Chapter 4: Understand Your Customer Flashcards
7 W’s of Buyer Analysis
- Who are our existing and potential customers
- What do our customers do with our products/services
- Where do customers buy our products
- When do customers buy our products
- Why do existing customers choose our products
- Why do potential customers NOT choose our products
- Wallet: How much money can they spend
Customer Segmentation Criteria
- Geographic segmentation
- Demographic segmentation
- Psychographic segmentation
- Behavioural segmentation
Maloney’s 16% Rule
Once you have reached 16% adoption of any innovation, you must change your messaging and media strategy from one based on scarcity to one based on social proof, in order to accelerate through the chasm to the tipping point
The Chasm in Product Adoption Curve
A critical gap that occurs between the Early Adopters and the Early Majority due to different expectations and requirements
What is required to “cross” The Chasm in the Product Adoption Curve?
Early Majority require compelling evidence that the product is worth the investment
Five requirements for effective segmentation
1) Measurable
2) Accessible
3) Substantial
4) Differentiable
5) Actionable
Customer Value Proposition
Sacrifices of costs / Bundle of benefits
Multi-attribute model
Brand value for customers of one specific segment
Value Curve
A visualisation of the customer value used to analyse the customer needs and expectations
Brand Perceptual Map
A visual tool used in marketing to illustrate how consumers perceive different brands or products within a market based on key attributes
Value Proposition Canvas
A strategic tool used to ensure the company’s offerings align closely with the needs and desires of the target customer
Key Components of Value Proposition Canvas
Value Map (left side):
- Products and Services
- Pain Relievers
- Gain Creators
Customer Profile(right side):
- Customer jobs
- Pains
- Gains
Key Components of Value Proposition Canvas
Value Map (left side):
- Products and Services
- Pain Relievers
- Gain Creators
Customer Profile(right side):
- Customer jobs
- Pains
- Gains
