Are you playing offense or defense?
The play on offense is to run hard and fast. Gain ground. Leave the rest behind. In a changing world, getting there first has a value.
The play on defense is to hold onto what you've got and watch others over reach and fail. Win by letting the other guy lose.
In today's world is it a fool who looks for logic in the victories of the past?
My opinion is it depends on what past you look at.
I don't believe you can hold onto what you have had in the past. It is leaving and we can't stop it.
If that is true then you have to grab hold of something else or you end up with nothing.
So how do you decide what to defend and what to go for?
Defend spending money and time on activities that create revenue.
Defend spending money and time on bringing your existing customers forward to a better platform or level of service. Notice, this probably doesn't mean getting them to pay to upgrade. This means getting them to stay - and maybe even for less. Keep them and keep some revenue. Lose them and keep no revenue.
Don't spend time or money on upgrading an old platform or service. If you can't get your customer to move to a better service what is wrong. Is the service not better? Does the customer just not want to change?
In the short term you can make more money servicing a declining group of users at a premium price. But the day comes when there are just not enough of them left. Your toast on that day. Just add butter and jam.
At a very real level, because of the changes in technology and the economy, we are all start ups. As a start up we have to play as much offensive as we can stand. Maybe more than some of us can stand.
In a changing world waiting for the other guy to lose is done by moving ahead and watching the defensive player wait to change. While he waits, the game changes. I believe if you are sitting back and waiting on the other guy to lose, you are going to find out that other guy is really you.
I've always thought the next best thing to playing and winning is playing and losing. The worse thing is not to get to play.
Get in the game and play some offensive.
Tuesday, December 15, 2009
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