Launching A Product by BMA-STL

7 things to consider forDistributor Sell-In and Sell-Through

1. Sell-in Strategy

What tools will the manufacturer’s sales force need to encourage distributors to carry the product?

• Incentives• Education• Sales Training• Sales Support• Technical Support• Back-Office Support

Sell-In brochure

2. Incentives

How can the manufacturer minimize the risk?

• Discount on initial orders• Quantity discounts• Showroom display/stocking assistance• Buy-Back program

3. Educate the sales force

What is the framework for training the sales staff?

• In-person/group training• Train-the-trainer• Webinars (incentive to attend?)• Video• Metrics for measuring the information learned

4. Recommend sales strategies

What are the selling strategies? What needs to be accomplished to make a sale?

• Messaging and positioning• Demos• Product samples• Technical papers• Testimonials

5. Sales support

How will the manufacturer help the sales teams succeed?

• Sales Tools - ex: literature, video, micro-site, advertising• Showroom merchandising• Lead generation? What is the process for distributing

the leads?• Other ideas to support sales, ie, calculator tool – mobile

app

6. Technical/installation team support

How will the technical staff be supported?

• Training• Technical info – ex: CAD drawings• Help Line

7. Back office issues

How will the distributor incorporate this new product into their database?

• Part numbers• Ordering process• Transfer of assets – images, videos, specs, etc.• Return or Buy-back program• Most important – make sure your billing process aligns

with the distributor’s

7 things to consider forDistributor Sell-In and Sell-Through

Outcome Driven Innovation

An Intro To ODI & The Jobs To Be Done Framework

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OUTCOME DRIVEN INNOVATIONA fancy name for a surprisingly simple idea:

“people buy products and services to get jobs done. As people complete these jobs, they have certain measurable results or outcomes that they are attempting to achieve. These link a company's value creation (product development) activities to customer-defined metrics.”

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Traditional types of info gathered from customers:1. Solution2. Specifications3. Needs4. Benefits

FOOLING OURSELVES

Number of Product Developers who believed they were gathering the right data from customers for new product development

72%

OUTCOME DRIVEN INNOVATION

The problem with these data types is that they:1. Rely on trying to translate customer language2. Assume the customer has significant technical knowledge3. Think the customer already knows the solution – we just

need to figure out how to make it4. Are often really imprecise

Number of new product launches that fail to become profitable and ultimately are discontinued or withdrawn from the market

40%

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IS NOT :


1. Stage - Gate2. Scrum3. Lean Product Development4. DFSS…

These are product development / management processes. They are designed to take ideas and manage them through the commercialization processes

ODI is what you do BEFORE you get to these tools…

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Myth 2Myth 1 Myth 3 Myth 4

Customer Don’t Know What They

Want

Customers Can’t Articulate Their

Needs

Customers Have Latent ( not

visible or known) Needs

Customer Requirements

Change Over Time

Innovation Myths:


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Myth 1

Customer Don’t Know What They

Want

Innovation Myths:

Customer DO know what they want – but they don’t always (rarely) know how to

get it… that’s part of our job


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Myth 2

Customer can’t articulate their

needs

Again, customers are often very good and telling us what they want. This goes to

understanding what they want… a drill or a hole

Innovation Myths:


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Myth 3

Customers have latent (unknown or

invisible) needs

What customers want – the ultimate outcome – is usually quite apparent. But what is latent are the jobs that need to be

done to achieve that outcome

Innovation Myths:


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Myth 4

Customer requirements

change over time

The desired outcomes, and the jobs to be done to achieve those outcomes don’t

change over time. What changes is how we get those jobs done and achieve those

outcomes.

Innovation Myths:


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So, here we are. Rather than focusing initially on what product attributes a customer is looking for (faster, stronger, larger..etc) we should be focusing on what outcomes they value.

So what are these outcomes… Outcomes:• Are the fundamental metrics used by customers to measure success when

getting a job done• Are used by customers to assess the value of one product/service over another• Can be captured in markets where products and competitors do not yet

exist, e.g., white spaces, blue oceans, etc.• Are the key to discovering opportunities for core market growth and

disruptive innovation• Are integral to all downstream innovation tasks, e.g., identifying

opportunities, segmenting markets, evaluating ideas, etc.


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WHAT DO CUSTOMERS WANT ?

ODI=

WHAT CUSTOMERS WANT

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You’ve All Probably

Seen These

Examples, But They

Bear Repeating

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THIS or THIS


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THIS or THIS


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THIS or THIS


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THIS or THIS


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A Hole Saved Memories Enjoyed Music A Healthy Garden


These are the jobs that need to get done. These are the jobs we need to figure out how to do better than anyone else

SAME JOB

SOLVED DIFFERENT WAYS

image source: intercom.ioblog

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WHY FOCUS ON THE JOB ?

“When you identify what people truly use your product to accomplish, you protect yourself from competition”

Clayton Christensen

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Jobs are “timeless”. The job doesn’t change (storing music in the example below), just the way in which the job is accomplished. Over time it’s the solution that get’s the job done BETTER that wins…


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What a drill does:1. Drills holes2. Tighten/Loosen things3. Spin things placed in the chuck

DRILL

WHY FOCUS ON THE JOB ?Let’s go back to one of our earlier examples:

Product Focus

What a drill is used for:1. Hanging pictures2. Fixing a chair3. Building a swing set4. Sharpening a knife5. Polishing a car6. Putting a toy together7. Fixing a car8. Fixing a bike9. ……10. ……

Job Focus

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JOBS ARE TIMELESS

The need to hang a picture, fix a chair, build something, and so on doesn’t change significantly over time.

YOUR COMPETITION IS NOT JUST OTHER DRILLS…IT’S ANYTHING THAT CAN GET THE JOB DONE…


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JTBD PROCESS

Build a job activity (or process) map

that outlines all the steps in the job

Construct a series of questions -

precise and measureable – to

help reveal desired outcomes

Create a measureable scale to have customers

rate the significance /importance of these activities

Use the scale to reveal those

outcomes that rank highest in

“importance” and “satisfaction”

We now have a ranked priority of unmet (important

but unsatisfied) outcomes that we can begin working

on

STEP 01 STEP 02 STEP 03 STEP 04 STEP 05

A step “0.1” could be to identify your focus market. For our purposes I am going to assume that we’ve already done that.

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Using an opportunity map, visualize those spots where underserved (important but unsatisfied) opportunities exist

STEP 4

JTBD PROCESS

STEP 5Use these underserved opportunities to feed into your product development process

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ACKNOWLEDGEMENTSStrategyn UK – Job Mapping graphics from April 2009 PresentationClayton Christensen – ODI theory, “The Innovators Dilemma”, “The Innovators Solution”

“What Customers Want” – Anthony Ulwick

“How To Know What Your Customers Really Want “- Pandith Jantakahalli presentation

“New Product Blueprinting”- Dan Adams

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CONTACT ME

PHONE636-221-4368

[email protected]

WEBSITEwww.jerryfix.com

Launching A Product by BMA-STL

Business

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