Awkward Reality #296

What separates the winners and losers in the front-end of B2B innovation?

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Our research shows “strong value propositions” are the #1 driver of B2B organic growth: The ability to develop such value propositions separates the “winners” and “losers.” Here are the 3 growth drivers (out of 24) that show the greatest competency differences between these winners and losers:  #1 Front-end Work (creating a compelling business case), #2 Market Concentration (disproportionately focusing resources on attractive market segments), and #3 Customer Interviews: (gaining the insights needed to establish your value proposition).

More in research report, What Drives B2B Organic Growth?

B2B vs B2C: Why B2B companies have advantages

B2B vs B2C

When you consider B2B vs B2C, which market profession has greater advantages? Business schools offer more B2C courses, consumer research tools abound, and sophisticated marketers at B2C companies like Apple and P&G are held in high esteem. B2B marketers are often engineers or sales reps that were tapped on the shoulder and told to “do ... Read More

Don’t Confuse Concept Testing With VoC

Concept testing vs VoC

If we bring a prototype to a customer, this is “concept testing.” Something different from  voice of the customer research.  But when definitions are  not understood, these become conflated and  we fool ourselves into believing that we’re more customer-centric than we really are. This confusion results from how innovation and new product processes have evolved. ... Read More

Awkward Reality #294

What drives B2B organic growth more than anything else?

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In our research, B2B professionals rated a strong value proposition as the #1 most important driver of profitable, sustainable organic growth. But what makes it strong? Certainly not the supplier’s opinion. A value proposition is only strong if it addresses outcome(s) important and unsatisfied to the customer. This is the part that most B2B new-product teams bungle. They guess, hope, or hypothesize which outcomes customers want. Big mistake. Without unbiased, unfiltered data, most teams are led astray by their confirmation bias.

More in video, Leader’s Guide to B2B Organic Growth series, Video Lesson #19

Awkward Reality #293

Should NPD teams draft a Market Case or a Business Case?

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For years we’ve advised new product development teams to write a Business Case… to request moving their project into the development stage. But now we often suggest they use a simpler Market Case for their smaller projects. The Business Case has 12 sections while the Market Case has but 6. But the Market Case has the most important section… “Value Proposition”… in which solid evidence of customer needs is presented (usually in the form of Market Satisfaction Gaps).

Download Sample Market Case (after Step 3)

Awkward Reality #292

Are you trying to win a 5000-meter race… while Wall Street only cheers this lap?

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Imagine you’re a long-distance runner and some spectators in the stands have side-bets on how you’ll do this lap. Would you pay attention to them? Would you increase your pace just to make them happy… and lose the race as a result? This is precisely what you do when you pursue quarterly results “at all costs.” Remember, Wall Street analysts don’t give a fig about your company’s long-term well-being. That’s your job.

More in article, B2B Organic Growth: Moving to earned growth

Awkward Reality #291

Is it time to rethink your company’s time horizon?

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Research published in Harvard Business Review showed companies exhibiting long-term behavior have higher revenue, earnings, job creation, and market capitalization. Clearly, the key to shareholder wealth is long-term behavior, not short-term. If you’re at a financial review discussing revenue, price and margins, you are engaged in a spectator sport. What if your meetings three years ago focused on developing blockbuster products? That was a participant sport, because your longer time horizon allowed you to impact future financial performance. Not just talk about it.

More in video, Leader’s Guide to B2B Organic Growth series, Video Lesson #7