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1	
  ©	
  Stratapult	
  Advisors	
  2013	
  
	
  
	
  
A	
  Path	
  to	
  Realizing	
  Revenue	
  Accelera3on	
  
Strategy	
  through	
  Implementa;on	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
Mark	
  Dresdner	
  
Stratapult	
  Advisors	
  
Mark@StratapultAdvisors.com	
  
StratapultAdvisors.com	
  
2	
  ©	
  Stratapult	
  Advisors	
  2013	
  
©	
  Stratapult	
  Advisors	
  2013	
  
All	
  Rights	
  Reserved	
  
Reproduc;on	
  of	
  any	
  por;on	
  of	
  this	
  document	
  is	
  not	
  permiCed	
  without	
  wriCen	
  
consent	
  of	
  Stratapult	
  Advisors,	
  LLC.	
  You	
  or	
  your	
  company	
  cannot	
  copy	
  this	
  
Intellectual	
  Property	
  informa;on	
  or	
  republish	
  it	
  in	
  any	
  other	
  form,	
  in	
  print	
  or	
  
electronically,	
  without	
  wriCen	
  approval.	
  	
  
For	
  ques;ons,	
  contact	
  Mark	
  Dresdner	
  at	
  Mark@StratapultAdvisors.com	
  
LEGAL	
  NOTICE	
  
3	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  clear	
  strategic	
  plan	
  and	
  implementa3on	
  approach	
  facilitates	
  drama3c	
  business	
  growth,	
  
because	
  it	
  provides	
  strategic	
  clarity	
  and	
  helps	
  leaders	
  bust	
  out	
  of	
  the	
  shackles	
  of	
  run-­‐the-­‐
business	
  ac3vi3es.	
  	
  
•  Do	
  you	
  truly	
  want	
  to	
  realize	
  drama;c	
  business	
  growth—improving	
  both	
  revenue	
  and	
  
your	
  company’s	
  value?	
  What’s	
  holding	
  you	
  back?	
  	
  
•  There	
  are	
  two	
  frequent	
  factors	
  killing	
  a	
  CEO’s	
  ability	
  to	
  realize	
  business	
  growth	
  well	
  
above	
  the	
  market:	
  
–  Lack	
  of	
  strategic	
  clarity:	
  Defining	
  what	
  the	
  company	
  should	
  achieve	
  and	
  by	
  when	
  
and	
  then	
  ploZng	
  a	
  path	
  to	
  realize	
  the	
  vision	
  	
  
–  Inability	
  to	
  breaking	
  out	
  of	
  day-­‐to-­‐day	
  run-­‐the-­‐business	
  ac3vi3es:	
  Channeling	
  
energy	
  toward	
  transforma;onal	
  changes,	
  not	
  incremental	
  tweaks,	
  daily	
  
“emergencies,”	
  and	
  rituals	
  
•  Strategic	
  clarity	
  coupled	
  with	
  a	
  pragma;c	
  implementa;on	
  plan	
  helps	
  repriori;ze	
  
ac;vi;es	
  so	
  that	
  business	
  leaders	
  can	
  be	
  real	
  drivers	
  of	
  their	
  company's	
  future,	
  not	
  
passengers	
  
INTRODUCTION	
  
4	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  roadmap	
  built	
  on	
  strategic	
  and	
  implementa3on	
  considera3ons	
  provides	
  the	
  most	
  effec3ve	
  
path	
  toward	
  revenue	
  accelera3on.	
  	
  
ROADMAP	
  TO	
  REVENUE	
  ACCELERATION	
  
Implementa;on:	
  
Path	
  to	
  Desired	
  Des;na;on	
  
Vision	
  and	
  Strategy:	
  
Where	
  We	
  Want	
  To	
  Go	
  
Current	
  Situa;on:	
  
Where	
  We	
  Are	
  Today	
  
Customer	
  Segments	
  
Compe;;ve	
  Landscape	
  
Industry	
  Dynamics	
  
Company’s	
  Current	
  
State—SWOT	
  	
  
Vision	
  and	
  Goals	
  
Target	
  Customer	
  Segment	
  
Market	
  Differen;a;on	
  
Brand	
  Posi;on	
  
Implementa;on	
  Plan	
  
Con;nuous	
  Customer	
  
Feedback	
  
Customer	
  and	
  Market	
  
Intelligence	
  
Virtuous	
  Cycle	
  of	
  Tes;ng	
  
and	
  Improving	
  
“Tac3cs	
  without	
  strategy	
  is	
  the	
  noise	
  before	
  defeat.”	
  
Sun	
  Tzu,	
  Author	
  of	
  The	
  Art	
  of	
  War	
  
Making	
  the	
  Brand	
  Real	
  –	
  All	
  
Customer	
  Touch	
  Points	
  
Marke;ng	
  Plan:	
  Promo;on,	
  	
  
Product,	
  Price,	
  People,	
  Place	
  
Investment	
  Alloca;on:	
  
Direc;onal	
  Policy	
  Matrix	
  
5	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Segment	
  the	
  market	
  into	
  customer	
  segments,	
  this	
  will	
  help	
  you	
  iden3fy	
  your	
  target	
  customers.	
  	
  
Before	
  choosing	
  your	
  target	
  customers,	
  ask	
  
the	
  following:	
  
•  What	
  are	
  the	
  different	
  customer	
  
segments?	
  
•  How	
  large	
  are	
  the	
  customer	
  segments?	
  
CUSTOMER	
  SEGMENTS	
  
Psychographics	
  
Demographics	
  
Behavioral	
  
Needs	
  
Geographic	
  
Industry,	
  company	
  size,	
  stage	
  in	
  lifecycle	
  
(e.g.	
  re;red,	
  recently	
  married),	
  gender,	
  
age,	
  and	
  occupa;on	
  
Values,	
  personality	
  type,	
  and	
  lifestyle	
  	
  
Brand	
  loyalty,	
  shopping	
  and	
  buying	
  
habits,	
  usage	
  by	
  ;me	
  (e.g.	
  day	
  of	
  week,	
  
length	
  of	
  usage),	
  affilia;on	
  to	
  loyalty	
  
programs,	
  and	
  who	
  pays	
  (e.g.	
  customer	
  
or	
  employer)	
  
Region,	
  city,	
  climate,	
  and	
  popula;on	
  
density	
  
Service	
  levels,	
  financing	
  terms,	
  product	
  
aCributes,	
  and	
  delivery	
  ;me.	
  	
  
ATTRIBUTES	
  TO	
  CONSIDER	
  WHEN	
  CREATING	
  
CUSTOMER	
  SEGMENTS	
  
6	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Understanding	
  a	
  company’s	
  compe33ve	
  advantages	
  and	
  disadvantages	
  is	
  core	
  to	
  determining	
  
how	
  to	
  best	
  compete.	
  	
  
COMPETITIVE	
  LANDSCAPE	
  
Low	
  
	
  
	
  
	
  
	
  
	
  
High	
  
ATTRIBUTE	
   YOUR	
  FIRM	
   COMPETITOR	
  A	
   COMPETITOR	
  B	
   COMPETITOR	
  C	
  
High	
  Price	
  
Product	
  
Quality	
  
Product	
  
Func;onality	
  
Brand	
  
Strength	
  
Customer	
  
Service	
  
Distribu;on	
  
Network	
  
Focus	
  on	
  aCributes	
  most	
  
important	
  to	
  the	
  industry	
  
and	
  customers.	
  
7	
  ©	
  Stratapult	
  Advisors	
  2013	
  
An	
  understanding	
  of	
  industry	
  dynamics	
  highlights	
  opportuni3es	
  for	
  compe33ve	
  advantage	
  and	
  
pricing	
  power	
  as	
  well	
  as	
  challenges	
  that	
  need	
  to	
  be	
  managed.	
  	
  
INDUSTRY	
  DYNAMICS	
  
Supplier	
  Power	
  
•  Brand	
  reputa;on	
  
•  Pricing	
  strength	
  
•  Alterna;ve	
  customers	
  
•  Product/service	
  quality	
  
•  Customer	
  rela;onship	
  	
  
Industry	
  Rivalry	
  
•  #	
  of	
  firms	
  	
  
•  Market	
  share	
  
•  Level	
  of	
  differen;a;on	
  
•  Variable	
  vs.	
  fixed	
  costs	
  
•  Industry	
  size	
  and	
  growth	
  
Buyer	
  Power	
  
•  #	
  of	
  buyers	
  in	
  market	
  
•  Volume,	
  other	
  terms	
  	
  
•  Choice	
  of	
  op;ons	
  
•  Cost	
  of	
  switching	
  vendor	
  
	
  
Threat	
  of	
  Entrants	
  
•  Barriers	
  to	
  entry	
  
•  Capabili;es	
  required	
  
•  Compe;;ve	
  resistance	
  
	
  	
  
Use	
  framework	
  for	
  a	
  
general	
  discussion	
  on	
  
important	
  industry	
  factors.	
  
Threat	
  of	
  Subs3tutes	
  	
  
•  Capability	
  and	
  cost	
  
•  Switching	
  costs	
  
•  Brand	
  strength	
  
•  Trends	
  	
  
Environmental	
  
•  Poli;cal	
  	
  
•  Economic	
  
•  Social	
  
•  Demographics	
  
•  Technological	
  
8	
  ©	
  Stratapult	
  Advisors	
  2013	
  
SWOT	
  analysis	
  provides	
  a	
  concise	
  summary	
  of	
  items	
  to	
  consider	
  during	
  strategic	
  planning.	
  
COMPANY’S	
  CURRENT	
  STATE—SWOT	
  ANALYSIS	
  
STRENGTHS	
  
•  Strong	
  brand	
  recogni;on	
  
•  Large	
  customer	
  base	
  
•  Personal	
  rela;onships	
  with	
  many	
  key	
  customers	
  
•  Broad	
  global	
  network	
  of	
  partners	
  
•  Low	
  cost	
  material	
  via	
  volume	
  discount	
  from	
  suppliers	
  
WEAKNESSES	
  
•  An;quated	
  systems	
  causing	
  billing	
  errors	
  and	
  inefficient	
  
labor	
  
•  High	
  dependence	
  on	
  leads	
  from	
  one	
  strategic	
  partner	
  who’s	
  
own	
  volumes	
  are	
  declining	
  
•  Online	
  presence	
  is	
  limited	
  and	
  less	
  than	
  some	
  compe;tors	
  
•  30%	
  of	
  revenue	
  is	
  from	
  four	
  customers	
  –	
  if	
  they	
  ler	
  it	
  
would	
  provide	
  a	
  cash	
  flow	
  strain	
  
	
  
OPPORTUNITIES	
  
•  Develop	
  online	
  tools	
  to	
  help	
  enhance	
  customer	
  
communica;ons	
  and	
  sales	
  
•  Expand	
  distribu;on	
  channels—including	
  online	
  
•  Deploy	
  an	
  efficient	
  and	
  effec;ve	
  opera;ons	
  system—
lower	
  costs	
  and	
  improve	
  customer	
  experience	
  
•  Upgrade	
  inbound	
  marke;ng	
  technology	
  to	
  provide	
  
addi;onal	
  and	
  beCer	
  quality	
  leads	
  for	
  Sales	
  
THREATS	
  
•  New	
  local	
  compe;tors	
  compe;ng	
  on	
  price	
  
•  Some	
  important	
  sales	
  channels	
  are	
  not	
  available	
  due	
  to	
  
compe;tors	
  seZng	
  up	
  barriers	
  	
  
•  Historical	
  value	
  proposi;on	
  is	
  losing	
  its	
  relevance	
  as	
  the	
  
needs	
  of	
  the	
  market	
  change	
  
•  Transparency	
  for	
  customers	
  is	
  increasing	
  and	
  sparking	
  a	
  
price	
  war	
  
9	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Harvest/Divest	
  
• Prune	
  
• Prepare	
  for	
  exit	
  
• Maximize	
  cash	
  genera;on	
  
Maximize	
  Cash	
  Flow	
  
• Limit	
  investment	
  to	
  clear	
  returns	
  
• Choose	
  profit	
  over	
  market	
  posi;on	
  
• Seek	
  opportunis;c	
  sale	
  
Opportunis3c	
  Expansion	
  
• Search	
  for	
  ways	
  to	
  strengthen	
  
posi;on,	
  e.g.	
  acquisi;on	
  
• Seek	
  niches;	
  specialize	
  
• Monitor;	
  be	
  prepared	
  to	
  retreat	
  
• Joint	
  venture,	
  license,	
  or	
  divest,	
  if	
  
unable	
  to	
  strengthen	
  posi;on	
  
Maximize	
  Profitability	
  
• No	
  non-­‐essen;al	
  investment	
  
• Don’t	
  accept	
  loss	
  orders	
  
• Profit	
  is	
  top	
  priority	
  
• Opportunis;c	
  sale	
  
Limit	
  Expansion	
  
• Emphasize	
  segmenta;on	
  
• Invest	
  for	
  earnings	
  growth/cost	
  
reduc;ons	
  
• Focus	
  on	
  vulnerability	
  and	
  
con;ngency	
  planning	
  
Aggressive	
  Growth	
  
• Assess	
  risk	
  of	
  challenging	
  for	
  market	
  
leadership	
  
• Sacrifice	
  current	
  profit	
  for	
  
strengthened	
  posi;on	
  
• Product	
  development	
  to	
  fill	
  out	
  
weaknesses	
  
Maintain	
  Profitability	
  
• Strictly	
  contain	
  risk	
  
• Sacrifice	
  share	
  for	
  profitability	
  
• Maintain	
  posi;ve	
  cash	
  flow	
  
• Reduce	
  fixed	
  costs	
  
• Monitor	
  for	
  opportunity	
  to	
  divest	
  
Maintain	
  Leadership	
  
• Invest	
  for	
  preserva;on	
  of	
  posi;on	
  in	
  
most	
  aCrac;ve	
  segments	
  
• Start	
  containing	
  risk	
  by	
  choosing	
  
profit	
  over	
  high	
  cost	
  expansion	
  
• Expand	
  if	
  growth	
  is	
  possible	
  with	
  
low	
  risk	
  
Defend	
  Leadership	
  Posi3on	
  
• Hold	
  leadership	
  market	
  share	
  
• Diversify	
  
• Accept	
  moderate	
  near-­‐term	
  profits	
  
with	
  nega;ve	
  cash	
  flow	
  
• Intensive	
  product	
  and	
  market	
  
development	
  
Business	
  Strength	
  /	
  Compe33veness	
  
Market	
  Aarac3veness	
   High	
  Low	
  
High	
  
Low	
  
Manage	
  for	
  Profit	
   Opportunis;c	
   Invest	
  
INVESTMENT	
  ALLOCATION:	
  DIRECTIONAL	
  POLICY	
  MATRIX	
  
Plocng	
  each	
  product	
  and	
  service	
  on	
  the	
  Direc3onal	
  Policy	
  Matrix	
  (Compe33veness	
  vs.	
  
Market	
  Aarac3veness)	
  provides	
  a	
  recommenda3on	
  on	
  the	
  investment	
  level	
  in	
  each.	
  
10	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  roadmap	
  built	
  on	
  strategic	
  and	
  implementa3on	
  considera3ons	
  provides	
  the	
  most	
  effec3ve	
  
path	
  toward	
  revenue	
  accelera3on.	
  	
  
ROADMAP	
  TO	
  REVENUE	
  ACCELERATION	
  
Implementa;on:	
  
Path	
  to	
  Desired	
  Des;na;on	
  
Vision	
  and	
  Strategy:	
  
Where	
  We	
  Want	
  To	
  Go	
  
Current	
  Situa;on:	
  
Where	
  We	
  Are	
  Today	
  
Vision	
  and	
  Goals	
  
Target	
  Customer	
  Segment	
  
Market	
  Differen;a;on	
  
Brand	
  Posi;on	
  
Implementa;on	
  Plan	
  
Con;nuous	
  Customer	
  
Feedback	
  
Customer	
  and	
  Market	
  
Intelligence	
  
Virtuous	
  Cycle	
  of	
  Tes;ng	
  
and	
  Improving	
  
“Tac3cs	
  without	
  strategy	
  is	
  the	
  noise	
  before	
  defeat.”	
  
Sun	
  Tzu,	
  Author	
  of	
  The	
  Art	
  of	
  War	
  
Making	
  the	
  Brand	
  Real	
  –	
  All	
  
Customer	
  Touch	
  Points	
  
Marke;ng	
  Plan:	
  Promo;on,	
  	
  
Product,	
  Price,	
  People,	
  Place	
  
Customer	
  Segments	
  
Compe;;ve	
  Landscape	
  
Industry	
  Dynamics	
  
Company’s	
  Current	
  
State—SWAT	
  	
  
Investment	
  Alloca;on:	
  
Direc;onal	
  Policy	
  Matrix	
  
11	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  company’s	
  vision	
  provides	
  the	
  founda3on	
  for	
  all	
  decision	
  making.	
  
TODAY	
   IN	
  3	
  YEARS	
  
Revenue	
   $42m	
   $80m	
  
Profit	
  (%)	
   6%	
   12%	
  
Market	
  Posi;on	
  /	
  
Share	
  
4	
  /	
  7%	
   2	
  /	
  13%	
  
Geography	
   US	
   US,	
  Ireland,	
  Singapore,	
  China	
  
Products	
   Full	
  service	
  xyz	
   Full	
  service	
  +	
  self	
  service	
  xyz	
  
Staff	
  	
   49	
   54	
  
Other	
  
	
  
	
  
	
  
Opera;onal	
  technology	
  
comprises	
  7	
  loosely	
  
connected	
  programs	
  
Opera;onal	
  technology	
  has	
  4	
  
or	
  less	
  integrated	
  programs	
  
	
  
VISION	
  &	
  BUSINESS	
  PLAN	
  GOALS	
  
Focus	
  on	
  
aCributes	
  core	
  
to	
  the	
  vision.	
  
12	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Customer	
  segmenta3on	
  and	
  iden3fying	
  who	
  is	
  a	
  target	
  is	
  a	
  core	
  driver	
  of	
  company	
  
profitability.	
  	
  
CUSTOMER	
  SEGMENTATION	
  &	
  TARGETS:	
  BACKGROUND	
  
WHY	
  SEGMENT	
  CUSTOMERS	
  
•  Trying	
  to	
  market	
  and	
  sa;sfy	
  everyone	
  in	
  
the	
  market	
  will	
  result	
  inefficiencies:	
  
–  Marke;ng	
  messages	
  that	
  fail	
  to	
  deeply	
  
resonate	
  with	
  anyone	
  
–  Confusion	
  within	
  opera;ons	
  and	
  
strategic	
  planning,	
  e.g.,	
  what’s	
  more	
  
important,	
  low	
  cost	
  manufacturing	
  or	
  
product	
  innova;on	
  and	
  quality?	
  
	
  
•  Inves;ng	
  ;me	
  and	
  money	
  aCrac;ng	
  the	
  
wrong	
  customers	
  will	
  be	
  a	
  drain	
  on	
  your	
  
return	
  on	
  investment	
  
SEGMENTATION	
  CONSIDERATIONS	
  
•  Customers	
  can	
  be	
  segmented	
  using	
  a	
  variety	
  
of	
  aCributes:	
  
–  Geography	
  
–  Demographics	
  
–  Psychographics:	
  values,	
  lifestyle	
  
–  Behavioral:	
  loyalty,	
  buying	
  habits,	
  usage	
  
by	
  ;me,	
  who’s	
  paying	
  (company	
  or	
  self)	
  
–  Needs:	
  service	
  levels,	
  financing	
  terms,	
  
product	
  aCributes,	
  delivery	
  ;me	
  
	
  
•  Effec;ve,	
  prac;cal	
  target	
  customer	
  
segments:	
  
–  Are	
  iden;fiable	
  (one	
  can’t	
  market	
  to	
  
those	
  one	
  cannot	
  reach.)	
  
–  Have	
  needs	
  that	
  can	
  be	
  met	
  
–  Can	
  sustain	
  aCrac;ve	
  profits	
  (margin	
  
and	
  volume)	
  
13	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Dis3nct	
  customer	
  segments	
  help	
  one	
  iden3fy	
  groups	
  of	
  customers	
  and	
  their	
  aaributes,	
  and	
  
hence	
  their	
  aarac3veness	
  to	
  the	
  business.	
  
CUSTOMER	
  SEGMENTATION	
  EXAMPLE	
  
Company	
  
or	
  Client	
  
Pays	
  
Flyer	
  
Pays	
  
Personally	
  
Usage	
  Level	
  
Few	
   Many	
  
Length	
  of	
  Stay	
   Short	
   Long	
   Short	
   Long	
  
Who	
  Pays	
  
Trips	
  per	
  Year	
  
Corporate,	
  
office	
  bound	
  
	
  
Corporate,	
  
office	
  bound	
  
Execu;ve	
  
corporate	
  road	
  
warrior	
  
Project	
  /	
  trainer	
  /	
  
corporate	
  road	
  
warrior	
  
	
  
Consultant	
  
Small	
  business:	
  
execu;ve	
  or	
  
consultant	
  
Wealthy	
  leisure	
  
traveler,	
  could	
  be	
  
baby	
  boomer	
  
Small	
  business:	
  
execu;ve	
  or	
  
consultant	
  
Wealthy	
  leisure	
  
traveler,	
  could	
  be	
  
baby	
  boomer	
  
One	
  or	
  twice	
  a	
  
year	
  leisure	
  
traveler	
  
Small	
  business,	
  
office	
  bound	
  
	
  
One	
  or	
  twice	
  a	
  
year	
  leisure	
  
traveler	
  
Small	
  business,	
  
office	
  bound	
  
	
  
CUSTOMER	
  SEGMENTATION	
  FOR	
  AIR	
  TRAVELERS	
  
14	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Successful	
  companies	
  are	
  fana3cal	
  about	
  one	
  discipline	
  of	
  excellence.	
  	
  
DISCIPLINE	
   COMPANY	
  TRAITS	
   EXAMPLE	
  BRANDS	
  
Opera3onal	
  
Excellence	
  
•  Efficient	
  standard	
  opera;ng	
  procedures	
  
•  Simple,	
  quick	
  customer	
  service	
  
•  Predictable	
  products	
  and	
  services	
  
•  Dell	
  
•  McDonalds	
  
•  Amazon	
  
Product	
  
Leadership	
  
•  Innova;ve	
  products	
  and	
  services	
  
•  Entrepreneurial	
  culture	
  that	
  rewards	
  out-­‐of-­‐the-­‐box	
  
thinking	
  
•  Bose	
  	
  
•  Apple	
  
•  Porsche	
  
Customer	
  
In3macy	
  
•  Flexible	
  products	
  and	
  services	
  to	
  meet	
  each	
  
customer’s	
  needs	
  
•  Staff	
  with	
  customer	
  contact	
  have	
  significant	
  
autonomy—keeping	
  the	
  customer	
  happy	
  is	
  of	
  
primary	
  concern	
  
•  IBM	
  
•  St	
  Regis	
  
•  Nordstrom	
  
MARKET	
  DIFFERENTIATION:	
  DISCIPLINES	
  OF	
  EXCELLENCE	
  
•  While	
  all	
  disciplines	
  (opera;onal	
  excellence,	
  product	
  leadership,	
  and	
  customer	
  in;macy)	
  need	
  to	
  
be	
  executed	
  to	
  an	
  acceptable	
  level,	
  a	
  company	
  should	
  focus	
  on	
  one	
  disciple	
  of	
  excellence:	
  
– Trying	
  to	
  make	
  more	
  than	
  one	
  core	
  to	
  the	
  brand	
  will	
  result	
  in	
  diluted,	
  sub-­‐op;mal	
  results	
  
– Aiming	
  to	
  be	
  all	
  things	
  to	
  all	
  people	
  will	
  create	
  an	
  offering	
  that	
  is	
  mediocre	
  at	
  best	
  
15	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Stressing	
  your	
  points	
  of	
  differen3a3on	
  to	
  your	
  customers	
  and	
  internal	
  staff	
  helps	
  your	
  
company	
  stand	
  out.	
  
BRAND	
  DIFFERENTIATION:	
  POINTS	
  OF	
  DIFFERENCE	
  
Current	
  Reasons	
  
•  …	
  	
  
•  ...	
  
•  …	
  
Future	
  Reasons	
  (ones	
  that	
  you	
  plan	
  on	
  crea3ng)	
  
•  ...	
  
•  …	
  
•  …	
  
Reasons	
  your	
  product	
  /	
  service	
  stands	
  out	
  	
  from	
  your	
  compe;tors	
  for	
  
your	
  target	
  customers:	
  
16	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  brand	
  posi3oning	
  statement	
  defines	
  your	
  brand.	
  
BRAND	
  POSITIONING	
  STATEMENT	
  
Target	
  customers:	
  types	
  of	
  customers	
  the	
  company	
  is	
  marke;ng	
  to	
  
Frame	
  of	
  reference:	
  where	
  the	
  brand	
  fits	
  within	
  the	
  market	
  
Point	
  of	
  differen3a3on:	
  what	
  makes	
  the	
  brand	
  special	
  
Benefits	
  for	
  the	
  target	
  customers:	
  why	
  customers	
  would	
  prefer	
  the	
  product	
  or	
  
service	
  
INGREDIENTS	
  FOR	
  A	
  BRAND	
  POSITIONING	
  STATEMENT	
  
SAMPLE	
  POSITIONING	
  STATEMENT	
  
To	
  the	
  ;me-­‐starved	
  home	
  owner	
  with	
  a	
  lawn,	
  one	
  applica;on	
  of	
  WEEDS	
  GOODBYE	
  
kills	
  weeds	
  in	
  your	
  lawn	
  completely	
  and	
  quickly,	
  with	
  visible	
  results	
  within	
  hours	
  
without	
  effec;ng	
  the	
  grass.	
  Other	
  weed	
  killers	
  destroy	
  grass	
  or	
  take	
  mul;ple	
  
applica;ons	
  over;me	
  to	
  work.	
  In	
  the	
  baCle	
  with	
  weeds,	
  do	
  not	
  waste	
  ;me	
  or	
  risk	
  
losing	
  your	
  lawn,	
  use	
  WEEDS	
  GOODBYE.	
  
17	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Every	
  customer	
  touch-­‐point	
  either	
  for3fies	
  or	
  contradicts	
  the	
  brand	
  posi3oning.	
  	
  
	
  
MAKING	
  THE	
  BRAND	
  REAL	
  IN	
  CUSTOMERS’	
  MINDS	
  
EXAMPLE	
  OPERATIONAL	
  ACTIONS	
  TO	
  IMPLEMENT	
  A	
  BRAND	
  POSITIONING	
  	
  
(Focus	
  on	
  speed	
  and	
  service	
  at	
  a	
  retailer)	
  
	
  	
  	
  
•  A	
  brand’s	
  posi;oning	
  (its	
  value	
  proposi;on)	
  cannot	
  be	
  a	
  secret	
  within	
  marke;ng,	
  it	
  
must	
  be	
  a	
  compass	
  for	
  the	
  en;re	
  company	
  
•  Every	
  customer	
  touch-­‐point	
  either	
  for;fies	
  or	
  contradicts	
  the	
  brand	
  posi;oning	
  
Receiving	
  Email	
  
Response	
  
Calling	
  Customer	
  
Service	
  
• Was	
  customer’s	
  ques;on	
  answered	
  quickly?	
  (speed)	
  
• Did	
  wording	
  reiterate	
  the	
  brand,	
  e.g.	
  “I’ll	
  process	
  this	
  order	
  right	
  away	
  
and	
  have	
  it	
  in	
  the	
  mail	
  today.”?	
  (service,	
  speed)	
  
• Was	
  the	
  transac;on	
  fast?	
  (speed)	
  
• Did	
  the	
  cashier	
  thank	
  the	
  customer?	
  (service)	
  
• Was	
  the	
  cashier	
  friendly?	
  (service)	
  
• Was	
  the	
  response	
  quick?	
  (speed)	
  
• Did	
  the	
  response	
  address	
  the	
  customer’s	
  ques;ons?	
  (service)	
  
• Did	
  the	
  wording	
  reiterate	
  the	
  brand?	
  (speed,	
  service)	
  
• Did	
  an	
  associate	
  offer	
  assistance?	
  (speed,	
  service)	
  
• Was	
  the	
  associate	
  friendly?	
  (service)	
  
• Was	
  the	
  customer	
  able	
  to	
  find	
  what	
  they	
  wanted	
  easily?	
  (speed)	
  
Paying	
  Cashier	
  
in	
  the	
  Store	
  
Walking	
  Around	
  
the	
  Store	
  
18	
  ©	
  Stratapult	
  Advisors	
  2013	
  
The	
  marke3ng	
  plan—product,	
  place,	
  promo3on,	
  price	
  and	
  people—provides	
  the	
  framework	
  to	
  
connect	
  target	
  customers	
  with	
  the	
  product,	
  and	
  hence	
  drive	
  sales.	
  
Product	
  Place	
  
	
  
People	
  
Price	
   Promo3on	
  
MARKETING’S	
  5	
  PS	
  
MARKETING	
  PLAN	
  
Product	
  types,	
  func;onality,	
  
and	
  service	
  
Adver;sements	
  for	
  customer	
  
acquisi;on	
  and	
  reten;on	
  
Distribu;on	
  channels,	
  
customer	
  touch-­‐points	
  
Price	
  op;miza;on,	
  considering	
  
segments	
  and	
  profitability	
  
Culture,	
  compensa;on,	
  and	
  tasks	
  to	
  
support	
  	
  delivering	
  the	
  brand	
  promise	
  	
  
19	
  ©	
  Stratapult	
  Advisors	
  2013	
  
A	
  roadmap	
  built	
  on	
  strategic	
  and	
  implementa3on	
  considera3ons	
  provides	
  the	
  most	
  effec3ve	
  
path	
  toward	
  revenue	
  accelera3on.	
  	
  
ROADMAP	
  TO	
  REVENUE	
  ACCELERATION	
  
Implementa;on:	
  
Path	
  to	
  Desired	
  Des;na;on	
  
Vision	
  and	
  Strategy:	
  
Where	
  We	
  Want	
  To	
  Go	
  
Current	
  Situa;on:	
  
Where	
  We	
  Are	
  Today	
  
Vision	
  and	
  Goals	
  
Target	
  Customer	
  Segment	
  
Market	
  Differen;a;on	
  
Brand	
  Posi;on	
  
Implementa;on	
  Plan	
  
Con;nuous	
  Customer	
  
Feedback	
  
Con;nuous	
  Improvement	
  
Based	
  on	
  Learnings	
  
“Tac3cs	
  without	
  strategy	
  is	
  the	
  noise	
  before	
  defeat.”	
  
Sun	
  Tzu,	
  Author	
  of	
  The	
  Art	
  of	
  War	
  
Making	
  the	
  Brand	
  Real	
  –	
  All	
  
Customer	
  Touch	
  Points	
  
Marke;ng	
  Plan:	
  Promo;on,	
  	
  
Product,	
  Price,	
  People,	
  Place	
  
Customer	
  Segments	
  
Compe;;ve	
  Landscape	
  
Industry	
  Dynamics	
  
Company’s	
  Current	
  
State—SWAT	
  	
  
Investment	
  Alloca;on:	
  
Direc;onal	
  Policy	
  Matrix	
  
20	
  ©	
  Stratapult	
  Advisors	
  2013	
  
An	
  implementa3on	
  plan	
  that	
  is	
  simple	
  to	
  follow	
  and	
  agreed	
  upon	
  by	
  the	
  whole	
  team	
  will	
  
provide	
  an	
  efficient	
  roadmap	
  and	
  help	
  keep	
  expecta3ons	
  in-­‐sync.	
  	
  
IMPLEMENTATION	
  PLAN	
  
KEYS	
  TO	
  EFFECTIVE	
  IMPLEMENTATION	
  PLANNING	
  
•  Use	
  simple	
  visual	
  plan.	
  GANTT	
  charts	
  are	
  a	
  prac;cal	
  op;on	
  
•  Develop	
  with	
  the	
  team	
  to	
  gain	
  buy-­‐in	
  and	
  alignment	
  
•  Review	
  for	
  dependencies	
  between	
  tasks	
  
•  Define	
  what,	
  when	
  and	
  how	
  for	
  each	
  task	
  
•  Ini;ally	
  develop	
  the	
  task	
  level	
  at	
  a	
  high-­‐level	
  and	
  create	
  more	
  details	
  as	
  one	
  
nears	
  execu;on	
  for	
  the	
  task	
  
•  Remain	
  flexible,	
  adjus;ng	
  the	
  plan	
  as	
  new	
  lessons	
  are	
  learned	
  (customer	
  
feedback,	
  compe;tor	
  moves,	
  new	
  ideas	
  from	
  the	
  team)	
  
	
   EXAMPLE	
  GANTT	
  CHART	
  
21	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Gaining	
  regular	
  customer	
  feedback	
  helps	
  keep	
  the	
  company	
  in-­‐touch	
  with	
  a	
  constantly	
  
changing	
  market.	
  	
  
CONTINUOUS	
  CUSTOMER	
  FEEDBACK	
  
BEGIN	
  NOW…	
   …VIA	
  AN	
  INCREMENTAL,	
  ITERATIVE	
  APPROACH,	
  LEARN	
  ALONG	
  THE	
  WAY	
  
	
  
YOU	
  CAN’T	
  WAIT	
  UNTIL	
  YOU	
  HAVE	
  A	
  PLAN	
  BASED	
  ON	
  PERFECT	
  MARKET	
  INFORMATION,	
  BECAUSE	
  
YOU	
  NEVER	
  WILL	
  
•  Market	
  is	
  always	
  changing	
  
•  Customer	
  feedback	
  is	
  limited.	
  Oren	
  your	
  idea	
  isn’t	
  a	
  solu;on	
  they	
  have	
  seen.	
  (Customers	
  didn’t	
  know	
  they	
  
wanted	
  the	
  iPhone,	
  Walkman,	
  or	
  Model-­‐T	
  Ford	
  un;l	
  they	
  saw	
  the	
  product.)	
  
•  With	
  a	
  general	
  understanding	
  for	
  the	
  market	
  as	
  it	
  stands	
  today,	
  your	
  vision	
  is	
  unlikely	
  to	
  be	
  so	
  far	
  off	
  that	
  
lots	
  of	
  work	
  will	
  be	
  wasted	
  
22	
  ©	
  Stratapult	
  Advisors	
  2013	
  
	
  
Lessons	
  Learned	
  
	
  
Improvements	
  
Ac3ng	
  on	
  lessons	
  learned	
  to	
  make	
  improvements	
  regularly	
  to	
  the	
  strategy	
  will	
  keep	
  the	
  
company	
  nibble	
  and	
  relevant	
  in	
  the	
  market.	
  	
  
CONTINUOUS	
  IMPROVEMENT	
  BASED	
  ON	
  LEARNINGS	
  
A	
  series	
  of	
  small	
  changes	
  on	
  the	
  path	
  
to	
  a	
  larger	
  change	
  is	
  preferable:	
  lower	
  
risk,	
  more	
  manageable,	
  opportuni;es	
  
to	
  quickly	
  incorporate	
  feedback	
  
Con;nuous	
  tes;ng	
  and	
  ac;ng	
  on	
  
lessons	
  learned	
  fuels	
  an	
  ongoing	
  
pursuit	
  of	
  op;mizing	
  value	
  crea;on	
  
23	
  ©	
  Stratapult	
  Advisors	
  2013	
  
Are	
  you	
  a	
  mid-­‐sized	
  or	
  startup	
  company	
  that	
  is	
  ready	
  to	
  accelerate	
  your	
  
revenue	
  growth?	
  
	
  
Contact	
  Stratapult	
  Advisors	
  to	
  see	
  if	
  we	
  can	
  help!	
  
•  From	
  idea	
  genera;on	
  through	
  implementa;on	
  
•  Results,	
  not	
  reports	
  
•  Typical	
  results:	
  10%	
  to	
  100%+	
  increase	
  in	
  profit	
  
Learn	
  more	
  by	
  visi;ng	
  StratapultAdvisors.com	
  or	
  contac;ng	
  Mark	
  Dresdner	
  at	
  Mark@StratapultAdvisors.com	
  
Mark	
  Dresdner,	
  Managing	
  Director,	
  Stratapult	
  Advisors	
  	
  
Mark	
  collaborates	
  with	
  management	
  teams	
  to	
  realize	
  revenue	
  accelera;on	
  as	
  an	
  interim	
  or	
  part-­‐;me	
  Chief	
  
Revenue	
  Officer.	
  He	
  applies	
  a	
  hands-­‐on	
  approach	
  covering	
  strategy	
  development	
  through	
  implementa;on	
  for	
  
companies	
  with	
  growth	
  aspira;ons.	
  His	
  experience	
  spans	
  startups	
  to	
  Fortune	
  500	
  firms.	
  He	
  has	
  worked	
  as	
  a	
  
management	
  consultant	
  at	
  Accenture,	
  led	
  revenue	
  strategies	
  globally—including	
  pricing—at	
  Starwood	
  Hotels,	
  
guided	
  strategy	
  and	
  pricing	
  at	
  a	
  $1b	
  avia;on	
  company,	
  and	
  spearheaded	
  growth	
  at	
  por|olio	
  companies	
  held	
  
by	
  private	
  equity	
  firms.	
  He	
  has	
  been	
  designated	
  a	
  Cer;fied	
  Pricing	
  Professional	
  from	
  the	
  Professional	
  Pricing	
  
Society.	
  Mark	
  earned	
  a	
  Bachelor	
  of	
  Engineering	
  from	
  the	
  University	
  of	
  New	
  South	
  Wales,	
  Australia	
  
(Valedictorian)	
  and	
  an	
  MBA	
  from	
  the	
  Kellogg	
  School	
  of	
  Management,	
  Northwestern	
  University	
  (Beta	
  Gamma	
  
Sigma).	
  
	
  

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PSCC - Capability Statement Presentation
 

Path to Realizing Revenue Acceleration | Stratapult Advisors | Mark Dresdner

  • 1. 1  ©  Stratapult  Advisors  2013       A  Path  to  Realizing  Revenue  Accelera3on   Strategy  through  Implementa;on                         Mark  Dresdner   Stratapult  Advisors   Mark@StratapultAdvisors.com   StratapultAdvisors.com  
  • 2. 2  ©  Stratapult  Advisors  2013   ©  Stratapult  Advisors  2013   All  Rights  Reserved   Reproduc;on  of  any  por;on  of  this  document  is  not  permiCed  without  wriCen   consent  of  Stratapult  Advisors,  LLC.  You  or  your  company  cannot  copy  this   Intellectual  Property  informa;on  or  republish  it  in  any  other  form,  in  print  or   electronically,  without  wriCen  approval.     For  ques;ons,  contact  Mark  Dresdner  at  Mark@StratapultAdvisors.com   LEGAL  NOTICE  
  • 3. 3  ©  Stratapult  Advisors  2013   A  clear  strategic  plan  and  implementa3on  approach  facilitates  drama3c  business  growth,   because  it  provides  strategic  clarity  and  helps  leaders  bust  out  of  the  shackles  of  run-­‐the-­‐ business  ac3vi3es.     •  Do  you  truly  want  to  realize  drama;c  business  growth—improving  both  revenue  and   your  company’s  value?  What’s  holding  you  back?     •  There  are  two  frequent  factors  killing  a  CEO’s  ability  to  realize  business  growth  well   above  the  market:   –  Lack  of  strategic  clarity:  Defining  what  the  company  should  achieve  and  by  when   and  then  ploZng  a  path  to  realize  the  vision     –  Inability  to  breaking  out  of  day-­‐to-­‐day  run-­‐the-­‐business  ac3vi3es:  Channeling   energy  toward  transforma;onal  changes,  not  incremental  tweaks,  daily   “emergencies,”  and  rituals   •  Strategic  clarity  coupled  with  a  pragma;c  implementa;on  plan  helps  repriori;ze   ac;vi;es  so  that  business  leaders  can  be  real  drivers  of  their  company's  future,  not   passengers   INTRODUCTION  
  • 4. 4  ©  Stratapult  Advisors  2013   A  roadmap  built  on  strategic  and  implementa3on  considera3ons  provides  the  most  effec3ve   path  toward  revenue  accelera3on.     ROADMAP  TO  REVENUE  ACCELERATION   Implementa;on:   Path  to  Desired  Des;na;on   Vision  and  Strategy:   Where  We  Want  To  Go   Current  Situa;on:   Where  We  Are  Today   Customer  Segments   Compe;;ve  Landscape   Industry  Dynamics   Company’s  Current   State—SWOT     Vision  and  Goals   Target  Customer  Segment   Market  Differen;a;on   Brand  Posi;on   Implementa;on  Plan   Con;nuous  Customer   Feedback   Customer  and  Market   Intelligence   Virtuous  Cycle  of  Tes;ng   and  Improving   “Tac3cs  without  strategy  is  the  noise  before  defeat.”   Sun  Tzu,  Author  of  The  Art  of  War   Making  the  Brand  Real  –  All   Customer  Touch  Points   Marke;ng  Plan:  Promo;on,     Product,  Price,  People,  Place   Investment  Alloca;on:   Direc;onal  Policy  Matrix  
  • 5. 5  ©  Stratapult  Advisors  2013   Segment  the  market  into  customer  segments,  this  will  help  you  iden3fy  your  target  customers.     Before  choosing  your  target  customers,  ask   the  following:   •  What  are  the  different  customer   segments?   •  How  large  are  the  customer  segments?   CUSTOMER  SEGMENTS   Psychographics   Demographics   Behavioral   Needs   Geographic   Industry,  company  size,  stage  in  lifecycle   (e.g.  re;red,  recently  married),  gender,   age,  and  occupa;on   Values,  personality  type,  and  lifestyle     Brand  loyalty,  shopping  and  buying   habits,  usage  by  ;me  (e.g.  day  of  week,   length  of  usage),  affilia;on  to  loyalty   programs,  and  who  pays  (e.g.  customer   or  employer)   Region,  city,  climate,  and  popula;on   density   Service  levels,  financing  terms,  product   aCributes,  and  delivery  ;me.     ATTRIBUTES  TO  CONSIDER  WHEN  CREATING   CUSTOMER  SEGMENTS  
  • 6. 6  ©  Stratapult  Advisors  2013   Understanding  a  company’s  compe33ve  advantages  and  disadvantages  is  core  to  determining   how  to  best  compete.     COMPETITIVE  LANDSCAPE   Low             High   ATTRIBUTE   YOUR  FIRM   COMPETITOR  A   COMPETITOR  B   COMPETITOR  C   High  Price   Product   Quality   Product   Func;onality   Brand   Strength   Customer   Service   Distribu;on   Network   Focus  on  aCributes  most   important  to  the  industry   and  customers.  
  • 7. 7  ©  Stratapult  Advisors  2013   An  understanding  of  industry  dynamics  highlights  opportuni3es  for  compe33ve  advantage  and   pricing  power  as  well  as  challenges  that  need  to  be  managed.     INDUSTRY  DYNAMICS   Supplier  Power   •  Brand  reputa;on   •  Pricing  strength   •  Alterna;ve  customers   •  Product/service  quality   •  Customer  rela;onship     Industry  Rivalry   •  #  of  firms     •  Market  share   •  Level  of  differen;a;on   •  Variable  vs.  fixed  costs   •  Industry  size  and  growth   Buyer  Power   •  #  of  buyers  in  market   •  Volume,  other  terms     •  Choice  of  op;ons   •  Cost  of  switching  vendor     Threat  of  Entrants   •  Barriers  to  entry   •  Capabili;es  required   •  Compe;;ve  resistance       Use  framework  for  a   general  discussion  on   important  industry  factors.   Threat  of  Subs3tutes     •  Capability  and  cost   •  Switching  costs   •  Brand  strength   •  Trends     Environmental   •  Poli;cal     •  Economic   •  Social   •  Demographics   •  Technological  
  • 8. 8  ©  Stratapult  Advisors  2013   SWOT  analysis  provides  a  concise  summary  of  items  to  consider  during  strategic  planning.   COMPANY’S  CURRENT  STATE—SWOT  ANALYSIS   STRENGTHS   •  Strong  brand  recogni;on   •  Large  customer  base   •  Personal  rela;onships  with  many  key  customers   •  Broad  global  network  of  partners   •  Low  cost  material  via  volume  discount  from  suppliers   WEAKNESSES   •  An;quated  systems  causing  billing  errors  and  inefficient   labor   •  High  dependence  on  leads  from  one  strategic  partner  who’s   own  volumes  are  declining   •  Online  presence  is  limited  and  less  than  some  compe;tors   •  30%  of  revenue  is  from  four  customers  –  if  they  ler  it   would  provide  a  cash  flow  strain     OPPORTUNITIES   •  Develop  online  tools  to  help  enhance  customer   communica;ons  and  sales   •  Expand  distribu;on  channels—including  online   •  Deploy  an  efficient  and  effec;ve  opera;ons  system— lower  costs  and  improve  customer  experience   •  Upgrade  inbound  marke;ng  technology  to  provide   addi;onal  and  beCer  quality  leads  for  Sales   THREATS   •  New  local  compe;tors  compe;ng  on  price   •  Some  important  sales  channels  are  not  available  due  to   compe;tors  seZng  up  barriers     •  Historical  value  proposi;on  is  losing  its  relevance  as  the   needs  of  the  market  change   •  Transparency  for  customers  is  increasing  and  sparking  a   price  war  
  • 9. 9  ©  Stratapult  Advisors  2013   Harvest/Divest   • Prune   • Prepare  for  exit   • Maximize  cash  genera;on   Maximize  Cash  Flow   • Limit  investment  to  clear  returns   • Choose  profit  over  market  posi;on   • Seek  opportunis;c  sale   Opportunis3c  Expansion   • Search  for  ways  to  strengthen   posi;on,  e.g.  acquisi;on   • Seek  niches;  specialize   • Monitor;  be  prepared  to  retreat   • Joint  venture,  license,  or  divest,  if   unable  to  strengthen  posi;on   Maximize  Profitability   • No  non-­‐essen;al  investment   • Don’t  accept  loss  orders   • Profit  is  top  priority   • Opportunis;c  sale   Limit  Expansion   • Emphasize  segmenta;on   • Invest  for  earnings  growth/cost   reduc;ons   • Focus  on  vulnerability  and   con;ngency  planning   Aggressive  Growth   • Assess  risk  of  challenging  for  market   leadership   • Sacrifice  current  profit  for   strengthened  posi;on   • Product  development  to  fill  out   weaknesses   Maintain  Profitability   • Strictly  contain  risk   • Sacrifice  share  for  profitability   • Maintain  posi;ve  cash  flow   • Reduce  fixed  costs   • Monitor  for  opportunity  to  divest   Maintain  Leadership   • Invest  for  preserva;on  of  posi;on  in   most  aCrac;ve  segments   • Start  containing  risk  by  choosing   profit  over  high  cost  expansion   • Expand  if  growth  is  possible  with   low  risk   Defend  Leadership  Posi3on   • Hold  leadership  market  share   • Diversify   • Accept  moderate  near-­‐term  profits   with  nega;ve  cash  flow   • Intensive  product  and  market   development   Business  Strength  /  Compe33veness   Market  Aarac3veness   High  Low   High   Low   Manage  for  Profit   Opportunis;c   Invest   INVESTMENT  ALLOCATION:  DIRECTIONAL  POLICY  MATRIX   Plocng  each  product  and  service  on  the  Direc3onal  Policy  Matrix  (Compe33veness  vs.   Market  Aarac3veness)  provides  a  recommenda3on  on  the  investment  level  in  each.  
  • 10. 10  ©  Stratapult  Advisors  2013   A  roadmap  built  on  strategic  and  implementa3on  considera3ons  provides  the  most  effec3ve   path  toward  revenue  accelera3on.     ROADMAP  TO  REVENUE  ACCELERATION   Implementa;on:   Path  to  Desired  Des;na;on   Vision  and  Strategy:   Where  We  Want  To  Go   Current  Situa;on:   Where  We  Are  Today   Vision  and  Goals   Target  Customer  Segment   Market  Differen;a;on   Brand  Posi;on   Implementa;on  Plan   Con;nuous  Customer   Feedback   Customer  and  Market   Intelligence   Virtuous  Cycle  of  Tes;ng   and  Improving   “Tac3cs  without  strategy  is  the  noise  before  defeat.”   Sun  Tzu,  Author  of  The  Art  of  War   Making  the  Brand  Real  –  All   Customer  Touch  Points   Marke;ng  Plan:  Promo;on,     Product,  Price,  People,  Place   Customer  Segments   Compe;;ve  Landscape   Industry  Dynamics   Company’s  Current   State—SWAT     Investment  Alloca;on:   Direc;onal  Policy  Matrix  
  • 11. 11  ©  Stratapult  Advisors  2013   A  company’s  vision  provides  the  founda3on  for  all  decision  making.   TODAY   IN  3  YEARS   Revenue   $42m   $80m   Profit  (%)   6%   12%   Market  Posi;on  /   Share   4  /  7%   2  /  13%   Geography   US   US,  Ireland,  Singapore,  China   Products   Full  service  xyz   Full  service  +  self  service  xyz   Staff     49   54   Other         Opera;onal  technology   comprises  7  loosely   connected  programs   Opera;onal  technology  has  4   or  less  integrated  programs     VISION  &  BUSINESS  PLAN  GOALS   Focus  on   aCributes  core   to  the  vision.  
  • 12. 12  ©  Stratapult  Advisors  2013   Customer  segmenta3on  and  iden3fying  who  is  a  target  is  a  core  driver  of  company   profitability.     CUSTOMER  SEGMENTATION  &  TARGETS:  BACKGROUND   WHY  SEGMENT  CUSTOMERS   •  Trying  to  market  and  sa;sfy  everyone  in   the  market  will  result  inefficiencies:   –  Marke;ng  messages  that  fail  to  deeply   resonate  with  anyone   –  Confusion  within  opera;ons  and   strategic  planning,  e.g.,  what’s  more   important,  low  cost  manufacturing  or   product  innova;on  and  quality?     •  Inves;ng  ;me  and  money  aCrac;ng  the   wrong  customers  will  be  a  drain  on  your   return  on  investment   SEGMENTATION  CONSIDERATIONS   •  Customers  can  be  segmented  using  a  variety   of  aCributes:   –  Geography   –  Demographics   –  Psychographics:  values,  lifestyle   –  Behavioral:  loyalty,  buying  habits,  usage   by  ;me,  who’s  paying  (company  or  self)   –  Needs:  service  levels,  financing  terms,   product  aCributes,  delivery  ;me     •  Effec;ve,  prac;cal  target  customer   segments:   –  Are  iden;fiable  (one  can’t  market  to   those  one  cannot  reach.)   –  Have  needs  that  can  be  met   –  Can  sustain  aCrac;ve  profits  (margin   and  volume)  
  • 13. 13  ©  Stratapult  Advisors  2013   Dis3nct  customer  segments  help  one  iden3fy  groups  of  customers  and  their  aaributes,  and   hence  their  aarac3veness  to  the  business.   CUSTOMER  SEGMENTATION  EXAMPLE   Company   or  Client   Pays   Flyer   Pays   Personally   Usage  Level   Few   Many   Length  of  Stay   Short   Long   Short   Long   Who  Pays   Trips  per  Year   Corporate,   office  bound     Corporate,   office  bound   Execu;ve   corporate  road   warrior   Project  /  trainer  /   corporate  road   warrior     Consultant   Small  business:   execu;ve  or   consultant   Wealthy  leisure   traveler,  could  be   baby  boomer   Small  business:   execu;ve  or   consultant   Wealthy  leisure   traveler,  could  be   baby  boomer   One  or  twice  a   year  leisure   traveler   Small  business,   office  bound     One  or  twice  a   year  leisure   traveler   Small  business,   office  bound     CUSTOMER  SEGMENTATION  FOR  AIR  TRAVELERS  
  • 14. 14  ©  Stratapult  Advisors  2013   Successful  companies  are  fana3cal  about  one  discipline  of  excellence.     DISCIPLINE   COMPANY  TRAITS   EXAMPLE  BRANDS   Opera3onal   Excellence   •  Efficient  standard  opera;ng  procedures   •  Simple,  quick  customer  service   •  Predictable  products  and  services   •  Dell   •  McDonalds   •  Amazon   Product   Leadership   •  Innova;ve  products  and  services   •  Entrepreneurial  culture  that  rewards  out-­‐of-­‐the-­‐box   thinking   •  Bose     •  Apple   •  Porsche   Customer   In3macy   •  Flexible  products  and  services  to  meet  each   customer’s  needs   •  Staff  with  customer  contact  have  significant   autonomy—keeping  the  customer  happy  is  of   primary  concern   •  IBM   •  St  Regis   •  Nordstrom   MARKET  DIFFERENTIATION:  DISCIPLINES  OF  EXCELLENCE   •  While  all  disciplines  (opera;onal  excellence,  product  leadership,  and  customer  in;macy)  need  to   be  executed  to  an  acceptable  level,  a  company  should  focus  on  one  disciple  of  excellence:   – Trying  to  make  more  than  one  core  to  the  brand  will  result  in  diluted,  sub-­‐op;mal  results   – Aiming  to  be  all  things  to  all  people  will  create  an  offering  that  is  mediocre  at  best  
  • 15. 15  ©  Stratapult  Advisors  2013   Stressing  your  points  of  differen3a3on  to  your  customers  and  internal  staff  helps  your   company  stand  out.   BRAND  DIFFERENTIATION:  POINTS  OF  DIFFERENCE   Current  Reasons   •  …     •  ...   •  …   Future  Reasons  (ones  that  you  plan  on  crea3ng)   •  ...   •  …   •  …   Reasons  your  product  /  service  stands  out    from  your  compe;tors  for   your  target  customers:  
  • 16. 16  ©  Stratapult  Advisors  2013   A  brand  posi3oning  statement  defines  your  brand.   BRAND  POSITIONING  STATEMENT   Target  customers:  types  of  customers  the  company  is  marke;ng  to   Frame  of  reference:  where  the  brand  fits  within  the  market   Point  of  differen3a3on:  what  makes  the  brand  special   Benefits  for  the  target  customers:  why  customers  would  prefer  the  product  or   service   INGREDIENTS  FOR  A  BRAND  POSITIONING  STATEMENT   SAMPLE  POSITIONING  STATEMENT   To  the  ;me-­‐starved  home  owner  with  a  lawn,  one  applica;on  of  WEEDS  GOODBYE   kills  weeds  in  your  lawn  completely  and  quickly,  with  visible  results  within  hours   without  effec;ng  the  grass.  Other  weed  killers  destroy  grass  or  take  mul;ple   applica;ons  over;me  to  work.  In  the  baCle  with  weeds,  do  not  waste  ;me  or  risk   losing  your  lawn,  use  WEEDS  GOODBYE.  
  • 17. 17  ©  Stratapult  Advisors  2013   Every  customer  touch-­‐point  either  for3fies  or  contradicts  the  brand  posi3oning.       MAKING  THE  BRAND  REAL  IN  CUSTOMERS’  MINDS   EXAMPLE  OPERATIONAL  ACTIONS  TO  IMPLEMENT  A  BRAND  POSITIONING     (Focus  on  speed  and  service  at  a  retailer)         •  A  brand’s  posi;oning  (its  value  proposi;on)  cannot  be  a  secret  within  marke;ng,  it   must  be  a  compass  for  the  en;re  company   •  Every  customer  touch-­‐point  either  for;fies  or  contradicts  the  brand  posi;oning   Receiving  Email   Response   Calling  Customer   Service   • Was  customer’s  ques;on  answered  quickly?  (speed)   • Did  wording  reiterate  the  brand,  e.g.  “I’ll  process  this  order  right  away   and  have  it  in  the  mail  today.”?  (service,  speed)   • Was  the  transac;on  fast?  (speed)   • Did  the  cashier  thank  the  customer?  (service)   • Was  the  cashier  friendly?  (service)   • Was  the  response  quick?  (speed)   • Did  the  response  address  the  customer’s  ques;ons?  (service)   • Did  the  wording  reiterate  the  brand?  (speed,  service)   • Did  an  associate  offer  assistance?  (speed,  service)   • Was  the  associate  friendly?  (service)   • Was  the  customer  able  to  find  what  they  wanted  easily?  (speed)   Paying  Cashier   in  the  Store   Walking  Around   the  Store  
  • 18. 18  ©  Stratapult  Advisors  2013   The  marke3ng  plan—product,  place,  promo3on,  price  and  people—provides  the  framework  to   connect  target  customers  with  the  product,  and  hence  drive  sales.   Product  Place     People   Price   Promo3on   MARKETING’S  5  PS   MARKETING  PLAN   Product  types,  func;onality,   and  service   Adver;sements  for  customer   acquisi;on  and  reten;on   Distribu;on  channels,   customer  touch-­‐points   Price  op;miza;on,  considering   segments  and  profitability   Culture,  compensa;on,  and  tasks  to   support    delivering  the  brand  promise    
  • 19. 19  ©  Stratapult  Advisors  2013   A  roadmap  built  on  strategic  and  implementa3on  considera3ons  provides  the  most  effec3ve   path  toward  revenue  accelera3on.     ROADMAP  TO  REVENUE  ACCELERATION   Implementa;on:   Path  to  Desired  Des;na;on   Vision  and  Strategy:   Where  We  Want  To  Go   Current  Situa;on:   Where  We  Are  Today   Vision  and  Goals   Target  Customer  Segment   Market  Differen;a;on   Brand  Posi;on   Implementa;on  Plan   Con;nuous  Customer   Feedback   Con;nuous  Improvement   Based  on  Learnings   “Tac3cs  without  strategy  is  the  noise  before  defeat.”   Sun  Tzu,  Author  of  The  Art  of  War   Making  the  Brand  Real  –  All   Customer  Touch  Points   Marke;ng  Plan:  Promo;on,     Product,  Price,  People,  Place   Customer  Segments   Compe;;ve  Landscape   Industry  Dynamics   Company’s  Current   State—SWAT     Investment  Alloca;on:   Direc;onal  Policy  Matrix  
  • 20. 20  ©  Stratapult  Advisors  2013   An  implementa3on  plan  that  is  simple  to  follow  and  agreed  upon  by  the  whole  team  will   provide  an  efficient  roadmap  and  help  keep  expecta3ons  in-­‐sync.     IMPLEMENTATION  PLAN   KEYS  TO  EFFECTIVE  IMPLEMENTATION  PLANNING   •  Use  simple  visual  plan.  GANTT  charts  are  a  prac;cal  op;on   •  Develop  with  the  team  to  gain  buy-­‐in  and  alignment   •  Review  for  dependencies  between  tasks   •  Define  what,  when  and  how  for  each  task   •  Ini;ally  develop  the  task  level  at  a  high-­‐level  and  create  more  details  as  one   nears  execu;on  for  the  task   •  Remain  flexible,  adjus;ng  the  plan  as  new  lessons  are  learned  (customer   feedback,  compe;tor  moves,  new  ideas  from  the  team)     EXAMPLE  GANTT  CHART  
  • 21. 21  ©  Stratapult  Advisors  2013   Gaining  regular  customer  feedback  helps  keep  the  company  in-­‐touch  with  a  constantly   changing  market.     CONTINUOUS  CUSTOMER  FEEDBACK   BEGIN  NOW…   …VIA  AN  INCREMENTAL,  ITERATIVE  APPROACH,  LEARN  ALONG  THE  WAY     YOU  CAN’T  WAIT  UNTIL  YOU  HAVE  A  PLAN  BASED  ON  PERFECT  MARKET  INFORMATION,  BECAUSE   YOU  NEVER  WILL   •  Market  is  always  changing   •  Customer  feedback  is  limited.  Oren  your  idea  isn’t  a  solu;on  they  have  seen.  (Customers  didn’t  know  they   wanted  the  iPhone,  Walkman,  or  Model-­‐T  Ford  un;l  they  saw  the  product.)   •  With  a  general  understanding  for  the  market  as  it  stands  today,  your  vision  is  unlikely  to  be  so  far  off  that   lots  of  work  will  be  wasted  
  • 22. 22  ©  Stratapult  Advisors  2013     Lessons  Learned     Improvements   Ac3ng  on  lessons  learned  to  make  improvements  regularly  to  the  strategy  will  keep  the   company  nibble  and  relevant  in  the  market.     CONTINUOUS  IMPROVEMENT  BASED  ON  LEARNINGS   A  series  of  small  changes  on  the  path   to  a  larger  change  is  preferable:  lower   risk,  more  manageable,  opportuni;es   to  quickly  incorporate  feedback   Con;nuous  tes;ng  and  ac;ng  on   lessons  learned  fuels  an  ongoing   pursuit  of  op;mizing  value  crea;on  
  • 23. 23  ©  Stratapult  Advisors  2013   Are  you  a  mid-­‐sized  or  startup  company  that  is  ready  to  accelerate  your   revenue  growth?     Contact  Stratapult  Advisors  to  see  if  we  can  help!   •  From  idea  genera;on  through  implementa;on   •  Results,  not  reports   •  Typical  results:  10%  to  100%+  increase  in  profit   Learn  more  by  visi;ng  StratapultAdvisors.com  or  contac;ng  Mark  Dresdner  at  Mark@StratapultAdvisors.com   Mark  Dresdner,  Managing  Director,  Stratapult  Advisors     Mark  collaborates  with  management  teams  to  realize  revenue  accelera;on  as  an  interim  or  part-­‐;me  Chief   Revenue  Officer.  He  applies  a  hands-­‐on  approach  covering  strategy  development  through  implementa;on  for   companies  with  growth  aspira;ons.  His  experience  spans  startups  to  Fortune  500  firms.  He  has  worked  as  a   management  consultant  at  Accenture,  led  revenue  strategies  globally—including  pricing—at  Starwood  Hotels,   guided  strategy  and  pricing  at  a  $1b  avia;on  company,  and  spearheaded  growth  at  por|olio  companies  held   by  private  equity  firms.  He  has  been  designated  a  Cer;fied  Pricing  Professional  from  the  Professional  Pricing   Society.  Mark  earned  a  Bachelor  of  Engineering  from  the  University  of  New  South  Wales,  Australia   (Valedictorian)  and  an  MBA  from  the  Kellogg  School  of  Management,  Northwestern  University  (Beta  Gamma   Sigma).