Position Your Product/Service for Maximum Profitability: Lean Start Up Hong Kong

Position Your Product/Service for Maximum ProfitabilityLean Startup Series #3

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About Art

Art Lee is a seasoned digital marketer with extensive experience in leading and managing technical projects across APAC and U.S. He has both extensive technology and business skills which are both required to effectively manage any digital marketing campaign and to ensure business objectives are met. The skills that are most valued by clients is his ability to listen and to create solutions.

Session #1 - Idea generationComing up with your own ideas

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Session #2: Researching Your Target MarketDefining your ideal client

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Helping business owners (SMEs/Freelancers) to build their own businesses on a lean(er) budget

Educate business owners to make informed decisions (simple and effective)

Accommodate lowest common denominator - semi-seasoned business owners

Encourage audience participation

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Where to startDefining your monetary potential

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What are you worth? (market comparison)

What motivates your ideal client?

Position yourself for maximum profitability

Your worth is based on….

Economy

Market demands

Market sentiment

Motivations

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Charge based on demand

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High Value

Not Useful

Low Value

Very Useful

Waste of time

Selling yourself

short

In demand

Price/Cost…a moving target

Analyze

Competitors

Client Feedback

Motivations

Adjust

For large & small

To meet expectations

To match motivations

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Example as digital marketer….

Analyze Adjust

Companies (large and small) In-Line with competitors as a start

Adjusted once portfolio grows

Feedback (clients and prospects) Some had higher expectations

Goal is to make them feel they got more than what they paid for

Motivations Speed to market/to complete

Added services

Expert insight (strategies)

Group Exercise: Analyze Competitors

Take one product, compare it to competitors & feedback:

• How they are selling?

• How they are discounting? (volume, tax breaks, extras)

• How successful/attractive are they?

• How are they different than you?

Product Service

Take one service, compare it to competitors & feedback:

Do the same….

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What motivates your ideal client?

Exercise: Motivations

List characteristics that motivate customer to do business with you.

Price

Level of service

Discounts

Quality

Products Services

List characteristics that motivate customer to do business with you.

Level of service

Added value

Quality of work

References

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Build negotiation structurePosition yourself for maximum profitability

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Where do you play?

Highest margin-bill rate/least

amount of work

Max dollar for max

value/satisfaction

Lowest margin/worst expectations

Too much work for little money

Pricing Model Exercise: Service

Competitors

Volume

Discounted/Low priced

Quick and painless

Certified

Total Cost:

How You Compare

Your Cost:

Pricing Model Exercise: Product

Competitors

Volume discount

Speed to deliver

Quick and painless

Total Cost:

How You Compare

Your Cost:

Website Example

Competitors

Speed to Deliver (volume)

Price (10K)

Quick and painless

Simple design, placeholder for content, some functions

Not happy for long….

Total Cost:

How You Compare

Takes a bit longer (quality)

Price 15K

Quick and painless

Functionally efficient

Approach that makes sense, last longer

Your Cost:

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Summary

Be realistic with your pricing, mood changes when work is much more than your cost

Client motivations are key to winning new clients

Don’t out price yourself unless that is your goal

Keep pricing flexible

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Good Luck!Come talk to me if you have any questions.

Get Busy Doing

or

Get Busy Losing