us to learn and borrow from the advanced product development discipline and best-practise. Achieving product-market fit for these solutions is critical to their success and widespread adoption.
In summary, strategies to achieve product-market fit in the context of NBS may include;
Consider human needs but treat nature like a customer too. Perhaps we strive for them to align, but recognising that satisfying all needs may involve trade-offs, perhaps we should learn to always prioritise nature’s needs.
Design for the spectrum of stakeholders by articulating the shared problems and objectives. This helps build a foundation for collaboration.
Have a thorough understanding of how and why stakeholders might choose alternative solutions to address their needs, as to design better solutions.
Use (eco)systems thinking to help appreciate the (natural) world's complexity and the need for comprehensive, integrated approaches in order to implement solutions that maximize value for users, customers, and stakeholders while fostering innovation, growth, and long-term sustainability.
By learning from other sectors, we can rapidly scale and deploy NBS. Embracing and investing in nature-based solutions today is an investment in a healthier, more resilient planet for generations to come.
Eva Muller and Elisa Raulings
