Chapter 3: Product Definition and Marketing in Consultancy

OVERVIEW

Figure 2.1 in the previous chapter shows the key elements to be managed in consultancy. We noted that the critical processes within the infrastructure were selling and delivering consultancy projects; these have to be in the context of client engagement, which forms the subject matter for the rest of this book.

Consultancy activities are frequently referred to as services but herein we will be referring to them as products. Consultancy products are the means by which value is added to the client and so we start with the notion of product definition. Product definition and market definition go hand in hand, so this chapter continues with some thoughts about marketing consultancy products. In this text, marketing is distinguished from selling as relating to clients in general, while selling is to specific clients.

Ralph Waldo Emerson wrote: 'If a man... make a better mousetrap than his neighbour, tho' he build his house in the woods, the world will make a beaten path to his door.' But your efforts will avail you naught if the world doesn't recognize the need for a mousetrap, or doesn't know you've built a better one, or has no idea where your door is.

So, what is the consultancy 'mousetrap' (product) and how can you market and sell it? These topics are addressed using the model shown in Figure 3.1. This shows the hierarchy of matters to be considered:

Figure 3.1: Business development in a consultancy firm

• Product-market definition is the foundation of the business.

• Account management describes how the consultancy relates to its clients. Account management is ongoing, whether or not the consultancy is currently doing work for that client.

• Sales management is about managing the sales process and sales in aggregate whereas, by contrast...

• Selling is about conducting a single sales transaction.