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Classic Marketing: when you know your Customer

This framework of analysis and design, has been developed by several Scholars like prof. Michael Porter, and even if there are more recent ways to size a market, I still prefer to start here.

Classic Marketing, if properly managed, is very effective to explore the further potential of your B2B business model, it works well to handle the key drivers of established industries, and to keep control of the variables involved in Sustaining innovation’s trajectories.

It’s aim is to filter out any initiative that is too risky or not enough profitable.

I would recommend it when you have a clear understanding of how you do business now and you have absolutely identified who are your Customers, and want to understand how much business you can further gain exploiting it.

E.g. you may want to understand: how much you business you can gain in:

 

· LENGHT: increasing the performances of your product line

· WIDTH: extending your product line: 

 

 

 

The Discovery Planning framework

This methodology has been developed more recently by prof. Clayton Christensen and contributed by Prof. Rita Mc Grath. It gives a whole new perspective in how innovation develops and impacts on the market, and is a must-use if you have a new idea to exploit.

Discovery Planning is meant to drive you into finding new Customers for a new idea. Is the only way that can lead you there, a part luck. So, it involves Search and Design of Experiments, it involves Risk and Risk management techniques, It involves to learn, to adjust and to be able to withstand failure.

It’s aim is to multiply the opportunities for your initiative to succeed, within your budget.

I would recommend it when your gut is signaling a direction, but you are not so crazy lucky to bet your resources without a plan. This is a proven methodology to explore your potential hunting territory a step at time, being “patient for growth, but hungry for profits”.

E.g. you may want to explore a business opportunities and size minimum targets:

 

· DEPTH: reshaping your business model to serve near by, or low-end Customers

· HEIGHT: finding new kinds of Customers

 

 

 

 

Discovery Planning: when you don’t know your Customer

Service Market model - your personal market

 

Reaching B2B Customers  is tuff, but if you sell them, you are building your personal  market. Your product installed fleet will become soon  your best market, sheltered from competition,  profitable (  normal contribution margins average 40% … or more )  and the first referral source . With  few  software lines you can  size your service market since the beginning, and be ready to exploit it in full. This is the basic input for a Service market model to be implemented on a SQL database. For any further detail: call me.

 

 

 

 

 

How much value

When it is generated

What service

To which Client