Case Review - Get Inside the Lives of Your Customers
Case Review: Get inside the Lives of Your Customers:
The core of marketing is to satisfy customers’ needs and wants. Recently, consumers’ wants has become increasingly important in terms of developing corporate and marketing strategies (Simonson, 1993). In addition, previous research shows, high customer satisfaction and loyalty towards a brand lead to continuous relationships and future purchases (Morgan & Hunt, 1994; Waterson, 2003).
In the article ‘Get inside the lives of your customer’, Seybold proposed the ideal of companies should identify their ‘customer scenarios’. It is suggested, identifying how company’s offering fit into customer’s life, company can deliver higher value to buyers, realise profitable business opportunities, expanding sale or cross selling, as well as deepening customer loyalty (Seybold, 2001). In broad context, the definition of ‘customer scenario’ is the way in which the customers do business (Seybold, 2001). Within the article, Seybold illustrated the importance of identifying customer scenarios through examples of three companies within various industries, and how they had achieved success through putting ‘customer scenario’ strategy to use. Lastly, a detailed step-by-step guideline in implementing ‘customer scenario’ strategy is included in the article.
Customer relationship management (CRM) is still of great importance in marketing strategy today. Company gathers data on consumer preferences and behaviours then uses data-mining techniques hoping to discover superior ways to attract and retain customers, as well as gaining competitive advantages. Contrast to CRM, Seybold (2001) proposed the theory of ‘customer scenario’, shifting the strategic focus from collecting data to identifying customer’s reason for doing business, and also their needs and wants. Similarly, other researchers also share the same school of thoughts; Simonson (1993) claims in order for companies to get closer to their target customers, and satisfying
The core of marketing is to satisfy customers’ needs and wants. Recently, consumers’ wants has become increasingly important in terms of developing corporate and marketing strategies (Simonson, 1993). In addition, previous research shows, high customer satisfaction and loyalty towards a brand lead to continuous relationships and future purchases (Morgan & Hunt, 1994; Waterson, 2003).
In the article ‘Get inside the lives of your customer’, Seybold proposed the ideal of companies should identify their ‘customer scenarios’. It is suggested, identifying how company’s offering fit into customer’s life, company can deliver higher value to buyers, realise profitable business opportunities, expanding sale or cross selling, as well as deepening customer loyalty (Seybold, 2001). In broad context, the definition of ‘customer scenario’ is the way in which the customers do business (Seybold, 2001). Within the article, Seybold illustrated the importance of identifying customer scenarios through examples of three companies within various industries, and how they had achieved success through putting ‘customer scenario’ strategy to use. Lastly, a detailed step-by-step guideline in implementing ‘customer scenario’ strategy is included in the article.
Customer relationship management (CRM) is still of great importance in marketing strategy today. Company gathers data on consumer preferences and behaviours then uses data-mining techniques hoping to discover superior ways to attract and retain customers, as well as gaining competitive advantages. Contrast to CRM, Seybold (2001) proposed the theory of ‘customer scenario’, shifting the strategic focus from collecting data to identifying customer’s reason for doing business, and also their needs and wants. Similarly, other researchers also share the same school of thoughts; Simonson (1993) claims in order for companies to get closer to their target customers, and satisfying
References: Morgan, R.M. and S. D. Hunt. (1994),”The Commitment-Trust Theory of Relationship Marketing,” Journal of Marketing, 58. Seybold, P.B. (2001), “Get Inside the Lives of Your Customers,” Harvard Business Review. Simonson, I. (1993), “Get Closer to Your Customers by Understanding How They Make Choices,” California Management Review. Waterson, M. (2003),”The Role of Consumers in Competition and Competition Policy,” International Journal of Industrial Organization, 29 (2).