What’s the difference between a solutions driven organization versus product driven, and what are the benefits?
In a nutshell, a solutions driven organization does everything from the customer’s perspective first. That customer-first approach simplifies everything across product teams, marketing, sales and client services because customer goals and success metrics are the centerpiece.
If you’re a B2B organization, here’s the scenario. Most if not all of your products target the same markets. A solutions approach brings tremendous efficiencies and yields better results on all fronts. Here are three examples.
- Company strategy, product investment priorities, marketing activities and sales initiatives are much easier because they’re based on a single comprehensive view your markets. In other words, you’re doing these things once for the entire portfolio instead of repeating them for every product as you would in a product driven organization.
- R&D investments will deliver bigger and faster ROI’s because major investments will fall to fewer products that have a bigger collective impact on the goals and success metrics of your target customers. In a product driven organization, you’re more likely using a peanut butter approach and spreading R&D resources across all products for incremental improvements that have far less market value.
- Sales and marketing activities will produce better results because you’re leading with higher level value propositions (for each business solution) that communicate strategic value to each market segment. In a product driven organization, it’s difficult to get beyond tactical messaging for each product.