Download Know Your Customers and Their Needs

Finding Your Market Using Indiana
MarketMaker
Dr. Maria Marshall
Department of Agricultural Economics
What Is Marketing
• The process of creating and delivering
desired goods and services to
customers
• Involves all of the activities associated
with winning and retaining loyal
customers
Marketing
• Secrets to successful marketing
– Understand target customers’ needs,
demands, and wants.
– Offer products that will satisfy those needs,
demands, and wants.
– Provide customers with quality, service,
convenience, and value.
Linking Seller and Buyer
• The seller’s four Ps
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Product
Price
Place
Promotion
• The buyer’s four Cs
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Customer benefit
Customer cost
Convenience
Communication
What is a market?
• A market is the set of all actual and
potential buyers of a product.
• Consumer interest is not enough to
define a market.
What is Your Market?
• Consider:
– Market Definition
– Market Trends
– Market Type
– Product Knowledge
– Sales Area
– Early Responses
– Market Penetration
Understanding Your Market
• Who are our customers and what
do they want?
• Who are our competitors and
what do they bring?
Defining Your Customer
• What are the characteristics of your
customers?
• Where will they come from?
• What is their income range?
• Why will they be your customer?
• What do they require from you to
remain your customer?
Benefits
• Value Benefits
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Quality
Delivery
Service
Technology
Personalization
Shopping ease
• Cost Benefits
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Lower costs
Scale savings
Scope savings
Learning
Organizational
practices
Quick Competitor Analysis
Customer
Seeks
Quality
Exclusivity
Lower Prices
Delivery
….
Competition
Offers
You Offer
Customer Perceptions and
Demand
• Customer perception is a major external
factor affecting price.
• Value is the difference between perceived
benefits and perceived price.
• Analyze customers’ perception of the total
price—including shipping and any other
additional or hidden costs—as well as
perceptions of the product’s benefits.
Customer Perception and Demand
Creating Value
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Milk quality
Yogurt maker
Equipment
Quality of people
Unique products
Price
Location
Facilities
Unique services
Others?
Communicating Value
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Advertising
Sales team
Customer list
Physical facility
Awards
•Reputation/image
• Newsletters
• Tastings
• Special events
• Others?
Customer Perception and Demand
• Customers are less sensitive to a product’s
price when they:
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Are unaware of or can’t easily compare substitutes
Are unaware of the price of substitutes
Perceive the product to be highly differentiated
Would incur costs or difficulties in switching
Perceive that the quality or prestige justifies the
price
– Are spending a relatively insignificant amount or
are sharing the cost
Finding Your Target Market
Using MarketMaker
Indiana MarketMaker
Prepared by Maria Marshall
Department of Agricultural Economics
Partner Sites
Online Now
• Illinois
• Kentucky
• Ohio
• Michigan
• Iowa
• Georgia
• Nebraska
• New York
• Mississippi
In Progress
• Colorado
• South Carolina
• District of Columbia
Who should use MarketMaker?
• Direct sellers researching
buyers
• Buyers looking for specific
products from farmers
• Traders on the Internet
• On-farm retailers
• Farmers selling to
restaurants
• Farmers selling to food
processors
Farmer
• Farmers looking for other
farmers to partner with
• Restaurant chefs looking for
product
• Institutional buyers looking
for local product
• Farmers selling specialty
processed foods
• Community Supported
Agriculture
• U-pick operations
Consumer
Producer Perspective
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Find consumers
Find processors
Find restaurants and specialty stores
Find farmers markets
Food Entrepreneur Perspective
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Find farmer
Find processor
Find consumer
Find retailer
Consumer perspective
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Find farmers
Find farmers’ markets
Find restaurants
Find specialty stores and markets
USING INDIANA MARKETMAKER
From the Producer or Food Entrepreneur Perspective
Finding Consumers
• Find a Market
– Household type
– Married couples with young children
– In Indiana—statewide
• Map it
– Should see households per census tract
– The darker the color the higher the
concentration of households per census tract
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Finding Consumers
• Zoom in
– Closer look at consumers around
Indianapolis
– Draw a block around Indianapolis
• Find Business
– Farmers market
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Finding Consumers
• Identify (button)
– Will provide businesses listed within clicked
area
– Census tract information such as
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Population
Household type
Race
Household income
Percent of college graduates
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Map it
Purdue University is an Equal Opportunity/Equal Access institution.
Detail
Purdue University is an Equal Opportunity/Equal Access institution.
Find a Market
• Hispanic households with income $50k$99K
• Near Gary area
• Find a meat market in that area
– Click: Find Business
– Click: Food Retailer
– Click: Meat and Fish Market
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
USING INDIANA MARKETMAKER
From the Consumer Perspective
Find a Business
• Farmer
– Produces dairy
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Find a Business
• Winery
– Indiana wineries
– Native varietals
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Find A business
• You live in Vincennes and want to know where the
nearest farmers markets are to buy products for
your restaurant.
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Find Business
Multistate: Indiana, Illinois and Kentucky
Map all
Block off the area near Vincennes
View results
• Provides a list of the farmers markets in the blocked off
area.
• Can map individual farmers market
• Can view detail on individual farmers market
Other MarketMaker areas
Buy & Sell Forum
Case Studies
Resources
Buyer & Sell Forum
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Looking to buy products
Looking to sell products
Looking to provide processing services
Looking to provide transportation for ag
products
Purdue University is an Equal Opportunity/Equal Access institution.
Case Studies
• Example: Increasing Manufacturing Output
– Ingrid want to use MarketMaker to learn how to
locate all the manufacturers that will do contract
canning of jellies, sometimes called co-packers.
• Step by step instructions
– From the begin search database, select Find a
Business
– Select Processor
– Select Fruit and Vegetables
– Select State, click Search
Resources
• Fact Sheets and Publications
• Related Web-sites
• Glossary
– A list of MarketMaker and Industry terms
• Profile glossary of census definitions such as
census tract, age, household, foreign born
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
Purdue University is an Equal Opportunity/Equal Access institution.
www.inmarketmaker.com