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Externalize marketing? When it makes business sense.

Externalize marketing? When it makes business sense.



Advances in digital IT and client savvviness have made marketing more specialized and strategic than ever. To thrive in this changing, high-stakes world, business leaders must invest in professional ...

Advances in digital IT and client savvviness have made marketing more specialized and strategic than ever. To thrive in this changing, high-stakes world, business leaders must invest in professional marketing capabilities. At many tech firms however, the focus placed on technical skills makes it hard to attract top-rank marketing professionals who can make a difference.

External marketing offers such firms flexible, timely expertise for creating new value and growth. In particular we've identified 8 specific jobs-to-be-done at tech start-ups and growing businesses, where external marketing helps firms enhance their position, while delivering new customer value and growth. (Published April 2013)



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    Externalize marketing? When it makes business sense. Externalize marketing? When it makes business sense. Document Transcript

    • When outsourced marketing makes INTEGRATED MARKETING FOR sense TECHNOLOGY COMPANIES 11 EXTERNALIZE MARKETING? WHY IT MAKES BUSINESS SENSE Advice | Assistance | Methods merkadoservices.com
    • Externalize marketing? Why it makes business sense! 2 E XECUTIVE S UMMARY ! M ARKETING H AS B ECOME M ORE S PECIALIZED AND Even small companies now compete across borders! Like it or not, marketing is now a 2-way street! Integrated marketing is the new norm: On & offline! There is a growing thirst for quality content! Budgets continue shifting to online activities! Digital metrics are maturing! S TRATEGIC T HAN E VER ! T ECHNOLOGY B USINESS L EADERSHIP M UST I NVEST M ARKETING TO C OMPETE ! IN P ROFESSIONAL Marketing investment is a priority in both small and large companies! Technology firms now view marketing as strategic, but must find the best ways to invest! Externalizing marketing offers tech firms flexible and timely expert assistance for creating new value and growth! T HE M ARKETING J OBS - TO - BE - DONE D EPEND STAGE AND C APABILITIES ! Start-ups – Marketing jobs to kick-start growth! ON A C OMPANY ’ S G ROWTH - Growing Businesses – Marketing jobs to support continuing development! M ERKADO H ELPS T ECHNOLOGY C OMPANIES B RING T O M ARKET G REAT C LIENT O FFERS SO THEY CAN T HRIVE ! Merkado’s offers clients a full range of integrated go-to-market services! Clients benefit from a unique blend of joint marketing expertise, with proven international experience bringing great tech offers to market! G ET STARTED NOW ! merkadoservices.com
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    • 4 Externalize marketing? Why it makes business sense EXECUTIVE!SUMMARY! Marketing has become more specialized and strategic than ever. Now, more than ever, customers have greater choice and more influence with companies; Any company can compete with established ones and serve clients in new markets; Firms have an increasing number of ways to create and deliver value to clients using more precise techniques, while accurately measuring their effects. To survive and thrive in this high-stakes, ever-changing world, technology business leaders must invest in professional marketing capabilities in order to satisfy clients and compete. At many technology companies however, where the importance of specific technology skills makes it difficult to attract top-rank marketing talent able to make a real difference to the business, company leaders need to find more practical and effective ways to invest. Externalizing selected marketing initiatives offers technology firms flexible and timely expert assistance for creating new customer value and business growth. Depending on a technology company’s growth-stage, on its existing capabilities and needs, there is a range of important marketing jobs-to-be-done where externalizing makes real business sense:  Start-up marketing jobs: Saving founders’ time by offloading marketing activities, and accelerating company growth.  Growing businesses marketing jobs: Quickly completing essential marketing deliverables; providing interim marketing services; improving the effectiveness of existing product and marketing programs, testing new ones while controlling costs; leveraging an external client and market-focused viewpoint, and innovating new products and client experiences. Working with the right external marketing partner will help kick-start an earlystage company, or support the evolving business needs of a growing firm. merkadoservices.com
    • Executive Summary merkadoservices.com 5
    • 6 Externalize marketing? Why it makes business sense MARKETING!HAS!BECOME!MORE!SPECIALIZED!AND!STRATEGIC!THAN!EVER! Marketing is the process by which companies use market insights to design a strategy for finding the best ways to offer value to customers, and create strong relationships. In return they capture value from clients, leading to growth. While new ideas and techniques continue fuelling the development of marketing as an essential business management practice, advances in information technology and digital media, combined with a growing customer savviness among consumers and businesses alike, has led to an increasing sophistication and specialization in the way that marketing is used today. There are several trends driving this evolution of marketing today: Even! small! companies! now! compete! across!borders! The number of companies operating with some type of Website or Internet storefront continues to grow. This gives firms of all sizes the ability to directly market, sell and even deliver their offers to clients beyond their traditional national boundaries. Those that are able to compete in an expanding setting – by serving customers in their local language, providing adapted offerings, and delivering market-specific customer support and service - will thrive in a growing, international marketplace. However, to compete across borders firms must first seek out the practical business knowledge and the local language skills to develop and roll out adapted, multinational commercial initiatives. merkadoservices.com Like!it!or!not,!marketing!is!now!a!2Lway! street! Marketing is experiencing drastic changes as interactive and digital technologies begin to replace mass media as its foundation. Consumers and business clients are no longer a passive audience waiting to be showered by companies. Today’s digital, interactive and social media capabilities empower any consumer or business client to speak-up on their experiences and opinions, whether good and bad. This has created a fundamental shift in the customer-supplier relationship. This two-way communication between customers and companies requires marketers to adopt a more flexible and an alwayson approach when it comes to developing new product ideas, adapting them to suit changing tastes, and engaging with clients. It is also forcing companies to monitor and be more attentive to customer reviews and sentiments, and quickly resolve any negative complaints or risk being marginalized. Companies that can embrace and leverage this new model will be better able to connect with, please and even anticipate the evolving demands of their clients much better than the competition.
    • Marketing has become more specialized and strategic than ever Integrated! marketing! is! the! new! norm:! On!&!offline! With the ongoing proliferation of digital media, most anyone can now choose their preferred way of getting the information they want. As a growing number of customer channels become an effective means for companies to create awareness and generate leads (e.g. social media, online content creation platforms), and new channels and tactics emerge (e.g. mobile, location-based campaigns), the focus is shifting to integrated marketing programs. In this setting effective marketing and product leaders must concentrate their efforts on building innovative products and rolling out them out using integrated programs across multiple customer channels, all working in unison and leveraging the best elements of each one. This will also drive the emergence of integrated marketing solutions to manage and measure actions in one place. These changes require product and marketing teams that can develop and deliver multi-faceted products, including both digital and physical elements, and that can implement supporting marketing programs with directed impact. There! is! a! growing! thirst! for! quality! content! Within today’s growing digital world relevant online content is becoming the core for all B2B and B2C marketing initiatives. Relevant content allows prospective clients to conduct meaningful research, discover new offers, learn about others’ experiences and build a case to justify a new purchase. In addition, the growing interrelation between new technology and customer channels is creating demand for content producers who can think conceptually and deliver across several different platforms. At the same time, many organizations are finding out that they need additional content specialists – to create blogs, videos, tutorials, white papers, etc. – in order to produce relevant, high-quality material with customer-appeal. Marketing leaders need to find ways to attract and develop talent capable of producing quality content that is both interesting and compelling to clients. merkadoservices.com 7 Budgets! continue! shifting! to! online! activities! Across most sectors, consumers and businesses alike are increasingly using a variety of online channels to actively engage with companies with specific purposes in mind: identify suppliers, learn about companies and brands, research products and services, make purchases and carry out diverse after-sales activities. Companies that wish to go where their clients are going must continue investing in and developing their digital and online customer touchpoints. In addition to the right technologies, this requires client-focused, online-savvy marketing resources that are able to shape and harness a variety of online platforms (e.g. company website, social media, customer feedback channels, online catalogues, newsletters, etc.) to create effective, integrated programs supporting specific commercial activities and meeting business objectives. The failure to invest appropriately in online activities will mean losing touch with the expectations, changing habits and the purchase decisions of today’s customers. Digital!metrics!are!maturing! Until now companies have used a range of marketing techniques applied to digital media in order to create awareness and attempt to generate sales. To date many have been tracking a variety of ‘vanity’ metrics (i.e. page views, newsletters opened, followers, mentions, ‘Likes’) that may look promising and suggest customer engagement, but don’t actually create business value. Marketers have since started to refocus on more relevant business metrics – related to things like new revenue, sales volume, or retained customers – using digital methods. In parallel new digital solutions are emerging, offering ways to track and measure previously immeasurable tactics, while linking their contribution to key business metrics, including the top and bottom line. All of this requires multidisciplinary marketing teams – blending digital, technical and financial and strategic skills – that are able to create integrated, business results-driven programs that deliver a clear ROI. Initiatives that can clearly generate business value will receive support from the company’s leadership team.
    • Externalize marketing? Why it makes business sense! 8 These trends are changing the market dynamics, and are leading to a more level playing field where:     Customers now have a voice and can increasingly deal with companies on their own terms; Any company, regardless of size, can compete with established firms and serve clients in new markets; There are new and innovative ways for companies to create and deliver value to their clients; A company’s client-focused efforts can be harmonized and aimed more precisely, and the effects measured with greater accuracy. To benefit from these far-reaching and on-going changes, companies must invest in the right type of marketing resources. In particular they need the skills of creative yet pragmatic, client-focused professionals who are able to blend business, marketing, and digital technology expertise for developing new forms of customer value and generating business growth – and all within a complex and unpredictable environment. merkadoservices.com
    • Marketing has become more specialized and strategic than ever To thrive in today’s ever-changing world companies must invest in the right types of marketing resources: creative yet pragmatic, client-focused professionals who are able to blend business, marketing and digital technology expertise to generate new forms of customer value and business growth. merkadoservices.com 9
    • 10 Externalize marketing? Why it makes business sense TECHNOLOGY! BUSINESS! LEADERSHIP! MUST! INVEST! IN! PROFESSIONAL!MARKETING!TO!COMPETE! Within today’s volatile environment, marketing helps light the path for companies by providing key insights into markets and customers that help direct the strategy for better satisfying clients’ needs, while fighting off competitors. To remain relevant to clients and to stay ahead of the competition, companies must actively invest in the right types of marketing capabilities and in the best ways. Marketing! investment! is! a! priority! in! both! small! and! large! companies! 74% of CEOs are pursuing a mix of organic growth in existing markets and new product development opportunities – Global CEO Survey In its 16 th Annual Global CEO Survey 1 , PWC, a global professional services firm, asked over 1300 CEOs from small to large firms worldwide what they saw as today’s business challenges and opportunities. When discussing the key potential opportunities for business growth over the next 12 months, 74% of CEOs cited a combination of organic market growth and new product development as their main vectors for growth. Similarly, when asked about the big changes expected within their companies over the next 12 months, 82% of CEOs said that the priority would be on attracting and retaining customers. To take advantage of these growth opportunities while preparing for the future, CEOs must invest further in a range of product and client-focused marketing initiatives, and in the expertise to make it all happen. According to the CMO Survey 2 , a bi-annual opinion poll of senior North American marketers, despite a tough economy, over the past 2 years companies’ marketing budgets have grown by 2.5 pts. compared to firms’ overall budgets (Figure 1). 1 “Dealing with disruption: Adapting to survive and thrive”, PWC, January 2013 CMO Survey: Headed by Prof. C. Moorman, Duke University; Sponsored by McKinsey & Co, Duke – Fuqua School of Business, and the American Marketing Association. This Web-based survey is used to predict market trends, track marketing excellence, and improve the value of marketingin firms. 2 merkadoservices.com
    • Technology business leadership must invest in professional marketing to compete 11 Figure 1 – Ma rketing spend a s % o f a fi rm’s total budget So urce: CM O Study 2013 North American companies expect to boost investment in marketing consulting services and selected training – CMO Survey 2013 While many companies have significantly cut spending in traditional media advertising activities (i.e. TV, radio, print advertising, events) and to a lesser degree in online advertising, a large majority of firms are re-allocating budgets to those activities more directly linked to revenue and profit growth: • The development and introduction of new products and services; • The management of existing customer relationships using new channels. Furthermore, to improve and consolidate their marketing capabilities and increase competitiveness, many firms continue investing in varied forms of marketing knowledge (Figure 2). In particular, firms expect to significantly increase spending in consulting services, in order to complement and improve their existing marketing practices and activities. Figure 2 – C ha nges in f irm spending on ma rketing know ledge in the next 1 2 months So urce: CM O Study 2013 merkadoservices.com
    • 12 Externalize marketing? Why it makes business sense! These investment trends in marketing knowledge reflect the growing importance that companies are placing on leveraging professional advice and assistance from external sources in order to improve their marketing practices and related activities, while spreading marketing know-how to a broader employee base, including both marketers and non-markets alike. Technology!firms!now!view!marketing!as!strategic,!but!must! find!the!best!ways!to!invest! In a recent report from Forrester Research3 - an IT research and advisory firm – examining the marketing practices among North American and European tech companies, they found that a growing number of European firms view marketing as a strategic activity rather than just a tactical promotional function. European technology firms increasingly view marketing as a strategic activity – Forrester Research 2012 Many European technology firms are starting to see the importance of seeking out new skills and best practices in order to improve the way they do business. In particular, the outsourcing habits of French and German technology companies are catching up to North American levels. Against this evolving landscape where marketing is critical for generating growth yet where it is becoming more specialized, technology companies must look out for better ways to develop their marketing capabilities and know-how. To quickly gain access to fresh skilled marketing expertise, and new ideas and insights in today’s market, technology firms generally have two options: 1. Hire experienced, marketing professionals to cultivate and develop the company’s marketing capabilities, from the inside-out 2. Externalize certain initiatives to specialized marketing firms Externalizing!marketing!offers!tech!firms!flexible!and!timely! expert!assistance!for!creating!new!value!and!growth! Within companies the natural inclination is to hire marketing staff into their ranks. However, in many technology companies the importance placed on specific technology skills often come at the expense of considering people with fresh, top-rank marketing skills. This makes it hard to identify and attract the right type of experienced marketing professionals who are able to make a real difference to the business. Fortunately externalizing selected marketing initiatives offers a solution for filling the marketing expertise gap. Externalizing selected marketing initiatives gives technology companies timely access to expert marketing assistance and advice; it can help improve the effectiveness of their existing marketing investments; and it provides a quick and flexible way to tap into many of the new capabilities and practices needed to create new forms of value and growth, all while managing costs. 3 merkadoservices.com “European Tech Marketing Continues to be Different”, Forester Research, April 25, 2012
    • Technology business leadership must invest in professional marketing to compete The importance placed on specific technology skills often come at the expense of attracting top-rank marketing professionals who can make a real difference to the business. merkadoservices.com 13
    • 14 Externalize marketing? Why it makes business sense THE! MARKETING! JOBSLTOLBELDONE! DEPEND! ON! A! COMPANY’S! GROWTHLSTAGE! AND! CAPABILITIES! To survive and thrive in today’s uncertain and fast-changing marketplace companies are focusing on a range of client and market-driven programs and new product initiatives, which are needed to better serve existing clients while developing new sources of growth. In this setting, many technology companies have realized that marketing is a strategic activity, but that it is more sophisticated and complex than ever. At the same time many also find it difficult to recruit top-rank marketing professionals able to deliver a real business impact across all of the key areas. Rather than just hiring staff to handle each and every marketing job, tech companies can actually benefit in many ways from externalizing selected initiatives to specialized marketing firms. Depending on a technology company’s stage of development, its existing marketing capabilities and specific needs, there is a range of marketing jobs-to-be-done where externalization makes real business sense: StartLups!–!Marketing!jobs!to!kickLstart!growth! Technology start-up companies are generally new, temporary business organizations that have been designed to search for a repeatable and scalable business model with high-growth potential. One of the critical tasks for any tech start-up is to assess, validate and develop new business ideas in order to maximize the commercial potential and quickly kick-start the company’s growth. Within this context, there are a few key jobs-to-be-done where external professional marketing advice and/or assistance can play a valuable role in enabling initial growth: Ma rketing Jobs -to-be-done a t Start-ups Save! founders’! time! by! offloading! marketing! activities! In the early stages of a start-up, the founders may have been directly involved in the basic marketing activities: defining the first products and services, establishing pricing policies, creating basic promotional material or seeking resale partners. As a start-up grows, the founders are faced with new demands and have to offload marketing merkadoservices.com activities. While many companies may automatically look to hiring as the main solution, it can be extremely difficult to find one or two experience people with a broad enough skill base to effectively plan and execute all activities. In such as case, externalizing selected marketing initiatives offers evolving start-ups several benefits. A specialized marketing firm can provide one or few dedicated experts that are already trained in
    • The marketing jobs-to-be-done depend on a company’s growth-stage and capabilities many of the latest marketing areas, skills and techniques. Compared to most in-house staff, they offer broader capabilities and proven track records for helping firms develop, and can be deployed according to the company’s evolving needs. Using external assistance also allows a start-up to gain more flexibility in quickly and easily stepping-up or down resources and skillsets according to changing needs, allowing them to easily manage their costs according to their budget. Accelerate!company!growth! Once a start-up has settled on a viable business model, the next vital challenge is to effectively accelerate its growth. As a temporary, small-scale organization, most tech start-ups do not always have a broad enough set of capabilities to design and deliver on all of the commercial activities needed to generate fast growth. ! merkadoservices.com 15 In particular, there are several important commercial activities that must be developed to support and stimulate the growth of a new company’s offers. This includes simple yet effective product launch material to help market a new offer; minimal supporting promotional campaigns to increase market awareness at the lowest effective cost; a set of simple and practical sales tools and processes to facilitate sales; effective, low-cost customer acquisition programs to drive new, repeat sales and generate continued growth; and a customer care program to assure satisfied customers and create loyalty. Seeking advice and practical assistance from a professional source can offer early-stage tech companies new perspectives to increase their chance of success, while reducing the time, the net financial investment and the other resources needed implement winning growth strategies.
    • Externalize marketing? Why it makes business sense 16 Growing!Businesses!–!Marketing!jobs!to!support!continuing!development! Following an initial period of mid-to-high growth, perhaps as a start-up, most young technology-based companies with a proven business model continue growing, but at a lower rate. By this point such firms have managed to build up a solid and diversified customer base, and have become profitable, mostly self-funded entities, able to feed their top and bottom lines. To continue growing and remain competitive, an emerging technology firm must build upon its rising position by continuing to professionalize itself as a company and by honing its business model and supporting functions, all to better serve clients within its evolving marketplace. Depending on the company’s current situation, this might imply:     Projecting professionalism and scale beyond its existing resources Strengthening its reputation and brand promise by better meeting client expectations Enhancing its existing customer value propositions Developing new and innovative client value propositions to enter or establish new markets and drive further growth Within this increasingly high-stakes environment, there are several marketing jobs-to-be-done where external expertise and assistance can support a growing firm’s product and marketing staff in enhancing the firm’s competitive position, while helping deliver value and new business growth: Ma rketing Jo bs-to-be-done a t Grow ing Bus inesses Quickly! complete! deliverable! an! essential! marketing! Within a growing technology company marketing and product leaders usually have a large range of important jobs to tackle at any given time. Due to existing workloads, changing conditions and possible skills gaps among staff however, they may not have sufficient resources to get things done as quickly or as effectively as needed. Furthermore, hiring may not always be a viable option due the urgent and often specialized nature of the job to be completed. merkadoservices.com Essential marketing deliverables that a growing technology company will need at some point include generating customer insights by researching an emerging client topic; thoroughly analyzing market and competitor trends to understand the business implications; creating thought-provoking content to support new offers; converting prospects to clients using engaging customer case studies. Externalizing such marketing initiatives is an effective way to get professional results quickly. In many cases it also provides new techniques and
    • The marketing jobs-to-be-done depend on a company’s growth-stage and capabilities insights to the existing in-house teams involved in the initiatives. Provide!interim!marketing!management! Marketing and product organizations are a fundamental part of any structured, customerdriven company. However, if a marketing and/or product leader finds himself lacking staff resources – due to employee sickness, staff turnover, a maternity leave or for other reasons – this can affect a company’s commercial operations and impact business. While hiring may be seen as the natural fix for a staff shortage, it can take up to several months to identify, hire and train a new employee. This is also unsuitable for covering staff leaves that only last a few months. Without a workable solution to such problems urgent projects may be unacceptably setback. Such situations can be avoided with professional interim marketing management services. Interim marketing managers are accustomed to working in different environments, quickly getting up to speed on new topics and issues. They focus on delivering high-quality, professional results that offer tangible value and meet their client’s expectations. Improve! the! effectiveness! of! existing! product! and! marketing!programs! A well-run technology company must perform a range of key marketing activities to effectively sell and satisfy customers; this is especially true for growing companies. Such activities include creating effective corporate-level positioning campaigns; launching new client offers; managing and commercializing existing ones; researching emerging client needs and behaviour, and assuring customer satisfaction. With the right understanding and know-how, the effectiveness and business impact of activities like these can be improved. Working with a specialized marketing firm allows a growing technology company to benefit from an unbiased, external view on the effectiveness of existing marketing programs. They benefit from an accumulated knowledge on the successful merkadoservices.com 17 strategies used by other companies (e.g. innovation programs for creating new client value propositions, sales programs that generate incremental sales; marketing campaigns that have generated new client growth) as well as the related tactics, tools and metrics to help them track and improve the effectiveness of their existing programs and ensure a solid ROI. Test! new! product! and! marketing! initiatives! while! controlling!costs! When it comes to designing or executing a new marketing strategy it is difficult to build a team with expertise in all areas. As a company grows, a marketing and/or product leader may want to try out new initiatives that were once hard to justify. For example they might invest in strategic thought leadership programs, digital marketing activities, a joint go-to-market program to enable partner sales or a customer loyalty program to reduce churn. However, a company will often only have one person handling new initiatives. Working with an external marketing firm allows a growing tech company to quickly and flexibly try out new programs, while controlling costs. A specialized firm can be hired to undertake specific initiatives based on a well-defined, desired outcome, and according to their budget. In the process, in-house teams gain from the transfer of new knowledge, allowing them in many cases to take over the initiative once the pilot projects have been successfully completed. Leverage! an! external,! market! and! clientLfocused! viewpoint! Within a technology company’s daily commercial operations there are certain situations that arise that may be sensitive or may lead to conflicts of interest between a business’ internal and external stakeholders. For example, in many technology firms, it is not uncommon to have differing views surrounding existing technologies, the evolution of product lines or which types of customer programs to invest in. Effectively resolving issues like these often requires the help of a non-biased, third-
    • Externalize marketing? Why it makes business sense! 18 party, able to reconcile differing views by firmly focusing on what matters most: the interests and demands of customers. Similarly, some market-facing tasks may lack credibility if performed by company personnel. Such tasks include interviewing end-customers on sensitive company-related subjects, performing market surveys or doing other field intelligence work. Partnering with an external professional marketing firm offers the benefit of a non-biased, clientdriven viewpoint, while helping to avoid any conflicts of interest. It provides a higher degree of objectivity and credibility when it comes to recommendations based on customer and market-related views and insights. Innovate! new! products,! services! and! customer! experiences! New products and services are the lifeline of any technology company. While many companies invest large sums in R&D, by some estimates only 14% of innovative ideas come from this traditional route4. To sustainably generate value and fuel new growth, companies must establish a practical innovation framework, with access to adapted resources to make it work. Innovation is about executing new ideas to create value. At the same time there are different ways of innovating:    Evolutionary innovation – Resulting from predictable, incremental improvements to a customer offer in an existing market (e.g. Laptops offering more computing power and storage). Disruptive innovation – Creating a new market through an unexpected technology or value process, which ultimately overtakes an existing market (e.g. digital song downloads disrupting the physical album sales) Breakthrough innovation – Solving a welldefined problem in an unconventional or unexpected way (e.g. Twitter emerged from a brainstorming session, as a way to allow SMS-based communication within small groups) 4 J. Peppers, M. Rogers, “The buzz on customer-driven innovation”, Sales and Marketing Management, June 2007 merkadoservices.com Innovation is usually an iterative process where companies generate new ideas, select those with the best potential, and execute them. Furthermore, in each case there are common steps for transforming ideas into value: Defining a growth strategy; Creating innovation capabilities; Generating customer and market insights; Designing new business models, and creating prototypes and pilot programs. Working with an integrated marketing partner that understands the challenges of innovation provides many benefits to tech companies looking to build or improve their innovation capabilities. This includes: Exploring and charting new market opportunities through research into identified, unmet or unarticulated customer needs; Helping design and kick-start selected innovation capabilities; Generating invaluable user insights using various methods; Developing new and innovative business models; Delivering winning client offers by testing new concepts and analyzing the experiences of early user trials. Tech companies looking to grow and prosper must invest in innovation beyond traditional R&D, and in the resources to make it happen. Those that do not will be overtaken by those that do. Ultimately, companies can benefit most from a mixed approach that combines a significant degree of inhouse marketing activities with selected externalized initiatives. This approach will help fill skills gaps and resource needs, meet specific and immediate business demands, all while helping enhance a growing company’s development and competitiveness. With externalized marketing on the agenda of more and more technology companies, the challenge then becomes finding the most suitable external marketing partner who can deliver the benefits and results that today’s technology marketing and product leaders demand.
    • The marketing jobs-to-be-done depend on a company’s growth-stage and capabilities 19 Companies can benefit most from a mixed approach combining in-house marketing activities with selected externalized initiatives. This will help fill skills gaps and resource needs, meet specific and immediate business demands, all while helping enhance a growing company’s development and competitiveness. merkadoservices.com
    • 20 Externalize marketing? Why it makes business sense MERKADO! HELPS! TECHNOLOGY! COMPANIES! BRING! TO! MARKET!GREAT!CLIENT!OFFERS!SO!THEY!CAN!THRIVE! Today’s technology companies must focus on better serving their clients through new and innovative offers and on strengthening customer relations, while developing their new growth opportunities. Externalizing selected marketing initiatives is an ideal way of complementing existing marketing and product capabilities, while delivering various business benefits. There are many marketing firms that offer specific services like market research, content creation, and digital marketing. However, they are often delivered in a standalone manner, with a partial understanding of technology companies’ business context, commercial offers and the underlying technologies. Merkado was created to help technology companies quickly and successfully bring the right technology offers to market, generating value for their customers and fuelling business growth. Merkado’s! offers! clients! a! full! range! of! integrated! goLtoL market!services! At Merkado we realize that every technology company operates in a specific environment, each with its unique set of challenges, resources and constraints:  Software – Once driven by a yearly license business model, generating costly upkeep for consumers and companies, software is shifting to the Web and is increasingly accessible through mobile devices. Software firms must adapt to these changes, while leveraging existing assets in distinctive ways.  Web – An innovative and fast-changing yet very competitive area, where new, multi-device services come online daily. Web services are accessible across borders, but only best ones will transform established industries, reshaping markets. Beyond designing elegant services, to thrive Web companies must operate less like products and more like businesses.  Telecoms – Operating mostly at a national level, fixed and mobile network service providers are strained from ongoing technology upgrades and the arrival of smart devices and over-the-top Web services and Apps. As the balance tilts towards end-users, to remain relevant they must focus on creating better value propositions for their diverse clients.  Information Technology – Supplying the elements that also power other tech industries (e.g. processors, devices, programming languages, network equipment and Internet devices), progress and breakthroughs in IT can offer users new capabilities, while enabling advances in Web, Telecoms, Software and beyond. Successful firms are those that marry new technologies with a strong marketing-focus. merkadoservices.com
    • Merkado helps technology companies bring to market great client offers so they can thrive 21 For such reasons we offer a complete range of integrated go-to-market service solutions to help tech companies create value for their customers and generate added business growth (Figure 3). Based on a joint assessment of each client’s particular situation and needs, we develop customized solutions including the right mix of professional advice, practical assistance and proven methods to get the job done. Figure 3 – Merka do’s client serv ices Merkado’s client services are built around our full set of integrated go-tomarket capabilities (Figure 4), which range from characterizing new client value and business growth opportunities to delivering customer value-driven sales support. Figure 4 : Merkado ’s joint go-to-ma rket expertise Our services are designed to enhance our clients’ existing product innovation, product management and product marketing activities, helping marketing and product leaders achieve their specific business objectives: identifying new market opportunities; successfully launching new client offers; enabling new and quicker sales; facilitating repeat business; increasing client satisfaction and loyalty, and generating continued revenue and profit growth. merkadoservices.com
    • 22 Externalize marketing? Why it makes business sense! Clients! benefit! from! a! unique! blend! of! joint! marketing! expertise,! with! proven! international! experience! bringing! great!tech!offers!to!market! Merkado offers clients a unique combination of practical and integrated, joint go-to-market expertise and methods, with proven experience helping technology companies successfully bring to market great products and services. Here are two examples of real-world results that we delivered: Case!Example!1:!Integrated!commercial!program!boosts!client!growth!rate! by!2x!after!the!launch!of!SaaS!offer! A French Web and Software agency needed to launch its latest SaaS offer – Factomos Xpert – targeting accounting firms. To ensure the successful commercialization their new offer, Merkado designed and implement a custom, integrated commercial program., which included the development of adapted marketing strategy; a study of customer usage and expectations; implementation of a commercial product roadmap process; creation of various sales and marketing tools, and management of external partners. In the first 9 months following the commercial launch, our efforts helped grow the number of customers by 2x the previous rate. Facto mos Xpert Ho mepa ge Case!Example!2:!Joint!valueLselling!of!indoor&network&coverage!leads!to!a!€10M! client!contract! Working with a leading network equipment supplier we led a consultative value selling engagement with a major mobile service provider. In addition to rolling-out out standard outdoor network coverage, they needed to understand if there was a business case for offering in-building, high-speed mobile services coverage within major city centers. Based on a comparative business case analysis of ‘indoor & outdoor’ vs. ‘outdoor-only’ service coverage scenarios, our results showed that the ‘indoor & outdoor’ coverage generated greater cash flow. Our approach led to the approval of a €10M 3G indoor coverage contract for the equipment supplier, paving the way for incremental revenue and profit growth for the service provider and a better service experience within indoor settings for end-customers. merkadoservices.com Co mparative E co no mic A nalysis
    • Merkado helps technology companies bring to market great client offers so they can thrive 23 By choosing Merkado, each of our clients also benefit from: Specialized,!tailored!and!independent!goLtoLmarket!solutions! Merkado is an independent and specialized firm, focused on helping technology companies create value and growth by supporting and enhancing their complete go-to-market process. By combining the proven track records of our professionals with primary and secondary information sources and insights, Merkado offers tailored, realworld solutions addressing each of our clients’ practical challenges. Proven!experience!and!methods! With professional experience of at least 15 years, Merkado’s experts have occupied Senior-level roles at leading technology companies, where they have been involved in all facets of designing and delivering the latest techbased offers to markets worldwide. Based on these rich experiences, we have developed integrated and repeatable methods and best practices that are systematically applied to help clients quickly and effectively address their go-to-market challenges, delivering measurable business results. Demonstrated!ability!working!across!cultures!and!borders! Merkado relies on the practical experience of a network of seasoned, multicultural professionals, who have worked in more than 35 distinct markets and cultures worldwide, assisting numerous types of technology companies. Passionate about globalization, yet inherently sensitive to cultural and local differences, Merkado’s people are able manage this complexity and operate effectively in multicultural environments and markets with distinct characteristics, while bringing new ideas and insights across boundaries. FirstLhand!understanding!of!the!latest!consumer!and!business!technology! Merkado’s people are first and foremost avid users – and often early adopters – of innovative technology-based products and services that enhance different aspects of our lives: communicating, collaborating, effective working, entertainment, staying informed, learning, socializing, sharing, shopping, transacting, staying healthy. This passion for the latest consumer and business technology, combined with our curious, yet practical and forward thinking nature, creates the right combination of experience and insight to offer our clients relevant solutions to their business challenges. merkadoservices.com
    • 24 Externalize marketing? Why it makes business sense GET!STARTED!NOW! Today's technology companies operate in uncertain and fast-changing environment. To be successful in this challenging world they need to focus on bringing to market new and successful tech-based offers, strengthening existing customer relationships, and finding new ways to develop and improve their underlying marketing know-how. Whether your company is a new upstart or a growing technology business, there are several distinct and important marketing jobs-to-be-done. Working with the right professional marketing partner will help kick-start an early-stage company or support the evolving needs of a growing firm. Merkado delivers a full range of integrated go-to-market services, combining professional advice, practical assistance and proven methods to help technology companies quickly and successfully bring the right offers to market, creating customer value and fuelling business growth. To learn more about the real-world results that Merkado has delivered to its clients and see how we can assist you in achieving your company’s business objectives, contact us through our website at: merkadoservices.com merkadoservices.com
    • Merkado helps technology companies bring to market great client offers so they can thrive merkadoservices.com 25
    • 26 Externalize marketing? Why it makes business sense About Merkado ! Merkado helps technology companies create customer value and business growth through our integrated go-to-market solutions. From characterizing new market opportunities to providing customer value-driven sales support, we deliver a full range of tailored go-to-market services, combining proven international experience with a first-hand understanding of the latest consumer and business technology trends. merkadoservices.com Copyright © 2013 Merkado Services. All rights reserved Contact Us To see how Merkado can help your organization create customer value and generate added growth, please contact: Juan Carlos Sanchez Managing Director jcsanchez@merkadoservice.com For more information visit: www.merkadoservices.com Merkado SAS 10 rue de Vouillé 75015, Paris France