4 cs of u.s. market entry - 101 guide for entering the us b2b markets

(C) 2013 Takehill Partners LLC

80% of U.S. Market Entry Projects Fail*

* McKinsey Quarterly

...why is that?


In B2B Markets, is it because:

- Lack of prior success - U.S. Accounting

- Regulations - Taxing

- Legal agreements - Product certifications

- Distributor or reseller selection - Office location

- Local employee selection - Supply chain logistics

- Investor funding - Customs and tariffs

- IP rights and agreements - Incompetent consultants

- Language skills - Advertising

- 100+ other details...???


NO!


It is because of the Four Cs !

....that is, 4 easiest ways to FAIL in your U.S. market entry.


1

2

3

Lack of CLARITY about market position

and target customer

Inability to COMMUNICATE compelling customer value and differentiation

4

Lack of interesting and educational CONTENT to enable lead generation

Missing CREDIBILITY due to not having presence in the USA


Let’s Walk Them Through

One by One:


1 Lack of CLARITY about market position

and target customer

CLARITY


1 CLARITY

Remember this? Where are you on the Cycle?

Clarity required with: 1. Problem vs. Solution 2. Performance vs. ”old method” 3. Customer Value & Benefits 4. Features/Functionalities

Clarity required with: 1. Differentiation /Competitive advantage 2. Quality 3. Ease-of-use, User Experience 4. Customer Value & Benefits 5. Features/Functionalities

About finding the first reference client at market entry...

So what? Ask: does my marketing match the adoption cycle, RE: nature of competition and customer behavior?


2 Inability to COMMUNICATE compelling customer value and/or differentiation

COMMUNICATION


2

B2B Communication USA (Strengths) EUROPE (To improve)

Marketing Claims: Bold: ”This is the #1 leading solution, because...(prove us wrong!)”

Modest: ”Here are the facts, and it works.”

Bragging: Required Considered Unprofessional

Strategic Marketing: Same strategic marketing ”Mantra” for all Marketing Dept disconnect as ”island”

Social Media & SEO: TOP Priority MEDIUM priority

Competitive Advantage: Clearly communicated (front page) Communicated (last page)

Marketing Comm Budget Investment ! Expense !

Customer Service The customer is KING. We serve them when we have time...

COMMUNICATION

It’s not only about technology. It is also about the CULTURE. Adjust your marketing communication accordingly.


3 Lack of interesting and educational CONTENT to enable Lead Generation

CONTENT

QUESTION: At which point (%) of the purchasing process

cycle, does B2B customer contact vendors, to seek out information to support his purchase decision?

1997

2013

Customer Due

Diligence Begins

Customer Purchase Decision Customer

contacts vendor

Customer contacts vendor

27%

57%*

* Source: CEB survey of B2B customer purchasing behavior 2012

Customer’s own internal & online analysis

Customer’s own internal & online analysis

Customer analysis begins with vendors

Customer analysis begins with vendors


3 CONTENT

OK, 57% ... so, what does it mean?


3 CONTENT

It means, that:

IF you do NOT have interesting & educational content available online,

you have already lost to your competition!


3

Website and Data Sheets (minimum requirements)

Blog, Tweets, Facebook, E-mail news (updated weekly)

Customer Case Stories (convincing)

Whitepapers & Solution docs(educational)

Videos (facts & fun)

CONTENT


4 Missing CREDIBILITY due to not having presence in the USA

CREDIBILITY


4 Steps to B2B Trustworthiness

No U.S. address

Virtual U.S. address

Physical U.S. office

Bad grammar

OK English

Engaging Industry

Language

No dedicated contact person

in the USA

U.S. consultant

w/your business card

Your own U.S. employee(s)

No customer case stories

European case stories

U.S. Customer

case stories

Unhappy customers in Soc- media

Happy Quiet Customers

Happy Customers in

Soc-media

CREDIBILITY

= You are so NOT Ready = This is Your First Step = You Are Winning Business!

Presence:

Marketing language:

U.S. contacts:

Testimonials:

Word-of-mouth:


Let’s repeat, 4 easiest ways to

SUCCEED in Your U.S. market entry:


1

2

3

Maximize CLARITY about your market position and target customer

Improve COMMUNICATION about customer value and differentiation

4

Create interesting and educational CONTENT to enable lead generation

Secure CREDIBILITY by having physical or virtual presence in the USA


Thank You and

Good Luck*!

* Yes, luck always helps. If you are not sure, contact Takehill Partners: [email protected] or +1-703-504-8157

© Takehill Partners LLC, McLean, VA 22101, USA, - Takehill Partners provides U.S. market entry and business development services to

technology companies worldwide, focusing on B2B solutions, mobile platforms, enterprise software and Health IT markets.

mailto:[email protected]