Figuring Out Buyer Behavior No. 2 - 15A


Throughout this course, I’ve interviewed parents and caregivers on the idea of a sensor device to prevent child heatstroke in vehicles.

With this assignment, I interviewed 3 different parents and provided them with alternatives instead of a sensor device. The alternatives were a wearable smart device for their child, or my original product which is a sensor device placed inside the vehicle.

1) Find three people who would fit that segment and arrange to interview them. Just like last time, these interviews, if conducted properly, should take about 10-15 minutes. Any less, and you won't be able to obtain adequate information. These three people may NOT be the same people you interviewed last time.

Interviewee #1: Father of 2
Interviewee #2: Mother of 1
Interviewee #3: Mother of 4

2) Begin with alternative evaluation. In the last case exercise, you determined how customers sought information related to solving their need. The outcome of this step is to produce a set of alternatives. Customers pick from among this set of alternatives. In this step, your job is to figure out how they do their picking. Does price matter the most? Does quality? Does style? Is there more than one factor that is important to your customer segment?

I presented my idea along with the alternative and all 3 of my interviewees chose the sensor device over the wearable. I feel like all the potential customers in my segment had the same outlook on my product. Since it relates to safety and it won’t be seen, the style is the least important factor. One interviewee did mention that if the product were to be purchased separately, it should be compact and small. Anything large and bulky won’t be as attractive or universal for all vehicles. All interviewees unanimously agreed that quality is the most important factor. The quality has to be durable and of course have the ability to function for long periods of time. 1 of the interviewees mentioned that price usually isn’t a concern but an outrageous price tag for a safety device can sometimes steer her away from making a purchase. She often compares prices online and always goes with the cheaper alternative. The other 2 interviewees both said as long as it is intended to provide safety and top quality, the price is not extremely relative.

In this segment, quality is of course the most important factor.

3) How/where do they buy? Elements of the actual transaction can help characterize your segment. Is your segment more likely to buy online or in a store? Are they more likely to use cash or will they finance the purchase? Etc. If this is a B2B purchase, who's involved in the purchase decision?

Interview #1, the father mentioned that he always goes online for his shopping. When he needs to buy something for his children, he thinks online shopping is the most convenient. The other 2 interviews mentioned that they do a variety of shopping, sometimes in store and sometimes online. Depending on their schedule. All 3 interviewees said when purchasing something under $100 price tag, they will buy cash.

I think my segment of customers, mainly purchases their products online. There are some off chances that they will visit a store and actually make a purchase. Sometimes they visit a store just to see a product in person, then go home and purchase the product online.

4) Post-purchase evaluation. What matters most to your customers when they think back on the 'rightness' of the purchase? What helps them determine the purchase was a good idea? What sorts of things make them think a purchase was a bad idea?

After speaking with my 3rd interviewee she mentioned that whenever she reviews a past purchase she evaluates the function it provided and the use she got out of it. If she finds herself using the product a couple of times a week it was a successful purchase and a good idea. She is more frugal and not as much of an impulsive buyer so she usually knows what she wants by the time she makes a purchase. If she purchases an item and after a short time, it stops working properly or she doesn’t find herself using it regularly she is disappointed with her purchase. She mentioned that she sometimes tries to resell items if they are still in good condition.

I think a good purchase is mainly a product that performs its function properly. With this my segment of customers decides whether a purchase was a “good” idea or a “bad” idea.



Comments

  1. Amanda,

    I think you conducted some interesting research when reading through your post. My sister is actually a mother of 2 and I think she would feel similarly as the other parents did that you interviewed. She would benefit from the sensor device you're pitching and that would be more inclined to purchase it if it were small and affordable. I thought it was interesting to read that your interviewees typically paid with cash if it's less than $100. For my venture, I interviewed three students who almost all told me that they pay mostly with credit cards. I wonder if that's a preference that changes with age.

    ReplyDelete
  2. I think that it is interesting that a lot of your interviewees didn't seem to care very much about the price of your product as long as it is high quality and provides safety. Of course safety is important but I would have thought that people would still pay more attention to the price since it is a limiting factor for a lot of people. Also, you have a lot of online shoppers so I would think that this would mean that you would have to do a lot of your advertising on the internet.

    ReplyDelete
  3. I read your blog and I also read the comments of our classmates. Amanda is right, preference can change with age. Now people are willing to pay with credit card which is a great way of purchasing an item if the item is being offered online. HIGH QUALITY is something that most people are looking for, and price can be irrelevant according to quality of the item. I honestly like to save as much as I can on an object, but when it comes to safety reasons, I have no problem paying for more as long as it works and I know I will be ok. Safety is always first.

    ReplyDelete

Post a Comment

Popular posts from this blog

Celebrating Failure - 26A

Venture Concept No. 1 - 24A