Chang, Dae Ryun Chang. [SOUND] Now that was my poor imitation of James Bond and just so happens that this prop is 007. Welcome to segment B2B product marketing. In this segment we'll talk about what a product is at a very basic level. And the key in B2B product marketing is what I call a total product system. And we'll learn how B2B products can be quite varied. And an important concept in B2B product marketing is that of the value stack. And lastly, we'll understand how value stack can be aligned with the buying center approach. So, let's get started. Okay, so why did I start with this drill? Because the reason is this is a very famous example in not only B2B marketing but marketing. And you may have seen me actually use this drill before. And it gets at what we're selling. And so if you are a drill manufacturer, you may think we're selling drills. But the real answer is that we're selling, excuse me. Holes. [SOUND] So that's what the buyer is buying. How can we make a better hole? And we can do it with the drill, we can do it with an awl, the old-fashioned way and it's quite cheap, maybe not as accurate. We can do it with a computer numerically controlled machine, we could even do it with a laser. So we can do it with something very tangible, something based on technology. But it may also involve a service dimension. So even in B2B marketing, service can matter. We tend to think that it only matters in B2C marketing. No, the truth is, is that it can matter just as much in B2B marketing. And so we have to really understand value. And the needs from the customer's standpoint, especially in terms of how much to mix the tangible against the intangible. And that customization will depend on the Noon Nopi, or the Eye Leveling, that is achieved by marketing. Okay, so I mentioned TPS, so this is a diagram which talks about TPS. And it's called TPS because there are many different components. We can start with pre-marketing or even pre-engineering, as it's often called these days. Then we have our main marketing, and it doesn't end there. And lastly, we ended with what I call post-marketing. And the reason I drew it this way was because if we look at the arrows, we see that depending on the level, whether it's free marketing, main marketing, or post-marketing, the targeting may be different. And we will recall that the numbers here refer to the buying center member, so B2 could be engineering. So who does the marketing? Doesn't have to be always the marketer. The captain of our selling effort can be our engineer. So the S2 could refer to our engineering department. So at the pre-marketing or pre-engineering level, and that's why it's often referred to as pre-engineering, it's not even marketing. Because there has to be a lot of technical discussion that goes on between our potential buyer and us. But, of course, during the main marketing stage, a lot of the transaction will take place between the purchasing department and our sales and marketing personnel. And lastly, after a product is bought and is being used, there may be a lot of after sales effort that is needed. And that's when a department like S5, let's say the technical support team, has to serve the user, which here is signified as B6. So, many different stages, many different dynamics involved in B2B product, what I call TPS marketing. So these are the implications of TPS. That it's a multi-stage and a team approach concept. And that the differentiation, the POD, can be achieved at any stage, it's not just at the tangible product stage that you achieve POD. If anything, at the pre-marketing stage or even at the post-marketing stage, differentiation can be somewhat easier. In the sense that not everything has been set in stone at the pre-marketing level, also at the post-marketing level, a lot of it will involve service. And so service can be customized more easily than with tangible products. Pre-marketing is very important, as we established in another segment, in locking in buyers and making sure that the specification that the buyer wants is favorable to us. And post-marketing can be quite profitable, in the sense that service can be more scalable and cheaper than with the products. Okay, this is a very useful way to think about TPS. So I won't go into the nitty gritty details, but let's just assume for the sake of simplicity that the first three stages involve pre-marketing, and the next three stages involve main marketing, and post-marketing involves the very last stage which is satisfaction of the customer. And what this chart gets at is that we have to plan. So the keyword is plan. And we have to delegate roles and responsibility. Here is even more than just roles and responsibility. It's accountability, it's who has to be consulted, who has to be at least kept in the loop, and so the RACI will differ by the TPS stage. So not everyone has to be involved at every stage. Though we have to make sure that, again, the key people who are responsible and accountable do have to be.