Once you have understood who your target customers are likely to be, you can begin to innovate your offerings and customer experience around their target behaviours. So, what are target behaviours I hear you ask?
Target behaviours are things you want your customers to do in order to experience your product or service to understand it's value. Look back at your customer profiles and consider how and when they are likely to engage in these target behaviours.
The biggest challenge businesses face is tackling the indecision of the customer.
Indecision is a psychological trait that most customers are affected by and you’ll need to work those target behaviours if you want to win them over. I like to use the 20/60/20 rule to summarise most target behaviours at this stage. If you are unfamiliar with the rule, it roughly applies itself as;
- 20% of the people will immediately be on board with whatever you are selling
- 60% of the people can be influenced one way or the other depending on future interactions
- 20% of the people will immediately be opposed to whatever you are selling
What we really care about here is the 60% - those potential customers who want you to convince them of a purchase in one shape or form.
Freemium works best when you have a product and/or service that has a lot of depth or hidden value and simply showing or explaining the product to the user just isn’t a strong enough conversion proposition - people gain this through their future interactions with your product/service.
The freemium model removes the initial cost of trialling this to the user - often seen as a huge barrier to conversion. Freemium models also help build a solid user base which helps with the virality/confidence other users will build with your product.