Product Development for Enterprise IT Software Must Include a Multi Dimensional Market Plan

Over our 35+ years of experience in technology markets, the most successful efforts that we have noted have, almost always, included what we refer to as a panoramic marketing strategy, meaning a marketing plan that pulls revenue from at least three important sources:

  1. Direct Sales — Usually in the form of a national accounts strategy
  2. Partner Sales — We think this strategy can work quite well without a discount component
  3. White Box/OEM — a vertical with great promise

via ongoing, simultaneous effort. Therefore, we think it is critically important that any/all product concepts be rigorously evaluated for their potential in each of the above markets.

Scenario analysis provides a highly useful basis to perform the type of rigorous evaluation to which we have just alluded. We recommend building market scenarios for product concepts and, subsequently, testing these concepts through market sampling. The optimum approach to market sampling ought to constitute an integrated direct market effort — print and online collateral, which we think should be distributed upon a registered participant basis, to be followed up with teleprospecting calls placed within 1 – 3 days subsequent to receipt of materials by recipients.

We think it makes sense to allocate resources to product concepts that demonstrate suitability for each of the 1-3 markets noted above, in order to maximize return on precious scant product development funds. Favoring concepts that merely cater to 1 of the three markets is not an advisable approach, as we see it.

It ought to be clear from what we have depicted that we lean towards a slow and careful approach to product development. More often than not, entrepeneurs who are otherwise unfamiliar with the type of product development method we have depicted will be too impatient to proceed in this manner. Therefore, we recommend that management include some level of decision-making in addition to the activities of a CEO to ensure that a promising, careful process of product development is followed. The paradoxical nature of this type of product development process is that a careful approach will, more often than not, deliver either a product with true marketplace viability, or considerable savings as the result of pulling back on concepts that do not promise positive results from all 3 markets.

IMB Enterprises, Inc. is particularly well suited to work with early stage technology businesses that would like to embark on successful product development. We are certainly very experienced with integrated direct marketing approaches and, in particular, quite deep as regards teleprospecting. Please telephone Ira Michael “Mike” Blonder at +1 631-673-2929 to further a discussion. You may also email Mike at imblonder@imbenterprises.com.

© IMB Enterprises, Inc. & Ira Michael Blonder, 2012 All Rights Reserved

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