Market Life Cycle Dynamics
An “S” Curve
A market life cycle is typically characterized by an “S” curve. The “S” curve is composed of three regions representing three different market voices.
All three voices are important at all times. But one voice is dominant in each region:
Region 1 – JOB, customer, stakeholder.
Region 2 – job, CUSTOMER, stakeholder.
Region 3 – job, customer, STAKEHOLDER.
Each region has its own dynamics associated with identifying, capturing and delivering new value through distinctive differentiation.
Voice of the Job
Competing on solution architecture to differentiate job performance to increase the number of customers.
The test of the solution architecture is Desirability.
The desirability of a new solution has 2 requirements:
1. It must reduce the trouble associated with using available solutions.
2. It must improve the user experience compared to available solutions.
Voice of the Customer
Competing on design ( product/service duality ) to differentiate the user experience to increase sales.
The test of the design is Feasibility.
The feasibility of a new design is dependent upon the capability to deploy new technologies and solutions that are more desirable.
Voice of the Stakeholder
Competing on value chain processes to differentiate business performance by reducing costs and improving responsiveness to increase profitability.
The test of the value chain is Viability.
The viability of a new value chain process is dependent upon having the process and process skills needed to implement improvements.