The document discusses concepts related to differentiation strategy and customer value. It describes differentiation as distinguishing a product or offering to make it more attractive to a target market. It also discusses the 3V model of a value proposition, valued customer, and value network. The value proposition describes the quantifiable benefits an organization promises to deliver to customers. The document provides examples of how these concepts can be applied.

1. Leading through differentiation Copyright © Mark Т apley, 2009 Antonina Armashula Co-founder, Marketing Director Mark Tapley

2. INTRO . ABOUT ME Copyright © Mark Т apley, 2009

4. Copyright © Mark Т apley, 2009 INTRO. OUR CLIENTS

5. PORTER GENERIC STRATEGIES Copyright © Mark Т apley, 2009 Cost leadership Differentiation Market segmentation

7. 3V MODEL Copyright © Mark Т apley, 2009 Valued Customer Value Proposition Value Network London Business School, N.Kumar

8. 3V . VALUED CUSTOMER Copyright © Mark Т apley, 2009 Strategic segments that require changes in the company, not just marketing mix

10. VALUED CUSTOMER . EXAMPLE Basic Active Usage Green field Competitor #2 Influence Popular guy Friends Buyer Together with parents Self Payer Parents (60%) Parents (40%) Criteria Functional, Price limit Price to peers, Image 3 year position in segment Strong Weak Age 10-18 8-30 Town size Less than 20K More than 20K Idol Big city students ? Other comments Regional offers? Wallet share possibly bigger Heavy VAS users

12. 3V . VALUE PROPOSITION Copyright © Mark Т apley, 2009 Offer that describes the quantifiable benefits that individuals or organizations making an offer promise to deliver. Its development is based on a review and analysis of the benefits, costs and value that an organization can deliver to its customers.

13. Copyright © Mark Тapley, 2009 TO PUT IT SIMPLY PRODUCT + SERVICE + PRICE + ATMOSPHERE + SMILE + EMOTIONS … = EVERYTING THAT CLIENT RECEIVES WHEN MAKING A PURCHASE

14. EASYJET CASE

16. ATTRIBUTE ANALYSIS Important So-so Not Food Safety Connections Departure time Frequent flyer program Price Close to city Internet access Duty free …

18. Safety Punctuality Low price Comfort Convenience Frills Miles Destinations 1. __________________ 2. __________________ 3. __________________ 4. __________________ 5. __________________ 6. __________________ 7. __________________ 8. __________________ 9. __________________ 10. __________________ 1. __________________ 2. __________________ 4. __________________ 5. __________________ 6. __________________ 7. __________________ 8. _________________ 9. __________________ 10. __________________ – – High Med. Low Customer benefits Performance

22. EXAMPLE: XIAMETER

23. EXAMPLE: DJUICE DJUICE Player 2 Player 3

24. The share of a product increases when it is the intermediate option but decreases when it is an extreme option DIFFERENTIATION VS CANNIBALIZATION Tall Grande Venti

25. OPT-IN VS OPT-OUT

26. Value + Losses Value - Cash back is more valuable than a price reduction. PSYCHOLOGY AND COMMUNICATION $2,500 cash back

27. 3V. VALUE NETWORK Copyright © Mark Т apley, 2009 How to deliver our offer to our client at a profit

29. 100% shared with Kyivstar Separate & differentiated Music Games IVR Agents 100 UAH+ djuice GOAL VALUE NETWORK: EXAMPLE

31. СПАСИБО! www.marktapley.com