Is your MPS Sales Strategy Built for the Current Market?
Many have seen the rapid maturation of the MPS marketplace. There is much debate about how mature the market is. Some believe it to be very mature with dwindling opportunity while others believe new opportunity abounds. What about you?
One key measure of a market’s maturity is to measure the market penetration. Put simply, this is the number of companies who buy a specific good or service compared against the total population of potential buyer. The key reason to understand this dynamic is to understand if your sales strategy should focus on acquiring new customers (young market) or converting existing customers (mature market).
Many companies measure the number of customers in their market participating in MPS. However, this measurement doesn’t take into consideration that many customers have only deployed MPS at a single site or within a single country. Photizo’s Decision Maker Tracking Study indicates that over 75 percent of companies with 1,000 or more employees have only deployed MPS at a single site, or within sites only within their home country. This number is similar with medium-sized companies as well.
This means that while there are a growing number of companies participating in MPS, a great deal of additional opportunity remains within the same account. Both customer interviews and discussions with MPS software companies suggests that MPS providers are often only controlling 60-80 percent of the account at best.
In an increasingly competitive marketplace, what do you have to do to ensure you control 100 percent of your customer accounts?