B2B Technology markets can make switching by the customer too easy. Existing or legacy technology can become too cumbersome to use . Or refuses to realize its promise after trying for years. The client, in despair, becomes willing to try a new supplier. That supplier is willing to transfer the legacy system.
The solution is not to become sticky by merely embedding your technology in the customer’s processes. Or make the customer a hostage to your technology. Instead, it’s useful to think of what we learnt in the industrial B2B era as we continue to compete in the knowledge economy.
Gen X( Born 1965-1980) was willing to go along with the Baby Boomer/Jack Welch leadership style. Gen Y or Millennials ( Born 1981 to 1996) and Gen Z or Zoomers (Born 1997 – 2012) are very different. Gen Y and Z in the workforce and with the Great Resignation since the pandemic and 2021, we thought it was timely to rethink the Jack Welch style as discussed in our very popular posts on Jack Welch. When Satya Nadella took over as CEO of Microsoft in 2014, he made the reading of “Nonviolent Communication” by Marshall B. Rosenberg compulsory for the top management. Nadella’s predecessor Steve Balmer followed a version of the Jack Welch approach without the candor that Jack promoted at GE.
The holding company for Google is Alphabet (stock market symbol is GOOGL but company name is Alphabet inc.). We found it interesting that although the holding company is called “Alphabet inc.” Google’s entire purpose is not to organize alphabetically. Instead the goal is to show results that meet the searcher’s search intent. For more on how Google thinks see our updated post from 2017 on “Getting found on Google.”
Enter big, bad, old world, clunky Microsoft who acquires Github last year and the Internet exploded with jokes. Both Bill Gates and Steve Balmer were tough industrial age managers and Satya Nadella realized that the world had changed- see “How Microsoft got its groove back.”Command and Control” and top down strategy days are over in the knowledge age.
Big Consulting firms are competing with Big Advertising agencies according to E.J. Schultz in the current issue of AdAge. Big consulting firms like IBM, Accenture , PwC and Deloitte are growing their digital marketing practices and competing with big ad agencies like WPP, Omnicom, Interpublic, Dentsu etc. for digital marketing work. Here is a quoteContinue reading “Why Big Consulting is able to compete with Big Ad Agencies for Digital Marketing work”
Over the last week there were two speakers who influenced this post. The first was the famous goal setting expert Gary P Latham who spoke at Yale University. And the second was Bob Bowman, (Michael Phelp’s coach) who was interviewed on NBC for his new book “The Golden Rules.” It also turns out that ourContinue reading “Why forward looking performance “previews” for business are better”
You may not realize that US sales force compensation spending is over three times advertising spending. In 2006 sales force compensation was $800 billion, Meanwhile US advertising spend is estimated at only $187 Billion, in 2015. Sales is the world’s second oldest profession and its compensation is an evergreen question in sales for thousands ofContinue reading “Why sales force compensation is over three times advertising spending in the US”
Managing customer expectations is a challenge. More so if you are a service provider.Products tend to be tangible and you are working against a drawing,specifications and a contract that is clear. Services in contrast, are intangible, and its all about the customer’s perception that the expectations were met or exceeded. If expectations are met orContinue reading “Four Tips to Manage Customer Expectations”
Frank,regular and constructive feedback is hard to give or receive in any work relationship. For example, HR performance appraisals are dreaded by both the boss and the employee. If you are a great leader your employees deserve to know how they are doing on a frequent basis , according to the legendary Jack Welch (Also seeContinue reading “Why it’s hard to share feedback in B2B Markets”
B2B customers buy everything for some value addition to whatever business they are in. In contrast, B2C customers buy for personal satisfaction. B2C customers do not plan to sell something on eBay at the time they decide to buy.