TiVo in 2002 analyzes consumer behavior and the TiVo DVR market. It describes the market stimuli of products, price, distribution, communication and other factors influencing consumers. It then examines consumer psychology around motivation, perception, learning and memory. Finally, it outlines the buying decision process and post-purchase behavior, highlighting problems like slow growth and financial losses as well as proposed solutions.

1. TiVo in 2002 : Consumer Behavior
– CASE ANALYSIS

2. Market
Stimuli
•Products and
Services
•Price
•Distribution
•Communicati
on
Other
Stimuli
•Economic
•Technologic
al
•Political
•Cultural
Consumer
Psychology
•Motivation
•Perception
•Learning
•Memory
Consumer
Characteristic
s
•Cultural
•Social
•Personal
Buying
Decision
Process
•Problem
recognition
•Information
Research
•Evaluation of
alternatives
•Purchase
decision
•Post-
purchase
behavior
Purchase
Decision•Product
choice
•Brand
choice
•Dealer
choice
•Purchase
amount
•Purchase
Timing
•Payment
method

3. Stimuli
Products and Services
• Standalone Blackbox
oSatellite TV
oCable TV
• Two-Tuner System
• Series 2
Price
$12.95 per month
bundled for PVR +
DirectTV
Distribution
Retailers: Best Buy
Communication
• Advertisements
• Gaps in
communication
while creating buzz
and awareness
Technological
• ‘Pauseplay’
•‘Trickplay’
• Statusbar

4. Consumer Psychology
Motivation
• Watch anytime
o Kids
o Social Gathering
• Content filtering
• Replay live events
Perception
Meant for
• Gadget freaks
• Upper middle
class and rich
Memory
• User logs(Perceived
Negatively)
Communication
• Advertisements
• Gaps in
communication
while creating buzz
and awareness
Technological
• ‘Pauseplay’
•‘Trickplay’
• Statusbar

5. Consumer Characteristics
Cultural
• Nuclear Families
• Working households
• Habits governed by
TV viewing
Social
• Marital Status
• Age
• Education
• Income
Personal
• Activities
• Interests

6. Buying Decision Process
Problem Recognition
• Consumer missing TV
Programs due to busy
Schedule.
• Dependent on TV schedule
• Content filtering
• Absence of online channels
Alternatives
• Satellite TV
• Cable TV
• Replay TV
Purchase Decision
• Easy to use
• Flexibility
• Positive word of
mouth
• Product Features
• Price
Post Purchase
Behavior
• Satisfaction level
• Evangelism
• Subscription renewal

7. Problems
•Slow start
•Disparity between survey report & Actual Growth
•Financial Problems – Overall Net Loss
•Narrow Profile of Subscribers
•Pricing
•Perceived risk of new entrants

8. Proposed Solutions
• Survey target should also include non-buyers
• Product diversification / penetration
• Free Trials
• Referral Bonus
• Collaboration with Sports Café