Cannibalisation strategy 2013_slideshare

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Cannibalisation Strategy ... and its relation to product introduction, segmentation & pricing - the Keynote Remake - @ReggyMortier - Mobile: 0478 25 25 16 @ the most “Ghent”-ile of cities 2013 1 Monday 20 May 2013

Transcript of Cannibalisation strategy 2013_slideshare

Page 1: Cannibalisation strategy 2013_slideshare

Cannibalisation Strategy... and its relation to product introduction, segmentation & pricing

- the Keynote Remake -

@ReggyMortier - Mobile: 0478 25 25 16@ the most “Ghent”-ile of cities2013

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Monday 20 May 2013

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“longest” record

“Secure” timing

“High” success rate

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All other yield a

!!!! 4% !!!!

success rate only

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Determine Control Secure

Crucial success factors

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Determine: to fix or find out precisely, calculate

“Product” Life Cycle - Monitoring

Crucial success factor 1

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Determine the right moment by monitoring the Profit contribution

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??? RED ???Engineering?!

Product Management?!

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New markets act on different timings

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New solutions act on different timings

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Control: be in command of, manage, restrain

Portfolio (Product Line) Management

Crucial success factor 2

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Control by strategically using ....

Cannibalisation

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Lost Profit byBad Cannibalisation

Cannibalisation risknot so much unlike in the movies ...

at least for the product manager’s career ...which will be short-lived

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Is it relevant to your business ?

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Worst case example ...

http://bit.ly/kn4bio

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Cannibalisation & Competitive Loses

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What about the best in class, like ...

What is that ?!?!

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BIO-MIMICRY story

Eliminate Competition

- Procreation -

Secure Food For Offspring

- Procreation -

Cannibalise for maximum RETURN only

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Cannibalise for maximum PROFIT only

Chapter 11

Cannibalisation as competitive strategy

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0

3000

6000

9000

12000

2005 2006 2007 2008 2009 2010

30

00

60

00

Cannibalised Profit

Profit 2 CompetitionRegained Profit

12

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0Profit contribution with each sold unit

90

00III

III

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-10000

-4500

1000

6500

12000

2005

2006

2007

2008

2009

2010

90

00

III

Resulting profit contribution & RoI

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NPI was 2 years 2 early

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Secure

Secure: make certain or safe, succeed in getting

Customer Engagement & Phased Introduction

Crucial success factor 3

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Not only to avoid the “Voice of the Customer” TRAP !

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by sharing & hence mitigating the risk of NPI

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But foremost to create customer delight !

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Determine the right moment by monitoring profit contribution

Control the right moment bystrategic cannibalisation

Secure the right moment bycustomer engagement & phased introduction

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Monday 20 May 2013