In today’s world, startup’s are focusing on utilizing technology to bring in elements of convenience to the end user. Strategies for market penetration and consumer usage (downloads) have evolved over the period of time.
Few elements of marketing have remained the same and will do so.
Word of mouth marketing has a lot of value. Have you tried using this product? or have you downloaded this app? makes a lot of difference. I would like to use something which has been tested by someone else. In the pre-technology era, advertisements made a good value. If Nirma has become a household name, it is only because of its advertisement in the TV.
In the technology space, we do not see a lot of advertisements on the TV and a few in these days are utilizing the power of radio. Most of the ideas and apps still go with a word of mouth or sometimes a mention in the media.
Apps do not have market segmentation – they are same for everyone. If someone drives an Audi, BMW, Volvo or Jaguar, we identify them differently when compared with someone who drives a smaller car. In the technology space, you cannot differentiate between someone using Uber or Ola app.
One of the biggest challenges for tech startup’s is understanding their consumer needs. Very few companies actually do survey’s and understand the user preferences and then build their application.
Traditionally, market surveys in the ‘target’ market segment helped companies to identify what their consumers want. Even in the tech space, few companies do the market survey, but these surveys do not cover various geographies. If the startup is based in Bangalore, the maximum the survey’s reach is to the metros and smart cities where people are using email or The Internet. But, there is a lot of population who do not see the email or cannot use the internet to answer questions. For Tata tea to become number one in the country, they had to understand the taste of tea in various parts of the country. In UP, people preferred large granular tea where as in Orissa people preferred the fine tea dust. The taste’s are different and so, the company had to innovate and bring out a different category in the product to ensure maximum reach. How can we do this in the technology space?
I don’t think there is a formula to understand this. The market time for technology product is few days or months and for a goods companies, it is months or probably years. So, it is very important for them to do the survey’s and get their product right. In technology companies, if uses complained, then they can immediately make changes to their design or functionality and roll out a new release.
Is there a formula to get the app right the first time? It is time to Think…