Escaping Commoditisation
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Escaping Commoditisation

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Avoid the race to the bottom on price by moving from the customer's thinking from price to value. Transform your business by exiting Level 1 thinking and move the conversation to Level 2 and Level 3 ...

Avoid the race to the bottom on price by moving from the customer's thinking from price to value. Transform your business by exiting Level 1 thinking and move the conversation to Level 2 and Level 3 of Perceived value. Lead with your core uniqueness, lead with your people and their passion, not your products.

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    Escaping Commoditisation Escaping Commoditisation Presentation Transcript

    • www.flickr.com/photos/lobraumeister/3168287411
    • “We are different” www.flickr.com/photos/theplanetdotcom/4879425518
    • “We are really different” www.flickr.com/photos/traftery/4773457853
    • Commodity
    • A race to the bottom
    • Race to the bottom www.flickr.com/photos/left-hand/2922904230
    • Race to the bottom
    • Race to the bottom www.flickr.com/photos/carquestguy/4335716783
    • Race to the bottom www.flickr.com/photos/roblee/348548738
    • Price vs Value www.flickr.com/photos/josephrobertson/419101649
    • Being commoditised www.flickr.com/photos/bronv/4412939449
    • Escape the Red Ocean 12
    • Navigate to Blue Oceans 13
    • Creative thinking www.flickr.com/photos/left-hand/4032334382
    • Transformational thinking www.flickr.com/photos/fotoosvanrobin/2545857883
    • Managing the inevitable www.flickr.com/photos/vek/4665924239
    • Get it rightwww.flickr.com/photos/winemegup/3641912321
    • Get it wrong www.flickr.com/photos/roome/3390682853
    • OK, but how? www.flickr.com/photos/ores2k/394359583
    • It is not aboutthe CLOUD It is not aboutTechnology
    • It is not about
    • It is about
    • Tomorrow’sPROBLEMS
    • The 6M€ Question? What is the problemfor which you are the solution?
    • Running shoes www.flickr.com/photos/evaxebra/5620076409
    • Feet solutions www.flickr.com/photos/pmtorrone/4573661684
    • Technology and innovation www.flickr.com/photos/rhinoneal/3907394091
    • Avoid Willy Wonka thinkingwww.flickr.com/photos/uaba/2923459060
    • Think like a Rock Star www.flickr.com/photos/feiticeira_org/4602640594
    • 1 Competitive separation2 Differentiate at Level 2 and Level 33 Dominate your own category
    • Competitive Separation * Core Unmatchable offer Competitor 1 YOU Goal: Use innovation and differentiation to break out Competitor 2 of your traditional set of competitors Competitor 3 Question: Who is your Competitive Set Reference Competitor? SalesChannel Europe ©2011 All rights reserved 32
    • Who is yourReferenceCompetitor?
    • Example
    • Slideshare
    • 1 Competitive separation2 Differentiate at Level 2 and Level 33 Dominate your own category
    • Avoid looking inthe wrong places www.flickr.com/photos/sea-turtle/3568062665
    • Perceived value www.flickr.com/photos/vox_efx/3767822998
    • It’s all about the target
    • Differentiation: 3 Levels of Perceived Value Basic Product/Service: 3 • Technology Enhanced Services • Price performance • Product quality 2 Support Services Basic Support Services: • Levels of support 1Product/Service Basic Your Hosted • Quality of service • Systems Product/Service Services • Processes Enhanced Services: • People • Perceived value • High touch • Exceed customer expectations • Delight and astound customers SalesChannel Europe ©2011 All rights reserved 40
    • Differentiation: 3 Levels of Perceived Value* 1 2 3 Basic Product or Support Enhanced Service ServiceFocus Requirements/Specs Satisfaction Delight Does the Is the product/service product/service How do they makeCustomer Concern meet my convenient/efficient/ me feel? needs/standards/ easy to access or expectations? use? Systems, processes, Technology/Technical Leadership andKey Elements policies, and expertise Culture structureControlled by Technical specialists Management Front line performers Industry/Field/Trade/ Intellect and EmotionalAbilities Needed Clinical Knowledge or Reasoning (IQ) Intelligence (EQ) Skills *www.jimclemmer.com/blog/2011/04/12/the-three-rings-of-perceived-value-an-integrated-customer-focus SalesChannel Europe ©2011 All rights reserved 41
    • Differentiation = your Inner Advantage
    • Example
    • How are we difference? 44
    • Exercise
    • Differentiation exerciseAre you remarkable?"...but what really blew me away...” exercise"I was pleased that we got what we paid for, that the serviceworked just like it was supposed to, that they honored theircontract from start to finish, that the user experience was simpleand powerful like they promised, that there have been no glitches,hick-ups, outages or crashes and that all our support issues havebeen resolved quickly and painlessly. But what really blew meaway was ____________" SalesChannel Europe ©2011 All rights reserved 46
    • 1 Competitive separation2 Differentiate at Level 2 and Level 33 Dominate your own category
    • thinkdif erent f
    • Commodity thinking www.flickr.com/photos/rooreynolds/5848100806
    • One size fits all thinking www.flickr.com/photos/marcwathieu/3963792473
    • Creative thinking www.flickr.com/photos/vek/5543548284
    • Structured thinking www.flickr.com/photos/juhansonin/3703735824
    • Differentiation Mindset Old Paradigm New Pardigm Be rational Be passionate Be cautious Lead, don’t follow Aim to satisfy Aim to surprise Be practical Be unreasonable Innovate when necessary Innovate incessantly Get it mostly right Sweat the details Think like an engineer and feel like Think like an engineer and feel like an accountant an artist SalesChannel Europe ©2011 All rights reserved 53
    • The Difference is YOU! www.flickr.com/photos/maestropastelero/258000448
    • Examples
    • Dilemma of choice
    • Differentiation
    • Black socks
    • Pain vs Gain
    • The 6M€ Question? What is the problemfor which you are the solution?
    • Rackspace
    • areThe DIFFERENCE
    • Differentiation: 3 Levels of Perceived Value Basic Product/Service: 3 • Technology Enhanced Services • Price performance • Product quality 2 Support Services Basic Support Services: • Levels of support 1Product/Service Basic Your Hosted • Quality of service • Systems Product/Service Services • Processes Enhanced Services: • People • Perceived value • High touch • Exceed customer expectations • Delight and astound customers SalesChannel Europe ©2011 All rights reserved 63
    • 1 Competitive separation2 Differentiate at Level 2 and Level 33 Dominate your own category
    • “Genius is one percentinspiration and ninety-nine percent perspiration.” - Thomas A. Edison_ SalesChannel Europe ©2011 All rights reserved 65
    • Success: it Happen it Happens
    • Think like a Rock Star www.flickr.com/photos/feiticeira_org/4602640594
    • Disciplined effort and resilient thinking
    • Victory feels like this www.flickr.com/photos/rhinoneal/2573461339
    • Get it rightwww.flickr.com/photos/winemegup/3641912321
    • Get it right www.flickr.com/photos/littlebabyjesus/123838009
    • Your Hosted Services David R Ednie President & CEO SalesChannel Europe Ph: +33 676 60 09 25 (FR)Email: david@saleschannel-europe.comWebsite: www.saleschannel-europe.com www.flickr.com/photos/horacio/3781750