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The need for periodic introspection of target market – Part I

As the old adages goes, change is the only constant and change is inevitable. But high-tech industry is undergoing so many changes at a rate faster than anyone can ever fathom. We are witnessing rise and decline of technology giants in a short span of a decade. Moreover the intensity of changes that we are experiencing in the last 2 decades (at least since mid 90’s) is much larger than changes that occurred in the previous 5 decades. The belief was further reinforced after I read an article titled ‘Bye Bye BlackBerry. How Long Will Apple Last?’ The article was also raising doubts on the longevity of Apple in retaining its supremacy. Coincidentally there was another article in Forbes that was speculating about the possible disappearance of Google and Facebook in 5 years.

Even though the thought that Google and Facebook will disappear and Apple will lose its supremacy is unbelievable and daunting, I decided to have an open view that anything might possible and start contemplating possible ways to arrest the decline of any technology giant. So the blog posting is to share some of my thought process on those lines. The decline of all the technology giants is directly correlated to the decline of their respective flagship product(s), so let us focus on how to arrest the decline of their flagship product(s). Rather than saying decline, I would prefer to use the term ‘Inflection point’. Let us discuss how we can ensure that the product does not hit the ‘Inflection Point’. There are several stalwarts who have done a thorough research on this topics and authored great books. Some of my favorites are ‘Innovators Dilemma’ and ‘Innovators Solution’ by Clayton M. Christensen and ‘Only Paranoid Survives’ by Andrew Groove. I am not an expert or genius to talk anything beyond what those gentlemen have already elaborated in their books, I am just trying to use some of their concepts and focus on the very basic concepts of product marketing/product management.

Every product is conceived to either solve the pain points or enrich the experience of target market. So every organization has to constantly re-invent and consistently raise the bar of innovation to ensure that their products(s) is aligned to the changing needs of our target market.

In rapidly changing high-tech industry, there is an imperative need to constantly introspect to check whether a product is still relevant to its target market vis-à-vis competition. One significant reason for any product to get into sunset mode is that the product has lost relevance in target market. With that intention, I have basically arrived at a few set of questions (presented below) to help us validate how a product is positioned to serve its target market. Candid and honest response is critical to validate relevance of the product in its target market.

1.      Is the target market still bigger enough to satisfy the growth requirements?
2.      Are the requirements / product preferences of target market still remaining same?
3.      Is competitor offering better value proposition by raising the bar of innovation?
4.      Is our product getting commoditized?
5.      Can the target market be served by any alternate product?
6.      Is the target market over served?
7.      Can the product satisfy any unmet needs of adjacent market?

I will elaborate on each of the above questions in my subsequent blog post. I will also attempt to address whether answering each of the above questions would suffice to arrest the decline of any product.

 

Appreciate your thoughts or opinions