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I had a very enlightening talk with a sales manager at the first company I worked for. We were pioneering some augmented reality applications and really had a f
by Iv 7y ago
I had a very enlightening talk with a sales manager at the first company I worked for. We were pioneering some augmented reality applications and really had a few worlds first. As an engineer, I had thought that guaranteed us a market.
That guy explained to me that quite the opposite, that forced us to "create" the market. A thing that is like exploring a jungle with a machete, whereas marketing an existing product is like driving on a toll road. To my surprise, he explained he preferred to have competitors: you know where the market is at, the typical pricing, there are events for your field, you know the essential features, you can compete on prices and plans, users are talking about the products, know how they can use it.
We, often, met clients who had no idea what our products could achieve for them, how to use them, how to integrate it into your processes. I have learned that there is nothing more dangerous than depending on your clients having imagination for a sale. You need to spoonfeed applications.
- bsirkia 7y agoThis really resonates with me as an engineer/CTO working on a product that went into the jungle with a machete. We never anticipated how difficult it would be educate the market, so eventually pivoted to more of a "toll-road" product. There's really a second/third/fourth mover advantage that often isn't talked about, which is that you don't have to explain the entire point of your product before convincing them that your pricing makes sense and it's worth their time. When clear competitors exist, the sale is just why your specific solution is superior (more efficient, smarter features tacked on, cheaper pricing etc.)
- JohnFen 7y ago> That guy explained to me that quite the opposite, that forced us to "create" the market. Indeed. That's the underlying reason for the hoary old truism that "the pioneers get all the arrows". In terms of business, you really don't want to be first to market. You want to be second or third, so you can learn from all the first's mistakes, and benefit from the market-building that the pioneers engaged in.
- ska 7y agoI don't think it's true that you always don't want to be first. It is true that it is very different being first, and requires different skills, timelines, etc. Also worth remembering that a company doing a very serviceable 3rd to market may not actually be able to pull off 1st, and that's ok too.
- JohnFen 7y agoWell, yes, as soon as absolutes like "always" are used, the statement they're used in is most likely to be false. That said, the odds aren't in favor of the ones who are first to market (although patent ownership can change the odds significantly).
- ska 7y agoAgreed, but I don't believe the odds are not nearly as strongly against as the post I replied to suggested.