Finding the sweet spot - when is it a perfect match between client and provider?

'Tis the season when companies reflect on their achievements over the past year and begin setting goals for the upcoming year. Catalyst is no different. We've had a great 2008, with many successes, particularly in the SaaS market. We now have a client portfolio of almost 300 enterprise application design projects, with approximately 50 of those being SaaS.

Looking ahead to 2009, there will certainly be new challenges (and opportunities). The full impact of the economic downturn is difficult to assess, but we do know that organizations will be looking to spend wisely on user experience design projects, with a sharp focus on acquiring and keeping customers. We also know that there will continue to be new RIA and user interface design firms springing up (and fading away), all vying for business in a tighter market.

Surviving and thriving in 2009

So for Catalyst, part of our 2009 planning is to identify the type of projects where we bring the highest level of value and clearly differentiate ourselves from potential competition. In other words, where is that sweet spot where the requirements for a client's project perfectly matches our unique experience and skills.

This search for a "sweet spot" is something every service or product company should undertake. It helps to define everything from your BD and marketing, to your capital requirements and hiring.

The sweet spot for Catalyst Resources

In Catalyst's case that perfect sweet spot is when there is a intersection of three client requirements:

1. user experience design of a mission critical business application
2. modular, reusable UI using RIAs, typically applied across a product family or multiple applications
3. a scalable SaaS implementation that is intended to optimize the bottom line

Picture this as a 3D scatter chart, where each axis represents a client requirement. The sweet spot for Catalyst is the point where each client requirement is at the maximum value along each axis.

Of course we work on other RIA and user experience design projects that fall outside of this perfect sweet spot. Any project that requires even one of our particular skills, is a project where we confidently deliver great results. The sweet spot does not necessarily limit the type of projects we undertake. Rather the sweet spot is that point where Catalyst will innovate and execute on a project better than any of our competitors - it is a niche we own.

Other companies have their own sweet spot: Apple's sweet spot, for example might be strong industrial design, integrated software/hardware, and "insanely great" user experience. Costco's sweet spot might be low price, broad selection, helpful staff. In both cases, if a customer needs this intersection of products/services, then it will difficult to find any real competitors.

Finding your own sweet spot

Discovering your company's own sweet spot can require a lot of sober and realistic examination. But the diligence is important, especially in tougher economic times. Look to where you can provide the greatest innovation, the right teams, technological relevance, and a continuing record of delivering bottom line results