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Crossing the Chasm: Marketing and Selling High-Tech Products to Mainstream Customers
Ebook Free Crossing the Chasm: Marketing and Selling High-Tech Products to Mainstream Customers
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Amazon.com Review
Author Geoffrey Moore makes the case that high-tech products require marketing strategies that differ from those in other industries. His chasm theory describes how high-tech products initially sell well, mainly to a technically literate customer base, but then hit a lull as marketing professionals try to cross the chasm to mainstream buyers. This pattern, says Moore, is unique to the high-tech industry. Moore suggests remedies for the problem that can help businesses meet their long-term goals. He coaches marketing professionals on how to move slowly through the gulf, teaching them to create profiles and target specific segments of the population rather than trying to plow right into the mainstream. He cites examples of successful chasm crossings by such companies as Apple, Tandem, Oracle, and Sun, showing what they all had in common and exposing the different weaknesses in their strategies. Moore also assigns responsibility for success to programmers and developers by suggesting they design a "whole product model." Here, because integration tasks are daunting to the mainstream market, all the components of a technological product must be in one package. Moore also describes strategies for competing with rival companies and assessing the best distribution channels for penetrating the target market. Written not just for marketing specialists but for all employees whose futures ride on the success of a technical product, Crossing the Chasm delivers crucial information in an engaging, readable tone.
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From Scientific American
Moore provides an invaluable service to high-tech entrepreneurs and investors: he has identified the weak link in the marketing chain which makes the success of such ventures so unpredictable, and he outlines proven, specific techniques to address this challenge. At a time when the high-tech community in the U.S. cedes much of its once-held manufacturing advantage to the Far East and elsewhere, it is critical that these U.S. enterprises must retain superior marketing as a competitive advantage. Crossing the Chasm provides critical information for achieving this end. About the Author: Formerly a partner with Regis McKenna Inc., Geoffrey A. Moore is now president of his own firm, Geoffrey Moore Consulting, and founder of The Chasm Group. He has consulted with over 30 high tech corporations, including Hewlett-Packard, Apple, AT&T, Oracle, IBM, and Samsung. Moore is also the author of Inside the Tornado ) which details market dynamics of hypergrowth, and explains how to pool resources, gain supporters during pre-tornado phase, then how to unleash them once the tornado hits. He holds a degree in literature from Stanford University and the University of Washington. Moore is a frequent speaker at industry conferences and trade shows and also lectures at business schools, where Crossing the Chasm is often a required textbook. He lives with his wife Marie in Palo Alto, California.
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Product details
Paperback: 240 pages
Publisher: Harperbusiness; First Edition edition (October 1, 1995)
Language: English
ISBN-10: 0887307175
ISBN-13: 978-0887307171
Product Dimensions:
5.5 x 0.8 x 8.2 inches
Shipping Weight: 6.4 ounces
Average Customer Review:
4.2 out of 5 stars
169 customer reviews
Amazon Best Sellers Rank:
#2,090,297 in Books (See Top 100 in Books)
The author's emphasis is on distinguishing between the selling and marketing tactics for the early innovators versus the mainstream customers. There is a chasm between the innovators and mainstream market and the author dedicates the book outlining the various steps a high tech company should perform to successfully navigate through the chasm.Some key points and lessons learned:- It is important to maintain momentum in order to create a bandwagon effect that makes it natural for the next group to want to buy in.- Early adopters want a change agent while the early majority looks for productivity improvement for existing operations - they want an evolution not revolution.- Vapor vare should be avoided during chasm crossing - Vapor vare is pre-announcing and pre-marketing a product which still requires significant development.- Resistance is a function of inertia growing out of the commitment to the status quo, fear of risk or lack of compelling reason to buy.- Crossing the chasm requires moving from an environment of support among visionaries back into one of skepticism among pragmatists. It means that moving from product related issues to unfamiliar ground of market oriented issues AND moving from the familiar audience of like minded specialist to uninterested generalist.-It is the market centric value system - supplemented ( but not superseded ) by the product centric - One that must be the basis for the value profile of the target customers when crossing the chasm.-Elevator Speech Template1. For (target customers - beachhead segment only)2. Who are dissatisfied with (the current market alternative)3. Our product is a (new product category)4. Unlike (the product alternative)5. We have assembled (key whole product features for your specific applications)- Why is elevator speech important ?1. Your claim cannot be transmitted by word of mouth consistently.2. Marketing communications will be all over the map.3. R&D will be all over the map.4. You are not likely to get financing from anybody with experience.- The product alternative in your elevator speech helps customers understand your technology leverage (what you have in common) and your niche commitment (where you differentiate). Market alternative helps people identify your target customers (what you have in common) and your compelling reason to buy (where you differentiate).- Positioning: Goal should be to make products easier to buy not easier to sell. The four stages in positioning:1. Name it and frame it - Positioning needed to make a product easy to buy for a technology enthusiast.2. Who for and what for - Positioning needed to make the product easy to buy from the visionary.3. Competition and differentiation - Positioning needed to make the product easy to buy for the pragmatist.4. Financials and future plans - Positioning needed to make the product easy to buy for the conservative.- During the chasm period, the number one concern of pricing is not to satisfy the customer or the investor, but to motivate the channel.- When crossing the chasm we are looking to attract customer oriented distribution by using distribution oriented pricing. There are two types of pricing strategies: value based and cost based. The value based strategy is based on the final big value the client will realize using the product while the cost based is dependent upon the cost incurred to deliver the product.
I first read this book some years ago when I was building an early adopter product . It's concerns (going mainstream, appealing to pragmatic buyers) seemed remote and misplaced. Having been through the chasm I have grown to appreciate it's sound advice. What is necessary to achieve early product success is very different from enduring , mainstream success. Building a whole product solution is as important, if not moreso, than marketing a cutting edge subcomponent . Valuable Field guide to a difficult problem
This is my second time through this canonical tech marketing book. The book explains the keys to bringing new tech to market. In particular, the ideas of narrowing to a nitche and assembling a whole product when crossing the chasm. This helps mainstream customers buy as they see a product as a market leader. This is when a category transitions from a product-focused sale to techies and visionaries, to a market-drive sale to more pragmatic and risk adverse customers.
This book offers a true blueprint for companies looking to market and sell innovative high-tech products in a mainstream market.This blue print begins by segmenting customers into groups with different needs and goals (innovators, early adopters, early majority, late majority and laggards). These groups do not form a continuous spectrum. Indeed, there are gaps that exist that any company looking to succeed needs to understand and bridge. Once the company identifies the highly specific target segment within a mainstream marketplace, they then proceed to understanding their compelling reasons to buy. Then they must build around the notion of a "whole product" with the aid of partners as required to make that a reality. To further help the customer, the company must clearly define their competition and how they position themselves with respect to them. Finally comes selecting a distribution channel and ensuring that the sales force is empowered to deliver the required results.From my perspective, this book helps any IT executive understand how to better work with technology vendors. In addition to helping them identify the ones that are indeed there to stay and grow. It also pushes IT executives to make fundamental decisions on where in the consumer spectrum they want to position themselves based on their needs and the risks that they are willing to undertake.In all a very good and informative read. Despite it being originally written in the 90s the fundamentals of the blueprint still hold true. This is a true bible in the field of technology marketing. On the critiquing side, I would say that this book could have been written in a more concise fashion. It seemed slow at times, when reading it. Also, it would have been great to see updated examples of the principles described which would make it easier to reflect upon from a more recent perspective.
There are a number of great insights in this book, especially for engineers who are beginning to climb up out of their heavy technical world and want to have true and serious impact on the real world. I was a bit disappointed to see that the transformation to the online version appears to have at least one recurring defect. It looks like some symbol used in lists in the paper book does not translate properly into a symbol in the on-line version. What we see on the Kindle Reader on the iPad are lines starting with "535." It would be nice if there were someway to point out these defects to someone with an expectation of this copy automatically get updated at some point in time.Even with this annoyance, which caused me to downgrade the book by one star, the book is very readable and useful. I was also a bit surprised to see that the Kindle version of the book is slightly more expensive than the paper version, which makes no sense to me at all!
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