New Market, or New Product?

On Monday Nov 29th, I had the opportunity to participate in a panel discussion at the MIT Enterprise Forum, Software Special Interest Group, titled "Marketing II – New Market or New Product." We were to share our experiences in bringing new products to existing markets, and/or creating new markets. Then, we were asked to impart our wisdom to the assembled crowd in the form of advice on which direction to take. 

In an audience of 30 successful entrepreneurs, Sloan candidates, and HBS candidates, I was certainly not the brightest bulb. The panel included Ken Rugg, formerly SVP and GM  of Enterprise Business Solutions at Progress Software, and Kathryn Roy, Managing Partner of Precision Thinking, and me. I had never set foot inside an MIT building before Monday, and here I was inside an MIT classroom at the spot usually reserved for the teacher. 

I felt that I was the least qualified guy in the whole room, let alone the panel. So what does a UMass Amherst grad with no MBA, a couple of small wins, and a couple big losses have to say that anyone in this audience would care about? I was playing the part I love the best - underdog.  I volunteered to go first. I spoke from the heart about what I felt I learned from my (limited) experiences. 

New Product -> New Market: I talked about my time at PermissionTV, bringing a new product into a new market. I do not recommend it to other startup marketing folks. Creating a category, placing your product in that category, generating demand where there is no existing demand, all while building a product that will (hopefully) satisfy the demand. All with the investors, and board, and competitors breathing down the back of your necks. Not easy stuff. But, if you are a funded company building a new product/new market, chances are you are part of a wave of something new and exciting. It's easier to get attention from press and early-vangelists. 

In short, the responsibility for creating awareness about your product, proving its value, and shaping how the audiences perceive it, lies with you. Where on the one hand you have investors and stakeholders pressurizing you, on the other, being part of a ‘hot’ new trend or space can be equally daunting. 

Existing Product -> Different Market: I discussed our challenge building EditMe, executing a pivot that will take  an existing product into a different, but existing market. Speaking solely with my startup marketing hat on, I would say it's not nearly as difficult as the new product/new market challenge. You can compare your product to things that already exist, which makes it easier for potential customers to understand how you are better than the competition. On the downside, EditMe technology is "old" by the standard of the VC and Tech Elite, so less people care about it. This is one of the biggest challenges, bringing excitement to something which has existed for a long time, isn’t exact;y innovative, and despite solving a problem that several people face, it does not exactly capture a lot of people’s attention or interest. 

A great time was had by all. It was a great event hosted by the Software SIG committee, and special thanks to Vineet for inviting me to come down and speak. Hopefully I didn't annoy the other panelists too much. Below are some slides I discussed.

Learning: This panel discussion came as a revelation for me, making me realize that irrespective of which path for marketing a startup may choose, it will be tough. And just as how it will have its own set of challenges, it will also bring a unique set of rewards. Whether you choose to build a new product, or to take an existing product to a new market, to a different audience base, you will face challenges, however, it is critical to remain authentic in the value you offer, remain agile, and iterate based on feedback. This is perhaps the only mantra that will help your startup rise.