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.
Wednesday, September 26, 2007
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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