Professor Tom Byers

1
E140A Session 5Entrepreneurial MarketingWhat
Can We Learn From CVT?

• Professor Tom Byers
• Guest Donna Novitsky

2
What is Marketing Anyway?

• Marketing must be more than a sales support
  function (or a brochure factory).
• It must satisfy the needs of the customer by
  means of the product and the whole cluster of
  things associated with creating, delivering, and
  finally consuming it.
• Especially in high technology, marketing must
  invent complete products and drive them to
  commanding positions in defensible market
  segments.

Reference Ted Levitt and Bill Davidow
3
Tom Kosniks10 Step Outline for a Marketing Plan
1. Market Potential How large is the market
across its life cycle? 2. Segmentation Who are
our target customers? 3. Positioning Why will
they buy from us vs. our competition? 4.
Partnerships Who will help us to deliver a
whole product? 5. Product How does our whole
product create value (includes branding)? 6.
Pricing What does our product cost across the
supply chain? 7. Promotion How will we
communicate with stakeholders? 8. Place How
will we distribute our whole product? 9.
Permission How will we turn strangers into
loyal customers? 10. Relationships How will we
turn trust and loyalty into profits?
Reference Tom Kosniks CL Chapter 7
4
Most Famous Model Geoff MooresTechnology
Adoption Life Cycle
5
So How Does a Startup Cross the Chasm?

• Put Your Eggs in One Basket Target Market
  Segments.
• Then Deliver a 100 Solution To Them A Whole
  Product.

6
The Positioning Formula Market Selection
Differentiation

• Sentence 1 Market Selection
• For (target customer)
• who (statement of the need or opportunity),
• the (product name) is a (product category)
• that (statement of benefit).
• Sentence 2 Differentiation
• Unlike (primary competitive alternative),
• our product (statement of primary
  differentiation).

Reference Ries Trout, Geoff Moore, and Tom
Kosnik
7
Whole Product The 100 Solution or Ecosystem
Platforms
Connectivity
Key Decisions Which Pieces Do We Do and Which Do
Our Partners Do?
Support
Installation Training
Software Program
Etc.
Consulting
Reference Ted Levitt, Bill Davidow
8
Closing Comments

• Our First Case!
• Budget Battles Often Expose Deeper Problems in
  Vision and Strategy (e.g., Relationships Need To
  Based on Mutual Respect, Not Seize Mentality)
• Marketing Strategy and Orgs Must Adapt and Be
  Flexible Over Time as Startups Navigate
  Technology Adoption Cycles
• Chance to Examine Marketing and Its Relationship
  to Product Strategy, Market Development, and
  Positioning