Is the communication of value important in the licensing of patented inventions? Most technology transfer professionals would answer that it is indeed important. When these same professionals are asked how much time they spend marketing patented inventions relative to their involvement in other licensing related activities, there is often hesitation before an answer is offered. Most technology transfer professionals really do not think of the work they perform as involving “marketing” per se. The daily demands of evaluating invention disclosures, patenting inventions, and negotiating license agreements often overshadow the outreach or communication efforts necessary to find new companies suitable to license the inventions. Even so, the importance of identifying and communicating the value of the intellectual property to companies who demonstrate the ability to turn the inventions into commercially successful products as a part of the overall licensing business model simply cannot be overstated. The specific subset of marketing that involves communication of value for the purposes of demand creation is called marketing communications. This presentation highlights close yet often overlooked relationships between basic concepts of traditional B2B marketing communications and the marketing of early stage technology for purposes of licensing inventions for use in the market as new products and processes. It was developed with University Technology Transfer in mind, but the concepts and techniques presented may prove useful for non-profits, government agencies, and others who license their intellectual property to companies for further development into commercial products. I gave this presentation in a workshop format at the Massachusetts Institute of Technology TLO (Technology Licensing Office) in April of 2009. I have since revised it and placed here for public viewing. I am interested in any feedback and comments, especially from tech transfer and technology marketing professionals. Please post your comments or private message me with your thoughts regarding this topic and on the presentation itself. Many thanks to Jane Muir, Associate Director of the Office of Technology Licensing at University of Florida, for sharing with me her wealth of experience in teaching marketing and communications to Technology Transfer Professionals.

1. Five Lessons to Learn From Traditional B2B Marketing
Kikuyu Daniels
Technology Licensing Associate
Massachusetts Institute of Technology
April 16, 2009 PUBLIC VERSION

3. Marketing is the activity, set of institutions,
and processes for creating, communicating,
delivering, and exchanging offerings that
have value for customers, clients, partners,
and society at large
◦ AMA Definition est. in 2007
Definition expanded from prior years to
encompass B2B as well as B2C marketing

4. Business to Consumer Business to Business
Marketing Culture Manufacturing/Tech Culture
Market to end of chain Market to value chain *
More perceptual proposition More technical proposition
Value primarily in brand Value primarily in use,
quantifiable *
Large customer segments Small number of customers
Smaller-unit transactions Large-unit transactions
Transaction linkage Process linkage *
More direct purchase Complex buying sequence *
Consumer decides Web of decision participants *
Source: Institute for the Study of Business Markets (ISBM)

5. Business buyers start buying process with a
need
◦ no creation of basic wants
necessary
So, we must:
◦ Know business drivers
(or at least general needs/
problems of industry)
◦ Provide solutions (not sell)

6. Business buyers are a “web” of decision
makers within a firm
◦ No one decision maker
So, we must:
◦ Find a champion
◦ Clearly demonstrate &
communicate value
◦ Provide tools &
support to our champ

7. Can no longer think if we “build it and they
will come”
◦ Shorter product lifecycles
◦ Increased global competition
So, we must:
◦ Not wait for firms to come to
us with their need
◦ Identify the value in our offer
◦ Find ways to identify firms
who value our offering

8. Must market to the value chain
◦ Businesses like known entities
◦ Strive to create value and manage value at each link
So, we must:
◦ Not jump to end use
◦ Use market research
to get industry drivers
◦ Use idea of portfolio
of related IP
Source: Institute for the Study of Business Markets (ISBM)

9. Value primarily in use (not brand),
quantifiable
◦ Once called Industrial
Marketing
◦ Trend to quantify
So, we must:
◦ Make usefulness
(added value) really clear
◦ Build value-oriented
relationships

10. Some Misconceptions Marketing Realities
(based on valid data from AUTM)
70% of university licenses True, but many universities
from sources identified don’t market; useful when
by inventors, thus no no prospects; helps in
need to market communicating value
Marketing = Selling Who Misleading b/c no identity
with selling, yet it makes us
wants to sell? Our
successful; Also, external
technology sells itself factors make it necessary
Those interested will Most are not read in full;
understand our on-line Understanding =/ value;
technical descriptions Reader may or may not
have science background

11. Dr. James Anderson of the Kellogg School of Management at
Northwestern University has extended the definition of “value:”
Value in business markets is the worth in monetary
terms or the technical, economic, service and
social benefits a customer firm receives in
exchange for the price it pays for a market offering.
Worth = Use

12. A UVP is a succinct statement of the uniqueness of a
product (or IP) that sets it apart from all others.
◦ Similar to VC elevator pitch
The UVP statement will often contain quantitative
statements about the uniqueness of a product (or IP).
Precisely WHY should customers do business with you?
◦ Distinguish from what is already out (Most, many… etc.)
Competitive analysis will help you develop your UVP and
test the validity of the claims you make about your
product (or IP).
◦ Competitive advantage is a good start
Source: http://www.marketingexperiments.com

13. Start with case/invention titles (often first
things seen or described)
Should answer the question “What is it?”
May also convey some benefit through its use
(What does it do for me?)

14. Rat neural cell line system
Self-doped microphase separated block
copolymer electrolyte
Electric Display Device
Is there value in these titles? Are you compelled
to read further?

15. Devices for Improved Computer-Assisted
Laser Surgery
Automobile navigation system using real time
spoken driving instructions
Minimally-Invasive Tool for Intraocular Lens
Removal
Are these more effective? What makes them
so?

17. B2B Buyers are different, they:
◦ Start process with a need
◦ “Web” of multiple decision makers inside a firm
B2B Marketers are different, they:
◦ Can not think if we “build it and they will come”
◦ Must market to the value chain
B2B once called Industrial Marketing
◦ Value primarily in use (not brand), quantifiable

18. A UVP is a succinct statement of the
uniqueness of a product (or IP) that sets it
apart from all others
Our UVP statement will consist of a good
title and the invention’s benefits (the value)
◦ Note: we’ll talk more about benefits later
Source: http://www.marketingexperiments.com

19. Should answer the question “What is it?”
May also convey some benefit through its use
(What does it do?)

20. Your turn to judge!
For each of 4 descriptions
◦ Identify the value proposition
◦ Rate it on a scale of 1 -10 (10 is hard) regarding
how easy or difficult it is to ascertain the value
proposition.
◦ Write your rating down (to avoid group think)

21. Conventional sigma-delta analog-to-digital conversion
(ADC) systems may be significantly enhanced by using a
recently developed novel design approach. The technique
involves instrumenting an ADC's modulator subsystem with
an observation circuit to provide quantized estimates of the
modulator's state values. This observation circuit provides a
limited precision estimate of the modulator state values
(delay stages), but leaves the modulator's input/output
relationship unchanged. A separate processing function is
performed on these state estimates—which are filtered
separately—and the result is added to the output of the
decimator subsystem. A closer approximation to the input
value than would otherwise be available is thus achieved.
Value? (1-10)

22. The present invention provides for a method
and kits for stabilizing mammalian membrane
protein using short surfactant peptides. The
mammalian membrane protein can be a G
protein-coupled receptor.
Value? (1-10)

23. Settling time is an important performance metric in the
phase-locked loop (PLL) frequency synthesizers. To
achieve a fast settling time, the PLL loop bandwidth
should be increased. In the widely used charge pump
PLLs, however, the loop bandwidth cannot be
undoubtedly large, but rather, is limited to about 10% of
the reference frequency to maintain the loop stability.
Due to the 10% bandwidth rule, for a given frequency
resolution, fractional-N PLLs have a faster settling time
than integer-N PLLs. This is because the former has a
higher reference frequency than the latter. The faster
settling of the fractional-N PLL, however, ...
(Continued on Next Slide)

24. (Continued from Previous Slide)
… comes at a price of increased hardware complexity and
power dissipation, since the fractional-N frequency synthesis
necessitates the use of phase interpolators or high-order
modulators to suppress the steady-state fractional spurs.
The invention is a new architecture of a fastlock PLL
frequency synthesizer. The architecture has the wide loop
bandwidth of the fractional-N PLL in the tracking state and
the narrow loop bandwidth of the integer-N PLL in the locked
state. The proposed architecture can have fast settling time of
the fractional-N PLL, while maintaining the same hardware
complexity as the integer-N PLL. The hybrid PLL architecture
is essentially an integer-N PLL which is faster than the normal
integer-N PLL.
Value? (1-10)

25. The invention features substantially pure
nucleic acid sequences encoding wild-type or
mutant serotonin retake transporter (SERT)
polypeptides, as well as the polypeptides
themselves. The invention also features
methods for identifying modulators of the
biological activity of a SERT and for
identifying if such a modulator has a
secondary target. In addition, the invention
features methods for treating a condition in a
subject.
Value? (1-10)

26. What score did you
give?
Why was it difficult
to find the value
proposition in these
descriptions?
Click here to see
again and discuss

27. Value = Use; Title + statements convey:
◦ What is it?
◦ What does it do for me?
Most important point at the top!
Don’t use vague words or statements w/o
qualification
No long list of features without benefits
One feature/benefit per sentence
More ->

31. Start with benefits (they sell)
Features don’t automatically = benefits
This technology uses a single source of
measurement data (GPS) as input information
Compared to:
Simple to implement and maintain due to readily
accessible, single source of measurement data
(GPS) as input information

32. Features Benefits
Features are facts Specific to customer
True needs
Can be proven Contain value
Provide a reason to buy
Used in science
Used in business
Readily accessible,
single source of
SO THAT…
measurement data Simple to implement
(GPS) as input and maintain
information
Feature Benefit

33. Your turn!
Create a Feature / Benefit statement:
◦ Describe the most unique feature of your technology that
solves potential licensee’s problem/satisfies need
◦ Pick a single feature
◦ Use “so that…” to write the associated benefit that explains
why would the potential licensee care about this feature
◦ Remember UVP – select aspects not currently offered by
other technologies
Your UVP will be the combination of these
benefits

34. Create a Feature / Benefit statement:
My technology is ____________________ [a
good title] and it ____________________
[describe the unique feature], so that
_______________________ [describe the benefit
provided].
Volunteers to share examples?

35. Unique
Value
Proposition
in action!
BACK
FRONT

36. Unique
Value
Proposition
in action! Direct Mail
Useful for verbal
communications too
(i.e., cold calling and
“elevator” pitches)
Multi-media

38. Benefits sell, features don’t
Use “So that…” to convert a feature to a
feature/benefit statement
Use feature, benefit statements to construct
your UVP
Put the most salient benefit first (and in the
title if you can)
Still don’t know what to say?

39. Companies and industries:
http://www.hoovers.com
http://www.frost.com
People:
http://scholar.google.com/schhp?hl=en&tab=ws
http://www.google.com/patents?hl=en
http://www.linkedin.com
Single market or product areas:
http://www.ibisworld.com (Manufacturing & Service Industries)
http://www.windover.com (Medical Devices and Pharmaceutical)
http://www.worldpharma.com (World Pharmaceutical)
Many more!
University libraries may have
subscriptions to these tools
available for your use for free!

40. Marketing Research
Demonstration in progress

41. THE END

43. Conventional sigma-delta analog-to-digital conversion
(ADC) systems may be significantly enhanced by using a
recently developed novel design approach. The technique
involves instrumenting an ADC's modulator subsystem with
an observation circuit to provide quantized estimates of the
modulator's state values. This observation circuit provides a
limited precision estimate of the modulator state values
(delay stages), but leaves the modulator's input/output
relationship unchanged. A separate processing function is
performed on these state estimates—which are filtered
separately—and the result is added to the output of the
decimator subsystem. A closer approximation to the input
value than would otherwise be available is thus achieved.
Click forNEXT
highlights

44. The present invention provides for a method
and kits for stabilizing mammalian membrane
protein using short surfactant peptides. The
mammalian membrane protein can be a G
protein-coupled receptor.
It answers the question “what is it?”
but it does not say why you should
want to use it.
Click for NEXT
highlights

45. Settling time is an important performance metric in the
phase-locked loop (PLL) frequency synthesizers. To
achieve a fast settling time, the PLL loop bandwidth
should be increased. In the widely used charge pump
PLLs, however, the loop bandwidth cannot be
undoubtedly large, but rather, is limited to about 10% of
the reference frequency to maintain the loop stability.
Due to the 10% bandwidth rule, for a given frequency
resolution, fractional-N PLLs have a faster settling time
than integer-N PLLs. This is because the former has a
higher reference frequency than the latter. The faster
settling of the fractional-N PLL, however, ...
(Continued on Next Slide)
Click for highlights
NEXT

46. (Continued from Previous Slide)
… comes at a price of increased hardware complexity and
power dissipation, since the fractional-N frequency synthesis
necessitates the use of phase interpolators or high-order
modulators to suppress the steady-state fractional spurs.
The invention is a new architecture of a fastlock PLL
frequency synthesizer. The architecture has the wide loop
bandwidth of the fractional-N PLL in the tracking state and
the narrow loop bandwidth of the integer-N PLL in the locked
state. The proposed architecture can have fast settling time of
the fractional-N PLL, while maintaining the same hardware
complexity as the integer-N PLL. The hybrid PLL architecture
is essentially an integer-N PLL which is faster than the normal
integer-N PLL.
Click for highlights
NEXT

47. The invention features substantially pure
nucleic acid sequences encoding wild-type or
mutant serotonin retake transporter (SERT)
polypeptides, as well as the polypeptides
themselves. The invention also features
methods for identifying modulators of the
biological activity of a SERT and for
identifying if such a modulator has a
secondary target. In addition, the invention
features methods for treating a condition in a
subject.
Click for highlights
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