MARKET: Four levels of Product/Service

I selected the businesses I compared originally. LHF is probably the the closest comparison to my business. As I mentioned before, we are friends and share some of the same philosophies, but there are several differences in our businesses. This exercise was interesting because I typically try to not follow LHF too closely since we are friends and I don't want to end up copying anything she is doing. Not because we are friends, but because I think there are plenty of ideas out there that can be applied to fitness without copying my competitors. That's what gives me an edge too. If everyone else is doing it the same, I want to offer something unique. 

I feel like Beachbody is a temporary competitor. If you look at the history of all MLMs, they all rise and fall in cycles. Who knows, there will probably be a new competitor in this category once everyone gets burned out by Beachbody. I am already having several people coming to/returning to me telling me how sick of Beachbody they are. Based on my experience in training and transformations, I can tell the Beachbody workouts are good for beginners, but more advanced clients will see diminishing returns from Beachbody as their bodies adapt. 

NJF's branding is "at-home workouts" but she uses almost exclusively body-weight training and many of my clients want to lift weights. One of my client interviews said she compared me to NJF, but then she looked at all the other DVDs and workout books she had on the shelf and decided she didn't want to add to the collection that wasn't prompting any action. 

MARKET: Competitors

• Identify direct and indirect (and potential) competitors. DO NOT INDICATE THAT THERE IS NO COMPETITION.  Make a realistic assessment of their strengths and weaknesses. Discuss the 3 or 4 key competitors and why customers buy from them, and determine why customers might leave them.
1. Lori Harder - www.loriharderfitness.com is a similar online training business offering digital downloads and online training groups. Lori and I are actually friends and have a very similar fitness competition background. Lori has been at this longer than I have and her branding is, as my client described as "more buttoned up" marketing which attracted her to Lori's 3 month program when she was searching for a program. The feedback I received from several of my clients said they chose me over a better-marketed competitor because I seemed more relatable and they didn't feel like they were just going to get some digital downloads and some fitpro's "team" to coach them. Some people have left Lori's program to try mine out because according to them, she doesn't really even interact with her clients in her online coaching groups so much. It is her "team" managing communications. I've also had my clients leave me and try her program since they are so similar and their marketing is much more persistent than mine. Lori's job description on her social profiles is "Self Love Expert". She also runs The Bliss Project which is along the same lines and the "spirit junkie" movement. This is highly popular with some people, but most people who are drawn to my non-nonsense training and military background are not as drawn to the follow your bliss philosophy. Our pricing is very similar for the 3 month programs we offer, but her program recommends purchasing over $300 in supplements to get started. I don't make these recommendations, only a guide to which protein powders/meal replacements I recommend and why. LHF has many more financial resources than I do for branding/marketing. While my resources and marketing budget are not as large, I still feel like I can compete based on offering clients something they aren't getting from the manufactured feeling of this larger operation. I don't have a large overhead expense and don't need to have tens of thousands of clients to consider myself successful. 
2. Beachbody - these are workouts that can be done at home which is highly attractive to my current and potential clients. Many of my clients come to me after trying or give Beachbody a try. Most have been highly disappointed by Beachbody because the "coaches" don't have any of the experience I have. They are more like cheerleaders than coaches or trainers and typically apply high pressure on clients to also buy into the Shakeology shakes. Obviously their marketing materials and DVDs are professionally produced while a lot of mine have been created by me. The power of MLM is strong... to the point where some people treat it like a religion. This means people who buy in usually buy in big, but the ones who are turned off by the rah, rah, are extremely opposed to whole operation. Beachbody has many more financial resources than I do for branding/marketing as well as a huge sales force. While my resources and marketing budget are not as large, I still feel like I can compete based on offering clients something they aren't getting from the manufactured feeling of this larger operation. I don't have a large overhead expense and don't need to have tens of thousands of clients to consider myself successful. 
3. Natalie Jill Fit - Natalie Jill Fit sells mostly digital downloads and DVDs. The quality of these products is high and she has a huge social media presence and excellent branding. Clients said they chose me over NJF due to the personal touch and coaching I provide. NJF also focuses on body weight training and my clients prefer the weight training I program for them. While my resources and marketing budget are not as large, I still feel like I can compete based on offering clients something they aren't getting from the manufactured feeling of this larger operation. I don't have a large overhead expense and don't need to have tens of thousands of clients to consider myself successful. 

MARKET: Customer Segments

1) Describe your segments. You need to come up with at least 3 segments. Be creative and insightful in describing the existing the existing segments. Note that potential customers need to be classified by relatively homogeneous groups having common identifiable characteristics (they must be homogeneous in terms of needs or buying behavior). 

Market Segmentation - 3 Groups:

1.) Busy moms looking for a fitness program they can fit into their busy schedules.

2.) Women in their 40's and 50's looking for a solid program that will both work for them and have a deeper meaning than some 25 year old bouncing around trying to perfect her already perfect bikini-bod.

3.) Men who just want their marching orders to take to the gym and get the job done. 

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2) Include a table summarizing the various segments. In this table list characteristics that define your target customers (demographics, psychographics, benefits sought, information sources utilized, product usage rates, etc.). Here you can see the examples of how such a table may look like. 

3) Indicate which segments (no more than two) you will be prioritizing. Which segments represent the greatest sales potential and why.

I will continue to focus on my moms and mid-life-aged women as my primary segments since they already represent the largest segment and have always represented the largest segment. 

MARKET: Customer Interview 5

Brian: Brian originally found me when I was on the cover of the PhillyFit Magazine back in March 2012. We worked together for about a year and then he hired an in-person trainer for a bit before coming back to my online program. 

Here is the embedded audio file:

https://soundcloud.com/skfitlife/market-customer-interview-5/s-kVbyX


Most interesting:
As silly as this sounds, I found it most interesting that I was able to convert a lead from the cover of a magazine to a long-term client with my original website. 

What I would change:
I wouldn't change a thing with how I am doing these interviews... the only things I am going to change is implementing the suggestions my clients are giving me.

MARKET: Buyer Behavior Process

MARKET: Customer Interview 4

Dee: She has been with me for about 3 years now. Like Carol, Dee found me through a google search. 

Here is the embedded audio file:

https://soundcloud.com/skfitlife/market-customer-interview-4/s-GgnCI


Most interesting:
As I mentioned in the first line, Dee found me through a Google search when she was looking for an online program. This was very surprising to me because the online fitness space is SOOOOOO crowded. These interviews have shown me that I actually stand a chance in organic google searches even though about 80% of my clients come from a personal relationship I have with them.

What I would change:
I wouldn't change a thing with how I am doing these interviews... the only things I am going to change is implementing the suggestions my clients are giving me.

Half-Way Reflection

1) What did you learn during this month?

I learned I am glad I launched my business 4.5 years ago and long before I did these exercises otherwise I would have had analysis paralysis and NEVER would have launched my business or left my comfy paycheck as an engineer. 

That being said, at this point in my business, I find these assignments very helpful in taking the experiences I have had and really focusing on where I want my business to go from here. 

2) What do you like about this course?

That we are graded on effort, not content. This gives the freedom to write what you really think versus what you think the right answer is. Like I said in #1, if I were doing this without a track record of success and proof that this business really does work, I would have chalked it up to not possible by now.

3) What don't you like about this course?

It's great to have feedback from classmates, but a lot of the feedback I have gotten comes from their fears and very limited experience in my particular field. While everyone is certainly giving their best feedback, I have to say it isn't unlike the feedback I've been getting from my family, friends, co-workers, and even strangers when they hear "online fitness" over the years. 

4) Do you think it was a fair assumption that this course requires 8-10 hours of work per week? What has been your experience so far and why?

Yes, I would say that is about right. Some weeks require a little more than others. Thank you for the heads up on the interview weeks!!! Between running a business and life, 8-10 hours for one class is challenging. 

5) If it were up to you, what would you change in the course to make it better?

Maybe have the first assignment be to create some sort of video explanation of the business. I realize mine would be a little easier to make a video because I already have social proof, photos, etc., but I think this would give the class a better intro into the business. Non-video people would hate me for that recommendation.