Growing Graduate enterprise stage 1

The Candle Problem
You have a candle, a box of
thumbtacks, and a book of matches,
and are tasked to affix the lit candle to
the wall so that it will not drip wax
onto the table below.

The innovation in the dual-cyclone vacuum cleaner came from applying
industrial dust extract technology to domestic vacuum cleaners.
James Dyson had the idea when he installed an industrial dust extraction
system incorporating a large, 30 foot high cyclone dust extractor to
remove excess powder from the atmosphere in a powder coating plant.
As James Dyson himself describes it: “It occurred to me at that moment
that there really was no reason why it should not work in miniature –
using a cyclone about the size of say a Perrier bottle”.
James Dyson and the vacuum cleaner

Sources of new ideas
Sources
of new
ideas
Customers
(Unmet
needs)
Gaps in the
Market
New
Technologies
Performance
Failures
New insights
and ideas
Cost and
Efficiency
Savings

George de Mestral was a Swiss engineer. Returning from a walk in the forest one
day he noticed cockleburs sticking to his dog’s coat. Intrigued, he put a cocklebur
under a microscope and noticed that the surface consisted of thousands of tiny
hooks that readily stuck to tiny loops in his clothing. Having noticed that zip
fasteners often had a habit of sticking he wondered if the principle of tiny hooks and
loops could be used to develop a new type of fastener for clothing. It took him eight
years and resulted in “Velcro” which is now used throughout the world.
George de Mestral and Velcro

Ideas
• Look to the bigger picture
− Political
− Economic
− Social Cultural
− Technological
− Environmental
− Legal

Ideas
• That said ideas do not have to be:
− Imaginative
− Unique
− Different
There is nothing wrong with delivering something that already exists
The key is to have a USP and a CVP

Let’s start – what’s your idea?
You have 10 mins to
develop a quick pitch
to the group.
The pitch should be
no more than 30 secs
long

Pitch
You now have 30 secs
to tell us about your
idea

Value proposition
• How are we going to create value?
• Which one of our customer’s problems are we solving
• What’s different about our idea?
• A value proposition creates value for a customer through a distinct mix of
elements specifically catering for their needs:
− Newness
−Some value propositions satisfy an entirely new set of needs that customers
previously didn’t perceive
− Performance
−Improving product performance is traditionally a common way to add value
− Customisation
−Tailoring products and services to specific needs of customers.

Value Proposition
− Design
−Design is an important but difficult element to measure – Apple
− Brand / status
−Customers may find a value in the simple act of using and displaying a
specific brand – brand aspiration
− Price
−Offering similar value at a lower price is a common way of satisfying needs.
− Risk reduction
−Businesses add guarantees to generate value through risk reduction, e.g.
car warranties
− Convenience / Usability
−Making things more convenient to buy or easier to use is a good value
proposition. Apple again is a good example

Customer segments
• Who are you creating value to?
• Who are your most important customers?
• Mass Market – for example Coke – no real differentiation
• Niche – a specific and defined target audience
• Segmented – a few different niches who have different needs
• Diversified – two very different and unrelated customer segments

Channels
• How do your customers want to be reached?
• Channels are touch points that play an important role in the customer
experience.
• Channels serve several functions:
− Raising awareness among customers about a company
− Helping customers evaluate a company’s value proposition
− Allow customers to purchase specific products and services
− Delivering a value proposition
− Providing post purchase support

Customer relationships
• What type of relationship does each of our customer segments expect us to
establish?
• How costly are they to establish?
• Personal assistance – email, phone, non specific
• Dedicated personal assistance – specific one to one service with a named
individual
• Self service – no direct relationship with individuals
• Automated services – more sophisticated version of self service – recognising
individual preferences
• Communities – Many companies are utilising on line communities to allow
users to exchange knowledge and solve each others problems.
• Co-creation – Wikipedia, You Tube, Amazon (through reviews) – co create
value

Key activities
• What key activities do we need to do?
• These are the most important things a company must do to make its business
work
− Production
−These relate to designing, making and delivering a product
− Problem Solving
−Coming up with new solutions to individual customer problems
− E.g. consultancies, hospitals, physios etc
− Platform / Network
−Ebay, matchmaking websites for example
−Visa with its payment platform
−Key activities in this area are platform management, service positioning and
platform production

Key resources
• What key resources do you require?
• These are the most important assets required to make the business work.
− Physical
−For example, manufacturing facilities, vehicles, buildings, specialist
equipment
− Intellectual
−For example, brands, patents, copyright, trademark
− Human
−Crucial in knowledge led (consultancy) and creative industries
− Financial
−Start up costs
−Financial resources

Key Partners
• Who are our key partners?
• Who are our key suppliers
• What do we need from them?
• The key partners building block describes the network of suppliers and
partners that will make the business work:
Who will we need to make this idea work?
• Key suppliers?
• Joint ventures?

Revenue Streams
• For what value are our customer really willing to pay?
• How are they currently paying?
• How would they prefer to pay?
• A business usually involves one of two different types of revenue streams:
− Transaction revenues resulting from a one off sale to a customer
− Recurring revenues resulting from on going payments to deliver services or to
provide post purchase support

Revenue streams
• Different ways to generate revenue:
− Asset sale – standard product purchase model.
− Usage fee – mobile phones – the more you use something the more it costs
− Subscription – gym membership for example
− Lending / Renting – Temporarily using an asset
− Licensing – Image rights – music / sport
− Brokerage fees – Go Compare etc
− Advertising – fee generated by allowing advertising

Cost structure
• What are the most important costs in our business?
• Which resources are most expensive?
• Are any prohibitive?
• This area describes all of the costs that the business is likely to be charged:
− Cost driven
−Lean delivery such as Easy Jet / Ryan Air
− Value driven
−Some companies look in the opposite way to cost driven businesses.
−Their focus is on value creation – for example luxury hotels
There are 2 further characteristics
− Fixed Costs
− Variable costs

Business structures
• Sole trader, freelance or self employed
• Partnership
• Limited company

Sole Trader
• Convenient when just one person will own the business and will have
complete responsibility for it.
• For example
− Graphic Designer
− Advantages
− No registration
− Less paperwork
− Owner entitled to all company profits
− Owner keeps overall control
− Disadvantages
− Unlimited liability
− Level of finance available is limited
− Limited company status is more prestigious

Partnership
• Good vehicle to use when the business involves two or more people
−Advantages
− Flexible structure
− Less paperwork
− Partnerships cannot be taken over by other businesses
−Disadvantages
− Unlimited liability
− Each partner is responsible for other members negligence
− Disagreements between partners

Limited Company
• Main advantage is that its owners have limited liability for the debts of the
business
−Advantages
− Liability is limited to initial cost of shares
− Finance can be raised by selling shares
− Limited company has a separate legal identity to that of its owners
−Disadvantages
− Compliance with a wide range of complex legislation
− Public disclosure of accounts

Where to start
Create a new gain
creator for a given
customer profile
Imagine a new product
or service
Create a new pain
reliever for a given
customer profile
Focus on your customers’
most essential unrealized
gain
Uncover a new
unsatisfied job
Solve your customers’
most extreme
unresolved pain

Step into your customers shoes
Select
customer
segment
Identify
customer
activities
Identify
customer
pains
Identify
customer
gains

Customers (potential customers)
• Customer Jobs –
(activities)
Jobs describe the things your
potential customers are
trying to get done. These
could be tasks they are trying
to perform, problems they
are trying to solve or needs
they are trying to satisfy
It is important to
acknowledge that not all jobs
/ activities have the same
importance
Angle Tip
When carrying out potential customer
research its important to first identify
who your potential customers might
be. Don’t waste your time asking
people their views on products or
services that they will not buy.
•For example, mowing the lawn, playing a sport
Functional
Jobs
•When a customer wants to look good or gain power
status
•For example – brand aspiration – Ferrari, Hugo Boss
Social Jobs
•When customers seek a specific emotional state such
as peace of mind or feeling secure
•For example – private healthcare
Personal
jobs
Supporting
Jobs
• Buyer of value – physically choosing and purchasing
• Cocreator of value – those that leave feedback
• Transferrer of value – reselling a product, upcycling a
product

Jobs / activities
What are your customers jobs?

• Customer pains
− Anything that
annoys
customers
before, during or
after trying to
get a job
(activity done).
− Pains also
describe risks –
potential bad
outcomes
related to
getting a job
(activity) done
badly
• Function – this does not work
properly
• Social – I look bad in this
• Ancillary – its annoying
Undesired
outcomes,
problems and
characteristics
• These are things that prevent
customers from starting their
activity – I can’t afford it, I
don’t have the time
Obstacles

• Example trigger questions:
− How do your customers define too costly? Too much time, money or effort?
− What makes your customers feel bad? What are the frustrations or annoyances?
− How are current products / services underperforming? What features are missing? Are
there performance issues?
− What are the main difficulties and challenges your customers encounter?
− What risks do your customers fear?
− What’s keeping your customers awake at night?
− What are the barriers your potential customers face when adopting your product?

Pains
What are the potential pains?

• Customer gains
− Gains describe the
outcomes and
benefits your
customers want.
Some gains are
required, expected
and some are
desired and some
would even
surprise them.
•These are gains without which the solution
would not work
•For example, a smartphone making a phone call
Required
gains
•Relatively basic gains that we expect
•For example – an iphone being well designed
and looking good
Expected
gains
•These are gains that go beyond what we expect
•For example – our smartphone to sync with
other areas of our life – e.g. email
Desired
gains
Unexpected
gains
• These are gains that go beyond customer expectation
and desire

Gains
• What are the:
−Required
−Expected
−Desired
−Unexpected gains

The value map
List all
products and
services
Outline pain
relievers
Outline gain
creators

Value Map
Products and Services
Gain Creators
Pain Relievers

Products and Services Gain Creators Pain Relievers
• Products and services
− This is simply a list of
what you offer
− Physical
(products)
− Intangible
(services)
− Digital
− Financial
• Gain creators
−Describe how your
products and services
create customer gains
−Focus on the most
relevant and important
gains where you can
make a difference
−Typically saving time,
money, effort
• Pain relievers
−Describe how your
products or services
alleviate customer pains
−Again focus on the most
relevant ones
−Typically
−Underperformance
−Cost, time, effort

Value map
What are your:
−Products
−Pain Relievers
−Gain Creators

Fit
Are you addressing
essential customer
gains
Are you addressing
essential customer
pains
You achieve fit when
customers get excited
about your value
proposition, which
happens when you
address important jobs,
alleviate extreme pains,
and create essential
gains that customers
care about.

Does yours match?
−What is left on the customers
side?
−What is left on your side?
−Are any of them important?

Customer development
Customer
discovery
Customer
validation
Customer
creation
Company
building
Get out of the office
to learn about your
customers’ jobs,
pains and gains.
Investigate what
you could offer
them to kill pains
and create gains
Run experiments to
test if customers
value how your
products and
services intend to
alleviate pains and
create gains
Start building end
user demand. Drive
customers to your
sales channels and
begin scaling the
business

10 characteristics of great value propositions
1. Are embedded in great business models
2. Focus on the jobs, pains and gains that matter most to customers
3. Focus on unsatisfied jobs, unresolved gains and unresolved pains
4. Target few jobs, pains and gains but do so very well
5. Go beyond functional jobs and address emotional and social jobs
6. Align with how customers measure success
7. Focus on jobs, pains and gains that a lot of people have or that some will pay a lot of money for.
8. Differentiate from competition on jobs, pains and gains that customers care about
9. Outperform competition substantially on at least one dimension
10.Are difficult to copy

10 testing principles
1. Realize that evidence trumps opinion
2. Learn faster and reduce risk by embracing failure
3. Test early, refine later
4. Experiments = reality
5. Balance learnings and vision
6. Identify idea killers
7. Understand customers first
8. Make it measurable
9. Accept that not all facts are equal
10.Test irreversible decisions twice as much

Do you have evidence?
Which gains matter most to
your customers?
Which ones are most
essential?
Which pains matter most to
your customers?
Which ones are most
extreme?
Which jobs matter to your
customers?
Which ones matter most?
Which one of your gain creators
customers really need or desire?
Which ones do they crave most?
Which one of your pain relievers helps
your customers with their headaches?
Which ones do they crave most?
Which one of your
products and services
customers really want?
Which ones they want
the most?

Testing your value proposition
1. Select a value proposition to
test
2. Select factors of competition
3. Score your value proposition
4. Add competing value
propositions
5. Score competing propositions
6. Analyse your sweet spot

Use experiments to test
Willingness to
pay
Priorities and
Preferences
Interest and
Relevance
Provide evidence that potential
customers are interested enough in
your value proposition to pay. Deliver
facts that show they will put their
money where their mouth is
Show which jobs, pains and gains
your potential customers and partners
value most and which ones they value
least. Provide evidence that indicates
which features of your value
proposition they prefer
Prove that potential customers are
genuinely interested. Show that your
ideas are relevant enough to them to
get them to perform actions that go
beyond lip service

Experiments
• Lab studies
− Minimum viable products
− Prototypes
• Sales actions
− Mock sales
− Presales
− Crowdfunding
• Tracking actions
− Ad and link tracking
− Landing page
− A/B testing
• Participatory design and evaluation
− Speedboat
− Illustrations, storyboards and scenarios

Lab studies
Minimum viable product
• Make your idea real as quickly as possible
• A MVP is a representation or prototype of your product
• Not finished or polished
• Goal is to design and produce a MVP to explore customer
interest
• How
− Storyboard
− Drawings
− Renders
− 3D prototypes
Questions to ask of a MVP
• Which MVP’s create value for you?
• Which ones should we progress with and which ones should
we ditch?
• What is missing?
• What would you like to see?
• What should be left out?
• What should be added?
• Could there be other options?

Sales actions
Crowdfunding
• Crowdfunding is one of the best ways of attracting pre sales
and analysing initial interest
• Its also a way of raising funds at the same time
• Look at sites like Kickstarter
• Kickstarter allows you to advertise a project and if people like
it they will pledge money in exchange for the item itself
• The project receives funds only if you reach your predefined
funding goal – all or nothing.
Pre sales
• Main objective here is to explore initial interest not sales
• If there isn’t enough interest to produce the end product the
sale can be cancelled and the customer reimbursed
• It’s a good way of funding the first round of products without
using your own money

Tracking
Ad tracking
• Select search terms that best represent what you want to
test, i.e. pains, gains or the value proposition
• Design your ad / test with a headline, link to a landing page
and blurb. Make sure it represents what you want to test
• Launch your campaign. Define a budget for your campaign
and launch it. Pay only for clicks on your ad which represent
interest
• Measure clicks. Learn how many people click on your ad. No
clicks may indicate a lack of interest
Unique link tracking
• Fabricate a unique and trackable link to more detailed
information about your idea with a service such as goo.gl
• Pitch and track your idea to a potential customer. During or
after the meeting give the person the unique link and
mention it points to more detailed information
• Learn about genuine interest. Track if the customer used the
link or not. If the link wasn’t used it may indicate a lack of
interest or more important jobs, pains, and gains than those
that your idea addresses

Landing page
• The goal of a landing page is to validate one or
more hypotheses, not to collect emails or sell,
which is a nice by product of the experiment.
• Elements
− Traffic – generate traffic with ads, social media or existing
channels
− Headline – Craft a headline that speaks to your potential
customers and introduces the value proposition
− Value proposition – ensure your value proposition is clear and
tangible to potential customers
− Call to action – get website visitors to perform an action that you
can learn from
− Outreach – Reach out to people who performed the call to
action. Investigate why they were motivated to perform the
action
Total audience
addressed
Visitors to
website
Visitors who
performed the
action
Visitors who are
willing to talk to
you

Features Advantages Benefits
Buy groceries online Saves going out to supermarket • Makes supermarket shopping possible
• Don’t face the ordeal of shopping with
toddlers
• Keep your limited leisure time for
yourselves
Twenty four hours a day seven
days a week
Can shop outside of normal hours • Shop when feel like it
• Concentrate when kids are asleep
• Sort out at weekend with no
pressure
Remembers your previous list Can make amendments rather
that starting from a blank sheet
• Tend to need the same things
• Head start to make the job quicker
• Save lists for different occasions
Total price clear before getting to
till
Useful for budgeting • Save money –limited income
• Possible to delete a few treats
• Know exactly what’s going on the
credit card
Selling the benefits

Innovation Games
Product box
1. Design. Invite customers to design a cardboard
box for the product they would buy. Ask them to
feature key marketing messages, main features
and key benefits they would expect
2. Pitch. Ask them to now pitch the box to you.
3. Capture. Observe and note which messages,
features and benefits customers mention on the
box and in the pitch. Relate this back to your
initial value proposition

Lets try them
You have 20 mins to
develop your own
product box

The testing process
Build
Measure
Learn
1. (Re)Shape your ideas 2. Extract your hypothesis
3. Design your test
4. Enter the learning loop
5. Capture the results
6. Measure progress

Financials
Pricing
Sales Forecast
Profit and Loss
Cashflow Forecast

Pricing Checklist
Know your real costs
for each product /
service
Work out the
minimum at which its
worth selling at all
Find out from your
customers what each
product or service is
worth to them
Check your
competitors prices
If their price is lower
than your worth
selling at price
THINK AGAIN
Be prepared to make
range and pricing
changes
Keep checking that
you price is right

Pricing methods
Pricing
methods
Cost
MarketingCompetition

• Cost Orientated Pricing
− Full cost pricing
−A way of including all the costs that are directly and
indirectly associated with the product or service
−Increase cost with decreasing sales!
−Sales are estimated before a price is set
−Focuses on internal costs rather than customers and
customer value
−It does however give an indication to the minimum cost
to make a profit

Year 1
Direct costs £2
Fixed costs £200,000
Expected Sales 100,000
Cost per unit
Direct costs £2
Fixed costs £2
Full costs £4
Mark Up 10%
Price plus profit £4.40

What are your direct costs?
Labour?
Materials?
Sub-contract costs?

Direct Costs
(Per item) Cost of materials
Direct wages
Subcontract charges
Packaging and
carriage
Total Direct Costs

What are your fixed costs?
Rent?
Salaries?
Marketing?

Overheads
(for 12 months) Staff Salaries / wages
Business Rent 0.00
Business Rates 0.00
Water Rates 0.00
Light / Heat / Power 0.00
Repairs and Renewals 0.00
Business Insurance 0.00
Travel and Vehicle
costs 0.00
Phone and Postage 0.00
Printing and
Stationery 0.00
Marketing 0.00
Professional Fees 0.00
General Expenditure 0.00
Total Overheads 0.00

Year 1
Direct costs £2
Cost per unit
Direct costs £2
Fixed costs £2
Full costs £4
Mark Up 10%
Sales forecasting next

Sales forecasting
• Your sales forecast should be based upon any historical sales, your
marketing strategic and your market research.
• It is a month-by-month prediction of the level of sales you expect to
achieve.
• Every year is different, so you need to consider any changing
circumstances that could significantly affect your sales
• These factors - known as the sales forecast assumptions - form the basis
of your forecast.
• You may wish to do two
1. A best guess – what you really expect
2. A worst case – your lowest estimate no matter what

Typical examples of assumptions:
− The market you sell into will grow by 2 per cent.
− Your market share will shrink by 2 per cent, due to the success of a competitor.
− Seasonality – how sales will change depending on the time of year
− You will spend 50 per cent less on advertising, which will reduce the number of
enquiries from potential customers.
− You are launching a range of new products. Sales will be small this year and
costs will outweigh profits, but in future years you will reap the benefits.
− You have new products that have the potential to increase sales rapidly.

Sales Forecast
MONTH SALES a SALES
b
SALES
c
TOTAL
MONTH
MONTH CUMULATIVE
MONTHLY
1
2
3
4
5
6
7
8
9
10
11
12
YEAR

You should now have enough
information to complete your
Profit and Loss forecast

Annual
Sales Income
Sales a £0.00
Sales b £0.00
Sales c £0.00
Sales d
Total Sales Income £0.00
Direct Costs
Cost of materials £0.00
Direct wages
Subcontract charges
Packaging and carriage
Total Direct Costs £0.00
Gross Profit £0.00
% GP Margin
Overheads
Staff Salaries / wages
Business Rent 0.00
Business Rates 0.00
Water Rates 0.00
Light / Heat / Power 0.00
Repairs and Renewals 0.00
Business Insurance 0.00
Travel and Vehicle costs 0.00
Phone and Postage 0.00
Printing and Stationery 0.00
Marketing 0.00
Professional Fees 0.00
General Expenditure 0.00
Total Overheads 0.00
Net Profit / Loss £0.00
Profit and loss

Now that we have our costs and
our sales – what are your costs per
unit?

Back to pricing
Year 1
Direct costs £2
Cost per unit
Direct costs £2
Fixed costs £2
Full costs £4
Mark Up 10%

You now have a cost orientated
price

Breakeven Analysis
Step 1
Sales £4000
Less variable costs £2000
Gross profit = £2000
Step 2
Gross Profit £1600
÷ X 100 = 40% % GP
Sales £4000

Step 3
Fixed Costs
÷ x 100 = Breakeven Point
% GP
Step 4
Fixed Costs £1200
÷ x 100 = £3000
% GP 40 Breakeven Point

Competitor orientated pricing
− Focus on the competitor rather than the costs
− Going rate pricing
−In situations where there is little product differentiation a producer may
have to look at going rate pricing.
−Goes against traditional marketing theory which seeks to deploy differential
advantage, such as delivery time, after sales service and price accordingly.
− Competitive bidding
−Sealed unseen bids from other companies
−Used in both public (price plus quality) and private (usually just price)
sectors

• Competition
− At the very least you should know who your competitors are and what they charge
Immediate competitors,
e.g. Blockbusters
Technically similar
products
Secondary competitors,
eg. Lovefilm / Netflix
Different products
solving the same
problem in a different
way
Tertiary competitors e.g.
Sky Movies
Different products
solving or eliminating the
problem in a
different way

Can you accurately create a
competitor based price for your
new product / service?

What’s the difference?
Is it feasible?

Pricing new products or services
High
High
Low
Low
Promotion
Price
Rapid Skimming
Rapid
Penetration
Slow Skimming
Slow
Penetration
Premium products
Gradual entry
Premium products
Quick entry

What has your organisation used
in the past?
What will you use now?

Cashflow
−Cashflow forecasting enables you to predict peaks and troughs in your
cash balance.

Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10Month 11 Month 12
Income
Sales a
Sales b
Total Income £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00
Expenditure
Materials
Subcontract Charges
Packaging and Carriage
Wages
Business Rent
Business Rates
Water Rates
Light / Heat / Power
Repairs and Renewals
Business Insurance
Travel and Vehicle costs
Printing and Stationery
Marketing
Professional Fees
General Expenditure
Total Expenditure £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00
Monthly net inflow / outflow £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00
Cumulative monthly flow £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00 £0.00

Financials
Pricing
Sales Forecast
Profit and Loss
Cashflow Forecast





Awareness
Interest
Desire
Action
Attract
Engage
Nurture
Engage
Before we start lets consider the journey
ModernVsTraditional

•Sites are interactive – it is not a business speaking to
its customers, it is a two way communication
•NEED customer interaction in order to truly succeed
•“It is not what you say, its what they say that
matters”

Good news for small business
•Social media has afforded everyone with the
tools to publish, broadcast and compete on a
more level playing field
•No longer dependent on big budgets
•Starting a business and marketing a business
has never been so easy

Key differences from
traditional marketing?

•Puts the human back into marketing – it
allows a business to show its own personality.
•Talking with your customers, not at your
customers. It’s a two way conversation –
remember customers should be at the heart
of everything you do.
•Not about you.

Losing control
You must realise and accept
that you do not control your
social media activity. Your
audience does.
Relax

6 Golden Rules of Social Media
1.Listen
2.Add value
3.No hard selling
4.Engage and interact
5.Be real, be nice, be honest, be grateful
6.Focus on quality, not quantity

What are the different types
of social media?

•A shared on line journal
•346,000,000 people regularly read blogs
•Establishes you as a thought leader in your industry
•Linkbacks and fresh, relevant content help website
search rankings
•Take more time and requires a commitment to
regularly blog

5 Blog tips
1.Make your content easy to share
2.Build relationships with other bloggers,
share their content, comment on their
content
3.Do not, do not spam
4.Use keywords, tags and links
5.Make your content easily available

Twitter
•Allows you 140 characters per “tweet”
•Other people can follow you, you can follow
others
•Fast paced, real time.
•Average tweet lasts 6 seconds

Twitter speak
• DM
−Can only send DM’s to those who follow you
• #Hashtags
−The secret to increased exposure
−Allows people to organise and search for key subjects
• Hootsuite, Tweetdeck – applications that allow you to manage your
twitter and other accounts.
−Key to these is that they allow you to schedule posts for the best
effect.

Video
•Keep it short
•How can you make a video go viral?
−Good content
−Make your video easy to share
•Integrate on other platforms
•Create and brand a Youtube channel

Photo sharing
•Effective use of tagging and captions
•Great way to showcase new products
•Post high quality pictures

Instagram takeaway
• Keep your content fresh, interactive, and aligned with the brand
attributes you want your fans to notice.
• Photos allow you to connect with customers in a different way.
• Fans and followers are more than happy to respond and take part if they
are interested in the information you are sharing.
• Make sure the pictures you post have meaning to your customers and
induce shares.
• If you don’t get excited about the picture you just took, neither will your
fans.
• Take the time to think about what pictures your fans want to see from
your brand and how to present them in an interesting way.

Facebook
• Aligned more to B2C and products
• Over 350 million users worldwide
• Would be the fourth biggest
country
• 50% of its users log in each day
• Over 700,000 businesses have
business pages
LinkedIn
• Aligned more to B2B and services
• Over 50 million members
worldwide
• Average user spends 6 mins a day

Facebook
• Use pages not profiles
• Welcome and encourage fan
content and sharing
• Don’t spam your fans
• Keep search in mind
• Consider facebook ads
LinkedIn
• Keep your profile up to date
• Create a business page
• Get recommendations
• Ideal for finding key individuals in
target organisations
• Join and participate in groups
• Consider LinkedIn ads and
sponsored updates

Travel agency Intrepid
Travel has put together a
great Facebook Page --
complete with a special
tab that shows trip and
tour reviews, and one
that lets users search
and book trips without
having to leave their
Facebook Page.

• Tough Mudder, an organization that runs hardcore obstacle course
events focused on teamwork and camaraderie, leans on social media
sites like Facebook to help recruit and pump up participants.
• They do a great job of keeping their Facebook content fresh and up-to-
date, which is especially important for an events company.

• Not to mention, each event they run has its own Facebook Event -- which shows up in
an "Events" feed on their Page -- so participants can connect, ask questions, and share
event-specific photos with the community.

How can social media help
my business?

•Streamline and improve customer service
•Carry out efficient and effective market research
•Connect with new leads and resources
•Increase your website search rankings
•Develop credibility within your industry
•Find employees and partners

Is traditional marketing
dead?

Social media is an
ADDITION
to your marketing plan – not
a replacement

Paid
You have paid to leverage
this
Paid advertising (print, TV,
Radio, Sponsorships)
Awareness and
stimulation
Owned
You own and control this
media
Websites
Company Blog
Corporate Brochures
Build longer term
relationships with existing
customers and potential
customers
Earned
Customers are the
channel
Word of mouth
Viral
Social media
Listen and respond

Use traditional marketing to:
− Link to your social networks from your website
− Let potential customers experience your products
− Engage with customers in a slightly different way
−Networking
−Exhibitions
−Email marketing

Page
How do I know if its working?

• Analytics tools
− Google Analytics
− Facebook analytics
− Twitter analytics
− LinkedIn analytics

Listen
Goals
PlanExecute
Analyse
• Find out what your
audience is saying
• Where are they
spending their time?
• What are your
competitors doing?

Listen
Goals
PlanExecute
Analyse
• Determine what it is
you want to
accomplish
• Make the goals as
tangible as possible

• Determine your
target audience
• Develop your plan /
strategy
• How does this tie in
with all of your
marketing?
Listen
Goals
PlanExecute
Analyse

Listen
Goals
PlanExecute
Analyse
• Execute and monitor
your campaign
• Reply to comments,
feedback, questions

• Look through your
analytics reports
• Measure success
• Repeat!
Listen
Goals
PlanExecute
Analyse

Wider world
Industry
Competition
Customers

Customers
• Who are they?
• What do they want?
• Where do they want to buy it?
• How do they want to buy it?
• When do they want to buy?
Angle Tip
You
Who
What
WhereWhen
How

Consumer Segmentation
Behavioural Psychographic Profile
Benefits
Sought
Purchase
Occasion
Purchase
Behaviour
Usage
Perceptions
And
Beliefs
Lifestyle Personality
Demo
graphic
Socio
economic
Geo
graphic

Organisational Segmentation
Microsegmentation Macrosegmentation
Choice
Criteria
Decision
Making
Unit
structure
Decision
Making
process
Purchasing
Organisation
Company
Innovation
Company
size
Industry
Geo
graphic

Competitors
• Who are they?
• What do they sell?
• Where do they sell it?
• How do they sell it?
• When do they sell it?
How are YOU different?
Angle Tip
You
Who
What
WhereWhen
How

Identifying competition
• Who offers the same products or services and delivers them in exactly the same way as you propose to do? (direct
competition)
• Who offers similar products or services as you but delivers them in a different way? (indirect competition)
• Who offers slightly different products or services as you but delivers them in the same way? (indirect competition)

Wider world
− You’re doing business in a wider world so factors such as
−Political
−Economic
−Social
−Technological
−Legal
−Environmental
Could all play a big part in your success

Industry / Market
Market
analysis
Market size
Market risks
Competition
Customer
needs

Market size
Total available market
This is the entire universe that could ever
buy your product, for your niche – anywhere
Addressable market
This is revenue represented by the market
segments that you intend to sell and service
in the time covered by your plan available
money

Market Size
A B C
Market
Size
Number of
customers
Average
transaction size
Number of
transactions per
customer per year

Market risks
Risks
Competition
Product
Financial
Technological

How
• Gather your own data
−Questionnaires
−Online
−Offline
−Focus Groups
−Informal feedback – social media

What is marketing?
Who
What
Why
When
Your customers
Your product /
service
Is there a pain?
Purchase
occasion?

What is marketing?
How
How will your
product be used?
How will you let
people know?
How will people
buy it?

Price
• Price your product or service at the level which your customers expect to pay for the quality you
are delivery
− Does not mean high price means high quality
− Nor high quality will justify a high price
• Pricing directly affects sales revenue
− Relate sales revenue to costs – cost of sale, production, raw materials, transport and
promotion
• Product – Price Mix
− Good after sales service or a brand well-supported with advertising may attract a
higher price

Promotion
When
Purchase
occasion?
Promotion

How - Promotion
Publicity
Direct Marketing
Personal
selling
Advertising
Sales Promotion
Internet/websit
e
Online
marketing
Face to face
(Trade
shows)

Which methods would you use to market?
Handmade Cushions Graphic Designer

Promotion
Which methods would you
use for your business?

Paid
You have paid to
leverage this
Paid advertising (print,
TV, Radio,
Sponsorships)
Awareness and
stimulation
Owned
You own and control
this media
Websites
Company Blog
Corporate Brochures
Build longer term
relationships with
existing customers and
potential customers
Earned
Customers are the
channel
Word of mouth
Viral
Blogs
Social Media
Listen and respond

Owned Media
• Take ownership of the different channels
• Reduce marketing spend on paid media
• Reach out and engage with customers to build lasting relationships

Possibly the most successful campaigns this century?
P
a
g
e
2
1
4
18,300,000
Media
impressions
870% increase in
facebook traffic
260,000 new donators
Rise from $1.7 mill to $13.3 mill
Total given now over $55 mill

Awareness
Interest
Desire
Action
Attract
Engage
Nurture
Engage
The journey
ModernVsTraditional

What is the journey for
your clients?
Can you map it out?
What media are you
going to use at each
stage?

Lets piece it all
together with a pitch

Pitching
Presentations
SalesWritten pitch

Definition
• A presentation is a means of communication which can be adapted to various
speaking situations, such as talking to a group, addressing a meeting or
briefing a team.

• Following are the steps include in preparing effective presentation:
Plan
Prepare
Practice
Present

Planning
• Planning usually include following questions:
• Who is your audience?
• Why are they there?
• What is your goal?
• How long will it be?
• Where will it take place?

Prepare
• Following points must keep in mind while preparing:
Structure
Prompt
Visual aids
Voice
Appearance
Style
Questions

Structure
• Write your presentation in this order:
Objective
Beginning or introduction
Main content
Summary, conclusion and recommendations
Questions

Structure
Introduction
Main theme
Summary/
Conclusion
Get Attention
Grab the
audience
attention
Content should
be relevant to
topic
Key message

Prompt
• Short bullet points, key words only.
• Put your entire prompt onto your power point slides.
• These prompt are for you.

Visual aids
• Use simple fonts, colors and graphs.
• Use images and clipart.
• 3 to 7 bullets per slide.
• Don’t over crowd your slides, it will not look professional.
• New or different visual aids
wake people up.

Voice
• Louder and clear than your normal pitch.
• Vary pitch and volume.
• Over emphasis

Appearance
• Dark colors read as businesslike.
• Wear comfortable shoes to weight your feet evenly.
• Allow yourself to move a bit.
• Look confident.

Professionals vs. non professionals

Style
Creative
Showman
Charismatic
Intelligent
Expert
Just be YOU

Questions
• Sketch an idea of what kind of questions audience may ask.

Practice
• Rehearse all points what you prepare.
• Rehearse with all visual aids and handouts.
• Practice again and again to manage time.
• Rehearse in front of mirror or a friend.

Present
• Make a strong start.
• Engage the audience in first 2-3 minutes.
• Show your passion through your movements and gestures.
• Make an eye contact.
• Don’t forget to smile as well,
unless your topic is very grim.

Flaws in presentation
• Lack of experience.
• Lack of enthusiasm.
• Lack of practice.
• Lack of related material.
• Lack of confidence.
• Hesitation.
• Ambiguity in the results
that you want to conclude.

Pitchdecks
A pitch deck is a brief presentation, often created using PowerPoint, Keynote
or Prezi, used to provide your audience with a quick overview of your business
plan. You will usually use your pitch deck during face-to-face or online meetings
with potential investors, customers, partners, and co-founders.

11 slides of a pitchdeck
Pitchdeck
Introduction
Team
Problem
Advantages
Solution
ProductMarket
Competition
Business
model
Funds
required
Contact
details

Pitchdeck Do’s
1. Tell a story & engage people emotionally
− Everyone loves to hear stories, even the investors. So tell an exciting story
about your startup.
2. Limit each slide to expressing one idea
− You want to keep your entire audience on the same page
3. Prepare to make a great first impression
− First impressions are powerful. Believe it.
The first 2-3 minutes are the most important
4. Show the people behind your idea
− Focus on a significant, relevant accomplishment for each person in a team that
identifies that person as a winner
5. Keep a consistent look in presentation
− Use the same font, size, color and capitalization format across all slides of your
investment pitch deck.

Pitchdeck Don’ts
1. Don't use too many bullet points
− Limit the bullets. Too many bullet points will kill a presentation.
2. Don't make it too long
− Average entrepreneur pitch: 38 slides. Average VC attention span/cranial
capacity: 10 slides. Do the maths.
3. Don't read word by word from your script.
− You will sound like a robot and miss
the all-important eye contact with the audience.
4. Don't create a text-rich, picture-poor presentation.
− People cannot read and listen at the same time. Great visual inspire and engage
people emotionally.
6. Don't use small fonts
− Always use a font large enough to be seen by all audience members. Use 32- to
44-point for titles and no smaller than 28-point for the text or bulleted items.

Where would we use a “Pitch”?

Lets try
• Its your turn
• Create an initial 30 second
pitch for your idea that you
are happy to present to
everyone.

What should it include
Beginning Middle End

Beginning
• Catchy title
• Grab attention
− Amuse
− Shock
− Ask a question
• Catchy hook

What do you do? The one liner
First introduction
Hi, my name is……… I / we ……………
For example
• We help companies maximise their growth potential
• Companies say we help them to achieve their growth goals more quickly
• We support companies to develop and implement their growth

Do we know what we are selling?
Features Promises
Business Pain Benefits

Features
Specific details about
the product or service

Promises
Promises can be made
about what benefits
the features could
deliver

Business Pain
The quantifiable
business drivers that
relate to issues such
as cost, income, profit
margin, reputation etc

Benefits
Specific benefits from
the promise list that
relate to the prospect
and their business
pain

Features Advantages Benefits
Buy groceries online Saves going out to supermarket • Makes supermarket shopping
possible
• Don’t face the ordeal of shopping
with toddlers
• Keep your limited leisure time for
yourselves
Twenty four hours a day seven days a
week
Can shop outside of normal hours • Shop when feel like it
• Concentrate when kids are asleep
• Sort out at weekend with no
pressure
Remembers your previous list Can make amendments rather that
starting from a blank sheet
• Tend to need the same things
• Head start to make the job quicker
• Save lists for different occasions
Total price clear before getting to till Useful for budgeting • Save money –limited income
• Possible to delete a few treats
• Know exactly what’s going on the
credit card
Selling the benefits

Elevator Pitch
The next step
Prospect Pain / Capability Gap
• Many Companies are trying to grow and are experiencing difficulties with lack
of finance, ability to innovate or the internal capacity to deliver
What’s my role
• My role is to help companies to overcome these barriers by providing the
support they need either in the form of workshops or one to one coaching
Why it’s unique
• What’s different about this is we work with a wide variety of high quality
coaches with a number of different specialisms

Supporting Facts
To back up your elevator pitch it is useful to have facts you can follow
up with:
For example
• We have delivered support to over 450 companies to date
• On average businesses engaged with us have grown by 105%
• 97% of businesses would recommend us to other businesses

Case Studies
To back up your elevator pitch and your supporting facts have to hand
a number of supporting reference stories.
For example:
An example of what we have done in a similar situation was to work with the
directors who were having difficulty gaining access to new markets in the food
and drink industry.

10 steps to sales pitch success
Ask people to buy
things
Don’t waste
opportunities. If the
customer starts asking
questions this is a
buying signal
Selling is not only
about talking. A good
sales person is an
active listener
Understand your
customers journey
Leaving brochures
behind is a wasted
opportunity to sell!
Asking about the past
is a good idea – it’s a
great icebreaker
What your customers
want to buy is value.
Our job is to create
and communicate
value
Don’t sell by email or
text.
Remember there is no
need to be aggressive.

Lets put it all together
• Your turn.
• Lets create a two minute presentation
on your idea.
• Think about
− the pain
− What your role is
− Why are you different
• Include evidence if possible

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