The government as launching customer, a great opportunity for companies (by Rutger Steens)
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The document explores the concept of the government as a 'launching customer' for businesses, highlighting its potential as a facilitator of innovation and growth. It discusses the benefits for companies in leveraging government partnerships to navigate challenges and scale successfully. Additionally, it emphasizes a shift in approach, recommending that businesses treat government entities similarly to venture capitalists in terms of collaboration and model development.
The government as launching customer, a great opportunity for companies (by Rutger Steens)
- 1. 4.3 The government as launching customer: a great opportunity for companies 1 CONFIDENTIALCONFIDENTIAL THE GOVERNMENT AS A LAUNCHING CUSTOMER: A GREAT OPPORTUNITY FOR COMPANIES Rutger Steens Innovation Consultant [email protected] TRACK 4 MyFutureGovernment
- 2. 4.3 The government as launching customer: a great opportunity for companies 2 CONFIDENTIAL 1969 YEARS PIONEERING INNOVATION 20191969
- 3. 4.3 The government as launching customer: a great opportunity for companies 3 CONFIDENTIAL 20191999 1999 B É T A
- 4. 4.3 The government as launching customer: a great opportunity for companies 4 CONFIDENTIAL 20191999 1999
- 5. 4.3 The government as launching customer: a great opportunity for companies 5 CONFIDENTIAL 1999 2019 DIGITAL NETWORK MODELS Digital channels activities resources
- 6. 4.3 The government as launching customer: a great opportunity for companies 6 CONFIDENTIAL 1999 2019 SMART CITY CHALLENGES 77% 63% Imec Smart City Meter 2019 Mobility Livability
- 7. 4.3 The government as launching customer: a great opportunity for companies 7 CONFIDENTIAL 1999 2019 GovernmentBusiness “SERVING A CITY”
- 8. 4.3 The government as launching customer: a great opportunity for companies 8 CONFIDENTIAL 1999 2019 Consumers “SERVING CONSUMERS” Business C
- 9. 4.3 The government as launching customer: a great opportunity for companies 9 CONFIDENTIAL 1999 2019 EXCITING EXPLOSION OF B2C Endangering usage Public nuisance
- 10. 4.3 The government as launching customer: a great opportunity for companies 10 CONFIDENTIAL STILL USING ‘SINGULAR’ MODELS B2B B2C C2CTransaction / multisided platforms B2G 1999 2019
- 11. 4.3 The government as launching customer: a great opportunity for companies 11 CONFIDENTIAL NETWORK MODELS REACH FURTHER 1999 2019 B2X
- 12. 4.3 The government as launching customer: a great opportunity for companies 12 CONFIDENTIAL NETWORK MODELS REACH FURTHER 1999 2019 B2X
- 13. 4.3 The government as launching customer: a great opportunity for companies 13 CONFIDENTIAL NETWORK MODELS REACH FURTHER 1999 2019 B2X2CB2X
- 14. 4.3 The government as launching customer: a great opportunity for companies 14 CONFIDENTIAL Discovering a network model THEY GO BEYOND YOUR CUSTOMER B2B B2C
- 15. 4.3 The government as launching customer: a great opportunity for companies 15 CONFIDENTIAL Discovering a network model B2B B2C CREATING AN ADDITIONAL RELATIONSHIP
- 16. 4.3 The government as launching customer: a great opportunity for companies 16 CONFIDENTIAL Discovering a network model B B C2 2 A ‘HIGH END’ MALL AS EXAMPLE M2
- 17. 4.3 The government as launching customer: a great opportunity for companies 17 CONFIDENTIAL Discovering a network model CONSUMERS HAVE A RELATION WITH THE MALL = B2B2C M2
- 18. 4.3 The government as launching customer: a great opportunity for companies 18 CONFIDENTIAL Discovering a network model A B2B2C EXAMPLE
- 19. 4.3 The government as launching customer: a great opportunity for companies 19 CONFIDENTIAL Discovering a network model 1 st B2B2C/NETWORK MODELS HAVE B2B CHARACTERISTICS LAUNCHING CUSTOMER Customer Who is willing to help you through the last steps and promote your business
- 20. 4.3 The government as launching customer: a great opportunity for companies 20 CONFIDENTIAL The launching customer 2015 THE 1st WHO HELPS YOU SCALE
- 21. 4.3 The government as launching customer: a great opportunity for companies 21 CONFIDENTIAL The government as launching customer B2B B2C B2C HAS A SIMILAR PURPOSE
- 22. 4.3 The government as launching customer: a great opportunity for companies 22 CONFIDENTIAL The government as launching customer B2G G2C B2C HAS A SIMILAR PURPOSE CITIZENS
- 23. 4.3 The government as launching customer: a great opportunity for companies 23 CONFIDENTIAL The government as launching customer A SUCCESFULL CASE FROM THE NETHERLANDS
- 24. 4.3 The government as launching customer: a great opportunity for companies 24 CONFIDENTIAL Endangering usagePublic nuisance The government as launching customer Achievable? Desirable? Useful? Permissible?Helpful? FACES A LOT OF ADDITIONAL CHALLENGES USERS NON-USERS Bouwen aan morgen, 2019, D.Robberecht, S.Smet
- 25. 4.3 The government as launching customer: a great opportunity for companies 25 CONFIDENTIAL The launching customer characteristics A ‘LEAD USER’ THE “CREATIVE” CUSTOMER PROMOTES YOUR BUSINESS REQUIREMENTS FOR SCALE Lead Users No commercial solutions available # people in need of a new solution Early Adopters Early Majority Late Majority Laggards Inflated expectations E. Von Hippel 1986
- 26. 4.3 The government as launching customer: a great opportunity for companies 26 CONFIDENTIAL Government & launching customer behavior RESEARCH EARLY STAGE TRANSITION GROWTH STAGE Research Seed Series A Series B, C, D Fundamental research Line up evidence De-risk Have machinery for growth IN A START-UP RUNWAY A working proposition Bouwen aan morgen, D.Robberecht, S.Smet Angular Ventures
- 27. 4.3 The government as launching customer: a great opportunity for companies 27 CONFIDENTIAL Government & launching customer behavior RESEARCH EARLY STAGE TRANSITION GROWTH STAGE 66,2 % 53,0 % 33,7 % 20,1% Riskof Failure Government VC Firms Growth VC Firms VCs TRY TO REDUCE RISK Bouwen aan morgen, D.Robberecht, S.Smet M. Mazzucato, 2018
- 28. 4.3 The government as launching customer: a great opportunity for companies 28 CONFIDENTIAL Growth FirmsGovernment VC Firms Government & launching customer behavior RESEARCH EARLY STAGE TRANSITION GROWTH STAGE 66,2 % 20,1% Riskof Failure LAUNCHING CUSTOMER SERIES B LAUNCHING CUSTOMERS TAKE LOWER RISKS
- 29. 4.3 The government as launching customer: a great opportunity for companies 29 CONFIDENTIAL Conditions for a government as launching customer ‘Serving a City’ does not mean selling a product to the government anymore APPROACH GOV AS YOU WOULD A VC
- 30. 4.3 The government as launching customer: a great opportunity for companies 30 CONFIDENTIAL Conditions for a government as launching customer APPROACH WITH A BUSINESS MODEL Desirability Network effects Usability Scalability Revenue Sources In cooperation with A. Rampell
- 31. 4.3 The government as launching customer: a great opportunity for companies 31 CONFIDENTIAL Conditions for a government as launching customer APPROACH A BUSINESS MODEL AS A VC WOULD DO Entrepreneurship INNOVATION I – CAPACITY E – CAPACITY Innovation Bouwen aan morgen, 2019, D.Robberecht, S.Smet
- 32. 4.3 The government as launching customer: a great opportunity for companies 32 CONFIDENTIAL Conditions for a government as launching customer I&E - DIGITAL POLICIES Integration ease, streamlined access, insights as a foundation – E-Stonia (EE) I - REGULATORY PLAYFUL Balance flexibility and clarity to propel innovation initiatives – Financial Conduct Authority (UK) I - DESIGN THE FOUNDATION Invest to help citizen / customer centric research and conceptualization – PIO (BE) E - REDEFINE REQUIREMENTS Redefine requirements so procurement focuses on outcomes and goals instead of history and approach – Defense Innovation Unit (US) E - RAPID PROCUREMENT Facilitate the uptake of new ideas on a startup inspired timeline – Navy (US) I - USE OTAs (Other Transaction Authorities) Go external to fast and flexibly contract or buy technology to test prototype technology – Multitude of states (US) HELP THEM THINK OF YOUR OWN CITIZENS MIT Innovation Initiative, McKinsey, Verhaert New Products & Services
- 33. 4.3 The government as launching customer: a great opportunity for companies 33 CONFIDENTIAL In conclusion A B2G2C APPROACH TARGETS THE GOVERNMENT AS A LAUNCHING CUSTOMER
- 34. 4.3 The government as launching customer: a great opportunity for companies 34 CONFIDENTIAL In conclusion ACTIVILY ADDRESSING CHALLENGES IN COMPLEX CITY NETWORKS BY TAKING A VC INSPIRED APPROACH IN THE GROWTH STAGE A ‘LEAD USER’ THE “CREATIVE” CUSTOMER PROMOTES YOUR BUSINESS REQUIREMENTS FOR SCALE
- 35. 4.3 The government as launching customer: a great opportunity for companies 35 CONFIDENTIAL One group, five brands Our services are marketed through 5 brands each addressing specific missions in product development. INTEGRATED PRODUCT DEVELOPMENT ON-SITE PRODUCT DEVELOPMENT DIGITAL PRODUCT DEVELOPMENT OPTICAL PRODUCT DEVELOPMENT
- 36. 4.3 The government as launching customer: a great opportunity for companies 36 CONFIDENTIAL THE LAUNCHING CUSTOMER CHARACTERISTICS A ‘LEAD USER’ THE “CREATIVE” CUSTOMER PROMOTES YOUR BUSINESS REQUIREMENTS FOR SCALE Lead Users No commercial solutions available Plateau of productivity Peak of inflated expectations # people in need of a new solution Visibility of expectations Early Adopters Early Majority Late Majority Laggards