10 questions to answer before starting your OEM-antivirus software business

15.08.16
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10 questions to answer before starting your OEM-antivirus software business
  1. Why did I decide to start exactly this kind of business?

Basically, the answer to this question predetermines your business plan and future in the whole. Do you want to expand your product portfolio and make antivirus as complimentary product? May be you want just to increase the power of your main brand and get competitive advantage for your main services? Or do you want to build self-sufficient business?

Answer these questions to move forward and to develop your business plan.

  1. Do I have a business/revenue plan?

50% of every business success is always based on your business plan. Plan you sales and marketing activities, choose sales channels (offline/online), understand your pricing, estimate your ability to invest in advertisement, calculate your fixed and variable costs and you will understand how many license keys you have to sell to earn profit or, at least, to rich the breakeven point.  

  1. Who is my customer?

What kind of product do you want to sell? Whom will you target it at first? Will your product protect home users or business clients?

Choose the primary audience; understand the needs of your potential customers, make the offer, which is up to your audience’s demand and you will succeed.

  1. What will be my competitive advantage?

Before you enter antivirus software market, you have to understand that you are not the first one and not the only on this market. There are more than 300 brands in the world and every company, which develops security solutions (including industry monsters), tries to make its own unique sales proposition… It is matter of fact that in 90% of cases such USP is just only about software marketing and not about security. So, you have to think twice about how your customers will differentiate your products from others.

  1. Do I have enough investments to build strong brand?

Antivirus software market is highly competitive. If you are going to build self-sufficient business on this market, you will have to invest heavily in marketing to reach such level of brand awareness that will allow you to generate enough sales.

Be ready to make a lot of experiments and to use a lot of tools in social networks, PPC and PPM campaigns, inbound and outbound marketing activities.

  1. Am I ready to be fully responsible for sales, marketing, and customer support?

Never forget that OEM-partnering requires very strict responsibility sharing. You will be fully responsible for sales and marketing, your customers support and everything that is connected with brand development. So, in case if you’ll have problems in any of these areas, OEM-provider can just advice you to do something, but he will not resolve your problems.

  1. What will be my sales strategy?

You will never find two equal countries with the same antivirus software markets. It means that in case if you are going to work in many countries, you will have to customize your sales strategy for every of it. Online vs. Offline, direct sales vs. sales through partner channel, high margin vs. damping strategy – be ready to be flexible!

  1. Do I have strong financial cushion to keep my head above the water for at least 1 year?

It very easy to enter antivirus software market with you OEM-product, but it is not always very easy to keep your head above the water on this market and survive. You have to understand, how to find funding for at least first 6-12 months. Our practice of OEM-partnering shows that those who have survived during the first 9 months will succeed for sure! Think about 3F (friends, fools, family) before your start.

  1. What are my strengths and weaknesses?

Recognizing your strengths and weaknesses is something you should do from the start. Knowing your strengths and weaknesses will also help you identify jobs that you can do and what you have to pass on others. For example, if you have no experience of building great customer service, use outsourcing services or invite professionals, who will build it instead of you.

  1. Am I ready to trust OEM-provider in everything that is connected with tech-side of business?

OEM-partnership often will require from you to keep patience. You have to understand that even if you think that some issue may be resolved very quick, it will take some time for vendor to make changes in any case, because the price of mistake in antivirus software is very high. Every change has to be checked and tested, that is why sometimes things will go slow. Keep calm, and believe to your partner! 

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#OEM Business digest: First issue
Everything about OEM-partnership and cybersecurity market