Schedule a get-acquainted call (301)717-2966

A Marketing Plan For New Technology

An electronic instrumentation manufacturer had developed a new measurement technology, but was not realizing its revenue goals with the new product. The company already manufactured similar products using older technologies, and was uncertain how to transition to the new technology without simply cannibalizing existing sales.

The potential market for the new technology appeared quite large, but applications differed considerably within the market, and several different technologies were being used for certain applications. A formidable competitor had already established a strong position in the new technology, and other potential competitors were believed to be considering market entry.

Problem

  • Client needed to determine how best to allocate scarce development and marketing resources to maximize long-term revenue and profit with a new measurement technology.
  • Market potential for the product was in the hundreds of millions, but product fit and customer acceptance varied considerably in different market segments.
  • Competition was strong and diverse, coming from alternative technologies, direct competition in the new technology and even from other Client products.

RSR Approach and Methodology:

  1. Market Assessment – RSR conducted a zero-based, quantitative, global market sizing and segmentation, including a five-year view. Market size, growth rates, demand drivers and trends were examined separately for each of 16 market segments, based on geographic region and market segment.
  2. Customer Analysis – RSR developed detailed information, both qualitative and quantitative, on customer buying behavior. We identified and quantified the key factors that customers consider when selecting which measurement technology to use, which factors they consider when selecting individual suppliers, how they weight those factors, and how each customer rates individual suppliers relative to their key decision factors.
  3. Competitive Analysis – RSR profiled major competitors in the overall market, including those focused on the new technology, as well as those focused in one or more of the “older” technologies. We determined their current market position and strategy and assessed their future growth plans.

RSR Marketing Solutions conducted in-depth interviews with suppliers, customers, and other industry insiders to develop the insights used in the study. RSR is exceptionally capable of engaging industry experts in conversation, learning the “inside story” behind markets, customers and competitors.

Results

RSR rank ordered the market opportunities based on the following:

  • The segments that exhibited the greatest current and incremental dollar growth opportunity.
  • The segments where customer acceptance of the technology was the greatest.
  • The segments where competitive intensity both from other technologies and within the technology was the least.

With the segments prioritized, RSR then developed a plan to help the client triple revenues in five years. Instrumental to the plan was the determination of the key buying behavior in each of the attractive segments. By differentiating buying behavior by segment, RSR was able to recommend sales and marketing strategies (e.g. with customized solutions, strategic alliances, etc.) for the client to penetrate each segment with the new technology.

 

To learn more about RSR Marketing Solutions, see our About Us page.