Business model marketing course 4


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Business model marketing course 4

  1. 1. advanced coursebusiness model marketing
  2. 2. session 4
  3. 3. last week...Distribution models, user models,(co) creation models, Googleassignment
  4. 4. this weekLong tail model, free as a businessmodel, business model design,customer segments, empathy map
  5. 5. getting deeper into it..
  6. 6. (1) the long tail model..  
  7. 7. link  
  8. 8. the long tail model..  Long  tail  models  are  about  selling  a  lower  volume  of  a  greater  amount  of  different  products.      The  long  tail  focuses  on  selling  a  large  amount  of  niche  products.      All  together  these  sales  are  equally  profitable  as  the  tradi?onal  model  which  makes  use  of  a  small  number  of  bestselling  products.    
  9. 9. 1. what products do you get for free? 2. what can you get for free online?3. what should be free (online)???
  10. 10. ‘free’ as a business model..  Free got started in the twentieth century by companiesgiving away something that spurred purchases of relatedgoods. Gillette razors is an example.Free in the bits economy, however, can be really Free.In 1996 the Village Voice became a free newspaper. Since itno longer charged, people perceived that it had a lesserquality. Another paper, The Onion, started Free and stayedFree, and is a much bigger success. This shows that ourfeelings about Free are relative, not absolute. (Chris Anderson)
  11. 11. ‘free’ as a business model..  At  places  like  Google,  new  services  start  with  ques?ons  like  “Would  it  be  cool?”,  “Do  people  want  it?”  or  “Does  it  use  technology  well?”  rather  than  “Will  it  make  money?”      In  Google’s  case,  they  first  invented  a  way  to  do  search  that  gets  beIer  as  the  Web  gets  bigger.  They  then  allowed  adver?sers  to  create  ads  that  matched  keywords  or  content  and  bid  against  each  other  for  the  most  prominent  posi?ons.  They  then  created  other  products  to  extend  their  reach  and  only  aIached  ads  when  it  made  sense.  (Chris  Anderson)
  12. 12. (2) the freemium model..  When  using  the  freemium  model  the  product  is  given  away  for  free.  A  beIer  version  of  the  product  is  only  accessible  aNer  buying  an  updated  version.  There  are  also  freemium  models  used  that  have  a  connec?on  with  annoying  adver?sing.  ANer  a  paid  update  you  don’t  get  this  adver?sing  anymore.        
  13. 13. ‘free’ as a business model..  In  the  FREE  business  model  at  least  one  substan?al  Customer  segment  is  able  to  con?nuously  benefit  from  a  free-­‐of-­‐charge  offer.  Different  paIerns  make  the  free  offer  possible.    Non-­‐paying  customers  are  financed  by  another  part  of  the  business  model  or  by  another  Customer  Segment.   (Business  model  genera?on)         (so..  who  IS  going  to  pay??)                      
  14. 14. business model design
  15. 15. business model design..-customer insights-ideation (what if-questions, brainstorming rules, silly cow exercise)-visual thinking-prototyping-storytelling-scenarios
  16. 16. customer insight:it all begins with the customer..
  17. 17. customer segments
  18. 18. wat wil een klantsegment...-lees het artikel ‘Voor 15 euroflirten met klassieke muziek..’-zoek alle punten op die jongerenblijkbaar als voorwaarde hebbenom naar naar het concertgebouwte gaan-hoe ziet de marketingmix er voordit jongerensegment er nu uit?
  19. 19. wat willen jongeren...-behoefte aan klassieke muziek-behoefte aan leeftijdsgenoten (sociaal aspect)-behoefte aan korte tijdsduur (1 uur max)-behoefte aan naborrelen/afterparty-behoefte aan extra beleving (projectiescherm,tekstinfo, rondleiding, meet&greet)-behoefte aan een scherpe prijs (15 euro/sprintplaats 10 euro
  20. 20. what do young people want?...-  Please describe at least 5 reasons why young people (age 20 till 30) don’t visit classic concerts at concert halls-  Please describe at least 5 ways that a concert hall can think of in order to get more young people (age 20 till 30) to visit a classic concert-  Please describe how the marketingmix of the concert hall would look like when aimed at young people
  21. 21. now let’s stick together..
  22. 22. •  Needs: –  For example a need for a basic element: food, clothing, shelter, safety –  “I need clothes otherwise I can’t go outside”•  Wants/wish: –  A wish is a specific way a need is fullfilled. –  “I need clothes and I want a coat”•  Demand: –  Demand are all the wishes where a consumer is willing to buy a product for. –  “I need clothes, I want a coat, I think I am going to buy a new black coat from Hugo Boss. Purchase of the product
  23. 23. So..•  Important: companies and marketeers don’t create needs.•  Hugo Boss for example doesn’t create the need for clothing, Hugo Boss tries to influence the demand for a particular sort of clothing•  Hugo Boss tries to influence the demand for luxury clothing by altering: image, fashion, price, availability, brand, experience, ect. MARKETING
  24. 24. customer needs•  Do customers buy their products consciously?•  Do customers even know what they want?•  Are customers aware of their (latent) needs?•  Do customers know what is technically possible?
  25. 25. what are the underlying needs of..?…buying  a  Makita  drilling  machine  ?    …buying  an  iPhone  5?    …buying  ?ckets  of  a  concert  of  Madonna?    
  26. 26. customer needsWhen one is doing customerresearch it is important toget a deeper insight inconsumer behavior. Not simplyasking customers whichproducts the miss..
  27. 27. empathy map
  28. 28. empathy map•  Profiling customer segments•  A better understanding of the environment, behavior, worries and aspirations of the segment.•  Check page 131 to find out how to use the ‘empathy map’
  29. 29. other points to start from.. (a side from customer driven)-resource driven(for example: eventlocaties)-offer driven(for example: Ikea)-finance driven(for example: Easyjet)-multiple epicenter driven
  30. 30. aan de slag..