What are the 3 tiers of noncustomers?
Three Tiers of Noncustomers
| Customers of your industry. | |
|---|---|
| 1 | “Soon-to-be” noncustomers who are on the edge of your market waiting to jump ship. |
| 2 | “Refusing” noncustomers who consciously choose against your market. |
| 3 | “Unexplored” noncustomers who are in markets distant from yours. |
Who are non customers in the context of blue ocean strategy?
One of the first steps of the blue ocean shift process is to identify the demand that exists beyond your industry. These are your noncustomers: buyers that don’t buy into your industry, product or service yet. The notion of noncustomers – anyone who is not a customer – is broad.
What are non customers called?
: a person who is not a customer … it’s not unusual for banks like Chase to charge noncustomers to cash checks.—
What are the principles of blue ocean strategy?
Such a strategy follows the sequence of utility, price, cost, and adoption. The remaining two principles address the execution risks of Blue Ocean Strategy.
What is the four actions framework?
The four action framework points out four key actions to take into account to refine existing products. Those are: raise, reduce, eliminate, and create. To plot the available consumer products in a marketplace against the company’s ability to provide value and thus be competitive over time.
What is the ERRC grid?
The Eliminate-Reduce-Raise-Create (ERRC) Grid is an essential tool of blue ocean strategy developed by Chan Kim and Renée Mauborgne. It is a simple matrix like tool that drives companies to focus simultaneously on eliminating and reducing, as well as raising and creating while unlocking a new blue ocean.
Why do many firms fail to successfully implement a blue ocean strategy?
Why do many firms fail to successfully implemet a blue ocean strategy? Because they end up being “stuck in the middle” unable to increase value and lower cost at the same time. a product becomes commoditized, and the focus of the competition shifts to price.
Why is it called blue ocean strategy?
A blue ocean is an analogy to describe the wider, deeper potential to be found in unexplored market space. A blue ocean is vast, deep, and powerful in terms of profitable growth.
What are blue ocean strategy tools?
Chan Kim and Renée Mauborgne’s Strategy Canvas is a central diagnostic tool and an action framework that graphically captures, in one simple picture, the current strategic landscape and the future prospects for an organization.
What is customer tier?
Customer tier programs segment customers by their actual or potential prof- itability (Zeithaml et al. For example, a company might divide its customers into “Platinum,” “Gold,” “Silver,” and “Bronze” segments or “tiers,” and treat customers in each tier differently.
What are the four steps in visualizing strategy?
The Four Steps of Visualizing Strategy set out by Kim and Mauborgne (2002) emphasised on the four visuals; Visual Awakening, Visual Exploration, Visual Strategy Fair and Visual Communication.
What are the major issues in strategy implementation?
The five most common challenges in executing a strategic plan are:
- Poor goal setting.
- Lack of alignment.
- Inability to track progress.
- People not connected to the strategy.
- No measurements or leading indicators.
How to identify your 3 tiers of non-customers?
A tool that can be helpful in creating blue oceans is examining the three tiers of non-customers (in fundraising, think of non-donors ). The first tier is comprised of potential customers who are closest to your current market or donor base.
Why are there three tiers of noncustomers?
W. Chan Kim and Renée Mauborgne created the three tiers of noncustomers. Typically, to grow their share of a market, companies strive to retain and expand their existing customer base.
What’s the difference between a customer and a noncustomer?
Typically, to grow their share of a market, companies strive to retain and expand their existing customer base. Customers of your industry. “Soon-to-be” noncustomers who are on the edge of your market waiting to jump ship. “Refusing” noncustomers who consciously choose against your market.
How are the three tiers of intervention work?
The Three Tier Pyramid as a Outline of Levels of Intervention Intensity Tier 3: Intensive, Individual Interventions >High intensity 5% >Long duration seen as having severe problems Tier 2: Targeted Group Interventions 15% >Moderate Intensity seen as students at-risk >Short term Tier 1: Core Interventions