This content is currently only available to TSIA members.
If you believe you are seeing this message in error,
please let us know.
Research Report
Segmentation Strategies for Optimal XaaS Offer-Market Fit
A Primer for XaaS Companies Seeking Maximum Impact
B2B technology providers must actively and effectively counter the three trends of technology commoditization, consumption economics, and unprofitable subscription business models.
Designing successful products and services, creating solutions, and pricing those solutions requires a function of deep understanding of customer use cases, their operating environment, what they value, their behavioral characteristics, and their role in achieving a desired outcome, i.e., "the problem space." Designing with this deep problem space understanding is more likely to result in the optimal offer-market fit.
To achieve optimal offer-market fit, technology providers must conduct effective market segmentation. TSIA has identified a strong correlation between solutions targeted at specific vertical market segments and profitability.
This paper provides a framework for effective market segmentation by covering the following topics:
- The rationale for segmentation as part of effective XaaS offer development.
- A framework for segment identification.
- Segmentation traps.
- Six segmentation best practices.
Authored By:
Laura Fay
Vice President, XaaS Product Management, TSIA
Publish Date: May 17, 2023
TSIA is well worth the investment. This is the one place where you can come and get a fusion of ideas that you can then marry up to the goals and objectives of your organization and boil that down into several actionable plans that you can implement over the next 6 months to a year.
Peg Rodarmel, SVP, Subscription Services, Infor
Experience Our Community
Our thriving community of 40,000 technology and services leaders rely on TSIA insights every day.