Commodity - The Diigo Meta page

• 09 Aug 13
  

  jmkeuning
  • Like death and taxes, commoditization of your products is a given.
  • still plenty of opportunity for differentiation around availability, delivery, shipment quantities, payment terms, and all the other services that accompany the core product.
  • As the saying goes: "There are no mature products, only mature managers."
  • three things to delay the inevitable forces of commoditization.
  • Innovate
  • Bundle
  • Segment
  • try to innovate at all costs
  • But how do you survive if you find yourself in a commoditizing industry characterized by me-too products, overcapacity, and frequent price cuts? How can you make money?
  • Decide which customers you do NOT want to serve
  • Compensate your salesforce on profit margin, not sales revenues
  • Trim costs and acquire competitors (with profitable customers)
  • If you aren't the low cost producer, complicate your pricing structures so customers can't easily make side-by-side comparisons

  11 more annotations...

• 12 Feb 08
  

  Bruce Lewin

  How often have you heard a manager blame "commoditization" for failing to deliver sales or profits? If you've heard it, you've probably wondered if it was just a convenient excuse or if the manager had a valid point.

  strategy commodity competition business marketing value execution hbr

• 21 Jan 08
  

  Brian G. Dowling

  entrepreneurship gvoid marketing creative destruction

  • 
  • The truth is, even when a raw material has no value added and quality standards are set by law or the industry, there is still plenty of opportunity for differentiation around availability, delivery, shipment quantities, payment terms, and all the other services that accompany the core product. Marketers must use their imagination. As the saying goes: "There are no mature products, only mature managers."

    • The source of this link was <a target="_blank" href="http://www.businesspundit.com/50226711/when_your_product_becomes_a_commodity.php" _fcksavedurl="http://www.businesspundit.com/50226711/when_your_product_becomes_a_commodity.php">Businesspundit</a>&nbsp; <a href="http://www.businesspundit.com/50226711/when_your_product_becomes_a_commodity.php" _fcksavedurl="http://www.businesspundit.com/50226711/when_your_product_becomes_a_commodity.php" title="When Your Product Becomes a Commodity">When Your Product Becomes a Commodity</a><!--{PS..0}-->
      Filed in archive <a href="http://www.businesspundit.com/50226711/strategy.php" _fcksavedurl="http://www.businesspundit.com/50226711/strategy.php" title="Strategy">Strategy</a>
      by <a href="http://www.businesspundit.com/contributors.php" _fcksavedurl="http://www.businesspundit.com/contributors.php">rob</a> on December 30, 2007.&nbsp; I see it relating to the concepts I am trying to get my head around from Gapingvoid. <br><br>
    Add Sticky Note
• 06 Jan 08
  

  tvaananen

  How can you compete in a commodity market that has established players?

  business strategy competition

• 05 Jan 08
  

  Jorge Barba

  strategy business marketing commoditization competition stanford harvard innovation commodity

• 18 Dec 07
  

  Todd Zimmerman

  toread business marketing

Public Stiky Notes

• 
  Brian G. Dowling on 2008-01-21
  The source of this link was Businesspundit  When Your Product Becomes a Commodity<!--{PS..0}-->
  Filed in archive Strategy
  by rob on December 30, 2007.  I see it relating to the concepts I am trying to get my head around from Gapingvoid.
  
  

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