Mo’ Beta

At some time in every product cycle, the executive team wants to help product management “improve” its customer beta process.*  This is generally because the last beta took too long, didn’t get enough useful customer feedback, or failed to prime the revenue pump for a post-GA sales blitz.  Notice that these three goals are mutually exclusive…

One way out of the beta dilemma is to recognize the different audiences and objectives for a beta cycle, then structure different programs for each.  Here, I’ve sorted beta prospects into three camps: the Loyal Opposition, the Overcommitted, and the Reluctant Volunteers. Continue reading

"Goldilocks" Packaging

Established companies in established markets generally have some standard ways to package and price their new offerings. Product extensions are benchmarked against the existing product line or the other guy’s features and prices.  This leaves product managers focusing on “faster, cheaper, better, more.”

GoldilocksIn a brand-new market, though, there are fewer guideposts.  Close competitors may not exist.  Even before final products are ready, you need to define initial packaging and pricing for your fledgling sales force and prospects.  Otherwise, the sales team will invent it haphazardly, one visit at a time.  Here’s a starter approach that I’ve called “Goldilocks” packaging. Continue reading

So Your Product Wants to Be a Service…

Sometimes we take a fresh look at a product, with the thought of turning it into a service.  This is especially attractive if sales of our product-as-a-product are less than planned.  Here’s a short exploration of the opportunities and pitfalls in moving from a product model to a service model.

hotel reception bell
First, we’ll step through some successful service models including application hosting, transaction-based, and subscriptions.  Then, sketch an example to highlight some of the advantages and challenges of services versus classic product sales. Continue reading

Early Selling: Thoroughbreds and Explorers

Start-up selling is different from selling established products. It includes navigating new product waters and locating islands of early adopters — and calls for different skills than classic quarter-driven account selling.  Knowing which you need is critical.  (I’ve seen organizations repeatedly hire the wrong sales force, with terrible results.)

This column divides sales teams into thoroughbreds (race horses) and explorers. Thoroughbreds outrun the competition along smooth paths by selling well-understood products.  Explorers hike rough terrain to discover early customers.  It’s important to know the lay of the land when picking your team. Continue reading

Getting into Customers’ Heads

Sometimes, at the end of a heroic development effort, we find lukewarm prospects instead of purchase-order- waving customers.  How can we get inside our prospects’ heads early in the product cycle so that our “next new thing” meets their needs and desires?  Or… paraphrasing Freud’s famous question about women,
“What do customers want?” Continue reading

Avoiding a Ticking B-O-M

In our enthusiasm to get started on software projects, we often jump right into the coding and UI design that make software fun.  I’ve done it.  A few weeks before final shipment, though, someone identifies a missing item or service that costs the team some sleepless nights — or a month’s schedule slip.  Perhaps it sounds like this…

b-o-m

“We’re going to beta on Tuesday and just realized that we need a license agreement for the software installer.  Does anyone know who our lawyers are?” Continue reading