Extensive summary of the consumer marketing course. Detailed notes from both the lectures as well as the literature articles. I was graded with an 8 due to this summary.
Around 75 to 85 percent of all new products don’t succeed financially, they don’t
target the job that consumers are trying to get done.
Jobs-to-be-done (JIBD)
“Job” is shorthand for what an individual really seeks to accomplish in a given
circumstance. “Job” is defined as the progress that a person is trying to make in a
particular circumstance.
People hire a product to get a job done. The term “hire” expresses the fact
that customers use a product until the task is completed.
The product or product category does not play a role in completing the customer job.
Customers judge solutions by how well they get the job done. Solutions are always
temporary as consumers switch product categories when another one does the job
better. You can also switch to a scooter when you are not satisfied with your bike
however your bike company does not see scooter companies as their competitors.
The circumstances are more important than customer characteristics or product
attributes.
Jobs are never simply about function—they have powerful social and emotional
dimensions.
Consumers have needs that they are not aware of or not able to report on: latent
needs. Needs can be functional, emotional and social.
Thinking about the combination of customer needs shifts the perspective to the
customer. It frees the view on your real competitors. And it has predictive power as it
is solution-free.
TAKEAWAYS
- Jobs-to-be-Done is a simple framework that puts emphasis on the “why”
behind what a customer is doing. It focuses on identifying enduring consumer
needs to develop products that have a lasting impact.
- It gives a unit of focus — the job the customer is looking to do — to build
measurable ways of looking at success that do not change over time. The
products need to meet the metrics important to the customers.
- You are not trying to just solve a consumer problem. You are first trying to
figure out what the right problem is.
- Good products do not sell themselves
,Session 2. Understanding Consumers
DMU: decision making unit: the person or people that make a decision.
DMP: decision making process: the steps that consumers go through when making a
decision.
Binnen een lage prijsklasse (bv onder de 10 euro) is er weinig verschil tussen de
producten in de kwaliteit. Voor duurdere producten, zien consumenten de prijs als
een indicator voor kwaliteit.
AIDA: attention/awareness, interest, desire, action. The marketing funnel.
Summarizes the decision making process.
De funnel houdt hier niet op. Hierna komt: repurchase, loyalty.
De betere merken weten te zorgen dat je de funnel gaat overslaan en enkel blijft
herkopen. Dus niet meer nadenkt, en standaard voor datzelfde product gaan.
Je doorloopt niet altijd de funnel op dezelfde manier, sommige mensen slaan
stappen over, kiezen een ander product, er zit veel variatie in.
De funnel loopt in een punt, omdat niet iedereen die zich bewust is van het product,
het koopt. Dit gebeurt alleen in een monopolie: dan hebben consumenten geen
andere keuze.
Know, feel, do funnel à AIDA funnel.
Soms slaan ze een stap over: van attention naar action. Van know naar Do.
Het is belangrijk om een afgekaderde definitie van je consument te noteren: hoe
vager dit is: hoe meer mensen er in de Attention stap blijven. Bv. iedereen wilt een
Porsche. Als je dit specifieker definieert naar mensen die er ook de mogelijkheid voor
hebben, dan is dit stuk van de funnel smaller.
Functional need, emotional need, social need.
Als je toiletpapier koopt is dat een functional need, als je een niche parfum koopt
omdat dit je hobby is, dan gaat dat over emotional en social need.
Cross model
High involvement
Utilatarian Ego- expressive
Low involvement
,Involvement: kan verschillende definities hebben: hoe veel je het gebruikt, hoe snel
je het koopt, hoe goed doordacht je de beslissing maakt, hoe veel tijd je aan de
aankoop besteed.
Ultilatarian: als je enkel een product koopt om praktische redenen. Functional needs
Ego-expressive: als er ook personal of social needs aan te pas komen.
Waar je een merk of product plaatst op de assen van het crossmodel kan per
persoon variëren, niet iedereen heeft dezelfde ervaring. For different customers, the
cross might look very different.
Bij utilitarian kan je als marketer een beroep doen op de kwaliteit van het product:
bijvoorbeeld deze tandpasta wordt aangeraden door tandartsen.
Bij ego-expressive kan je uitleggen welke status het met zich meebrengt
bijvoorbeeld: bv. deze tandpasta maakt je tanden witter.
Let op! Het kan voorkomen dat eenzelfde consument zowel utilatarian als ego-
expressive argumenten gebruikt bij een aankoop van hetzelfde product.
Er is geen ideale positie op het crossmodel, dit is afhankelijk van hoe je je wilt
positioneren als merk.
Veel luxere producten willen op de low involvement en ego expressive zitten: denk
aan coca cola. Veel mensen kopen herhaaldelijk coca cola, maar halen identiteit eruit
dat mensen nooit pepsi kopen.
Why segment? People perceive the same situation/ product in very different ways.
Segmentation aims at dividing the market into subsets of customers.
Members are different between segments, but similar within.
What are the benefits of segmentation?
- Promotion might be different for different segments
- Pricing might be different for different segments
- You should be able to identify who are your valuable customers
To the Firm:
• Identification of valuable customers (higher CLV)
• More targeted promotions & marketing communications
à sustainable profit growth
To the Customers:
• Customized products & services
• Personalized experience
Sustainable Profit Growth
à Satisfaction & Loyalty
Segmentation Base (Descriptor) = characteristics that help identify segments.
Think about orange juice, some people like the juice sweet, others don’t, some
people like pulp, others don’t. You can create a lot of segments based on this.
, Heterogeneity: of groups of customers in the market: segmentation.
- Segmentations aims at dividing the market into subsets of customers
- Members are different between segments, but similar within
Segmentation base (descriptor) = characteristics that help identify segments
Bv. Sinaasappelsap, volwassenen houden van meer hulp, kinderen houden van zoet.
Hoe vindt je bij welk segment een consument hoort? Bv. hondenvoer. Sommige
mensen zien honden als kind. Hoe achterhaal je dat? Je vraagt of ze met hun hond
slapen.
All consumers à descriptors (who?)
Watch out when segmentaing: do not combine the segments in one group. Ijsthee
lovers vs. warme thee lovers, kan je niet combineren in lauwe thee.
Segmentation and Targeting is different.
Segmentation: discovering and profiling groups of customers with similar needs and
preferences.
Targeting evaluating segment attractiveness and targeting the most attractive ones.
Bitterly, T. B., Mislavsky, R., Dai, H., & Milkman, K. L. (2014). Dueling with desire: a
synthesis of past research on want/should conflict. Should Conflict (February 28,
2014).
The article explores the internal struggle between "want" and "should" behaviors in
consumer decision-making. "Want" choices are associated with immediate
gratification, such as indulgent purchases, while "should" choices reflect long-term
benefits, like saving or healthy options.
Key Takeaways:
1. Want vs. Should Conflict: Consumers often face conflicts between hedonic
("want") desires and more rational, responsible ("should") choices. This
tension affects purchasing decisions.
2. Context-Dependent: The dominant choice between want or should is
influenced by the context, including emotional states, cognitive load, and
decision framing.
3. Self-Control: The conflict relates to self-control, where people need to
balance short-term desires with long-term goals.
4. Marketing Implications: Marketers can leverage this knowledge by framing
products in ways that appeal to either wants or shoulds, depending on the
consumer segment and situation.
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