CustomerNetworkStrategyGenerator

1. Objective Setting
Direct objectives

Higher-order objectives

2. Customer Selection & Focusing

Segments

Unique objectives, value prop, barriers

3. Strategy Selection

ACCESS

ENGAGE

CUSTOMIZE

CONNECT

COLLABORATE

4. Concept Generation
5. Define Impact
2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

Example:
PlatformBusinessModelMap
(Facebook)

Users
(linchpin)
socialinteraction,
content,apps
(networking
tools)

socialinteraction,
$forapps,audience
($shareforapps,data)

audience
(viraldistribution)

Publishers
(sweetener)

audience
(targetingtools)

Facebook

Advertisers

(platform)

(primarypayer)

content
(userstickiness)

($foraudience)

apps
(userstickiness)

$forapps
(viraldistribution)

App
Developers
(payer)

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

Example:CompetitiveValueTrain(HBO)
HBONow(directservice)

Show
creators

HBO

Cable
companies

Viewing
audience

ORIGINATOR

PRODUCER

DISTRIBUTOR

CONSUMER

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

DataValueGenerator
1. Area of Impact and KPIs
2. Value Template Selection
Insight

Targeting

Personalization

Context

3. Concept Generation
4. Data Audit
Current data

Needs gaps

New sources

5. Execution Plan
Technical solution

Business processes

Proof of concept

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

ConvergentExperimentalMethod
1. Define the Question and Its Variables
Question statement

Independent & dependent variables

2. Pick Your Testers

3. Randomize Your Test and Control
4. Validate Your Sample
Unit of analysis

n=?

Signal-to-noise

5. Test and Analyze

6. Decide
7. Share Learning
2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

DivergentExperimentalMethod
PREPARATION

1. Define the Problem

2. Set Limits
Time

Money

Scope

3. Pick Your People

4. Observe

ITERATION

5. Generate More than One Solution

6. Build an M.V.P.
Minimum cost

Maximum learning

7. Field-Test
8. Decide

ACTION

Proceed

Pivot

9. Scale Up

Prep to launch

Pull the plug

10. Share Learning

Four paths to scaling

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

ValuePropositionRoadmap

OVERALL

1. Identify Key Customer Types by Value Received

2. Define Current Value for Each Customer
Value elements

Overall value proposition

3. Identify Emerging Threats

New tech

Changing needs

Competitors & substitutes

PERCUSTOMER

4. Assess the Strength of Current Value Elements

5. Generate New Potential Value Elements
New tech

Socio-cultural / business trends

Unmet needs

6. Synthesize a New Forward-Looking Value Proposition

4-tiered elements

Overall val prop

Areas for innovation

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

DisruptiveBusinessModelMap
Incumbent

Challenger
Customer
Value Proposition

Value Network

Generatives

Components

Differential

Differential

Two-Part Test
Radically displace value?

Barrier to imitation?

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com

DisruptiveResponsePlanner
Customer Trajectory

Disruptive Scope

Other Incumbents

Outside-in v. Inside-out
Whos first
Next + triggers

Use case
Customer segments
Network effects

Value train
Substitution
Laddering

Six Incumbent Responses

Becoming the disrupter
Acquire
Launch
Split

Mitigating losses
Refocus
Diversify
Exit

2016DavidL.RogersExcerptedfromTheDigitalTransformationPlaybook
(ColumbiaBusinessSchoolPublishing)Visitwww.digitaltransformationplaybook.com