Developing a Marketing Course for High-Technology Products and Innovations

www.mtech.umd.edu Developing a Marketing High-Technology Products and Innovations Course : First Year Review James V. Green, Alyssa Cohen Sherman, & Vince Bellitti Maryland Technology Enterprise Institute (Mtech) A. James Clark School of Engineering University of Maryland March 2015 Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Undergraduate science and technology students have limited understanding of the go-to-market strategies and tactics to commercialize their new venture concepts. With grant support from NCIIA, a new course in Marketing High-Technology Products and Innovations is under development. Aim to help University of Maryland students navigate this challenge, and more importantly, to create a replicable pedagogy for developing and managing an experiential course in a technology marketing for entrepreneurs This presentation highlights lessons learned from two (Fall 12 and Spring 13) of the three (Spring 14) NCIIA-funded offerings of this course. Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Grant goals are to build students marketing skillsets and to launch successful technology-based companies Improve students understanding of high-technology market research principles, affordable design, and technology innovation Develop students skills to successfully commercialize technology-based products and launch companies Increase the number NCIIA E-Teams launching innovative technology-based ventures at UM and other universities This course will go beyond writing a marketing plan; and support students real life market-based activities to commercialize their ideas to serve society. Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Items discussed and applied in the course are numerous, and are taught with an experiential learning emphasis. Understanding customers Distribution channels and supply chain management Market research methods Societal, ethical, and regulatory considerations Partnerships and alliances Product development and management issues Relationship marketing Advertising and promotion Market orientation Pricing considerations Sales strategies, to include online marketing and sales Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu NCIIA grant funding is focused on supporting student teams prototyping, materials and supplies, and equipment (75%). Budget Item Year 1 Year 2 Year 3 Total Prototyping Materials and Supplies Travel Expenses Equipment $ 4,000 $ 5,000 $ 5,000 $14,000 $ 4,500 $ 4,500 $ 4,500 $13,500 $ 2,000 $ 2,000 $ 2,000 $ 6,000 $ 2,600 $ 1,500 $ 1,500 $ 5,600 Faculty Stipend - - $ 5,000 $ 5,000 Total $18,100 $13,000 $13,000 $44,100 Funding sources post-grant will include an alumni and friends seed fund to support student venture creation via this course. Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Deliverables and timeline for completion within the course, to include parallel processes and rework. Ideation Go-to-Market Strategy Prototyping & Testing Test Launch / Funding Proposal Marketing Weeks 1-2 Realignment of Teams in Week 6 Expect approximately 6 of 12 teams to advance Students not advancing on their original team join an advancing team Weeks 2-5 Weeks 4-8 Rd. 1 Funding Weeks 7-14 Weeks 13-15 Rd. 2 Funding

www.mtech.umd.edu Lessons learned from the first offering of the course in Fall 12 Seniors can generate great ideas and leverage their educational and work experiences However, grad school and employment offers derailed ventures for ALL of the concepts developed in the fall course More faculty time to mentor teams is needed Flipped classroom potential? Seniors typically embraced opportunity to abandon less promising concepts by mid semester Preferred joining higher potential concept teams Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Changes for the second offering resulted in an increase in the quality of the concepts, and a dramatic improvement in venture creation and survivability. Fall 2012 Spring 2013 Students Seniors Juniors 50% lectures 25% in-class teamwork 25% student presentations (6) 1 lecture for first class Flipped classroom with in-class assignments for all classes Student presentations at midway and final points (2) Format Social Impact Brief introduction via 1 lecture Detailed introduction with video lectures and assigned readings Venture Creation 0% with 0 of 8 ventures active 78% with 7of 9 ventures active (launch, patent filings, grant and/or seed funding pending or awarded) Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Flipped classroom guided by multiple projects involving in-class assignments In-class Assignments 40% In-class Assignments (con t) Core features and functions Visual prototype development Key partnerships and alliances Test plan development Market segmentation Customer feedback analysis Plan for Crossing the Chasm Functional prototype development The technology map & IP portfolio Events and Activities 5% Supply chain & distribution channel plan Marketing Plan 10% Pricing plan Visual Prototype 5% Advertising and promotion plan Final Deliverables Final Presentation 15% 15% 10% NCIIA Funding Proposal Peer Evaluation

www.mtech.umd.edu Topic Pre-Class Assignment In-Class Assignment 1/29 Introduction Read: Chapters 1 & 2 of Mohr, et.al. View: Online lecture on Strategic Market Planning Discuss concepts and form teams 1/31 Strategic Market Planning Core features and functions of the technology-based product or service & the market orientation Read: Chapter 4 of Mohr, et.al. View: Online lecture on Market Orientation and Cross-Functional Interaction Market Orientation and Cross-Functional Interaction 2/5 Read: Chapter 5 of Mohr, et.al. View: Online lecture on Partnerships and Alliances Key partnerships and alliances 2/7 Partnerships and Alliances Market segmentation, to include customer demographics and psychographics Read: Chapter 6 of Mohr, et.al. View: Online lecture on Market Research I 2/12 Market Research I of II View: Online lecture on Market Research II 2/14 Market Research II of II Survey design Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Sample in-class assignment: Market Segmentation Define your target audience in terms of demographics and psychographics, and discuss your marketing research tools to test these assumptions . 1. Define the demographics of your target customer(s). 2. Define the psychographics (behaviors and attitudes) of your target customer(s). 3. What marketing research techniques and tools will you use to verify and/or change the above assumptions? Limit your submission to 2 pages. For submission on Canvas by the end of class today. This deliverable is 3.33% of the course grade. Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Lessons learned and next steps for Spring 2014 With nominal funding and an expectation to a launch new venture, students can deliver on a very short timeline $9,500/class awarded competitively across 2 rounds All purchases made by faculty to speed the purchase process Venture creation is dramatically higher among (1) spring junior class than the (2) fall senior class Grad school and employment offers less of an issue Provides an additional year to develop the venture Flipped classroom presented a valuable approach to accelerate team progress and engage faculty While seniors typically embraced opportunity to abandon less promising concepts by mid semester, many juniors desired to maintain their original concept/team Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Contact for Information and Collaboration Dr. James V. Green Director, Entrepreneurship Education, Mtech jvgreen@umd.edu 301.314.1450 Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Evaluation includes existing University and department measures, plus the creation of E-Teams with NCIIA 1. Standard course evaluations on campus 2. Course specific evaluation 3. Entrepreneurial mindset surveys 4. Securing grants and awards With attention to E-Team grants 5. Founding companies Creation of for-profit firms, with an emphasis on socially impactful products that can be launched by undergraduates Course will help not only University of Maryland students navigate this challenge of transforming ideas into technology ventures, but will create a new replicable pedagogy for all universities. Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Venture creation table Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Annual Demo Day Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Sample Ventures Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland

www.mtech.umd.edu Vince careerpeer Maryland Technology Enterprise Institute A. James Clark School of Engineering University of Maryland