By Paola Loiacono, Head of Open Innovation Movistar Hispam
The digital transformation, accelerated by the impact of the pandemic, generates new challenges for organizations. They responded to the changes by developing and implementing digital solutions, automating processes, and enabling new ways of working with their collaborators from new remote schemes.
All this encourages corporations to work more and more with startups, since they provide access to new technologies and innovation and allow them to become infected with a more agile and dynamic culture. The startups also invites them to question their current processes, which allow them to access new markets, improving competitiveness; as well as the employer brand, which positions them when it comes to attracting better talent.
According to one of the latest Gartner reports, digital services growth of 16.5% is expected in the coming years, which represents an opportunity for startups to grow, gain scale, position and access other customers and markets through their accompaniment to corporations.
Today the practice of open innovation is becoming the main innovation strategy of companies. Telefónica Movistar offers a commercial platform that allows startups, especially those that are part of the Wayra portfolio, its Open Innovation hub and corporate fund, to access the market and grow through its commercial channels.
For the model to be successful, it is essential to achieve an alliance where a model of contributions and benefits of each of the parties is agreed, considering: a revenue sharing agreement, the sales model, service, billing, and collection, among others. .
The main fronts to consider are:
It must be analyzed and determined:
- Market opportunity: which will allow us to know what level of income we can capture, also considering the degree of penetration of our competitors.
- Target customers: we must be able to segment and thus be able to reach them with a value proposition appropriate to their needs and budget.
- Competition: know their strengths and weaknesses and thus be able to highlight our differentials with respect to them and in turn develop a good handling of objections, for this it is important to always carry out a “ battle card ” with the competition comparison and that highlights the benefits in a way that allows a powerful and argumentative speech for the commercial area when having to position the product in front of the competitors.
2. Customer Journey
It is crucial to have all customer contact points identified, thus ensuring the value chain. The first phases are related to the act of purchase: discovery, consideration and purchase; while the last phases are after the sale for customer retention and loyalty.
Being clear about the customer’s experience allows us to know and improve. Today’s world demands immediate response, for which we must develop the agility of our processes, taking into account that the waiting times between needs and satisfaction are increasingly shortened; but they also require customization, since the expectation of the client grows more and more because we know him.
3. Value proposition
Our product or service must be presented from the resolution of the client’s need, considering its use and benefits, clearly transmitting how it will help them and generate value, and at the same time will make it more successful and competitive. This, also considering the return on investment generated by its incorporation.
All these points should be reinforced in the training sessions, to ensure that commercial teams know the triggering questions to ask customers when offering solutions.
4. Commercial and channel strategy
Once we are clear about the market potential and our value proposition, we must determine which or which will be the sales channels based on the products and services.
There will be products that require a face-to-face sale as they are more consultative, and others will be through indirect, digital or inbound marketing channels.
In the commercial strategy we must consider the possibility of defining comprehensive offers with other solutions that allow us to offer the client a proposal that addresses several of their needs, as well as bundles together with other core products of the company (service pack with discounts).
Not a minor point is the definition of objectives and incentives of the different channels, as well as commercial actions such as promotions, demand generation events, webinars, contests and training with a suitable discourse for each channel.
Do not forget to measure each action taken to know its impact and possible future adjustments.
In order to achieve the objectives and achieve the success of both corporations and startups, it is essential to define a plan. This same one must have objectives, managers and times of execution of the tasks. Give continuous monitoring to be able to make the necessary adjustments and teamwork with a high degree of involvement of both parties.
In order to capture market growth, it is essential to be able to develop a plan collaboratively, it must have a follow-up that allows it to adjust and correct according to the feedback and results that are obtained.