Product Marketing 2.0 is the new and improved version of B2B product marketing that makes the leap from tactical order-taker to strategic market expert.
Product Marketing 1.0
- Brochure and presentation department often perceived by sales as the order takers and developers of on-demand requests for sales tools for any and all occasions.
- Organized by product and generates tons of product specific sales tools.
- Effectiveness determined by quantity of deliverables versus quality.
- Possesses archives of materials so voluminous no one knows what they are, where to find them or what they’re used for. Partially responsible for the hyper growth in the data storage market.
- Very tactical and relies on Product Management for most all of its content.
- Overall mission is to help sales compete and win with existing products.
Product Marketing 2.0
- No longer called Product Marketing. Referred to as Solutions Marketing, Industry Marketing or Segment Marketing.
- Possesses a high degree of vertical industry expertise and structured by target market segments instead of products.
- Effectiveness determined by sales win rate, revenue growth and market share in key vertical market segments.
- Develops market segment specific positioning, messaging and accompanying sales tools.
- Viewed as a thought leader and trusted advisor to sales, corporate marketing and product teams on macro-economic trends in key market segments.
- Relies on Product Management only for product level proof points that substantiate positioning and differentiation messages in each market segment.
- Overall mission is to help sales compete and win with solutions for key market segments.
Product Marketing 1.0 has become more expendable lately because it is perceived as purely tactical and no longer mission critical. However, Product Marketing 2.0 is a necessity in every company that has grown beyond start-up mode because it represents a statement of focus on key vertical markets responsible for driving growth.
The impetus for this sea change is the recent economic woes that have forced companies to veer away from the long-standing approach of incremental product enhancements across the board in favor of heavy investments in a few highly focused key products that result in game changers, a.k.a. high-impact solutions that bring a distinct competitive advantage in named market segments.
Top Three Reasons Every Company Needs Product Marketing 2.0:
- You Can’t Speak the Language of Your Target Customers Without It
If you have a migraine headache, you’ll look for a pain reliever that’s formulated specifically for migraine headaches instead of plain aspirin. If you sell to retailers, they want solutions to help drive revenue in a market where tight credit and lower consumer spending are the norm.
- Credibility of the Sales Force is Still the #1 Reason People Buy
Sales people take a lot of flak for not knowing how to sell value, but put yourself in their shoes for a just a moment and imagine having ten products in your bag, a relatively small number by today’s standards. How do you communicate a cohesive value story to a buyer when you have ten disconnected streams of product information and sales tools coming at you in random fashion? Product Marketing 2.0 gives sales teams the industry specific solutions (comprised of individual products) and the accompanying dialogue that positions them in the language of the buyer.
- Product Management Can’t Do Everything
For all the value product management teams bring to an organization, they’re product people through and through and see the world only through the lens of their products. Product Marketing 2.0 is the voice that communicates industry trends and issues to product management to ensure product solutions are properly aimed, and they’re the black box that translates raw products and features into industry specific solutions.
If your company needs to make the transformation from Product Marketing 1.0 to Product Marketing 2.0, contact Proficientz to discuss how our framework and product marketing training programs can simplify your transition from a horizontal product company to a vertical portfolio company.