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Strategy Practice
The software market experienced seismic shifts
over the past few years, with the post bubble restructuring
and the emergence of alternative business models (i.e.
ASP, open source software, etc.).
The inherent value of software however has not decreased,
and software is more than ever core to the operations
of all major corporations. One of today's key challenges
is to ensure business executives capture this value
in a timely and evident manner.
To overcome such challenges, software vendors recognize
that defining a product/market strategy is not a one-off
exercise to be completed by a low-level line manager,
rather it is an iterative approach integrating the evolutions
of the market, the competition and the internal capabilities
determined and defined by the executive team.
Overview of Strategic Issues Frequently Faced
To ensure a strong market alignment (and therefore
success upon implementation), Tioga Venture's approach
when addressing strategic issues strongly relies on
market data and facts gathered internally
through extensive research and direct, one-on-one
customer / partner interviews. Tioga Venture has successfully
implemented many strategic engagements and the examples
below illustrate typical issues in this area where Tioga
has excelled.
Value Proposition
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Client Situation
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Related Strategic Issues
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The revenue
figures are neither meeting nor exceeding
expectations.
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What are the
market dynamics? Is the product
positioning correct?
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Does it articulate
clearly how your solution addresses
the needs of your prospects - better than
any other alternative?
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We've sold our
solution to five customers, but each time
the sales process is like the first
sale of a new product.
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What are the
current customers' buying drivers?
What is the root pain addressed by
the solution?
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How to refine
the product positioning and sales
process to capitalize on first references
and expand the sales organization?
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Our software
is an out-of-the-box general purpose
solution with little customization and
we feel our clients expect more expertise
from us and our business.
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Should the software
be verticalized?
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If yes, which
vertical should be targeted first?
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And how do
we verticalize the software? ?
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Product Strategy
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Client Situation
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Related Strategic Issues
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Discussions have
started internally about meeting the market
demand for a service-oriented business
model (ASP) for some of our products.
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Would an ASP
business model really be relevant?
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Provided it is
relevant, and technically and financially
feasible, how would the ASP offering
be positioned?
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The product
offering is going to be extended
with a complementary module.
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How does this
new module impact the current positioning?
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How to position
the new module to maximize cross-sales
on the existing customer base?
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Market Strategy
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Client Situation
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Related Strategic Issues
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Sales are successful
into large accounts in the German manufacturing
sector, but expanding the target market
is now critical to reach the company's revised
objectives.
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Should another
vertical (telecommunications, financial
services...) be offered?
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What about targeting
the SMEs in the German manufacturing
sector? If so, would it be with the same
product and business model?
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Should we remain
focused on the manufacturing sector but
deploy globally?
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Growth Strategy
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Client Situation
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Related Strategic Issues
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License revenue
is flattening, growth drivers have to
be identified.
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What is your
current market share in our target
markets?
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Have cross-selling
initiatives been successful on the existing
customer base? If not why?
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What are the
most relevant organic growth drivers:
releasing an additional product, entering
a new country or a new vertical...?
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Define and implement
a growth strategy that will achieve critical
mass.
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How to position
the company to achieve the growth strategy?
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What competitors
(direct or indirect) should be targeted
as acquisition possibilities: similar
companies as ourselves within or beyond
our geographical market, or distribution
or implementation partners?
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