L4 Flashcards
How to find gaps in the market by using
“two-dimensional matrixes”?
X & Y axis
E.g. on X ass expensive > cheap
On Y ass Meal > Snack.
And if there is a hole:
- either no-one is interested;
- or there is a market opportunity.
How to find gaps in the market by using
“Principal Component Analysis (PCA)”?
Principal Component Analysis (PCA) is a
dimension-reduction tool that can be used to
reduce a large set of variables to a small set
that still contains most of the information in
the large set. PCA reduces attribute space from a larger number of
variables to a smaller number of factors.
(graph about tomatoes in L4 slides).
1) Find experts
2) find consumers who will tell which products they like
How to find gaps in the market by using
“Attribute rating”?
1) Begin with a set of attributes (features, benefits, functions)
2) Gather costomers’ perceptions of the available brands on each of these attributes.
E.g. from 1 to 5 evaluate “good menue”, “value for money”, “good atmosphere”, etc.
And do this for all the brands.
Then compare in which attributes your brand wins and in which it loses.
Drawbacks
- Users sometimes make purchase decisions using attributes they can not identify => Important attributes not included
- Users sometimes have problems scoring attributes
=> thus better use “Overall similarities”
How to find gaps in the market by using “Overall similarities”?
OS techniques do not require customers to rate choices on individual attributes. Rather, these techniques run on perceptions of overall similarities between pairs of brands. If there are five choices (as in the swimsuit example), there are 10 possible pairs. There are a couple of ways the data can be collected. Respondents could rank the pairs from most similar to most dissimilar.
(p. 166)
How to find gaps in the market by using “Laddering”?
Ask consumers why why why questions.
E.g.
Marketer: Do you like this package?
Customer: No, not really
Marketer: Why?
Customer: It just looks like it’s trying too hard.
Marketer: Why?
Customer: It’s all gold and shiny. It’s too flashy.
OR
Marketer: Why do you buy cheese?
How to find improvement in existing/ new products by
Just about right (too little, JAR, too much) and likert scale (very bad to very good, very unlikely – very likely) surveys
JAR
Ask questions about e.g. packaged salmon with vegetables - how much was the sauce; what was the smell?
Likert scale - strongly agree, agree, neutral, disagree, strongly disagree.
How to find improvement in existing/ new products by
Conjoint analysis?
Conjoint analysis’ is a survey based statistical technique used in market research that helps determine how people value different attributes (feature, function, benefits) that make up an individual product or service.
Usually around 4 factors are maximum.
E.g. Factor 1: Colour 1:Black 2:Not black (White or transparent) Factor 2: Number of chambers 1: One 2: More than one
And then offer all the different possibilities with these factors combined in all the possible ways.
How to find improvement in existing/ new products by
“Dimentional analysis”?
This is qualitative technique:
> List all the physical features a product might have.
> What will happen to the product if we change any of these?
Product concept creativity is triggered by the mere listing of every such feature, because we instinctively think about how that feature could be changed. Rarely is anything worthwhile found in dimensional analysis until the list is long (80, 200…). It takes a lot of work to push beyond the ordinary and to visualize dimensions that others don’t see. Some of the most interesting features are those that a product doesn’t seem to have.
E.g., a spoon may be described in terms of its aroma, sound, resilience, bend-ability, and so on.
How about spoons that play musical notes as children move them to the mouth? How about spoon handles that can be squeezed to play notes? How about spoons that smell like roses?
How to find improvement in existing/ new products by
“Checklists”?
Idea generation technique.
These eight questions are powerful; they do lead to useful ideation. Checklists produce a multitude of potential new product concepts, most of them worthless.
Can it be adapted? Can it be modified? Can it be reversed? Can it be combined with anything? Can something be substituted? Can it be magnified? Can it be minified? Can it be rearranged in some way?
