All products and services commoditize, but companies don’t have to. The Renewable Differentiation SM Model allows companies to work above the Safety Line SM as an advisor, a solver of pressing customer issues, and to pull through the commoditized portion of their portfolio.
At some point in a B2B company’s lifecycle, you will inevitably find it difficult to sustain revenue growth and margin. Too often, you are limited in your options in dealing with the commoditization of the very products and services that once drove your success. In order to combat the threat of commoditization, you must reshape your business model to create Renewable Differentiation. When addressed as a business model challenge, results can be significantly improved and the cycle of commoditization can be arrested.
Benefits: Achieving renewable differentiation enables you to:
- Maintain relevance in the midst of market saturation and commoditization
- Drive intimacy with customers
- Continually refine your ideas and approach to ensure optimum solution development and delivery
- Attract new accounts with innovative Ideas and offers
- Enhance margins by creating demand, rather than responding to it
Critical Success Factors:
Fostering Renewable Differentiation requires effective implementation of the True Intimacy Business Model. This includes:
- Adoption of and Interplay between the components of True Intimacy including: Inverse Market Segmentation, Affinity Targeting, Account Categorization and Synthesis, Transformative Portfolio, Integrated Offers, Account Pathways, Leading Account Journeys, Idea Selling, and Advisory Capacity
- The ability to determine Where to Act, What to Do, and How to Win
- A deep understanding of your customer and their challenges and opportunities
True Intimacy Model SM, Portfolio, Idea Selling SM, Service Chains SM, Account Pathways