Copyright July 2008 John R. Castle Benefits vs Features1... are not product Features Customer Needs

Copyright July 2008 John R. Castle

Benefits vs Features 1

. . . are not product Features

Customer Needs . . .



Product Features (what you do)

result in:

Benefits (what the customer gets)

which satisfy:

Needs (the reason the benefits are appreciated)



Maslow’s Heirarchy of Needs

5. Self Actualization/Fulfillment

4. Esteem/Ego/Self-respect3. Social/Love/Belonging2. Security/Safety1. Biological/Physiological



Typical Ideal Customer

Objective, rational,

measurable traits and

preferences

Subjective, emotional, personal reasons for

choosing



Bill, the EntrepreneurGourmet Pizza Restaurant

Worked in a popular gourmet pizza chain

Talked to lots of customers every night

Easy to gather a lot of data from exactly the people he wanted to attract to his restaurant.



Gourmet pizza restaurant customerDescription of the customer

Like dining out with my family

suit my families needs best

my children's taste buds aren't very developed

my wife is the most finicky eater on the planet.

don't want to feed my family junk food

married, have two children

average salary for a college educated American

work very hard for my money

value the power of the dollar

enjoy receiving promotional coupons



Gourmet pizza restaurant customer Personal features and values

…like dining out with my family

…suit my families needs best

my children's taste buds aren't very developed

my wife is the most finicky eater on the planet.

…don't want to feed my family junk food

married, have two children

average salary for a college educated American

work very hard for my money

values the power of the dollar

enjoy receiving promotional coupons



Gourmet pizza restaurant customer

Reasons for choosing a restaurant

Parking is a pain in the neck

I can't stand poor service

Quick service - kids get rowdy - pay the bill and go

relaxing atmosphere

other families and children around.

enjoy lively and upbeat music

After deciding what type of food we want…

Price and value are number one priorities

I will spend a little extra for quality food



Gourmet pizza restaurant customer

How they decide on a restaurant

Parking is a pain in the neck

I can't stand poor service

relaxing atmosphere

other families and children around.

Quick service - kids get rowdy - pay the bill and go

enjoy lively and upbeat music

I have a set of criteria I use when I dine out

Price and value are number one priorities

I will spend a little extra for quality food



In order of importance:

Value

Price

Promotions

Quality

Menu selection

Service

Parking availability

Ambiance

WHATTHEYSAY

HOW THEY

DECIDE



Selling to a Business

Needs of the Company

• Increase revenue and profit

• Decrease expenses

• Save time

• Reduce waste

• Improve communications



Selling to a Business

Personal Needs of the buyers

• Respect of coworkers

• Status in company

• Promotion

• Easier work

• More interesting job

• Learn new skills



Understand the needs of the individuals• What’s in it for them?

– Money– A promotion– More leisure time– Envy– Good will

It’s the emotional pull




result in:


which satisfy:




Features, not Benefits

• iPOD – music downloads

• Blackberry – mobile email

• IM and Texting – write to friends now

• MySpace – finding about people



Benefits, not Features

• iPOD – music, pictures that I chose

• Blackberry – mail from people I care about

• IM and Texting – messages to ME

• MySpace – telling people about ME




result in:


which satisfy:




Now tell us in one sentence :

“What does your company do?

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Copyright July 2008 John R. Castle Benefits vs Features1... are not product Features Customer Needs