Develop a Customer / Product Matrix

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Experiences differ from services • Experiences and services are distinct offerings. • Experiences are as distinct from services as services are from products. • Services are performed for the person (or property), experiences happen within the person. • A result (benefit) of the paid experiences is the creation of a lasting memory. To an extreme, experiences even change the individual(transformation). The individual pays not just foranother product or service, but the experience.

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Nội dung Text: Develop a Customer / Product Matrix

Outline for Discussion • Understand the customer, develop a profile • Determining who has the power to buy and why they buy • Break for lunch (12:15 pm) • Developing a customer/product matrix • Small Group Exercise • Company analysis: SWOT
Develop a Customer / Product Matrix
Customer / Product Matrix Customers Products
What are products? • Tangible goods; • a service; • an idea; • or a combination of the above.
Some examples? • Examples include plants, shovels, fertilizer, book, pruners, pots, etc. • pick-your-own, entertainment • credit, delivery, design, installation; • composting, low input, organic products
What’s your value proposition? Value proposition is a combination of three dimensions: • Quality: high or low • Money: cheap or expensive • Time: little or lots
What’s your value proposition? Value proposition is a combination of three dimensions: • Quality • Money • Time
Value proposition for . . • McDonalds • Starbucks
The Experience Economy Work is Theatre & Every Business is a Stage by Joseph Pine & James Gilmore Harvard Business School Press, 1999
Economic development Industrial Service Agricultural Economy Economy Economy
Evolution of the birthday celebration (aka party) Good Commodity
Evolution of the birthday celebration (aka party) Service Experience
How do these differ? • Commodities are produced in the agricultural economy. • Goods are sold in the industrial economy. • Services are provided in the service economy. • Experiences are marketed in the next evolution of our economy.
Pricing Service Commodity $15 Good < $1 Experience $40 $1
Profit Potential? Commodity Service $1 Good < $0.001 Experience $5 $0.01
Product Pricing 45 40 40 35 30 Commodity 25 Good 20 Service Experience 15 15 10 5 1 0.1 0
Experiences differ from services • Experiences and services are distinct offerings. • Experiences are as distinct from services as services are from products. • Services are performed for the person (or property), experiences happen within the person. • A result (benefit) of the paid experiences is the creation of a lasting memory. To an extreme, experiences even change the individual (transformation). The individual pays not just for another product or service, but the experience.
Just another doll store?