Our clients recognize the value some investors place on technologies that have multiple applications. Yet, a common dilemma among founder’s is determining which market segment to target first.
Here are a few simple steps to help you determine how to prioritize your opportunities.
Step 1. Landscape Analysis – Customer Needs, Payment & Product Fit Here are some questions to answer that can help you identify your go-to-market strategy:
- What problem does your solution address?
- Who are all the customers who may have this problem?
- Do these customers recognize they have a problem?
- Will the payer (commercial and government insurance) cover this solution in each clinical setting?
- If so, does the payment level enable profitability?
- How motivated are the customers to use your solution?
- What is the total market opportunity and total addressable market for each application?
- Are there synergies across markets that can be leveraged over time?
Step 2. Market Attractiveness Criteria In addition to the questions above, it is important to understand what your success criteria are and the relative value of each. These could include: total market opportunity, sales complexity, motivation to address unmet need, strength of value proposition, barriers to entry and more.
Step 3. Prioritization Steps one and two inform step three. By conducting due diligence on each market through primary and secondary research, you will gather market insights to inform an ‘apples to apples’ comparison. This will enable an at-a-glance view of where the opportunities and challenges lay leading to an informed decision. From here, commercialization strategies can be developed to maximize the opportunities and minimize the risks. Further, you will have a clear story to attract investors and employees to enlist in your vision!