Blue Ocean Strategy - Three Tiers of Noncustomers

Blue Ocean Strategy - Three Tiers of Noncustomers

There are three tiers of non-customers that can be transformed into customers. They differ in their relative distance from your market:
1. Non-customers that are closest to your market. They sit on the edge of the market. They are buyers who minimally purchase an industry's offering out of necessity but are mentally noncustomers of the industry. They are waiting to jump ship and leave the industry as soon as the opportunity presents itself. However, if offered a leap in value, not only would they stay, but also their frequency of purchases would multiply, unlocking enormous latent demand.
2. Non-customers who refuse to use your industry's offerings. These are buyers who have seen your industry's offerings as an option to fulfill their needs but have voted against them.
3. Non-customers who are farthest from your market. They are noncustomers who have never thought of your market's offerings as an option. By focusing on key commonalities across these non-customers and existing customers, companies can understand how to pull them into their new market.
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