Transcript SESSION 3 - Haas School of Business

SESSION 6
MARKET POTENTIAL
FORECASTING
THE JOHNSON AGENCY 1
MARKET POTENTIAL
FORECASTING
THE JOHNSON AGENCY 2
MARKET POTENTIAL
FORECASTING
THE JOHNSON AGENCY 3
THE AGENDA
• McKINSEY ATTRACTIVENESS
MATRIX
• STRATEGIC FORECASTING
• THE NEEDS DRIVEN COMPANY
THE JOHNSON AGENCY 4
McKINSEY ATTRACTIVENESS
MATRIX: PART ONE
• SELECT A MULTI-MARKET OR SEGMENT
PRODUCT/GROUP (MAX 8 SEGMENTS)
• DEVELOP CRITERIA:
– MARKET ATTRACTIVENESS
– YOUR STRENGTH IN EACH
MARKET/SEGMENT
• DEVELOP SCORING & WEIGHTING
• EVALUATE THE MARKETS/SEGMENTS
THE JOHNSON AGENCY 5
McKINSEY ATTRACTIVENESS
MATRIX: PART TWO
• PLOT MARKETS ON A 4 BOX
MATRIX
• CREATE PROPORTIONAL CIRCLES
• ANALYSE CURRENT PORTFOLIO
• PROJECT 3 YEARS OUT
• OUTLINE STRATEGIES TO ACHIEVE
OBJECTIVES
THE JOHNSON AGENCY 6
SEGMENT EVALUATION
BUSINESS EDUCATION MARKETS
•EXECUTIVE
•POST-GRADUATE
•GRADUATE
•UNDER-GRADUATE
•DIPLOMA
•CERTIFICATE
THE JOHNSON AGENCY 7
SEGMENT EVALUATION
M
A
R
K
E
T
A
T
T
R
A
C
T
I
V
E
N
E
S
S
STRONG
H
I
G
H
M
E
D
I
U
M
AVERAGE
WEAK
1
A1
C
DEVELOP/DEFEN
D
DEVELOP
DEVELOP
MAINTAIN
SELECTIVELY
DEFEND/
MAINTAIN/
MAINTAIN
MINIMALLY
3 B
L
O
W
4D
DEFEND
SELECTIVELY
MAINTAIN
MINIMALLY
WITHDRAW
COMPETITVE POSITION/BUSINESS STRENGTHS
SIZE = POTENTIAL
PIE = CURRENT SHARE OF BUS
THE JOHNSON AGENCY 8
STRATEGIC FORECASTING
Gap Analysis
New
Strategies
Operations
THE JOHNSON AGENCY 9
FILLING THE GAP
• OPERATIONS
• NEW STRATEGIES
THE JOHNSON AGENCY 10
THE PROCESS
• ANALYSIS OF FUTURE
OPPORTUNITIES
• ANALYSIS OF CUSTOMER NEEDS
• WELL DEFINED MARKET SEGMENTS
• PRODUCTS THAT DELIVER THE
SOUGHT AFTER BENEFITS
THE JOHNSON AGENCY 11
DISCUSS
GOOD
WHAT DO YOU
CONSIDER TO BE
‘GOOD’ AND ‘BAD’
BEHAVIOUR WHEN
SOMEONE IS
SELLING TO YOU?
BAD
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
THE JOHNSON AGENCY 12
UNDERSTANDING
NEEDS
"HOW WILL OUR PRODUCT
SATISFY CUSTOMER NEEDS?"
WHAT ARE "NEEDS" ANYWAY?
HOW DO THE SALESFORCE
DETERMINE CUSTOMER NEEDS?
THE JOHNSON AGENCY 13
ACHIEVING MAJOR
SALES
"INTRODUCING THE
SPIN TECHNIQUE"
THE JOHNSON AGENCY 14
WHY SPIN
THE SKILLS REQUIRED TO MAKE A
HIGH-VALUE SALE ARE
DRAMATICALLY DIFFERENT FROM
THOSE NEEDED TO CLOSE A
RELATIVELY LOW COST ONE
THE JOHNSON AGENCY 15
OBJECTIVE OF SPIN
TRAIN EVERYONE TO FOCUS ON
CUSTOMER NEEDS RATHER THAN
PRODUCT FEATURES
TEACH EVERYONE HOW TO LISTEN
THE JOHNSON AGENCY 16
GAINING CONTROL
MANAGEMENT
– FOCUS ON STRATEGIC
ALTERNATIVES
– MATCH CUSTOMER NEEDS TO
CAPABILITIES
– LEVERAGE YOUR INFORMATION
STRENGTH
FRONT LINE STAFF
– CO -DEVELOP & COMMUNICATE
STRATEGY
– USE INNOVATIVE TECHNIQUES
THE JOHNSON AGENCY 17