solution marketing lessons from the apple ipad - steve robins at barcamp boston, april 2011
DESCRIPTION
So you think that the Apple iPad is successful because it’s cheap and easy to use? It turns out that there’s much more behind the success of the Apple iPad. During this session, we’ll talk about how the iPad is at the center of a large customer-oriented solution. You’ll also learn how this solution is driving the iPad’s success and the key lessons you can use to drive successful solutions in your organization. Steve Robins has been helping companies to transform their marketing focus from technology platforms to customer-oriented solutions — for over 10 years as a senior marketer, strategic consultant, and tech analyst. Steve is also the founder of the top-rated SolutionMarketingBlog.com. Steve is director of product marketing at FirstBest Systems, the leading provider of insurance underwriting solutions. Previously, Steve founded the strategic marketing consultancy, Solution Marketing Strategies. Steve has also served as director of industry and solutions marketing for EMC Documentum, VP of product marketing and VP of partner development at KANA Software, and senior analyst for Web applications at The Yankee Group.TRANSCRIPT
Solution Marketing LessonsSolution Marketing LessonsSolution Marketing Lessons Solution Marketing Lessons From the Apple From the Apple iPadiPad
Steve RobinsApril 9, 2011
© 2011The Solution Marketing Blog
Steve RobinsSteve Robins
10+ years in solution marketingExpertise in product solution and industry marketing– Expertise in product, solution and industry marketing
– Experience: FirstBest Systems, Solution Marketing Strategies, EMC Documentum, KANA, The Yankee Group
Founder, The Solution Marketing Blog, Top-rated solution marketing blog
Inbound Marketing Certified Inbound Marketing Certified Professional
LinkedIn.com/in/SteveRobins1
Twitter.com/SteveRobins
SolutionMarketingBlog.com
www.SolutionMarketingBlog.com p2© 2011
Apple Apple iPadiPad… Is This a….… Is This a….
Tablet computer?Product?
A t?Art?PC?Post-PC device?Media platform?
Tablet Device
www.SolutionMarketingBlog.com p3© 2011
Apple iPad
Apple Apple iPadiPad… Is This a….… Is This a….
ContentContent Consumption pSolution
Tablet Device
www.SolutionMarketingBlog.com p4© 2011
Apple iPad
Apple Apple iPadiPad… … Actually, It’s a Content Consumption Solution…Actually, It’s a Content Consumption Solution…
Pictures Movies
Tablet Device Music Apps
www.SolutionMarketingBlog.com p5© 2011
Apple iPad Email, Games, Productivity, more
…With Integrated Tools to Obtain Content…With Integrated Tools to Obtain Content
MusiciTunes
Apps, Mag. Subscriptions
AppStore
Bookstore BrowserTablet Device
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iBookstore SafariApple iPad
Why It Matters Why It Matters –– Putting It in PerspectivePutting It in Perspective
Overall PC sales dropping from 15% growth to 10.5%
because of tablets. because o tab etsConsumer laptops hit most.
(Gartner 2011)Apple share will drop fromApple share will drop from 86% today to 75% as new products enter the market
that Apple createdthat Apple created
www.SolutionMarketingBlog.com p7© 2011
Apple Apple iPhoneiPhone/iPod//iPod/iPadiPadQuarterly Shipments 2011 (Calendar Quarterly Shipments 2011 (Calendar QtrsQtrs))
50
35
40
45
ped
20
25
30
iPhone
iPod
Ipad
ns o
f Uni
tsS
hipp
5
10
15
Mill
ion
0Q1 Q2 Q3 Q4
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Why It MattersWhy It Mattersrs
Main StreetThe Chasm
Cus
tom
er The Solution Opportunity
The Tornado
ativ
e %
of
End of LifeE l Lif Bowling
Tablets
Early AdoptersVisionaries
InnovatorsTechnology
Early Majority/Pragmatists
Late MajorityConservatives
LaggardsSkeptics
Time
Rel Early Life Bowling
Alley
VisionariesTechnologyEnthusiasts
Pragmatists Conservatives Skeptics
Customers want technologyand performance
Customers want solutions and convenience
www.SolutionMarketingBlog.com p9© 2011
and performanceSources: E.M. Rogers, G. Moore
What is a Solution Anyways?What is a Solution Anyways?
so·lu·tionnoun \sə-ˈlü-shən\
a: an action or process of solving a problem
b: an answer to a problemb: an answer to a problem
www.SolutionMarketingBlog.com p10© 2011
Why Solutions?Why Solutions?
C t t tCustomers want to solve problems orsolve problems or meet needs.They do not want to buyThey do not want to buy products.
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p
The Content Consumption The Content Consumption Problem/ManifestoProblem/Manifesto
I want lots of content I want different types of content
I d ’t t t k h d t t th t I don’t want to work hard to get that content I don’t want to use different devices for
that content I want it to be easy
www.SolutionMarketingBlog.com p12© 2011
What is Solution Marketing?What is Solution Marketing?
so·lu·tion mar·ket·ingnoun \sə-ˈlü-shən\ˈmär-kə-tiŋ\
The process of definingThe process of defining, educating, and providing access
to complete and integrated l tisolutions
that deliver value
by helping customers to solveby helping customers to solve their problems.
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S l ti St tS l ti St tSolution StrategySolution Strategy
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Complete Solution to the Customer’s ProblemComplete Solution to the Customer’s Problem
Solution
People
ProcessServices/Support
Technology/Product(s)s
Content/
SupportProduct(s)s
Content/Information
www.SolutionMarketingBlog.com p15© 2011
Complete Solution to the Customer’s ProblemComplete Solution to the Customer’s ProblemSolution
People• User interfaces• TrainingTechnology g• Support• Best practices• Domain expertise
gyOEM & Partners• Hardware and
infrastructure• Applications• C l t
People
Process • Process optimization• Integrated experiences• ROI studies
• Complementary technologies
• Integrations• Custom coding
ProcessServices/Support
Technology/Product(s)s
Reengineering
Content/Information• Data ServicesContent/
SupportProduct(s)s
Data• Content, documents,
images• External data sources• Data security, data
li i
• Communications services, hosting• Support• Strategy• Project management• Risk management
Content/Information
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policies Risk management• Custom coding• Integration services
• Consumer /Enterprise• Enterprise• Consumer /Enterprise• Enterprise
The Apple The Apple iPadiPad SolutionSolution
Ease of use Integrated experience C i di l
Accessories
Crisp display Not designed for one
particular userPeople
Maps
Tablet
ProcessServices/Support
Technology/Product(s)s
TwitterIntegrated Stores
Apps/Mags
Music StoreContent/
SupportProduct(s)s
65k apps
Music
Photos
Books
YouTube (free)Videos
Content/Information
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Browser Books
Solution ScorecardSolution Scorecard
Dimension Rating CommentsCompletenessp
• People/users, fit to needs 4 Exceptional experience but users not ID’d
• Process 4 Integrated; multiple stores may be confusing
• Content/Information 5 Full breadth• Content/Information 5 Full breadth
• Technology: Hardware and software 5 Excellent breadth and quality
• Services & support 4 Mobile – cell, WiFi
Strategy• Differentiated offering – unique in market 5 Unique
• Partners: includes tech, apps, and content 3 Includes many techs – lacks Adobe Flashpp
• Partner-friendly business model (win-win) 2 EvolvingLow points: subscriptions, friction over book prices
Total 32/40
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Total 32/40
S l ti M k ti St tS l ti M k ti St tSolution Marketing StrategySolution Marketing Strategy
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Traditional Marketing Traditional Marketing –– 4 Ps4 Ps
Promotion
PThe 4 P’s
Product Price
P PPlace
P
www.SolutionMarketingBlog.com p20© 2011
Derived from SIVA model, Chekitan & Dev
Solution Marketing StrategySolution Marketing Strategy
The 4 P’s - updated
“Where can I learn more Education about it?”
SEVASolution Marketing
Solution Value“How can I solve my problem?”
“What is the benefit and total cost of this
l ti ?Access
solution?
“Where can I find it?”Where can I find it?
Solution Marketing answers 4 customer questions
www.SolutionMarketingBlog.com p21© 2011
Derived from SIVA model, Dev & Schultz
Solution MarketingSolution MarketingEducation Education –– MessageMessage
Education
Customer: “Where can I learn more about it?”
Message – It’s About Relevance
Customer: Where can I learn more about it?
–Speak the customer’s language–Business benefits, not technical features
Match the message to the reality Create a dialog with the marketCreate a dialog with the market
www.SolutionMarketingBlog.com p22© 2011
ValueValue--Based PricingBased PricingValue
Value = Benefit - TCO
Assume that vendor charges fair price
enef
it ($
) for features provided
BenefitCustomerBenefit Unneeded features
Lost revenue
Bus
ines
s B
BenefitCustomerBenefit Price
C D
B
BA
Poor Value Fair ValueHigh Value Fair Value
CustomerBenefit
CustomerBenefit
Poor ValueUnneededfeatures
Fair ValuePrice matches benefit
High ValueLost software revenue
Fair ValuePrice matches benefit
Solution use-case drives benefit and value
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Solution use case drives benefit and value
Solution MarketingSolution MarketingAccessAccess
Access
Customer: “Where can I find it?”Customer: Where can I find it?
Customer-friendly sales:y– Where, when how the customer wants to buy
iPad: access to iPad device as well as apps, contentcontent
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Solution Marketing ScorecardSolution Marketing Scorecard
Dimension Rating CommentsEducation and EngagementEducation and Engagement• Relevant, targeted message 5 User-speak, not tech-speak
• Message matches reality 5 User experience is consistent with reality
• Company engages in dialog with the 4 • Apple speaks with its actions• Company engages in dialog with the market
4 • Apple speaks with its actions• Apple SVP Prod Marketing ranked as top
social CMO• Minimal social media• Heavy on branding, experience
U i ht h l t h th di 5 • Message reaches market broadly• Uses right channels to reach the audience 5 • Message reaches market broadly
Value• Customers willing to pay solution price 5• Does not include low-value features 4 Apple is leader in spare design
• Does include features customers want 4.5• Price is profitable to the vendor 5
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p 5
Solution Marketing ScorecardSolution Marketing Scorecard
Dimension Rating CommentsAccessAccess• Product available through channels
convenient to customers3
• Solution components available through 5p gconvenient channels
• Sustainable business model for partners 3 Tradeoff: volume for lower profit
• Partners offer quality products 5 App certification program
Solution Marketing 53.5/60
Solution 32/40
Total 85.5/100
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100
Apple Apple iPadiPad -- Solution Marketing Lessons Solution Marketing Lessons
Solution approach can revive weak marketSimple deviceSimple deviceIntegrated user experience g pMust be win-win for channel
www.SolutionMarketingBlog.com p27© 2011
Thank YouThank You
Steve Robins [email protected]
LinkedIn com/in/SteveRobins1FounderSolution Marketing Blog
LinkedIn.com/in/SteveRobins1
Twitter.com/SteveRobins
SolutionMarketingBlog.com
www.SolutionMarketingBlog.com
www.SolutionMarketingBlog.com p28© 2011