SubaSa

Initial situation

The most critical phase for SMEs to successfully realize subscription business models (SGM) is the cost-intensive and high-risk market launch phase. This is particularly evident in the increasing number of companies that have already been able to develop initial value propositions for SGM, but are currently unable to successfully establish this performance in the newly developed business model on the market.

Solution approach

For successful establishment in the market, a paradigm shift is required, which goes hand in hand with data-driven service development at the customer. This requires continuous customer access in performance development, to which the marketing concept of the "4 Ps of marketing" – performance ("Product") and pricing ("Price"), communication ("Promotion") and distribution ("Place") – must also be aligned. Therefore, a structured approach is necessary, especially in the critical market launch phase, in order to achieve the described "win-win" situation of SGM as quickly as possible.

Expected result

As part of the project, the "4 Ps of marketing" will be further developed based on an adapted customer segmentation and risk assessment and transferred into a market introduction navigator.

Benefits for the target group

SMEs, however, have fewer human and financial resources compared to large companies, especially in the area of sales and marketing, and are thus at a severe disadvantage with regard to essential change measures for market introduction. SMEs in the manufacturing industry are to be enabled by a process model in the form of a market launch navigator to successfully place SGM on the market and scale it quickly.

Further Links

UdZ-Article: "SubaSa: Subscription Business Models: Risks and Opportunities for Providers and Customers"