What’s a disruptor?

You can’t only be aware of current competitors in the marketplace. Companies must take the time today to think about tomorrow, in particular, the disruptors, game-changing products and solutions that will fundamentally impact the marketplace. Disruptors are solutions that are so revolutionary (in the context of a given market) that they fundamentally impact buyer behavior – significantly changing it from that point forward. Buyer’s expectations radically change, forcing previously existing competitors to adapt to the disruptor … or die.

Predicting disruption is difficult, but it’s not rocket science. In short, companies that will succeed and exist in the future are the ones that really know and understand their marketplace now.

• First, companies must have a deep understanding of existing problems their customers are trying to solve. They must also have a deep understanding of the the way the marketplace currently functions and addresses those needs.
• Second, they must also be aware of emerging trends and technology that promise to better solve their customers’ problems.
• Third, companies must accept the reality of a fluid marketplace. That is, the market (any market) is unpredictable. In short, is your organization committed to becoming an adaptive one. You have to decide to adapt or die.

The cycle of disruption is simple. It begins with a customer problem. Something – an issue – that resolving would be worth something to someone. Current companies form solutions to that or related problems. All is happy in vendor-land. They bump and bruise one another along the way as competitors and start making money.

Then, crash! boom! Someone unexpected enters the marketplace and completely changes the game.

Something fresh and new and unexpected. (don’t be confused with the “rear view mirror” effect, where the new entrant looks obvious and predictable – it wasn’t and isn’t). Existing companies who don’t adapt or offer some new-additional value to their current solutions are soon forced out of the marketplace or at least find their margins significantly crimped. So, if your were a local print shop terrified by FexEx Kinkos – uprinting.com and other on-demand, online, providers are to be feared even more. And… those new ink-jet printers and lasers that print fast and great small runs – they’re eating your lunch too. Companies who adapt and send a message of value – relative to the now, changed landscape – to their customers get to continue into the future, until the cycle repeats and changes the game again.

The Future is Now

Perhaps the best solution to dealing with disruptors is to know your marketplace and customers so well that your company is the one introducing “disruptive” solutions into the marketplace. But if you’re not that far ahead of the game, you must be ready to adapt quickly to new entrants. Stay close to your customers, know what they need, and be ready to address their changing expectations.

Oh, and keep your eyes on left field.

Tagged as: Customer Perception, Customer Service, Innovative, Value Proposition