What do you carry – Low End, High End, or Knockoff Purses?

During my fourteenth birthday, I received a gift marking my entrance to womanhood – a Nine West black leather purse. Prior to that point in my life, I never imagined carrying a purse with me to any event. By the end of my undergraduate studies, I had acquired over 20 purses, all different colors and textures, always neatly stacked on my bookshelf. Just watching my collection of handbags gave me deep satisfaction and I always looked for opportunities to increase this collection. Some were low end brands bought at Target, while others were slightly higher end like Liz Claiborne and BCBG. Occasionally, I would run into students who would carry purses that would cost me my entire foot – LV, Coach, or Channel. I always wondered if these purses were real or knockoffs. Could students really afford such high end purses without any financial stability? Why would they prefer a designer purse over a Nine West purse? Is the image portrayed by carrying these expensive purses really worth the money?

Once I graduated from college and had a steady source of income, I ventured out of my normal shopping habits of buying value merchandize to buying brand name clothes and accessories. During my one month stay in South Korea, I came across several street vendors selling knockoff handbags. At first, I was hesitant to buy the knockoff purses as they felt cheap and were covered with logos of the brand they were supposed to mimic. To me, theses handbags screamed out the name of the high end designer in order to grab attention of the passing by customers. I inferred that the users of such handbags would carry such an item to falsely enhance their overall image in an ill-suited fashion. I also assumed that the users of knockoff brands would probably carry these purses in settings that wouldn't fit the arena of those consumers who carry the real thing. However, the myriads of vendors selling these handbags successfully tempted me to buy one of these fake purses. After much negotiation using sign languages and broken Korean, I ended up with a fake LV cylindrical shaped purse. I used it once back in the U.S and realized the LV logo had not been correctly mimicked, ending any further use of it. Within the next week, I went to Macy's store to buy a much needed pair of shoes, and somehow returned with a high end Coach purse with the C symbol all over it. The feeling invoked from using this purse consisted of pride, joy, increased self-esteem, resulting in a more positive self image. How could a single purse invoke such feelings in me? I am new in this arena and hope to explore it further.

There are several questions that cross my mind when I think of the handbag industry and the different types of personas who make up the consumer market segment. In general, what is the psychological factor behind a woman's decision of buying a type of purse and how does availability of knockoff brand purses change her decision? Why do some women not care about brand name handbags while others do? Are there women who use designer handbags exclusively? What prevents them from switching over to using low end purses that have equally good quality? Will consumers willingly buy knockoffs designer purses if others couldn't tell the difference between the two? Will females who have brand loyalty stick to paying exuberant amount of money for the real thing even when they can get a cheaper version? How much importance does she give to the type of purse she carries and on what occasions does she use the high end handbags?

I found an article in the London newspaper with research data showing that on average women own around 17 handbags at a time. One in five women says that handbags are the most important item in their wardrobe. Also, half of the research participant admitted getting jealous of watching other women carry handbags that they wanted themselves [3]. Another article implied counterfeit market for designer handbags are on the rise, especially in New York. You can easily find counterfeit products on Fifth Avenue sidewalks [1]. For women who want the real thing but can't afford it, there is the option of renting the real designer bag online from websites like FromBagsToRiches.com and BagBorrowOrSteal.com. The chairman of FBTR believes that it is not about ownership of the bags but the experience women get from carrying designer bags. "Women feel empowered" from carrying such bags [2]. This empowerment may stem from women's desire to replicate the celebrity culture.

It will be interesting to research the different persona type making the female customer segment of the handbag industry. I am looking forward to gaining deeper understanding of the forces driving females to buy low-end, knock-off, or designer handbags.

References:

1. ERIC, D. (2004, November 23). The Handbag? Total Knockoff. The Price Tag? All Too Real. New York Times, p. 1. Retrieved from Academic Search Complete database.

2. Maria, P. (n.d). Can't afford that high-end handbag?. USA Today, Retrieved from Academic Search Complete database

3. "A lifetime of handbags? That's [pounds sterling]4,000." Daily Mail [London, England] 27 Feb. 2010: 3. InfoTrac Newspapers. Web. 2 Mar. 2010

What Do Customers Really Want?

Different researchers have come up with different techniques for finding the true needs of the consumers, all based on their experience and theories. So, which one is my favorite method for researching a customer's need? It might be best to start with a description of some of the existing research methods and draw upon those methodologies to create my own.

The first article talks about the importance of first impression and how it can dictate the acceptance of a new product into a consumer's life. The true benefit and services provided by a product is heavily overshadowed by how one perceives it in the first few seconds. A product away from the norm may not be given the extra minute needed to comprehend the true benefit it may bring to the consumer. The author gives example of Herman Miller's Aeron chair, or the chair of death, a new design made with minimum fabric using mesh design focused on long lasting comfort. The prototype was aesthetically so different that the test consumers did not appreciate its true beauty. Regardless of the response from the test group, Herman released the Aeron with support of major advertising. The Aeron chair became the best selling chair in the company's history. This proves the author's point that first impression can be misleading. The outgoing customers took the risk of trying this newly designed chair, and could thoroughly experience the comfort it provided.

Even though first impression can be misleading and may not reveal the true potential of the product, not all product launches will be so successful. Consumers are fickle minded and may choose to ignore the highest quality product based on their past experience and mental models. In the second article, Zaltman talks about the ZEMET technique for better understanding consumers mind. The goal here is to find common ideas or concepts shared by the consumers when talking about a product or a potential product. Then a consensus map is created combining all construct together with adjoining lines, which is then shared with all the consumers to ensure it captures all the requirements they suggested should be used to describe the product usefulness. Given our thoughts occur as images, and that most of our social communication is non-verbal, using images to answer questions directed at finding these base requirements seems logical. However, if the test group does not have diverse backgrounds, the resulting findings will be biased to a particular region, or culture, or age group. Different part of the country or world has advanced at different pace technologically and socially, and may use completely different images to communicate the similar feelings and emotions. How then do the general pool of participant find common construct. What if the experiment misses on a key element that should describe a requirement just because different people have different images associated with that experience? For example, I think of coffee as something adults drink but don't appreciate the smell. My mental image recalls coffee smell in not so positive light. I know of friends who associate coffee with getting body jitters, and probably have a mental image closely associated to it. Now, we also have a majority of consumers, who love the coffee smell and probably have calming and soothing mental images associated with it. If you were to pick a coffee lover, and old Indian grandmother, and a little kid for your experiment, I believe the mental image of the feelings associated with drinking coffee will vary drastically. The key characteristic shared by the majority of the coffee drinker – that of freshness, morning, energy – maybe completely lost.

The last article by Ulwick about usage of customer input for innovation is the ideal method for performing research using small number of participants. The danger lies in asking biased question or subconsciously leading the participants into responding into existing assumptions by the experimenter. Directing the consumers to define the requirements and not the solutions will require us to first differentiate between the two. We also need the creativity to build upon the requirements laid out by the customers and come up with unique and innovative product instead of building upon products that already exists. Knowing when the customers will appreciate the out-of-box approach and when they will feel overwhelmed by the changes brought on by the innovative idea is difficult to predict. This will require base knowledge of how customers currently use the product which will require some research on the experimenter's part. The first hand research will allow us to feel the consumer's response as well as quantify the satisfaction they receive from the current or innovative product.

My persona

Ever since I went back to school again, time management has taken priority over other aspects of life. I take a twenty minute bus ride via the Express Bus every morning wondering if I should move closer to campus. I feel the rush as I chase after the bus in my car, overtake it at a left turn, beat it to the next bust stop, and park. I feel victorious as I hop in the bus, fully awake at this point, welcomed by the bus driver’s knowing smile. I did chase him for a block. I try to time myself perfectly so I don’t waste time standing at the bus stop.

Not staying closer to campus has its ups and downs. On the up side, I live in a beautiful neighborhood, overlooking a canyon, surrounded by trees. I love being away from the hustle-bustle of the town, enjoying the quiet, serene view from my balcony. My two cats love the view as well and enjoy the sunset from the balcony with me. The modest Arboretum shops are just minutes away, and the Domain’s high end shops are a short drive away. I still remember my rushed holiday shopping two days before my flight. I looked like a mad woman on a rampage as I went to ten different stores in two hours, and managed to buy thoughtful gifts for nine different family members (extended family included). Again, the satisfaction of using my time wisely, especially when it comes to shopping for others, left me warm and fuzzy. However, I have more to me than just cramming as many things as possible in an hour slot. After finishing my chores, I like to relax and read novels, especially the thick ones. Dan Brown’s Lost Symbol is waiting patiently on my bookshelf for its turn to be read.

I prefer researching the latest technological gadgets over shopping aimlessly for clothes or accessories. It took me merely two months after starting my first job out of college to order a Plasma TV online. My car, however, was financed before I even started work. I went to every possible car dealer and test drove several different types of car before making my choice. I wanted an affordable car that had high horsepower with a sporty look, and I landed with a Scion TC. When it comes to shopping for clothes, I like to walk through the entire store looking for outfits or accessories that catch my eyes. If I can’t see the outfit I want during my first scan, I like to move on. If I find the dress, and the dress won’t leave me totally penniless, I will definitely buy it. However, I avoid placing myself in such situations by avoiding shopping until absolutely necessary. I also like to regularly give away old clothes in order to keep my closet light. This also applies to my entire apartment. I can go on a rampage and throw/donate everything I deem useless and messy.

I haven’t gotten in a habit of watching a show every week and I don’t believe in investing in a DVR while financially burdened by school. Instead, I subscribe to Netflix. Though the 2 day wait for receiving a movie in the mail is painful, I meantime enjoy the shows that can be watched via direct stream. I like to watch comedies and romantic movies. I am eager to watch the next Valentine’s Day movie coming out in less than two weeks.

Hello World

I am very excited about my Customer Insight class and the fact that it involves blogging.