Intermediary Purchasing from the Producer of the Product
Obtain Steps: The Obtain steps include all activities preceding the selling of the product. These activities include the costs of identifying potential suppliers and stocking the product.
2. Emotional: Segment customers according to the personal emotional needs of the segment.
B. Needs to avoid sources of anxiety
3. Economic limitations: Segment customers according to the limitations set by their economic interests and concerns
Potential improvement in income of current customers: Customer segments whose costs could decrease if the supplier:
Paid for some costs of the segment
No. | SIC | Year | Note |
1 | 0 | 1991 | Many think that brand name power is weakening. Retailers are forcing companies to divert dollars from advertising into costly trade promotions, such as payments for space on store shelves. |
2 | 2000 | 1997 | Because many products are competing on the shelves for supermarket space, companies made payments of $800 to $1,100 per new item per store to ensure shelf space last year. |
3 | 2030 | 1991 | Heinz is bundling condiments into a single package and shipping 64-ounce ketchup bottles on customized display pallets that are easy for wholesale clubs to handle. |
4 | 2086 | 1998 | Kahil Bottling is infuriated with Coke and Pepsi's attempts to get more shelf space. These companies sign calendar marketing agreements with retailers which give marketing incentives and payments to get premium display. |
5 | 3690 | 1993 | Invacare emerged from a decline by strengthening Invacare's distribution network, and offering dealers prepaid freight, 48-hour delivery, cheap financing, money for cooperative advertising, and volume discounts. |
6 | 3714 | 2003 | AutoZone's pay on scan works this way: a manufacturer sends oil filter to AutoZone warehouses without collecting payment. The filters remain on the manufacturer's books even as they are moved onto store shelves. When a customer buys a filter at the checkout counter it becomes AutoZone's for a few seconds as it is being scanned and sold. Soon after the manufacturer is paid. AutoZone claims the deal is able to book the whole $12 retail price of the filter as revenue because the company is what is known as the primary obligator to the customer by selecting suppliers, setting the price and by being responsible for getting the product to the customer. |
7 | 5600 | 1988 | Dress Barn asked for none of the concessions regularly demanded by department stores–the cooperative advertising allowances, return privileges or subsidies to guarantee a store's gross margins. |
8 | 6141 | 2004 | First Data is expected to take the next step and offer banks its own credit cards. These cards would be co-branded with the banks, as Visa and MasterCard do today, but First Data could give the banks a bigger cut of each transaction fee than they now get from Visa and MasterCard. "Banks and retailers would now have a way to bypass Visa and MasterCard and keep more of the money for themselves. The explosive growth in debit cards is changing the game. By being the first to market with emerging technologies–First Data can grab market share. |
9 | 7812 | 2005 | Film studios and theater owners are close to a deal that would allow digital cinema to be installed at the film studios' expense. While each party has argued against paying for the implementation, digital cinemas would save Hollywood studios millions by lowering distribution costs. Theater owners would benefit from the high-quality movies and the ability to show live events on the screens. While conventional films have to be shipped, digital films can be sent via broadband cable or satellite. Movies would be delivered quickly to all areas, undercutting one of the motivations for movie piracy. |
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