phases of the procurement process. (Another strong argument for amassing
credentials.) Deep industry connections can help the specialist circumnavigate
procurement to appeal directly to what Adele Ravella, author of Buyer Personas,
calls the “strategic buyer” — the person on whose behalf procurement is working.
- They seek and leverage the strategic value of partners and collaborators.
Focused they may be; lone wolves they are not. All companies participate in business
ecosystems — networks of suppliers, distributors, competitors, “frenemies,” and
others. Winning specialist companies are particularly adept at creating and
keeping mutually beneficial relationships in their ecosystem. Just as physicians
refer patients to other doctors they know and trust, focused businesses cultivate
relationships with generalists and companies that have complementary skills or
occupy complementary markets.
Elevate Destinations has strong relationships with less-specialized travel
firms, both getting referrals for its niche capabilities and sending business out
that doesn’t suit its model. The company also relies on a strong network of on-
the-ground suppliers: lodges, tour guides, and knowledgeable locals who can
help Elevate deliver the experiences its
clients expect. - They know the difference
between expansion and distraction.
The pursuit of complementary products
and adjacent markets might be the
biggest temptation for specialists —
especially because their own customers
might be urging them to blur their
focus. Among the remains of ill-advised forays into what appeared to be greener
pastures: Coca-Cola’s acquisition of Columbia Pictures; Google’s short-lived
social network, Google+; Victoria’s Secret’s attempt to sell office wear.
Devotion to mission is a powerful way to differentiate a company, segment
customers, and avoid tempting but dangerous adjacencies, whether you’re selling
safaris for the soul or building the fences that keep specialists in line. Notes
Merchants Metal’s Hogan, “If I start selling windows and decking, that’s going
to take my team’s focus away from our mission, which is to get customers to win.”
Devotion to mission
is a powerful way to
differentiate a company,
segment customers,
and avoid tempting but
dangerous adjacencies.
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