Do you know why people choose your product? Or you're just happy it happens? Or they don't choose your product, and you don't know why? Below is a simple way to find out.
Benefits of knowing why they buyIt's crucial to know why your clients choose your product to:
- Craft a performing value proposition (know your USPs in the eyes of your customers)
- Invest into the most performing marketing channels (know how your clients get to know your product)
- Know your strong characteristics comparing to your competitors (invest more into strengths rather than weaknesses)
- Learn how your customers make purchasing decisions (and how you can influence those)
How could I know why clients choose my product?You ask them. Preferably - in person, but phone would do. When should you ask? Two the most relevant events are:
PurchaseWhen a client just bought your product. "Just" might be literally immediately after the purchase or in a reasonable time when client still might remember the purchase process.
CancellationWhen a customer resigned from your product. That might be a direct cancellation or client just stopped using your product, didn't renew the contract and so on. Similarly to purchase - you should talk to your customer in a reasonable timeframe after the cancellation event, so a person has chances to remember the context around the decision.
How should I ask?In product management, there is a concept of the "Win/Loss" interview. Best applicable for B2B sales, but could be applied with success in various types of business. "Win/Loss" focuses on a purchasing process. It helps you to understand how your target clients think before purchasing a product. You could do "Win/Loss" interviews with both customers who selected your product and those who chosen a different solution. Your competitor's clients are your clients!
"Win" interviewsYou do a "win" interview with your active clients. Those who currently use your product. Your goal is to find out:
- How your customers did learn about you?
- Their decision making (purchasing process)?
- How do you compare to your competitors?
Examples of a "win" interview questions
- How did you know, if at all, about our company and product?
- Before our engagement, what was your perception of our products and services?
- What informational tools did you use for your consideration?
- What solution were you previously using?
- As you began the selection of a new solution, what were you originally looking for (your needs, issues, etc.)?
- What was the final ranking of the solutions considered?
- Where were we the strongest/weakest during the overall evaluation process?
- Would you recommend our solution to others?
How do I recruit clients to interview?Those are your customers, right? They expressed their interest in your product very clearly by purchasing it. Even if your product is free - it still costs your clients time and attention. Those are quite evident indicators of value your clients are getting or expecting to get from your product. You most likely have a way to contact your customers. Do so. Ask them for a 30-45 min. interview.
How about an incentive?Up to you. With an incentive - you'll recruit interviewees faster. Without - also would do, just may take a bit more time. Types of incentive are plenty: discount on a product price, preferable support or plan upgrade. There are always classics such as gift certificates, free lunches or company merchandise.
How do I know why clients abandoned my product?
"Loss" interviewYou do a "loss" interview with clients who just abandoned you. Stopped to use your product, canceled your service. You also can do a "loss" interview with clients who were considering your solution but finally decided to go with another one. Your goal is to find out:
- Why have they canceled?
- What was their experience using your product?
- Where did they go? (what solution do they use now?)
Examples of a "loss" interview questions
- What was the reason to cancel our solution?
- When have you made the decision to cancel?
- What did/didn't you like about our solution?
- How do you solve the problem after canceling our solution?
- What do you like the most about your new solution?
In a case of a "loss" during a solution selection process, your goal is to find out same things as with a "win" interview. You may use the same questions as well.