DEMAND FIT or CONTEXT FIT?

4 Top advice that will surprise you!

 

THE IMPORTANCE OF THE CONTEXT

The biggest mistake that most businesses without strategy background make, is to want to generate sales from general profiling. In actual fact, the user you may profiled, can act or react differently within different contexts situations!

For example MOMS.

Moms usually ask recommendations from other moms regarding ALMOST anything in daily life, BUT in the context of previous child experience, experienced moms will ALWAYS act according to their previous experience and not to other mom’s recommendation.

 

If you are going to sell a new product to moms - the value of “moms market” that you thought, will be ~50% less in reality, because of ~50% experienced moms different behavior.

PERSONA

We all know the Harry Potter series​​​​​​​, the most successful fiction series of all time. But we could have almost missed it.

 

In 1996, eight children's literature editors in London received the first chapters of the Harry Potter story. Children’s literature is a loaded book market, so the first seven didn’t think that they had read something new or a potential bestseller. The 8th editor, Barry, believed that if seven colleagues had rejected the draft, he should also make a similar decision. The only difference was that Barry usually gave his eight-year-old daughter, the new drafts of children's literature to read. And in this case, too, the draft reached her. To Barry's surprise, his daughter was so excited by the reading, that she begged her father to get the rest of the chapters to read. For her, it was the most fascinating story she had ever read. Identifying your KEY user can make all the difference with your product!

For the founders of the photo editing software, this discovery helped them modify a better match to increase demand from 1.5% to 40$!


PERCEPTION

The more decisions the user can make within the business context, the less demand it will bring to the business

BUT before you start to think your product value isn’t good enough,

maybe, there can be a better potential user to purchase your current product?

 

For example, Founders of a ‘MAC’ photo editing software wanted to understand why their marketing communication isn’t working well on their users. They identified their demand as- photographers.

Mapping the decision making process  of photographers' context behavior (of choosing a new product), made them found that only 30% have a MAC computer and there is 4 decision making before purchasing. The percentage demand rate for this user dropped to a range of 1.5%-30%. Instead of fixing the barrier and adapting the software to more computers, they looked again on the behavior road map and found new potential user- MAC users community- with 2 decision-making behavior, that can convert 40%-100%! 

 

By identifying the user decision behavior roadmap, they discovered  NEW user, that was a game-changer for the product demand!

PLATFORM

Once you understand the number of decision-making behavior of your KEY user, you can identify the KEY touchpoint that will affect the most, to increase conversion. 

This identification can change your marketing costs dramatically because you will know where to aim.

Most marketers don’t know where to aim their marketing budget for max ROI.

 

In 2012, I launched a new B2C product for Israel’s moms. I searched and discovered that new moms and experienced moms make different product decisions and that new moms 100% acts according to other moms advise. Instead of planning 360 marketing activities, I was defining only ONE KEY product opportunity to invest my budget on - building a new mom online community. This identification helped maximize product demand to 12% market share and reduced 80% budget costs

 

AUTHOR


Rinat Keinan

Senior Marketing Manager, Author, Entrepreneur, and Founder at The PIPELINE Tools. 

Rinat Keinan holds an M.Des in industrial design and has 12 years of experience in the field as a Marketing Manager for global leading brands with high achievement awards for business & strategy success, in various marketing positions.

Her pipeline guide was highly evaluated by a worldwide leading feminine 1 million entrepreneurs organization as “essential read for the idea generators- wanting to transform their idea into reality”

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