Every three months, PTC tells financial analysts about its Domino Theory: the company plants some software in a corner at a large corporation, who finds it invaluable, who adopts it company-wide, and finally who forces it on its suppliers for compatibility. As dominos fall, PTC posits, revenues rise.
During last week's conference call, Dassault Systemes ceo Bernard Charles laughed at PTC's Domino Theory:
Some of you track who track the competitive landscape might remember the famous domino effect claimed by one of the competitor. They were saying that the domino effect was going to be negative for Dassault Systemes.
We have exactly inverted the domino effect the other way around on taking back our customers. I will not say more, but I’m getting fun with this situation...
One problem with Dassault Systemes is that they keep changing their identity. They've called themselves "3ds" and more recently "3DEXPERIENCE." Another problem is their use of all caps for their product names, and so we have labels that shout out CATIA, ENOVIA, and so on. And then the head of each product line is called a "chief executive officer," the title normally reserved for the head of the company.
For those outside the company, it is all very confusing. For those inside the company, it is confusing why we are confused. Complained Mr Charles:
...the 3DEXPERIENCE platform, which is at the very heart of what we are doing for the next 10 years, is a very critical element, not necessary on your financial model...
So the awareness of the [3DEXPERIENCE] campaign which we are doing for the first time ever in 30 years is a very, very interesting one. It provides visibility which is high, not really in the level of awareness yet, but the level of visibility that behind the world-class brands that we have with CATIA, DELMIA, ENOVIA, SIMULIA. There is a company in these companies called "Dassault Systemes".
For investor[s], it might be an obvious remark. But you will be surprised to know how many users are still-- they don’t know our products, that they don’t know necessarily that Dassault Systemes is the company producing those products. So we still have a long way to go, but I think we are making progress here.
Here is the solution Dassault has to the invisibility problem. Increase sales and marketing by 30%, and...
Now, the advertising campaign and we used to speak often about marketing, but I think it’s a global program. We are targeting executives who are serving the 12 industries we serve. Many of them are not aware that we serve their industries...
So we-- this is a start, with TV, press, some trade online, airports. I think it’s-- I think we are in 40 major airports where businesses are done in the world. This If We campaign has been recognized as something unique.
We don’t push the products at all. We don’t even refer to products. We refer to what would be possible if we were able to work together to create virtual universe that will help to better predict what can happen.
This reminds me of the original ad campaign for Infiniti automobiles, which made no reference to automobiles. Puzzled people, and so failed.