Understanding the Distinction Between Planning and Strategy: A Case Study in Business Repositioning

In the world of business strategy, there’s a common misconception that creating a comprehensive plan equates to having a solid strategy. Many organizations develop lists of activities—launching features, hiring staff, running marketing campaigns, expanding office locations—posing as their strategic approach. However, this approach often misses the deeper essence of what true strategy entails.

The Reality of Strategic Planning

Typically, these lists are action-oriented, focusing on controllable tasks aimed at immediate growth or operational efficiency. The issue? Competitors are likely undertaking similar activities, making it difficult to differentiate and sustain competitive advantage.

What Is Real Strategy?

Strategy expert Roger Martin provides a clear distinction: “An integrative set of choices that positions you on a playing field of your choice in a way that you win.” In essence, effective strategy is about making unique, coherence-driven choices that shape your market position.

A critical aspect of strategy is its focus on outcomes beyond immediate control—like customer preferences, brand perception, or market perception—rather than solely on the specific activities undertaken.

A Real-World Example: How Repositioning Transformed a SaaS Business

Consider the compelling case of Alia, a SaaS company that struggled for months, maintaining only two customers. Their product was ambiguous—described variously as a “loyalty program,” “education tool,” or “popup feature”—leaving potential customers puzzled about its core value.

Inspired by the insights from the book “Obviously Awesome” on positioning, the founders realized a harsh truth: their customers weren’t using the product as an innovative educational solution. Instead, they primarily utilized the popup feature. Recognizing this, Alia shifted its strategy to embrace this core utility.

Repositioning Process:

• Sales Messaging: They began emphasizing “We do popups,” which shortened sales cycles and increased conversion rates.
• Content Marketing: Their content focused solely on being the leading popup provider.
• Website Messaging: The site was rebranded as “The Next Generation of Popups.”
• Internal Alignment: Teams adopted unified messaging aligning with the new positioning.

Transformational Results:

• Customer base expanded from 2 to 1,500 within a year.
• Revenue rose from zero to $4 million.
• Industry recognition grew, with people citing them as the top popup solution.

**Key Takeaway: Strategic Focus Over