By Steven S. Posavac
Jam-packed with stable, actionable details and recommendation, this targeted guide makes a speciality of how wisdom of the foundations of customer psychology can be utilized to enhance managerial choice making and organizational functionality.
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Additional info for Cracking the Code: Leveraging Consumer Psychology to Drive Profitability
The reason for this outcome is that the experts’ knowledge is entrenched in existing domains and therefore is less flexible when being transferred to other domains. When the product at hand is only incrementally new (thus stays within the product category in which consumers have significant prior knowledge) then expertise helps increase comprehension, appreciation, and preference. When consumers have high prior knowledge in the base domain, they often incorrectly generalize from that knowledge and assume they know how to use the RNP properly (Wood and Lynch 2002).
2002). Conclusion The first and perhaps most important role of marketing with respect to RNPs is to build awareness for the product. It has been consistently shown that awareness is essential for the success of an RNP (Sorescu, Chandy, and Prabhu 2003; Montaguti et al. 2002). As a general rule, adoption will occur when a perceived relative advantage of an innovation is seen to outweigh any adoption hurdles (Montaguti et al. 2002). , related to switching technologies and price of the RNP) and cognitive costs (learning).
Currently, multiple cup holders have become a basic feature in virtually all new cars. There are several advantages to the classification of customer requirements following Kano’s framework. First, product requirements and needs are better understood and the focus of marketers and engineers should be on the features that are directly related to satisfaction. A related advantage is that this classification sets clear priorities in product development. For example, it is not very useful to improve must-have requirements if they are already at a satisfactory level.