avoiding the top 7 mistakes in bringing new products to market by steve tennant
TRANSCRIPT
Avoiding the Top 7 MistakesIn Bringing NewProducts to Market
By Steve Tennant
Meet Alex
Also known as…
Ms. Product Manager
Alex lives in…
Flickr: http2007
and went to school at…
Flickr: matsuda.yukihiro
She drives a…
and has been asked to bring a new …
Can she avoid common new software product …
Today, 50-95% of new products
fail.
Why do new products fail?
Inadequate Market Analysis
Product Problems or Defects
Lack of Effective Marketing Effort
Higher Costs Than Anticipated
Competitive Strength or Reaction
Poor Timing of Introduction
Technical or Production Problems
All Other Causes
10% 20% 30% 50%40%0%Percentage of Companies Citing (n=233)
Source: Conference Board as cited by R.G. Cooper, Winning at New Products
Primary Causes of Product Failure
The reasons products fail can be addressed.
The reasons products fail
can be addressed
Flickr: Cynfreelancer
To do so requires a paradigm shift that challenges many of your current beliefs.
These Flawed Beliefs Help Cause “Train Wrecks”
1. “We need to complete the product before I can show it or talk to customers.”
2. “Our (business and/or compensation) plan says we must ship a new product in six months.”
3. “Once we’re done building, we’ll give it to sales…”4. “We’re opportunistic. If we find one customer who
wants something, we’ll build it.”5. “The answers to our most important questions can be
found from inside our four walls, or on the Internet.”
Alex began to wonder, what can I do to
make my new product…
that question?
How would you help Alex answer
Before we build a better mousetrap, we need to find out if there are any
mice out there.”- Yogi Berra
Tip 1 Clarify your target market
Tip 2 Draft the buyer personas:
titles, roles, goals, top 2-3 problems
Tip 3Validate the problem, roles, goals
and your prototype with 20-30 prospective customers
What’s frustrating about doing Job X?
Our new employees run screaming they hate it so much.
Sample Interview Questions
• What are your top 3 goals? Challenges?• Typical day in your life?• How do you solve this problem today?• Who would you trust for advice?• How would you want to buy it?• What would you expect to pay?• What services would come with it?• If you had three choices in front of you, what criteria
would you use to evaluate them?• What did you expect to talk about that we haven’t?
Tip 4Perform a market sizing, market analysis and competitive analysis
Tip 5Use a new product process
Tip 6Prove with early adopter
customers before launching
Tip 7Develop a realistic marketing plan
and customer-centric message
Tip 8Use a Proven Sales Model and
Enable Sales With What They Need to Win
Transactional Selling
ConsultativeSelling
EnterpriseSelling
Unprofitable:You lose
Poor service:You lose
Investment in each transaction by Your Company
Investment in each transactionby Customer
Recommended reading: Neil Rackham, Rethinking the Sales Force
Now Alex knows…
What her customers need
…how her product
is different
…what her sales force needs
…and how to make her
new product
Thanks to…
Grow your technology company. Faster.
Tennant Consulting Services
Organization Design, Staff Recruiting & Development
Collaborative Operating System
Alliance Assessment
Alliances
Alliance Strategy
Alliance Programs
Alliance Marketing
Alliance Partner Recruiting
Relationship Rescue/Facilitation
Alliance Scorecard & Metrics
Marketing Assessment
Marketing
Positioning & Messaging
Website Strategy & Content
Marketing Plan & Budget
PR & Thought Leadership
Trade Shows & Events
Sales & Customer Conferences
Product Mgmt Assessment
Products
Market Needs Interviews
Win/Loss Analysis
Product Business Plan
Product Messaging
Beta Customers
Launch
Financing Assessment
Business Plan
Investor Presentation
Investor Meetings
Due Diligence Support
Term Sheet Support
Board Communications
Capital
Project Management
Leadership Feedback & Coaching
Executive Team Facilitation
Vision & Mission
Market Trends & Analysis
Competitive Analysis
OpportunityAssessment
Strategy Development
Strategy Execution & Metrics
Strategy
Tennant Consulting Services
Organization Design, Staff Recruiting & Development
Collaborative Operating System
Alliance Assessment
Alliances
Alliance Strategy
Alliance Programs
Alliance Marketing
Alliance Partner Recruiting
Relationship Rescue/Facilitation
Alliance Scorecard & Metrics
Marketing Assessment
Marketing
Positioning & Messaging
Website Strategy & Content
Marketing Plan & Budget
PR & Thought Leadership
Trade Shows & Events
Sales & Customer Conferences
Product Mgmt Assessment
Products
Market Needs Interviews
Win/Loss Analysis
Product Business Plan
Product Messaging
Beta Customers
Launch
Financing Assessment
Business Plan
Investor Presentation
Investor Meetings
Due Diligence Support
Term Sheet Support
Board Communications
Capital
Project Management
Leadership Feedback & Coaching
Executive Team Facilitation
Vision & Mission
Market Trends & Analysis
Competitive Analysis
OpportunityAssessment
Strategy Development
Strategy Execution & Metrics
Strategy
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