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  This article is about marketing information and communication technology (ICT) products and services. Can you think of a more exciting subject? I doubt it. Even after the end of the well-famed Internet bubble, new technologies are still fascinating to us all.  

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  I C T  M A R K E T I N G (PART SIX - BASIC PRINCIPLES - cont.)  
   
 

Basic Principles & Definitions (end) & Marketing Strategy

Of 'Reverse-Engineering' Marketing

The last type of marketing approach that we will describe here is far less popular than the former three (please note that this list is not meant to be comprehensive). French researchers Michel Desmarest and Georges Krycève (CEO of income International, a Paris-based consulting outfit specialised in marketing and innovation) [24] developed this methodology more than ten years ago [25] .

 
   

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‘Reverse-engineering marketing [26] ’, in a way, means designing products or services based on customer feedback. But it goes way beyond the simple and straightforward analysis of customer dissatisfaction. As a matter of fact, ‘Reverse-engineering marketing’ actually paves the way for product and service improvement and it is not just a matter of analysing user or customer dissatisfaction. The principle guiding Reverse-engineering marketing is the following: “It must be easier to improve something that people know about, rather than ask them to specify what they ignore or even fail to understand”. This basic principle is key to ICT marketing success in more than many cases. Reverse-engineering marketing is in fact the best of both worlds: the perfect match between demand-centric and offering-centric marketing. Reverse-engineering marketing favours real-life product/service testing as well as community-work with one’s clients in order to improve one’s products until customer satisfaction is fulfilled. This is how concepts and new ideas –however eccentric- can be developed, in real-time, in real-life. Besides, Reverse-engineering marketing is a great means of establishing a special relationship with your clients as well as getting them involved in the product-design process. And God knows that most of them like that, for it puts them in a role that is far more rewarding than that of mere ‘consumers’.

Microsoft certainly were one of the first to implement such an approach on a global scale. They indeed managed to generate a certain level of intimacy with their clients when they asked them to participate in the design of their new product, prior to the official release date [27] . In that case, beta testers actually volunteer to test the product. Most of them are real enthusiasts who share a common passion for either the brand or the product.

Being part of the design of a new product is a sign –in their eyes- that they are also part of the company, that they are more than mere “consumers”.

Beta testers are not the result of the random sampling of a given population, they are real enthusiasts. Most shareware designers use that method in order to let their users test their products free of charges. After a 30-day-period, users who want to go on using the software will then have to pay a small fee to the software editor. Most of time, this process is carried out online. Amongst some of the most popular office desktop utilities, Jasc’s Paintshoppro imaging software is probably one of the most successful [28] .

PaintshopPro is very inexpensive and yet, most of its functionality is as good as Adobe’s very professional Photoshop suite. Besides, Photoshop is far less user-friendly than PaintshopPro. And yet, very few of paintshoppro’s users can remember what version 1 of their favourite piece of software looked like in 1991 [29] , i.e. a very immature imaging utility, hardly better than the Microsoft paint utility that came standard with Windows 3.0. Reverse-engineering marketing made it possible for Paintshop Pro to evolve so dramatically.

Strategic Marketing

Strategic marketing is in our eyes one of the pillars of marketing Management. We will dedicate a whole chapter to that theme at the end of this article.

Strategic marketing is the enabler that makes it possible to share a common vision across the entire organisation. At the heart of Strategic marketing, one can find Strategic assessments [30] which make it possible to elicit the current strategy and spell out all the strategic objectives which will guide future action. Thanks to a strategic assessment, one will be able to target actions according to the lifecycle of products and services and to establish priorities in terms of the development of new products and services. This preliminary phase is crucial for providing the necessary strategic focus. Without it, most strategic endeavours tend to end up with managers turning around like headless chickens and trying to compensate hindsight with frantic haphazard activity. Lack of focus often forces managers to multiply innovations with no apparent erason of logic. A proper strategic assessment will provide vision and guidance to product marketing but a frantic bout of innovation will never provide a strategic vision for the organisation.

On the other hand, proper strategic planning should not be mixed up with that stressful and ridiculous exercise named financial planning, which consists in projecting growth year on year based upon last year’s results and without the under pinning of a proper strategic market and product analysis. Financial planning is unfortunately very commonplace. It won’t give however any hint as to how markets night react, it mostly overlooks markets and products issues by putting more pressure on the sales force but in times of crisis, it proves mostly ineffectual. Last but not least, it almost always fails to encourage the anticipation of future issues [31] .

ICT Marketing Mapping

Figure 8: ICT Marketing Segmentation Mapping

In the above diagram I have mapped ICT marketing against two axes: one axis is showing the type of clients (consumer, SME’s, corporate accounts); the other axis caters for the level of customisation which applies to the type of product or service that is being sold. We have excluded soho clients from this diagram although they do differ from both the consumer and enterprise markets (whether they be small or medium).

From this diagram, we can isolate two main trends: on the one hand, most consumer markets are now penetrated by professional products, although such products were not aimed at them at the outset. In 2003, more than 50% of personal computers sold in France were purchased from supermarkets. Amongst such products, one can find a great number of products of a professional standard which could be used by the average white collar, if not superior. Another example is the amazing penetration of three-in-one printers –originally aimed at SME’s- within the consumer market.

 
 
Table of Contents
Part One (The Context 1/2)
Part Two (The Context 2/2)
Part Three (Basic Principles)
Part Four (Basic Principles - cont.)
Part Five (Basic Principles - cont.)
Part Six (Basic Principles - cont.)
Part Seven (ICT Segmentation - cont.)
Part Eight (ICT Marketing mapping)
Part Nine (ICT Marketing mapping - cont)
Part Ten (ICT Project Marketing)
Part Eleven (ICT Project Marketing - cont)
Part Twelve (Innovation Project Methodology)
Part Thirteen (Innovation Project Methodology - cont)
Part Fourteen (Innovation Project Methodology - cont)
Part Fifteen (Methodological toolbox 2)
Part Sixteen (Methodological toolbox 3)
Part Seventeen (Methodological toolbox 4)
Part Eighteen (Methodological toolbox 5)
Part Nineteen (Strategic Marketing)
Part Twenty (Strategic Marketing 2)
Part Twenty one (Strategic Marketing 3)
Part Twenty two (Strategic Marketing 4)
To be Continued ...


[24] Cp. the income website at http://income.fr . Their book ‘le Marketing créatique’ ISBN  2-907418-02-5 will certainly be hard to find, even in French but it was ground-breaking material which I warmly recommend.

[25] Similar concepts were developed later on by Geoffrey Moore in the updated and revised version of ‘Crossing the Chasm’ but we will only refer to Desmaret & Krycère in this article.

[26] Reverse-engineering per se is when you are redesigning a piece of software that has already been developed instead of rebuilding the software from scratch; the designer will then redesign a statement of requirement which will include existing and new functionality.

Desmaret & Krycève’s “créatique” concept was hard to translate (a mixture of creativity and technique). I decided to use the reverse-engineering metaphor instead.

[27] ‘le Marketing créatique’ by Desmaret & Krycève, Ibid.

[28] As was the case namely with the pre-release version of Windows 95. Beta testers had to pay for that version of Windows 95 in order to be able to use MS’s new OS before everyone else.

[29] Cp the official and legal ‘unlock’ procedure of Paintshop Pro at http://www.jasc.com/unlock.asp

[30] Cp http://www.lakies.com/story.html for details about the Paintshop Pro saga.

[31] Cp our original strategic assessments methodology available at http://visionarymarketing.com/stratassessment.html

 
     

 

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