Posts Tagged ‘problem’

Reconciling Freemium Model and Adoption for B2B Technology Companies

July 24th, 2014

Interesting trend that we have seen lately – B2B SaaS software firms who are dealing with an adoption problem despite their freemium offerings. It seems that they have a huge drop-off from the sign-ups on the freemium version to their paid version. Not surprising that there is a drop-off, but many feel like the drop-off is bigger than expected given the value that they provide.

We have seen this before with a client that we worked with so I feel confident that I can guess at some of the root issues:

  • Sales Team – They are selling a somewhat complicated solution without a direct sales force substituting a free experience for sales management. For many less complex, consumerized applications this is an appropriate model as the cost of sales does not support the cost of the application.
  • Adoption – For the more complex applications, the challenge for the larger organizations is getting people to buy into the application – intellectually, emotionally, and operationally. Freemium does not mean it does not have a cost to the buyers. Continue reading “Reconciling Freemium Model and Adoption for B2B Technology Companies” »

Buyer Adoption – What is Different?

April 22nd, 2014

How do you really understand the buyer’s problem in the adoption process as they go about solving that particular problem. If you think about it, buyers don’t care about technology, products, solutions, services, etc. They start with a painful situation.

Think weight loss. I know I need to lose weight, but the pain of dieting and exercising outweighs the benefits of a healthy lifestyle. UNTIL, doctor tells me I have to do it for critical reasons or I find the pain of living with the extra weight has become more painful than losing the weight. Just because something is important, does not make it urgent. And vice versa, just because something is urgent, doesn’t make it important. The key to adoption is matching what you do to what I want AND need.

Because adoption is really not about product adoption either, it’s really about how buyers measure success and what they have to adapt/adopt to solve the root problem to their pain. Adoption to the buyer is the buyers’ recognition of pain through to resolution of the underlying problem. So the way we’ve been measuring customer experience, in the market today, is how well did I set expectations and how well did I deliver against those expectations. Buyers measure success based upon did it fix the “broken” problem. Not treat the symptoms, not deliver on something I didn’t really need.

Continue reading “Buyer Adoption – What is Different?” »

5 Leading Questions for Disruptively Innovative Companies

December 15th, 2013

If you haven’t read my last post Innovators Dilemna http://www.socialgastronomy.com/?p=1939, this post is going to be a nice list of questions that are nice to think about in your spare time; between 9:02PM and 9:17pm on Sunday night after the kids go-to-bed and before your prep for the week.

If you have read that post, you will be coming to the conclusion that you need to fix buyer adoption NOW. Its not a nice to fix, but a must fix if we are going to monetize this amazing technology we created. You have come to the uncomfortable realization that nobody buys technology these days. They buy solutions to fix major problems that they cannot fix on their own. Must have purchases or die. You are NOT in the technology business, but in the MUST FIX OR DIE business. So, with that said, what are the 5 leading questions that you MUST FIX OR DIE for your Disruptively Innovative, but Complex business?

1. How do we find more opportunities? In-market would be nice if we ACTUALLY had a market yet, but we need a more effective way to scale finding more pre-market opportunities before our sales team runs out of people in their networks.

Continue reading “5 Leading Questions for Disruptively Innovative Companies” »

Crossing the Real Chasm for Buyers

May 21st, 2013

A couple of leading questions that I think will frame the discussion. What is the difference between:

1. Pain versus Problem?

2. Solutioning versus Decisioning?

3. Solution Adoption versus Buyer Adoption?

4. Solution Delivery versus Problem Solving?

5. Peer-Influenced versus Vendor-Driven Decision Support?

If you can’t diagnose the REAL underlying problem that is the causation of the symptomatic pain that buyers are experiencing – think strategic, cross-functional business problem that the SVP has to really make a serious, involved decision to solve versus the departmental complaints that give you an indication something is broken – then it is really hard to facilitate the complex decisions they need to make to solve the problem.

If you are not solving the problem, you are really looking for pain to match to your solution’s value proposition. May solve the real underlying problem, or not. Solutioning is not problem solving. Buyers are looking at adoption as “what do I need to solve a painful problem?” while vendors look at adoption as “What do I need to do to get a buyer to buy my technology solution?” The disconnect creates a huge risk for the buyer which grows exponentially with the number of depts/people involved with decision, complexity of the technology, complexity of the implementation, cost of the solution, and the length of the project. Add in the need to get people trained and using the system fully to see the value and you wonder why buyers are hesitant to move forward, fear the unknown, and feel like most projects fail to meet their expectations? Continue reading “Crossing the Real Chasm for Buyers” »

Cause and Affect

April 5th, 2013

Wait, I can hear my Chief Grammar Editor screaming “NOOOOOOO” it is supposed to be effect. Stick with me….

You wake up one morning with a sore knee. A shooting painful, throbbing awful kind of ache that flashes mortality across your brain even before you have had your first cup of coffee. A sufficient enough pain that you use your coffee to wash down the multiple Advil. And then you wait, hoping the pain will go away. The ache subsides, but the deep pain does not. Sufficiently painful that next step is to schedule the doctor’s appointment. Given the location of the pain, you go straight to the orthopedist given the proximity of the pain rather than your general doc-in-the-box down the street. Not wasting time messing around with this amount of pain.

After the nurse takes your symptoms, pokes and prods a bit, and then leaves for an hour; in pops the doctor who introduces themselves and then tells you that based upon your symptoms, that he needs to schedule you for an amputation and he can fit you in tomorrow. WHAT!!? “I am the best amputation specialist in the country, don’t worry. You will be fitted with a great prosthetic and you will only occasionally have phantom pain.”

Hmmm. Can we second opinion? What if the second one said that you need the latest drug protocol to rebuild cartilage.  He is the leading expert in the country and is one of the owners of the drug company. Only run you $25,000 per pill for a 3 month treatment course.

And so on and so on…. You probably would pop on to the internet and see what other people had done to fix their knee pain and see if you could diagnose it for yourself.

Or like most people these days, before you scheduled the first appointment, you would have gone online and searched for your symptoms to find out what might be causing your pain. Could it because you were overdoing last night dancing? Tripped and fell down? Could it be the amount of training that you have been doing lately? The good news is that you will find lots of opinions. Bad news is that you will find lots and lots of opinions, misinformation, and noise. Just useless noise.

What is the point of the above story? The doctors did not help you diagnose the underlying problem. They just went from painful symptoms straight to treatment option. The peer information online had too much information that confused the symptoms and the possible underlying problems making it impossible to diagnose which symptoms were really directly caused by which problem.

Welcome to the world of being a buyer in your market. Answer a simple question, what problem do you solve and for whom? Hints: Continue reading “Cause and Affect” »