This session opens by naming a myth: that growth is about winning market share from competitors. The research behind it finds that more underperformers focus on their own slice of the pie, while overperformers take a more expansive view and look at category growth and beyond.
Key findings
- The split on where growth is sought is reported as 55 percent against 44 percent on focusing on increasing market share, and 46 percent against 56 percent on focusing on category growth and beyond.
- The ability to assess and understand market developments separates the groups widely, at 43 percent against 86 percent.
- So does the ability to link different data sources to distil insights, at 34 percent against 67 percent.
- Embracing risk and experimentation shows the same pattern, at 13 percent against 40 percent.
Four ways to think abundantly
The approaches offered are moves in definition rather than in tactics. From product to service and experience. From functional value to emotional and social value.
The other two are about the boundary of the business: extending on the basis of core competencies, and exploring adjacent categories. The deck attaches a warning to both.
The worked examples are category redefinitions. A creative software company moving to total marketing solutions, and a pet food business becoming a pet care business.
Building the skill
The capability is described as spotting and riding the right wave, which the deck breaks into listening differently and watching differently.
Journey maps are used to widen the frame beyond the transaction, running from explore and shop and buy through onboarding, use, service and renewal.
The data ambition is stated as one version of the truth for all, and the organizational answers are working differently and hiring differently, with human centricity made important.
Tying it back to humanized growth
The session closes the loop with the humanized growth equation, multiplying colleague, customer, community and capital market value, and then works through each of the four stakeholders in turn.
Participants are asked individually where they are leading and lagging on abundant markets, what is blocking success, and what they personally can do about it. In groups they schedule a sparring call on the first milestone and prioritize best practices.
The suggested reading and viewing is Rory Sutherland’s rules of alchemy and an excerpt on the Lego turnaround.
Scope and limitations
The file also carries slides belonging to the following session on multiple business models, including the business model canvas and the chess and checkers comparison, so not all of its content is about abundant markets.
Source
This page summarises Abundant Markets, by Institute for Real Growth, February 2021.