19 November, 2013

1-1-18 value creation: Relative importance

So, you want to ask your customers about the previously mentioned economic values; what they value more?

And guess what would they say? They just want everything. On a scale form 1-10 you will just see 9s and 10s in all the values, and all that for 1 cent!

They are just soo irrational and unreasonable about this. While they enter any store and buy far less valuable things than they wish and they are so happy and content about it!!!
So where is the problem here?

We have talked how the environment has a major effect on how people act. In research environment, people don't have to make trade-offs. In stores they have to

So, we use the method of "Relative Importance" to get some realistic data from the customers:

-         Instead of asking them what they want, we give them set of choices and ask them: what do you want most, and what you care about least? That pushes them to make trade-offs
-         Best people to ask are your potential customers
-         Analyze your data: the simplest way is to give +1, -1 to the most, least valuable choices
-         So you will know what you should focus on to improve
Note that:

-         Don't say that: people will just refuse to be bothered by this. Actually people tend to be helpful and nice about such surveys. Find another excuse not to do that :)

-         The best practice is to ask them for 10 minutes or 20-30 choices in different sets (e.g. 5 questions each with 4 choices= 20 choices), which is earlier to be finished with