Who are the current customers/users?
Include information related to demographics and psychographics—buying behavior, price sensitivity, customer satisfaction, and loyalty.
Assess exactly who the selected business targets. Be specific and consider the following:
How has the business decided to segment their market? Look at psychographics, such as interests, hobbies, routines, shopping habits, etc.
Decide which segments you think the business most likely targets. Think about the Coach example from Assignment 1.
Include information such as whether the brand is trying to appeal to a certain social or cultural group and how those customers perceive the product/brand. Include demographic and psychographic information including attributes that relate to personality, values, attitudes, interests, or lifestyles. Also, include situational life stages as well as customer beliefs—how customers want to be perceived.
Examples of psychographic groups: video-gamers, soccer moms, sports fanatics, hipsters, and single moms.
Life cycle stages include: retirees, new homeowners, college students and new parents. Be aware that some products/brands may appeal to a wider customer base than others.
What does the customers buy/use?
Think about the industry of the business you selected. Consider what customers are looking for in this particular industry.
What changes can the company/brand expect in the future? How can the company/brand better serve its customers?
Include information about potential opportunities and threats.
The consumer market is always evolving. Think about the toys you played with as a kid and what’s available now. To survive, businesses must be able to predict change and then execute change.
Think about the business you selected. Based on the current and future market, what types of changes do you think the business will need to make to remain competitive?
How will these changes better serve the customer?
How will this business meet the customer’s changing demands?
How can the company/brand better serve its customers?
As an example, as consumers became fully integrated with technology, BestBuy saw a technical support need. Product warranties weren’t very strong and manufacturers outsourced tech support overseas. Seeing a need, BestBuy purchased Geek Squad in 2006. Now all BestBuy locations have a GeekS quad counter in the store. At the point of product sale, you can purchase an extended warranty that provides Geek Squad services. It’s a win-win for the customer and BestBuy.
Remember all the family owned businesses that were& eliminated by big box stores? Had Walmart or Target not killed them off, then Amazon certainly would have. Think about possible threats that the business you selected will have to contend with:
Will it be new competition?
Changing desires in the market?
New laws and regulations?
What else is out there that could threaten their survival?