Many in the industrial software space may think that they know the rules of the game and have the model down pat - just follow Geoffrey Moore's Crossing the Chasm strategy, right? Focus on a single key vertical as your technology "crosses the chasm" and then expand into multiple markets. It is clear that this is still the dominant strategy for software companies by far, but research shows there may now be a better model for growth.
LNS Research is repeatedly asked by vendors to help them strategize on how to further expand beyond their core markets, to which we say, going deep in one vertical may now be the winning strategy!
This new model turns the Moore's model on its axis, but LNS Research believes this strategy may be particularly powerful for modern SaaS companies.
This may sound risky, but going wide has a lot of risks as well: industries have significantly different requirements, geographical hotspots, integration targets, budgets, and even implementation partners. Moreover, going to additional industries moves you away from existing customers who have already learned to trust you
So, what is the best strategy for manufacturing software companies?
In this Research Spotlight, we examine Moore’s model, comparing it to the current strategy of three industry exemplars, and examine how their strategy is impacting their growth model.
Download the full Research Spotlight below to explore the new possibilities at play and decide for yourself if these technical advantages are worth pursuing.