Quadrant 4

Build new lines of business

New Business Lines


Overall Goal

Find a new customer type for each new product every two years, thereby increasing sales by product by another 10%-20% every two years.

As may have been apparent by now, the first three quadrants are very similar to each other. Quadrants 1 and 2 are particularly similar to each other since they consist of your existing customers. Quadrant 3 should also be similar since, at least in theory, it is from the same industry as your existing customers.

Quadrant 4, however, is different. It consists of non-customers from different industry sectors than those to whom you normally sell your products and services. It is actually an exercise in new business development.

The right approach to developing Quadrant 4 is to follow Geoffrey Moore’s advice in Crossing the Chasm and first establish a beachhead.  Assemble a team of your best people to go after a few selected accounts that will make key wins for you within the new industry, enabling you to establish credibility early on. Your team members should be highly entrepreneurial and have a very strong “whatever it takes’’ attitude to winning these new customer types in an industry that no one in your company is familiar with.

In Quadrant 4, what you are really trying to do is to sell a product you first developed for a different market segment, with some modification and customization. You have some idea of what that customization might look like, but in truth you don’t really know until you get you are working hard to get your first sale in that segment. This is more like a custom project, which is why you need the team to be highly entrepreneurial, capable of building something from the ground up and finding a solution for a problem that you have never really addressed before.

Below you will find a Best Practices checklist for optimizing high growth within Quadrant 4 for Marketing, Sales, Customer Service, and Innovation.


Marketing Checklist



Identify other market segments similar enough to your current market segment so as to be able to leverage many of the capabilities you already have.


  • Setup a Market Strategy team that explores applications of your current products to solve problems outside your current market.
  • Build a disciplined market segment analysis approach to identify the best opportunities

Sales Checklist



Find the early adopters and key accounts in the new market segment


  • Setup a New Business Development unit charged with finding the right entry points within the selected potential growth area.
  • Define the compensation plan for rewarding success.

Customer Support Checklist



Do everything necessary to create highly satisfied and referenceable customers.



Set up a “Special Accounts” team whose priority is to do whatever it takes to make these early adopters highly successful with your products.

Innovation Checklist



Make it easy to custom fit your products to new market needs within 90 days.


  • Create a platform for your products that enable you to customize and support various versions of your products.
  • Rapidly complete Proof of Concept (POC) projects.
  • Rapidly convert approved POC into stable products.