Market discussion

2.2.4 Customer Needs – Possible  Segmenting Dimensions

Dr. Hardy asked her staff to generate a list of possible customer needs as they related to veterinary services. She understood that the clinic should not try to meet all customer needs, but wanted to know what the staff believed were customer needs.

The following list includes customer needs that were identified – but were not chosen as needs that HVC would try to address.

· Low costs/low prices

· While this might appeal to a limited set of customers, the clinic’s traditional emphasis on care and taking time with owners and pets makes it difficult to be profitable while also offering low prices. This option also is not consistent with current screening criteria.

· Mobile clinic – visiting pets at their owners’ homes

· Competitors provide this service.

· While this would fit with the clinic’s goal of compassionate, personal care, would sacrifice the ability to provide good care to more customers at the clinic.

· Add services for large animals

· Another vet could be hired to provide these services (Dr. Hardy does not have this specialty), but most of current customers do not have these needs and the current facility does not fit well with providing good service to large animals.

· Convenient location

· Moving to a new location in the short run is not practical. A new location is being planned for and will be in the same general area so that it remains convenient to most customers.

· Other options – such as adding a satellite office – were considered too costly.

· The current location is convenient to the vast majority of current customers and allows some to fit in some shopping on the same trip.

· Treatment of exotic animals

· Some veterinarians specialize in the treatment of exotic animals. This requires additional training, which Dr. Hardy does not currently have.

· The local market has very limited call for this need – given the small size of the market, the clinic chose not to address these needs directly but to make referrals to clinics that could provide these services.

HVC feels that it can deliver on the following customer needs – and that these needs are consistent with its current screening criteria.

· Compassionate treatment of animals

· This is part of the current approach to the market and consistent with Dr. Hardy’s personal values.

· While this is a customer need, customers only learn that HVC delivers on this need after visiting the clinic. Marketing communications do not emphasize this benefit of HVC’s services.

· Compassionate treatment of owners

· This is part of the current approach to the market and consistent with Dr. Hardy’s personal values.

· While this is a customer need, customers only learn that HVC delivers on this need after visiting the clinic. Marketing communications do not emphasize this benefit of HVC’s services.

· High quality medical care

· This also fits with the current approach and facilities. Over the last few years the clinic has invested in state-of-the-art diagnostic and treatment equipment.

· While this is a customer need, customers only learn that HVC delivers on this need after visiting the clinic. Marketing communications do not emphasize this benefit of HVC’s services.

· Treatment of small animals

· This is the current focus of the clinic and is consistent with the clinic’s expertise and facilities.

2.2.6  Identification of target market(s)

Therefore, HVC’s marketing strategy may have to be adapted to these two  target  markets:

1. Pet owners with small animals living within 10 miles of Wellington, Colorado who  are not currently  customers  of HVC.

2. Pet owners with small animals living within 10  miles  of Wellington, Colorado who  are currently customers of HVC.

3. 4  Differentiation  and  Positioning

4. An evaluation of Hillside Veterinary Clinics’ strengths and weaknesses, their competitors, and their customers provides insights into opportunities for differentiation and positioning. This review suggests that HVC can be differentiated from the competition by its high level of customer service, compassionate health care, and location in Wellington. These points of differentiation lead to the following statement to describe HVC’s desired positioning:

5. For all small pet owners within a 10-mile radius of Wellington, Colorado, Hillside Veterinary Clinic provides the most compassionate and personalized care of all local veterinary clinics, because its staff loves animals and provides excellent customer service for both pets and pet owners.

6. This positioning and differentiation will help drive the marketing strategy decisions that follow.

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