Customer and Market (Week 5) PDF

ENTREPRENEURIAL MINDSET TOPIC 4 AY2024-25 CUSTOMER AND MARKET (Week 5) MARKET TYPES FOUR MARKET TYPES You have identified a problem and defined it clearly How can you gauge the market's demand without incurring heavy marketing spend or using pricey tools? To estimate market d...

ENTREPRENEURIAL MINDSET TOPIC 4 AY2024-25 CUSTOMER AND MARKET (Week 5) MARKET TYPES FOUR MARKET TYPES You have identified a problem and defined it clearly How can you gauge the market's demand without incurring heavy marketing spend or using pricey tools? To estimate market demand you need to identify which kind of market is your start-up going to operate in. 3 MARKET TYPES In this market type: EXISTING MARKET Competitors exist Customers want and need better performance Technology is usually the driving factor The positioning is driven by the product and how When investors and much value customers place on its features entrepreneurs go after The risk is to think that competitors are dumb or too an existing market –the slow advantage is that there’s little or no market risk. There is no "chasm" that you need to fill. The chasm is the gap between early adopters and the mainstream customers in a market MARKET TYPES NEW MARKET In this market type: Customers do not exist in the present, so revenue generation takes years Market size is zero Customers need to be made aware of their needs Customers and their You must consider what factors can you create that preferences are unknown and direct competitors has never been offered are non-existent The chasm is biggest here because you will only be selling to the very early adopters MARKET TYPES RE-SEGMENTED / NICHE In this market type: MARKET Evaluate factors that your industry has long competed on and eliminate those The Re-segmented market is a Evaluate what factors can be reduced well below hybrid between a New market the industry standards and an Existing market in the sense that it is a New Market Evaluate what factors can be increased above the created from a small segment industry standards from an existing market. The features of this market type are: Evaluate what factors can be created that have never been offered Low cost New Niche MARKET TYPES CLONE MARKET In this market type: Adapts a foreign business model to a local condition In a Clone market, customers are known because you copied an existing (language, culture, import restrictions, and local market. It is called a Clone because, regulations) in this market type, you are going to localize all those specific issues for your country or region. That said, it takes a foreign business model and Needs a large number of customers, typically >100 adapts it to local conditions. There million are no competitors if you are the first one and the risk may be in misjudging the local needs MARKET SEGMENTATION Definition and 4 basic types of Market Segments The practice of dividing your target market into approachable groups. You create subsets of a market based on demographics, needs, priorities, common interests, and other psychographic or behavioral criteria used to better understand the target audience. 8 MARKET SEGMENTATION 9 FIND YOUR NICHE Niche marketing strategy focuses on a micro-segment of the market. Get better referrals More repeat business Less competition 10 FIND YOUR NICHE To find your Niche: Acquire focused knowledge about your market Develop a mental picture of your customers Understand what prompts customers to want to buy products/services 11 FIND YOUR NICHE 12 ESTIMATE YOUR MARKET SIZE After segmenting the market and finding niche 13 ESTIMATING YOUR MARKET SIZE 14 CUSTOMER PERSONA 15 CUSTOMER PERSONA Even within your niche you need to identify those who will adopt to your product first. Your Customer Persona must have : A Name A Face (can be fictional) Demography, Geography A Day In the Life (Highlights and Frustrations) Fears and Motivators Customer Persona Personality trait Personality trait Personality trait Motivations Goals Photo Frustrations Ethos Age: Occupation: Location: Bio Personality The aim is to collect the information about your ideal customer persona who are likely to buy your product or service. It will help you tailor the user experience through targeted design. CUSTOMER PERSONA - Assistant cook/ Food handler Diligent Resourceful Hardworking Goals Motivations Work as a cook in cruise ship after 2-years Stop being afraid of Pursue degree course on Culinary Arts what could go wrong and start being excited of what could go right. Randy Cruz Frustrations Scholar from Anihan Technical school On-the-job training in a prestigious restaurant in Manila after graduation did not push through. Was not able to pursue course in Culinary Arts since father, an OFW was laid-off from work due to Age (in years): 22 pandemic Gender: Male Profession: Assistant cook Location: Sto. Tomas, Batangas Bio Randy Cruz , Andoy for short hails from Bicol. He is a recipient of the Jollibee scholarship at the Anihan Personality Technical school located in Makiling , Laguna. He just graduated from his 2-year course when the pandemic struck and their school closed. Instead of going home to Bicol, he went with his friends to Batangas where he met Prof. Jinny Gonzalez. Creative, introvert The eldest of 3 children, he hopes to help with family expenses someday since his father is already old and their family just relies on farming for their source of livelihood. VALUE PROPOSITION CANVAS The Value Proposition Canvas helps you understand the customer and how your products and services create value. It has two sides. With the Customer Profile, you clarify your customer understanding. With the Value Map, you describe how you intend to create value for that customer. You achieve Fit between the two when one meets the other. 19 PAIN RELIEVERS SUB-SECTION What To Ask d. What will put an end to the difficulties and a. What will help your b. What will make your c. How can we make the challenges that your customer save more? customers feel better? solution more robust? customers encounter? g. What will limit or e. What will eliminate f. What will help your h. What will make eradicate common risks your customers’ customers sleep better customers adopt your mistakes that customers fear? at night? solution? make? 20 GAIN CREATORS SUB-SECTION What To Ask b. What will produce a. How can you create outcomes that your c. How can you copy or d. What will make your savings to make your customer expects or that outperform to delight customer’s job or life customers happy? go beyond their your customer? easier? expectations? h. What will produce e. What will create positive outcomes f. What else should you do matching your customers’ positive social g. How can you fulfill your to meet your customer success andfailure consequences that your customer’s dream? expectations? criteria? customer desires? i. What will make adoption easier? 21 Value Proposition Canvas. I would LOVE it if: →What do you offer that makes the customers happy? →? What would make the customer happy? →? What do the clients want when facing the problem? This refers to the feeling/action of customers before he gets in contact with your solution. What is the product or service that you are I would WANT: offering? GAIN CREATORS GAINS →What do the clients do (actions) when facing FIT the problem? PRODUCT/ SERVICE JOBS This refers to the feeling/action of customers before he gets in contact with your solution. PAIN KILLERS PAINS I would HATE it if: →Which features of your offering relieve the customer's pains? →What are the pains of the clients when facing the problem? This refers to the feeling/action of customers before he gets in contact with your solution. Demonstrate the fit between what you are offering and why people buy it. You must build on solution (products & service) that match their needs ( pains & gains). CUSTOMER – Food Handlers (Example) Place your PV logo here → What do you offer that makes the customers happy? I would LOVE it if: → Blended training delivery (online + face-to-face) → Flexible mode of training delivery → Trainer is registered microbiologista & author of → Expert/ best trainer textbook on food safety → Free consultancy after training → Post-training assistance from máster trainer and other SME’s from the team What is the product or service that you are offering? I would WANT: GAIN GAINS 1. Food safety and sanitation training CREATORS → Get trained compliant to Food Safety Act 2013 PRODUCT/ → Pass certification exam 2. Post-training assistance/ Consultancy JOBS SERVICE 3. Training hand-outs PAIN KILLERS PAINS I would HATE it if: → Training médium of instruction will be → Complicated trainings in tag-lish → Long –training hours → Training will be done in 2 sessions at 4-hour per session Solution Describe your Solution: List the Benefits of Your solutions We offer ………………………………………… 1. The details of our offering consist of: 2. 1. ………………………………. 2. ……………………………….. 3. 3. ……………………………….. 24 SOLUTION (Example) Description For micro and small food enterprises in the Southern Luzon area, we offer cost –effective training and re- training on “Food safety and Sanitation” in accordance with the Food Safety Act of 2013. This will help our customers save on cost while ensuring regulatory compliance. Currently the customers are addressing the problem with the owner training his staff, reading related books, subscribing to free online training and using the services of training institutions located in Manila or Quezon City, the nearest of which is in Muntinlupa. Our solution offers customers the benefit of cost , guidance on the preparation of manuals, assistance during the accreditation process, and discount on reference books. The details of our offering consist of: 1. 2 sessions at 4-hour each of training on Food Safety and Sanitation 2. Discount on reference textbook 3. Bundled training on customer service, accounting for non-accountants, e-commerce/ digital marketing 4. Free consultation on matters related to food safety and sanitation after completing the 8-hour course COMPETITION ANALYSIS 26 Competition Analysis Benefits Competitor 1 Competitor 2 Competitor 3 Competitor 4 Your Venture Product Price Branding channels Packaging Market reviews UVP (Unique Value Proposition) Add more as required Identify your competitors and examine the list of their offerings/benefits vs your product & service. Based on what the customers say as well as your research, you need to tabulate your findings. 27 COMPETITION ANALYSIS SSA Philippine Trade Training Center Food for Brain Webinar Our Company (SS Academy) (PTTC) Series – Library Brand is Global leader in Offers various Training Programs for Professional training program offered Training Programs backed by popular systems and services for brand Product Benefits different industries in different areas of at a low price, specifically designed international brand quality, standards management business operations for Food MSMEs and related risk management. Three-part course on understanding the 1. 2 4-hour session of training on requirements for the Philippine Food and Along with training, offers a Food safety and sanitation Drug Administration regulatory full range of food services from 2. Bundled training 3. Free Training programs on Health and Safety; requirements for License to Operate for Testing, consultancy after training4. Solution / Product Leadership and Management, Customer food processing establishments which assurance,compliance. Discounted textbook on Food Safety Service focuses on assisting the MSMEs in the auditing and certification 5. Assistance on Accreditation preparation of documentary requirements mostly in hotels 6. Guidance on Food safety manuals necessary in the acquisition of FDA- preparation License to Operate. 1. Master trainer is registered International name known for sytems, microbiologist and author of standard and testing ; Offers 5 delivery Global name with years of textbook on food safety UVP – Unique Value Proposition methods(online,virtual, onsite,online 16 Online Training Hours) + (45 Minute experience 2. Team is composed of SME's on pathway, bundle, One-on-One Consultation) + Free HR, customer service and Product Testing and Interpretation marketing 1. Php500 per training program or Food Safety Course at P16,000 (virtual) Php1,000 for full training course Price P2,900 up No data available Others at P6,000-12,000 2. With 10% for every 10 pax from same company Received 5 star-rating from clients Market Review Government training center, affordable Reliable SME's worldwide Competition Analysis Benefits Competitor 1 Competitor 2 Competitor 3 Competitor 4 Your Venture Product Price Branding channels Packaging Market reviews UVP (Unique Value Proposition) Add more as required Identify your competitors and examine the list of their offerings/benefits vs your product & service. Based on what the customers say as well as your research, you need to tabulate your findings. 29 Team Composition (Who are The Members of the Team?) Team member 1 Team member 2 Team member 3 Picture Picture Picture What makes us a good team to solve the problem we chose? Role/Position: Role/Position: Role/Position: CEO COO/CTO CFO/CMO Key Strengths and abilities Key Strengths and abilities Key Strengths and abilities : The goal is to demonstrate teams commitment. Mention who’s on your team, why them and their extremely relevant credentials Thank you