disruptive go to market strategies (gtm)
TRANSCRIPT
Disruptive
GTMStrategiesSunder MadakshiraHead Marketing, EdgeVerve, An Infosys Company
What went wrong with
KODAK
The Agenda
o The Elements of a GTM
o Building a Disruptive One
o Disruption Rules and Hooks
o STP
o Measures of Success
Essential Components of a Go-to-Market Plan8
Business Summary
Product Strategy
Channel Strategy
Marketing Strategy
Customer Experience
Technical Requirements
Evaluation
So What is a Go-To-Market Strategy?
New Thing
Customers
So what is a
Go-To-Market Strategy?
New Thing
Customers
WebsiteMobile Affiliates
Joint Ventures Collaborators Distributors
Channel
Partners
Technology
Partners
Product
Partners
So what is a
Go-To-Market Strategy?
WebsiteMobile Affiliates
Joint Ventures Collaborators Distributors
Channel
Partners
Technology
Partners
Product
PartnersNew Thing Customers
How do we get from here…
New Thing Customers
To here...
Website Affiliates
Channel
Partners
Technology
Partners
An effective go-to-market
system is the missing link
between a company’s
strategy—its decisions about
where to compete and how
to win—and the exceptional
customer experiences that
are the ultimate path to
success.
Source: Bain and Company
A go-to market system builds customer advocacy by creating a superior customer experience
Point of departure Go-to-market system Point of arrival
Business unit strategy Design Delivery Customer experience
Where to paly
How to win
Full-potential roadmap
Identify the most attractive target segments and their needs
Design better value propositions than the competition
Acquire more attractive customers
Grow share of wallet with existing customers Exceeding expectations
creates advocates who...
Stay longer
Buy more
Refer more
Cost less to serve
Provide rich feedback
Disruptive GTM strategy
An effectively integrated go-to-market strategy comprises dozens of capabilities that, together, build a bridge between a company’s strategy and the exceptional customer experiences that are the ultimate driver of customer advocacy and loyalty
Strategic
fact base
Evaluation
of choices
Mobilization
Go-to-Market system
Off
eri
ng
Mess
ag
ing
Sale
s &
su
pp
ort
Customer
segmentati
on
Customer
Insights
Market &
competitive
Offering
definition
Customer
messaging
definition
Definition
of sales &
support
model
Category management Portfolio/lifecycle management Product development
Pricing strategy Product pricing Pricing tactics
Branding Category marketing Demand generation
Channel mix Targeted offering Resource deploy ment Tools
Performance management
Customer support Process improvements & innovation
Enablers: Organization, decision roles, metrics, culture, IT, innovations and so on
Closed loop feedback system
Business unit strategy
Design capabilities Delivery capabilitiesCustomer
experience
Product/service management
Pricing
Branding & marketing
Salesforce & channel management
Post-sales support
Desired Capabilities in a Disruptive GTM
Beginning with the basics-STP
This is an audience rather than product
focused approach to communications which
helps deliver more relevant messages to
commercially appealing audiences.
STP is relevant to digital marketing too,
where applying marketing personas can help
develop more relevant digital communications.
In addition, STP focuses on commercial
effectiveness, selecting the most valuable
segments for a business and then developing
a marketing mix and product positioning
strategy for each segment.
Virgin Holidays, segment holidays into 6 groups.
Market SegmentationTargeting-Select the
Target Market
Product Positioning
Decide on the Optimal
Marketing Mix
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Evaluate technology—
especially outside of
your
Don’t wait for disruption to start nipping at your heals
Watch your competition like a hawk
Keep a finger on the pulse
of your customers
Disruption Rules
Go to Market
Disruptive Hooks
List below refers to what’s needed to evaluate the potential and commercial attractiveness of each segment.
Criteria Size: The market must be large enough to justify segmenting. If the market is small, it may make it smaller.
Difference: Measurable differences must exist between segments.
Money: Anticipated profits must exceed the costs of additional marketing plans and other changes.
Accessible: Each segment must be accessible to your team and the segment must be able to receive your marketing messages
Focus on different benefits: Different segments must need different benefits.
Targeting
Positioning maps are
the last element of the
STP process
Product positioning
Illustrations of successfuldisruptive GTMs
Google: Took another “Moon shot”, it’s self-driving car. Pioneering
Apple: with 500 stores, its among the top 20 retailers with a revenue
of 25 B USD. If we add the online channel, its 53 B USD
Facebook: The new face of mobile too. Claims 20% of our time on
mobile devices.
Amazon: 4th largest apparel retailer in US with a 16 B USD
revenue, ahead of companies like Gap, JC Penny, Nordstrom etc.
Clothes with a free return model, a logistics arbitrage ensured
Measuring success of adisruptive GTM
The way is by determining
how an initiative or project
will help a company come
closer to realizing its
objectives and achieving
its corporate goals.
Goals or objectives.
Segmentation Metrics Alignment with key
corporate objectives:
The goal of these
projects is to improve
capital efficiency by
boosting the
effectiveness and
efficiency of GTM
processes.
Buyer Insights MetricsAlignment with key
corporate objectives:
The goal of these
projects is to make
processes repeatable
and scalable,
improving efficiency
and effectiveness of
GTM processes.
Marketing Channel Metrics
Alignment with key
corporate objectives:
Operation
improvement,
capital efficiency,
market coverage
Google’s Go-to-Market
GOOGLE = BEST
“We don’t always produce what people want,” “It’s really
difficult. To do that you have to be smart—you have to
understand everything in the world. In computer science,
we call that artificial intelligence.” Larry Page
“We want Google to be as smart as you—you should be
getting an answer the minute you think of it.” Brin
In Summary
• GTM provides clarity and points to avenues for disruption
• Estimating the extent of disruption is critical
• Do not ASS U ME. Explore every element
• Prevent self-disruption
Thank You
&
Happy Holidays
Weblog: www.madakshira.com
Twitter: @sundermp
Facebook/LinkedIn: Sunder Madakshira