3. Market Sizing
#CMULean
Total Addressable Market
Served Available
Market
Target
Market
Top Down Bottom Up
Take key variables in revenue
model & multiple by market
data assumptions
Example:
# of Potential Users x
# of PageViews x
(Average RPM in Mkt/1000)
9. Innovators Early
Adopters
Early Majority Late Majority Laggards
Modified Source: http://www.slideshare.net/rstrad1/berkeley-digital-media-conference
Technology Adoption
Life Cycle
#CMULean#CMULean
10. Market Types
B2B: used & purchased by businesses
B2C: used & purchased by consumers
B2B2C: sold to business to acquire a
consumer
#CMULean
11. Innovators Early
Adopters
Early Majority Late Majority Laggards
Modified Source: http://www.slideshare.net/rstrad1/berkeley-digital-media-conference
Technology Adoption
Life Cycle
B2B: Pragmatists
B2C: Engagers
#CMULean
12. Replicable Customer
Acquisition
SalesMarketing
A: Acquisition where / what
channels do users come from?
A: Activation what % have a
"happy" initial experience?
R: Retention do they come back
& re-visit over time?
R: Referral do they like it enough
to tell their friends?
R: Revenue can you monetize any
of this behavior
P: Process understanding the
critical activities and stages to
activate an account
P: Pipeline measuring number of
accounts at each stage and
likelihood of closing
S: SPIN a methodology for asking
questions along 4 steps
Situation Problem Implication
& Need-payoff#CMULean
16. Replicable Customer
Acquisition
SalesMarketing
A: Acquisition where / what
channels do users come from?
A: Activation what % have a
"happy" initial experience?
R: Retention do they come back
& re-visit over time?
R: Referral do they like it enough
to tell their friends?
R: Revenue can you monetize any
of this behavior
P: Process understanding the
critical activities and stages to
activate an account
P: Pipeline measuring number of
accounts at each stage and
likelihood of closing
S: SPIN a methodology for asking
questions along 4 steps
Situation Problem Implication
& Need-payoff#CMULean
17. Sales Process
• Predictable
• Scalable
• Automated
• Clearly defined “levers” you can pull
• Instrumented with great metrics
• Cost Optimized
#CMULean
18. Sales Funnel
• Process should drive to
defined stages
• Measurable Location
#CMULean
Qualified Opp
Proposal Sent
Verbal Commitment
30%
60%
80%
Sample
20. S.P.I.N Selling
S: Situation Questions
facts about buyers
existing situation
P: Problem Questions
focus on the PAIN
I: Implication Questions
effects of the problem
N: Need-Payoff
Questions getting BUYER
to state the benefit
#CMULean