Rather than selling single products, Novonesis designs custom blends or "cocktails" of different enzymes and microbes. This tailor-made approach solves specific customer problems so effectively that it makes the solution highly unique and difficult for competitors to replicate.

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To shift a services-oriented company to a product mindset, frame productization as a competitive advantage. Repeatable, productized solutions offer greater market differentiation than purely custom builds, leading to more effective competition and new deal wins. This tangible benefit helps secure buy-in from sales and leadership.

The power of AI for Novonesis isn't the algorithm itself, but its application to a massive, well-structured proprietary dataset. Their organized library of 100,000 strains allows AI to rapidly predict protein shapes and accelerate R&D in ways competitors cannot match.

Startups often fail by making a slightly better version of an incumbent's product. This is a losing strategy because the incumbent can easily adapt. The key is to build something so fundamentally different in structure that competitors have a very hard time copying it, ensuring a durable advantage.

Novonesis' ingredients are critical performance drivers—defining a yogurt's texture or a detergent's cleaning power—but represent only 1-5% of the customer's cost of goods sold. This low-cost, high-impact dynamic creates immense pricing power and customer stickiness.

A competitive moat can be built by moving beyond simple service delivery (e.g., shipping medicine) to a closed-loop system. This involves diagnostics to establish a baseline, personalized treatment plans based on results, and ongoing re-testing to demonstrate improvement, creating a sticky user journey.

The CEO frames their total addressable market not by the current biosolutions industry ($60B) but by the entire specialty chemicals market ($1T) they aim to displace. This expansive view drives a fundamentally different growth strategy and ambition for the company.

Don't just sell a product; become an indispensable part of your customer's workflow. By offering integrated products and services, you create a value ecosystem that locks out competitors and makes leaving an impractical and undesirable option.

A powerful retention strategy for DaaS vendors is embedding external reference data into a client's core systems (e.g., CRM, ERP). This makes the client's proprietary data more valuable and actionable, creating a deep, value-driven dependency that makes the vendor incredibly difficult and costly to replace.

If your product category becomes commoditized, redefine your business around your core expertise. A kombucha maker isn't just selling a drink; they are in the 'probiotics' or 'gut health' business. This strategic reframing can unlock higher-margin opportunities like consulting and R&D.

Novonesis Creates Customer Lock-In by Blending Enzymes Into Tailor-Made "Cocktails" | RiffOn