Brainstorming Ideas: A Final Customer Purchasing from the Producer of the Product

A Final customer buying from a product producer: The Final customer is the one who makes the final decision on what product to buy and from which supplier to buy it. Some Final customers purchase directly from the producer of a product.

Use Steps: Use steps include all the customer's value added activities or the consumption of the product itself. These steps include all the costs the customer incurs in employing the product in its intended use.

2.
Emotional: Segment customers according to the personal emotional needs of the segment.

  1. Needs for comfort and status

  2. Needs to avoid sources of anxiety

    1. Risks in relationship

    2. Limitations set by time

    3. ECONOMIC LIMITATIONS: SEGMENT CUSTOMERS ACCORDING TO THE LIMITATIONS SET BY THEIR ECONOMIC INTERESTS AND CONCERNS

      1. Spending power of current or potential segments

        1. Below average Examples>>

        2. Above average Examples>>

      2. Segment's approaches to limit on spending

        1. Segments with preferences for periodic or one time payment Examples>>

        2. Segments who might face psychological spending limits

          1. Specific limits on spending Examples>>

          2. Preferences to include product in package of related products Examples>>

          3. Preferences for or against rebates, coupons and points Examples>>

          4. Sensitivity to the price of a component of the product Examples>>

        3. Customer segments with preferences for price point alternatives to the present product

          1. Higher price point

            1. For more Function Examples>>

            2. For more Reliability Examples>>

            3. For more Convenience Examples>>

            4. For more than one Performance benefit category improvement Examples>>

          2. Lower price point

            1. With less Function – The lower price piont would have:

              1. Less size Examples>>

              2. Less style, speed or power Examples>>

              3. Other Function Examples>>

            2. With less Reliability Examples>>

            3. With less Convenience Examples>>

            4. With fewer benefits in more than one Performance category Examples>>

          3. Both high and lower price points Examples>>

      3. Potential improvement in income of current customers. Customer segments whose costs would decrease if:

        1. Paid for some costs of the segment Examples>>

        2. Created an organization of segment members to save costs Examples>>

        3. Offered the segment use of the operational infrastructure controlled by the supplier Examples>>

        4. Taught the segment how to reduce costs Examples>>

      4. Savings of potential product vs. current solution

        1. Level of savings over the current product system

          1. Low – product saves 10% or less of current solution cost, including user time Examples>>

          2. Medium – product safes 25% or less of current solution cost, including user time Examples>>

          3. High – Product saves more than 25% of current solution cost, including user time Examples>>

        2. Savings on customer building block costs

          1. People costs Examples>>

          2. Purchase costs – Segment saves purchase costs:

            1. Inside the cost system of the product itself Examples>>

            2. Outside the cost system of the product Examples>>

          3. Capital costs – Segment saves capital costs:

            1. Inside the cost system of the product itself Examples>>

            2. Outside the cost system of the product Examples>>

          4. Multiple Costs – Segment saves multiple costs:

            1. Inside the cost system of the product itself Examples>>

            2. Outside the cost system of the product Examples>>

            3. Savings from the creation of economies of scale for customer segments who incur costs at levels above those of currently available through economies of scale Examples>>

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