ch 6

what is the share of the market?

the portion of the market realistically reached

What does an end user profile consist of?

1. Demographics- basic info 2. Psychographics- describes psychological attributes (attitudes, value, or fears) of your target end users 3. Proxy product- gives you an idea about what else the user is likely to buy 4. Watering holes- places where users meet and swap information 5. Day in the life-creating a real life story to connect to your user 6.biggest fears and motivators

how does one successfully cross the chasm?

1. create the entire product first 2. position the product 3. distribute the product through the right channels

What is the difference between a customer and a consumer?

a customer buys the product while the customer uses it

What are the type of customers?

end user - who will actually use the product influencer recommenders- who evaluate your product and tell the public about it economic buyer- who have the ability to approve large scale purchases decision makers-

All five categories of customers in the adoption life cycle will adopt the new innovation

false

______ refers to the people who compete for customers in the marketplace

supply

What is supply and demand?

supply refers to the sellers who compete for customers in the market place, while demand implies the prospective customer desire for the goods and services available

_______ personas save you time and resources by identifying the people who will not buy the new product

exclusionary

the only definition of the market is the place where people sell goods

false

What are buyer personas?

profiles or representations of your ideal customers based on information and market research . has background, lifestyle, challenges, and values

what type of customer is a mother who buys her son a toy train she noticed at the grocery store

purchaser

what is a product application?

refers to the goods or services created to meet this demand, thereby providing a solution to a customer problem

When analyzing the market, entrepreneurs need to go for it and not worry about if the numbers are wrong

false

Companies group customers into specific groups to gain _____ about who might buy their product

insight

What are sources for data from customers?

website analytics, direct contact, social media

Market sizing is

a method of estimating the number of potential customers and possible revenue or profitability of a product or service

What is a market?

a place where people can sell goods and services (the supply) to people who wish to buy those goods and services (the demand)

The technology _____ life cycle is a model describing the process of acceptance of new innovation over time.

adoption

customer segments are part of _______.

customer groupings of a market

What is the visual representation that captures the customer experience across multiple touchpoints of the entrepreneur's business?

customer journey map

Current buyer's decisions occur without _______.

seller input

How do you calculate market size?

1. define your segment of the market. 2. conduct a top-down analysis which involves determining the total market and then estimating your share of the market . it includes demographic data 3. conduct a bottom-up analysis which involves estimating potential sales using calculations in order to arrive at total sales figure. this requires more effort and it delivers more accurate results

what three factors define a beachhead market?

1. the customers in that market buy similar products 2. those customer have similar expectations of value 3. the customers use word of mouth to communicate to others in similar regions or professional organizations

The customer segment defined by who they are is ______.

demographic

what is a market opportunity?

identifiable by the degree of customer or market demand for a specific product application

In traditional marketing, the most viable customer segment is ________.

identified

A(n) ______ is someone who uses status to promote a product without necessarily using it himself

influencer

Which category of customers tends not to buy the new innovation?

laggards

What is the method of estimating the number of potential customers and possible profitability?

market sizing

what is main street?

the moment when your product has proven to be successful in the market and has been widely adopted but there is still work to be done . this is when the late majority customers come in .

What are three subgroups of the market?

TAM: Total available market which refers to the total market demand for a product or service SAM: Serviceable available market which is the section of the TAM that your product or service intends to target SOM: Share of market which is the portion of the SAM that your company is realistically likely to reach

In order to cross the chasm after the beachhead market is identified, the entrepreneur should ______.

position the product distribute the product through the correct channels

How are customer segments defined?

who are they? demographics where are they? location how do they behave? behavioral or lifestyle habits what are their needs?

What does being in the tornado mean?

your product is in high demand and your business is experiencing growth . this is when early majority customers come in