Who is the customer?
- identify segments (segment size, growth rate, % of total market)
- compare current year metrics to historical metrics (look for trends)
What does each customer segment want? - identify keys needs
What price is each segment willing to pay? - determine price points and price elasticity/sensitivity
Distribution channel preference for each segment
Customer concentration and power* (does one customer control all the demand, the "Wal-Mart" effect)
Capabilities and expertise
Distribution channels ...view middle of the document...
g., is team organization in conflict with how customers want to do business.
Ex: We're organized by product line, but customers want one point of contact across all product lines)
Nature of product (think out loud about the product, it's benefits, why someone would buy it)
Commodity good or easily differentiable goods (could company increase differentiation)
Identify complimentary goods (can we piggy back off growth in compliments or near compliments?)
Identify substitutes* (are we vulnerable to indirect competitors namely substitutes?)
Determine product's lifecycle (new vs. almost obsolete)
Packaging (optional) - what's bundled, included (ex. Razor vs. razor blades, with w/o service contract... can
change in packaging make product more likely to meet needs of specific customer segments.)
Competitor Concentration* & Structure (monopoly, oligopoly, competitive, market share concetration)
Competitor behaviors (Target customer segments, products, pricing strategy, distribution strategy, brand loyalty)
Best practices (are they doing things we're not?)
Barriers to entry* (do we need to worry any new entrants to market)?
Supplier concentration* (optional: ex: Microsoft or Intel in PC Market... use full 5 forces if this is a likely issue)
Industry regulatory environment
Life-cycle of industry