From product to customer orientation by using an innovative way for customer segmentation
Excellent products or services are the basis for a sustainable business success but they no longer suffice for the future competition.
For many years the goal of strategy development has been to achieve a sustainable advantage compared to the competition within an industry. Hence, the focus of strategic thinking was on the own industry and the related competitors. This led very often to copying the competitors and completely losing sight of the customers.
It is about understanding what is really important to single customers and to translate this knowledge into highly attractive, customer specific Value Propositions. The main question is: How can I bond the customer with an attractive and specific offering and make it difficult for the competition to access the customer?
Four steps to an attractive Value Proposition
Illustration: Map for Customer Segmenation
Clear advantages through Innovative Customer Segmentation and unique Value Propositions
The Innovative Customer Segmentation offers a new way to view customers, competitors and the own strategic positioning. By dealing with the specific needs of your potential customers and the following characterization and segmentation you will be able to work out unique Value Propositions that will create unique selling propositions for your company.
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*References: Kaplan Robert S./Norton David P.: Strategy Maps, 2004, p. 37; Hax, Arnoldo: The Delta Model, 2010, p. 76; Treacy, Michael/Wiersema, Fred: The Discipline of Market Leaders, 1995, p. 45