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

Final customer buying from a product producer. Final or end-user customers incur four cost steps in connection with the product sold by a producer.

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.

A. Knowledge

B.
Resources: Reduce resources required for use of the product

  1. Money

  2. Time – Reduce the time the customer must spend with the product

    1. REDUCE STEPS THE CUSTOMER MUST USE WITH THE PRODUCT

      1. Warnings and advice Examples>>

      2. Bring products closer to the customer

        1. Place current products closer to current customer's location of purchase or use

          1. Locate closer to current customer location Examples>>

          2. Increase number of channels used to serve current customers Examples>>

          3. Offer current products to current customers in non-traditional purchase locations Examples>>

          4. Arrange for customer transportation to product Examples>>

        2. Bring current products closer to new customers

          1. Cover a broader geographic market with current products

            1. Add current products where average customer volume is low Examples>>

            2. Serve new customers in a new geographic market Examples>>

          2. Serve new customers with a new channel of distribution Examples>>

        3. Serve current customers with new products, saving customer purchase time and increasing your revenues

          1. Add related products the current customers would buy

            1. Integrate new functions into the main product Examples>>

            2. Operate or maintain main product Examples>>

            3. Add functions used with the main product Examples>>

          2. Add products not carried by local competition Examples>>

          3. Establish a service organization Examples>>

          4. Offer additional price points Examples>>

          5. Other Examples>>

        4. Target your products on markets with limited competition from the leading industry competitors Examples>>

      3. Reduce customer steps in the product process

        1. Complete some of customer's steps with the product

          1. Installation steps Examples>>

          2. Preparation steps

            1. Enable product to use alternative operating platforms Examples>>

            2. Add functions customers use with main product Examples>>

            3. Eliminate unwanted components Examples>>

          3. Other Examples>>

        2. Reduce customer choices Examples>>

        3. Move information electronically Examples>>

        4. Simplify installation or set up Examples>>

        5. Modify product to reduce maintenance

          1. Complete process faster so less maintenance required Examples>>

          2. Intervene earlier in the process to reduce problems Examples>>

          3. Increase the quality of the product to reduce customer time in repair Examples>>

          4. Reduce product or process components to reduce time in repair or maintenance Examples>>

          5. Other Examples>>

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