In the beginning companies sold products. And then they sold services. In recent years, the fashionable suggestion has been that companies sell experiences and solutions, solving the needs and aspirations of customers.
Selling Products Is Good. Selling Projects Can Be Even Better
Rather than simply selling products, more and more companies have begun to sell projects, helping customers achieve a specific goal on a specific timeframe. For example, consider the evolution of medical device maker Philips. After more than a century of profitable existence, the company has become an intricate, blurred matrix organization. Accountabilities and responsibilities were shared between products, segments, countries, regions, functions, and headquarters. To simplify this convoluted and archaic organization structure, as well as protect its products against commoditization, Philips put projects at center stage. Shifting from selling products or experiences to selling projects requires fundamental shifts across your business — but in a rapidly evolving industry, it can make your company more nimble and responsive to the market.