why is problem solving important in marketing

7 Problem Solving Skills Marketing Managers Need & How to Improve Them

Updated: November 19, 2021

Published: November 03, 2021

Think back to a time you had to solve a problem but didn't have all of the right information. What did you do? Situations like this pop up all the time at work and put your problem solving skills to the test.

As a marketing manager, one may think your job doesn't revolve around problem solving. But it's an essential part of putting out fires at work — and making sure there's a process in place to prevent issues from happening again.

Whether you're making decisions that affect an entire team or simply creating solutions for yourself, strong problem solving skills can help you grow as a person and a professional.

In this post, we'll cover what it means to come up with creative solutions and how to hone the skills to approach problems like a pro.

What are problem solving skills?

Problem solving skills allow you to notice an issue, identify the root cause, design an effective solution, and successfully implement it. This includes the skills to evaluate whether or not your plan achieved the results you wanted.

The best problem solvers can anticipate problems before they arise and take action to prevent them or lessen the impact. They use logic to define what needs to change and creativity to propose innovative solutions.

Having strong problem solving skills can help you impress your manager, contribute unique ideas, and achieve your goals. It also means you can work through the core steps of solving a problem:

• Identify and define the problem.
• Come up with possible solutions.
• Evaluate the options.
• Choose the best solution.
• Implement the solution.
• Evaluate the outcome.

While there are many types of problem solving skills, many are considered soft skills that you develop over time. Think communication skills, people skills, social skills, and personality traits. For example, a marketing manager needs to be able to solve a conflict between team members or devise a plan to keep their campaigns going if the company marketing budget is cut.

While problem solving skills can require you to use your technical ability, you have to establish a number of specific soft skills to identify issues and implement solutions.

Problem Solving Skills Examples

No matter your career path, being an effective problem solver is beneficial for personal and career growth. Here's a look at the skills you may use when solving a problem:

• Communication
• Organization

Problem Solving Skills Marketing Managers Need

A marketing manager who notices issues and makes decisions to solve them is a valuable addition to any company. This type of person gets things done and motivates others to do the same.

The further you grow in your career, the more problem solving skills you need to have in your toolkit. The higher up you get in an organization, decisions become riskier, solutions are often more vague, and the potential impact can be monumental to the company.

Let's look at the top problem solving skills you need to be a successful marketing manager.

1. Analytical Skills

Solving any problem starts with analyzing the issue — you have to go beyond the symptoms of the problem to find the root cause.

Maybe your team is routinely going over budget on social campaign spend. Instead of micro-managing every detail, analytical skills help you dig into the problem to see what may be going wrong. You find that your social media coordinators can set up campaigns correctly, but they lack the basic budgeting skills to keep spending on track. So you devise a training program to teach them about profit, loss, and financial forecasting.

Being analytical can include a number of essential problem solving skills for marketers:

• Attention to detail
• Data collection
• Forecasting
• Fact-checking
• Historical analysis

2. Creativity

Once you discover the true problem, you can come up with the ideal solution. This is where you put your creative problem solving skills to the test. And for those who question whether creativity plays into solving problems, creativity is one of Indeed's top 20 in-demand skills for 2021 across all industries and fields.

Sometimes the solution to a problem is not always straight-forward, and can require creative thinking and other points of view to be resolved.

Creativity comes in many styles. Engineers can create innovative code, and writers can come up with new blog styles. For marketing managers, creativity plays out in a number of problem solving skills:

• Brainstorming
• Project design
• Project planning
• Editing the aesthetics of marketing materials
• Creating new promotional methods for products
• Planning and executing events

3. Judgment

With dozens of solutions before you, how do you choose the best one? Through exercising sound judgment. Developing good judgment lets you consider the nature of a problem, possible setbacks, costs and resources, decision makers, and how to implement a solution. You can compare between options and select the solution that's right for each unique situation.

As a marketing manager, you can showcase your judgment skills through:

• Critical thinking
• Decision-making
• Corroboration
• Test development
• Authenticity

4. Communication

Communication skills are the foundation of problem solving and one of the top leadership skills . As a manager, you need to be able to articulate your opinions, brainstorm with a colleague, and give feedback to a direct report. Being a good communicator also helps you relay your decision on a solution and align everyone to tackle it together.

Without specific problem solving communication skills, issues can't be resolved quickly and efficiently. That's why to be an effective leader and expert problem solver, it's important to make sure you have the following communication skills:

• Active listening
• Negotiation
• Clarity of expression
• Public speaking
• Reading body language
• Verbal communication
• Written communication
• Building rapport

5. Organization

Once you've chosen a solution to a problem and communicated it to your team, you still have to create a process to carry out your plan. Organization skills help you implement the steps everyone needs to take, which can improve alignment and efficiency.

Setting up a strategy for your solution uses a number of problem solving skills including:

• Prioritization
• Project management
• Time management
• Meeting facilitation
• Recording and filing information
• Creating strategic schedules

6. Teamwork

No marketing manager is an island. Teamwork is essential for working with others and contributing to a company's mission. It's necessary for exchanging ideas, delegating tasks, and working toward a solution.

Even if your role is largely independent work, you still need teamwork to collaborate with colleagues in different departments and keep your goals on track. But as a marketer, your role usually involves interacting with multiple people (if not dozens) per day. So you need to develop the skills that will make everyone want you on their team.

• Collaboration
• Giving and receiving feedback
• Goal setting
• Dependability
• Resource allocation
• Prioritizing tasks
• Setting expectations
• Assessing employee strengths and weaknesses
• Performance evaluation
• Identifying outcomes

7. Evaluation

When problem solving, evaluation skills let you assess if a solution is working and help you make the necessary adjustments. These are similar to analytical skills, but often require more patience and flexibility in case your strategy didn't go as planned. It's important to know whether or not your plan is working as quickly as possible so you can pivot and try another solution.

• Data analysis
• Adaptability
• Creating and evaluating surveys
• Customer feedback
• Follow-through
• Troubleshooting
• Identifying patterns
• Open mindedness

How to Improve Problem Solving Skills

Developing your problem solving skills isn't as straightforward as mastering Excel. But marketing managers can take several steps to improve their skills and advance their careers.

Question your decisions.

Relying on your gut instinct isn't the path to expert problem solving skills. Instead, try taking time to consciously question why you make decisions and what the outcomes may be if you choose one option over another. You can ask yourself:

• How important is this decision?
• How will this impact me a year from now?
• What’s the worst thing that could happen?
• What effect will this decision have on my team and the company?
• What can I do if I make the wrong decision here?

Look for opportunities to solve more problems.

Many experiences in your personal and professional life help you hone your problem solving skills, often without you even realizing it. You can gain or improve your skills by doing any of the following:

• Figuring out a technical problem with your phone or computer.
• Taking up a DIY project you've never tried before.
• Resolving a customer or employee complaint.
• Organizing a team bonding activity, overcoming obstacles along the way.
• Acting as a mentor for direct reports and helping them tackle their problems.
• Re-budgeting your finances to fund an out-of-the-blue trip.
• Finding out why there's been a dip in activity on your company's social media channels.

Find models and games to improve your problem solving skills.

A combination of proven models and fun mental games can help you develop problem solving skills. Some can hone your decision-making abilities, while others let you determine the cost of the possible solutions. Depending on which set of skills you want to improve, look to options like:

• 5 Whys (root cause analysis)
• Fishbone diagram (cause and effect analysis)
• Brainwriting (brainstorming technique)
• Starbursting (exploratory brainstorming)
• Hurson's Productive Thinking model (creative problem solving)
• Lego Master (decision-making and communication)
• Escape Room (group communication and collaboration)
• Line-Up (non-verbal communication)
• Hackathons (brainstorming and creativity)

Demonstrating Problem Solving Skills

Knowing how to solve problems at work is not only crucial for contributing to company goals — it's also a must-have for moving to management positions. That's why it's important to highlight the skills you already have. This includes adding problem solving skills to your resume and showcasing your abilities during job interviews.

Whether you're looking for a marketing manager role or wondering what to say next time an opportunity to advance at your current company opens up, start with the STAR method . It's designed to help you think through your experiences so you can articulate your specific problem solving skills. Make sure to give an overview of a challenge you had to overcome, how you approached it, what solution you found, and what outcome you achieved.

Honing your problem solving skills makes you more valuable as a manager and team member. So putting in time to develop the skills most relevant to your current (and future!) roles can make it easier to climb the ladder and come up with efficient, effective solutions.

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• Why Problem Solving is the Golden Ticket For Your Marketing Efforts

People are always going to have problems, so as a marketer or business owner, your job is to solve these problems for your ideal clients. This really is the key to business success.

Here’s the thing, problem-solving is easier said than done. You can’t take this lightly and can’t just go halfway with it because people will always look for better and faster ways to get what they’re looking for.

I’m not going to sit here today and tell you how to build your product, that’s your job, but I am going to give you helpful tips on how to market it.

Why people buy

It never gets easier to hear this, but at the end of the day, people don’t want or care about what you sell. All they care about are that their problems are solved, and your products or services are simply a means to an end.

Some of the most successful and satisfied entrepreneurs I know figured this out early on. They weren’t necessarily after all the fancy bells and whistles that could have come with their products and services at the beginning. Instead, they were obsessive in solving their customer’s problems. Once they figured out how to do that, they could add the “cool” factors.

Your customers don’t often know how to solve their problems, but they often know what those problems are, which is why they are searching for solutions like yours. Show them that you are the answer they are looking for and the experts equipped to make their pain points go away. As a marketer or business owner, that’s really all you need to do. Period.

How to discover problems

Do you have the answers to the following questions (this is a long list, but to truly be effective, you’ll want the answers to each and every one of them):

• Who are you selling to ?
• What are their goals and dreams?
• How do they gather information to solve their problems?
• What are some things that are important to them?
• Do you know what the biggest unmet need is in your marketplace?
• What is the biggest pain point your customers experience?
• How hard have you worked to try to solve their problems in the past?
• Why is the problem so hard for them to solve?
• Who else is trying to solve the problem and how are they approaching it?
• What does success look like to them?
• What might hold them back from buying a product or service?
• How do they come to a purchase decision?

To truly get the answers to these questions, and understand them front to back, start your research by sitting down with current customers and simply ask them some of those questions directly.

Additionally, look at online forums and sites they visit and see what they’re talking about, and also take a look at your emails, look at your online reviews, and chat with your sales team to pinpoint common complaints or issues your customers are having. You’d be amazed at the amount of information that can come from those sources.

How to effortlessly include problem-solving in your marketing

Refocus your messaging

Your ideal customer should always be top of mind and it is imperative that your message is directed to them and resonates with them.

They want to see a message that revolves around solving their problems. It should be clear and concise so that they have little doubts as to how you can help them.

It’s not uncommon for businesses to focus on themselves, products, and services in their messaging. It’s important that you scan your content and refocus your message on your customers and the problems they want to be solved.

Create trigger phrases

This is a bit time consuming, but worth it. Break down the solutions you sell and the benefits of what you do. Map these back to what I like to call “trigger phrases.” These should be attention-grabbing statements or questions and should come from the point of view of your customer, not your own.

Develop an attention-grabbing headline

Take a second and write a bold statement that might be the first thing anyone who visits your website will see and test this headline with your ideal clients. Ask them to be honest and details in their feedback.

Online reviews can also provide valuable insight for writing these headlines. They can often write your promise for you.

Be educational and informative in your content

Be helpful with the content you create, even if it doesn’t directly discuss your products or services. Show that you are knowledgeable on the issues they are facing in a variety of formats. Content is essential to any business today so get started on writing blog posts, creating how-tos, recording videos, and so on. Through content, show them that you are experts in the field that will help to make their pain points go away. Providing actionable advice can go a long way.

Make your prospects’ and clients’ lives easier through content upgrades

As part of your lead generation efforts, provide valuable information through content upgrades that people can download by giving at the very least their email address. This allows you to nurture them with additional helpful information down the road, which will continue to remind them that you are there for them and have the answers they are looking for.

Be responsive to comments, emails, and social media

Remember, these channels should not be one-way streets, they should be conversation tools. By responding quickly and providing thorough answers on these platforms, you’re just giving them one more reason to trust you and see you as an authority in your field that has their backs.

Dive deeper than basic keywords

Keyword research is essential for speaking to and getting your audience’s attention, but to really have an impact, go further than the surface level keywords and focus on long-tail keywords to really get targeted and get to the root of their problems.

Personalize your lead generation efforts

While problem-solving in itself will help drive you towards success, to really make an impact in your market, you must be unique and creative in how you solve these problems because everyone in your industry is trying to address the same problems.

Are you focusing on problem-solving in your marketing efforts? Have you seen a change with this type of focus?

If you liked this post, check out our  Guide to Building a Small Business Marketing Consulting Practice .

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Shortform Books

The World's Best Book Summaries

Problem-Solving Marketing: Why You Must Provide Solutions

This article is an excerpt from the Shortform book guide to "This Is Marketing" by Seth Godin. Shortform has the world's best summaries and analyses of books you should be reading.

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What should you do first—create a product or figure out how to sell it? Why do people buy products?

Everyone has problems, needs, and desires. Entrepreneur and marketing expert Seth Godin says that effective business people know how to tap into those—creating products that solve customers’ problems and fill their wants and needs.

Keep reading to learn why Godin promotes problem-solving marketing.

Create Something of Value

To be an effective marketer, you must first create something of value. Godin explains that many people make the mistake of creating a product and then trying to figure out how to sell it. Effective marketers do the opposite: They identify a group of people with a problem and then provide a solution to that problem. In other words, they practice problem-solving marketing.

(Shortform note: In Purple Cow , Godin goes further, arguing that you don’t just need to create something of value, but you also need to create something truly remarkable and unique . Godin argues that it’s a losing battle to try to market a better version of another product; instead, you need to create something new that will stand out from the crowd—the way a purple cow would stand out from a herd of regular cows.)

Godin argues that, to create a product that solves a problem, you should identify an unmet desire or need and make sure that your product addresses it. Godin suggests that people’s needs are often rooted in unmet emotional desires . People don’t buy a product for the product’s sake but for the feeling the product gives them. For example, no one needs a nose hair trimmer or a new set of headphones. But, people do need the self-confidence or social status that those products give them.

(Shortform note: The purchasing decisions we make based on our emotional needs are often unconscious. Some research suggests as much as 95% of our purchasing choices are unconscious. In Thinking, Fast and Slow , psychologist Daniel Kahneman explains our brain has two systems —System 1, which operates automatically with little to no effort; and System 2, which allocates attention to more effortful decision-making. System 2 requires a large input of energy to function, so the majority of our decisions, including our purchasing decisions, happen unconsciously using System 1.)

Godin suggests that most people, regardless of age, gender, or geography, are driven by the same basic human needs , things like safety, security, belonging, or respect. Godin argues that these desires are universal and apply to people from all walks of life but look different depending on whom you’re speaking to. For one person, security might mean a high-quality life insurance policy, while for another it’s an in-home video surveillance system or a paid-off mortgage. By understanding people’s most basic emotional needs, marketers can create products and services that meet those desires, and, by doing so, offer them a solution to their problem.

(Shortform note: Marketing expert Bryan Kramer suggests that there are only six basic human needs : certainty, variety, significance, connection, growth, and contribution. In Human to Human , Kramer argues that marketers who focus on meeting these six needs will be more successful in connecting with their target audiences.)

Exercise: Create Something of Value

Godin argues that, to be an effective marketer, you must first create something of value. He cautions against creating a product and then trying to figure out how to sell it. Instead, he suggests identifying a group of people with a problem and then providing a solution to that problem.

• Who’s your core audience (the person or group of people you’re marketing to)? What are some of the values that are important to them? (Your core audience might be your customer base, but could also be your partner, or friend group, whom you’re trying to sell on an idea.)
• What is a problem that your core audience struggles with?
• Briefly explain how your offering (product, service, or idea) could help solve that problem.

———End of Preview———

Like what you just read read the rest of the world's best book summary and analysis of seth godin's "this is marketing" at shortform ..

Here's what you'll find in our full This Is Marketing summary :

• Why traditional marketing strategies are no longer effective
• Why you should aim to build trust, authenticity, and empathy with customers
• Guiding principles for successful marketing in the modern age
• ← How to Replace Bad Relationship Habits: The W.I.S.E.R. Model
• The Importance of Human Geography: How It Shapes Nations →

Elizabeth Whitworth

Elizabeth has a lifelong love of books. She devours nonfiction, especially in the areas of history, theology, and philosophy. A switch to audiobooks has kindled her enjoyment of well-narrated fiction, particularly Victorian and early 20th-century works. She appreciates idea-driven books—and a classic murder mystery now and then. Elizabeth has a blog and is writing a book about the beginning and the end of suffering.

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How to Conduct a Problem-Solving Session in Marketing?

In today’s competitive business world, marketing professionals face numerous challenges that require effective problem-solving skills. From developing successful marketing strategies to overcoming obstacles, problem-solving plays a crucial role in achieving marketing success. In this article, we will explore the importance of problem-solving in marketing and provide practical techniques for conducting problem-solving sessions.

Understanding the Importance of Problem-Solving in Marketing

Problem-solving is an essential aspect of marketing as it allows businesses to identify and overcome obstacles that hinder their progress. By addressing problems head-on, marketing professionals can improve their strategies, develop innovative solutions, and drive business growth. Effective problem-solving enables marketers to identify opportunities, make informed decisions, and stay ahead of the competition.

In today’s fast-paced and ever-evolving business landscape, problem-solving has become a crucial skill for marketers. It goes beyond simply identifying issues; it involves analyzing data, conducting market research, and applying critical thinking to find the most effective solutions. Successful problem-solving in marketing requires a combination of creativity, analytical skills, and a deep understanding of consumer behavior.

One of the key benefits of problem-solving in marketing is the ability to identify opportunities. By actively seeking out and addressing challenges, marketers can uncover untapped markets, niche segments, and new ways to reach their target audience. This proactive approach allows businesses to stay ahead of the curve and capitalize on emerging trends.

The Role of Problem-Solving in Marketing Success

Problem-solving plays a critical role in achieving marketing success. It helps marketers identify and address the root causes of issues, allowing them to develop targeted solutions. By resolving problems, marketing professionals can enhance customer satisfaction, improve brand reputation, and increase sales. Problem-solving also fosters creativity and innovation, enabling businesses to stay relevant and adapt to changing market demands.

When faced with a marketing challenge, problem-solving allows marketers to think outside the box and come up with unique solutions. It encourages them to explore alternative strategies, experiment with different approaches, and take calculated risks. This mindset of continuous improvement and adaptability is essential in today’s dynamic business environment.

Moreover, problem-solving in marketing is not limited to addressing external issues. It also involves internal problem-solving, such as improving team collaboration, streamlining processes, and optimizing resource allocation. By identifying and resolving internal bottlenecks, marketers can create a more efficient and productive work environment, leading to better overall marketing performance.

Key Challenges in Marketing Problem-Solving

Marketing problem-solving presents unique challenges that require careful consideration. Some of the common challenges include limited resources, time constraints, and conflicting opinions among team members. Additionally, identifying the underlying causes of problems can be complex, as multiple factors often contribute to marketing issues. Overcoming these challenges requires a systematic approach and effective communication within the team.

Limited resources, such as budget constraints or a shortage of skilled personnel, can hinder problem-solving efforts in marketing. Marketers must find creative ways to maximize their resources and prioritize their efforts to achieve the best possible outcomes. Time constraints also pose a challenge, as marketers often face tight deadlines and the need for quick decision-making. Effective time management and prioritization skills are crucial in such situations.

Another common challenge in marketing problem-solving is dealing with conflicting opinions and perspectives within the team. Different team members may have varying ideas on how to approach a problem, which can lead to disagreements and delays. Effective communication and collaboration are essential to overcome these challenges and ensure that everyone is aligned towards a common goal.

Furthermore, identifying the underlying causes of marketing problems can be complex. Issues may arise from a combination of factors, such as market trends, consumer behavior, or internal processes. Marketers need to conduct thorough research, gather data, and analyze information to gain a comprehensive understanding of the problem. This analytical approach helps in developing targeted solutions that address the root causes and deliver long-term results.

In conclusion, problem-solving is a fundamental skill for marketers, enabling them to overcome obstacles, identify opportunities, and drive business success. By embracing a proactive and systematic approach to problem-solving, marketers can enhance their strategies, improve customer satisfaction, and stay ahead of the competition in today’s dynamic marketing landscape.

Preparing for a Problem-Solving Session

Before conducting a problem-solving session, it is crucial to lay the groundwork for success. This involves several key steps that ensure the session is focused and productive.

One important aspect of preparing for a problem-solving session is creating an environment that fosters creativity and collaboration. This can be achieved by setting up a comfortable and well-equipped meeting space, providing ample whiteboards or flipcharts for brainstorming, and ensuring that everyone has access to the necessary materials and resources.

Another crucial step in preparing for a problem-solving session is conducting thorough research and analysis. This includes gathering relevant data, analyzing market trends, and understanding customer feedback. By taking the time to gather and analyze this information, marketers can gain valuable insights into the problem at hand and identify potential solutions.

Identifying the Marketing Problem

The first step in preparing for a problem-solving session is to clearly identify the marketing problem at hand. This involves gathering relevant data, analyzing market trends, and understanding customer feedback. By clearly defining the problem, marketers can focus their efforts on finding solutions that address the root cause rather than merely addressing symptoms.

During the problem identification phase, it is important to involve key stakeholders and decision-makers. This ensures that all perspectives are taken into account and that the problem is thoroughly understood from various angles. By involving stakeholders early on, marketers can also gain buy-in and support for the problem-solving process.

Additionally, conducting a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) can provide valuable insights into the marketing problem. This analysis helps identify internal and external factors that may impact the problem and can guide the problem-solving session towards effective solutions.

Assembling the Right Team

Successful problem-solving sessions require a diverse team with complementary skills and expertise. It is essential to assemble a group of individuals who can bring different perspectives to the table. Including team members from various departments such as marketing, sales, and research and development ensures a well-rounded approach to problem-solving.

When assembling the team, it is important to consider each individual’s strengths and areas of expertise. This ensures that the team has the necessary skills to tackle the problem at hand and can provide valuable insights and ideas. Additionally, fostering a collaborative and inclusive team culture encourages open communication and idea-sharing, leading to more effective problem-solving.

Furthermore, it can be beneficial to include individuals who have experience in similar problem-solving sessions or have a track record of innovative thinking. Their past experiences and knowledge can provide valuable guidance and help the team avoid common pitfalls.

Setting Clear Objectives for the Session

Establishing clear objectives is crucial for guiding the problem-solving session. Clearly defined goals help team members stay focused and ensure that the session remains on track. Setting specific, measurable, achievable, relevant, and time-bound (SMART) objectives provides a framework for success.

During the objective-setting phase, it is important to involve the entire team in the process. This ensures that everyone has a shared understanding of the desired outcomes and can contribute their ideas and suggestions. By involving the team in setting the objectives, it also increases their ownership and commitment to achieving the goals.

Additionally, it can be helpful to prioritize the objectives based on their importance and impact. This allows the team to allocate their time and resources effectively and ensures that the most critical issues are addressed first.

Furthermore, setting milestones and checkpoints throughout the problem-solving session can help track progress and make adjustments if needed. Regularly reviewing and reassessing the objectives ensures that the team stays on course and can adapt to any unforeseen challenges.

Techniques for Effective Problem-Solving in Marketing

Once the groundwork is laid, it’s time to dive into the problem-solving process. There are various techniques that marketing professionals can employ to generate innovative ideas and find effective solutions.

Brainstorming and Idea Generation

Brainstorming is a tried-and-true method for generating creative ideas and solutions. By encouraging free thinking and suspending judgment, brainstorming allows team members to share their thoughts openly. This technique often leads to unexpected connections and breakthrough solutions.

The Six Thinking Hats Technique

The Six Thinking Hats technique, developed by Edward de Bono, is a powerful tool for problem-solving. It involves assigning different “hats” to each team member, representing different modes of thinking (e.g., logic, creativity, emotions). This approach helps teams thoroughly analyze problems from various perspectives and make more robust decisions.

The Five Whys Technique

The Five Whys technique is a simple yet effective method for uncovering the root cause of a problem. It involves asking “why” up to five times to drill down to the underlying issues. By repeatedly asking “why,” marketers can uncover deeper insights and develop solutions that address the core problem.

Implementing Solutions and Monitoring Progress

Once potential solutions are identified, it’s crucial to prioritize and implement them effectively. Additionally, monitoring progress and measuring success ensure that the implemented solutions yield the desired outcomes.

Prioritizing and Selecting Solutions

Not all solutions are equal in terms of feasibility and impact. It’s vital to prioritize potential solutions based on various factors such as their alignment with objectives, available resources, and potential risks. Selecting the most suitable solutions requires careful evaluation and consensus among team members.

Creating an Action Plan

An action plan outlines the steps required to implement the chosen solutions. It specifies responsibilities, timelines, and key milestones. A well-defined action plan ensures that the implementation process is efficient and that progress can be effectively monitored.

Tracking Progress and Measuring Success

Monitoring progress is essential to ensure that the implemented solutions are achieving the desired outcomes. Key performance indicators (KPIs) should be established to measure success and track progress over time. Regular evaluation and adjustment of strategies are crucial to stay on track and continually improve marketing efforts.

Conducting problem-solving sessions in marketing is vital for identifying and overcoming obstacles that hinder success. Understanding the importance of problem-solving, preparing for sessions, employing effective techniques, and implementing solutions are all critical steps in the process. By embracing problem-solving as an integral part of marketing, professionals can drive innovation, enhance competitiveness, and achieve business growth.

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What Is Creative Problem-Solving & Why Is It Important?

• 01 Feb 2022

One of the biggest hindrances to innovation is complacency—it can be more comfortable to do what you know than venture into the unknown. Business leaders can overcome this barrier by mobilizing creative team members and providing space to innovate.

There are several tools you can use to encourage creativity in the workplace. Creative problem-solving is one of them, which facilitates the development of innovative solutions to difficult problems.

Here’s an overview of creative problem-solving and why it’s important in business.

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What Is Creative Problem-Solving?

Research is necessary when solving a problem. But there are situations where a problem’s specific cause is difficult to pinpoint. This can occur when there’s not enough time to narrow down the problem’s source or there are differing opinions about its root cause.

In such cases, you can use creative problem-solving , which allows you to explore potential solutions regardless of whether a problem has been defined.

Creative problem-solving is less structured than other innovation processes and encourages exploring open-ended solutions. It also focuses on developing new perspectives and fostering creativity in the workplace . Its benefits include:

• Finding creative solutions to complex problems : User research can insufficiently illustrate a situation’s complexity. While other innovation processes rely on this information, creative problem-solving can yield solutions without it.
• Adapting to change : Business is constantly changing, and business leaders need to adapt. Creative problem-solving helps overcome unforeseen challenges and find solutions to unconventional problems.
• Fueling innovation and growth : In addition to solutions, creative problem-solving can spark innovative ideas that drive company growth. These ideas can lead to new product lines, services, or a modified operations structure that improves efficiency.

Creative problem-solving is traditionally based on the following key principles :

1. Balance Divergent and Convergent Thinking

Creative problem-solving uses two primary tools to find solutions: divergence and convergence. Divergence generates ideas in response to a problem, while convergence narrows them down to a shortlist. It balances these two practices and turns ideas into concrete solutions.

2. Reframe Problems as Questions

By framing problems as questions, you shift from focusing on obstacles to solutions. This provides the freedom to brainstorm potential ideas.

3. Defer Judgment of Ideas

When brainstorming, it can be natural to reject or accept ideas right away. Yet, immediate judgments interfere with the idea generation process. Even ideas that seem implausible can turn into outstanding innovations upon further exploration and development.

4. Focus on "Yes, And" Instead of "No, But"

Using negative words like "no" discourages creative thinking. Instead, use positive language to build and maintain an environment that fosters the development of creative and innovative ideas.

Creative Problem-Solving and Design Thinking

Whereas creative problem-solving facilitates developing innovative ideas through a less structured workflow, design thinking takes a far more organized approach.

Design thinking is a human-centered, solutions-based process that fosters the ideation and development of solutions. In the online course Design Thinking and Innovation , Harvard Business School Dean Srikant Datar leverages a four-phase framework to explain design thinking.

The four stages are:

• Clarify: The clarification stage allows you to empathize with the user and identify problems. Observations and insights are informed by thorough research. Findings are then reframed as problem statements or questions.
• Ideate: Ideation is the process of coming up with innovative ideas. The divergence of ideas involved with creative problem-solving is a major focus.
• Develop: In the development stage, ideas evolve into experiments and tests. Ideas converge and are explored through prototyping and open critique.
• Implement: Implementation involves continuing to test and experiment to refine the solution and encourage its adoption.

Creative problem-solving primarily operates in the ideate phase of design thinking but can be applied to others. This is because design thinking is an iterative process that moves between the stages as ideas are generated and pursued. This is normal and encouraged, as innovation requires exploring multiple ideas.

Creative Problem-Solving Tools

While there are many useful tools in the creative problem-solving process, here are three you should know:

Creating a Problem Story

One way to innovate is by creating a story about a problem to understand how it affects users and what solutions best fit their needs. Here are the steps you need to take to use this tool properly.

1. Identify a UDP

Create a problem story to identify the undesired phenomena (UDP). For example, consider a company that produces printers that overheat. In this case, the UDP is "our printers overheat."

2. Move Forward in Time

To move forward in time, ask: “Why is this a problem?” For example, minor damage could be one result of the machines overheating. In more extreme cases, printers may catch fire. Don't be afraid to create multiple problem stories if you think of more than one UDP.

3. Move Backward in Time

To move backward in time, ask: “What caused this UDP?” If you can't identify the root problem, think about what typically causes the UDP to occur. For the overheating printers, overuse could be a cause.

Following the three-step framework above helps illustrate a clear problem story:

• The printer is overused.
• The printer overheats.
• The printer breaks down.

You can extend the problem story in either direction if you think of additional cause-and-effect relationships.

4. Break the Chains

By this point, you’ll have multiple UDP storylines. Take two that are similar and focus on breaking the chains connecting them. This can be accomplished through inversion or neutralization.

• Inversion: Inversion changes the relationship between two UDPs so the cause is the same but the effect is the opposite. For example, if the UDP is "the more X happens, the more likely Y is to happen," inversion changes the equation to "the more X happens, the less likely Y is to happen." Using the printer example, inversion would consider: "What if the more a printer is used, the less likely it’s going to overheat?" Innovation requires an open mind. Just because a solution initially seems unlikely doesn't mean it can't be pursued further or spark additional ideas.
• Neutralization: Neutralization completely eliminates the cause-and-effect relationship between X and Y. This changes the above equation to "the more or less X happens has no effect on Y." In the case of the printers, neutralization would rephrase the relationship to "the more or less a printer is used has no effect on whether it overheats."

Even if creating a problem story doesn't provide a solution, it can offer useful context to users’ problems and additional ideas to be explored. Given that divergence is one of the fundamental practices of creative problem-solving, it’s a good idea to incorporate it into each tool you use.

Brainstorming

Brainstorming is a tool that can be highly effective when guided by the iterative qualities of the design thinking process. It involves openly discussing and debating ideas and topics in a group setting. This facilitates idea generation and exploration as different team members consider the same concept from multiple perspectives.

Hosting brainstorming sessions can result in problems, such as groupthink or social loafing. To combat this, leverage a three-step brainstorming method involving divergence and convergence :

• Have each group member come up with as many ideas as possible and write them down to ensure the brainstorming session is productive.
• Continue the divergence of ideas by collectively sharing and exploring each idea as a group. The goal is to create a setting where new ideas are inspired by open discussion.
• Begin the convergence of ideas by narrowing them down to a few explorable options. There’s no "right number of ideas." Don't be afraid to consider exploring all of them, as long as you have the resources to do so.

Alternate Worlds

The alternate worlds tool is an empathetic approach to creative problem-solving. It encourages you to consider how someone in another world would approach your situation.

For example, if you’re concerned that the printers you produce overheat and catch fire, consider how a different industry would approach the problem. How would an automotive expert solve it? How would a firefighter?

Be creative as you consider and research alternate worlds. The purpose is not to nail down a solution right away but to continue the ideation process through diverging and exploring ideas.

Continue Developing Your Skills

Whether you’re an entrepreneur, marketer, or business leader, learning the ropes of design thinking can be an effective way to build your skills and foster creativity and innovation in any setting.

If you're ready to develop your design thinking and creative problem-solving skills, explore Design Thinking and Innovation , one of our online entrepreneurship and innovation courses. If you aren't sure which course is the right fit, download our free course flowchart to determine which best aligns with your goals.

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Marketing & Sales

Why Problem Solving Is Key To Sales And Marketing

The guy who calls himself Keenan (just Keenan, like Bono or Oprah) doesn’t take himself too seriously.

That became evident just looking at the title of his INBOUND marketing conference talk in Boston: “Problem-Centric Selling: Why No One Gives a Sh*t About You or Your Company.”

But serious or not, the takeaways of his talk were of critical importance to anyone in sales.

“Sales is like baseball,” Keenan said. ”No one bats .900.” But if you can close 30-35% of your deals, you’re an all-star.

Keenan started by asking the audience of several hundred whether they subscribed to the long-held belief that people buy from people they like. While a large majority of hands went up, Keenan says that value is much more important than liking a salesperson. While both are ideal, if you can only have one, choose value.

Problem-centric selling, as the name implies, involves identifying a problem that the prospect has, and then offering a solution. “Every sale starts with a problem – the right problem,” he said, adding that asking questions to learn about the buyer and his or her problems is essential to determining whether your product or service can help solve them. “Salespeople must be able to diagnose the problem before they can offer a solution.”

They should also “try to assess the emotion associated with the buyer’s problem before offering a solution,” Keenan said.

Keenan cited several well-worn sales email tactics, including the unfunny “You must not have responded because you were getting chased by a [insert wild animal here]” joke and the vapid “Can I have 15 minutes of your time for a quick demo?” request. (See 11 Annoying Habits of Salespeople That Damage The Experience for more.) The reason why salespeople resort to those tired strategies is that “they don’t understand the problem” their product is going to solve, according to Keenan.

“Put yourself in the shoes of your buyer,” Keenan said. “Would you be excited to receive that sales email?”

Once the problem is identified, the next step is to understand the impact of solving the problem. “The greater the impact of solving the problem, the more money a buyer will be willing to pay,” Keenan said. “You won’t need to defend objections such as price and features if you are solving a real problem for a buyer.”

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The Power of Defining the Problem

• Dwayne Spradlin

Before you start solving a problem, you have to ask the right questions.

Well-defined problems lead to breakthrough solutions. When developing new products, processes, or even businesses, most companies aren’t sufficiently rigorous in defining the problems they’re attempting to solve and articulating why those issues are important. Without that rigor, organizations miss opportunities, waste resources, and end up pursuing innovation initiatives that aren’t aligned with their strategies. How many times have you seen a project go down one path only to realize in hindsight that it should have gone down another? How many times have you seen an innovation program deliver a seemingly breakthrough result only to find that it can’t be implemented or it addresses the wrong problem? Many organizations need to become better at asking the right questions so that they tackle the right problems.

• DS Dwayne Spradlin is the president and CEO of InnoCentive , an online marketplace that connects organizations with freelance problem solvers in a multitude of fields. He is a coauthor, with Alpheus Bingham, of The Open Innovation Marketplace: Creating Value in the Challenge Driven Enterprise (FT Press, 2011).

Partner Center

Why Problem-solving Is Important in Marketing

Although it can never get easier for business owners to hear this, consumers likely don’t care about what you’re selling or offering as most only care about getting their issues resolved, and your products or services are a means to an end. People will always have problems, such as dealing with anorexia. Businesses can offer treatment options and other solutions to ease their pain. So as a marketer or an entrepreneur, it’s your job to help them out.

Your customers won’t likely know how to solve their problems independently, but they’ll know what those issues are. That’s why these people are constantly on the search for solutions like yours. Your task is to deal with these issues for your clients, making problem-solving the key behind most businesses’ success.

However,  problem-solving is often easier said than done , and you can’t take it lightly or go halfway since customers will always be on the lookout for better and faster ways to get solutions. Show them that you’re the answer they’re searching for and the experts that can help make their pain and issues go away by incorporating problem-solving in your marketing efforts with the following strategies.

Refocus Your Messaging

As a marketer or business owner, your customers should always be your priority, and your message must be directed to them while resonating with them. After all, they’ll likely want to see a message revolving around solving their problems, so it only makes sense to make them clear and concise to leave no room for doubts that you can help them.

Although it’s not uncommon for businesses to focus on themselves, their services, or products in their messaging, it’s best to scan your content and refocus your message around your customers and the issues they want to solve.

Make “Trigger Phases”

Although this method can be a little time-consuming, it’s worth every second. You can do this by breaking down the solutions and the advantages of the services and products you sell. After that, you can map them back to trigger phases, which should be clickbait or attention-grabbing statements or questions coming from the POV of your customers.

Be Educational and Informative With Content Published

The best way to take advantage of problem-solving in your marketing campaigns is by being helpful with the content you create, even if it doesn’t directly involve your services or products. Show everyone you’re knowledgeable on the problems they’re facing in various formats. It’s no secret that content is a crucial piece to any marketing campaign today, so it’s best to get started early on by writing blog posts, publishing how-to-guides, or instructional videos.

Through educational content, you can show customers that you are experts in the field that’s always ready to help them deal with their pain with ease, offering actionable advice. So, as part of your marketing efforts, don’t forget to provide valuable information through content upgrades that individuals can download or access online.

Be Responsive

Remember that social media, emails, or comments on certain content you publish shouldn’t be one-way streets as they should be conversation tools, meaning you need to be as responsive as possible. By responding to customer queries fast and offering accurate answers on these channels, you’re giving customers one more reason to trust you and consider you an authority in your field, ready to help whenever possible.

Go Beyond “Basic” Keywords

In today’s digital world, keyword research has become crucial for speaking and getting an audience’s attention. However, to make a huge enough impact on the market, it’s wise to go beyond the surface level of “basic” keywords and find the best long-tail keywords. You can do this by solving a couple of issues most of your customers experience in a particular area or niche and find the most useful long-tail keywords to get targeted and discover the root of their problems.

Personalize Lead Generation Efforts

Although problem-solving can help business owners drive towards success, if you’re looking to impact the market, you need to be unique and creative in solving your customers’ issues since everyone in the industry will be trying to address the same problems. Doing a little bit of problem-solving can help you find better ways to personalize marketing efforts by tailoring products and services to particular target markets.

Shifting your focus on problem-solving in your marketing efforts can bring it a long way, improving its efficiency and results. Incorporating the concept in your strategies through the methods mentioned can help your campaigns thrive and your business grab success over time.

About The Author

John Reynolds

Problem Solving Skills for Marketing Managers

While some people might think that marketing managers have nothing to do with problem-solving, that’s not quite the case. For marketing managers, one of the essential tasks is solving problems without having all of the necessary information.

Another task is making sure there’s a procedure in place to prevent similar issues in the future. That’s why certain problem-solving skills are essential for marketing managers, and why they need to come up with various creative solutions when approaching problems.

At the core, problem-solving skills allow people to take note of an issue, identify what’s causing it, design a solution, and effectively implement that solution.

Aside from that, problem-solving also involves being able to evaluate whether a given solution achieved the desired results or not. Some of the best problem solvers are able to anticipate issues and take proactive measures to mitigate their impact.

Analytical Skills

The first step of problem-solving is analyzing the issue at hand and going beyond the surface in order to find what’s causing the problem. There are different analytical strategies that can contribute to problem-solving such as research, forecasting, attending to details, analysis, and fact-checking.

For example, if a company frequently overextends its social media budget, then with the right analytical skills, a marketing manager can precisely pinpoint what’s really happening and solve the problem.

The marketing manager might find that while the social media campaigns are being created the right way, the marketing team doesn’t have the right budgeting skills to help calculate the spending properly. Then, they could develop a training program for the team that will teach everyone about financial forecasting, losses, and profits.

Sound Judgments

Another skill that is beneficial to problem-solving is being able to make the right decision out of an array of potential solutions. Developing this type of sound judgment allows marketing managers to consider the core of a problem, the potential drawbacks to each solution, how to best implement the right one, and their costs and required resources.

There are several capabilities that fall under this skill, including leadership, critical thinking and deduction, prediction, discussion, and testing.

Organizational Skills

The next essential problem-solving skill for marketing managers is being able to organize everything neatly in order to carry out the solution for a problem.

That way, everyone will be taking the right steps to achieve the desired results, which also improves efficiency and work alignment for the team. Organizational skills also benefit from strategies such as recording and filing information, and creating schedules.

Once the marketing manager has figured out the core of an issue, it’s time to figure out different ways to solve that problem, and that’s where creativity comes into play.

There are times when the solution to an issue isn’t straightforward and requires different points of view to get to the right answer. That’s why marketing managers should be curious, and thus able to brainstorm, plan, and execute.

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Marketing as problem solver: in defense of social responsibility

• Published: 10 June 2022
• Volume 12 , pages 44–51, ( 2022 )

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• Kelly D. Martin 1 &
• Stasha Burpee 2  

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The marketing function has long been recognized for its problem-solving abilities. In this commentary, we draw from marketing’s problem-solving foundations to argue that it is well-poised to solve some of society’s vexing issues–from climate change, to hunger and nutrition, to poverty and human flourishing. We identify and explain three critical forces that make socially responsible marketing more necessary than ever. First, the market, comprised of consumers and investors, increasingly demands socially responsible marketing through responses that include purchase behavior, stated preferences, relationship formation and loyalty, and valuation of socially responsible investment products. Second, business practice increasingly embraces social responsibility and has garnered tangible customer and performance benefits from those practices. Third, political and regulatory systems that might otherwise support human and environmental well-being suffer from increasing dysfunction and inaction. Taken together, we see a necessary and productive role for socially responsible marketing and its proven problem-solving capabilities.

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Martin, K.D., Burpee, S. Marketing as problem solver: in defense of social responsibility. AMS Rev 12 , 44–51 (2022). https://doi.org/10.1007/s13162-022-00225-3

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DOI : https://doi.org/10.1007/s13162-022-00225-3

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5 Whys: Examples, explanations, and how to find the causes of problems

At some point, we’ve all experienced a problem with a process or strategy at work. But figuring out why the problem exists can be a daunting task. When you sit your teammates down for a discussion, emotions run high and miscommunication is common.

The 5 Whys is a powerful, easy-to-use technique for getting at the root of a problem. It empowers you and your team to understand why a problem persists and to decide on a path forward.

• What is the 5 Whys framework?

The 5 Whys is a popular problem-solving method that individuals and teams use to understand the potential causes of a specific issue. Years ago, Toyota developed the approach to help them get at the heart of complex mechanical issues, so you know it’s legitimate! The technique is easy to use: you ask why a problem happened, and then you ask four more times. By asking “why” on a step-by-step basis, you can get to the root cause of a defect, failure, challenge, or malfunction.

• When and Why the 5 Whys Analysis is Used

The 5 Whys framework is useful in a variety of situations. People love it because it helps you have a focused discussion and avoid getting distracted by other topics. You just start with a problem statement, ask why the problem exists, and keep moving through the exercise until you’ve uncovered the problem.

Here are some scenarios where you might find the 5 Whys approach to be useful.

Working on complex products

Remember, the 5 Whys technique was originally developed by Toyota. The car manufacturer needed a clear-cut way of dealing with a product that has thousands of parts. But that doesn’t mean the technique only works for large physical goods. Many organizations use the 5 Whys approach when software malfunctions, when a key deliverable with many moving parts doesn’t work properly, or when a multi-step process breaks down.

Solving complex problems

When a problem is so complex that engineers, designers, or decision-makers are scratching their heads, the 5 Whys approach may serve you well. Maybe your complicated marketing strategy didn’t hit your targets, or an important API isn’t working. Instead of getting overwhelmed, the 5 Whys framework helps you wrap your head around the problem.

Dealing with consistent problems

Maybe the problem doesn’t seem complex, but it keeps coming up. Or maybe you’ve tried multiple solutions and none seem to work. Rather than burning precious time and money on yet another risky bandaid, try the 5 Whys to finally discover what’s going on.

• How to conduct a 5 Whys analysis in 6 steps

One of the great things about the 5 Whys framework is that it’s easy to understand. Unlike many other problem-solving techniques, which can be difficult to grasp, you can explain the 5 Whys to your team in minutes. Follow these guidelines any time you need to use the approach.

Step 1 – Form your problem statement.

Start by asking your team what problem you’re about to analyze. Everyone should get a chance to articulate the problem so you’re all on the same page. Sometimes, you might find yourself using the 5 Whys approach to uncover the root of a difficult or charged obstacle. If that’s the case, give your team the time and space to be honest with each other and to have difficult conversations. Write down the problem statement for everyone to reference.

Step 2 – Ask “why has this happened?” 5 times.

Don’t be too literal with it. Feel free to amend the “why” statement to something like “Why does this keep happening?” or “Why are we having this problem?” Keep going until you’ve asked “why” five or more times. It might feel unnatural, but eventually, you’ll push through any awkwardness to uncover the root of the problem.

Step 3 – Jot down logical causes.

Okay, now you have a pretty good handle on your problem. Write down any logical causes that have followed from your 5 Whys analysis. Regardless of whether those causes came from your first “why” or your fifth, make a detailed note of them. Discuss the causes with your team and make sure you’re all agreed.

Step 4 – Hypothesize an answer.

Now that you have your logical cause, it’s time to come up with some potential solutions. At this stage, you’re just having a conversation. You don’t need to come up with the perfect solution in this meeting. Have everyone go around the room and say (or write down) a possible solution. Ask everyone to vote on the most actionable one.

Step 5 – Test your hypothesis.

Put your solution to the test with some experiments. If you’ve decided that a marketing campaign failed because you didn’t choose the correct target audience, then maybe you can come up with some A/B tests to vet possible solutions. Aim for low-stakes tests that you can use to draw meaningful conclusions.

Step 6 – Repeat until solved.

Iterate until you’ve solved the problem! Don’t be discouraged if it doesn’t happen right away. Sometimes, it might take multiple rounds of “whys” followed by many rounds of testing to uncover a solution. Keep an open line of communication among your teammates and don’t give up.

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• A simple 5 Whys example

The 5 Whys is an adaptable, easy-to-use framework for uncovering the root of a problem. Organizations and teams of all sizes use the framework to overcome complex, high-stakes challenges. Here’s a quick example to help you bring this method of analysis to your own team.

Let’s say your team has been working on an app for many months. You rolled out a beta version late last quarter. You were supposed to ship the app to the rest of your users at the beginning of this quarter, but a problem arose: a bunch of your early users complained of a fatal error that caused the app to crash. As a result, you couldn’t ship it, and your customers were disappointed.

Step 1 — Write down your problem statement. 

As we mentioned above, the first step in following the 5 Whys framework is to clearly and succinctly define what problem you’re trying to solve. The entire group should be clear about this issue. In this case, the problem statement is: your app wasn’t ready to ship to your customers.

Step 2 — Start with the broadest possible question.

Start with the broadest possible question. Then aim to answer it. Why wasn’t the app ready for your customers? It wasn’t ready because there was a bug in the code that caused it to crash.

Drill down into that question. Why was there a bug in the code that caused it to crash? There was a bug in the code because the engineers didn’t get user feedback in time to fix it.

Keep drilling down. Why didn’t the engineers get that user feedback? They didn’t get the feedback because the development team didn’t provide an easy way for users to submit their feedback.

Continue drilling down, asking more and more precise questions as you get closer to the answer. Why didn’t the development team provide an easy way for users to leave feedback? They didn’t provide an easy way for users to leave feedback because they weren’t clear on deadlines for the project.

Ask “why” at least one more time. Why wasn’t the development team clear on deadlines for the project? They weren’t clear on deadlines because they weren’t meeting with stakeholders often enough to know when the timeline changed.

Step 3 – Write down logical issues.

Now you have enough information to write down logical causes. It seems that this problem stemmed from a lack of communication between stakeholders. That caused the development team and engineering team to become misaligned.

Step 4 – Once you’re ready, you can come up with a possible solution to this problem.

Once you’re ready, you can come up with a possible solution to this problem. In the future, internal stakeholders will hold weekly check-ins to make sure they’re aligned on where the project is headed.

Step 5 – Put that hypothesis into action.

Here’s where you get to test out your hypothesis and see what effects it has. Moving forward, start holding weekly check-ins and see what happens. If miscommunication and confusion goes down, you’ll know you’re on the right track.Step 6 – Adjust your strategy, if needed

Resist the urge to consider a problem “solved” and move on immediately. It’s important to revisit how the solution is functioning in the weeks ahead, continually checking in with everyone on the team to see how they’re feeling about it. You may need to tweak your strategy over time.

• How 5 Whys helped solve the problem

This example clearly showcases the power of the 5 Whys. What looked like a problem with code turned out to be a symptom of miscommunication.

Although this is just a hypothetical, we all know stuff like this happens every day. But it’s often difficult to uncover the root causes of a problem without months and months of exploration. With the 5 Whys, you can overcome costly challenges in a much shorter amount of time.

• Try the 5 Whys template for free

Clearly, asking “why?” isn’t just a technique used by persistent 4-year-olds – it’s actually a quick and easy way to identify a root cause. Countless teams across different industries have had great results using this framework. Save time, collaborate with your team, and solve hard problems with Miro’s free 5 Whys template .

• How Miro helps distributed teams collaborate

Working with a remote team can be challenging — but it also offers unparalleled opportunities for creativity and collaboration. Miro’s online whiteboard helps teams overcome cultural divides, communication silos, geographic barriers, and micro-cultures to empower you to stay connected and do great things.

Miro has a variety of templates and tools for teams to help you and your team:

• Create a mind map
• Manage a scrum board
• Create user story maps and customer journey maps
• Work with sticky notes, even if you aren’t in the same room
• Generate flow charts and diagrams
• Run brainstorming sessions

And lots more… try Miro for remote collaboration today!

Miro is your team's visual platform to connect, collaborate, and create — together.

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4.3: Buyer behavior as problem solving

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Consumer behavior refers to buyers who are purchasing for personal, family, or group use. Consumer behavior can be thought of as the combination of efforts and results related to the consumer's need to solve problems. Consumer problem solving is triggered by the identification of some unmet need. A family consumes all of the milk in the house or the tires on the family care wear out or the bowling team is planning an end-of-the-season picnic. This presents the person with a problem which must be solved. Problems can be viewed in terms of two types of needs: physical (such as a need for food) or psychological (for example, the need to be accepted by others).

Although the difference is a subtle one, there is some benefit in distinguishing between needs and wants. A need is a basic deficiency given a particular essential item. You need food, water, air, security, and so forth. A want is placing certain personal criteria as to how that need must be fulfilled. Therefore, when we are hungry, we often have a specific food item in mind. Consequently, a teenager will lament to a frustrated parent that there is nothing to eat, standing in front of a full refrigerator. Most of marketing is in the want-fulfilling business, not the need-fulfilling business. Timex does not want you to buy just any watch, they want you to want a Timex brand watch. Likewise, Ralph Lauren wants you to want Polo when you shop for clothes. On the other hand, the American Cancer Association would like you to feel a need for a check-up and does not care which doctor you go to. In the end, however, marketing is mostly interested in creating and satisfying wants.

The decision process

Exhibit 10 outlines the process a consumer goes through in making a purchase decision. Each step is illustrated in the following sections of your text. Once the process is started, a potential buyer can withdraw at any stage of making the actual purchase. The tendency for a person to go through all six stages is likely only in certain buying situations—a first time purchase of a product, for instance, or when buying high priced, long-lasting, infrequently purchased articles. This is referred to as complex decision making .

For many products, the purchasing behavior is a routine affair in which the aroused need is satisfied in a habitual manner by repurchasing the same brand. That is, past reinforcement in learning experiences leads directly to buying, and thus the second and third stages are bypassed. This is called simple decision making . However, if something changes appreciably (price, product, availability, services), the buyer may re-enter the full decision process and consider alternative brands. Whether complex 0r simple, the first step is need identification. 1.

Need identification

Whether we act to resolve a particular problem depends upon two factors: (1) the magnitude of the discrepancy between what we have and what we need, and (2) the importance of the problem. A consumer may desire a new Cadillac and own a five-year-old Chevrolet. The discrepancy may be fairly large but relatively unimportant compared to the other problems he/she faces. Conversely, an individual may own a car that is two years old and running very well. Yet, for various reasons, he/she may consider it extremely important to purchase a car this year. People must resolve these types of conflicts before they can proceed. Otherwise, the buying process for a given product stops at this point, probably in frustration.

Once the problem is recognized it must be defined in such a way that the consumer can actually initiate the action that will bring about a relevant problem solution. Note that, in many cases, problem recognition and problem definition occur simultaneously, such as a consumer running out of toothpaste. Consider the more complicated problem involved with status and image–how we want others to see us. For example, you may know that you are not satisfied with your appearance, but you may not be able to define it any more precisely than that. Consumers will not know where to begin solving their problem until the problem is adequately defined.

Marketers can become involved in the need recognition stage in three ways. First they need to know what problems consumers are facing in order to develop a marketing mix to help solve these problems. This requires that they measure problem recognition. Second, on occasion, marketers want to activate problem recognition. Public service announcements espousing the dangers of cigarette smoking is an example. Weekend and night shop hours are a response of retailers to the consumer problem of limited weekday shopping opportunities. This problem has become particularly important to families with two working adults. Finally, marketers can also shape the definition of the need or problem. If a consumer needs a new coat, does he define the problem as a need for inexpensive covering, a way to stay warm on the coldest days, a garment that will last several years, warm cover that will not attract odd looks from his peers, or an article of clothing that will express his personal sense of style? A salesperson or an ad may shape his answers.

Information search and processing

After a need is recognized, the prospective consumer may seek information to help identify and evaluate alternative products, services, and outlets that will meet that need. Such information can come from family, friends, personal observation, or other sources, such as Consumer Reports , salespeople, or mass media. The promotional component of the marketers offering is aimed at providing information to assist the consumer in their problem solving process. In some cases, the consumer already has the needed information based on past purchasing and consumption experience. Bad experiences and lack of satisfaction can destroy repeat purchases. The consumer with a need for tires may look for information in the local newspaper or ask friends for recommendation. If he has bought tires before and was satisfied, he may go to the same dealer and buy the same brand.

Information search can also identify new needs. As a tire shopper looks for information, she may decide that the tires are not the real problem, that the need is for a new car. At this point, the perceived need may change triggering a new informational search.

Information search involves mental as well as the physical activities that consumers must perform in order to make decisions and accomplish desired goals in the marketplace. It takes time, energy, money, and can often involve foregoing more desirable activities. The benefits of information search, however, can outweigh the costs. For example, engaging in a thorough information search may save money, improve quality of selection, or reduce risks. As noted in the integrated marketing box, the Internet is a valuable information source.

Information processing

When the search actually occurs, what do people do with the information? How do they spot, understand, and recall information? In other words, how do they process information? This broad topic is important for understanding buyer behavior in general as well as effective communication with buyers in particular, and it has received a great deal of study. Assessing how a person processes information is not an easy task. Often observation has served as the basis. Yet there are many theories as to how the process takes place. One widely accepted theory proposes a five-step sequence. 2.

• Exposure . Information processing starts with the exposure of consumers to some source of stimulation such as watching television, going to the supermarket, or receiving direct mail advertisements at home. In order to start the process, marketers must attract consumers to the stimulus or put it squarely in the path of people in the target market.

• Attention . Exposure alone does little unless people pay attention to the stimulus. At any moment, people are bombarded by all sorts of stimuli, but they have a limited capacity to process this input. They must devote mental resources to stimuli in order to process them; in other words, they must pay attention. Marketers can increase the likelihood of attention by providing informational cues that are relevant to the buyer.

• Perception . Perception involves classifying the incoming signals into meaningful categories, forming patterns, and assigning names or images to them. Perception is the assignment of meaning to stimuli received through the senses. (More will be said about perception later.)

• Retention . Storage of information for later reference, or retention, is the fourth step of the information-processing sequence. Actually, the role of retention or memory in the sequence is twofold. First, memory holds information while it is being processed throughout the sequence. Second, memory stores information for future, long-term use. Heavy repetition and putting a message to music are two things marketers do to enhance retention.

• Retrieval and application . The process by which information is recovered from the memory storehouse is called retrieval . Application is putting that information into the right context. If the buyer can retrieve relevant information about a product, brand, or store, he or she will apply it to solve a problem or meet a need.

Variations in how each step is carried out in the information-processing sequence also occur. Especially influential is the degree of elaboration. Elaborate processing, also called central processing, involves active manipulation of information. A person engaged in elaborate processing pays close attention to a message and thinks about it; he or she develops thoughts in support of or counter to the information received. In contrast, nonelaborate, or peripheral, processing involves passive manipulation of information 3. It is demonstrated by most airline passengers while a flight attendant reads preflight safety procedures. This degree of elaboration closely parallels the low-involvement, high-involvement theory, and the same logic applies.

Identification and evaluation of alternatives

After information is secured and processed, alternative products, services, and outlets are identified as viable options. The consumer evaluates these alternatives, and, if financially and psychologically able, makes a choice. The criteria used in evaluation varies from consumer to consumer just as the needs and information sources vary. One consumer may consider price most important while another puts more weight upon quality or convenience.

The search for alternatives and the methods used in the search are influenced by such factors as: (a) time and money costs; (b) how much information the consumer already has; (c) the amount of the perceived risk if a wrong selection is made; and (d) the consumer's pre-disposition toward particular choices as influenced by the attitude of the individual toward choice behavior. That is, there are individuals who find the selection process to be difficult and disturbing. For these people there is a tendency to keep the number of alternatives to a minimum, even if they have not gone through an extensive information search to find that their alternatives appear to be the very best. On the other hand, there are individuals who feel it necessary to collect a long list of alternatives. This tendency can appreciably slow down the decision-making function.

Product/service/outlet selection

The selection of an alternative, in many cases ,will require additional evaluation. For example, a consumer may select a favorite brand and go to a convenient outlet to make a purchase. Upon arrival at the dealer, the consumer finds that the desired brand is out-of-stock. At this point, additional evaluation is needed to decide whether to wait until the product comes in, accept a substitute, or go to another outlet. The selection and evaluation phases of consumer problem solving are closely related and often run sequentially, with outlet selection influencing product evaluation, or product selection influencing outlet evaluation.

The purchase decision

After much searching and evaluating, or perhaps very little, consumers at some point have to decide whether they are going to buy. Anything marketers can do to simplify purchasing will be attractive to buyers. In their advertising marketers could suggest the best size for a particular use, or the right wine to drink with a particular food. Sometimes several decision situations can be combined and marketed as one package. For example, travel agents often package travel tours.

To do a better marketing job at this stage of the buying process, a seller needs to know answers to many questions about consumers' shopping behavior. For instance, how much effort is the consumer willing to spend in shopping for the product? What factors influence when the consumer will actually purchase? Are there any conditions that would prohibit or delay purchase? Providing basic product, price, and location information through labels, advertising, personal selling, and public relations is an obvious starting point. Product sampling, coupons, and rebates may also provide an extra incentive to buy.

Actually determining how a consumer goes through the decision-making process is a difficult research task. As indicated in the Newsline box, there are new research methods to better assess this behavior.

Postpurchase behavior

All the behavior determinants and the steps of the buying process up to this point are operative before or during the time a purchase is made. However, a consumer's feelings and evaluations after the sale are also significant to a marketer, because they can influence repeat sales and also influence what the customer tells others about the product or brand.

Keeping the customer happy is what marketing is all about. Nevertheless, consumers typically experience some postpurchase anxiety after all but the most routine and inexpensive purchases. This anxiety reflects a phenomenon called cognitive dissonance . According to this theory, people strive for consistency among their cognitions (knowledge, attitudes, beliefs, values). When there are inconsistencies, dissonance exists, which people will try to eliminate. In some cases, the consumer makes the decision to buy a particular brand already aware of dissonant elements. In other instances, dissonance is aroused by disturbing information that is received after the purchase 4. The marketer may take specific steps to reduce postpurchase dissonance. Advertising that stresses the many positive attributes or confirms the popularity of the product can be helpful. Providing personal reinforcement has proven effective with big-ticket items such as automobiles and major appliances. Salespeople in these areas may send cards or may even make personal calls in order to reassure customers about their purchase.

Capsule 8: Review

Influencing factors of consumer behavior

While the decision-making process appears quite standardized, no two people make a decision in exactly the same way. As individuals, we have inherited and learned a great many behavioral tendencies: some controllable, some beyond our control. Further, the ways in which all these factors interact with one another ensures uniqueness. Although it is impossible for a marketer to react to the particular profile of a single consumer, it is possible to identify factors that tend to influence most consumers in predictable ways.

The factors that influence the consumer problem-solving process are numerous and complex. For example, the needs of men and women are different in respect to cosmetics; the extent of information search for a low-income person would be much greater when considering a new automobile as opposed to a loaf of bread; a consumer with extensive past purchasing experience in a product category might well approach the problem differently from one with no experience. Such influences must be understood to draw realistic conclusions about consumer behavior.

For purpose of discussion, it may be helpful to group these various influences into related sets. Exhibit 11 provides such a framework. Situational, external, and internal influences are shown as having an impact on the consumer problem solving process. Situation influences include the consumer's immediate buying task, the market offerings that are available to the consumer, and demographic traits. Internal influences relate to the consumer's learning and socialization, motivation and personality, and lifestyle. External influences deal with factors outside the individual that have a strong bearing on personal behaviors. Current purchase behavior is shown as influencing future behavior through the internal influence of learning. Let us now turn to the nature and potential impact of each of these sets of influences on consumer problem solving. Exhibit 11 focuses on the specific elements that influence the consumer's decision to purchase and evaluate products and services.

Situational influences

Buying task

The nature of the buying task has considerable impact on a customer's approach to solving a particular problem. When a decision involves a low-cost item that is frequently purchased, such as bread, the buying process is typically quick and routinized. A decision concerning a new car is quite different. The extent to which a decision is considered complex or simple depends on (a) whether the decision is novel or routine, and on (b) the extent of the customers' involvement with the decision. A great deal of discussion has revolved around this issue of involvement. High-involvement decisions are those that are important to the buyer. Such decisions are closely tied to the consumer's ego and self-image. They also involve some risk to the consumer; financial risk (highly priced items), social risk (products important to the peer group), or psychological risk (the wrong decision might cause the consumer some concern and anxiety). In making these decisions, it is worth the time and energies to consider solution alternatives carefully. A complex process of decision making is therefore more likely for high involvement purchases. Low-involvement decisions are more straightforward, require little risk, are repetitive, and often lead to a habit: they are not very important to the consumer 5. Financial, social, and psychological risks are not nearly as great. In such cases, it may not be worth the consumer's time and effort to search for information about brands or to consider a wide range of alternatives. A low involvement purchase therefore generally entails a limited process of decision making. The purchase of a new computer is an example of high involvement, while the purchase of a hamburger is a low-involvement decision.

When a consumer has bought a similar product many times in the past, the decision making is likely to be simple, regardless of whether it is a high-or low-involvement decision. Suppose a consumer initially bought a product after much care and involvement, was satisfied, and continued to buy the product. The customer's careful consideration of the product and satisfaction has produced brand loyalty, which is the result of involvement with the product decision.

Once a customer is brand-loyal, a simple decision-making process is all that is required for subsequent purchases. The consumer now buys the product through habit, which means making a decision without the use of additional information or the evaluation of alternative choices.

Market offerings

Another relevant set of situational influences on consumer problem solving is the available market offerings. The more extensive the product and brand choices available to the consumer, the more complex the purchase decision process is likely to be.

For example, if you already have purchased or are considering purchasing a DVD (digital versatile disc), you know there are many brands to choose from—Sony, Samsung, Panasonic, Mitsubishi, Toshiba, and Sanyo, to name several. Each manufacturer sells several models that differ in terms of some of the following features–single or multiple event selection, remote control (wired or wireless), slow motion, stop action, variable-speed scan, tracking control, and so on. What criteria are important to you? Is purchasing a DVD an easy decision? If a consumer has a need that can be met by only one product or one outlet in the relevant market, the decision is relatively simple. Either purchase the product or let the need go unmet.

This is not ideal from the customer's perspective, but it can occur. For example, suppose you are a student on a campus in a small town many miles from another marketplace. Your campus and town has only one bookstore. You need a textbook for class; only one specific book will do and only one outlet has the book for sale. The limitation on alternative market offerings can clearly influence your purchase behavior.

As you saw in the DVD example, when the extent of market offerings increases, the complexity of the problem-solving process and the consumers' need for information also increases. A wider selection of market offerings is better from the customer's point of view, because it allows them to tailor their purchases to their specific needs. However, it may confuse and frustrate the consumer so that less-than-optimal choices are made.

Demographic influences

An important set of factors that should not be overlooked in attempting to understand and respond to consumers is demographics. Such variables as age, sex, income, education, marital status, and mobility can all have significant influence on consumer behavior. One study showed that age and education have strong relationships to store selection by female shoppers. This was particularly true for women's suits or dresses, linens and bedding, cosmetics, and women's sportswear.

DeBeers Limited, which has an 80 per cent share of the market for diamonds used in engagement rings, employed a consumer demographic profile in developing their promotional program. Their target market consists of single women and men between the ages of 18 and 24. They combined this profile with some lifestyle aspects to develop their promotional program.

People in different income brackets also tend to buy different types of products and different qualities. Thus various income groups often shop in very different ways. This means that income can be an important variable in defining the target group. Many designer clothing shops, for example, aim at higher-income shoppers, while a store like Kmart appeals to middle-and lower-income groups.

External influences

External factors are another important set of influences on consumer behavior. Among the many societal elements that can affect consumer problem solving are culture, social class, reference groups, and family.

A person's culture is represented by a large group of people with a similar heritage. The American culture, which is a subset of the Western culture, is of primary interest here. Traditional American culture values include hard work, thrift, achievement, security, and the like. Marketing strategies targeted to those with such a cultural heritage should show the product or service as reinforcing these traditional values. The three components of culture-beliefs, values, and customs-are each somewhat different. A belief is a proposition that reflects a person's particular knowledge and assessment of something (that is, "I believe that ..."). Values are general statements that guide behavior and influence beliefs. The function of a value system is to help a person choose between alternatives in everyday life.

Customs are overt modes of behavior that constitute culturally approved ways of behaving in specific situations. For example, taking one's mother out for dinner and buying her presents for Mother's Day is an American custom that Hallmark and other card companies support enthusiastically.

The American culture with its social values can be divided into various subcultures. For example, African-Americans constitute a significant American subculture in most US cities. A consumer's racial heritage can exert an influence on media usage and various other aspects of the purchase decision process.

Social class

Social class , which is determined by such factors as occupation, wealth, income, education, power, and prestige, is another societal factor that can affect consumer behavior. The best-known classification system includes upper-upper, lower-upper, upper-middle, lower-middle, upper-lower, and lower-lower class. Lower-middle and upper-lower classes comprise the mass market.

The upper-upper class and lower-upper class consist of people from wealthy families who are locally prominent. They tend to live in large homes furnished with art and antiques. They are the primary market for rare jewelry and designer originals, tending to shop at exclusive retailers. The upper-middle class is made up of professionals, managers, and business owners. They are ambitious, future-oriented people who have succeeded economically and now seek to enhance their quality of life. Material goods often take on major symbolic meaning for this group. They also tend to be very civic-minded and are involved in many worthy causes. The lower-middle class consists of mid-level white-collar workers. These are office workers, teachers, small business people and the like who typically hold strong American values. They are family-oriented, hard-working individuals. The upper-lower class is made up of blue-collar workers such as production line workers and service people. Many have incomes that exceed those of the lower-middle class, but their values are often very different. They tend to adopt a short-run, live-for-the-present philosophy. They are less future-oriented than the middle classes. The lower-lower class consists of unskilled workers with low incomes. They are more concerned with necessities than with status or fulfillment.

People in the same social class tend to have similar attitudes, live in similar neighborhoods, dress alike, and shop at the same type stores. If a marketer wishes to target efforts toward the upper classes, then the market offering must be designed to meet their expectations in terms of quality, service, and atmosphere. For example, differences in leisure concerts are favored by members of the middle and upper classes, while fishing, bowling, pool, and drive-in movies are more likely to involve members of the lower social classes.

Reference groups

Do you ever wonder why Pepsi used Shaquille O'Neal in their advertisements? The teen market consumes a considerable amount of soft drinks. Pepsi has made a strong effort to capture a larger share of this market, and felt that Shaquille represented the spirit of today's teens. Pepsi is promoted as "the choice of a new generation" and Shaquille is viewed as a role model by much of that generation. Pepsi has thus employed the concept of reference groups.

A reference group helps shape a person's attitudes and behaviors. Such groups can be either formal or informal. Churches, clubs, schools, notable individuals, and friends can all be reference groups for a particular consumer. Reference groups are characterized as having individuals who are opinion leaders for the group. Opinion leaders are people who influence others. They are not necessarily higher-income or better educated, but perhaps are seen as having greater expertise or knowledge related to some specific topic. For example, a local high school teacher may be an opinion leader for parents in selecting colleges for their children. These people set the trend and others conform to the expressed behavior. If a marketer can identify the opinion leaders for a group in the target market, then effort can be directed toward attracting these individuals. For example, if an ice cream parlor is attempting to attract the local high school trade, opinion leaders at the school may be very important to its success.

The reference group can influence an individual in several ways 6. :

• Role expectations: The role assumed by a person is nothing more than a prescribed way of behaving based on the situation and the person's position in the situation. Your reference group determines much about how this role is to be performed. As a student, you are expected to behave in a certain basic way under certain conditions.

• Conformity: Conformity is related to our roles in that we modify our behavior in order to coincide with group norms. Norms are behavioral expectations that are considered appropriate regardless of the position we hold.

• Group communications through opinion leaders: We, as consumers, are constantly seeking out the advice of knowledgeable friends or acquaintances who can provide information, give advice, or actually make the decision. For some product categories, there are professional opinion leaders who are quite easy to identify–e.g. auto mechanics, beauticians, stock brokers, and physicians.

One of the most important reference groups for an individual is the family. A consumer's family has a major impact on attitude and behavior. The interaction between husband and wife and the number and ages of children in the family can have a significant effect on buying behavior.

One facet in understanding the family's impact on consumer behavior is identifying the decision maker for the purchase in question. In some cases, the husband is dominant, in others the wife or children, and still others, a joint decision is made. The store choice for food and household items is most often the wife's. With purchases that involve a larger sum of money, such as a refrigerator, a joint decision is usually made. The decision on clothing purchases for teenagers may be greatly influenced by the teenagers themselves. Thus, marketers need to identify the key family decision maker for the product or service in question.

Another aspect of understanding the impact of the family on buying behavior is the family lifecycle . Most families pass through an orderly sequence of stages. These stages can be defined by a combination of factors such as age, marital status,and parenthood. The typical stages are:

• The bachelor state; young, single people.

• Newly married couples; young, no children.

• The full nest I and II; young married couples with dependent children:

• Youngest child under six (Full nest I)

• Youngest child over six (Full nest II)

• The full nest III; older married couples with dependent children.

• The empty nest I and II; older married couples with no children living with them:

• Adults in labor force (Empty nest I)

• Adults retired (Empty nest II)

• The solitary survivors; older single people:

• In labor force

• Retired

Each of these stages is characterized by different buying behaviors. For example, a children's clothing manufacturer would target its efforts primarily at the full nest I families. Thus, the family cycle can be helpful in defining the target customers.

Internal influences

Each customer is to some degree a unique problem solving unit. Although they can be grouped into meaningful segments, in order to fully appreciate the totality of the buying process, a marketer needs to examine the internal forces that influence consumers. They are learning/socialization, motivation and personality, and lifestyle.

Learning and socialization

As a factor influencing a person's perceptions, learning may be defined as changes in behavior resulting from previous experiences. However, learning does not include behavior changes attributable to instinctive responses, growth, or temporary states of the organism, such as hunger, fatigue, or sleep. It is clear that learning is an ongoing process that is dynamic, adaptive, and subject to change. Also, learning is an experience and practice that actually brings about changes in behavior. For example, in order to learn how to play tennis, you might participate in it to gain experience, be exposed to the different skills required, the rules, and so forth. However, the experience does not have to be an actual, physical one. It could be a conceptualization of a potential experience. In other words, you could learn to play tennis by reading about how to play without actually doing it. This is called nonexperiential learning .

Nonexperiential learning is particularly relevant in consumer behavior. For example, assume you are considering purchasing a bottle of Zinfandel wine. You ask the salesclerk what it tastes like, and he tells you it tastes like a strong ginger ale. Not liking the taste of ginger ale, you reject the purchase. Thus you have learned that you do not like Zinfandel wine without having a direct taste experience. A great deal of our learning is of this type. This may be one reason why marketers try to identify opinions leaders who in turn tell others in the market about the benefits of the product.

Another characteristic of learning is that the changes may be immediate or anticipated. In other words, just because we do not see immediate evidence that learning has taken place is no reason to assume that learning has not occurred. We can store our learning until it is needed, and frequently do this in terms of making purchase decisions. For example, we are willing to learn about many product attributes even though we do not expect to buy the product in the near future.

As new information is processed and stored over time, consumer learning takes place There are several theories of learning: one of the most useful to marketers is that of socialization. Socialization refers to the process by which persons acquire the knowledge, skills, and dispositions that make them more or less able members of their society. The assumption made is that behavior is acquired and modified over the person's lifecycle.

The social learning approach stresses sources of influence–"socialization agents" (i.e. other people)–that transmit cognitive and behavioral patterns to the learner. In the case of consumer socialization, this takes place in the course of the person's interaction with other individuals in various social settings. Socialization agents might include any person, organization, or information source that comes into contact with the consumer.

Consumers acquire this information from the other individuals through the processes of modeling, reinforcement, and social interaction Modeling involves imitation of the agent's behavior. For example, a teenager may acquire a brand name preference for Izod from friends. Marketers can make use of this concept by employing spokespersons to endorse their products and services who have strong credibility with their target consumers, as in the case of Bill Cosby (Jell-O). Reinforcement involves either a reward or a punishment mechanism used by the agent. A parent may be reinforced by good product performance, excellent post-purchase services, or some similar rewarding experience. The social interaction mechanism is less specific as to the type of learning involved; it may include a combination of modeling and reinforcement. The social setting within which learning takes place can be defined in terms of variables such as social class, sex, and family size.

These variables can influence learning through their impact on the relationship between the consumer and others. It should be noted that an individual who promotes learning can be anyone—such as parent, friend, salesperson, or television spokesperson.

Motivation is a concept that is difficult to define. In fact, the difficulty of defining motives and dealing with motivation in consumer research accounts for its limited application. For the most part, the research in motivation involves benefit segmentation and patronage motives. Patronage motives typically concern the consumer's reasons for shopping at a particular outlet. Consumers are classified, for example, as price-conscious, convenience-oriented, service-oriented, or in terms of some other motivating feature.

A motive is the inner drive or pressure to take action to satisfy a need. To be motivated is to be a goal-oriented individual. Some goals are positive, some are negative, some individuals have a high level of goal orientation, some have a very low level. In all cases, the need must be aroused or stimulated to a high enough level so that it can serve as a motive. It is possible (and usual) to have needs that are latent (unstimulated) and that therefore do not serve as the motive of behavior. The sources of this arousal may be internal (people get hungry), environmental (you see an ad for a Big Mac), or psychological (just thinking about food can cause hunger). It is possible (and usual) to have needs that are latent (unstimulated) and that therefore do not serve as the motive of behavior.

For motivation to be useful in marketing practice, a marketing manager must understand what motives and behaviors are influenced by the specific situation in which consumers engage in goal-directed, problem-solving behavior.

Motivation flows from an unmet need, as does all consumer problem solving. Perhaps the best known theory dealing with individual motivation is provided in the work of A H Maslow. One of the most important parts of Maslow's theory is his development of a model consisting of several different levels of needs that exist in a human being and relate to each other via a "need hierarchy”. Maslow has differentiated between five levels of needs. The first of these concerns itself with physiological needs; that is, hunger, thirst, and other basic drives. All living beings, regardless of their level of maturity, possess physiological needs. Physiological needs are omnipresent and are of a recurrent nature7.

Safety and security needs are second in Maslow's hierarchy. The difference between physiological needs and safety and security needs is somewhat hazy. Safety and security imply a continued fulfillment of physiological needs. This is an extension of the more basic needs.

Third in Maslow's hierarchy of needs are the love needs. These are the needs for belonging and friendship. They involve a person's interaction with others. The fourth level of needs in Maslow's hierarchy is the esteem needs. These are needs related to feeling good about oneself and having a positive self-image.

The fifth and highest level in Maslow's needs hierarchy is the need for self-actualization or self-fulfillment. This need can be defined as the need of a person to reach his full potential in terms of the application of his own abilities and interest in functioning in his environment.

It is important in discussing these levels of Maslow's hierarchy to point out two additional factors. First, Maslow has clearly indicated that these five levels of needs operate on an unconscious level. That is, the individual is probably not aware of concentration upon one particular need or one assortment of needs. One of the misunderstandings associated with Maslow's theory is that he believes the five needs to be mutually exclusive. That, in fact, is not the intent of Maslow. To the contrary, several of these needs may occur simultaneously for any one individual; the relative importance of each need for any one individual determines the hierarchy involved.

When we attempt to integrate Maslow's needs hierarchy with the concept of segmentation, we can see that a manager might find certain subgroups that fit together because of some homogeneity of needs. For example, a marketer may target a group with strong self-esteem needs in designing a promotional program for cosmetics. Appeals to higher-order needs are important for many products and services, even basic commodities.

Personality is used to summarize all the traits of a person that make him/her unique. No two people have the same traits, but several attempts have been made to classify people with similar traits. Perhaps the best-known personality types are those proposed by Carl Jung, as is a variation on the work of his teacher, Sigmund Freud. His personality categories are introvert and extrovert . The introvert is described as defensive, inner-directed, and withdrawn from others. The extrovert is outgoing, other-directed, and assertive. Several other more elaborate classifications have also been devised.

Various personality types, like people with various motives, are likely to respond in different ways to different market offerings. For example, an extrovert may enjoy the shopping experience and rely more on personal observation to secure information; thus, in-store promotion would become an important communication tool. Knowing the basic personality traits of target customers can be useful information for the manager in designing the marketing mix. Marketers have, however, found personality to be difficult to apply in developing marketing strategy. The primary reason for this is the lack of good ways to measure personality traits. Most available measures were developed to identify people with problems that needed medical attention. These have little value with consumers who are mentally healthy. As a result, most marketers have turned to lifestyle analysis.

One of the newer and increasingly important set of factors that is being used to understand consumer behavior is lifestyle. Lifestyle has been generally defined as the attitudes, interests, and opinions of the potential customer. Such variables as interest in hunting, attitude toward the role of women in society, and opinion on the importance of dressing well can be used to better understand the market and its behavior.

It is the multifaceted aspect of lifestyle research that makes it so useful in consumer analysis. A prominent lifestyle researcher, Joseph T Plummer, summarizes the concept as follows:

...life style patterns, combines the virtues of demographics with the richness and dimensionality of psychological characteristics....Life style is used to segment the marketplace because it provides the broad, everyday view of consumers life style segmentation and can generate identifiable whole persons rather than isolated fragments. 8.

A useful application of the lifestyle concept relates to consumer's shopping orientation. Different customers approach shopping in very different ways. They have different attitudes and opinions about shopping and different levels of interest in shopping. Once people know their alternatives, how do they evaluate and choose among them? In particular, how do people choose among brands of a product? Current description of this process emphasizes the role of attitudes. An attitude is an opinion of a person, idea, place, or thing. Attitudes range based on a continuum from very negative to very positive. Traditionally, an attitude is broken down into three components: cognitive, affective, and behavioral. That is, an attitude is first what we know/believe, followed by what we feel, and ending with an action. Thus, we have learned that a particular company has been polluting a local river; we feel very strongly that business should not do this and feel very angry; and we boycott the product made by that company.

A great deal of marketing strategy is based on the idea that the cognitive, affective, and behavioral components of an attitude tend to be consistent. Thus, if it is possible to change what people believe about Yamaha CD players, their feelings and their actions may eventually change as well. However, this relationship among the three components of an attitude seems to be situation–or even product–specific. For example, attitudes tend to predict behavior better in high-involvement decisions. Thus, if someone has a strong attitude about wearing stylish clothes, then it is possible to predict that the person will restrict purchases to a particular set of brands. Furthermore, we do not react to products in isolation. The situation, or our attitude toward the situation, plays an important role in how well attitudes predict behavior. For example, assume that a consumer likes pizza but does not like Pizza Inn pizza. In a social setting where everyone wants to go to Pizza Inn for pizza, this person might eat this brand rather than not have pizza at all.

Despite limitations on the predictive power of attitudes, attitudes can help us understand how choices are made. However, we need to carefully assess the validity of the attitude-behavior relationships for each situation and product.

Capsule 9: Review

Given the hypothesis that attitudes influence buying behavior, how can a company bring its products and consumers' attitudes into a consistent state; that is, into a situation where consumers evaluate a given product or brand as satisfying their need? Marketers have two choices: either they can change consumers' attitudes to be consistent with their product, or they can change the product to match attitudes. It is easier to change the product than to change consumers' attitudes. Nevertheless, attitudes can sometimes be modified. Modifying attitudes might be the only reasonable choice, as when a firm is introducing a truly new product or an unusual new use for an existing one. Marketers should nevertheless face the fact that it is extremely difficult to change consumers' attitudes. If there is to be change, it is most likely to occur when people are open-minded in their beliefs or when an existing attitude is of weak intensity; that is, when there is little information to support the attitude or very little ego involvement on the individual's part. The stronger a person's loyalty to a certain brand, for example, the more difficult it is to change that attitude.

1. [1] Sources : Jennifer Gilbert, "New Teen Obsession," Advertising Age, February 14, 2000, p. 8; "School Daze," American Demographics, August 1999, p. 80; Krestina Filiciano, "Just Kidding," Adweek, May 1, 2000, p. 58.

2. [2] Sources : Joanne Gordon, "Shrink Rap," Fortune, February 7, 2000, pp. 110-111; Ronald B. Liebier, "Storytelling: A New Way to Get Close to the Customer," Fortune, February 3, 1997, pp. 102-105; Kendra Darko, "Zooming In On What's Important." American Demographics, August 1999, pp. 46-47.

What is problem solving and why is it important

By Wayne Stottler , Kepner-Tregoe

• Problem Solving & Decision Making Over time, developing and refining problem solving skills provides the ability to solve increasingly complex problems Learn More

For over 60 years, Kepner-Tregoe has been helping companies across industries and geographies to develop and mature their problem-solving capabilities through KT’s industry leading approach to training and the implementation of best practice processes. Considering that problem solving is a part of almost every person’s daily life (both at home and in the workplace), it is surprising how often we are asked to explain what problem solving is and why it is important.

Problem solving is at the core of human evolution. It is the methods we use to understand what is happening in our environment, identify things we want to change and then figure out the things that need to be done to create the desired outcome. Problem solving is the source of all new inventions, social and cultural evolution, and the basis for market based economies. It is the basis for continuous improvement, communication and learning.

If this problem-solving thing is so important to daily life, what is it?

Problem-solving is the process of observing what is going on in your environment; identifying things that could be changed or improved; diagnosing why the current state is the way it is and the factors and forces that influence it; developing approaches and alternatives to influence change; making decisions about which alternative to select; taking action to implement the changes; and observing impact of those actions in the environment.

Each step in the problem-solving process employs skills and methods that contribute to the overall effectiveness of influencing change and determine the level of problem complexity that can be addressed. Humans learn how to solve simple problems from a very early age (learning to eat, make coordinated movements and communicate) – and as a person goes through life problem-solving skills are refined, matured and become more sophisticated (enabling them to solve more difficult problems).

Problem-solving is important both to individuals and organizations because it enables us to exert control over our environment.

Fixing things that are broken

Some things wear out and break over time, others are flawed from day-1. Personal and business environments are full of things, activities, interactions and processes that are broken or not operating in the way they are desired to work. Problem-solving gives us a mechanism for identifying these things, figuring out why they are broken and determining a course of action to fix them.

Addressing risk

Humans have learned to identify trends and developed an awareness of cause-and-effect relationships in their environment. These skills not only enable us to fix things when they break but also anticipate what may happen in the future (based on past-experience and current events). Problem-solving can be applied to the anticipated future events and used to enable action in the present to influence the likelihood of the event occurring and/or alter the impact if the event does occur.

Improving performance

Individuals and organizations do not exist in isolation in the environment. There is a complex and ever-changing web of relationships that exist and as a result, the actions of one person will often have either a direct impact on others or an indirect impact by changing the environment dynamics. These interdependencies enable humans to work together to solve more complex problems but they also create a force that requires everyone to continuously improve performance to adapt to improvements by others. Problem-solving helps us understand relationships and implement the changes and improvements needed to compete and survive in a continually changing environment.

Seizing opportunity

Problem solving isn’t just about responding to (and fixing) the environment that exists today. It is also about innovating, creating new things and changing the environment to be more desirable. Problem-solving enables us to identify and exploit opportunities in the environment and exert (some level of) control over the future.

Problem solving skills and the problem-solving process are a critical part of daily life both as individuals and organizations. Developing and refining these skills through training, practice and learning can provide the ability to solve problems more effectively and over time address problems with a greater degree of complexity and difficulty. View KT’s Problem Solving workshop known to be the gold standard for over 60 years.

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