Market Disruption - B2B Market Research Case Study
Background
Market disruption usually happens very quickly, is unforeseen, and can change the competitive landscape within the market overnight. As an example, a start-up company had developed software technology using Google Glass. Their vision was to provide experienced technicians on call to junior level field workers who would utilize Google Glass. The junior field worker could call in, allow the expert to see what they were seeing, and the expert could diagnose the problem and guide the field worker in repairing the problem. The process could be utilized in building and construction, remote auto or truck repair, HVAC system repair, boiler repair, remote manufacturing plants, and for product technical support and warranty claims. By reducing the size of the senior staff, and eliminating their travel, the system cost would be greatly reduced while increasing the overall effectiveness of outcome by the involvement of senior level talent.
Challenge
The company, GG Technology, asked Priority Metrics Group to help narrow their business development efforts to the market segments that held the greatest attractiveness and potential. They wished to understand the size of each market segment, the typical decision making process, and current in- and out-of-class competitors – using alternative technology or traditional fleet management techniques.
Within the segments deemed most attractive, GG Technology wanted to elicit key pain points with current processes, leading to an assessment of the GG Technology and its economic value. PMG was asked to use this information to develop a business model to reach key customers, as well as identify specific prospective customers with contact information.
Solution
PMG developed a market definition using international industry standards. We then sized the market and each segment using available data from published reports, US Economic Census, and proprietary research. Using a selected list of criteria, we evaluated the attractiveness of each segment. For the three segments identified as most attractive, we conducted a thorough and detailed investigation to confirm and identify:
- Key performance attributes – table stakes and critical factors
- Vendor selection process and steps where GG Technology could insert and influence the outcome
- Other issues including budget, redundancy, prevalence of contracts, switching costs, and preferred methods and frequency of communication
- Cost control mechanisms used
- Elements of value proposition
From the PMG work, GG Technology was able to confirm and finalize product development efforts, refine marketing strategy, and accelerate revenue acquisition dramatically.