Mr. Moore fairly correctly identifies that the world as made up of four primary types of technology buyers (i.e. markets). A young company on its road to success will touch at least three of these types of buyers and it will occur in a very particular order (Early Adopter, Early Majority, Late Majority). The differences between the types of buyers requires that they be treated differently by technology companies hoping to sell them something.
The differences between the Early Adopter market and the Early Majority market require significant change of a young company and poses the most risk to its survival relative to other transitions it must navigate. Making it through this navigation successfully is what Moore calls...."Crossing the Chasm". The definition of Chasm is: a yawning fissure or deep cleft in the earth's surface; gorge. It does not appear to be a safe place to be. The following are some observations regarding my voyages around the Chasm.
- Likely crossers tend to pick one vision for their solution and stick to it no matter what non-customers may say.
- Likely crossers generally don't have to discount their product price to sell it.
- Likely crossers generally don't need to offer money back guarantees.
- Likely crossers suddenly have tons of competition that previously they never saw in a sales cycle.
- The back side of the Early Adopter market sometime convinces those desiring to cross that they have entered into a market where their product is pulled by demand. That they are now entering the Early Majority. What is really happening is they are having to push less and this is confused for pull. This is a danger spot.
- New sales will stagnate for a period of time while the market tries to figure out from whom it should buy.
- Sales People will argue that the new sales stagnation is caused by competitors whom have made great leaps recently in product design which will be "our ruin.."
- Likely crossers will sometimes get a call back on a project they lost to a competitor whose deployment is a disaster.
- Likely crossers will wedge themselves into they final stages of a customer buy and win (even though the competition had been selling the prospect for months).
- Sometimes panic will overwhelm the navigator in the face of stagnating sales and he will start to make changes in pricing and product that confuse the customer and slit his own throat.
- No investor has fun crossing the chasm but it is better to have loved and lost than never loved at all (maybe).
