Francis Moran & Associates — We bring technology to market

By Francis Moran

At the peak of the dot-com and telecom bubble at the beginning of this decade, my wife, who is also a technology marketing strategist, and I often amused ourselves by imagining the response we might get if we created an entirely fictitious company and put up a website that employed all the utterly meaningless buzz words that were being bandied about at that time. I forget what we going to call the company — the name certainly had the word “solutions” in it — but I remember that we invented an incredibly persuasive mission statement that actually said nothing at all.

We didn’t think we’d get any customers, but we were pretty sure we could get some VC funding.

That little inside joke of ours came to mind this morning as a I watched a lovely little video by Made to Stick co-author Dan Heath on “Writing a mission statement that doesn’t suck.” Using a pizza parlour as example, Heath shows how an initially-quite-effective mission statement is turned into mushy pablum by the use of words that sound aspirational but that really don’t mean anything at all. Actually, it’s not that these words don’t mean anything at all; it’s that they could mean anything to anyone.

I do a lot of work helping technology companies figure out their differentiated positioning in the marketplace. This work is usually done in the same sort of group-think environment that turned “serve the tastiest damn pizza in Wade County” in Heath’s example into the mushy and meaningless “present with integrity the highest quality entertainment solutions to families.” Every time the word “solution” is suggested — and it is suggested almost every time — I implore the workshop participants to imagine the word doesn’t exist. “Now,” I ask them,” What is it that you actually do?” The answers immediately get much sharper and focused and far more meaningful.

The little joke my wife and I still wish we had managed to play on a gullible marketplace was predicated on this tendency to avoid specificity in favour of being all things to all people. In marketing, though, the joke will be on you because in trying to be all things to all people, you will succeed only in being nothing to anyone.

Technorati Tags: mission statement, Made to Stick, Dan Heath, technology, marketing, positioning

By Francis Moran

An excellent, if low-key, presentation at last week’s OCRI Zone5ive shed some interesting new light on a pervasive issue we on this blog and many other technology-company watchers have commented on before. Canadian tech ventures take a distant back to seat to their American competitors when it comes to marketing their products and services. And, I can tell you from working on both the transmitting and receiving ends of the marketing efforts of a number of British and European outfits, those guys also regularly best the Canadians at engaging with, and reaching out to, their markets.

Conventional wisdom says the Yanks, and maybe the Brits, are simply more brash than we are; natural-born salespeople, they are simply louder, more confident and more aggressive. Perhaps there’s some truth to that; certainly, I have never come across anything more doggedly relentless than a British ad-sales guy trying to get me to buy space in his publication. But putting poor Canadian performance down to our supposed more docile domestic character prevents us from recognizing a more systemic issue that Peter Hanschke, the product-management specialist who presented at Zone5ive last Thursday, brought to light in his examination of agile product development and how it encourages — even demands — a very tight fit with marketing and early customer engagement. (You can see Peter’s slides here.)

Agile product development is not a new process; it’s been around for nearly a generation. But it is particularly well suited for this era that increasingly embraces concepts like minimal viable product — swiftly develop the bare bones of a product and get it out in front of customers who will equally swiftly tell you whether they like it or not so you can decide whether to enhance or kill it. Agile product development allows for such iterative and ever-evolving product-development cycles that are highly responsive to equally dynamic market forces.

But here’s where Peter’s presentation got really interesting for this marketing strategist.

In order for the process to be effective, agile product development must embrace marketing at every stage. How can you decide what the market wants and will value if you haven’t engaged your potential customers at the very outset? How do you know if you’re meeting customer specifications and requirements if you don’t show them your still-in-development stuff and get their feedback and input? Under an agile regime, product releases are based on having created value for a customer, and how do you parse that without talking to the customer?

More interestingly, it’s not just a case of marketing contributing to the process; we marketers also gain massively. Imagine, Peter told us in a scenario that got the attention of every one of us more accustomed to last-minute demands to go market the hell out of a finished product scant weeks or days from launch, if we were able to build the entire marketing piece alongside, and in lock step with, the product itself? And because customers are inherently and intimately involved along the way, agile product development kicks out early customer references for use in media and analyst relations programs.

All music to my ears until one attendee threw a large bucket of freezing cold Canadian ice water on the whole thing.

How many people here, he asked, have ever actually worked in or for a company that used such a process? Asking for a show of hands, he found his one of the very few hands in the air.

And that’s the real issue that can’t merely be chalked up to our alleged more-demur national character. It is my consistent observation that too many Canadian technology companies are engineering-centric, rather than customer- or market-centric. Engineers love to build what they love. Regrettably, this is, far too often, a great distance from what the market would love to buy.

Peter protested that engineers hate to build things that people don’t use, and I’m sure that’s true. But he himself sharply identified a tendency whereby products are developed according to an internally produced specifications sheet and then, fully finished, are tossed over the transom to sales and marketing to go flog. He called it the old way of doing things; I’d call it far-too-persistent, even today.

This is not to say every Canadian technology venture is a solution in search of a problem. With a colleague, I have just finished a strategic marketing plan for an Ottawa company that was sharply market- and customer-focused from the outset. Consisting of a cadre of brilliant ex-Nortel optical engineers, this gang did not look at its collective capabilities and ask, as so many do, “What could we build?” Instead, they researched a number of sharp and immediate pain points within optical networking and selected a few around which huge value could be created if the right solution was developed.

Working with them was a novel experience. Unlike with most of my clients, I was not handed a finished product and told to develop the marketing plan for it. Rather, in what was sometimes a difficult process with which to keep pace, the product and its feature set were constantly in flux; every time we got together with these folks, we needed an updated briefing. Indeed, by the time we finished the plan, it was exclusively in support of a new product that didn’t even exist when we first engaged with them just a few months prior. The first product they had showed us no longer needed immediate marketing support because it had been completed and OEM’d into a major optical equipment manufacturer — the customer! — where it was perfectly meeting that customer’s requirements. (And, not incidentally, generating real revenue that was underpinning the company’s growth and its development of the next products.)

It sounds a bit chaotic but it really wasn’t. At every stage, we could evolve our thinking to make sure our analysis and market research, to say nothing of the go-to-market strategy, continued to synchronize with the product under development and the customers for which it was intended. The product closes a painful network-management gap between the optical layer and application-level IT management tools and so, for example, it posed a critical channel question: Should it be sold on a per-node basis by equipment vendors or on a per-seat license basis by the IT tools vendor? Or both? With eager channel partners in both camps, only an openly collaborative culture that embraced the feedback and input of those channels and of the end customer allowed the client to conclude which approach would best serve the market, and them.

If Peter is right and engineers want to build products that people actually use, then even the most engineering-centric technology company should embrace agile product development methodologies and the close knit with marketing that is stitched in with them. In his experience, he told me after the presentation, it is never a case of engineering resisting marketing once it has embraced agile. If so, marketers should become agile’s most overt evangelists.

Technorati Tags: Agile product development, product marketing, marketing, strategy, Zone5ive