Understand how synchronising path to market activities with IP protection can accelerate business growth. This presentation will show you how to:
Coordinate your intellectual property protection while accelerating business growth
Leverage investment in intellectual property protection to maximise sales
Understand path to market activities to guide and shape your intellectual property strategies
Reduce intellectual property costs with market knowledge
Identify which innovations to protect based on market intelligence
2. Sales/Path to Market
Dan Hansen, Director
MSM Sales Specialists
T: 0800 123 529
E: dan.hansen@salesmanagement.co.nz
SPEAKERS
Intellectual Property
David Macaskill, Associate
James & Wells
T: 64 7 928 4470
E: DavidMac@jaws.co.nz
3. AGENDA
1. Introduction to MSM
2. Introduction to James & Wells
3. Background to this workshop
4. IP and the path to market process
5. Case study
6. Q&A
4. COMMON MISCONCEPTIONS
1. I can’t launch my product as I don’t have it patented
2. Patents are not worth anything, I’ll rely on being first to market
3. Patents are too expensive to enforce so there is no point in filing
them
5. OBSERVATION
We frequently see businesses in one of the following situations:
1. Going to market without any form of intellectual property protection
2. Having started the protection process way in advance of validating
the market and finalising product design
3. Tied capital up way early in the business cycle which constrains
growth and options at crucial stages later on
6. CHALLENGE
The questions we address are:
1. How can businesses implement effective protection of intellectual
property and maximise the effectiveness of sales resources?
2. How can we develop a meaningful and cost effective IP protection
strategy?
3. Can this be achieved in a near-cash-flow-positive fashion?
7. MSM Sales Specialists
• MSM specialise in delivering increased profitability through sales in
local and export markets
• We bridge the gap between the product, service or idea and the market,
through sales
• Export and local market capability with commercial experience in over
30 countries. Core competencies include Australia, North America,
United Kingdom and Europe
Our expertise includes the following sectors;
• Food and beverage
• Health, beauty and nutrition
• Manufacturing
• Innovation, technology and media (intangibles)
8. MSM Sales Specialists
International business development
Market entrance (new markets with current products)
Commercialisation of new products and services
Developing best-in-class sales organisations
9. James & Wells
• Full service intellectual property firm
• NZ’s most dynamic team of patent attorneys, lawyers, and IP
specialists
• Three time winner of NZ law award for IP Firm of the Year
11. THE TYPICAL LIFECYCLE
AN IDEA IS
FORMED
R&D
PRODUCT
PRODUCED
TRADESHOW
OR EXHIBIT
DISTRIBUTORS
& RESELLERS
IDENTIFIED
PROMOTIONAL
SUPPORT ETC
REVENUE
13. MARKET RESEARCH & VALIDATION
The objective is to determine the market with the greatest potential return
for the allocation of business resources.
• Separate market research and validation activities from strategy.
• Identify the market then create the plan to access the market.
• To start the process we need to make some starting assumptions
• Most research requires macro, micro and consumer research
• It is the convergence of criteria that highlight opportunity
• Qualitative research is useful at R&D stages where a sufficient sample
size can be obtained
14. RELEVANT IP ISSUES
• Freedom to Operate in target markets
• Identification of competitive advantage e.g. what drives your
customer’s propensity to purchase?
• Identification of intellectual property strategies appropriate to your
competitive advantage.
15. GOOD RESEARCH CAN ANSWER
1. What is important about your product or service?
• Unmet need?
• Competitor Products
2. Where is the market?
• Geographical regions
• Industry or demographic needs
16. METHODOLOGY
1. Articulate the business objective clearly
2. Establish starting assumptions and identify any existing constraints on the business in terms of
markets in which the product cannot sell because of non-compliance issues, language barriers,
logistics or other barriers to entry
3. Macro analysis
a. Identify indicators which model assumptions
b. Find data sources, compile and sort data by key variables
c. Identify patterns of convergence between key variables
4. Micro analysis
a. Identify any new indicators which model regional assumptions
b. Find data sources, compile and sort by key variables at micro regional level
c. Identify patterns of convergence
5. Consumer and behavioural analysis
a. Establish assumptions about consumer choices and buying behaviours in these regions
b. Identify indicators and other relevant information on the competitive landscape
c. Find data sources, compile and score data
6. Assess findings against business objective
17. SALES STRATEGY
• The sales strategy is all about gaining access to the market and
converting the market into sales revenue
• MSM’s approach includes sixteen areas that maximise path to
market. IP issues are relevant to five core elements:
1. Core idea
2. Routes to market
3. Value chain i.e. Partnering, OEM, distribution
4. Messaging
5. Competitive positioning
18. PATH TO MARKET & IP STRATEGIES
• Good research and understanding of your path to market can
answer:
1. Who do you have to work with?
2. Why do your “partners” want/have to work with you?
3. When will you launch your product?
19. IP STRATEGY SELECTION
Selected based on your competitive advantage and everything learnt
during market research & validation, sales strategy planning.
Can include:
1. Patents to protect functional features
2. Design registrations to protect appearance
3. Trade mark registrations to protect brand and reputation
4. Trade secrets to protect know-how and confidential information
5. Employment agreements
6. Distribution agreements to protect relationships
7. R&D agreements with third parties
8. IP holding structures and license agreements
20. A COMMON PATENT FILING STRATEGY
First filing
Now
Second Filing
(PCT Applications?)
+ 12 months
Country specific filings
+ 18 months
First sale and disclosure
+ 17 months
21. A MORE STRATEGIC APPROACH
First filing
First sale
Now
Second Filing (PCT
Applications?)
12 months
Country specific
filings
18 months
22. REFINEMENT
• Continuous product improvement process
• Sales process
• Competitive movements
• Competition often seeds from within
23. REMEMBER & APPLY
Key ‘take-aways’ from this workshop that you can apply today in your business:
•Separate MR&V from strategy and look for convergence of criteria
•Integrate research and development with market research and validation to
maximise opportunities for aligning and maximising protection
•Review IP protection in the five critical touch points of the strategy
•Sales execution uses a combination of internal and external agreements across a
variety of touch points
•The sales process and IP protection are evolving beasts and will benefit from
constant re-evaluation and adjustment
24. Sales/Path to Market
Dan Hansen, Director
MSM Sales Specialists
T: 0800 123 529
E: dan.hansen@salesmanagement.co.nz
CONTACT DETAILS
Intellectual Property
David Macaskill, Associate
James & Wells
T: 64 7 928 4470
E: DavidMac@jaws.co.nz
Editor's Notes
The concept of this seminar was born in a discussion Dan and I had with a mutual client over a wine. The question was: what is the best approach to launch a new product? We originally started out with a debate to thrash out which approach was correct. However, what we found as we got into the detail was that neither of these approaches is right.
In fact, aligning your path to market and IP strategies will have the best results on all fronts. What we hope is that you will take away some guidance on how this can be done.
Why are these things important? Because they form the basis of an IP strategy, and will allow you to make informed decisions about where best to invest. In short, they will help you to achieve challenges 1 and 2 that we set earlier.
The problem with this approach is that you are having to make decisions on where to file close to your 12 month deadline. Even worse, many companies still haven’t identified key markets before the 30 month deadline (third filing). This often pushes companies into a “best guess” type approach, which can lead to committing to filings that are not justified. This increases costs and leads to loss of focus. This approach is the result of lack of good market research and validation. If you end up here then you’ve failed to acheive the first two challenges we set. But, all is not lost and there is a better way.
This approach allows you to maximise the 12 and 30 month periods to progress sales and commercialisation. With that information you can better determine which countries justify the cost of patent filings with real world information/feedback.
Furthermore, with good execution you’re already cash flow positive, which means you have funds available for these filings without restricting other aspects of your business. Therefore, you’ve achieved challenges 1 and 3 we set.