Alignment of your Revenue Architecture with New Commercialized Offerings
You are a Small Biz. You’ve built a great product and achieved early success with a handful of customers. Congratulations!
You have an existing Revenue Architecture, although it may be early in its maturity. Revenue Architecture encompasses all the activities for generating predictable and growing revenues for B2B growth. Example processes that support are:
- Distribution: Establishing the right distribution channels to reach your target customers (e.g., direct sales, partnerships, online platforms).
- Marketing: Generating awareness, building your brand, driving demand, and developing a comprehensive marketing strategy.
- Sales Enablement: Equipping your sales team with the tools, strategies and processes to convert leads into customers.
- Customer Success: Providing ongoing support to ensure customer satisfaction, retention, and expansion, utilizing customer relationship management (CRM).
For B2B companies, especially those with complex solutions or services, growth, and scale require continuous commercialization: revision of your current offerings and the development of new offerings for market advantage.
Why Ongoing Commercialization Matters for B2B Growth Companies
- Transition from Early Adopters to Mainstream Market: Moving beyond your initial customer base and penetrating new market segments.
- Take Advantage of Evolving Market Trends: Expand and move beyond your initial offerings as the market changes or new competitive threats arise.
- Optimize Your Go-to-Market Execution: Refine your approach to reach the right customers through the most effective channels.
- Establish Thought Leadership: Position your company as an expert in your industry and build credibility with potential customers.
- Drive Customer Lifetime Value: Foster strong customer relationships that lead to repeat business and expansion opportunities.
- Successful Product Launch: Effectively introduce new products and services to the market.
- Drive Innovation: Continuously improve and expand your offerings to stay ahead of the competition.
Commercialization generally includes the following planning activities:
- Market Analysis: What are the market trends, potential new market opportunities?
- Idea Generation. What should we offer as our revised, or new offerings?
- Validation with Target Buyers. How should we survey and test the market to support our value and investment thesis?
- Product/Service Design. How do we ensure we can deliver the new value consistently?
- Revisions to GTM strategy. What is our approach to reaching the right customers through the most effective channels?
- Competitive Analysis: What are our competitive landscape and opportunities for differentiation?
- Pre- and Post-launch Marketing and Promotion Plans. What is our demand generation and program strategy for launch?
Alignment with your Revenue Architecture
However, it is also critical to review and revise the nuts and bolts of your existing Revenue Architecture to align with the promise of the new offering. Examples might include:
- Developing new brand messaging, content assets, and website support.
- Designing and developing the execution of ongoing marketing campaigns.
- Revising the selling process to make the best business case and answer new questions or objections, qualifying prospects, and increasing consultative selling.
- Changing the organization to support required cross-function collaboration, new skills, and capabilities.
- Integrating technology, including marketing automation and CRM, to streamline the effort, or tracking marketing and sales performance for the new offering.
- Developing an offering pricing strategy and optimal pricing model.
Common Pitfalls to Avoid
- Not re-aligning your Revenue Architecture (sales, marketing, customer success, account management, other) for the demands of new offerings to the market.
- Failing to thoroughly understand your target audience and their needs can lead to misaligned messaging, ineffective campaigns, and missed opportunities.
- Overlooking your competitors can leave you vulnerable to their strategies and make it harder to differentiate your offering.
New product and service commercialization is a critical dimension of a successful growth strategy. It should align closely with your Revenue Architecture for successful go-to-market (GTM) execution.
Contact me at Revenue Architects to discuss your commercialization plan.
