Compare the customer job, buyer and distribution advantage before choosing a separate brand, interface or P&L.
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A fictional document suite can offer a research capability inside the suite or as a standalone product.
| Integrated offer | 10,000 eligible accounts; 1,000 paid activations; $12 incremental monthly revenue and $4 variable cost per active account. |
|---|---|
| Standalone offer | 300 paying accounts; $30 monthly revenue and $8 variable cost each. |
| Acquisition | The standalone cohort cost $9,000 to acquire. Retention, fixed costs and cannibalization are not yet known. |
Your task. Choose the first offer, compare like-for-like economics and state what would justify a different product boundary.
Compare the customer job, buyer and distribution advantage before choosing a separate brand, interface or P&L.
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