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Four Phases of Customer Development
1. Customer Discovery Road Map State Hypotheses Product Hypothesis Customer & Problem Hypothesis Competitive Hypothesis Market Type Hypothesis Demand Creation Hypothesis State Hypotheses Friendly First Contacts “Problem” Presentation Market Knowledge Customer Understanding Test “Product” Hypothesis First Reality Check “Product” Presentation 1st Advisory Board Second Reality Check Yet More Customer Visits Verify Verify the Problem Verify the Product Iterate or Exit Verify the Business Model
2. Customer Validation Road Map Get Ready to Sell Articulate a Value Proposition Prelim Sales & Collateral Material Hire a “Sales Closer” Prelim Sales Roadmap Prelim Distribution Channel Align Execs Competitive Hypothesis Sell to “Earlyvangelists” Contact Earlyvangelists Sell to Earlyvangelists Sell to Channel Partners Refine Sales Roadmap Refine Channel Roadmap Develop Positioning Product Positioning Company Positioning Present to Analysts & Inflencers Verify the Product Verify the Sales Roadmap Verify the Business Model Verify the Channel Roadmap Iterate or Exit Verify
3. Customer Creation Road Map Market Type Questionnaire Choose Market Type Select PR Agency Positioning Audits Select Demand Creation Strategy Agree on Demand Creation Measurements Choose 1st Year Objectives Match Positioning to Market Type Iterate or Exit Get Ready Select Launch Type Select Customer Audiences Understand Message Context Craft the Messages Select the Messengers Understand the Media Measure Success Position Launch Create Demand
4. Company Building Road Map Mainstream Customers Earlyvangelists to Mainstream Customers Manage Sales Growth by Market Type Mgmt & Culture Issues Review Management Develop “Mission-Centric” Culture Functional Departments Set Department Mission Statement Set Department Roles by Market Type Fast Response Departments Implement Mission-centric Management Create an “Information Culture” Build a “Leadership Culture”