Greetings, dear readers. Today we will discuss lateral thinking. This term appeared in the late 60s of the last century with the easy suggestion of Edward de Bono. Some people openly admire this doctor by training and a creative person by purpose. Some say his books represent troubled waters. But for some reason there is no person who, having become acquainted with his work, would remain indifferent.

What does it mean to think laterally? Who will benefit from this skill? Why is this even needed?

It happens…

To better understand the essence of lateral thinking, I will give an example. Imagine a family in which the spouses have been living together for a long time. Many women periodically start nagging their husbands: “You didn’t even notice that I cut my hair/colored my hair/bought a new dress, etc.” Yes, love and attraction to her as a woman faded over the years and turned into a habit. Her presence has become so commonplace that you stop paying attention to what was so valuable before.

Or the wife stops noticing her husband’s masculinity, paying attention only to the socks scattered around the apartment and old sweatpants with outstretched knees.

What to do? How to look at your partner in a new way? There can be many ways, but in any case you will try to see your object in a new quality. Make an unexpected visit to your significant other's work and watch how he/she smartly manages his/her affairs. Impressive?

But all you had to do was change your view of your partner. Pay attention to traits that were previously inaccessible to you. The usual perception of the spouse will change dramatically.

As you correctly understand, this simple everyday example has now shown the principles of how lateral thinking works.

Definition

By lateral thinking (from the Latin word “lateral”) we mean a method of unusual problem solving, when thinking shifts from traditional linear thinking, resulting in an original new idea. The word “lateral” is unusual for Russian ears. We are much more accustomed to the characteristic “non-standard”. These words are equivalent. How does the process of lateral thinking occur?

How it works

Famous marketer Philip Kotler offers the following model of shifting thinking. It consists of three stages:

1. Focus on the idea. Without some starting point, it will be impossible to create something new. Even Mendeleev, who found the solution to the classification of chemical elements in a dream, thought for a long time before the discovery and was concentrated on the problem.
2. Making a non-standard break. From the original reasonable idea, you need to make a shift, formulate a new one that violates its logic. Often the result is an absurd statement - this is normal, this is how it should be.
3. Establishing a logical connection. Now from the resulting modified expression you need to get a rational grain. It's not that easy, but the results will be worth it. At this stage, creativity itself occurs, when we get a new result.

What is it for?

When we need to solve a problem, we can use and arrive at the answer by making consistent movements of thought. However, it must be borne in mind that at least one mistake at any stage of thought will inevitably lead to an incorrect conclusion.

Well-worn paths and stereotypical solutions are, of course, good. They are familiar, you don’t need to spend a lot of time on them, they allow you to save energy by performing automatic actions. However, as you understand, not every problem can be solved using a template type.

The standard approach loses a lot of perspectives, extinguishes fresh ideas, and holds back discoveries. This means it slows down development.

This does not mean that the traditional way of thinking is bad. But it must always be supplemented.

To think laterally means to make leaps in any direction of thought. You can make a mistake at an intermediate step, but this will not have a detrimental effect on the result itself. The intuition underlying lateral thinking will save you from this. In addition to intuition, this thinking includes the ability to think creatively, sudden discoveries of new ideas (insights), as well as a large dose of humor. It is precisely because of paradox that non-standard solutions are so effective. By the way, the brainstorming method is built on a lateral principle.

Who will benefit from this?

Everyone. Everyone without exception. Regardless of occupation and profession, age and gender.

Edward de Bono compares lateral thinking to reversing a car, and logical thinking to conventional thinking. Often it is stepping back that makes it possible to get out of a dead end and continue moving forward.

To develop your lateral thinking abilities, follow the advice of E. de Bono:

• do not turn to clichés and habitual patterns of thinking for help,
• doubt everything
• summarize various alternatives,
• don't miss new ideas,
• look for new entry points that will help you get started.

Six hats

This is one of the most popular methods, which is based on non-standard thinking. Its creator is the same E. de Bono. What is the essence of the approach? This method allows you to look at a problem from different angles, using parallel thinking, in which different approaches and ideas do not collide, but calmly coexist.

Why hats? There are several reasons for this: each hat has its own color, which distinguishes it from others and gives it unique features. The hat can be easily changed, this will also lead to a change in the direction of thoughts. Each hat is like a special mode. We can easily exchange hats for shoes - it doesn't matter. So, from the point of view of which regimes is the problem considered?

White color. Facts and information.

Red color. Emotions and feelings.

Yellow. Benefits, motivation.

Black color. Disadvantages, dangerous moments.

Green color. New ideas.

Blue color. Results and future prospects.

This method can be used both individually and in a group. It develops mental flexibility, the ability to be creative, helps make decisions and overcome creative impasse. Great for understanding non-standard ideas, if you need to take into account every opinion, look at the situation from different points of view.

It seems to me that lateral thinking is best developed in children. Their brains are not yet filled with many stereotypes, they trust their intuition, they do not have many fears (unlike adults), they have no embarrassment that they will now say a stupid, or inconvenient, or absurd idea. Remember the expression: “ Truth speaks through the mouth of a baby"? Well, if not truth, then creativity for sure. So let's remain a little children.

Good luck breaking stereotypes to you! Don't be afraid to try new things - it's worth it.

P.S. Share the article you like with your friends on social networks. Share below in the comments whether you have read Edward de Bono's books and whether you liked them or not.

Best regards, Alexander Fadeev.

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In order to think outside the box and create something truly new, it is useful to understand how to break the pattern and come to a new idea. This lesson will describe Edward de Bono's lateral thinking scheme as interpreted by the famous marketer Philip Kotler. Understanding the creative thinking process will help you understand how to make your creative process more productive.

There is a misconception that creativity and creativity are antipodes to logic. Unconventional thinking is often compared to intuition, sudden inspiration, or the autogenic state of a person. However, creative unconventional thinking is not pure chaos in the mind. As the founder of the concept of lateral thinking, Edward de Bono, notes, the main difference between unconventional thinking and chaos and the thinking of mental patients is that the process of creative thinking is controlled. And even if unconventional thinking prefers to work chaotically, then this chaos can be controlled.

The main difference between logical and creative thinking is that with patterned logical thinking, logic controls the mind, while in the process of creative thinking it only plays a serving role. Indeed, logic is not the main thing in the creative process, but, nevertheless, it is necessary for the correct search, selection, adaptation and analysis of new ideas.

There are many attempts to describe human creative thinking. However, it is simply impossible to build a single training that helps you learn creativity based on all known concepts. This training will use the most popular and convenient for practical use scheme of lateral thinking, adapted by Philip Kotler and Fernando Trias De Bes. This scheme largely overlaps with other concepts, and if you want to master TRIZ, synectics or the theory of 6 hats, the knowledge gained in this course of lectures will definitely be useful to you.

What is lateral thinking

Lateral (lat. lateralis - lateral, from latus - side) - means "lateral" or "offset". Thus, lateral thinking- this is thinking that is displaced (redirected) relative to traditional thinking.

In his concept, Edward de Bono tried to find a new lateral thinking, as a separate type of thinking, different from the vertical logical and horizontal fantasy types of thinking. The creative process of creating innovation involves breaking away from conventional thinking while generating lateral disruption. The new thinking that de Bono planned to describe would lead to the creation of something new from what was already known. In other words, lateral thinking must create a completely new concept from a known idea (or several ideas).

How can you shift or redirect your thinking? Edward de Bono identified many ways to describe the process of lateral thinking. However, one of the most interesting is the technique adapted by marketer Philip Kotler and consisting of 3 stages:

1. Selecting focus. To create something new, it is necessary to choose an area of ​​creative activity and a direction of search, in other words, a known idea from which we will build. Without such a starting point, it is simply impossible to move forward, and the more you focus on this idea, the easier it will be to create something new. The second lesson will examine the problem of building a focus on an idea, which should become the very starting point for the future creative process.

2. Generation of a lateral tear. After choosing the direction of creative effort, we must make a break within the established focus, which is the main stage of lateral thinking. From a certain logical idea formulated at the first stage, it is important to make a certain shift that violates the logic of this idea. In other words, we need to modify our focus and break the selected pattern. How to make this lateral gap will be discussed in the third lesson.

Thus, going through 3 stages of the lateral thought process ( focus - break - connection), many new ideas and concepts can be created. How this scheme works will be described in detail in the next three lessons.

Test your knowledge

If you want to test your knowledge on the topic of this lesson, you can take a short test consisting of several questions. For each question, only 1 option can be correct. After you select one of the options, the system automatically moves on to the next question. The points you receive are affected by the correctness of your answers and the time spent on completion. Please note that the questions are different each time and the options are mixed.

The second technology of creative marketing - lateral marketing - is creation of new products outside the existing market and product category on the principles of implementing lateral shifts in a sequential chain of logical thinking in the process of creating an idea about a new product.

Lateral thinking refers to the category of non-standard problem solving. A number of universal techniques of lateral thinking that allow one to overcome stereotypical problem solving were developed by E. de Bono. Logical, or vertical, as E. de Bono called it, thinking is built on many cliché elements - standard elements borrowed from other projects. Lateral thinking is directly related to intuition and creativity. And if the correctness of each step is a necessary condition for logical thinking, then with lateral thinking there is no particular need for this. Lateral thinking does not seek to create doubt for the sake of doubt, but emphasizes the need to transform stable images, updating them. The main task is to show that different ways of performing a particular function are possible. In this sense, group work on a project is useful, since then the existence of alternative options becomes more clear.

E. de Bono offers the following options for avoiding clichés:

• 1) “trimming” and dismemberment of cliché elements, i.e. removing everything unnecessary and unimportant;
• 2) abstraction and extraction - isolating and extracting the most essential part from a cliché element (the reverse operation of the previous one);
• 3) combination - combining cliché elements from several sources, resulting in a new element that has not previously been found anywhere.

Combination can be expressed in the simple addition of some functional unit or multiplication of functions, which can be considered as a cliché element. Functions differ in that they describe the purpose of objects in an ongoing process. Abstracting a function can help you find different ways to perform it or change your thinking about it.

E. de Bono called these different ways of working with cliché elements “the basis of any information processing system.”

The result lateral marketing is usually creation of new product categories and markets.

In table 6.6 provides a comparative description of classical (traditional) and lateral marketing.

Distinctive features

Table 6.6

Factors that determine distinctive features	Classical marketing	Lateral marketing
Conditions of use	Stages of growth and market entry	Stage of maturity and market saturation
Type of selected product strategy according to the degree of product renewal	Strategy of differentiation and variation	Strategy for creating fundamentally new products
Principles of technological design of the process of creating an idea for a new product	STP principles (segmentation, target segment selection, positioning)	Carrying out lateral shifts by placing an obstacle in the middle of a sequential chain of logical thinking, as a result of which the train of thought changes
The initial stage of creating a product idea	Consumer choice to create a product to meet his specific needs	Selecting a product to change its vision
The result of the technological process of product renewal	New products within the base market and (or) product category
Intensity of competition resulting from renewal strategy	The intensity of competition and market saturation are increasing	Instead of capturing part of the market, new markets free from competition are created

In its most general form, the lateral method of creating new products can be described as follows: a product is taken and completely transformed to satisfy a new need or a new consumption situation that was not previously considered for this product.

What is the technology of lateral marketing proposed by F. Kotler and F.T. de Bezaume?

Here's how they defined the following main stages of lateral marketing:

• 1) selection of the focus in relation to which the lateral shift will be carried out;
• 2) provoking lateral shear to generate a rupture;
• 3) thinking about ways to bridge the gap.

As noted above (see Table 6.6), the initial stage of creating an idea about a product is the choice of a product as an object of attention, and this again violates the creative logic of classical marketing. The focus of a product can be any of its components (any component of the product’s marketing mix). The object of lateral shift (focus) can be, for example, any characteristic of a product or any component of a sales policy, promotion policy, etc.

Lateral shift is a non-standard form of thinking. For example, when making a shift in focus “fabric - material for covering”, you need to imagine the situation “fabric - material not for covering”. Or another example: “a coating material is created by weaving threads” is transformed into “a material created not by weaving threads”, but by looping. In this case, by means of negation, we end up with a new product category related to fabric - knitted fabric. Perhaps this is exactly how the creation of new textile production technologies (non-woven, knitted) went at one time, and in the future new ones will be born. Proposals to create a material using looping technology or an adhesive method are the third stage of lateral marketing - thinking about ways to connect the gap that occurred as a result of substituting a negation particle. How can one provoke non-standard thinking, i.e. create a break in the logical chain? To do this, F. Kotler suggests the following six methods:

• 1) replacement - situations of product consumption, composition of raw materials, production technology, payment terms, conditions of sales and promotion of goods, etc.;
• 2) inversion - changing the meaning by turning it over or rearranging words in the purpose of the product, the conditions for its acquisition and consumption, etc.;
• 3) Union- consumers, products, distribution channels, etc.;
• 4) hyperbolization - exaggeration or understatement of utility, consumption size, after-sales service, etc.;
• 5) exception - utility, one or more elements of a product, means of communication, etc.;
• 6) reorganization - changing the sequence of utility elements, goods, means of communication.

When using any of the above methods for creating lateral shifts, a mandatory condition that must be met is presence of a gap in a chain of logical judgments, i.e. distortion, change of meaning. Otherwise, the policy of innovation will be carried out in the field of existing product categories and markets.

The main directions of possible changes in the commodity policy of enterprises in this case will be the following:

• 1) change in need - an attempt to provide for a different utility of the product;
• 2) change of purpose - the choice of those consumers who were not the potential target market for a product or service;
• 3) change of time - selection of new moments of purchase, use or consumption to which the company’s offer can be adjusted;
• 4) a change of place is a change in the point of purchase, area of ​​use or consumption where the product or service is not currently used;
• 5) change of circumstances means offering events and activities where the product was not previously considered;
• 6) change in type of activity or work experience.

Let's give an example. Changing circumstances: applying holiday symbols to textiles made it possible to offer them as souvenirs. Change of purpose: Potential buyers of textile materials use them as covering or insulating materials. The appeal not to the target audience - designers - changed the need, provided for a new usefulness of textile materials - their use for decorating premises and gave birth to a new product category - interior textiles.

Changes at the market level can lead to changes at the product level. An example of product inversion: replacing “freshly made pizza” with “not just made pizza” led to the idea of ​​frozen pizza, which created additional markets for pizza makers. An example of reorganization: first a purchase (payment for goods), then incentives through a system of discounts (cumulative discount cards). An example of packaging exaggeration: fifty-liter bottles of water gave rise to the idea of ​​​​using them as water fountains, equipped with taps and placed on stands in the middle of offices, etc.

The ideas of lateral shifts may sometimes seem nonsensical, but they are thought provoking and should be practiced. Non-standard and original solutions are especially welcome in this approach, since they allow us to create a new category of goods and markets.

Introduction

1.1 The essence of the concept of “lateral marketing”

1.2 Criticism of lateral marketing

Chapter 2. Analysis of the application of lateral marketing

2.1 Russian practice of using lateral marketing

Conclusion

Bibliography

Introduction

More and more companies are caught up in the frantic race to create new products, new markets, new ways to market, but most of them fail. Only a few achieve outstanding results, since traditional technologies are not suitable here. A new mechanism is needed for searching, developing and introducing innovative ideas to the market that can provide key advantages over competitors. We are talking about lateral marketing.

Lateral marketing is a new belief system that complements traditional marketing with new opportunities for creating innovative ideas and systematizes the process of creative thinking. It is innovation that gives an undeniable advantage over competitors. And in the current situation of a comprehensive crisis, when many companies are going bankrupt and going bankrupt, the best way to stay afloat can be innovative, creative, i.e. lateral marketing.

The relevance of this work is due, on the one hand, to the great interest in the topic “Lateral Marketing” on the part of marketers, and on the other hand, to its insufficient development. The topic of lateral thinking was once studied by psychologist Edward de Bono, widely known throughout the world as one of the leading authorities in the field of direct teaching of creative thinking. Following him, Philip Kotler, considered the father of marketing, wrote the book “New Marketing Technologies. Methods for Creating Great Ideas” in co-authorship with Fernando de Bez, who is the founder of Partner of Salvetti & Llombart, an international marketing consulting company.

The main goal of the course project is to reveal the importance of using lateral marketing by companies to achieve success.

Study the theoretical aspects of the concept of lateral marketing;

Talk about the relevance of using lateral marketing in modern conditions;

Analyze the effectiveness of lateral marketing.

The object of the study, using the example of which the above tasks were considered, is the experience of Russian companies. The subject of the study is the directions and tools of lateral marketing in the Russian market.

lateral marketing Russian company

Chapter 1. Theoretical aspects of the concept of lateral marketing

1.1 The essence of the concept of “lateral marketing”

At the moment, a situation has arisen in which customers are not only satisfied with all their needs, they are “oversatisfied.”

And this is all the result of vertical marketing, in which each new product introduced to the market strives not to fight with the brands that reign on it, but focuses on a narrow segment. This tactic has become more established in recent decades as companies have discovered that it allows them to achieve greater results with less cost. However, the other side of the coin is the long-term consequences. Today, markets are over-segmented, they are divided into microscopic categories of goods, so that manufacturers often work on the verge of unprofitability - simply because the selected segment is physically unable to provide the required volumes.

Among the factors of modern times that especially complicate marketing practice are the following:

The distribution of packaged goods today is largely in the hands of giant international corporations such as Ikea. Exactly distributors manage shelf space and decide who to give it to.

2. There are more brands, but fewer manufacturers. Each segment and market niche has its own brand because manufacturers have discovered that having more brands makes it harder for competitors to attack them.

3. Product life cycle radically decreased. A brand arms race has begun, in which companies quickly launch a new brand, their competitors respond with their own new brand, and the cycle repeats.

4. It has become cheaper to replace a product than to repair it. Today it is faster, easier and cheaper to buy new ones; people are accustomed to the fact that goods are “disposable”. This stimulates an increase in the number of new products.

5. Markets are fragmented. Companies, in search of differentiation, are identifying and creating more and more segments and niches, resulting in highly fragmented markets.

6. Establishing a place in the buyer's mind has become more difficult.. Buyers are becoming more selective, ignoring commercial communications.

All this reduces the chances of success of the new products and services that marketing seeks to bring to market. Marketing guru Philip Kotler says the failure rate today is astonishingly high, a radical change from the 1960s and 1970s. Companies seeking to succeed constantly have to release new products and come up with ways to promote them. In years past, for example, Sony could develop a revolutionary new product and reap the benefits for three years; now this period has been reduced to six months. Everyone is after your business, and competitors are quick to adopt ideas. And to be one step ahead, you need to constantly come up with new products and try to be original. This is what companies and consumers expect from companies. They “cheat” on old brands and are more and more willing to try new ones. True, not all innovative ideas survive (see Fig. 1.1.).

Fig. 1.1 Share of new products that have successfully penetrated the market.

In consumer markets, 80% of new products fail, in the B2B (business to business) sphere - about 40%. And perhaps one of the reasons is that most innovations are developed in a traditional way. Namely: only minor changes are made to the product related to smell, size, packaging design, sugar content, etc.

But there is a more promising, albeit riskier, way to create new products. The famous researcher of the phenomenon of creativity Edward de Bono at one time proposed the term “lateral thinking” - as opposed to “vertical” or logical. We are talking about finding a solution using non-standard methods. Explaining the difference between vertical and lateral marketing, Edward de Bono compares a company's search for its market segment to digging a hole. Thus, vertical thinking is necessary to deepen the existing hole. And with the help of the lateral one, a hole is dug in a new place. His ideas as applied to marketing were developed by Philip Kotler and Fernando Trias de Bez in the book “New Marketing Technologies. Methods for Creating Great Ideas.” They suggest solving marketing problems by first looking at them from the outside. And just “lateral marketing is when you think not “along”, but “across”,” said Philip Kotler.

However, lateral marketing does not at all cancel vertical marketing, it only complements it. Using a non-standard approach to the problem, a company can get an answer to a number of questions:

· What needs can the product satisfy if it is changed;

· What else can the product be used for?

· Which of those who do not consume the product will be interested if changes are made;

· What properties should be added to the product to make it different?

Developing ideas using lateral marketing technologies often leads to the emergence of new product categories and markets and allows for more profit.

Let's look at the technology of lateral marketing using an example (see Fig. 1.2).

Figure 1.2 Development of a lateral solution using artificial flowers as an example

Let's say you can take a flower and focus on one of its qualities - “the flower withers.” And then carry out a lateral shift of this quality, that is, put forward some kind of provocative idea - “flowers do not fade.” As a result, a kind of logical gap appears, and it needs to be eliminated. To do this, you need to answer the question in what situations a flower never withers. The flower will not fade if it is made of fabric or plastic. So, the solution has been found: artificial flowers. “Innovation is the result of the interconnection of two ideas that, in principle, have no obvious and immediate connection,” write Kotler and Trias de Bez.

The novelty of lateral marketing lies in the fact that it creatively solves marketing problems and implements an innovative approach in relation to the elements of the “4 R” marketing complex.

The lateral marketing scheme, according to F. Kotler and F. Trias de Bez, is as follows.

STEP 0 . Select a product or service.

STEP 1. Select one of the levels of the vertical marketing process:

· market level;

· product level;

· other parts of the marketing mix.

STEP 2. Perform a lateral shift.

Market level. Change one aspect: need or utility; target; place; time; situation; experience.

Product level. Apply one of six methods to a product element (physical product, packaging, brand attributes, use, or purchase): replacement; exception; Union; reorganization; hyperbolization; inversion.

The rest of the marketing mix. Apply the commercial formula of other categories: pricing formula; communication formula; distribution formula

STEP 3. Connect the "gap" using the "estimation method":

· imagine the purchasing process;

· identify positive aspects;

· determine the possible context of actual use of the product or service.

So, at the beginning, a company must focus on its product and determine what exactly it wants to change about it. Typically, the choice falls at one of three levels: the market level, the product level, or the rest of the marketing mix (price and promotion).

Lateral marketing at the product level involves changing something in a product or service and finding how to use it. There are several ways to come up with such non-standard options.

For example, replacement. It consists of changing one or more elements of the product. For example, you could replace “professors teach students” with “students teach students.” Students, one after another, prepare a lesson. Every day, one of them explains the lesson to the others, and the professor acts as an observer. Or think about what happens when someone adds batteries to a watch or puts a suckable candy on a stick.

Combination. It consists of adding one or more elements to a product or service while keeping everything else the same. For example, the Pedelec was the result of an idea for an electric bicycle in which the batteries are charged when it is pedaled. The result is a million units already sold in China.

Coup. It consists of inverting or adding the particle “not” to an element of a product or service. For example, freshly made pizza has become non-freshly made, and it now fills refrigerators and refrigerators around the world.

Delete. It consists of removing an element of a product or service. For example, the idea of ​​a telephone without a cord led to cordless phones, and perfume without a bottle led to the development of scented candles for the home. The idea of ​​film that didn't have to wait to be processed led to the development of Polaroid cameras and now digital cameras.

Hyperbolization. It involves exaggerating or minimizing one or more elements of a product or service, or portraying a perfect product or service. Thus, removable contact lenses were born out of the idea that contact lenses could be removed every day.

Changing the order. It consists of changing the order or sequence of one or more elements of a product or service. For example, the idea of ​​packaging uncooked popcorn led to the creation of microwave popcorn. Another example is machines that dispense soap suds in restrooms (usually, in order to get suds, you must first get soap).

The most practical technique is lateral marketing at the market level. Markets, says Kotler, have different dimensions in which goods and services compete. The main dimensions are needs, target groups and circumstances of consumption. The latter, in turn, are a combination of place, time, situation and emotional experience.

The simplest and most effective lateral move is the replacement of one dimension of the market with another, which was not previously taken into account.

A prime example is Red Bull. They opened a category that is now called energy drinks. They serve a new need beyond ordinary thirst and create a new market. This is a market for people who exercise and are interested in restoring their energy.

In the same way, you can replace the target market group:

Gilette sells looms for women with the introduction of the pink Venus women's looms.

Lateral marketing at the marketing mix level involves a departure from existing ways of presenting a product or service to the consumer. Unlike the first two levels, this option does not change anything about the product, but gives immediate results. Typically these involve new forms of pricing, distribution and communication (often borrowed from other product categories).

Here are some examples: Coffee makers have co-opted the idea of ​​credit cards to sell coffee. You "charge" the coffee card directly at the coffee machine by depositing money, and then you can use it to pay for coffee. Highway tolls allow you to use electronic cards to pass through on-ramps without having to fumble for coins in your pocket—your bill is simply reduced by the corresponding amount. Please note that in each case, neither the payment system nor the product itself is new. What is new is the use of an already existing payment method for an already existing product that was previously paid for differently. Here the Price of the marketing mix was laterally changed, but in the same way, says Kotler, the rest can be changed.

Even more non-standard creative solutions can be found in the field of communications. Companies selling exclusive tombs and headstones organize groups to visit cemeteries as an important part of their communications efforts. Some companies insert product CDs into magazines instead of expensive television advertising.

Of course, a lateral idea does not always lead to success. Several years ago, Danone entered into an agreement in Russia to sell its products through the ICN pharmacy chain. However, the experiment did not last long. The fact is that Russians usually go to the pharmacy to buy medicine, but they are more accustomed to buying dairy products in the store, so there was no mass demand. The Danone press service noted that the project was more of an image-building nature, and as a result the company gained valuable experience.

When coming up with lateral ideas, one must proceed from the fact that new goods and services must meet human needs, and these needs should not be artificial. For example, at one time the Gillette company seriously decided to develop a men's cream that slows down hair growth. They assumed that shaving is a cumbersome procedure that takes time, etc. But the company discovered in time that the consumer identifies himself as a man while shaving. American marketer Jack Trout, president of Trout & Partners, one of the largest firms in America, mentions the famous tobacco company R. J. Reynolds, which spent a fortune on creating smokeless cigarettes. They might probably appeal to non-smokers, but non-smokers don’t buy any tobacco products at all. Therefore, when developing new products, you need to be extremely careful.

But it is a mistake to think that lateral marketing is only suitable for introducing a completely new product to the market. This approach also works effectively with familiar products that have been on the market for a long time, or rather, with new varieties of old products. This not only increases the growth stage of the product, but also significantly extends the stage of its maturity. Innovative ideas for one product are often suitable for promoting another.

Is it possible to learn lateral thinking? A person with “vertical” (template) thinking solves the problem step by step, consistently cutting off everything that is inaccessible to his understanding. The development of lateral thinking presupposes:

ü formulation of the dominant (template) idea;

ü maximum distortion of the dominant idea, bringing it to the point of absurdity (avoiding extremes);

ü liberation from the template and search for different approaches to phenomena, including in other fields of knowledge.

Lateral thinking seeks to avoid the dominance of strict and generally accepted views on things. However, its goal is not disorder, but a new, simpler order.

Innovation management has become a way of life for many Western companies. Their activities in this area bring obvious results even in times of crisis. New technologies must also be applied in Russian conditions. Companies that do not have a leading position in the international market should turn to lateral marketing. Investing in this innovation will bring the level of competitiveness of domestic companies to an acceptable level and ensure high profitability.

1.2 Criticism of lateral marketing

Interest in creative thinking methods periodically captures Western minds, and this happens every time business sciences find themselves at yet another dead end. Since the beginning of the 21st century, a new wave has arrived and the principles of “lateral thinking” have become the focus of discussion.

Of course, not every innovative idea can pay for itself in practice. In addition, consumers may become tired of new products, even revolutionary ones. People see the novelty, but cease to understand the meaning in it. Not only does segmentation lead to market niches that are too small, but massive increases in innovation lead to equally small markets. This is already happening. This trend is especially evident in the software industry. Even the most unusual, “lateral innovation” programs can only count on a small group of consumers, since the market as a whole is oversaturated with innovations that consumers simply do not have time to understand. This important feature of the software market will soon spread to the consumer goods markets.

Also, some experts believe that the algorithm for creating innovations proposed by F. Kotler and Edward de Bez is just a myth: in practice, any methods of generating creative ideas very rarely give the desired results, such “formulas” and “algorithms” or do not work at all, or they produce a lot of strange ideas that are of no value.

The logic of Kotler and his lateral marketing is simple: in modern conditions, a promising way of development is not attempts to penetrate and expand their shares in already occupied segments, but the creation of new markets. To do this, marketers need to learn how to create new products and services that are not just variations of old ones, but are fundamentally different from them. Only such innovations can attract the attention of consumers today.

This is a valid line of thinking, but it is as banal as it is true. At all times of marketing, it was more profitable to create a new market than to push on the old one. Nothing has changed today, only perhaps the search for innovation has become a fixed idea for large international corporations.

Meanwhile, the sluggish reaction of consumers to variations in packaging, sizes and other “vertical innovations” is already spreading to all new products - Kotler is mistaken in thinking that society will be alive and accept any “lateral” innovation with interest, that novelty will always arouse interest .

Consumers are also starting to get tired of fundamental new products - those that Kotler calls for. Already now we see a “deficit of meaning” emerging - people see novelty, but cease to understand the meaning in it. Accordingly, it does not take into account that not only does segmentation lead to too small market niches, but also a massive increase in the number of innovations leads to equally small markets.

Critics argue that lateral marketing is an admission of creative impotence, rather than a step towards creativity, arguing that if you asked any of the innovators listed above, not one of them would agree that this is how they came up with a new idea. Some experts believe that this method of invention in hindsight tries to explain all inventions and discoveries, but if you try to invent something useful with their help, it turns out that they are weak in hindsight.

In any case, the concept of lateral marketing should not be perceived as a panacea for all marketing ills. However, even its opponents admit that lateral marketing at least arouses the desire to discover new creative abilities, and this in itself is important.

Chapter 2. Analysis of the application of lateral marketing

2.1 Russian practice of using lateral marketing

For many Russian companies, lateral marketing technology is not a discovery. According to the president of the advertising agency "Commander RA" Alexey Yurov, lateral marketing has always existed in the domestic market, but usually worked spontaneously, original ideas arose by chance. A typical example of lateral shift is BF glue, which first existed as a regular glue, and later, due to its properties, was also produced as a medical one. It allowed him to seal wounds and cuts. Or another example - Bittner's balm, positioned as a medicine for oral administration, and then recommended for external use.

For most specialists, it is usually not very important how a successful solution is found. According to the manager of the Polikom Pro company, Mikhail Oreshin, if a bright idea appears, what difference does it make whether you used lateral marketing or it came to your mind over a glass of beer. Many people consider the targeted use of lateral marketing in Russia to be premature, because even with vertical marketing, or more precisely, with “marketing” as such, only market leaders have so far figured it out. For others, unfortunately, it's just a buzzword. There is a gap between Moscow and regional markets, which are even less in need of non-standard ideas.

Natalya Stepanyuk, general director of the IQ Marketing agency, shares the same opinion. According to her, the concept of lateral marketing is more appropriate in the West, where the competition is crazy and the saturation of brands is incredible. For our market, this approach is still something futuristic, although companies should already think about it.

So, let's look at a few examples of using lateral marketing in the Russian market. First, let's look at examples of the use of this marketing in the consumer goods market. And the first product is rye cracker snacks.

The idea of ​​making snacks out of rye crackers, packaging them and selling them as a beer snack first came to the minds of three entrepreneurs from St. Petersburg. In the fall of 1998, they began producing crackers called "Chapaevskie" (or "CHAPsy"). But the greatest success in this field has been achieved by the Moscow company Bridgetown Foods, which produces Three Crusts crackers. As its general director Dmitry Vasiliev said in an interview with The Secret of the Company, his wife really loved drying crackers in the oven; all that was left was to put the home experience into production. In addition, he was prompted to the idea of ​​​​starting production of the product by a television program about the experience of a St. Petersburg company.

According to ACNielsen, in 2002 in Russia the share of rye crackers in the total sales of snacks with salt (chips, nuts, salty cookies, etc.) was 44%. And a year later it grew to 50%. Now the sales of all snacks with salt are growing precisely due to crackers (see Fig. 2.1).

Figure 2.1 Share of crackers in total sales of salty snacks.

As can be seen from the graph, the share of crackers in the total volume of salty snacks according to data for 2008 is 50%, which certainly indicates a correctly made lateral decision, which is still profitable to this day.

Another example of a product invented using lateral thinking is milk-juice mixes. All over the world, about ten years ago, the production of fortified products began, and this boom has reached Russia. And today, one of the most developing categories of the dairy market is milk-juice mixes, although a few years ago even the mention of such products would have raised eyebrows. In 2003, Wimm-Bill-Dann launched a new line of dairy products under the Neo brand. First there was “Mazhitel” (fruit juice with milk), then the family of fruit juices with drinking yoghurt (joy-fit) began to actively develop. “Of course, juice and dairy products did not first appear in Russia,” says Pavel Smirnov, director of marketing at Wimm-Bill-Dann-Milk. “But our company has carried out its own developments in this area and adapted the product for the domestic market. After all, it is known that "Tastes can vary significantly across countries, and proven solutions are usually not suitable for other markets."

Another example of the use of lateral marketing is cocoa “Message of Isis” produced by Ural-Traverse.

The company produces hot chocolate in single-serve bags (using the three-in-one method: cocoa powder, sugar and cream). When selling the product, problems constantly arose - stores are reluctant to take the product, because... he was considered unusable. The fact is that the consumer associated the drink with a drink for the poor. As a result, the company had to look for an original way to interest retail chains, and at the same time the buyer.

The company remembered how well Kinder Surprise sold, and decided to combine cocoa with something. “In the Caucasus, it is customary to tell fortunes using coffee, and I even heard a legend about one Armenian who sold coffee in Paris using fortune telling. We decided to use the same technique,” ​​recalls Samvel Safaryan, head of the sales department of the Ural-Traverse company. The product was called “The Message of Isis” and various predictions were written on the packaging. In total there were 96 options. To reduce the cost of packaging and avoid using a washable layer of paint, the message was encrypted and can only be read in front of a mirror. By the way, about 70% of predictions are negative (“you may get injured”), because if you write only good things, people will be skeptical about them. But for the most suggestible, they made a note: “No matter what, everything will be fine.” Now, when Ural-Traverse managers call stores and ask if they need hot chocolate with fortunes, they show much more interest than before.

With the help of lateral marketing, IQ Marketing came up with a new method of promoting a product to the market, specifically frozen dough.

When introducing frozen dough to the market, the Talosto company decided to abandon the standard moves - advertising in TV series and conducting tastings in stores. “Instead of offering the product to housewives, we went to schools,” says Natalya Stepanyuk, general director of the IQ Marketing agency, which worked on this project. A huge number of schoolgirls are taught to cook in labor classes, so the agency, through the Ministry of Education, agreed with schools and conducted a series of lessons on working with frozen dough. The promoters, by the way, were from a culinary college. And then a competition was announced among the children - bake something from the dough and send a photo. The main prize was a mobile phone. The students encouraged parents to buy, and as a result the company achieved a significant increase in sales.

The Russian Product company recently also came up with an original move. Instead of raffling off prizes among customers, she actually turned her product into an instant lottery: banknotes in denominations from 10 to 1000 rubles were put into cans of instant coffee. After special processing, the money was packaged in sealed bags. “Everyone offers to cut something out, fill it in, send it. We decided to make it simpler,” says PR manager Lyudmila Semushina. As a result, sales increased by 20%.

Lateral marketing has also begun to be used in the medical services market; an example is doctor-marker, authored by Vladimir Denisov.

If you use iodine or brilliant green in the traditional way, you have to wrap cotton wool around a match and dip it into the bottle. There is always a risk of getting your hands and clothes dirty. An entrepreneur from St. Petersburg, Vladimir Denisov, decided to save consumers from this problem. While studying at the Military Medical Academy, he found an unusual use for the familiar marker and came up with a device that made it easy to store and apply medicine. The healing felt-tip pen consists of a body, an adapter, a cap, a storage unit and a solid porous rod. The solution contained in the capillaries of the storage device impregnates the solid rod. Denisov patented his invention and called it “lekker” - from the words “medicinal marker”. In 2000, he registered a company with the same name, found an investor and began industrial production of lekkers. There were no problems with the sales market. “I am a doctor, and I proceeded from the fact that iodine and brilliant green are usually found in every home. At least a third of consumers buy them in reserve at least once a year,” says Vladimir Denisov. True, establishing contacts with distributors was not easy. It took about a year to negotiate with large wholesale companies. We managed to reach an agreement with the smaller ones faster, but they purchase small quantities.

Today the company sells about 200 thousand units of lekkers per month in pharmacies of large cities in Russia and a number of CIS countries.

There is also lateral marketing in the manufacture of pet products; a striking example is organic yogurt for pets, the manufacturer of which is the Veda company.

The company produces veterinary drugs, animal care products, and is actively looking for free market niches. The latest development is bio-yogurt for cats and dogs. The product is aimed at pet owners who pamper their pets with various treats. As Andrey Weber, commercial director of the Vedamax company (general distributor of Veda), explains, this segment today includes candies, cookies, sticks and pillows for dogs and cats. The demand for them is growing, but the choice is still small: a stick is large or small, cookies are round or square.

Veda specialists came up with the idea to draw parallels with the market for products for people. They noted how actively the segment of yoghurts with the prefix "Acti" ("Actilife", "Actimel") is developing. “Now it is fashionable to take care of your health by eating food “with the addition of beneficial bacteria”, “lightweight”, “balanced”. The consumer has already been informed about these products, tried them and is ready to pay for them. In addition, there is large-scale advertising in this category,” - A. Weber said in an interview with the magazine "Kommersant. The Secret of the Firm." After analyzing all these facts and conducting additional research, the company decided: the consumer is prepared - and will begin to buy healthy products not only for themselves, but also for their pets.

Veda has developed bio-yogurt for dogs and cats called “Acti-Dog” and “Acti-Cat”. Of course, the company cannot be called a pioneer in this category. Western manufacturers brought yoghurts for animals to Russia, but, according to Andrei Weber, they are poorly represented here. They were introduced to the market prematurely, when the market was not yet ready for such goods. In addition, the Veda company claims: “Acti-Dog” and “Acti-Cat” are not just fortified treats, they contain cultures of live lactobacilli.

The Megafon company also used lateral marketing to develop a new product. To perform a lateral shift, they used a technique called inversion.

It has already become a norm for consumers to pay their mobile operator for a conversation. But the Megafon Moscow company turned this idea on its head, as a result of which in August 2004 the company introduced a new tariff "O" Light. All incoming calls from mobile phones with federal numbers are free for subscribers of this tariff plan. And if the conversation lasts longer than a minute, the subscriber also receives a cash bonus - $0.01 to the account for each call. In fact, the operator pays the subscriber extra for calls. The more such connections, the greater the amount on the subscriber’s account. As Roman Prokolov, advisor to the general director of Sonic Duo (operator of the Moscow Megafon network), explains, the idea of ​​paying customers extra for calls has already been used in European countries. However, this is the first time such a technique has been used in Russia. This decision was cost-effective: the company improved its image and in three months increased its subscriber base by more than one and a half times.

Another no less interesting idea, which was born thanks to the use of lateral thinking, was implemented by the company "Photocenter.ru".

Before the start of the new year in Moscow, the company "Photocentre.ru" opened its first Photo cafe. There were 12 monitors installed on the tables with a specially designed interface for convenient viewing of photographs. Any frame can be sent for printing, and in a few minutes it will be delivered to the customer’s table. Visitors may bring flash cards with digital images or undeveloped film.

Drinks are ordered using an electronic menu, just “click” and the order arrives at the bar. There is no Internet access in the cafe, but you can send photos by email.

As the author of the idea, director of the IT department of the Fotocenter.ru company Mikhail Kirsanov, says, when a person comes to a photo lab, he wants to immediately look at new pictures, show them to friends or family, and often duplicate several frames and give them as a gift. “I’m a big fan of coffee shops and often saw companies gathering there, looking at photographs, sharing memories. But the store lacked such coziness. The idea arose: some things can be combined,” says Mr. Kirsanov. And he adds that there are no analogues to the project in the world yet: “We have been to international conferences and exhibitions, but have not seen anything like it.” The company does not disclose the size of the investment; the approximate payback period for the project is 2-3 years. The Photo Cafe plans to receive its main income from printing photographs.

Today, lateral marketing is the most progressive and effective way to achieve real results. Today, one well-promoted brand is no longer enough: people no longer line up for hours as soon as they hear the name Pepsi-Cola. New requests - new opportunities - new marketing. And there is no escape from this. Today marketing is already creativity.

Conclusion

Finding an innovative idea is as difficult as it must be simple, like everything ingenious. However, as Philip Kotler wrote, “if you work with the same consumers, products and markets, you will certainly fail.” And the same can happen if you work with the same ideas.

In turn, the use of lateral marketing ensures the creation of what provides business value - innovation. A company can identify new target audiences, market segments and, as a result, develop a new positioning of its product, open up new opportunities in old products and extend their life, and develop a new product. Which overall constitutes a beneficial advantage over competing companies.

At one time, Jean-Luc Jinder, one of the most famous adherents of lateral marketing, in his book gave it the definition of “marketing without tomoses.” And this definition quite clearly reflects the essence of this type of marketing.

One construction company in London was having trouble getting potential clients to come and view its homes. Then the director thought: “What if I make my houses go to people?” He built a life-size model of the building on a barge and began transporting it up and down the Thames. From time to time the ship dropped anchor off the densely populated shores. As a result, 26 thousand people visited the house in three months.

Of course, new products obtained through lateral marketing often require significant investment in production; say, Kinder Surprise is more difficult to produce than a simple chocolate bar. In addition, the consumer must still get used to them, so serious efforts are required to promote this type of product. But the economic effect may be much greater than in the case of new products obtained in the traditional way. This is evidenced by the experience of Russian companies that have recently been practicing the concept of lateral marketing, which can confidently be called successful.

Thus, lateral marketing is by far the most progressive and effective way to achieve real results.

Bibliography

1. John Tookut, Bottom Up Marketing. From tactics to business - M: Alpina Publisher, 2010 - 236 p.

2. Elena Eremina, Marketing - M: Academy, 2011 - 270 p.

Jean-Luc Jinder, Marketing without brakes - Novosibirsk: Siberian University Publishing House, 2009 - 336 p.

Chris Ritchie, Marketing as it is - M: Business and Service, 2010 - 370 p.

Svetlana Sterkhova, Fundamentals of Marketing - M: Unit-Dana, 2011 - 382 p.

Patrick Forsyth, Cool tactics in cool times - M: Alpina Publisher, 2010 - 320 p.

Philip Kotler, Fernando Trias de Bez, New marketing technologies. Methods for creating brilliant ideas - St. Petersburg: Neva, 2008 - 192 p.

Edward de Bono, Lateral thinking - M.: Potpourri, 2006 - 384 p.

Large explanatory dictionary. Marketing / General ed.A.P. Pankrukhina. - M.: Omega-L, 2007.

Dictionary, Marketing Center - St. Petersburg: Neva, 2007 - 240 p.

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Current page: 1 (book has 11 pages total) [available reading passage: 3 pages]

Philip Kotler, Fernando de Bes

Lateral marketing: technology for searching for revolutionary ideas

Edward de Bono

and to all creative geniuses.

Philip Kotler

To the three main women in my life:

my mother Toya,

to my wife Maria del Mar

and my daughter Blanca.

Fernando Trias de Bes

Editor M. Sukhanova

Project Manager M. Shalunova

Technical editor N. Lisitsyna

Corrector E. Aksenova

Computer layout M. Potashkin, Y. Yusupova

© Philip Kotler and Fernando Trias de Bes, 2003

© Publication in Russian, translation, design. Alpina Publisher LLC, 2010

All rights reserved. No part of the electronic copy of this book may be reproduced in any form or by any means, including posting on the Internet or corporate networks, for private or public use without the written permission of the copyright owner.

Introduction

These days, the percentage of new products that are doomed to fail on the market has increased incredibly. Even 20 years ago the picture was more favorable. Why has it become so difficult for new products to make their way?

Let's try to consider the range of possibilities available today and draw conclusions.

For example, in the breakfast cereal category there are dozens of subcategories and varieties addressed to different consumer groups. Special cereal flakes are produced for those who are watching their weight and for those who need fiber to improve digestion; for those who like the taste of fruit, chocolate, honey, and for those who are interested in the shape of the product (flakes, stars, rings, etc.). Could there possibly be a type of breakfast cereal that is not yet represented among this plethora of offerings?

In the dairy products category, more than fifty different yogurts compete with each other on store shelves. We will find here plain and vanilla yoghurts, with pureed fruit and with pieces of fruit, low-fat and completely fat-free, as well as mousses. Is further increase in diversity conceivable?

In any developed country there are several dozen television channels, although just ten years ago their number rarely exceeded three or four. Is there any room for growth in this market?

Out of ten sales promotions, only one leads to an increase in demand by more than 5%, whereas several years ago this was the minimum achieved by almost any promotion. Why?

Marketing today is a far cry from the marketing of the 1960s or 1970s. There are products on the market to satisfy almost every need. Demand is not just saturated - it is satiated.

In most developed markets, strategic marketing fundamentals (i.e., segmentation, targeting, and positioning) are beginning to lose their effectiveness as mechanisms for generating competitive advantage that could be developed into business expansion opportunities and new products.

Companies can further segment the market using ever finer differences, but the end result of this process is markets so small that they are unprofitable to serve. The need for a fundamentally new approach to creating meaningful market offerings is becoming increasingly clear. We've reached a turning point where marketing needs a radical overhaul of its idea generation system.

Lately we have seen the emergence of business concepts that were developed not through endless vertical segmentation, the technique of yesterday, but through some other creative process.

How did the concept of a cereal bar that you can eat in the morning instead of breakfast cereal with milk come about?

What creative process led to the idea of ​​setting up supermarkets at gas stations?

How did you come up with frozen pizza that could replace fresh pizza delivered to your home?

What line of thought led to the invention of a chocolate bar with a toy inside?

What system was used to generate the idea of ​​yogurt that a working woman could put in her purse and eat in the office in the morning?

The most successful marketing ideas are based on a paradigm that does not boil down to simply defining your market and then endlessly segmenting it or repositioning the product. Real breakthroughs start in lateral thinking and based on it lateral marketing.

The purpose of this book is to define the basic concepts and formulate the theory of lateral marketing - the opposite approach to vertical marketing. Edward de Bono, a world-renowned expert on creative thinking, recommends lateral thinking as an ideal way to generate new ideas. We believe that now, when classical marketing thinking no longer works as successfully as before, it is very important for companies to develop non-standard approaches to solving marketing problems.

We are not talking about abandoning classic marketing, not at all. Existing marketing theories still play a critical role. Our task is to offer a broader view of the possibilities of marketing thinking, allowing us not to be limited to the strictly sequential logical procedure on which modern marketing is based.

Adopting lateral thinking as an additional platform for discovering new marketing ideas will allow you to generate ideas entirely on your own, rather than in response to consumer wishes expressed directly by consumers or extracted by researchers from survey data. These new ideas will help the company better cope with the increasing uniformity of products and the problem of hyper-competition.

Evolution of markets and development of competition

The last decades of the twentieth century. were successful for most companies in developed countries. This was facilitated by political stability, steady demographic growth and an increase in life expectancy. The improvement of marketing mechanisms also played a significant role here. Marketing departments could spend large sums of money developing and introducing new products, educating and informing consumers to persuade them to trial, repurchase and build brand loyalty.

But at the beginning of the 21st century. success has become more difficult. Why? Below we will look at the main reasons for this.

1.1. Concentration in the distribution of consumer goods

In the 1950s In the USA and Europe, distribution of consumer goods was mainly carried out by small independent firms. Today, as a result of the emergence of innovative distributors such as Wal-Mart or Ikea, as well as mergers and acquisitions, this business is increasingly concentrated in the hands of giant corporations, many of them international. Hyper- and supermarket chains control more than 80% of food retail trade. Another significant share of the food market belongs to large franchise food chains - McDonald's, KFC, Subway, Domino's Pizza. A similar picture is observed in all industries.

Thus, power shifted from producers to distributors. The distributor manages the shelf space and decides which manufacturers to cooperate with and how much space to allocate to each of them. He charges distribution fees, commission fees, and actually imposes the terms of sale and promotions he wants on manufacturers.

...

Distributors are responding to change by focusing their business. Distribution channels are concentrated in the hands of a relatively small number of companies with enormous power.

1.2. Reducing the number of competitors while significantly increasing the number of brands

Many manufacturers could not withstand the onslaught of retail giants and either disappeared or were swallowed up by the “sharks” of their industry. Although there were significantly fewer manufacturing companies as a result, they continued to introduce new brands to the market, and in ever increasing numbers. Table 1.1 shows the growth in the number of registered brands in the three countries between 1975 and 2000.

Table 1.1. Registered brands in the US, UK and Germany from 1975 to 2000.

The increase in the number of brands is due to three factors:

1. The need to adapt products to the specific needs of certain segments (consumer groups) and even niches (small groups), resulting from segmentation strategies.

2. Reduce vulnerability. The more brands a company has, the more difficult it is for competitors to attack it. It is much harder to beat many brands at once than just one that dominates a given category. In addition, the atomization of the market prevents new competitors from entering them.

3. A large portfolio of brands strengthens the position of the manufacturer in negotiations with the distributor. A high discount offered on one brand is offset by a low discount on another.

...

Multinational companies and corporations are gaining strength. There are fewer players, but more brands.

1.3. Reduced product life cycle

Time to market for new products has been significantly reduced. Why?

Firstly, it has now become easier for companies to introduce new brands to the market, especially if they have idle production capacity. They can change the product's ingredients, additives, features, design, or packaging with minimal changes to the manufacturing process, planning to recoup all development costs within the first year of sales and hoping that the product will remain profitable for several more years.

Second, consumers' willingness to try new brands advertised to them is growing. They will easily abandon their previous brand for a new one that they like better. But, disappointed in this new brand, they will just as easily abandon it.

Thirdly, the situation in consumer markets is similar to an arms race. Each new brand takes away sales from existing ones. Companies whose brands have suffered are also forced to release new brands, since they have no other way to restore their position. In response, other competitors will release even newer products, and so on in the cycle.

In hypermarkets, new brands are taking up more shelf space, and the resulting competition is fierce. Manufacturers are moving from brand management to category management to make better use of the limited space available to them.

...

Bringing new brands to market is becoming cheaper. The speed at which new brands are introduced is currently increasing, and the lifespan of new products on the market is decreasing.

1.4. Cheaper to replace than to repair

Durable goods don't last as long as they used to. If a device breaks, it is usually easier to replace it with a newer model than to repair it. Consider the following examples.

A new laser printer costs approximately $180 and can be delivered within one day. Repairing your existing printer will cost almost $120 and take about two weeks. Does it make sense to repair an old printer, especially since it may break again?

A new electric razor costs less than $60, and you pick it up right after you make your purchase. To repair an old razor, you will have to pay about $100 and wait two to three weeks. Any workshop will recommend you buy a new razor.

It is often cheaper, faster and easier to buy a new product than to repair an old one. The result has been a culture in which durable goods are viewed as disposable. If, for example, previously VCRs and televisions lasted 7–8 years, now they are replaced every 2–3 years. Because of this, the frantic release of new products is intensifying.

...

The manufacturing process is so efficient that replacing a product becomes cheaper than repairing it. This spurs the release of new products.

1.5. The revolution brought about by digitalization

Today, everything can be translated into zeros and ones: images, sounds, voice, text and data. Everything is reproducible. True, we do not yet know how to digitize smell and taste, but this is apparently only a matter of time.

Digital technologies have led to the emergence of a whole range of new products: computers, interactive TVs, PDAs, digital phones, smart dishwashers, microwave ovens, toasters, etc. Technology extends to the simplest products: books are produced with sound, and dolls sing two dozen melodies. Satellite positioning systems have made it possible to create a number of new services, such as searching for stolen cars, missing people and animals.

Finally, there is the Internet, which provides virtually free contact between millions of people and each other. The Internet's revolution in information, consumption and communications continues; We are only at the initial stage.

...

The digital era has made it possible to create a number of new products and services. Advances in technology increase the pace of innovation and the number of new products. The Internet contributes to the emergence of new brands and forms of doing business.

1.6. Increase in the number of trademarks and patents

More and more new products are being created to replace products that have only been on the market for a short time. As technology improves, new products are further upgraded. During the 1990s. The number of annual filings with the US Patent and Trademark Office has nearly doubled. It becomes difficult to register a five letter (or shorter) product name as most of these letter combinations are already taken.

...

The increase in patents and trademarks has led to increased competition in markets.

1.7. Increased diversity within product categories

Go to the supermarket and write down the names of all the yoghurts that you can buy there, dividing them by taste and packaging. There will likely be more than 50 varieties of yogurt on your list: plain, sweet, vanilla, with fruit pieces, assorted flavors, low-fat, low-fat, yogurt mousse, etc.

Take a look at any automobile magazine and count how many different types (variants) of cars and brands are mentioned there: station wagons, minivans, SUVs, small cars, diesel and non-diesel, three-, four- and five-door, with different engine power. There are currently more than 450 models and brands of cars on sale in Spain.

Look through the Yellow Pages and adult education brochures in your area and make a list of all types of amateur courses. If a few years ago courses were mainly offered in European languages, drawing, dance, music and some sports, today there are also rarer varieties - tai chi, acupuncture, Japanese and Arabic and much more.

...

1.8. Hyperfragmentation of markets

In the pursuit of differentiation, companies continually identify and create new segments and niches, leading to highly fragmented markets. The logical conclusion of this process is a market with completely individualized products and marketing, unique to each individual consumer. It has become very difficult for companies to find market segments that provide high ROI. The release of each new product only slightly increases profits; there is no significant growth. Profits are “spread” across the market in an increasingly thin layer.

...

Markets are fragmented into small niches that are less profitable.

1.9. Saturation and fragmentation of advertising distribution channels

The average resident of a large city receives about 2,000 advertising and information messages every day, of which only a few linger in memory until the end of the day. Advertising, once the most effective mechanism for creating a brand and promoting new products, is threatened by its own development: the more there is, the less attention it attracts.

Today, it is not easy for a brand manager launching a new brand of chocolate to communicate this event so that the information is taken into account by potential buyers. More recently, he could have counted on the fact that after advertising was shown on a limited number of TV channels that were watched by the majority of the population, several million people would decide to try the chocolate bar. Now anyone who might be interested in an offer can watch any of a hundred TV channels, listen to any of two hundred radio stations, read any of a thousand magazines. In addition, many TV viewers have the habit of switching to another channel during commercial breaks, and some do not watch TV at all - they sit at the computer or go somewhere to play sports or have fun. The media consumption habits of modern audiences are very diverse, and in order to convey their information to them, companies must use many media and advertising distribution channels at once. This may result in excessive advertising costs.

...

1.10. Reducing the impact on consumer consciousness

From what was said in the previous section, it is clear how little chance advertisers have of gaining a place in the minds of consumers. It feels like “mission impossible.”

Consumers have become incredibly picky about both products and their advertising. They ignore the bulk of advertising, not believing that they are missing something important. They learned to look and not see, to listen and not hear.

Walk into a doctor's office and watch someone looking at a magazine while waiting in line. Although such a reader may encounter more than four dozen advertisements along the way, he or she clearly reads only a few of them. It only takes half a second to skip an ad.

The problem for the advertiser lies not only in the huge number of competing products, brands and advertising, but also in the fundamental closedness of consumer consciousness to commercial communications. A brand that does not have novelty or special qualities will be ignored. To overcome this attitude, companies advertise their products with claims that they are “new”, “improved”, “new taste”, “more natural”, etc. These are all attempts to attract the attention of consumers by “breaking through”. » saturation of consciousness with the help of novelty.

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Consumers have become picky. They are increasingly ignoring commercial communications. Maybe the only way to get their attention is through novelty.

Conclusion: competition in markets has increased significantly.

Modern marketing is more complex than ever. This doesn't mean there weren't problems before, just that the problems today are completely different. The challenge now is to combat the extreme fragmentation, saturation, and storm of new products entering the markets every day (see Figure 1.1).

Rice. 1.1. Problems of modern marketing

These thoughts lead us to an obvious and straightforward conclusion: if (1) innovation and new products are the core of competitive strategy, and (2) among new products only a small percentage succeed, shouldn't it be a priority to find ways to create and launch more successful products? In fact, this is one of the main tasks lateral marketing.

We start with an idea for a new product. The process of its emergence will be analyzed in the second chapter.

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Summary

Innovation is the key and basis of modern competitive strategies. New products are brought to market with extraordinary speed, but a significant proportion of attempts fail. To survive, it is absolutely necessary to understand the modern innovation process. To do this, we will break down the marketing process into its components, analyze it, and determine what kind of innovation it can provide.

Strengths and weaknesses of traditional marketing thinking

Below we take a quick look at the basics of traditional marketing thinking and note its strengths and weaknesses in today's environment. This will allow us to further understand how lateral marketing differs from traditional marketing, and learn how to simultaneously apply both complementary ways of thinking.