WEBVTT 1 00:00:02.130 --> 00:00:07.130 Hello and welcome to Video Lecture two 2 00:00:07.920 --> 00:00:11.340 for customers and competitors. 3 00:00:11.340 --> 00:00:14.490 And in this one, we're gonna talk more about customers. 4 00:00:14.490 --> 00:00:17.253 In part three, we're gonna focus on competitors. 5 00:00:19.170 --> 00:00:20.880 So the first set of influences, 6 00:00:20.880 --> 00:00:24.240 so we're gonna think about what are the influences 7 00:00:24.240 --> 00:00:26.850 that sort of drive 8 00:00:26.850 --> 00:00:28.650 what will person buy, 9 00:00:28.650 --> 00:00:29.910 what will someone want, 10 00:00:29.910 --> 00:00:32.370 what will someone need? 11 00:00:32.370 --> 00:00:35.880 What will they look for when they make a purchase? 12 00:00:35.880 --> 00:00:38.250 And we're gonna start with these three. 13 00:00:38.250 --> 00:00:41.580 And then, there's another set that we'll do later on 14 00:00:41.580 --> 00:00:42.990 in this lecture. 15 00:00:42.990 --> 00:00:47.310 So we're gonna think about psychological ones first 16 00:00:47.310 --> 00:00:50.643 and think personality, lifestyle, and involvement. 17 00:00:53.130 --> 00:00:54.720 So this is a model 18 00:00:54.720 --> 00:00:59.250 about the five factors of personality. 19 00:00:59.250 --> 00:01:04.250 And sometimes, it's used the OCEAN or the CANOE 20 00:01:04.740 --> 00:01:09.740 as the word that starts with each of those letters. 21 00:01:10.560 --> 00:01:14.610 And on the next slide, we'll go into a bit more depth, 22 00:01:14.610 --> 00:01:18.030 but think about how would someone 23 00:01:18.030 --> 00:01:20.130 with these types of attributes, 24 00:01:20.130 --> 00:01:23.220 so we're gonna sort of contrast them, 25 00:01:23.220 --> 00:01:24.210 what would they buy? 26 00:01:24.210 --> 00:01:26.280 What sort of things will they want? 27 00:01:26.280 --> 00:01:29.580 What sort of things will they tend to buy? 28 00:01:29.580 --> 00:01:32.493 Which kind of things might they avoid? 29 00:01:35.190 --> 00:01:39.483 So again, you can call it CANOE or OCEAN. 30 00:01:40.500 --> 00:01:45.030 But think about somebody who is conscientious, 31 00:01:45.030 --> 00:01:46.650 who's very careful, 32 00:01:46.650 --> 00:01:48.570 who's very disciplined, 33 00:01:48.570 --> 00:01:53.460 or versus someone who's more impulsive or disorganized. 34 00:01:53.460 --> 00:01:55.410 How might that drive 35 00:01:55.410 --> 00:01:59.040 what they buy, how they buy, et cetera? 36 00:01:59.040 --> 00:02:03.360 Agreeableness, someone who is suspicious 37 00:02:03.360 --> 00:02:07.743 and uncooperative versus someone who's trusting and helpful. 38 00:02:08.580 --> 00:02:10.320 And as for neuroticism, 39 00:02:10.320 --> 00:02:12.540 someone who's calm and confident 40 00:02:12.540 --> 00:02:17.323 versus anxious or pessimistic. 41 00:02:18.750 --> 00:02:20.370 So down the road, 42 00:02:20.370 --> 00:02:22.890 when we do promotion, 43 00:02:22.890 --> 00:02:26.160 we're gonna think about the role of fear and how much, 44 00:02:26.160 --> 00:02:28.710 there's a lot of fear based advertising out there 45 00:02:28.710 --> 00:02:33.710 and this might play to someone in this category. 46 00:02:36.180 --> 00:02:38.280 Next is openness, 47 00:02:38.280 --> 00:02:41.670 who experiences, do they like to try new things? 48 00:02:41.670 --> 00:02:43.534 Are they spontaneous? 49 00:02:43.534 --> 00:02:46.020 Or do they like to just do what they do, 50 00:02:46.020 --> 00:02:47.010 they know what they want, 51 00:02:47.010 --> 00:02:48.693 they sort of stay in their lane? 52 00:02:50.108 --> 00:02:51.030 And next is the difference 53 00:02:51.030 --> 00:02:55.050 between extroversion versus introversion. 54 00:02:55.050 --> 00:02:59.040 Do they like to go out and socialize and see others? 55 00:02:59.040 --> 00:03:01.734 Or if they have free time, 56 00:03:01.734 --> 00:03:04.533 they just rather be by themselves? 57 00:03:05.400 --> 00:03:08.032 So think about how would folks 58 00:03:08.032 --> 00:03:11.400 in each of these categories, 59 00:03:11.400 --> 00:03:13.710 what kinds of things would they tend to buy? 60 00:03:13.710 --> 00:03:15.720 What kind of things would they not buy? 61 00:03:15.720 --> 00:03:18.120 The ones at the polls 62 00:03:18.120 --> 00:03:21.780 or sort of that are more on one side of each of these 63 00:03:21.780 --> 00:03:22.953 than the other? 64 00:03:26.460 --> 00:03:30.570 A lot of it will be the lifestyle. 65 00:03:30.570 --> 00:03:33.660 And it really is a driver of how do they spend 66 00:03:33.660 --> 00:03:37.710 their resources, not only time, but my money 67 00:03:37.710 --> 00:03:41.220 and what do they value and how do they behave? 68 00:03:41.220 --> 00:03:44.370 So we can think of there's a great term 69 00:03:44.370 --> 00:03:47.700 that we'll learn more about, psychographics, 70 00:03:47.700 --> 00:03:52.290 which is sort of the measure of someone's psychology. 71 00:03:52.290 --> 00:03:57.290 Demographics is the measurement of someone as a person, 72 00:03:57.600 --> 00:04:00.090 like their age, their gender, 73 00:04:00.090 --> 00:04:01.560 things like that, 74 00:04:01.560 --> 00:04:03.630 race, ethnicity, religion. 75 00:04:03.630 --> 00:04:08.630 Psychographic measures more their how they think, 76 00:04:09.450 --> 00:04:11.010 what are their attitudes, 77 00:04:11.010 --> 00:04:12.330 what are their values, 78 00:04:12.330 --> 00:04:14.100 what are their opinions, 79 00:04:14.100 --> 00:04:17.313 and how does that drive what they buy? 80 00:04:21.540 --> 00:04:25.530 Another big factor is involvement and it really, 81 00:04:25.530 --> 00:04:30.430 and how much time is the consumer going to take 82 00:04:31.920 --> 00:04:35.223 when they're thinking about what are my options? 83 00:04:36.540 --> 00:04:40.830 So here you can see sort of three Tiers of this. 84 00:04:42.870 --> 00:04:45.780 There's certain times when someone will really spend 85 00:04:45.780 --> 00:04:48.510 a lot of time, do a lot of research, 86 00:04:48.510 --> 00:04:53.040 weigh options, be very sort of careful and meticulous. 87 00:04:53.040 --> 00:04:55.830 There's times when they'll spend less time. 88 00:04:55.830 --> 00:04:57.150 They'll still spend some time, 89 00:04:57.150 --> 00:04:59.970 but yeah, it doesn't matter that much. 90 00:04:59.970 --> 00:05:02.190 And then, there's the routine 91 00:05:02.190 --> 00:05:04.920 where you just buy the same thing every time 92 00:05:04.920 --> 00:05:06.810 that you really like a brand, 93 00:05:06.810 --> 00:05:09.402 you run out of shampoo 94 00:05:09.402 --> 00:05:11.980 and you just go buy the same one 95 00:05:11.980 --> 00:05:15.390 because you like it and it does well. 96 00:05:15.390 --> 00:05:20.390 So think about, and we'll talk more about what drives this, 97 00:05:21.550 --> 00:05:24.510 what are some of the factors 98 00:05:24.510 --> 00:05:27.030 that would drive extended? 99 00:05:27.030 --> 00:05:29.340 When would someone spend a lot of time 100 00:05:29.340 --> 00:05:30.990 and effort and research 101 00:05:30.990 --> 00:05:34.800 versus when do they just not really give it 102 00:05:34.800 --> 00:05:36.063 any thought at all? 103 00:05:39.960 --> 00:05:43.020 One interesting shortcut is when thinking 104 00:05:43.020 --> 00:05:47.370 about what to buy organic versus not? 105 00:05:47.370 --> 00:05:51.697 And here's a list that came out in 2023 106 00:05:53.040 --> 00:05:56.550 of foods that tend to have a lot 107 00:05:56.550 --> 00:05:59.810 of pesticide residue 108 00:05:59.810 --> 00:06:02.010 versus those that don't. 109 00:06:02.010 --> 00:06:05.122 So it might be that a consumer would use this 110 00:06:05.122 --> 00:06:08.640 and think about, "Hmm, the Dirty Dozen, 111 00:06:08.640 --> 00:06:12.450 I better buy organic for these 112 00:06:12.450 --> 00:06:14.940 versus the clean ones 113 00:06:14.940 --> 00:06:16.833 where it may matter less, 114 00:06:18.210 --> 00:06:21.897 if they have pesticides or not." 115 00:06:24.870 --> 00:06:28.260 The next set is sociocultural 116 00:06:28.260 --> 00:06:30.573 and situational influences. 117 00:06:32.970 --> 00:06:35.310 And we can think about these four, 118 00:06:35.310 --> 00:06:38.910 which we will on each of the next four slides. 119 00:06:38.910 --> 00:06:42.060 Their demographic, their culture, their reference group, 120 00:06:42.060 --> 00:06:43.983 and then personal influence. 121 00:06:46.620 --> 00:06:49.128 Demographics, as I said, 122 00:06:49.128 --> 00:06:52.264 so democracy is the rule of the people. 123 00:06:52.264 --> 00:06:55.550 Demographics is measurement of you 124 00:06:55.550 --> 00:06:57.979 and me as a person: 125 00:06:57.979 --> 00:07:00.180 our age, gender, income, 126 00:07:00.180 --> 00:07:03.023 our race, religion, occupation, 127 00:07:03.023 --> 00:07:07.230 marital status, gender, gender identity, 128 00:07:07.230 --> 00:07:09.210 lots of things like that. 129 00:07:09.210 --> 00:07:13.260 And you can think about how here's a few 130 00:07:13.260 --> 00:07:15.243 and the other ones I named. 131 00:07:17.370 --> 00:07:21.359 Not to stereotype or say that all people of a certain age 132 00:07:21.359 --> 00:07:24.420 or a certain gender or a certain race 133 00:07:24.420 --> 00:07:26.310 always buy the same things 134 00:07:26.310 --> 00:07:28.440 because certainly that's not true. 135 00:07:28.440 --> 00:07:30.720 But there may be patterns 136 00:07:30.720 --> 00:07:34.960 that someone older as opposed to younger, 137 00:07:36.180 --> 00:07:37.560 someone higher income 138 00:07:37.560 --> 00:07:40.830 as opposed to lower income might buy. 139 00:07:40.830 --> 00:07:44.130 And that could give you some insights 140 00:07:44.130 --> 00:07:48.810 on understanding who will buy your product 141 00:07:48.810 --> 00:07:50.493 or service and why. 142 00:07:54.780 --> 00:07:59.010 Another important one is the culture and the subculture. 143 00:07:59.010 --> 00:08:02.940 So when we think about the culture, their values, 144 00:08:02.940 --> 00:08:05.400 custom, ideas and attitudes, 145 00:08:05.400 --> 00:08:08.490 what are the behaviors and norms 146 00:08:08.490 --> 00:08:12.660 of the culture in which you are in? 147 00:08:12.660 --> 00:08:16.590 And thinking about what are some of the cultural norms 148 00:08:16.590 --> 00:08:18.990 here at UVM? 149 00:08:18.990 --> 00:08:22.500 What are some of the behaviors? 150 00:08:22.500 --> 00:08:23.940 What are some of the beliefs? 151 00:08:23.940 --> 00:08:26.613 What are some of the attitudes that you see here? 152 00:08:27.870 --> 00:08:30.300 Again, not too stereotype 153 00:08:30.300 --> 00:08:33.720 'cause certainly not all UVM students 154 00:08:33.720 --> 00:08:37.110 and other community members are the same. 155 00:08:37.110 --> 00:08:40.740 But there's certain values 156 00:08:40.740 --> 00:08:44.261 and ideas and behaviors 157 00:08:44.261 --> 00:08:46.950 that are more common here 158 00:08:46.950 --> 00:08:51.000 and would lead to someone buying 159 00:08:51.000 --> 00:08:54.000 some product or service 160 00:08:54.000 --> 00:08:55.893 more likely than not. 161 00:08:59.670 --> 00:09:03.690 Another influence is the reference groups. 162 00:09:03.690 --> 00:09:06.123 What do the folks like me do? 163 00:09:09.393 --> 00:09:14.393 What sort of the norm and behavior that if you go, 164 00:09:14.610 --> 00:09:17.340 if you're a Penn State football fan like me 165 00:09:17.340 --> 00:09:21.030 and you go to the game, you'll probably wear blue and white. 166 00:09:21.030 --> 00:09:22.980 If you go to a UVM game, 167 00:09:22.980 --> 00:09:24.723 you'll wear green and gold. 168 00:09:26.310 --> 00:09:29.910 And three types of groups that you can consider, 169 00:09:29.910 --> 00:09:31.920 first are the membership group. 170 00:09:31.920 --> 00:09:33.755 Who am I, my peers, 171 00:09:33.755 --> 00:09:36.960 folks like me, what do they like? 172 00:09:36.960 --> 00:09:39.150 Next is the aspirational group. 173 00:09:39.150 --> 00:09:41.692 Well, I wish I was more like them. 174 00:09:41.692 --> 00:09:44.856 They're cool, I wish I were cool too. 175 00:09:44.856 --> 00:09:46.260 What do they like? 176 00:09:46.260 --> 00:09:48.180 And then the dissociative group, 177 00:09:48.180 --> 00:09:50.190 like those folks, I don't like them. 178 00:09:50.190 --> 00:09:52.800 I don't want to be like them. 179 00:09:52.800 --> 00:09:54.120 What are they doing 180 00:09:54.120 --> 00:09:58.110 and how does that influence what you might buy? 181 00:09:58.110 --> 00:10:00.900 What sort of goods or services 182 00:10:00.900 --> 00:10:01.900 that you would want? 183 00:10:05.970 --> 00:10:09.780 We're seeing more and more on social media, 184 00:10:09.780 --> 00:10:14.780 the effect of opinion leadership and influencers. 185 00:10:15.720 --> 00:10:19.210 So folks that sort of are known for having 186 00:10:20.340 --> 00:10:21.840 a specific taste 187 00:10:21.840 --> 00:10:26.310 or a specific style or fashion 188 00:10:26.310 --> 00:10:28.170 in various types. 189 00:10:28.170 --> 00:10:29.760 It can be almost anything: 190 00:10:29.760 --> 00:10:33.870 music, art, film, vacation, 191 00:10:33.870 --> 00:10:37.740 fashion, clothing, lots of things like this. 192 00:10:37.740 --> 00:10:41.640 So who influences? 193 00:10:41.640 --> 00:10:46.640 Who might influence your product or this? 194 00:10:46.890 --> 00:10:50.760 Who's knowledgeable about this, who's known about that? 195 00:10:50.760 --> 00:10:52.920 How can you get your product 196 00:10:52.920 --> 00:10:55.170 or service into their hands? 197 00:10:55.170 --> 00:10:58.650 How could you get them to try it and talk about it 198 00:10:58.650 --> 00:11:02.340 and sort of influence on your behalf? 199 00:11:02.340 --> 00:11:04.290 And it might be to somebody famous, 200 00:11:04.290 --> 00:11:06.480 but it might, if you start small, 201 00:11:06.480 --> 00:11:08.434 it just be my sort of your friends 202 00:11:08.434 --> 00:11:13.083 and others that feel like they would know about this. 203 00:11:13.980 --> 00:11:16.200 Maybe like for me, 204 00:11:16.200 --> 00:11:17.520 I have certain friends 205 00:11:17.520 --> 00:11:22.470 that I feel like are really on top of music 206 00:11:22.470 --> 00:11:24.870 and books and art 207 00:11:24.870 --> 00:11:26.490 and things like that and film. 208 00:11:26.490 --> 00:11:29.647 And like I'll go to them and say, 209 00:11:29.647 --> 00:11:32.388 "Hey, what's a good book that you've read lately?" 210 00:11:32.388 --> 00:11:35.370 Or, "What's a new band that you like 211 00:11:35.370 --> 00:11:37.497 that you think that I might like?" 212 00:11:40.650 --> 00:11:43.710 Another big influence is the situation. 213 00:11:43.710 --> 00:11:46.410 Certainly, there's certain goods or services 214 00:11:46.410 --> 00:11:50.640 that we consume based on the time of day. 215 00:11:50.640 --> 00:11:55.640 I have coffee in the morning. 216 00:11:58.391 --> 00:12:02.370 And then also sort of the time of year 217 00:12:02.370 --> 00:12:05.550 that there's certain things that we tend to buy 218 00:12:05.550 --> 00:12:07.920 for holidays, for birthdays, 219 00:12:07.920 --> 00:12:09.750 there's certain things that are bought more 220 00:12:09.750 --> 00:12:11.340 during finals week 221 00:12:11.340 --> 00:12:15.810 than maybe during the first week of the semester. 222 00:12:15.810 --> 00:12:17.633 And very seasonal too, 223 00:12:17.633 --> 00:12:20.502 things we tend to buy in the summer 224 00:12:20.502 --> 00:12:23.643 as opposed to in the winter. 225 00:12:28.530 --> 00:12:30.923 So we'll talk a more about B2B, 226 00:12:30.923 --> 00:12:33.870 about selling to other big businesses 227 00:12:33.870 --> 00:12:36.360 later on when we do place. 228 00:12:36.360 --> 00:12:38.760 But some businesses 229 00:12:38.760 --> 00:12:41.760 or many don't sell to consumers, 230 00:12:41.760 --> 00:12:43.620 they sell to another business. 231 00:12:43.620 --> 00:12:46.260 It might be that you sell to a store, 232 00:12:46.260 --> 00:12:48.600 a retailer, a manufacturer. 233 00:12:48.600 --> 00:12:51.150 Some people sell to government agencies. 234 00:12:51.150 --> 00:12:52.687 Some people sell to UVM. 235 00:12:57.690 --> 00:13:00.390 And in many cases, 236 00:13:00.390 --> 00:13:03.330 it's things like raw materials, 237 00:13:03.330 --> 00:13:05.700 something that they would buy 238 00:13:05.700 --> 00:13:07.350 that they do something with, 239 00:13:07.350 --> 00:13:08.370 and then resell. 240 00:13:08.370 --> 00:13:11.700 So a salsa maker needs tomatoes. 241 00:13:11.700 --> 00:13:16.520 A computer manufacturer needs micro processors. 242 00:13:19.890 --> 00:13:22.983 Car manufacturers need car parts. 243 00:13:24.539 --> 00:13:29.539 Restaurants need plates and forks; many examples. 244 00:13:34.080 --> 00:13:39.080 So to get into sort of their brand awareness set, 245 00:13:39.540 --> 00:13:42.870 so instead of buying, trying to sell 246 00:13:42.870 --> 00:13:46.950 to a lot of individual customers, 247 00:13:46.950 --> 00:13:50.220 now you're trying to sell to buyers 248 00:13:50.220 --> 00:13:55.220 for certain businesses. 249 00:13:55.350 --> 00:13:59.430 And you wanna be clear about how do you create value? 250 00:13:59.430 --> 00:14:02.520 How are you better than what they're already buying? 251 00:14:02.520 --> 00:14:07.520 Might be in price, in the specs, delivery, performance. 252 00:14:08.130 --> 00:14:10.530 But you really have to make a case 253 00:14:10.530 --> 00:14:11.910 of why is yours better? 254 00:14:11.910 --> 00:14:14.910 Why should they change what they do 255 00:14:14.910 --> 00:14:17.403 and why should they try yours? 256 00:14:19.590 --> 00:14:21.153 And that's the end of part two. 257 00:14:22.530 --> 00:14:25.143 Please watch part three now, thanks.