Whenever I’ve been struggling with implementing a new system, I’m always delighted to discover that someone else working on the same problem has a helpful angle.

The Phelon Group has published a white paper on the Customer Heirarchy of Needs (pdf) that clarified a marketing problem that’s really been vexing me. When promoting events, my teammates keep hammering on me to focus purely on the ‘what’s in it for me’ issue with the prospect. They say that should be the ONLY message, and that’s been bothering me. It doesn’t FIT my perception of how the customers are behaving.

In this white paper, The Phelon Group propose that we see our customers as going through a similar heirarchy of needs as Maslow proposed for people, you know, from physical needs to social needs to self-actualization, etc. Now Phelon is a consulting firm focused on the information technology field, so I’m going to adapt their descriptions to be a little more general.

1. First, customers need a ‘product that works’ or a service that reliably solves the initial problem that sent them into the marketplace.
2. Next, since it’s an imperfect world, they need rapid and reliable support in using the product or service, on resolving issues that may be caused by product failure or incorrect application of the product. They need help.
3. After they believe they are getting the first two items, that’s when the ‘customer relationship’ can really begin. A sense of trust and belonging start to build. They see the supplier as someone who understands them, and they are willing to communicate more and help increase the benefits of using the product or service.
4. "Recognition and expanding horizons" is how Phelan describes the next need being met. This point is where the testimonials can be solicited, where customers appreciate recognition, and a customer community starts to appear.
5. Finally, the customer and supplier can enter a true partnership where they both have benefits and the customer will actually start looking out for the supplier.

These ideas are not new, but arranging them into a heirarchy helps me see how in a diverse customer base you may have people at different need levels who need different messages. Whew!

Thanks to Seth Godin for pointing me to this paper in his blog.