Assessment tool 2 – BSBCUS402A : Address customer needs
1. Explain in your own words why it is so important to properly match customer needs with the product/service offered by an organisation?
Excluding Monopolies and Oligopolies, markets have competition amongst a number of different organisations all looking to sell their product or service to customers. When competition is present these organisation's must have a sound knowledge of the needs and concerns of the people they are looking to sell to. Assuming that these customers will buy whatever product is put to them based on buying history is reckless and ignorant of the changes the market is likely to experience. It is important for any business looking to sell a product to cater to the needs of the buyers or else risk losing them as customers to other organisations who have better suited their needs.
2. Describe the methods that can be used to determine customer needs?
Feedback from customers can take many forms and is the most appropriate method for determining whether or not their needs are being met, no organisation is able to accurately predict the behaviour of the buyer 100% of the time, as often unforeseen economic changes may occur. Market research studies into product development may show what products and services are required by customers but not yet available to them. Surveys/questionnaires and focus groups can be used to generate feedback on areas that require improvements such as the quality of service or product being provided.
3. Market research is not a one-off activity, it should be on-going. Explain?
Market research should be on-going so the varying needs of the market are able to be met. For instance, in the recent global financial crisis, demand would have slowed for many products and services. It is up to the organisation to conduct appropriate research into the changing needs of the customers in order to remain profitable and ensure continued business. Market...