-: Hello and welcome to Video Lecture two
for customers and competitors.
And in this one, we're gonna talk more about customers.
In part three, we're gonna focus on competitors.
So the first set of influences,
so we're gonna think about what are the influences
that sort of drive
what will person buy,
what will someone want,
what will someone need?
What will they look for when they make a purchase?
And we're gonna start with these three.
And then, there's another set that we'll do later on
in this lecture.
So we're gonna think about psychological ones first
and think personality, lifestyle, and involvement.
So this is a model
about the five factors of personality.
And sometimes, it's used the OCEAN or the CANOE
as the word that starts with each of those letters.
And on the next slide, we'll go into a bit more depth,
but think about how would someone
with these types of attributes,
so we're gonna sort of contrast them,
what would they buy?
What sort of things will they want?
What sort of things will they tend to buy?
Which kind of things might they avoid?
So again, you can call it CANOE or OCEAN.
But think about somebody who is conscientious,
who's very careful,
who's very disciplined,
or versus someone who's more impulsive or disorganized.
How might that drive
what they buy, how they buy, et cetera?
Agreeableness, someone who is suspicious
and uncooperative versus someone who's trusting and helpful.
And as for neuroticism,
someone who's calm and confident
versus anxious or pessimistic.
So down the road,
when we do promotion,
we're gonna think about the role of fear and how much,
there's a lot of fear based advertising out there
and this might play to someone in this category.
Next is openness,
who experiences, do they like to try new things?
Are they spontaneous?
Or do they like to just do what they do,
they know what they want,
they sort of stay in their lane?
And next is the difference
between extroversion versus introversion.
Do they like to go out and socialize and see others?
Or if they have free time,
they just rather be by themselves?
So think about how would folks
in each of these categories,
what kinds of things would they tend to buy?
What kind of things would they not buy?
The ones at the polls
or sort of that are more on one side of each of these
than the other?
A lot of it will be the lifestyle.
And it really is a driver of how do they spend
their resources, not only time, but my money
and what do they value and how do they behave?
So we can think of there's a great term
that we'll learn more about, psychographics,
which is sort of the measure of someone's psychology.
Demographics is the measurement of someone as a person,
like their age, their gender,
things like that,
race, ethnicity, religion.
Psychographic measures more their how they think,
what are their attitudes,
what are their values,
what are their opinions,
and how does that drive what they buy?
Another big factor is involvement and it really,
and how much time is the consumer going to take
when they're thinking about what are my options?
So here you can see sort of three Tiers of this.
There's certain times when someone will really spend
a lot of time, do a lot of research,
weigh options, be very sort of careful and meticulous.
There's times when they'll spend less time.
They'll still spend some time,
but yeah, it doesn't matter that much.
And then, there's the routine
where you just buy the same thing every time
that you really like a brand,
you run out of shampoo
and you just go buy the same one
because you like it and it does well.
So think about, and we'll talk more about what drives this,
what are some of the factors
that would drive extended?
When would someone spend a lot of time
and effort and research
versus when do they just not really give it
any thought at all?
One interesting shortcut is when thinking
about what to buy organic versus not?
And here's a list that came out in 2023
of foods that tend to have a lot
of pesticide residue
versus those that don't.
So it might be that a consumer would use this
and think about, "Hmm, the Dirty Dozen,
I better buy organic for these
versus the clean ones
where it may matter less,
if they have pesticides or not."
The next set is sociocultural
and situational influences.
And we can think about these four,
which we will on each of the next four slides.
Their demographic, their culture, their reference group,
and then personal influence.
Demographics, as I said,
so democracy is the rule of the people.
Demographics is measurement of you
and me as a person:
our age, gender, income,
our race, religion, occupation,
marital status, gender, gender identity,
lots of things like that.
And you can think about how here's a few
and the other ones I named.
Not to stereotype or say that all people of a certain age
or a certain gender or a certain race
always buy the same things
because certainly that's not true.
But there may be patterns
that someone older as opposed to younger,
someone higher income
as opposed to lower income might buy.
And that could give you some insights
on understanding who will buy your product
or service and why.
Another important one is the culture and the subculture.
So when we think about the culture, their values,
custom, ideas and attitudes,
what are the behaviors and norms
of the culture in which you are in?
And thinking about what are some of the cultural norms
here at UVM?
What are some of the behaviors?
What are some of the beliefs?
What are some of the attitudes that you see here?
Again, not too stereotype
'cause certainly not all UVM students
and other community members are the same.
But there's certain values
and ideas and behaviors
that are more common here
and would lead to someone buying
some product or service
more likely than not.
Another influence is the reference groups.
What do the folks like me do?
What sort of the norm and behavior that if you go,
if you're a Penn State football fan like me
and you go to the game, you'll probably wear blue and white.
If you go to a UVM game,
you'll wear green and gold.
And three types of groups that you can consider,
first are the membership group.
Who am I, my peers,
folks like me, what do they like?
Next is the aspirational group.
Well, I wish I was more like them.
They're cool, I wish I were cool too.
What do they like?
And then the dissociative group,
like those folks, I don't like them.
I don't want to be like them.
What are they doing
and how does that influence what you might buy?
What sort of goods or services
that you would want?
We're seeing more and more on social media,
the effect of opinion leadership and influencers.
So folks that sort of are known for having
a specific taste
or a specific style or fashion
in various types.
It can be almost anything:
music, art, film, vacation,
fashion, clothing, lots of things like this.
So who influences?
Who might influence your product or this?
Who's knowledgeable about this, who's known about that?
How can you get your product
or service into their hands?
How could you get them to try it and talk about it
and sort of influence on your behalf?
And it might be to somebody famous,
but it might, if you start small,
it just be my sort of your friends
and others that feel like they would know about this.
Maybe like for me,
I have certain friends
that I feel like are really on top of music
and books and art
and things like that and film.
And like I'll go to them and say,
"Hey, what's a good book that you've read lately?"
Or, "What's a new band that you like
that you think that I might like?"
Another big influence is the situation.
Certainly, there's certain goods or services
that we consume based on the time of day.
I have coffee in the morning.
And then also sort of the time of year
that there's certain things that we tend to buy
for holidays, for birthdays,
there's certain things that are bought more
during finals week
than maybe during the first week of the semester.
And very seasonal too,
things we tend to buy in the summer
as opposed to in the winter.
So we'll talk a more about B2B,
about selling to other big businesses
later on when we do place.
But some businesses
or many don't sell to consumers,
they sell to another business.
It might be that you sell to a store,
a retailer, a manufacturer.
Some people sell to government agencies.
Some people sell to UVM.
And in many cases,
it's things like raw materials,
something that they would buy
that they do something with,
and then resell.
So a salsa maker needs tomatoes.
A computer manufacturer needs micro processors.
Car manufacturers need car parts.
Restaurants need plates and forks; many examples.
So to get into sort of their brand awareness set,
so instead of buying, trying to sell
to a lot of individual customers,
now you're trying to sell to buyers
for certain businesses.
And you wanna be clear about how do you create value?
How are you better than what they're already buying?
Might be in price, in the specs, delivery, performance.
But you really have to make a case
of why is yours better?
Why should they change what they do
and why should they try yours?
And that's the end of part two.
Please watch part three now, thanks.