When Dr. Jens Eichler started investigating hydrogen economy opportunities for 3M four years ago, many observers were keen about hydrogen’s use in household heating applications. Today, at least 38 different studies say that’s a bad idea for this new industry, but Eichler’s team had a strategic lens that had already moved it to more fertile ground.

While competitors may often chase obvious applications, 3M’s approach to new ventures reveals a more nuanced playbook: architect entire industries by understanding when and where markets will actually materialize, not just which technologies might enable them. This involves deeply understanding customers and markets.

The distinction matters more than most companies realize. As I explored in my book Capturing New Markets, firms repeatedly stumble by pushing technology into markets rather than solving well-defined customer problems. Eichler, who transitioned from 3M’s corporate lab to lead its Hydrogen Economy work within the company’s new growth ventures, embodies this shift in orientation. “I found it more insightful to try to understand where the challenges are and then help with 3M technologies to solve those challenges,” he explains.

The When-and-Where Framework

3M’s entry into hydrogen economy ventures began with two deceptively simple questions: when and where. This framing avoids the fatal attraction of defining markets by current product categories. It’s sometimes called the bowling alley trap. Just as bowling equipment makers once defined their competition narrowly and missed the broader leisure activities market, companies entering nascent industries often define opportunities around existing technologies rather than latent needs.