Customer Behavior Modeling Can Drive Business Growth
As you discover value-generating behaviors that you want to encourage, you should also consider value-destroying behaviors, those you want to discourage. Both can create value for your business.
Once you’ve recognized value-generating behaviors, you can start to identify the behavior sequence that leads to them (for example, before creating value by purchasing, a customer might first read a brochure you mailed them, and then call your call center for more information.) And sometimes, there are multiple value-creating behaviors in a chain (i.e., customers must first "purchase" and "use the product regularly" before they can "reorder"). Below is a sample chain that shows how behaviors in a chain can create cost, provide value, or do neither.
Step 2: Identifying Customers Types and Motivations
If you want to influence someone's behavior, it's enormously helpful to know something about them. Say you’re a travel agent trying to offer a great deal on a trip to New York City. It would be helpful to know that the customer you're selling to loves the arts but doesn’t care about sports. That would inform which aspects of a trip to New York City you would emphasize and which you would gloss over, thus increasing your chance of making the sale.
So how well do you know your customers? What are their goals or their fears? What unmet needs do they have in their life? What do they think of you, or have they even heard of you? If so, why do they buy or not buy your products?