Building & Managing Products for Emerging Markets
that every Product Professionals should know - with Ravi Kaushik Director of Product Marketing & Product Management GE Healthcare Bangalor
2. Agenda
• Marketing Functions
• Upstream Marketing/Downstream Marketing
• Marketing in Emerging Markets
• Similar …. But different…
• New Product Development example
• Market Creation ~ driving value
• Q&A
• Discussion
3. Marketing Competencies
Strategic Product Operational
Commercialization
Marketing Marketing Marketing
Customer Driven
Global Product Marketing
Ensure we Ensure we Ensure Ensure
understand develop what customers customers
what the the customer want what we buy what we
customer needs needs develop develop
Customer driving
Regional Marketing
Product Strategy Global Marketing Plan Regional Marketing Plan Plan of Action
4. Marketing Roles & Responsibilities
Global Product Management Regional / Operational Marketing
Market & Industry trends Regional Marketing Plan – Launch
Market & Competitive product analysis Follow-up with in Country approvals
Customer Needs NPI Business Case Solution Marketing
Strategic Product Roadmap Channel Marketing
Make vs. Buy (OEM) decision Regional Pricing / Margin management
Product Definition & Design Direct Marketing / Promotion programs
Part Numbering & Configuration Management Advertising placement
Global List Pricing / Margin analysis Tradeshows & Customer Events programs
Segmentation, Targeting, Positioning Value Prop. Lead Generation
Clinical Marketing Trials, Research, White Papers Product & Sales Training delivery
Beta Sites – pilot launch Sales Force Effectiveness
Product Marketing Plan – Launch Sales Tools, FAQs
Product Sales & Marketing Guide Product Support: high level
Product Training content Pilot Sites / Reference Sites / Luminary Sites
Brochure, Spec sheet, Web content Competitive tactics analysis
Product Support: Clinical, Technical Win/Loss analysis
Product Quality management (Complaints) Installed Base management & mining
Product Life Cycle management Industry Analyst relations
End of Life Customer Communications
5.
6. Premium
50% Mid Tier
40%
Value 25%
MEA pyramid Global pyramid Asian pyramid
Redefining the Bottom of the pyramid
7. What lies beneath… The iceberg pyramid
•Top of the iceberg is total India market
demand now
•Tip of the iceberg is the addressable
market now
•Need to understand available (penetrated)
market and un-penetrated potential market
• This is the RURAL UN (DER) SERVED
MARKETS which is opportunity for Market
Creation
8. Product Development for BRIC
• Un-penetrated market understanding
• No market data, research reports exist
• Need to understand customer needs – observational
research and interviews
• Market Research by “rural immersion”
• Market creation with innovative solutions
• SST principle (rugged, reliable, easy to use, easy to
clean, maintain, affordable)
• Proving solutions locally
• Need local successes and customer testimonials
9. Product Development for BRIC… .
• Partnerships
• User needs understanding & insights through
partnerships in BOP spaces
• Partners helping innovate and accelerate new
product development (Govt & Private)
• Designing complete offerings “end to end” for
sustainable results
• Think about service, reach, distribution etc.
10. Marketing Learnings
• Gain customer input early and often
• Experiment & learn before convergence
• Measure against successful benchmarks
Test , and Determine
prioritize Quickly build and viability and
Identify key scalability
multiple test just-
customer, market through
Core Activity customer good-enough
& their needs to working
small scale
generate insights value in-market
models
propositions tests
13. More than one India … with unique needs
Current GE Play Well addressed &
India # 1
Leadership
understood
15 Major Cities
Premium &
Academic 85 M Population
Tier I : Private 400,000 Doctors
Multinational players ~40% Share
Emerging Market Target
India # 2 Underserved
Urban & Semi Urban
Tier 2 & 3 Private 200 M Population
Mid & Value
150,000 Doctors
District Hospital
Emerging HealthCare Market
India # 3
CHC
Super value &
Rural
BOP
740 M Population
PHC
50,000 Doctors
Government / NGO / Pvt Focus
14. India Neonatal Landscape
GE
Lullaby
Govt Private
District clinics
State (Tier 1,2) Primary
hospitals Health
Small town Infant
Mom & Pop Care Warmer
clinics (Tier
3,4,5)
Product adoption line
15K portfolio
Govt Bulbholders Eg.
(PHC, CHC) 30K Warmers
50,000
warmers
needed !!
Home birth
line
Health Sub Center
145K
&
Skilled Birth Attendants 35%
(ASHA) home
70K
births
15. Customer Problem (emerging markets)
Equipment not appropriately designed
–CLINICAL EFFICACY
• Warm up time, uniformity,
intensity, temp control, alarms
• Overall time spent in NICU
–COST (TCO):
• Initial Cost too high*
• High Operation (electricity) &
Maintenance (repair) costs
• Consumable costs
–EASE of USE:
• Delicate, bulky (not robust &
reliable) or easy to use
• Breaks down frequently & not
easy to clean/maintain Competitive warmers and Phototherapy currently serving this market (such as the
one shown) frequently break down & are discarded
Also, multiple babies are treated and light bulbs used as warmers some places.
16. “Just what’s needed”
Traditional portfolio ICFC differentiation: meets
differentiation: price vs. basic rqmts; innovates
features along new axes
Rugged reliability
Modular serviceability
Features
User-friendly simplicity
Few / no consumables
GAP
Extreme affordability
$ $$ $$$ $$$$
Portability
Price
Protracted power
cost = Focus on
functionality, quality sustainability
18. Maternal Infant Care
Tray Tilt Mechanism …
From Car Seat Recliner
LEDs Vs CFLs
Optimal Wavelength for 28%
faster Bilirubin breakdown
50x Longer Life
80% lesser power
consumption
Next Gen Warmer
Smaller heating element
Innovative reflector for uniform heat distribution
19. Going global with
Performance products
Lullaby Warmer
• Sold 2000+ units since launch in 2009
• Sold in 65+ countries
• Europe, EAGM, LATAM, APAC, India
Lullaby LED PT
• Sold 1500+ units since launch in 2011
• Sold in 15+ countries
• Europe, EAGM, LATAM, APAC, India
Examples of Reverse Innovation
20. LED PT in India
Launched in late 2011
800+ units sold in India, Sri
Lanka, Bangladesh 800+ sold
Rest of the World – Europe,
LatAM, APAC, EAGM
21. Smart Commercial Solutions
GE printer to Bus ticket
printer
Custom Power supply to
Mobile Charger
ASIC DSP module and
application to single CPU
Frugal… is not low tech
22. Integration and Optimization
• Off-the-shelf
solutions
• Reduction in
number of parts
• Integration and
Modular Assembly
23. If you do not start ,
you will never reach your goal!
24. Find the 3 buttons that people
need in your product…..