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Bart De Pelsmaeker (Unlicensed)

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titlereadme

Be concise

and

but precise.

The purpose of this doc Business Justification - Background is to give the team and stakeholders a succinct view on the problem space:

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.

This document is intended to be complementary to our overall strategy, positioning, competitive and other documents. We should assume those are known, and only put in this document what is specific or different about this problem space.

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Strategy alignment

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titleAlignment

Briefly confirm the strategic alignment and if this project falls into one of the strategic initiatives

Start writing here:

Customer & Problem

When writing about the problem, you will also write about the customer segment. They are heavily associated with each other.

In this section:

  • unmet needs:

    • solution outline
    Expand
    titlereadme for Problem section
    Customer segment

    • Short description of the segment

    • Can we make an Ideal Customer Profile (ICP)?

    • Are the customer roles different from our over-arching ones (check here)?

    Start writing here:
    Expand
    titleUnmet needs:

    What problem do we solve? See if we have answers for these topics / questions:

    • Unmet needs - succinct description

      • When there is no problem, it is highly unlikely that there is a business opportunity.

      • Try to describe the needs un in terms of jobs the customer needs to do (Job-To-Be-Done) format.

      • Pains / Gains (try to use bullet points)

    • Existing alternatives (incl. home-grown) - if applicable, and why they fail to deliver a solution

    • Why does the customer have to solve the problem now? Is there an urgent reason-to-act?

    • Is this problem at scale or local/trivial?

    Start writing here:
    need
    Expand
    titleCompany's Power Position and/or Product differentiation

    Why UCF is better or worse positioned to solve the

    problem.

    Why would we not be well positioned?

    We do not have an existing footprint

    We do not have direct access to the end-customers

    Start writing here:
    Expand
    titleValidation and proof points:

    • Do we have validation of the needs?

      • Beyond internal conversations, discussions with partners and friends.

      • Customer discovery interviews

        • real customers, face-to-face

    • Industry stats?

      • e.g. research reports, general industry numbers,…

    Customer discovery interviews

    Real customers, face-to-face
    Start writing here:

    Solution outline

    Expand
    titlePreliminary solution outline: (@product)

    Use high-level descriptions of capabilities, use bullets, this is not PRD phase

    • Outline of key capabilities to address the unmet need (not technical)

    Start writing here:
    Expand
    titleWhat is defensibly unique?

    What is defensibly unique about our capability <> unmet needs set?

    Start writing here:

    Go-To-Market

    ...

    GTM Channels with greatest growth and traction (@matt
    Expand
    titleSize of market (TAM, SAM, SOM) (@sonny)
    title

    Total Addressable Market (TAM)

    The whole universe of state agencies customers who experience this need .The average number of agencies per state is 150. Which more or less would bring us to 7,500 potential customers in this initiativeand whom we can reach.

    Serviceable Available Market (SAM)

    The part of this market that we can realistically reach and convert in a medium- to long-term.

    If we assume that we can close 2% of that business that is 3 deals per state. Not accounting for a price increase that is 3 agencies x 50 states = 150 CCH Accounts. 150 accounts x $10,000 = $1.5M annually

    Serviceable Obtainable Market (SOM)

    What can we realistically capture of this market in 18-24 months after solution launch? What are our beach-heads? Taking into account our

    • Competitive advantage

    • Current market penetration of competitors

    • Our marketing and sales teams' need for time to reach the customers in (pre-)buying mode

    These bits of info might help us to get clarity

    • when are states renewing the contracts - EOY or throughout the year

      • no set date - dates are unique to customer

    • are these multi-year contracts

      • mix - ServiceNow leaning to 3-yr contracts

    • which ServiceNow contracts are how many are up for renewal this year

    • ramp-up: when we have the mapping ready, what are our next steps in sales

      • proposal decision cycle: how long

        • 30 -60 days on average

      • is there a testing period from partner side

        • no

    Expand
    Start writing here:
    Expand
    titleBeachheads

    Early adopters & how to reach them:

    • Strategy: Top-down or bottom-up (see here)

    • Marketing channels

      • Which ones and why are they the best to reach this SOM

    ?

    Strategic partnerships

    This initiative is intended to leverage the TemplarShield - ServiceNow partnership relations.

    GSA listing

      • ?

    Getting listed on the General Services Administration (GSA) Schedule

    Content marketing / though leadership

    Develop and share insightful content that addresses the specific compliance challenges faced by state agencies. This could include white papers, case studies, blog posts, and webinars

    Industry shows

    Are there specific shows where our customers could be reached

    Budget

    • Budget:

      • Do we

    have

      • need funds to spend on marketing?

      • Estimate for CAC in this market

    • Sales execution

    How would we follow-up on deals/get informed?

      • Strategy direct or partner-led

    Start writing here:
    Expand
    titleScaling

    Strategy to scale-up

    What is the inflection point of when to switch from beachhead to scaling?

    Start writing here:
    Expand
    titleBusiness model and monetization (@sonny)

    • Value & pricing model

      • Do we offer identical pricing and model as for other customers

    (eg enterprises)

      • ?

    Or do we tailor the pricing: limited capability, lower price (likely higher quantity) or higher pricing? And if so, why?

    Our solution is part of larger compliance deals that ServiceNow delivers to the state agencies.

    We currently decided to move forward with our standard pricing.

    Model

    What model best fits state agencies? Any specific requirements?

    ...

    • What is the expected revenue of our SOM?

    Start writing here:

    Unfair advantages or blockers

    Expand
    titleUnfair advantages

    If we don't have any, that is ok, don't invent any.

    Start writing here:
    Expand
    titleBlockers & inhibitors (@all)

    Do we need clearance to sell to some agencies, etc

    No clearance needed at State level, clearance would be at federal level

    If we don't have any, that is ok, don't invent any.

    Start writing here:

    Attachments:

    BMC Canvas,…