Market as a stereotype regarding segment, need, supply
The market, according to the Social Design methodology, is a stereotype (see fig.) Of market players regarding:
That is, the stereotype of market players is when everyone knows: to whom they sell (Segment) , what they sell: what goods, services (Need) , and on what conditions: how technically, organizationally, for what cost, etc., do the Offer , on then he and stereotype.
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As a rule, success in the market is achieved by those companies that are innovative. Elementary innovation is when one of the players breaks the market stereotype in one of the corners ( segment or needs or supply ). Complicated innovation is when a stereotype is broken in two corners ( segment + need or segment + offer or need + offer ) . Radical innovation - the complete destruction of the stereotype in all three corners.
Business is a struggle (and sometimes war), and therefore the idea of Sun Tzu of a Chinese strategist and thinker who lived in the 6th century BC serves as a good metaphor for explaining this tool. e., from the treatise "The Art of War": "... the best war - to break the plans of the enemy; in the next place - break his alliances; in the next place - smash his troops. The worst thing is to besiege the fortresses. ”
So besieging the fortress is the market as a stereotype. To smash his troops is an elementary innovation. To break its alliances is a complex innovation, and accordingly, to break up plans is a radical innovation.
Entering the market by the 123rd online store selling something, and trying to compete by optimizing costs, dumping, good service and all sorts of other tactics described in the published books on marketing in the last century, this is nothing more than the deposition of fortresses.
Today, any search engine for the query "the founder of McDonald's" will give out the name of Ray Kroc, only casually mentioning the brothers Dick and Mac Macdonald. But the brothers belong to the principles of the concept of fast food, fascinated by Ray Kroc himself, and allowed this company to turn into what it represents today. In terms of the terms referred to here, the brothers broke all three corners in the stereotype of the fast food market.
By 1948, when the first McDonald's was opened, which had conquered the whole world, the brothers already had 11
summer experience in the fast food business. During this period, they have gone from chefs in their own eatery, to the guys who were the first in the city to call the car salesman to report that another Cadillac model went on sale. But from the mid-40s, they choked on the costs of waiters, because the most common format of fast food of those years was a “drive-in”, which meant that visitors parked, made an order while sitting in their car, and received it from waiters. At first, the waiters moved on foot, then on rollers, but this did not save the guests from a long wait. Another very heavy cost was the cost of the dishes that were beaten.
or stolen. The brothers decided to change the format.
The restaurant was closed for renovation to change the concept of fast food forever.
Consider the first corner of the stereotype that was broken by the brothers - Suggestion. They fired all the waiters, offering guests self-service. The second step they went to was paper dishes. The third - after analyzing the accounting department, they came to the conclusion that 80% of the proceeds come from Hamburg, which, firstly, do not require cutlery, secondly, serious specialization of cooks, thirdly, when organizing their preparation by conveyor belt, they significantly reduce time for preparing. Instead of the old menu, they offered an updated total of 9 positions, in which a hamburger cost 15 cents, against 30 from competitors. In addition, the brothers were not going to abandon their old principles - quality and cleanliness in the kitchen, which was visible to everyone through the glass windows. It was
revolution.
The steps were incredible, which at that time were like suicide. Dismissed waiters often went the first three months to a new, empty restaurant, and pointed out that this could be the way to go to work tomorrow. But the patience of the brothers was rewarded.
The steps above resulted in two other corners being broken. For example, the third step (reduction of service time) also related to the second corner of the fast food market stereotype - Need. America - has become "... a more rapid and mobile country and wanting more amenities and instant fulfillment of their desires ." People did not want to spend a lot of time to eat. In the new McDonald’s restaurant, people did not wait for the waiter to drive to their car on rollers and then bring the order. They went to the counter, ordered and almost immediately received the order.
The third corner, the Segment , was realized by the brothers almost immediately after the opening of the renewed restaurant, and was instantly picked up by them. The fact is that the price reduction attracted families with children to McDonald’s. Hard workers could often afford to go there with the whole family. The first order in the newly opened restaurant was made by a girl who came with her family. In our world, where there is so much talk about security, it is now difficult to imagine, but earlier the younger family member had a duty to do small tasks for adults, such as going to the store. In my childhood, like many of my friends, my parents constantly went to the store for bread and half a kilo of doctoral sausage. Therefore, when the family came to the restaurant, it was often the child who went to the order counter. Respect with the children, gifts to them, tied the family to the restaurant.
So McDonalds won local fame, thanks to which Ray Kroc, and found them. He was a mixer for making milkshakes. According to sales reports, he learned that the brothers had twice as many mixers than in an average restaurant, which he was very interested in, but that’s another story.
Of course, there is practically no pure and complex elementary innovation in its pure form. Smashing one or two corners can lead to new unexpected innovations, as was the case with the brothers. But in the case of the McDonald brothers, they quickly picked up a new segment, after which they could not be caught up.
But nevertheless, each time, when planning a project, it is worthwhile to train in comprehending the future project, asking the question: what angles of the stereotype can this innovation break?
Slippers, rags, gadgets - we permanently need this, as expressed earlier, consumer goods. And used to buy it on the Internet. "Aliexpress" broke the two corners of the stereotype and
conquered the world. The first corner is Offer . Prices for goods of Chinese brands are many times different from the prices for such products can be purchased in any country. And in quality, and in appearance they differ little from branded goods. Plus the lack of customs duties, makes the cost advantageous. Here we add to the novelty of the offer: free shipping and guarantees against fraud. We get a new offer. By the way, free shipping is “red flags”, for which our online stores often cannot get out. But this is one of the possibilities to break one of the corners of stereotypes.
The second corner of the online shopping market stereotype that “Aliexpress” managed to completely destroy is the Segment . Free delivery to any corner, almost any country, increasing customer confidence in quality, expanded the segment to almost the size of the whole world.
The same principles, but already with brand names, have been adopted by many American online stores that sell slippers and rags. True, few people can provide free shipping around the world.
Often, breaking one corner can completely change the world, create a new market. Pioneers
Whatsapp and Viber messengers initially changed only one angle of the stereotype - Offer . But the changes were dramatic - sms and mms messages became free. Strong competition at the start allowed this market to develop strongly and become a stereotype rather quickly.
However, Telegram does well in this market to break two corners - the Offer and the Segment . They were the first to declare message encryption as their priority. Telegram changed the Proposal and the two other messengers were already in the role of catching up. Two more Proposals: channels and the ability to make bots, allowed to open a new Segment - now not only people, but also organizations, projects were using users, with the help of this messenger, previously not possible businesses were formed. This is a revolution that is happening before our eyes.
Remember: besieging the fortress is the worst war.
Continuation, if you wish, will follow.
Literature
- segment
- needs
- offers.
That is, the stereotype of market players is when everyone knows: to whom they sell (Segment) , what they sell: what goods, services (Need) , and on what conditions: how technically, organizationally, for what cost, etc., do the Offer , on then he and stereotype.
')
As a rule, success in the market is achieved by those companies that are innovative. Elementary innovation is when one of the players breaks the market stereotype in one of the corners ( segment or needs or supply ). Complicated innovation is when a stereotype is broken in two corners ( segment + need or segment + offer or need + offer ) . Radical innovation - the complete destruction of the stereotype in all three corners.
Business is a struggle (and sometimes war), and therefore the idea of Sun Tzu of a Chinese strategist and thinker who lived in the 6th century BC serves as a good metaphor for explaining this tool. e., from the treatise "The Art of War": "... the best war - to break the plans of the enemy; in the next place - break his alliances; in the next place - smash his troops. The worst thing is to besiege the fortresses. ”
So besieging the fortress is the market as a stereotype. To smash his troops is an elementary innovation. To break its alliances is a complex innovation, and accordingly, to break up plans is a radical innovation.
Sedimentation of fortresses
Entering the market by the 123rd online store selling something, and trying to compete by optimizing costs, dumping, good service and all sorts of other tactics described in the published books on marketing in the last century, this is nothing more than the deposition of fortresses.
Radical innovation
Today, any search engine for the query "the founder of McDonald's" will give out the name of Ray Kroc, only casually mentioning the brothers Dick and Mac Macdonald. But the brothers belong to the principles of the concept of fast food, fascinated by Ray Kroc himself, and allowed this company to turn into what it represents today. In terms of the terms referred to here, the brothers broke all three corners in the stereotype of the fast food market.
By 1948, when the first McDonald's was opened, which had conquered the whole world, the brothers already had 11
summer experience in the fast food business. During this period, they have gone from chefs in their own eatery, to the guys who were the first in the city to call the car salesman to report that another Cadillac model went on sale. But from the mid-40s, they choked on the costs of waiters, because the most common format of fast food of those years was a “drive-in”, which meant that visitors parked, made an order while sitting in their car, and received it from waiters. At first, the waiters moved on foot, then on rollers, but this did not save the guests from a long wait. Another very heavy cost was the cost of the dishes that were beaten.
or stolen. The brothers decided to change the format.
The restaurant was closed for renovation to change the concept of fast food forever.
Consider the first corner of the stereotype that was broken by the brothers - Suggestion. They fired all the waiters, offering guests self-service. The second step they went to was paper dishes. The third - after analyzing the accounting department, they came to the conclusion that 80% of the proceeds come from Hamburg, which, firstly, do not require cutlery, secondly, serious specialization of cooks, thirdly, when organizing their preparation by conveyor belt, they significantly reduce time for preparing. Instead of the old menu, they offered an updated total of 9 positions, in which a hamburger cost 15 cents, against 30 from competitors. In addition, the brothers were not going to abandon their old principles - quality and cleanliness in the kitchen, which was visible to everyone through the glass windows. It was
revolution.
The steps were incredible, which at that time were like suicide. Dismissed waiters often went the first three months to a new, empty restaurant, and pointed out that this could be the way to go to work tomorrow. But the patience of the brothers was rewarded.
The steps above resulted in two other corners being broken. For example, the third step (reduction of service time) also related to the second corner of the fast food market stereotype - Need. America - has become "... a more rapid and mobile country and wanting more amenities and instant fulfillment of their desires ." People did not want to spend a lot of time to eat. In the new McDonald’s restaurant, people did not wait for the waiter to drive to their car on rollers and then bring the order. They went to the counter, ordered and almost immediately received the order.
The third corner, the Segment , was realized by the brothers almost immediately after the opening of the renewed restaurant, and was instantly picked up by them. The fact is that the price reduction attracted families with children to McDonald’s. Hard workers could often afford to go there with the whole family. The first order in the newly opened restaurant was made by a girl who came with her family. In our world, where there is so much talk about security, it is now difficult to imagine, but earlier the younger family member had a duty to do small tasks for adults, such as going to the store. In my childhood, like many of my friends, my parents constantly went to the store for bread and half a kilo of doctoral sausage. Therefore, when the family came to the restaurant, it was often the child who went to the order counter. Respect with the children, gifts to them, tied the family to the restaurant.
So McDonalds won local fame, thanks to which Ray Kroc, and found them. He was a mixer for making milkshakes. According to sales reports, he learned that the brothers had twice as many mixers than in an average restaurant, which he was very interested in, but that’s another story.
Challenging innovation
Of course, there is practically no pure and complex elementary innovation in its pure form. Smashing one or two corners can lead to new unexpected innovations, as was the case with the brothers. But in the case of the McDonald brothers, they quickly picked up a new segment, after which they could not be caught up.
But nevertheless, each time, when planning a project, it is worthwhile to train in comprehending the future project, asking the question: what angles of the stereotype can this innovation break?
Slippers, rags, gadgets - we permanently need this, as expressed earlier, consumer goods. And used to buy it on the Internet. "Aliexpress" broke the two corners of the stereotype and
conquered the world. The first corner is Offer . Prices for goods of Chinese brands are many times different from the prices for such products can be purchased in any country. And in quality, and in appearance they differ little from branded goods. Plus the lack of customs duties, makes the cost advantageous. Here we add to the novelty of the offer: free shipping and guarantees against fraud. We get a new offer. By the way, free shipping is “red flags”, for which our online stores often cannot get out. But this is one of the possibilities to break one of the corners of stereotypes.
The second corner of the online shopping market stereotype that “Aliexpress” managed to completely destroy is the Segment . Free delivery to any corner, almost any country, increasing customer confidence in quality, expanded the segment to almost the size of the whole world.
The same principles, but already with brand names, have been adopted by many American online stores that sell slippers and rags. True, few people can provide free shipping around the world.
Elementary Innovation
Often, breaking one corner can completely change the world, create a new market. Pioneers
Whatsapp and Viber messengers initially changed only one angle of the stereotype - Offer . But the changes were dramatic - sms and mms messages became free. Strong competition at the start allowed this market to develop strongly and become a stereotype rather quickly.
However, Telegram does well in this market to break two corners - the Offer and the Segment . They were the first to declare message encryption as their priority. Telegram changed the Proposal and the two other messengers were already in the role of catching up. Two more Proposals: channels and the ability to make bots, allowed to open a new Segment - now not only people, but also organizations, projects were using users, with the help of this messenger, previously not possible businesses were formed. This is a revolution that is happening before our eyes.
Remember: besieging the fortress is the worst war.
Continuation, if you wish, will follow.
Literature
- Dolgorukov A.M. From plan to action. Strategic management. M .: LLC MK DISKURS, 2011.
- John F. Love "McDonald's. What is BIGMAK silent on? ”
- Treatise "The Art of War Sun Tzu" and comments on it.
Source: https://habr.com/ru/post/348882/
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