View
217
Download
4
Category
Tags:
Preview:
DESCRIPTION
This is a slightly revised version, most recently presented in Kiev, November, 2013.
Citation preview
Marketing Your
TechnologyMarty KaszubowskiPresident, General Ideaswww.SlideShare.com/Kaszubowski@MartyKasz
What you WON’T be getting today
A PhD in marketing theory and practice
“One-size-fits-all” solutions to sell your technology
Advice on how to get someone to buy something they don’t want or need
What I WON’T be talking about
Many of the usual “marketing and sales” topics are only appropriate for mature companies
I won’t be talking about:
Pricing strategy, Distribution, Market Research, Demographics, Market Segmentation, Advertising, Branding, Brand management, Direct marketing, Publicity.
What you WILL be getting today
A framework that will help you think about the kind of marketing you should be doing
Strategies for deciding who your customers are and what you should be saying to them
Some potential “good outcomes” that you should be pursuing
Encouragement to take marketing seriously and learn more
What I will be asking about …
1. What are your goals for your company? What kind of company do you want to create?
2. How mature is your technology?
3. What kind of problem does your technology solve?
The kind of company you create defines your marketing approach!
1.Lifestyle business2.Small business3.Scalable startup4.Buyable startup5.Large company6.Social entrepreneur
Per Steve Blank, et al
Types of ventures:
1. Lifestyle Startups: Work to Live their Passion.
Examples: Professional Photographers, Healthclubs, Surf Shops, Ski Instructors, Golf Pros, R&D Shops
2. Small Business Startups: Work to Feed the Family.
Examples: Restaurants, Clothing stores, coffee shops, Cleaning Services, Contractors, Taxi Cabs, Consultants
3. Scalable Startups: Born to Be Big:Examples: Google, Facebook, Skype, Apple, Ford, Boeing, Мобильные Телесистемы, SoftServe, etc.
Types of ventures:
4. Buyable Startups: Born to Flip:Examples: Tumblr (acquired by Yahoo), Instagram (acquired by Facebook), Groupon (should have taken the offer from Google!), IP-driven licensing
5. Large Company Startups: Innovate or Evaporate:
Examples: Boeing (satellites, rockets), Ford Motor Company (Ford credit), Apple Computer (iPod, iPhone, iPad), Hewlett Packard (printers), Research In Motion (?)
6. Social Startups: Driven to Make a Difference:
Examples: Tom’s (shoes), Ethos (water), Husk Power Systems (electricity generation)
A challenging question …
What do you want your company to look like in five years?
In ten years?
Did you say … A small, well respected R&D team with consistent project funding and
licensable patents?A stable, medium-sized company that offers several related products
or services?A major manufacturing company that has products known throughout
the world?Something else?
We Love Engineers … But …
• “Everyone loves ‘cool ideas’ and new technology.”
• “I need to go-it alone to assure quality and elegance.”
• “Marketing is fluff and selling is black magic.”
• “We need to get functionality maximized before we focus on customers.”
• “A good engineer hates unpredictability and risk.”
• “We can’t worry about making money until we get it built.”
• “Outside funding causes loss of control and undue pressure to deliver.”
Per Krishna Uppuluri
How do we define “Maturity?”
An objective assessment of the maturity of your technology is the first step to an effective marketing plan!
“Technology Readiness Levels” (TRLs) are a simple way to define how mature a technology is.
US government agencies, large companies, universities, and investors use TRLs to help guide investment, product development, purchasing, and resource allocation decisions.
Technology Readiness Levels
1. Basic principles observed and reported.2. Technology concept and/or application formulated.3. Analytical and experimental critical function and/or characteristic
proof of concept.4. Component and/or breadboard validation in laboratory
environment.5. Component and/or breadboard validation in relevant environment.6. System/subsystem model or prototype demonstration in a relevant
environment.7. System prototype demonstration in an operational environment.8. Actual system completed and qualified through test and
demonstration.9. Actual system proven through successful long-term operations.
Technology Readiness Levels
1. Basic principles observed and reported.2. Technology concept and/or application formulated.3. Analytical and experimental critical function and/or characteristic
proof of concept.4. Component and/or breadboard validation in laboratory
environment.5. Component and/or breadboard validation in relevant environment.6. System/subsystem model or prototype demonstration in a relevant
environment.7. System prototype demonstration in an operational environment.8. Actual system completed and qualified through test and
demonstration.9. Actual system proven through successful long-term operations.
Basic Research
Technology Demonstration
Product Development
Maturity defines who your target customer is!
TRL 1-3 is basic research and is generally “marketed” to government agencies, major companies, and philanthropic organizations that seek to advance the state of the art.
Ex: Sponsored research, “Science for hire”
TRL 4-7 is technology demonstration and is “marketed” to early-adopters and strategic partners seeking early market advantages.
Ex: Licensing agreements, sales of patent portfolio, joint venturing, pilot projects
TRL 8-9 is technology application and product development and is marketed directly to end users.
Ex: Product sales and marketing, full-scale manufacturing & support
Market Paths
Basic Research(TRL 1-3)
Technology Demonstrat
ion(TRL 4-7)
Product Developme
nt(TRL 8-9)
What is a “Good Outcome” for you?Success in Basic Research means:
You’ve found agencies, universities, or R&D-intensive companies who will pay you to generate new concepts and validate their potential; and
You have become a recognized “thought leader” in your field.
What is a “Good Outcome” for you?Success in Technology Demonstration
means:
You have formed partnerships or joint ventures with companies who will help test your technology and ultimately manufacture products or provide valuable services;
You have licensed your technology to a company that will pay you a royalty when they sell products or services; and/or
You have sold the rights to your patent(s)
What is a “Good Outcome” for you?Success in Technology Application and Product Development means:
Sales, sales, and more sales.
Two Questions
To what extent does your technology make other technologies obsolete?
Example: The automobile made the horse and buggy obsolete
To what extent will your technology make current marketing & sales channels obsolete?
Example: The people who sell automobiles are not the same people who sold horses and buggies
Other Examples
Niche Innovations: Solid state Flash Drives did not make Hard Drives obsoleteThe people who sell Flash Drives do not sell Hard Drives
Evolutionary Innovations: 1 TB hard drives did make 100GB hard drives obsoleteThe people who sold 1GB drives also sell 1TB drives
Revolutionary Innovations:High Definition (digital) TV made analog TVs obsoleteThe people who sold analog TVs also sell digital TVs
The Transilience Map
Niche Architectural
RevolutionaryEvolutionary
Makes sales & marketing channels obsolete
Makes older
technologies
obsolete
Automobiles
MP3 Music
Digital Cameras
Flash Drives
High Def.TVHigh Capacity Hard Drives
Leaves older
technologies viable
Retains existing sales & marketing channels
• Build trust• Extend
communication• Extend feedback
mechanisms• Identify new
“Insider Champion(s)”
Another Useful “Framework”
New Product or
Service
NewCustomer
CurrentCustomer
Current Product or
Service
• Strong market research
• MVP + early customer feedback
• Find early-adopters
• Focus on branding, social networks
• Identify common need
• Aggressive branding
• Extend direct sales
• Reduce “Switching Costs”
• Maintain relationships
• Earn trust• Maintain Quality
Control
• Build trust• Extend
communication• Extend feedback
mechanisms• Identify new
“Insider Champion(s)”
Another Useful “Framework”
New Product or
Service
NewCustomer
CurrentCustomer
Current Product or
Service
• Strong market research
• MVP + early customer feedback
• Find early-adopters
• Focus on branding, social networks
• Identify common need
• Aggressive branding
• Extend direct sales
• Reduce “Switching Costs”
• Maintain relationships
• Earn trust• Maintain Quality
Control
STARTUPS START HERE
THEN MOVE HERE
WAIT FOR IT …
HERE NEXT!
?
The 7 Ps of Technology Marketing
1.Potential – Once it’s mature, what sort of new and valuable applications or improvements will be possible?
2.Products – What will you be delivering to your customers?
3.Price – How much money do you need to mature your technology versus what you might be able to charge for it?
4.Partners – Can you do this by yourself or do you need partners?
5.Promotion – How will you become known to your potential customers and partners?
6.Process - How can people obtain your product or service?
7.People – Who is the “face” of your business?
The 7 Ps vs. “Maturity”
Basic Research
Technology Demonstration
Product Development
Potential
Many possible applications in
many industries
Initial product forms and features are
being defined
Specific products and services are defined,
applications are known
Products
Papers, presentations,
ideas
Prototypes, one-time services, patents,
methodologies
Finished products, mature services
Price Basic research funds
Test and evaluation funds
Operational and capital budgets
Partners Other researchers Future manufacturers, joint sales & marketing
Sales partners
Promotion
Conferences, technical
societies, journals
Trade shows, professional
societies, venture fairs
Advertising, Public Relations, direct sales
Process Journals, invitations to
speak, collaborative
projects
Test installations, Pilot Projects
Purchase
People The Researcher A team of developers,
designers, testers
The CEO and professional sales
The 7 Ps vs. “Maturity”
Basic Research
Technology Demonstration
Product Development
Potential
Many possible applications in
many industries
Initial product forms and features are
being defined
Specific products and services are defined,
applications are known
Products
Papers, presentations,
ideas
Prototypes, one-time services, patents,
methodologies
Finished products, mature services
Price Basic research funds
Test and evaluation funds
Operational and capital budgets
Partners Other researchers Future manufacturers, joint sales & marketing
Sales partners
Promotion
Conferences, technical
societies, journals
Trade shows, professional
societies, venture fairs
Advertising, Public Relations, direct sales
Process Journals, invitations to
speak, collaborative
projects
Test installations, Pilot Projects
Purchase
People The Researcher A team of developers,
designers, testers
The CEO and professional sales
The 7 Ps vs. “Maturity”
Basic Research
Technology Demonstration
Product Development
Potential
Many possible applications in
many industries
Initial product forms and features are
being defined
Specific products and services are defined,
applications are known
Products
Papers, presentations,
ideas
Prototypes, one-time services, patents,
methodologies
Finished products, mature services
Price Basic research funds
Test and evaluation funds
Operational and capital budgets
Partners Other researchers Future manufacturers, joint sales & marketing
Sales partners
Promotion
Conferences, technical
societies, journals
Trade shows, professional
societies, venture fairs
Advertising, Public Relations, direct sales
Process Journals, invitations to
speak, collaborative
projects
Test installations, Pilot Projects
Purchase
People The Researcher A team of developers,
designers, testers
The CEO and professional sales
A few words about selling …
Are you an introverted entrepreneur? Not all people love selling all the time. But as a startup founder, that's usually part of the job description.
The Introvert Salesman …
1. Understand the sales process• Understanding how salespeople work will help
you explore ways to offset your inability or dislike of sales
• Try “selling” over lunch coffee. One-on-one or one-on-two is always better than trying to "work a room.“
• Hire some to be your "relationship starter."• Work on building a community around your
product or service (so they can sell each other and you don’t have to!).
• Sometimes you just have to make the cold call.
2. Don't Expect an Immediate 'Yes'• Not everyone will fall in love with your product
or service• You will be pleasantly surprised by how many
people say “Yes” once you stop expecting them to!
3. Fall in Love with Your Product• Deep down you fear that you don't bring
value... • Focus on the ways your product or service
saves your clients money, makes their lives easier, and changes the world for the better
The Introvert Salesman …
4. Start with the People You Know • You'll feel more comfortable talking to friends
and acquaintances• They will be more forgiving as you learn how
to best present your product/service. • Listen more than you talk
5. Ask a Lot of Questions• Don’t assume you know what potential
customers value • Sales is really about getting to know your
customers' needs. Ask them!• Find their “pain points” and customize your
pitch and proposal just for them
The Introvert Salesman …
6. Spend Time Educating• Few startups have a known product to sell … • Your potential customer probably doesn’t
understand what how you’re going to make his life better
• Every sales call is a chance to educate people about your industry, your products, etc.
7. ”Small Talk” is a Big Deal …• Customers are people, too!• “Small Talk” = chatting about non-work-related
things that are of interest to the person you’re meeting
• Casual talk establishes rapport, builds relationships, and helps close deals!
The Introvert Salesman …
8. Be a Consultant, Not a Salesman• A salesperson's job is to find problems and
help solve them• Selling is about creating value for both parties
rather than simply providing a product or services
9. Find a Partner or Co-Founder Who Loves to Sell• Some people are just uncomfortable in a sales
role and nothing helps … • If you really, really, really hate to sell, find a
business partner who loves it. • The right person is worth whatever price you
pay or equity you give up ...
The Introvert Salesman …
Knowing your Competition – Existing Markets
Competitor#1
Competitor #2
Competitor #2
Our Startup!!
!
Feature #1
Feature #2
Feature #3
Feature #4
Feature #5
Knowing your Competition – Category Creators!
Our Startup !!!
Market Catego
ry#1 Market
Category#2
Market Catego
ry#3
Market Catego
ry#4
Market Catego
ry#5
Market Catego
ry#6
Market Catego
ry#7
Market Catego
ry#8
An Example of a Category Creator!
Personal
Data Assista
nt
Cell Phone
Laptop with WiFi
MP3 Player
s1st Gen.
Digital Camer
as
?
Facsimile
Machines
SMS Text
One last thing to worry about ...
Premature scaling of sales and marketing is the leading cause in a start-up.
Early sales from board members or friends do not prove there’s sustainable business model.
A start-up should scale sales and marketing only after the team has found a repeatable sales model.
Questions?
Recommended