I think this project helped me gain a better understanding of the pros and cons of conducting primary research. In each one of my previous marketing classes we talk about the challenges and drawbacks of research, however I’ve never had to actually produce surveys or hold a focus group. When we discuss the challenges in the classroom, it does not seem relevant. Since I’ve heard it over and over again, I was confident I wouldn’t ask vague questions on the survey. I was sure that the participants would understand their task and exactly what I was looking for. This project has proven me wrong. After distributing our survey and analyzing the data to find out more about the living room, it became clear which questions were poorly written, which ones may have been slightly leading, and which ones were derived from my own assumptions. I learned that customers do not know what you are looking for unless you explicitly ask it. They also cannot tell you what they need in their lives to make it easier. They won’t hesitate to explain what they like or don’t like, but they cannot articulate what their fundamental needs are. After completing this project, I believe I have a better understanding and a stronger knowledge about the best way to approach research. First, I would allow myself more time to make, distribute, and collect all research data. Allocating more time would have given me a chance to establish better questions. Second, I would ensure that each question is very specific and straightforward. Finally, next time I am trying to conduct research, I plan to find a more creative way to investigate the true needs of my target market.
I also believe this project has provided me with a way to get hands-on experience with prototyping. This class is unique in that it is the only one I have taken that has dealt with prototyping. I was unaware that the process you must follow to develop the prototype is not an easy one. I assumed it would be difficult, but I was more worried about actually coming up with the idea for a prototype. After establishing the idea for our product I assumed the process was over. Again, this project taught me that I was wrong. An idea is great, but it is not enough to create a prototype. Every little detail must be thought through. Each feature must have a purpose and contribute to the value of the product. Who knew you had to plan the shape of an armrest?! The little details are what can make or break a product on the market. Prototyping allows you to visually see, feel, touch, and experience the product before you begin selling it. It helps the designer work out any kinks and make the product the very best it can be. It also pulls out more ideas than your original creation probably allowed for. I assume that my future will not involve prototyping. However, I now have more respect for the designers that spend so much of their time meticulously working on a prototype. If I ever find a need for a new product, I will make sure that I clearly think through each detail, no matter how small, before I set out to make my prototype.
When I signed up for my fall course load, I originally signed up for more hours than I needed and planned on dropping this class. After attending the first day I decided to drop another class instead. The project aspect to this class grabbed my attention! Professor Walls is also very charismatic and enjoyable to listen to. I knew this class would not be one that I would dread waking up for and decided to stay for the entire semester. I really enjoyed working with my team on this project. Each one of us had a very different personality, which I believe helped us to brainstorm ideas throughout the process of the project. We all brought something different to the group, which kept everything fun and exciting! When we were assigned the project I worried that the project would take a lot of time. Each class in the business school is dedicated to teamwork and it becomes hard to balance each different group project along with class, work, and other activities. I really appreciated the time in class we had to work on our projects. Not only did it save me time, it helped having Professor Walls in class with us to answer the questions we came across. It also ensured that every member of the group was an active participant throughout the process. The project updates along the way made the final presentation much easier to produce. I think it helped to reiterate the points made in class as well. I thoroughly enjoyed this class! It was extremely fun, but at the same time I feel like I have learned a lot. Thanks for a great semester!
Thursday, November 29, 2007
Wednesday, November 21, 2007
Outline of Paper
***Professor Walls - I am changing the topic of my paper. I'm not exactly sure where I was going with my last topic. I would like to discuss the on-line dating world. (More specifically eharmony vs match.com) I want to evaluate the SEMS that occur BEFORE singles sign-up. For example, the fears of on-line dating and the ways these companies are trying to knock down any on-line dating fears or barriers. Please let me know if you would like more information! I would love any feedback!
I. Industry Background
a. Major Competitors: eHarmony.com and Match.com
b. Overview of competitive advantage for each company
c. Overview of the industry and market segmentation
II. Match.com
a. Discuss mission, history, and goals
- 6 Month Guarantee
- Free Portrait Toolkit to help you get started!
- Mission: Take the lottery out of love!
- Started in 1995 - Based in Dallas, Texas - now 20 million members
- Offers Chemistry.com, Dr. Phil, and International sites
b. Explain marketing campaign
- Advertisements: "It's OK to Look"
c. Discuss who the campaign targets
- Young, successful singles
d. SEMS experienced by target market through commercials
- Sense: Ads generate interest. Calm, relaxed, and comfortable characters in the ads.
- Feel: Effortless and approachable attitudes are related through the commercials.
- Relate: Characters are people we all can relate to. We all want to be beautiful and carefree.
e. Experiential providers through commercials
- Communications: unique, creative, sexy
- Visual/Verbal Signage: tagline (It's OK to Look)
- Website - match.com
III. eHarmony.com
a. Discuss mission, history, and goals
- Mission: To empower people with the knowledge and inspiration needed to grow and strengthen their most important relationships for a lifetime of happiness.
- Began in 2000 to scientifically match couples.
- Offer eHarmony Marriage and Compatibility Profile
- "We've Only Just Begun"
b. Explain marketing campaign
- Advertisements: "We've Only Just Begun"
c. Discuss who the campaign targets
- Older singles and married couples
d. SEMS experienced by target market through commercials
- Sense: Same song played in all of the commercials, older couples, founder on all commercials
- Feel: Happy, relieved, and fears broken down
- Relate: Unique matching system helps to find perfect match and you can see the happy couples together.
e. Experiential providers through commercials
- Communications: happy, fun, and no-hassle
- Visual/Verbal Signage: tagline ("We've Only Just Begun")
- Website: www.eharmony.com
IV. Conclusion
a. Summarize findings from SEM and Experiential Providers of each company
b. Conclude with recommendations for Match.com and eHarmony
Monday, November 12, 2007
Blog 8 - Crazy or Genius?!
When watching and listening to Dr. Rapaille explain his unorthodox approach to understanding the way that consumers make decisions, I could not help but wonder if he was serious or joking. Dr. Rapaille is using a three-step technique to understand the primal urges he believes consumers draw upon to make buying decisions. According to his theory, consumers are driven by unconscious needs and impulses. As consumers we are unable to articulate the unconscious things that are driving our behavior. Rapaille uses his research to take his participants past reasons, through emotion, and finally to the primal core where decisions really lie. Eventually he is able to ‘break the code’ to our buying thoughts and patterns.
The first step is called the Cortex of Reason. In this phase, the research is conducted like a normal focus group. Rapaille gives the participants a word (i.e. luxury) and everyone immediately starts to discuss and brainstorm. What the participants don’t understand is that Rapaille does not care about their answers. During this phase he simply wants everyone to feel comfortable. This is the phase where people show off their intelligence. Afterwards everyone is released on a break where they continue to feel good about their answers and themselves.
The second step is the emotion stage. Rapaille asks the participants to make up a story that they could tell to a 5 year old from another planet. Now the participants are pushed past their comfort level. They have no idea what is going on, they are confused, and start to think maybe Rapaille is the one from another planet. This stage is meant to push people past their own understanding. After this exercise is complete everyone is released on another break. During this break everyone continues to question this project and Rapaille’s sanity. When they return there are no chairs, the lights are out, and there are pillows on the ground, which signifies the start of the third phase.
The third phase begins with everyone lying on the ground in a relaxed state. Rapaille asks everyone to take the mindset they have when they wake up in the morning. All of the things described are scribbled down and relate back to phase one, which in this case was luxury. This is the phase where Rapaille can begin to understand the primal urges of consumers. He is looking for the ‘Reptilian Hot Button,’ which he says always wins, not matter what. Cracking this code allows Rapaille to gain an enormous amount of value and insight.
I think Rapaille’s method is right on track. I agree that consumers are usually unable to effectively articulate what they need or want. We have so many choices to choose from so the majority of the time we cannot explain why we chose one thing over another. Understanding the underlying forces behind a purchase decision can lead to ultimate success. While I really like the method, I also wonder why more people are not using similar methods. I would assume this procedure is very expensive and time consuming, which probably steers most companies away from the method. However, the benefit of avoiding biases from conventional marketing research strategies, such as interviews, focus groups, and surveys, could be worth it. The method is new, innovative, and ahead of our time. Rapaille is able to hold the attention of his participants and leave them wondering what might happen next. This method is exciting and unconventional, which I think makes it better then any other traditional technique. In addition, this method could translate into all different markets and be used in a broad range of industries. Rapaille is definitely a little crazy but certainly on the right track!
The first step is called the Cortex of Reason. In this phase, the research is conducted like a normal focus group. Rapaille gives the participants a word (i.e. luxury) and everyone immediately starts to discuss and brainstorm. What the participants don’t understand is that Rapaille does not care about their answers. During this phase he simply wants everyone to feel comfortable. This is the phase where people show off their intelligence. Afterwards everyone is released on a break where they continue to feel good about their answers and themselves.
The second step is the emotion stage. Rapaille asks the participants to make up a story that they could tell to a 5 year old from another planet. Now the participants are pushed past their comfort level. They have no idea what is going on, they are confused, and start to think maybe Rapaille is the one from another planet. This stage is meant to push people past their own understanding. After this exercise is complete everyone is released on another break. During this break everyone continues to question this project and Rapaille’s sanity. When they return there are no chairs, the lights are out, and there are pillows on the ground, which signifies the start of the third phase.
The third phase begins with everyone lying on the ground in a relaxed state. Rapaille asks everyone to take the mindset they have when they wake up in the morning. All of the things described are scribbled down and relate back to phase one, which in this case was luxury. This is the phase where Rapaille can begin to understand the primal urges of consumers. He is looking for the ‘Reptilian Hot Button,’ which he says always wins, not matter what. Cracking this code allows Rapaille to gain an enormous amount of value and insight.
I think Rapaille’s method is right on track. I agree that consumers are usually unable to effectively articulate what they need or want. We have so many choices to choose from so the majority of the time we cannot explain why we chose one thing over another. Understanding the underlying forces behind a purchase decision can lead to ultimate success. While I really like the method, I also wonder why more people are not using similar methods. I would assume this procedure is very expensive and time consuming, which probably steers most companies away from the method. However, the benefit of avoiding biases from conventional marketing research strategies, such as interviews, focus groups, and surveys, could be worth it. The method is new, innovative, and ahead of our time. Rapaille is able to hold the attention of his participants and leave them wondering what might happen next. This method is exciting and unconventional, which I think makes it better then any other traditional technique. In addition, this method could translate into all different markets and be used in a broad range of industries. Rapaille is definitely a little crazy but certainly on the right track!
Wednesday, October 31, 2007
Blog 7 - Michael Shermer
Every morning millions of people wake up and watch the news. Every morning millions of people read their newspaper with their cup of coffee. We look to these sources to find out what is going on in the world around us. We are not able to witness each event that takes place so we trust others to communicate what happens and tell us what to believe, feel, and think. Michael Shermer, in his discussion, introduces the idea that people will always believe what you tell them. ‘Grainy information’ makes for a grainy conclusion that people will often buy into.
Shermer argues that people are getting smarter, however why is it that people will believe whatever they hear? Most people do not question the things they see. If someone is told that a product will perform a certain task, we have the faith that it will. Even when the Virgin Mary’s outline appeared on a building no one thought to investigate the situation further. Common sense, as Shermer demonstrated, would show that something as common as a sprinkler head and palm tree could be the creator of this ‘miracle.’ Yet why did no one else think to discover what was really going on? We are quick to believe whatever someone tells us.
The news portrays top stories in the way they want people to perceive them. They provide the ‘grainy information’ so that we have enough to paint a fuzzy picture, but not enough to truly see what is there. I thought Shermer’s discussion was particularly interesting in the second half. He demonstrated how we naturally all see faces in everything we look at. Without someone else pointing at a ‘face on the moon,’ it is hard to draw the conclusion on your own. However, the minute someone else points out the happy face that is all we focus on.
In relation to marketing and customer insights, Shermer’s position connects the power that marketers have to influence their customer’s decisions. We are able to feed information, in a particular way, to a particular group of people. We are telling them things that might not necessarily be true, but that we deem it important for them focus on. If a marketer does not point out the freshness of a certain product or mention the convenience of a service, people are unlikely to think that the product is fresh or the service is convenient. As marketers, we are quick to decide that other people are like us. We immediately assume they want to hear the things we like best. We deem what we believe most important and capitalize on that aspect.
While conducting research, I think we are all quick to make assumptions about the observations we are gathering. Our own biases start to influence how we judge certain situations. We might be observing a family in their home and we begin to see things that really are not there. If we are told to look for something particular, we are often blinded by anything besides the thing we are looking for.
As consumers, we do not know who we really are or what we really want. When we see something we believe it. And when we often describe who we are and the things we do, we are usually describing ourselves in terms of who we wish we were, not who we really are. Marketers often spin a product to reflect what they think costumers want. However, most of the time the assumption is wrong. Consumers have communicated what they would buy in a hypothetical situation, but in reality they are not likely to do what they say. Consumers are easily influenced by the smallest factors just as marketers are easily fooled.
The audio example Shermer played in his lecturer completely demonstrates his point. Listening to the song backwards, most of the students only caught the word Satan. Once Shermer told them what hidden messages were in the song, people were able to differentiate one word from another. And they believed it! As a marketer, we must be aware of the story we are trying to tell our consumers and what story will influence them to purchase more.
Shermer argues that people are getting smarter, however why is it that people will believe whatever they hear? Most people do not question the things they see. If someone is told that a product will perform a certain task, we have the faith that it will. Even when the Virgin Mary’s outline appeared on a building no one thought to investigate the situation further. Common sense, as Shermer demonstrated, would show that something as common as a sprinkler head and palm tree could be the creator of this ‘miracle.’ Yet why did no one else think to discover what was really going on? We are quick to believe whatever someone tells us.
The news portrays top stories in the way they want people to perceive them. They provide the ‘grainy information’ so that we have enough to paint a fuzzy picture, but not enough to truly see what is there. I thought Shermer’s discussion was particularly interesting in the second half. He demonstrated how we naturally all see faces in everything we look at. Without someone else pointing at a ‘face on the moon,’ it is hard to draw the conclusion on your own. However, the minute someone else points out the happy face that is all we focus on.
In relation to marketing and customer insights, Shermer’s position connects the power that marketers have to influence their customer’s decisions. We are able to feed information, in a particular way, to a particular group of people. We are telling them things that might not necessarily be true, but that we deem it important for them focus on. If a marketer does not point out the freshness of a certain product or mention the convenience of a service, people are unlikely to think that the product is fresh or the service is convenient. As marketers, we are quick to decide that other people are like us. We immediately assume they want to hear the things we like best. We deem what we believe most important and capitalize on that aspect.
While conducting research, I think we are all quick to make assumptions about the observations we are gathering. Our own biases start to influence how we judge certain situations. We might be observing a family in their home and we begin to see things that really are not there. If we are told to look for something particular, we are often blinded by anything besides the thing we are looking for.
As consumers, we do not know who we really are or what we really want. When we see something we believe it. And when we often describe who we are and the things we do, we are usually describing ourselves in terms of who we wish we were, not who we really are. Marketers often spin a product to reflect what they think costumers want. However, most of the time the assumption is wrong. Consumers have communicated what they would buy in a hypothetical situation, but in reality they are not likely to do what they say. Consumers are easily influenced by the smallest factors just as marketers are easily fooled.
The audio example Shermer played in his lecturer completely demonstrates his point. Listening to the song backwards, most of the students only caught the word Satan. Once Shermer told them what hidden messages were in the song, people were able to differentiate one word from another. And they believed it! As a marketer, we must be aware of the story we are trying to tell our consumers and what story will influence them to purchase more.
Thursday, October 25, 2007
Blog 6 - Free Topic - The Hard Part of Customer Insights
“Many enormous new markets are being identified in the United States, and many Guerilla marketers are enjoying record-breaking profits by aiming at these markets.” This statement was made by Jay Conrad Levinson in, Guerrilla Marketing. Levinson is a Guerilla marketing expert and demonstrates his experience through many examples and stories. I found this particular quote interesting because it refers to the wide range of consumer choice in the market today. As I have discussed before, Chris Anderson, the author of The Long Tail, describes the power in the infinite number of niche markets in the world. A marketer has the option to target whom ever he wants, whenever he wants, however he wants.
With the invention of technology, it is now possible for consumers to purchase products with very little effort. They can find any product they want. They have the access and capability to buy the latest trend or search for a rare vintage item. No matter how popular the item is or was, there is a strong chance that a consumer can find it. As marketers, how do we decide who to market our products to? How do we decide the most effective way to reach our target audience and persuade them to visit our store, website, or service? With an infinite number of choices, from a consumers view, it seems that marketers have really discovered what their consumers need. But how do marketers discover a new insight when consumers already have everything they could dream of?
I think one of the biggest challenges in customer insights is a consumer’s inability to articulate what they really need. They can dream big and tell you what they wish they had, but 10 out of 10 times they are telling you about something that already exists. For example, a customer might say, I really wish I had that new Blackberry. When you ask why they start rattling things off like, well it has a calendar on it or the internet is super fast. It takes an experienced marketer to analyze the true reasons behind wanting a calendar or fast internet on your phone. Most of the time it is not this simple to pull away the underlying need from a consumer’s statement. Consumers are not really sure what they need and they do not know how to effectively articulate that. As consumers, we believe we are being offered everything. Like Levinson states, “Satellite and cable TV will grow rapidly, as will the galaxy of choices available.” From a consumer’s perspective, we have what we need. We are not thinking about the products or services that could be offered. Instead, we are thinking about the ones currently available to us.
I love the example of customer insights demonstrated in ‘7 Eleven Gets Sophisticated.’ The article describes how gas station pumps were once without a credit card slot. Consumers have used credit cards for a significant amount of time. It had never dawned on anyone to add a card slot to the pump, saving consumers tons of times. (Not to mention creating higher revenues for the gas stations!) Consumers did not know how to ask for such a thing because it was beyond their realm of thinking. But now consumers could not imagine a life without such a simple service. We are able to tell marketers what we like and what we don’t like, but we cannot seem to tell them what we actually need or why we need it, until after it has been produced.
As the world of choice continues to expand and grow, customer insights are also growing more and more important. Without the ability professionals have to analyze the true needs of their consumers, we would be living in a world with no innovation. It is customer insights that drive consumer choice and freedom. It is customer insights that find a way to make the things we already have better. And it is customer insights we have to thank for delivering the products and services we never even knew we needed.
With the invention of technology, it is now possible for consumers to purchase products with very little effort. They can find any product they want. They have the access and capability to buy the latest trend or search for a rare vintage item. No matter how popular the item is or was, there is a strong chance that a consumer can find it. As marketers, how do we decide who to market our products to? How do we decide the most effective way to reach our target audience and persuade them to visit our store, website, or service? With an infinite number of choices, from a consumers view, it seems that marketers have really discovered what their consumers need. But how do marketers discover a new insight when consumers already have everything they could dream of?
I think one of the biggest challenges in customer insights is a consumer’s inability to articulate what they really need. They can dream big and tell you what they wish they had, but 10 out of 10 times they are telling you about something that already exists. For example, a customer might say, I really wish I had that new Blackberry. When you ask why they start rattling things off like, well it has a calendar on it or the internet is super fast. It takes an experienced marketer to analyze the true reasons behind wanting a calendar or fast internet on your phone. Most of the time it is not this simple to pull away the underlying need from a consumer’s statement. Consumers are not really sure what they need and they do not know how to effectively articulate that. As consumers, we believe we are being offered everything. Like Levinson states, “Satellite and cable TV will grow rapidly, as will the galaxy of choices available.” From a consumer’s perspective, we have what we need. We are not thinking about the products or services that could be offered. Instead, we are thinking about the ones currently available to us.
I love the example of customer insights demonstrated in ‘7 Eleven Gets Sophisticated.’ The article describes how gas station pumps were once without a credit card slot. Consumers have used credit cards for a significant amount of time. It had never dawned on anyone to add a card slot to the pump, saving consumers tons of times. (Not to mention creating higher revenues for the gas stations!) Consumers did not know how to ask for such a thing because it was beyond their realm of thinking. But now consumers could not imagine a life without such a simple service. We are able to tell marketers what we like and what we don’t like, but we cannot seem to tell them what we actually need or why we need it, until after it has been produced.
As the world of choice continues to expand and grow, customer insights are also growing more and more important. Without the ability professionals have to analyze the true needs of their consumers, we would be living in a world with no innovation. It is customer insights that drive consumer choice and freedom. It is customer insights that find a way to make the things we already have better. And it is customer insights we have to thank for delivering the products and services we never even knew we needed.
Tuesday, October 16, 2007
Blog 5 - Free Topic - The Sonic Experience
Sonic has started an advertising campaign that features two people, either two male friends or a married couple, that debate over a selected menu item while sitting in their car, at one of the Sonic menu stands. When I first saw one of these commercials I thought it was just a random advertisement meant to make people laugh. The commercial, unlike many others, does not put a product in front of your face and tell you why you should have it or why you can’t live without it. Sonic’s unorthodox approach combines a little bit of product with a whole lot of humor to entice consumers to stop by the restaurant.
My favorite Sonic commercial is called “Cran-tastic.” The commercial features one of the Sonic guys sitting in the car with his wife in the passenger seat. Both of them are holding Sonic drinks, and the female starts the dialogue by saying, “This cranberry ice tea is really good!” The male then says, “It’s CRAN-TASTIC! You know who would love this?! My CRAN-Mother or your CRAN-Emma, and they would have a great CRAN-Versation about it.” The male adds ‘cran’ to the beginning of every word he uses, emphasizing the special flavored tea they are both drinking. After debating and bantering for a few seconds CRANBERRY ICE TEA is flashed across the screen in big red letters. An advertising voice comes on describing the fresh tea as images of cranberries and the fountain drink being poured over ice are flashed on the screen. At the end three flavored teas are displayed, followed by the Sonic logo. The theme for all of the Sonic commercials is very similar. The pair debates about one item in a humorous way, and then the food item is flashed on the screen.
After discussing many sides of customer insights in class, I now realize what Sonic is attempting to do with their advertisements. They are creating a certain experience to influence consumers and reflect their brand personality. The article “A Framework for Managing Customer Experiences” showcases the different ways that companies construct an experience for their target market through advertising and marketing. Sonic is using different SEMs to reach a wide audience. First, Sonic is using sense in their commercials by actually showing the product to consumers. We see the cup, we see the drink being poured, and we see the fresh cranberries that go into the drink. We cannot smell or touch the drink, but the visual effect created leaves our taste buds wondering what the drink might taste like. Second, Sonic is using feel to evoke a certain level of humor among customers. Sonic is not a formal dining eatery. Sonic is known for being a convenient, casual hangout. Adding humor to the commercial reflects the entire Sonic atmosphere and makes consumer feel light-hearted and fun. The commercials are also using think on a small degree because viewers start to think about the different ways they could possibly use ‘cran’ with other words. Last, consumers can relate to the commercials because we all view our ideal selves as humorous, charismatic people. We all want to feel apart of a community, and the Sonic commercials make viewers want to be apart of the fun!
I think Sonic is doing a great job of building their brand image while creating a consistent experience for their consumers. The experiential providers they are using, such as the way they are communicating, the product presence at the end of the commercials, and the people displayed in the ads, are all something that customers can identify with. As consumers we can easily visualize ourselves driving to Sonic, ordering a drink, debating about a silly topic with our friends, and enjoying a unique Sonic product. Sonic has a strong understanding of who their customers are and what appeals to them most. They have successfully executed an advertising campaign that is unique, funny, and memorable. A customer takes part in a certain experience before they even visit the restaurant.
My favorite Sonic commercial is called “Cran-tastic.” The commercial features one of the Sonic guys sitting in the car with his wife in the passenger seat. Both of them are holding Sonic drinks, and the female starts the dialogue by saying, “This cranberry ice tea is really good!” The male then says, “It’s CRAN-TASTIC! You know who would love this?! My CRAN-Mother or your CRAN-Emma, and they would have a great CRAN-Versation about it.” The male adds ‘cran’ to the beginning of every word he uses, emphasizing the special flavored tea they are both drinking. After debating and bantering for a few seconds CRANBERRY ICE TEA is flashed across the screen in big red letters. An advertising voice comes on describing the fresh tea as images of cranberries and the fountain drink being poured over ice are flashed on the screen. At the end three flavored teas are displayed, followed by the Sonic logo. The theme for all of the Sonic commercials is very similar. The pair debates about one item in a humorous way, and then the food item is flashed on the screen.
After discussing many sides of customer insights in class, I now realize what Sonic is attempting to do with their advertisements. They are creating a certain experience to influence consumers and reflect their brand personality. The article “A Framework for Managing Customer Experiences” showcases the different ways that companies construct an experience for their target market through advertising and marketing. Sonic is using different SEMs to reach a wide audience. First, Sonic is using sense in their commercials by actually showing the product to consumers. We see the cup, we see the drink being poured, and we see the fresh cranberries that go into the drink. We cannot smell or touch the drink, but the visual effect created leaves our taste buds wondering what the drink might taste like. Second, Sonic is using feel to evoke a certain level of humor among customers. Sonic is not a formal dining eatery. Sonic is known for being a convenient, casual hangout. Adding humor to the commercial reflects the entire Sonic atmosphere and makes consumer feel light-hearted and fun. The commercials are also using think on a small degree because viewers start to think about the different ways they could possibly use ‘cran’ with other words. Last, consumers can relate to the commercials because we all view our ideal selves as humorous, charismatic people. We all want to feel apart of a community, and the Sonic commercials make viewers want to be apart of the fun!
I think Sonic is doing a great job of building their brand image while creating a consistent experience for their consumers. The experiential providers they are using, such as the way they are communicating, the product presence at the end of the commercials, and the people displayed in the ads, are all something that customers can identify with. As consumers we can easily visualize ourselves driving to Sonic, ordering a drink, debating about a silly topic with our friends, and enjoying a unique Sonic product. Sonic has a strong understanding of who their customers are and what appeals to them most. They have successfully executed an advertising campaign that is unique, funny, and memorable. A customer takes part in a certain experience before they even visit the restaurant.
Wednesday, October 3, 2007
Blog 4 - Customer Insights Paper Topic
As consumers we have more choices, more options, and more products at the tip of our fingers than ever before. We are surrounded by things we need, the things we want, and the things we think we need or want. We are bombarded with endless product options to consider. The task of buying a product has changed from a simple chore into a daunting process. With advanced technology and more choice, the businesses that dominate our lives are finding profits in new areas. They no longer have to market the most popular item or restrict their brands to a selected group of products. Overall, more product choices affect how consumers decide to purchase products and how companies can choose to make a profit.
Chris Anderson brilliantly outlines the idea of niche marketing in his book, The Long Tail. The book explains the idea that online services carry far more inventory than traditional retailers. Typically consumers flock to the popular books, music, and films because that is all that is offered and marketed. However, Anderson explores the idea that there is also a high demand and profitability in niche markets. Outlined in the book, Chris describes his observations – 1) the tail of available variety is far longer than we realize; 2) it’s now within reach economically; 3) all those niches, when aggregated, can make up a significant market. This means that consumers are being offered more choices than ever before. We are not limited to the popular hits or products because we can now find anything we want. Even the most unpopular song, when placed on I-tunes and purchased only a few times, makes a profit that was once unavailable and believed to be worthless. There is no storage cost tied to providing this ‘unpopular’ song to millions of consumers. Even though the purchases might be minimal compared to the popular top 40, any purchase creates additional revenue for Apple and offers consumers something they could not have found before.
The perfect example of this Anderson’s idea is Amazon. Jeff Bezos realized what he could do with books and the money that he could make. Amazon carries more books than any other retailer in the world. At Amazon you can find just about any book you are looking for. On the surface it seems silly to carry a book that might only sell to a teeny tiny market. After really diving into the Amazon business plan, it becomes clear that a tail of consumer choice generates more freedom for consumers and dollars for the company. By creating a tail of variety, Amazon directly reflects the idea that Anderson has proposed.
The Long Tail also correlates with the idea that Barry Schwarz proposed about consumer decision making. In his opinion, Schwarz believes that choice empowers society with the freedom to make their own decisions. However, he goes on to demonstrate that too much choice paralysizes consumers because no one actually knows what they want or what they need. While a consumer might say they need a certain product, they will probably change their mind by the time they are ready to finalize their purchase. The line between what we really need and what we think we need is growing blurry and the enormous amount of choice provided is not helping to minimize the confusion. With choice comes an endless variety of alternatives that can be evaluated and interpreted differently depending on the consumer.
These ideas change the world of a consumer, but they greatly affect the world of consumer insights. Combined, both ideas make a marketer’s job 100 times harder to determine what their targets will effectively respond to. If a customer says they need one thing, but end up changing their mind, how do we know the most appealing way to market our product? Despite the challenge, marketers can no longer rely on their laurels. They have to research and dig deeper to figure out what is going to happen and be there before it does. Marketers cannot force people into buying their product. With all of the choices and opportunities, customers don’t have to be forced because they have so many other options.
Chris Anderson brilliantly outlines the idea of niche marketing in his book, The Long Tail. The book explains the idea that online services carry far more inventory than traditional retailers. Typically consumers flock to the popular books, music, and films because that is all that is offered and marketed. However, Anderson explores the idea that there is also a high demand and profitability in niche markets. Outlined in the book, Chris describes his observations – 1) the tail of available variety is far longer than we realize; 2) it’s now within reach economically; 3) all those niches, when aggregated, can make up a significant market. This means that consumers are being offered more choices than ever before. We are not limited to the popular hits or products because we can now find anything we want. Even the most unpopular song, when placed on I-tunes and purchased only a few times, makes a profit that was once unavailable and believed to be worthless. There is no storage cost tied to providing this ‘unpopular’ song to millions of consumers. Even though the purchases might be minimal compared to the popular top 40, any purchase creates additional revenue for Apple and offers consumers something they could not have found before.
The perfect example of this Anderson’s idea is Amazon. Jeff Bezos realized what he could do with books and the money that he could make. Amazon carries more books than any other retailer in the world. At Amazon you can find just about any book you are looking for. On the surface it seems silly to carry a book that might only sell to a teeny tiny market. After really diving into the Amazon business plan, it becomes clear that a tail of consumer choice generates more freedom for consumers and dollars for the company. By creating a tail of variety, Amazon directly reflects the idea that Anderson has proposed.
The Long Tail also correlates with the idea that Barry Schwarz proposed about consumer decision making. In his opinion, Schwarz believes that choice empowers society with the freedom to make their own decisions. However, he goes on to demonstrate that too much choice paralysizes consumers because no one actually knows what they want or what they need. While a consumer might say they need a certain product, they will probably change their mind by the time they are ready to finalize their purchase. The line between what we really need and what we think we need is growing blurry and the enormous amount of choice provided is not helping to minimize the confusion. With choice comes an endless variety of alternatives that can be evaluated and interpreted differently depending on the consumer.
These ideas change the world of a consumer, but they greatly affect the world of consumer insights. Combined, both ideas make a marketer’s job 100 times harder to determine what their targets will effectively respond to. If a customer says they need one thing, but end up changing their mind, how do we know the most appealing way to market our product? Despite the challenge, marketers can no longer rely on their laurels. They have to research and dig deeper to figure out what is going to happen and be there before it does. Marketers cannot force people into buying their product. With all of the choices and opportunities, customers don’t have to be forced because they have so many other options.
Wednesday, September 26, 2007
Blog 3 - Customer Experience
The world of marketing is transitioning from one of pure selling to being focused on individual customer experiences. By creating valuable customer experiences a company is building a database of loyal customers who will pay a premium price for the company’s service or product. Creating the right environment and setting further drives a company’s brand and value position.
When on-line match services introduced themselves to society most people were too apprehensive to test the sites. People wondered if they would actually find love and what kind of people would actually use such a service. On average, customers believed that a dating service was used for a depressing, lonely, and older crowd. An on-line dating service was thought of as a last resort. No one was ever particularly excited about signing up or even admitting that they were contemplating the decision. Initially, singles in their 40’s, 50’s, and 60’s were starting to ‘mingle’ over the web and eventually couples were starting to surface. The process was working but Match.com was unable to pull a younger demographic into the mix. The potential customers in their 20’s and 30’s were not willing to subject themselves to the world of online dating. It was becoming clear that the 20 and 30 something’s were scared about what their peers would think and what they would think of themselves for going as low as joining a dating community. Match.com realized the potential in the younger market and came up with a marketing campaign to calm some of these fears.
I think the best example of the company effectively appealing to the younger customers is the commercial of a young woman (profile name CuteBritChick) who is lying on a table. The commercial is in black and white and the camera is zoomed into the woman’s face. She does not say anything, but she is slightly turning her head, smiling and softly giggling, while her username appears at the bottom of the screen. After a few seconds the Match.com slogan, “IT’S OK TO LOOK,” appears on screen followed by “MATCH.COM.” The commercial itself is relatively short, only lasting for about 20 seconds.
The commercial demonstrates how Match.com is using the customer experience framework showcased in the article “A Framework for Managing Customer Experiences.” Using the strategic experience model, Match.com appeals to the younger customers through different types of SEMs. First, ‘sense’ is used to create visual and audio in the commercial. The young woman is clearly not above the age of 30 and she is very pretty. While she really does not say anything, her soft giggle and other mannerisms portray a non-intimidating yet desirable woman. The black and white effect adds to the care-free nature of the commercial. The sense aspect of the commercial is what Match.com is using to pull viewers in. The consumers become intrigued by the sound and visual and immediately they are engaged. Second, ‘feel’ is used to evoke a young viewer’s inner emotion. The target consumer, a single yet apprehensive customer, sees this commercial and hopefully feels better about wanting to experience online dating. “It’s ok to look” calms fears and apprehension and makes viewers feel like they should test out the service. Viewers start to feel like they aren’t the only ones who want to try the service, and they begin to feel confident in their curiosity. Last, the commercial uses ‘relate’ to calm anxiety viewers might have about their social group rejecting their online dating service curiosity. The image of the young woman shows beauty, desire, and a certain level of cool. Viewers can relate to that image because in reality we all hope to embody those characteristics. Now viewers are not shunning the online daters out there, rather they are aspiring to be more like them. Now Match.com seems more like a social community group, not a place for desperate people taking desperate measures.
I think that Match.com is doing a very good job at targeting a younger audience. I would have never in a million years considered looking at an online dating service. I had the idea that only no-bodies went online to find a date, and I figured if I ever had to join a service like that there was something wrong with me. After viewing these commercials my attitude has completely changed. I am not a user of online dating services but I no longer have the same assumptions and attitudes toward the people that do. I think that Match.com could improve even more by continuing the same initial customer experience throughout the dating process. They are doing a great job at capturing attention and reeling in younger customers, but they should reinforce this attitude throughout the search process. For this assignment, I do believe that it was challenging to reflect on customer experiences. When you experience something it’s hard to take a step back and pinpoint why you felt a certain way. Sometimes it is difficult to understand what the company did to drive a certain feeling. As a result, I went through many examples before I chose this one. Although I would still probably never use a dating service, I think my flip in perspective about the idea is exactly what Match.com was trying to do. Turn apprehensive viewers into consumers. Now, along with many others, I am not completely opposed to a service like Match.com and would not fear trying it at some point.
When on-line match services introduced themselves to society most people were too apprehensive to test the sites. People wondered if they would actually find love and what kind of people would actually use such a service. On average, customers believed that a dating service was used for a depressing, lonely, and older crowd. An on-line dating service was thought of as a last resort. No one was ever particularly excited about signing up or even admitting that they were contemplating the decision. Initially, singles in their 40’s, 50’s, and 60’s were starting to ‘mingle’ over the web and eventually couples were starting to surface. The process was working but Match.com was unable to pull a younger demographic into the mix. The potential customers in their 20’s and 30’s were not willing to subject themselves to the world of online dating. It was becoming clear that the 20 and 30 something’s were scared about what their peers would think and what they would think of themselves for going as low as joining a dating community. Match.com realized the potential in the younger market and came up with a marketing campaign to calm some of these fears.
I think the best example of the company effectively appealing to the younger customers is the commercial of a young woman (profile name CuteBritChick) who is lying on a table. The commercial is in black and white and the camera is zoomed into the woman’s face. She does not say anything, but she is slightly turning her head, smiling and softly giggling, while her username appears at the bottom of the screen. After a few seconds the Match.com slogan, “IT’S OK TO LOOK,” appears on screen followed by “MATCH.COM.” The commercial itself is relatively short, only lasting for about 20 seconds.
The commercial demonstrates how Match.com is using the customer experience framework showcased in the article “A Framework for Managing Customer Experiences.” Using the strategic experience model, Match.com appeals to the younger customers through different types of SEMs. First, ‘sense’ is used to create visual and audio in the commercial. The young woman is clearly not above the age of 30 and she is very pretty. While she really does not say anything, her soft giggle and other mannerisms portray a non-intimidating yet desirable woman. The black and white effect adds to the care-free nature of the commercial. The sense aspect of the commercial is what Match.com is using to pull viewers in. The consumers become intrigued by the sound and visual and immediately they are engaged. Second, ‘feel’ is used to evoke a young viewer’s inner emotion. The target consumer, a single yet apprehensive customer, sees this commercial and hopefully feels better about wanting to experience online dating. “It’s ok to look” calms fears and apprehension and makes viewers feel like they should test out the service. Viewers start to feel like they aren’t the only ones who want to try the service, and they begin to feel confident in their curiosity. Last, the commercial uses ‘relate’ to calm anxiety viewers might have about their social group rejecting their online dating service curiosity. The image of the young woman shows beauty, desire, and a certain level of cool. Viewers can relate to that image because in reality we all hope to embody those characteristics. Now viewers are not shunning the online daters out there, rather they are aspiring to be more like them. Now Match.com seems more like a social community group, not a place for desperate people taking desperate measures.
I think that Match.com is doing a very good job at targeting a younger audience. I would have never in a million years considered looking at an online dating service. I had the idea that only no-bodies went online to find a date, and I figured if I ever had to join a service like that there was something wrong with me. After viewing these commercials my attitude has completely changed. I am not a user of online dating services but I no longer have the same assumptions and attitudes toward the people that do. I think that Match.com could improve even more by continuing the same initial customer experience throughout the dating process. They are doing a great job at capturing attention and reeling in younger customers, but they should reinforce this attitude throughout the search process. For this assignment, I do believe that it was challenging to reflect on customer experiences. When you experience something it’s hard to take a step back and pinpoint why you felt a certain way. Sometimes it is difficult to understand what the company did to drive a certain feeling. As a result, I went through many examples before I chose this one. Although I would still probably never use a dating service, I think my flip in perspective about the idea is exactly what Match.com was trying to do. Turn apprehensive viewers into consumers. Now, along with many others, I am not completely opposed to a service like Match.com and would not fear trying it at some point.
Tuesday, September 18, 2007
Blog 2 - Consumer Decision Making
Barry Schwarz believes a unique theory. It is his opinion that we as consumers have too many options. We live in a society that seeks freedom and by having numerous options we believe we are free. However, according to Schwarz, freedom is good within certain boundaries. In his lecture, he states that too many options paralyses the consumer. He goes on to explain that we need a ‘fishbowl’ in which there are a certain number of choices within a set container. While freedom is good, too much choice paralyses us. We fear we will regret our decision, we allow opportunity costs effect our satisfaction, and our expectations are so high they cannot be met. Based on my own experience and Schwarz’s lecture, I agree with the argument he is making. Consumers are so bombarded from every angle that they aren’t sure what they really want anymore. The line drawn between what they need and what they want starts to become blurry and it is harder than ever to find exactly what you think you need.
“Get Closer to Your Customers by Understanding How They Make Choices” talks about the approach companies are using to listen to their customers’ voices and in turn use that voice to market their products and tailor their sales pitch. This article also demonstrates how customers are not attuned to what they actually want. They might say they want one thing but then change their minds and choose something else. This proves that Schwarz’s theory might be on the right track. Consumers believe they want a certain product but when it comes time to purchase that product they see a whole set of alternatives and change their minds. Product descriptions and added promotions easily and quickly force consumers off their original purchase path. They start looking at their choices and evaluate them according to what they think they need most. Even the timing of a purchase and the quantity in which the consumer is purchasing helps to sway what the consumer ends up taking home.
I agree with Schwarz and believe the article helps to further prove his theory. With the internet and other developing technologies we have billions and billions of choices right at our fingertips. We set out to find a product, realize the infinite amount of things we can get instead, and end up more confused than when we set out on our mission. Worst of all, we are wasting more time trying to buy objects because we don’t want to regret our final decision. We are tricking ourselves into believing that we have to make a ‘best choice’ when really there is no right choice. It is the way we choose to evaluate each product in relation to the other products and our individual situation. Something as simple as buying toilet paper takes 10 minutes, but what ARE we looking for? Each product is essentially the same, performs the same task, yet we debate in our mind, fight with ourselves because the choices are truly endless. It’s not clear what we really need, nor what we really want, and at the end of the day we finally just pick what we determine as the best option. Marketers now have the opportunity to market to even the smallest niche groups through the internet. For example, Amazon is able to offer more books to their customers than any other source. While it seems fantastic, consumers are now left with the challenge of sorting through the endless space and find what they are looking for. Choices essentially give us freedom, but it is my opinion that choices with no boundaries hinder the consumer decision making process.
“Get Closer to Your Customers by Understanding How They Make Choices” talks about the approach companies are using to listen to their customers’ voices and in turn use that voice to market their products and tailor their sales pitch. This article also demonstrates how customers are not attuned to what they actually want. They might say they want one thing but then change their minds and choose something else. This proves that Schwarz’s theory might be on the right track. Consumers believe they want a certain product but when it comes time to purchase that product they see a whole set of alternatives and change their minds. Product descriptions and added promotions easily and quickly force consumers off their original purchase path. They start looking at their choices and evaluate them according to what they think they need most. Even the timing of a purchase and the quantity in which the consumer is purchasing helps to sway what the consumer ends up taking home.
I agree with Schwarz and believe the article helps to further prove his theory. With the internet and other developing technologies we have billions and billions of choices right at our fingertips. We set out to find a product, realize the infinite amount of things we can get instead, and end up more confused than when we set out on our mission. Worst of all, we are wasting more time trying to buy objects because we don’t want to regret our final decision. We are tricking ourselves into believing that we have to make a ‘best choice’ when really there is no right choice. It is the way we choose to evaluate each product in relation to the other products and our individual situation. Something as simple as buying toilet paper takes 10 minutes, but what ARE we looking for? Each product is essentially the same, performs the same task, yet we debate in our mind, fight with ourselves because the choices are truly endless. It’s not clear what we really need, nor what we really want, and at the end of the day we finally just pick what we determine as the best option. Marketers now have the opportunity to market to even the smallest niche groups through the internet. For example, Amazon is able to offer more books to their customers than any other source. While it seems fantastic, consumers are now left with the challenge of sorting through the endless space and find what they are looking for. Choices essentially give us freedom, but it is my opinion that choices with no boundaries hinder the consumer decision making process.
Monday, September 10, 2007
Blog Post 1
Amazon, Seven Eleven, Wal-Mart, and Yellow all offer customers an array of products and services. Although each respective business model is different and each company strives for a different goal, they all have one thing in common. These leaders of the business world have pinpointed what their customer’s need and a way to satisfy those needs. On the surface, you look at each of these businesses and believe they sell a product and in turn collect money for a profit. However, with a deeper look into the process it becomes clear that these companies do not remain in business simply by selling. These companies use innovation, technology, and market research to develop a differentiation strategy that sets them far above their competitors.
Seven Eleven, once your average convenience store, has completely evolved from just your average gas station. '7 Eleven Gets Sophisticated' describes how Seven Eleven has discovered that customers want different things, at different times, at different locations. Mass stocking each convenient store did not allow the store managers to customize their product selection to their own unique customers. With highly effective technology in place, Seven Eleven store managers now have a wide range of inventory at the tip of their fingers. Customers are able to purchase the things they need and want most, without even asking for it. The inventory selection is processed by the store manager who knows exactly which products will sell on a certain day of the week, because of the weather outside, or because of a local event. Data provides the managers with the ability to segment their own customers and make decisions for their specific customers. The technology at Seven Eleven allows the company to anticipate what the customers want, without making them ask.
Amazon, like Seven Eleven, uses technology to set itself above the rest. In the article 'Might Amazon,' we learn that Amazon operates by using technology that can quickly, efficiently, and easily grab multiple items from a huge warehouse and package them all into one box to be shipped. These things allow customers to order what they want with a few clicks of a button, at a very low price, and without hassle. Both companies are thinking giant steps ahead of their customers which in turn gives them money and power. With the power that these companies have garnered they are able to play by their own rules, not follow someone else’s. The companies are using marketing research and data to watch their customers’ behavior. Taking the process one step further, they are determining the basic needs that are actually driving customer behavior. Like we have discussed in class, the key to their continued success is selling their products in a way that correlates to these needs.
It is amazing to imagine what it would be like if these companies were not paying such close attention to what their customers need. Looking at the products and service these companies have created we naturally think ‘duh.’ The ideas are so simple and obvious when we step back and look at them. For example, not having the ability to pay for my gas at the pump seems so silly, however at one time it actually was not possible. Without the attention and persistence of Seven Eleven executives something as simple as swiping your card at the pump would not exist. Even though the idea now seems like an afterthought, in reality it takes intuition, creativity, and attention to customer behavior to turn an insight into a goldmine. To sustain profitability in a competitive business market we must study our customers, dig deeper into our research, and determine the basic needs that influence their behavior. I think that both of these companies demonstrate the perfect definition of customer insights, segmentation, and differentiation. They are the leaders of their fields and are thinking way ahead of all of their competitors.
Seven Eleven, once your average convenience store, has completely evolved from just your average gas station. '7 Eleven Gets Sophisticated' describes how Seven Eleven has discovered that customers want different things, at different times, at different locations. Mass stocking each convenient store did not allow the store managers to customize their product selection to their own unique customers. With highly effective technology in place, Seven Eleven store managers now have a wide range of inventory at the tip of their fingers. Customers are able to purchase the things they need and want most, without even asking for it. The inventory selection is processed by the store manager who knows exactly which products will sell on a certain day of the week, because of the weather outside, or because of a local event. Data provides the managers with the ability to segment their own customers and make decisions for their specific customers. The technology at Seven Eleven allows the company to anticipate what the customers want, without making them ask.
Amazon, like Seven Eleven, uses technology to set itself above the rest. In the article 'Might Amazon,' we learn that Amazon operates by using technology that can quickly, efficiently, and easily grab multiple items from a huge warehouse and package them all into one box to be shipped. These things allow customers to order what they want with a few clicks of a button, at a very low price, and without hassle. Both companies are thinking giant steps ahead of their customers which in turn gives them money and power. With the power that these companies have garnered they are able to play by their own rules, not follow someone else’s. The companies are using marketing research and data to watch their customers’ behavior. Taking the process one step further, they are determining the basic needs that are actually driving customer behavior. Like we have discussed in class, the key to their continued success is selling their products in a way that correlates to these needs.
It is amazing to imagine what it would be like if these companies were not paying such close attention to what their customers need. Looking at the products and service these companies have created we naturally think ‘duh.’ The ideas are so simple and obvious when we step back and look at them. For example, not having the ability to pay for my gas at the pump seems so silly, however at one time it actually was not possible. Without the attention and persistence of Seven Eleven executives something as simple as swiping your card at the pump would not exist. Even though the idea now seems like an afterthought, in reality it takes intuition, creativity, and attention to customer behavior to turn an insight into a goldmine. To sustain profitability in a competitive business market we must study our customers, dig deeper into our research, and determine the basic needs that influence their behavior. I think that both of these companies demonstrate the perfect definition of customer insights, segmentation, and differentiation. They are the leaders of their fields and are thinking way ahead of all of their competitors.
Monday, September 3, 2007
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