Costumer and Competition

What is a consumer?

A person, group of people or organisation which uses the products or services of a particular business enterprise, to satisfy a need or want.

What is a costumer?

Someone who makes use of or receives products or services; however they use a specific business, returning there frequently and making a habit or using that business?

What is a consumer experience?

All the interactions that the costumer has with the business and its product or service, from the initial interest right to the final sale and after sale service.

Types of costumers?

People who want teh best price, people who want the best quality.

What is costumer focus?

It is a way to ensure that the consumer has a positive experience of the business and gains what is required to satisfy their needs from their interactions.

What does a costumer focus business include?

A business that understand the importance of good first impression, accurate description of G & S, value costumers (listen to what they want, not what the business expects), Keeps costumers fully informed, asks costumers if they understand/requirements/any queries), Provides options for delivery, payment, etc. And ensure that complaints are followed up.

What is costumer profiling?

Collection information about the business’ costumers. (They are consumer who want to buy their product or service. ) Business should define the specific gorup of costumers in relation to target market.

What are the elements that can be included in costumer profiling?

Demographics, Location, lifestyle, behaviour, buying motives.

What is a consumer’s buying motive?

Their initial motive is to satisfy a need or want. Their buying patterns are focused into two separate focus areas - rational or emotional. E.g. Car - buys for heavy items (Rational), Buys it to flex power (emotional)

What is competitor profiling?

Collect information from competitors who are producing a similar good or service. Most info is not available in teh public domain, especially if company is not public.

How can a basic competitor profile be developed?

A SWOT Analysis. (Strengths, weaknesses, opportunities and threats).

What is a simple competitor analysis?

Table comparing main competition along a range of elements (Ps).

What is a complex competitor profile?

Analysis divided into management, marketing, operations, human resources and financing.

What questions asked when doing a complex competitor profile?

What is their mission statement, what does it reveal about strategic plan? Who makes the decisions? How are they positioned? Evident elements of developments in their business? What are their human resource needs? How do they finance themselves? What are their assets?

What is rational buying?

The costumer is aware of specific requirements of the G or S. Buying motive is conscious, and there is quantifiable reason for the purchase. (reliability, durability, efficiency ease of use and expense.)

What is an emotional buying motive?

They have more influence

What are the costumer services processes?

Several costumer service processes - not applied all the time. This includes, costumer queries, interactions, documentation of orders, follow-up, billing customers, and after sales service.

What is relationship management?

How a business manages costumer relations by providing good costumer service. Attraction and retention of costumers important as without costumers business cannot function. Managing costumer service is important because when done well, results in costumer loyalty and repeat business with the costumer.

What are early adopters? How to manage?

Early adopters are individuals or businesses eager to use new products or technologies before they become mainstream, providing valuable feedback and helping shape product development, while also being critical to startup growth. To manage them effectively, businesses should treat them as VIPs, listen to their feedback, and offer perks or benefits for early adoption. 

What is CRM?

Costumer relationship management (CRM) systems are needed to manage costumer data, creating effective sales processes, and boosting sales team efficiency. However, one of the obstacles to implementing these crucial but advanced systems is a low CROM adoption rate from the team that needs to use it.

Strategies to boost CRM adoption - establish clear goals and objectives

Establish clear Goals and objectives: Define specific, measurable, achievable, relevant, and time-bound objectives for your CRM system that align with your overall business goals.

Strategies to boost CRM adoption- comprehensive training?

Provide Comprehensive Training and Support: Offer structured training programs covering CRM system navigation, data entry, reporting, customization, and integration. Provide ongoing support through resources like knowledge bases, dedicated support teams, and user forums.

Strategies to boost CRM adoption - Simplify CRM User Experience

Design a consistent, flexible, and aesthetically pleasing CRM interface that prioritises essential features, reduces clutter, and accommodates different user needs and preferences.

Strategies to boost CRM adoption - Foster a Culture of CRM Adoption

Secure leadership buy-in, adopt a user-centric approach, encourage open communication, and implement rewards and recognition programs to promote a culture that supports CRM adoption.

Strategy to boost CRM adoption - Monitor and Analyse CRM Adoption Metrics

Track usage metrics (login numbers, interaction counts, drop-off rates), data quality metrics (form field data quality, attribution, missing information), and performance metrics (pipeline growth, deal cycle times, win rate growth) to measure CRM adoption success and identify areas for improvement.

What are Costumer loyalty programs?

Costumer relationship management (CRM) loyalty programme are incentives that reward costumers for repeat purchases, referrals, or other actions demonstrating loyalty, aiming to extend costumer lifetime and build stronger relationships.

How do the CRM programs work?

Incentives: Loyalty programs provide incentives for customers to engage with a brand and make repeat purchases.

Data Collection: CRM systems collect data about customer interactions and preferences, allowing for more personalized loyalty program offerings. 

Personalised Rewards: Based on the data collected, businesses can offer personalised rewards and experiences to loyal customers. 

Customer Segmentation: CRM systems allow businesses to segment their customer base and target specific loyalty programs to different groups. 

Benefits of CRM loyalty programs?

Increased Customer Retention: Loyal customers are more likely to stay with a brand, leading to higher retention rates. 

Enhanced Customer Lifetime Value: Loyalty programs can increase the value of each customer to the business over time.

Improved Customer Engagement: Loyalty programs can encourage customers to engage more frequently with a brand. 

Data-Driven Insights: CRM systems provide valuable data about customer behaviour and preferences, allowing businesses to refine their loyalty programs and strategies. 

Increased Sales and Revenue: Loyal customers are more likely to spend more and refer others, leading to increased sales and revenue. 

Examples of CRM loyalty programs?

Points-based systems: Customers earn points for purchases, which can be redeemed for rewards. (Maccas)

Tiered programs: Customers progress through different tiers based on their spending, earning increasingly valuable rewards. 

Exclusive offers: Loyal customers receive exclusive discounts, early access to new products, or other special perks. 

Personalised recommendations: Based on their purchase history and preferences, customers receive personalised product recommendations and offers. 

Community building: Some loyalty programs create online communities where customers can connect with each other and the brand. 

Strategy to boost CRM Adoption- Leverage change management techniques

Involve end-users in the change process, develop a comprehensive change management plan, and provide ongoing training and support to ensure a smooth transition to the new CRM system.

Strategy to boost CRM Adoption- Continuously evaluate and refine CRM Strategy

Continuously evaluate and refine CRM Strategy - Monitor key performance indicators (KPIs), gather user feedback, and make data-driven decisions to refine your CRM strategy and drive better user adoption and customer satisfaction.

Technologies to facilitate promotional activities - online advertising

Refers to an internet Web presence provides a low cost 24-hour 365 days a year vehicle presenting clear and precise brand identity. Used to generate demand, interest novelty. Aus spending on advertising growing faster than traditional media.

Technologies to facilitate promotional activities - Social media

Refers to social media profiles, blogs and forums are used to communicate directly with teh target market. Provides primary data to be used for testing (strategies). Consumers will maintain interest, problems can be solved, and advertising is better targeted. Common forum used by costumers who are early adopters of product - interested in experimenting and bragging.

Technologies to facilitate promotional activities- Mobile application

A source of income used by the business is SMS. It promotes the business, maintains contact with customers and the business makes money with each SMS.  Businesses can send personalised messages to promote special offers and sales.

Technologies to facilitate promotional activities - E - newsletters

One of the most powerful digital marketing tool as it allows a business to communicate directly to costumers in a personalised way by sending valuable content and relevant promotion straight to their inboxes. Better suited to educating and entertaining consumers than to produce sales. Receiving a newsletter is a subtle update from a business.

Technologies to facilitate promotional activities - E commerce

It is a networked video advertising throughout a store linked to a database. (digital POP (Point of product)) Has become another revenue stream for variety stores, by advertising other products on their TV. Can be vice versa. (It is bought)