Brand Identity and Development

Brands for business-to-business products and services tend to be highly product centric and rationally based, except for companies which target the small business market (a segment that exhibits consumer characteristics). The focus on developing a business-to-business brand is on improving the product experience (e.g., customer service), reducing the overall risk (e.g., product quality) and improving the perceptions of value.

Our proprietary methodologies include interviewing all relevant
parties, such as customers, channel members and other
market players to identify and understand the top of mind
associations across four key dimensions:

  • Brand as a product
  • Brand as an organization
  • Brand as a person
  • Brand as a symbol or image
Back to Top


Product/Service (or Brand) Positioning

We identify the current positioning within a market and determine the optimal positioning to increase market share and margin. By comparing the strengths and weaknesses of each competitor with the most suitable market segments, one is able to identify potential opportunities for repositioning. In addition, we
identify the value propositions for each market segment that will provide a strategic competitive advantage.

One of the tools that we use to determine the current position is a gap analysis for each significant competitor to identify strengths and weaknesses. Other tools may include cluster and factor analysis to determine overall positioning in large and diverse markets.

Back to Top

New Product/Market Commercialization

The overall process of new product commercialization depends on the company's experience with the product or market (see chart).

Idea Generation: We support the development of new product ideas by using internal and external focus groups to help with idea generation. Although customer
based focus groups are commonly used, we have developed a tool to help create ideas from internal resources through a focused group approach. By combining the knowledge of the client and the expertise of Robert Hale & Associates, we are able to develop successful new product concepts.

Market Feasibility (Product/Service Concept Validation): Once new ideas are generated, they should be tested in the market to determine overall feasibility of the concept. Information will be gathered from discussions with customers, trade associations and experts to provide an understanding of the likelihood of success as well as determine potential risks.

We rate the concept on 10 market-based attributes (these attributes have been extensively studied), which are then used to determine the probability of success based on prior related industry data.

Market Scan: If the product is feasible (the first hurdle), we determine the overall size, growth and competitive intensity of the market for the concept being considered. In addition, we perform a high-level analysis to determine significant strengths, weaknesses, opportunities and threats (SWOT) of the new product concept.


Market Evaluation: Market Evaluation identifies appropriate market segments for the new product based on market size, market share, competitive intensity, market maturity and other significant factors for each segment. In addition, specific major product and service needs are identified so these needs can be incorporated into the product for the appropriate market segments.

This phase provides financial forecasts using market data, similar product case studies and appropriate product diffusion curves.

Market Scan - Technology Example

The market scan allows for critical thinking and determines whether the new product meets internal and external investment requirements. This specific process can be used in technology and non-technology markets. (see chart for overall process).


Identify Applications and Key Target Markets
 The first key question is what are the applications. Although a simple question, the answer is in fact quite difficult. Understanding how the technology can be used is critical in determining the success of the commercialization of new technology.

Based on the applications we explore likely market segments and identify the drivers of adoption (e.g., why would they buy). This is an iterative process that provides us with an understanding of the potential target markets.

Refine the Value Proposition
 The value proposition must be validated and refined during the product commercialization process. The value proposition identifies key benefits that are competitively sustainable and credible to the customer. The value proposition should be from the customer's perspective (decision makers and influencers) and take into account the technology risks they face and their strategic objectives. In our experience, technology that meets strategic objectives is often more successful in gaining traction in the market place.

Evaluate Market Size, Growth Potential and Competitive Issues
 In technology markets the following information is typically provided as part of our engagement process:


Back to Top


Strategic Market Analysis

Good strategic planning depends on reliable market information. We provide the necessary information for proper strategic planning, including size of the target market, current share and market penetration. In addition, our methodology focuses on understanding strengths, weaknesses, opportunities and threats by gaining perspectives of appropriate market participants (customers, channels, competitors, etc.).

Some of the issues that are addressed in a typical engagement
include:

  • How big is the market
  • What is the market share
  • What is the competitive intensity
  • What is the competitive advantage and value proposition
  • What is the market growth rate
  • What are the obstacles to growth
  • Where are the opportunities
Back to Top


Channel Analysis and Management

We will help you manage your channels more effectively by analyzing the channels that you sell through as well as those you don't, the structure of the channels (channel mapping) and the relative market share of each of these channels. In addition, our methodology identifies
requirements and issues of the buyers, how the products are specified, importance of the products within the channels, effectiveness of marketing programs (e.g., co-op advertising, etc.) and other significant channel issues such as Internet Marketing.

Back to Top


Other Products
Market Size and Share Estimation

For market size, the metrics that are commonly used are potential market, addressable market and actual market size.

  • Potential market is the total potential associated with those who could reasonably buy a specific product or service.
  • Addressable market is a subset of the potential market that represents likely purchases and is typically based on some analytical basis (e.g., for mature technology products the addressable market is estimated by actual market size plus close substitutes within the product category).
  • Actual market size (actual sales from all competitors) is a useful estimate for very mature products where real growth opportunity is relatively small.
Macro Market Size Estimation
The methodology to determine global or country market size estimates depends on whether the competitors are concentrated or relatively diffuse and whether the product categories are large or small in terms of sales dollars. The methodologies for determining market size based on actual sales dollars are shown below:


US Micro Estimates
Robert Hale and Associates has developed special tools to identify market size and share at small regional levels (e.g., zip codes) so that sales channels and resources are properly aligned by territory.   These tools have been based on work for Cisco and other companies and have been found to be highly accurate.

Our models are based upon the following key inputs:
  • Type of industry or market segment
  • Headquarter size
  • Purchase intensity estimates (based on correlating key drivers for each industry and/or sample estimates of each market segment) for type and size of customer
  • Purchasing behavior (e.g. where are products specified)
Based on our model, we are able to generate special maps to create very useful regional information for sales and marketing (see example below).


Back to Top