The iPhone’s out!In no specific order, here are ten tips for competitors:
- Reaffirm your position. In the best-case scenario, this requires you to provide evidence or facts that your business is great. RIM provided a text-book example by boasting better-than-anticipated profits, a stock split and a new product offering the day before the iPhone was released. Nice work. Excellent timing.
- Ride the marketing tsunami. You have the market’s ear, so it’s an excellent opportunity to be heard. Take advantage of it. Again, RIM’s day-before triple play provides an excellent illustration.
- Flaunt the imperfection. Apple likes to make a big splash. And although the iPhone will offer a lot on day one, it doesn’t have it all. This presents an excellent opportunity to showcase the iPhone gaps addressed by your offering. For example, Helio will tell you that the iPhone doesn’t provide a chat functionality whereas their Ocean does.
- Engage in coopetition. In some cases, it makes sense to juxtapose cooperation and competition. This results in coopetition, and examples of it abound. Although I wouldn’t expect Apple to be too receptive to a competitor’s advances at this time, it may still be possible to engage in a little gorilla coopetition. For example, iPhone competitors like RIM could offer feature/functionality enhancements to their desktop offering for Apple Mac OS X computers.
- Partner. Relative to Apple, RIM is small fry. (Forgive the hyperbole, I’m trying to make a point!) Through partnerships, however, RIM could reduce to topple the size imbalance. For example, a RIM-Google partnership could be interesting. With many of Google’s offerings already available natively for the BlackBerry, there’s an established starting point.
- Wire continuous improvement into your DNA. In other words, avoid the big splash. As captured by a recent item in Information Week, this is the Google way:
Google Apps, which includes Google Docs & Spreadsheets, Gmail, Google Talk, Google Calendar, and Google Start Page, received several other improvements Monday. This is in keeping with Google’s strategy of incremental product improvements, said Chandra, who noted that Google Apps had seen some 30 new features and updates in the four months since it was introduced.
The Google way works, in part, because the Internet, Web, etc., have been wired into Google’s DNA from the outset. So, although the continuous improvement sentiment has wide applicability, adaptation is likely required to ensure effective execution. In some ways, Dell’s just-in-time approach to inventory offers an analogous potential for continuous improvement in the production of computer hardware.
- Leverage the marketing tsunami. Arguably, the iPhone introduction is taking Apple into new markets with a new product. Of course, Apple has to some extent limited their exposure by making the iPhone a convergence play – Phone + iPod + Internet. This means they have both product and market experience they can readily tap. iPhone competitors can also leverage the tsunami from established products and markets to new ones. Perhaps more importantly, the presence of the tsunami that Apple has established means that others can progress systematically from an established situation to a new one. For example, a competitor could progress from an established product and market to a new market with the same product. Alternatively, the trajectory could be from an established situation to a new product for an established market. Such lower risk entrays have been primed by the iPhone tsunami, and iPhone competitors can progress towards new products for new markets incrementally.
- Balance awareness with distraction. This one is tough! You need to be aware of the iPhone, and all that that embodies, while at the same time not be distracted from your focus. By staying close to your customers, while being sensitive to the broader market that the iPhone and other products will drive, you will have the best prospects for ensuring success. In terms of something a little more concrete … Listen. If customers complain the your desktop software needs improvement, or that it takes too many clicks to navigate with your Web browser, listen. Listen and then address these issues as opportunities, one by one.
- Leverage your community. In the case of Apple, the community is so polarized that it’s been described as religion in the past. Although I haven’t studied it in a lot of detail, the Apple community appears to be a consequence of the cool and innovative way that Apple allows you to “Think different”. Engage with your community. Even though there are so many ways to do this, I don’t see enough vendors doing this.
Agree? Disagree? More tips? Please chime in.
So whats the take, is the Iphone an incremental or convergence product? Me and my partner as part of our MBA degree currently assessing Iphone’s strategy theorizing that the device is a disruptive and convergence product.
What do you think?