June 08, 2016

Loyal Buyers

Where do the most loyal buyers fall on our brand ecosystem image?

Average Prices, Product Category 04, and Subscriptions.

This business leverages a subscription model to cater to best customers, and that's how best customers purchase ... chicken and egg stuff. But product category 04 is where the magic happens.

So we've been able to establish the brand ecosystem.

The customer starts off buying from product category 02 via low prices and print ads. That's the primary customer acquisition channel for this brand ... not online, but via print ads.

Then, the customer leverages the internet to comparison shop for the best deals, ultimately purchasing online via discounts/promotions and buying multiple items.

As the customer becomes loyal, the customer branches out - in one direction to the catalog where high prices are the norm - or on a path to true loyalty via Flash Sales and most product categories (true product diversity), before eventually landing on average prices in product category 04 via a subscription-based model.

But make no mistake - this is a price / promotion centric brand. The ecosystem revolves around pricing games, and the pricing games change as the customer becomes ever more loyal.