Global Innovation Management Business Model and Presentation

1. Global Innovation Management Business Model and Presentation

2. Workout • Describe • A novel e-Marketing business opportunity, • A potential customer set • This can sometimes the most difficult challenge; it is determined before determining the product • A product or service that can be sold by the firm • The associated business model • (you will generally choose from one of the seven e-Marketing business model(s) described in my white paper on the IDS313.info site) • Track the value flows in the business model • Define a business model: • That produces revenue by satisfying customer demand • i.e., that meets the ‘Framing’ challenge • That can be argued to have high expected ROI • (where expected revenues significantly exceed expected costs) • i.e., that meets the ‘Venture Capital’ challenge

3. Three Challenges Framing Venture Capital Communication

4. The Framing Challenge • What Is the Real Business Problem? • Accurately define your customers and what motives them • Properly framing a problem in terms of • the reality of the situation and • the objectives of the organization • is an important step in the decision-making process. • Mental frames act to channel our thinking and are important tools to help navigate complex decisions

5. The Venture Capital Challenge • What is your business worth, and why? • Your new venture competes in two markets: • Product • Financial • How will you tie this to your business model • tying narrative to numbers • What are the activities, operations and products? • What are the significant environmental influences? • major competitive forces outside management control • How does value flow through your business model? • What is the Net Present Value of future activities

6. The Communication Challenge • Provide a ‘lead in’ which will ‘hook’ your listener (the elevator pitch) • Provide a brief ‘sales pitch’ presenting the major components of your innovation and business • Consider what parts you most want to emphasize about the business model • Describe your business in one paragraph (equivalent to the 25 second pitch) • Numbers • Behavioral model and capabilities required • Strategy model • Investment Risk • A summary financial analysis to show risk and ROI for the project • Answer your investors question: • Why should I give you My money?"

7. Design of Siteis Part of the Communication Challenge • In your presentation, you should walk through your website’s structure, and show how the activities below are implemented in that website • You should explain your marketing, AdWordsand keyword search strategy for getting customers to visit your website’s ‘Landing Page’ • Explain how you manage customers after they arrive at your ‘Landing Page’

8. Steps to an e-Businss

9. Activity #1:Identify your Customer • Commercialization is about creating a customer • ‘Quiz’ to identify your customer: • Who? • … is with customers while hey use the product & How much influence do they have • If we could arrange it, who would we want the customer to be with … • What? • … Do our customers experience when the use the product • … needs provoked our offering • What else? … might customers have on their minds • When? … do our customers use this .. • Where? … are our customers when they use this • How? … do customers learn to use the product ..

10. Activity #2:Select a Product or Service • Select a Product or Service that you are interested in marketing via Internet business models • This is mainly about determining your Core Capabilities • Capabilities =Assets + Competences • Money is important • Innovation  Utility  Commercial value • Talk about your opportunity register (OR) • Your repository of alternative ideas that can be pulled up at any time If a particular idea isn’t working

11. Identify the 3 most important features • Specify the particular customer choices you are offering in your product or service (no more than three) as • Identify the discriminators and energizers • What differentiates your product from competitors’ in the customer’s minds? • List the three features that are important to the target customer, and rank them from most to least important.

12. Activity #3:Make a Profitable e-Marketing Business • Define how you will measure the usefulness or attractiveness of each of these features to the target customer. • This performance metric should be a numerical measure • Draw a value map describing your companies proposed business model, and • provide some indication of the costs and revenues that will flow into and out of the business. • Define your product’s top competitor in each of these 3 features • Are these companies profitable? • How big (approximately) is their business? • Why is your product better? • Think: Low-costor Differentiated Products?

13. Activity #4:Define your (Internet) Marketing Channels • Consumption Chain Analysis • Works from the premise that • opportunities for differentiating your product from others • lurk at every step and decision that your customers take • From the time they first become aware of their need for your product or service • To the time thy finally dispose of the remnants of the used up product • Product differentiation is the secret to high revenue

15. Consumption Chains will Help you Determine How to Lead Customers Through your Internet Channel

16. Customer Relationship Management (CRM) • Determine the main steps in consumption • Each step on the consumption chain has an attribute map • You should only list the 3 or 4 most important steps • These will determine whether the potential customer proceeds to the next step (good) • Or leaves the consumption process (not good)

17. Activity #5:Describe the Business Model and Entrance Strategy • Start with a compelling story • Part of selling your strategy / investment • Tying Narrative to Financial Numbers • Strategy becomes less philosophy • More performance and outcome • What activities, operations and products are within the ‘scope’ of the valuation analysis? (Bubbles: depends on audience) • What are the significant environmental influences? (Boxes: major competitive forces outside management control) • How does value flow through the relevant scope of the analysis? (Arrows: value metric)

18. Market Entrance Strategy • What are the major competitive forces molding managerial strategy which add to, or take away from ‘Value’? • What ‘levers’ (strategy drivers) can management pull to influence value added? • What is the functional relationship between value and the strategy drivers? (Define the ‘Strategy Model’) • What are the major technologies relevant to managerial strategy which add to, or take away from ‘Value’?

19. Activity #6:Getting Customers to your Landing Page • Keywords, keywords, keywords • Which will you buy? • What are the trends? • How much will it cost? • How much traffic? • How much revenue • Will that traffic generate?

20. Keyword Toolhttps://adwords.google.com/select/KeywordToolExternal • Use the Keyword Tool to find 3 keywords-phrases that are better than those you selected • How much did monthly search volume increase • Will you have to pay more for these new keywords?

21. Keyword Trendshttp://www.google.com/trends • Will your 3 old keywords-phrases be more or less popular one year from now • Will your 3 new keywords-phrases be more or less popular one year from now

22. Traffic Estimator

23. Identify your Keyword Goals • Get more clicks • Focus on keywords and placements. Increase your ad exposure by adding keywords and site placements to your ad groups.  • Increase clickthrough rate (CTR).“ • Focus on ad quality • Attract more clicks by refining your ads, • Eliminate extra impressions by choosing highly targeted keywords and placements and using negative keywords • Improve return on investment (ROI)." • First, focus on your ads and your keywords and placements to attract the right audience • Then focus on your website. • Be sure your landing page and site are set up to let users find what your ad offers 

24. Attaining Goals • Organize your campaigns by topic • Create separate campaigns for each of your product lines, resources, or brands. • This helps you monitor your advertising more easily • Target the right languages and locations • For each campaign, target ads by languages and locations • Create highly specific ad groups. • As with your campaigns, each ad group should center on a single product or service • Build a list of keywords or placements, then separate them into related ad groups • Create ads that pertain directly to that list. • For example, if you sell mp3 players, and you've organized your campaigns by brand, create multiple ad groups based on the models of each brand. 

25. Conversions • Conversion = Money Generating Web Action • Point users to the right landing page. • When users click on your ad, they should arrive at a landing page clearly displaying the information or product offered • Keep the user experience in mind. • Place important information and images on the top left, where the eye naturally goes first. • Help people get what they want in three clicks or fewer. • Create a simple process for users to complete transactions

26. Activity #7: Website Usability • What will you do once you get a potential customer to your ‘Landing Page’? • Walk through your website: • Show how it implements the Consumption Chain • Show how you lead customers from one page to another • How many steps are there from • Landing Page to • Conversion (collecting payment)?

27. Website UsabilityAttention Management • Identify where customers attention is focused • What is your goal? • Think in terms of Conversions!

28. Required • The project will comprise the following: • Work in groups of three to four • 25 second ‘elevator pitch’ • 10 minutes to walk through • the activities that will define your e-business model • Use the whiteboard to emphasize points, draw graphs, etc. • Feel free to present on PPT from your laptops.

29. Required: Meet the Challenges • Framing • What Is the Real Business Problem? • the reality of the situation and • the objectives of the organization • Venture Capital • Your new venture competes in two markets: (1) Product; (2) Financial • What are its activities, environmental influences, operations and products? • How does value flow through your business model? What is the NPV of future activities • Communication • Provide a ‘lead in’ which will ‘hook’ your listener (the elevator pitch) • Provide a brief ‘sales pitch’ presenting the major components of your innovation and business • Consider what parts you most want to emphasize about the business model • Answer your investors question: • Why should I give you My money?"

30. Required: How does your e-Business Site Meet these Challenges? • In your presentation, you should walk through your website’s structure, and show how the activities below are implemented in that website • You should explain your AdWords and keyword search strategy for getting customers to visit your website’s ‘Landing Page’ • You should explain the operation of your “conversion cone – consumption chain” in generating “Conversions”