Listening to the market

/ Robert Pease / Leave a comment

I know I have touched on this before in previous posts but it is on my mind a bit so thought I would share.  Building and launching a new product or service is an exhilarating task – I have come to realize I really like figuring it all out.  I also learned a long time ago that building what you think the market wants is perilous without embracing those you will target as buyers early and often.  Opinions are like, well, you know. 

This task is even more complicated when you are building for a new or emerging market or even trying to stimulate growth through a new product or service offering.  What is best for you and your company does not always align with market realities.

I have learned to take a methodical and measured approach to all this using live fire exercises and true market feedback to guide product direction vs. arbitrary gut feelings or suspect 3rd party "research."  Don't get me wrong, these things provide good input and can paint a good macro trend picture but they are not a replacement for legitimate target end-user feedback.  This approach requires patience and maturity in your organization but the costs of being wrong far outweigh the perceived costs of this approach especially if you can quickly and efficiently create and test assumptions – a critical piece of the equation in an early stage company.  If both what market and product capabilities are in flux, this becomes even more complex as you have just doubled the fun.

Tossing the responsibility for the product roadmap and plan over the functional wall to "marketing" really misses the point because in an early stage company this is the roll up of everyone's collective expertise as well as true customer requirements.  Marketing owns the document but the leadership owns the content.

Sales and business development should get an earful every time they pitch or demo.  If they are not, you have bigger problems.  Also, the coolest things to build are not always the most important to your chosen market.  Remember this as engineers lose interest when building mundane but critical capabilities.

You will know when you hit on something because the market begins to give you an earful about all the things you need in addition to what you are showing them.  This is a sign that you are on the cusp of product/market fit and the ride gets even more exciting from here.

Proof that a fast follower strategy can work

/ Robert Pease / Leave a comment

An enterprise Twitter takes top honors at Techcrunch 50.  Go figure.  Not the first time that a new idea has been taken, improved upon, and launched.  Does this ensure wild success for Yammer?  Nope.  It is a decent bit of coverage but not the keys to the kingdom as big launch events like this generally only benefit those hosting them. 

The true test is when someone actually pays for what you are selling.

What this does mean is that micro-blogging (140 characters at at time) seems to be a for real opportunity and there could be a legitimate business reason for it at some point.

Venom

/ Robert Pease / Leave a comment

I read a lot of blogs ranging from those like mine where a writer needs a platform to share to those that are "pillars" of the business, technology, or entrepreneurial world.  This group includes all types including those insulated by either new found wealth or self-reinforcing geographic bias.  I try to seek out as many points of view as I can find to really understand the things important to me and that has led me to read and follow all sorts of folks. 
 
I have to say that I have been increasingly disturbed by the venom that I see oozing forth in so many posts about the current slate of presidential/vice presidential contenders from both sides.  To be clear, I have done my best to keep politics out of my posts as that is not my purpose here but I do believe this topic is worth discussion.

If you want my opinion on issues or want to know who I am supporting, send me an email and I'll fill you in. 

Look, I completely understand that this topic would dominate the chatter as we are 60-ish days from election day and the noise is bound to increase in the days ahead.  The great thing about democracy is that we all get an opinion and, odds are, we all think our opinion is correct.  Layer in aggressive and extroverted folks who love to blog, comment, and otherwise be heard and I think you have a unique view into the machinery of democracy. 

All I am asking for is the same level of care and critical thinking that would be applied to the launch of the next wizbang technology product in posts on the candidates and their positions.  Those that have a voice (and a following) owe it to their readers to refrain from silly name calling, blind regurgitation of either party's talking points, or, worse yet, intellectually corrupt broad-based generalizations.

I remain optimistic that informed debate and discussion are still possible even in our increasingly media-driven polarized country and believe the reality that anybody can project their voice on-line strengthens our democracy and country.

When cool collides

/ Robert Pease / Leave a comment

I got to thinking about this today after reading a few articles about Google celebrating its 10th anniversary and now, apparently, getting into the crosshairs of both the anti-trust and privacy hawks.  Microsoft and IBM have long been considered the big tech companies that everybody loved to hate even though their products continue to find a market and their revenues continue to climb.

So what happens when the antithesis to Microsoft comes of age and becomes one of these big companies?

Google has done some growing up, is experiencing a decline/pause in its massive stock appreciation, and is desperately trying to be more than an advertising company.  I can't find the source (apologies) but remember reading a quote about Google that goes something like this:  "it is a company of mad scientists supported by an advertising business."  Great for now, but what happens when an earnings miss occurs, a downturn in ad spending happens, or margins begin to erode?

The other "cool" player on the landscape is Apple and has held the title of "not IBM/Microsoft" for some time driven home by its really clever Mac vs PC commercials.  Their resurgence as a company has been very exciting to watch which makes me wonder what's next to sustain this growth?  Look around next time you are in a coffee shop or board meeting and count the number of Macs you see.  It is no longer the unique/alternative choice it once was.

It will be interesting to watch as the "enemy of my enemy is my friend" approach begins to wane and these two cool companies collide as tech industry giants.

I use products and services from all these companies and like the fact that they continue to raise the bar with each other.  I believe this drives innovation, creates opportunities for start ups, and creates a near-term exit path for venture-backed companies while the IPO market continues to be flat. 

Evolving from scrappy start up set on dethroning the big guy to large global multi-billion dollar player is what happens when you become successful beyond imagination.  It is part of the natural evolution and motivates a whole new generation of young companies to come after you.

A done deal

/ Robert Pease / Leave a comment

Wow.  Seems to be official that the US gov will be bailing out Freddie and Fannie. 

Bail

From a look at the markets in Asia, the world still likes a US government guarantee.  A bit of a counterpoint to those naysayers about the credibility of the US these days….

I'm still not sure if it is a good or bad thing but unlike most of the pundits, I will give some credit to those in the positions to make these decisions and believe that this was the right thing.  Why?  I'm not sure I totally grasp all of the angles although after reading Bob Rubin's book In an Uncertain World and getting a harsh crash course in economics about the true threat the Asian currency meltdown posed, I found a new respect for those in the #1 seat at Treasury and like the fact that it is a Rubin contemporary at the helm.

Factoring business school applications into the economic forecast

/ Robert Pease / Leave a comment

Remember my post about Harvard Business School grads' career choices as an economic indicator?  Well, this story from Businessweek (via Dealbreaker) points to an even more interesting one in terms of the level of B-school applications with some schools seeing double digit growth.  Does the increase in applicants signal a capitulation of type-A knowledge worker types or that we are indeed swinging towards a bottom of the economic cycle?  Your guess is as good as mine but it is worth noting. 

A “Dublin Lawyer”

/ Robert Pease / Leave a comment

Food posts have proven to be very popular on this blog with my post on cedar plank salmon consistently ranking at the top of the search engine hits I get.  So I thought I would build on that and share what I whipped up a week or so ago at the request of my pregnant wife (yes, we are expecting).

During my trip to Connecticut, I had one of the best lobster rolls I have ever had at Lenny & Joe's.  After sharing this experience with Marel (who was not there), "lobster equity" had to be achieved when I got home.  While digging for recipes, I remembered a great meal many years ago of lobster sauteed in Irish whiskey and served in the shell.  I did not know this at the time, but I was having a "Dublin Lawyer."

It is very simple – lobster, butter, Irish whiskey, and a bit of cream.  Also, it is always fun to light what you are cooking on fire.

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