problem solving marketing meaning

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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Top Marketing Problems and Solutions: How to Strategically Combat Issues

In the world of marketing, there are a lot of innovative and creative campaigns that help businesses achieve great results. But an industry as vast and expansive as advertising also allows space for problems to arise. If you’ve experienced (or are currently experiencing) issues, you may feel like your troubles are unique. Take heart! You’re definitely not the only person — or company — going through digital marketing woes. 

Several situations have proven consistently tricky for many branding and marketing agencies all over the world. The COVID-19 pandemic was the stem of some of these issues like hiring, but others are just typical problems that many advertising agencies experience simply because they work in the marketing industry. 

We’re going to explore some of the most common types of situations that marketers find themselves facing, what solutions you can implement, signs that problems are occurring (even if you may not see it) and how a strong and set marketing strategy can help any agency avoid falling into the trap of common complications. 

Ready to get started? Let’s dive in!

Common Marketing Problems You May Be Facing

The worst possible response to marketing problems is to freak out. First, you must understand that this is, sadly, much more normal than you’d expect. There are certain obstacles nearly everyone in the industry encounters at one time or another. 

Before diagnosing a situation, you should start by figuring out if it’s a marketing problem or a business problem. Although advertising agencies are called to fix marketing problems, if you do a deep dive into what’s going on, you may actually discover that it’s a problem connected to the business. 

• Business Problems: Any hurdle, situation or variation that leads to a difference between the desired objectives and actual accomplished results is a business problem. This type of issue can’t be solved with more marketing. For example, if your message isn’t connecting with the intended audience, saying it louder or more frequently isn’t going to fix anything. You’ve heard the saying “putting lipstick on a pig,” right? Well, dressing up your business with marketing when the inherent problem is much deeper than that won’t do a thing. 
• Marketing Problem: If you don’t have a business problem inhibiting your efforts from being effective, then you most likely have a marketing problem. This type of issue can be defined as any factors in a campaign that affect the results you may be looking for, like a lack of strategy, a bad understanding of your target audience or unengaging social media posts. These are the types of problems that we’re going to discuss today. 

So, what are the most common types of marketing or advertising challenges? Here are a few examples that many companies experience: 

Recruiting Talent

During the shutdown of the COVID-19 pandemic, many businesses had to adjust how they run their business , and marketing was no different. Now that the recovery and revival of “normal” is taking place, some agencies have found that hiring and keeping employees is a difficult task to undertake. The HR managers put much effort to make  team extension  as quality and profitable for their business as possible. 

Talented marketers are often in high demand, making recruiting and maintaining an accomplished staff an issue. Many marketing professionals have found ways to offer their staff benefits and positive work experiences including more flexibility, educational opportunities and higher salaries. 

Lack of Clear Strategy

About 50% of companies using digital marketing have no plan or strategy in place for their efforts. This is a problem because if you don’t know why and how you’re doing something, it will most likely not yield helpful or beneficial results. Having a plan of attack for all things, from email marketing and content creation to website design and social media, will enable you to make informed decisions and will most likely deliver you the outcomes you’re hoping for. 

With a marketing strategy you can:

• Find your target demographic.
• Create SMART (specific, measurable, attainable, realistic and timely) goals.
• Keep your team on the same page.
• Be timely. 
• Make your brand more authentic.
• Ensure brand awareness.

No Alignment With Buyer Personas

If marketers don’t know who they’re creating content for, then it will be difficult to effectively communicate with them. No industry is the same, meaning that every audience that is being targeted has specific needs that should be met, and tones of voice and language choices that resonate with them. If you aim at nothing, you’re sure to hit it.

Another common sector of buyer persona problems is shooting for the wrong group of people. Trustmary found that 80% of content marketing is targeted at the wrong audience . Basically, a marketing team could have the best possible creative work to send out, and a great marketing plan to execute, but if it’s given to the wrong people, it won’t land properly. 

Showing ROI

Often, when a company experiences financial hardships, the first thing to be cut is marketing spend. The reason for this might be that proving its value can be difficult without specific tactics in place to do so. Hubspot’s State of Marketing Report found that demonstrating the return on investment (ROI) of marketing activities to be the No. 1  roadblock for marketers . 

When done correctly, marketing does offer a boundless supply of benefits for companies. But if you can’t specify what the impacts of advertising efforts like market research, email campaigns or social media marketing are to upper management or clients, it’s going to be difficult to continue producing quality work. 

You have probably found yourself knee-deep in one of the situations above, but there are solutions to these problems. Continue reading to learn what you can do to help yourself and your clients get the results you’re hoping to achieve. 

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Effective Solutions for Bumps in the Road

For every marketing problem, there’s a solution. Some issues might take more effort than others, but all fixes require strategic thinking and research to fully understand where the problem stems and what the best steps forward are. Let’s look specifically at the challenges we listed above:

How to Fix Your Recruiting Practices

There are loads of ways to make your current employees happy as well as bring in new talent, but we’re just going to talk about a few. First, ensure your marketing team is heard and satisfied by adding feedback channels in the workplace. This could be a digital platform that collects remarks, or could be a physical version in your office. Either way, make sure your employees know their thoughts are valued by actually giving them the ability to share.

Word of mouth is everything nowadays. If your employees share that they’re happy on social media platforms like LinkedIn, or if they speak positively about your company with their friends and family, more people will be prone to apply to your open positions. And, you’ve hired your team for a reason — pay attention to who they think would be a good fit for the business. 

Creating a Clear Strategy

A set strategy is vital for consistent and effective marketing, but that doesn’t mean it’s a breeze to build. Let’s break down the process for creating a marketing strategy :

• Define Your Goals: Have your target objectives in mind before you start creating any advertising content. This can make sure your hard work is going to serve a specific purpose and will help you have an end goal to aim for. 
• Think of Your Audience: Understand and highlight who it is that you’re trying to reach. Every industry and type of business speaks to very unique people, meaning that your marketing initiatives must work for your target audience. Create buyer personas to help you visualize the set group of customers as you work.
• Build Brand Messaging: Since you’re speaking to your specific audience, ensure that they can recognize and pick out your brand from the competition using a set tone and voice. 
• Research Your Competitors: You should never ever copy what your competitors are doing — you bring a unique voice to the market. But, it’s smart to pay attention to what other brands are bringing to the table. 

Once you go through the process of creating your marketing strategy, you’re off to the races! 

Mending Your Buyer Personas

Finding a solution for your either lack of or incorrect target audience comes from having a clear marketing strategy, which we’ll get into more later. After you create your strategy for all marketing and advertising efforts, you should understand who it is that you’re trying to reach. With that knowledge, you can ask yourself the following questions before creating any content:

• Is my customer really interested in this?
• Will they actually care about this topic or information?
• What needs am I meeting or problems am I solving for my target audience?
• Is there a better way that I could connect with my audience?

If you’re confident in your answer, go ahead and interact with your buyers! And if you’re not? It may help to create buyer personas — model people who match your ideal customers. Give him or her a name, a detailed description and think about them every time you’re working on a component of your marketing. This can help you cut generalizations about who you’re creating content for, and be more specific and focused on the right group of people. Then you can create inbound marketing to attract these people and build more brand loyalty. 

Better Prove Your ROI

Your digital marketing efforts should be full circle, meaning that you should always end up with actual results and data that you can either determine successful or not. Without the power of marketing and sales working together, it’s really difficult to calculate ROI. Discover how much impact your content actually had on your target audience by looking at data points like impressions, qualified leads, web traffic, conversion rates and actual sales. After checking over the relevant information, compare those numbers to the specific goals that you’d made prior to creating the content. 

Did you meet your objectives like you’d hoped? We hope so! Either way, it’s time to put those numbers into a dashboard that can be easily displayed and read by your clients or upper management. By showing the impact of the advertising procedures you followed throughout the project timeline, you’re better able to discuss and prove the work was worth it and made a difference for your clients. 

Maybe none of these issues are things that you’ve experienced — so you think. But what if problems are occurring that you’re unaware of? If that’s the case, you could be losing money or potential customer partnerships without even knowing it. Want to learn more about how to know if you’re flying blindly into challenges? You’ve come to the right place. 

Tell-Tale Signs That You’re Experiencing Issues

We sincerely hope your marketing efforts are going well, but if they’re not, we want you to be aware. Here are some common red flags that you may be missing with your current advertising:

• Email Unsubscribes: This happens pretty normally, but not at alarmingly high rates. If you’ve had a drop-off in subscriber numbers, it’s probably because the content may be irrelevant or targeted toward the wrong people. This could also be a sign to check in on your email marketing platform to ensure your leads and contacts are being handled correctly. 
• Wrong Audience: Have people been clicking on your organic listings without converting? Maybe it’s time to reassess your messaging and brand personas. 
• Ad-Heavy: We’ll say it very loudly: Paid advertising isn’t bad! But, if you’re solely relying on it to be noticed by any members of your audience, then you should consider creating meaningful content that can draw more organic traffic to your brand. 
• Losing Followers: Similar to email subscribers, if you’re seeing a large dip in social media followers lately, it could be smart to reassess your social media marketing strategy. Although this is a common marketing problem, it can be more serious than some understand.

How Strategy Can Safeguard Your Marketing Practices

We’ve talked a lot about strategy, and that’s because it’s super important to find success with your brand. 

To ensure your marketing is strategic, you must create goals that your efforts can adhere to. And, to pinpoint objectives you need to do a bit of research. Here are the key elements of a brand strategy:

• Value Proposition: A simple statement that summarizes why a customer would choose your product or service over the competition.
• Key Brand Messaging: Set tone, language and values that articulate how your brand sounds and speaks to your audience.
• Target Customers: The specific audience that your product or service is aiming to please, as well as the competition that you’re battling.

Also described as the four Ps of marketing: product, price, place and promotion. Having these factors defined can help your team align to achieve specific goals, tie your efforts to business objectives, identity and test what resonates with your target audience and helps you stay up-to-date and capitalize on emerging technological and cultural trends. 

Although these marketing problems are common, they don’t have to be inevitable. Avoid the above issues (and any unlisted situations) and find success by efficiently recruiting, defining your strategy, targeting the right people and proving your ROI. 

Madelyn Gardner

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Madelyn Gardner is a content writer based in Nashville, Tennessee. Off the clock, she loves being outside, hiking, reading, baking and eating Mexican food — specifically burritos.

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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.

Access your free e-book today.

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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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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4.3: Buyer behavior as problem solving

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• Page ID 21352

• John Burnett
• Global Text Project

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.

How to Use a Problem Solving Marketing Approach

by Robert Brinkman | Nov 20, 2018 | Marketing

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Article • 7 min read

What Is Problem Solving?

Find a solution to any problem you face.

By the Mind Tools Content Team

We all spend a lot of our time solving problems, both at work and in our personal lives.

Some problems are small, and we can quickly sort them out ourselves. But others are complex challenges that take collaboration, creativity, and a considerable amount of effort to solve.

At work, the types of problems we face depend largely on the organizations we're in and the jobs we do. A manager in a cleaning company, for example, might spend their day untangling staffing issues, resolving client complaints, and sorting out problems with equipment and supplies. An aircraft designer, on the other hand, might be grappling with a problem about aerodynamics, or trying to work out why a new safety feature isn't working. Meanwhile, a politician might be exploring solutions to racial injustice or climate change.

But whatever issues we face, there are some common ways to tackle them effectively. And we can all boost our confidence and ability to succeed by building a strong set of problem-solving skills.

Mind Tools offers a large collection of resources to help you do just that!

How Well Do You Solve Problems?

Start by taking an honest look at your existing skills. What's your current approach to solving problems, and how well is it working? Our quiz, How Good Is Your Problem Solving? lets you analyze your abilities, and signposts ways to address any areas of weakness.

Define Every Problem

The first step in solving a problem is understanding what that problem actually is. You need to be sure that you're dealing with the real problem – not its symptoms. For example, if performance in your department is substandard, you might think that the problem lies with the individuals submitting work. However, if you look a bit deeper, the real issue might be a general lack of training, or an unreasonable workload across the team.

Tools like 5 Whys , Appreciation and Root Cause Analysis get you asking the right questions, and help you to work through the layers of a problem to uncover what's really going on.

However, defining a problem doesn't mean deciding how to solve it straightaway. It's important to look at the issue from a variety of perspectives. If you commit yourself too early, you can end up with a short-sighted solution. The CATWOE checklist provides a powerful reminder to look at many elements that may contribute to the problem, keeping you open to a variety of possible solutions.

Understanding Complexity

As you define your problem, you'll often discover just how complicated it is. There are likely several interrelated issues involved. That's why it's important to have ways to visualize, simplify and make sense of this tangled mess!

Affinity Diagrams are great for organizing many different pieces of information into common themes, and for understanding the relationships between them.

Another popular tool is the Cause-and-Effect Diagram . To generate viable solutions, you need a solid understanding of what's causing the problem.

When your problem occurs within a business process, creating a Flow Chart , Swim Lane Diagram or a Systems Diagram will help you to see how various activities and inputs fit together. This may well highlight a missing element or bottleneck that's causing your problem.

Quite often, what seems to be a single problem turns out to be a whole series of problems. The Drill Down technique prompts you to split your problem into smaller, more manageable parts.

General Problem-Solving Tools

When you understand the problem in front of you, you’re ready to start solving it. With your definition to guide you, you can generate several possible solutions, choose the best one, then put it into action. That's the four-step approach at the heart of good problem solving.

There are various problem-solving styles to use. For example:

• Constructive Controversy is a way of widening perspectives and energizing discussions.
• Inductive Reasoning makes the most of people’s experiences and know-how, and can speed up solution finding.
• Means-End Analysis can bring extra clarity to your thinking, and kick-start the process of implementing solutions.

Specific Problem-Solving Systems

Some particularly complicated or important problems call for a more comprehensive process. Again, Mind Tools has a range of approaches to try, including:

• Simplex , which involves an eight-stage process: problem finding, fact finding, defining the problem, idea finding, selecting and evaluating, planning, selling the idea, and acting. These steps build upon the basic, four-step process described above, and they create a cycle of problem finding and solving that will continually improve your organization.
• Appreciative Inquiry , which is a uniquely positive way of solving problems by examining what's working well in the areas surrounding them.
• Soft Systems Methodology , which takes you through four stages to uncover more details about what's creating your problem, and then define actions that will improve the situation.

Further Problem-Solving Strategies

Good problem solving requires a number of other skills – all of which are covered by Mind Tools.

For example, we have a large section of resources to improve your Creativity , so that you come up with a range of possible solutions.

By strengthening your Decision Making , you'll be better at evaluating the options, selecting the best ones, then choosing how to implement them.

And our Project Management collection has valuable advice for strengthening the whole problem-solving process. The resources there will help you to make effective changes – and then keep them working long term.

Problems are an inescapable part of life, both in and out of work. So we can all benefit from having strong problem-solving skills.

It's important to understand your current approach to problem solving, and to know where and how to improve.

Define every problem you encounter – and understand its complexity, rather than trying to solve it too soon.

There's a range of general problem-solving approaches, helping you to generate possible answers, choose the best ones, and then implement your solution.

Some complicated or serious problems require more specific problem-solving systems, especially when they relate to business processes.

By boosting your creativity, decision-making and project-management skills, you’ll become even better at solving all the problems you face.

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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

How to master the seven-step problem-solving process

In this episode of the McKinsey Podcast , Simon London speaks with Charles Conn, CEO of venture-capital firm Oxford Sciences Innovation, and McKinsey senior partner Hugo Sarrazin about the complexities of different problem-solving strategies.

Podcast transcript

Simon London: Hello, and welcome to this episode of the McKinsey Podcast , with me, Simon London. What’s the number-one skill you need to succeed professionally? Salesmanship, perhaps? Or a facility with statistics? Or maybe the ability to communicate crisply and clearly? Many would argue that at the very top of the list comes problem solving: that is, the ability to think through and come up with an optimal course of action to address any complex challenge—in business, in public policy, or indeed in life.

Looked at this way, it’s no surprise that McKinsey takes problem solving very seriously, testing for it during the recruiting process and then honing it, in McKinsey consultants, through immersion in a structured seven-step method. To discuss the art of problem solving, I sat down in California with McKinsey senior partner Hugo Sarrazin and also with Charles Conn. Charles is a former McKinsey partner, entrepreneur, executive, and coauthor of the book Bulletproof Problem Solving: The One Skill That Changes Everything [John Wiley & Sons, 2018].

Charles and Hugo, welcome to the podcast. Thank you for being here.

Hugo Sarrazin: Our pleasure.

Charles Conn: It’s terrific to be here.

Simon London: Problem solving is a really interesting piece of terminology. It could mean so many different things. I have a son who’s a teenage climber. They talk about solving problems. Climbing is problem solving. Charles, when you talk about problem solving, what are you talking about?

Charles Conn: For me, problem solving is the answer to the question “What should I do?” It’s interesting when there’s uncertainty and complexity, and when it’s meaningful because there are consequences. Your son’s climbing is a perfect example. There are consequences, and it’s complicated, and there’s uncertainty—can he make that grab? I think we can apply that same frame almost at any level. You can think about questions like “What town would I like to live in?” or “Should I put solar panels on my roof?”

You might think that’s a funny thing to apply problem solving to, but in my mind it’s not fundamentally different from business problem solving, which answers the question “What should my strategy be?” Or problem solving at the policy level: “How do we combat climate change?” “Should I support the local school bond?” I think these are all part and parcel of the same type of question, “What should I do?”

I’m a big fan of structured problem solving. By following steps, we can more clearly understand what problem it is we’re solving, what are the components of the problem that we’re solving, which components are the most important ones for us to pay attention to, which analytic techniques we should apply to those, and how we can synthesize what we’ve learned back into a compelling story. That’s all it is, at its heart.

I think sometimes when people think about seven steps, they assume that there’s a rigidity to this. That’s not it at all. It’s actually to give you the scope for creativity, which often doesn’t exist when your problem solving is muddled.

Simon London: You were just talking about the seven-step process. That’s what’s written down in the book, but it’s a very McKinsey process as well. Without getting too deep into the weeds, let’s go through the steps, one by one. You were just talking about problem definition as being a particularly important thing to get right first. That’s the first step. Hugo, tell us about that.

Hugo Sarrazin: It is surprising how often people jump past this step and make a bunch of assumptions. The most powerful thing is to step back and ask the basic questions—“What are we trying to solve? What are the constraints that exist? What are the dependencies?” Let’s make those explicit and really push the thinking and defining. At McKinsey, we spend an enormous amount of time in writing that little statement, and the statement, if you’re a logic purist, is great. You debate. “Is it an ‘or’? Is it an ‘and’? What’s the action verb?” Because all these specific words help you get to the heart of what matters.

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Simon London: So this is a concise problem statement.

Hugo Sarrazin: Yeah. It’s not like “Can we grow in Japan?” That’s interesting, but it is “What, specifically, are we trying to uncover in the growth of a product in Japan? Or a segment in Japan? Or a channel in Japan?” When you spend an enormous amount of time, in the first meeting of the different stakeholders, debating this and having different people put forward what they think the problem definition is, you realize that people have completely different views of why they’re here. That, to me, is the most important step.

Charles Conn: I would agree with that. For me, the problem context is critical. When we understand “What are the forces acting upon your decision maker? How quickly is the answer needed? With what precision is the answer needed? Are there areas that are off limits or areas where we would particularly like to find our solution? Is the decision maker open to exploring other areas?” then you not only become more efficient, and move toward what we call the critical path in problem solving, but you also make it so much more likely that you’re not going to waste your time or your decision maker’s time.

How often do especially bright young people run off with half of the idea about what the problem is and start collecting data and start building models—only to discover that they’ve really gone off half-cocked.

Hugo Sarrazin: Yeah.

Charles Conn: And in the wrong direction.

Simon London: OK. So step one—and there is a real art and a structure to it—is define the problem. Step two, Charles?

Charles Conn: My favorite step is step two, which is to use logic trees to disaggregate the problem. Every problem we’re solving has some complexity and some uncertainty in it. The only way that we can really get our team working on the problem is to take the problem apart into logical pieces.

What we find, of course, is that the way to disaggregate the problem often gives you an insight into the answer to the problem quite quickly. I love to do two or three different cuts at it, each one giving a bit of a different insight into what might be going wrong. By doing sensible disaggregations, using logic trees, we can figure out which parts of the problem we should be looking at, and we can assign those different parts to team members.

Simon London: What’s a good example of a logic tree on a sort of ratable problem?

Charles Conn: Maybe the easiest one is the classic profit tree. Almost in every business that I would take a look at, I would start with a profit or return-on-assets tree. In its simplest form, you have the components of revenue, which are price and quantity, and the components of cost, which are cost and quantity. Each of those can be broken out. Cost can be broken into variable cost and fixed cost. The components of price can be broken into what your pricing scheme is. That simple tree often provides insight into what’s going on in a business or what the difference is between that business and the competitors.

If we add the leg, which is “What’s the asset base or investment element?”—so profit divided by assets—then we can ask the question “Is the business using its investments sensibly?” whether that’s in stores or in manufacturing or in transportation assets. I hope we can see just how simple this is, even though we’re describing it in words.

When I went to work with Gordon Moore at the Moore Foundation, the problem that he asked us to look at was “How can we save Pacific salmon?” Now, that sounds like an impossible question, but it was amenable to precisely the same type of disaggregation and allowed us to organize what became a 15-year effort to improve the likelihood of good outcomes for Pacific salmon.

Simon London: Now, is there a danger that your logic tree can be impossibly large? This, I think, brings us onto the third step in the process, which is that you have to prioritize.

Charles Conn: Absolutely. The third step, which we also emphasize, along with good problem definition, is rigorous prioritization—we ask the questions “How important is this lever or this branch of the tree in the overall outcome that we seek to achieve? How much can I move that lever?” Obviously, we try and focus our efforts on ones that have a big impact on the problem and the ones that we have the ability to change. With salmon, ocean conditions turned out to be a big lever, but not one that we could adjust. We focused our attention on fish habitats and fish-harvesting practices, which were big levers that we could affect.

People spend a lot of time arguing about branches that are either not important or that none of us can change. We see it in the public square. When we deal with questions at the policy level—“Should you support the death penalty?” “How do we affect climate change?” “How can we uncover the causes and address homelessness?”—it’s even more important that we’re focusing on levers that are big and movable.

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Simon London: Let’s move swiftly on to step four. You’ve defined your problem, you disaggregate it, you prioritize where you want to analyze—what you want to really look at hard. Then you got to the work plan. Now, what does that mean in practice?

Hugo Sarrazin: Depending on what you’ve prioritized, there are many things you could do. It could be breaking the work among the team members so that people have a clear piece of the work to do. It could be defining the specific analyses that need to get done and executed, and being clear on time lines. There’s always a level-one answer, there’s a level-two answer, there’s a level-three answer. Without being too flippant, I can solve any problem during a good dinner with wine. It won’t have a whole lot of backing.

Simon London: Not going to have a lot of depth to it.

Hugo Sarrazin: No, but it may be useful as a starting point. If the stakes are not that high, that could be OK. If it’s really high stakes, you may need level three and have the whole model validated in three different ways. You need to find a work plan that reflects the level of precision, the time frame you have, and the stakeholders you need to bring along in the exercise.

Charles Conn: I love the way you’ve described that, because, again, some people think of problem solving as a linear thing, but of course what’s critical is that it’s iterative. As you say, you can solve the problem in one day or even one hour.

Charles Conn: We encourage our teams everywhere to do that. We call it the one-day answer or the one-hour answer. In work planning, we’re always iterating. Every time you see a 50-page work plan that stretches out to three months, you know it’s wrong. It will be outmoded very quickly by that learning process that you described. Iterative problem solving is a critical part of this. Sometimes, people think work planning sounds dull, but it isn’t. It’s how we know what’s expected of us and when we need to deliver it and how we’re progressing toward the answer. It’s also the place where we can deal with biases. Bias is a feature of every human decision-making process. If we design our team interactions intelligently, we can avoid the worst sort of biases.

Simon London: Here we’re talking about cognitive biases primarily, right? It’s not that I’m biased against you because of your accent or something. These are the cognitive biases that behavioral sciences have shown we all carry around, things like anchoring, overoptimism—these kinds of things.

Both: Yeah.

Charles Conn: Availability bias is the one that I’m always alert to. You think you’ve seen the problem before, and therefore what’s available is your previous conception of it—and we have to be most careful about that. In any human setting, we also have to be careful about biases that are based on hierarchies, sometimes called sunflower bias. I’m sure, Hugo, with your teams, you make sure that the youngest team members speak first. Not the oldest team members, because it’s easy for people to look at who’s senior and alter their own creative approaches.

Hugo Sarrazin: It’s helpful, at that moment—if someone is asserting a point of view—to ask the question “This was true in what context?” You’re trying to apply something that worked in one context to a different one. That can be deadly if the context has changed, and that’s why organizations struggle to change. You promote all these people because they did something that worked well in the past, and then there’s a disruption in the industry, and they keep doing what got them promoted even though the context has changed.

Simon London: Right. Right.

Hugo Sarrazin: So it’s the same thing in problem solving.

Charles Conn: And it’s why diversity in our teams is so important. It’s one of the best things about the world that we’re in now. We’re likely to have people from different socioeconomic, ethnic, and national backgrounds, each of whom sees problems from a slightly different perspective. It is therefore much more likely that the team will uncover a truly creative and clever approach to problem solving.

Simon London: Let’s move on to step five. You’ve done your work plan. Now you’ve actually got to do the analysis. The thing that strikes me here is that the range of tools that we have at our disposal now, of course, is just huge, particularly with advances in computation, advanced analytics. There’s so many things that you can apply here. Just talk about the analysis stage. How do you pick the right tools?

Charles Conn: For me, the most important thing is that we start with simple heuristics and explanatory statistics before we go off and use the big-gun tools. We need to understand the shape and scope of our problem before we start applying these massive and complex analytical approaches.

Simon London: Would you agree with that?

Hugo Sarrazin: I agree. I think there are so many wonderful heuristics. You need to start there before you go deep into the modeling exercise. There’s an interesting dynamic that’s happening, though. In some cases, for some types of problems, it is even better to set yourself up to maximize your learning. Your problem-solving methodology is test and learn, test and learn, test and learn, and iterate. That is a heuristic in itself, the A/B testing that is used in many parts of the world. So that’s a problem-solving methodology. It’s nothing different. It just uses technology and feedback loops in a fast way. The other one is exploratory data analysis. When you’re dealing with a large-scale problem, and there’s so much data, I can get to the heuristics that Charles was talking about through very clever visualization of data.

You test with your data. You need to set up an environment to do so, but don’t get caught up in neural-network modeling immediately. You’re testing, you’re checking—“Is the data right? Is it sound? Does it make sense?”—before you launch too far.

Simon London: You do hear these ideas—that if you have a big enough data set and enough algorithms, they’re going to find things that you just wouldn’t have spotted, find solutions that maybe you wouldn’t have thought of. Does machine learning sort of revolutionize the problem-solving process? Or are these actually just other tools in the toolbox for structured problem solving?

Charles Conn: It can be revolutionary. There are some areas in which the pattern recognition of large data sets and good algorithms can help us see things that we otherwise couldn’t see. But I do think it’s terribly important we don’t think that this particular technique is a substitute for superb problem solving, starting with good problem definition. Many people use machine learning without understanding algorithms that themselves can have biases built into them. Just as 20 years ago, when we were doing statistical analysis, we knew that we needed good model definition, we still need a good understanding of our algorithms and really good problem definition before we launch off into big data sets and unknown algorithms.

Simon London: Step six. You’ve done your analysis.

Charles Conn: I take six and seven together, and this is the place where young problem solvers often make a mistake. They’ve got their analysis, and they assume that’s the answer, and of course it isn’t the answer. The ability to synthesize the pieces that came out of the analysis and begin to weave those into a story that helps people answer the question “What should I do?” This is back to where we started. If we can’t synthesize, and we can’t tell a story, then our decision maker can’t find the answer to “What should I do?”

Simon London: But, again, these final steps are about motivating people to action, right?

Charles Conn: Yeah.

Simon London: I am slightly torn about the nomenclature of problem solving because it’s on paper, right? Until you motivate people to action, you actually haven’t solved anything.

Charles Conn: I love this question because I think decision-making theory, without a bias to action, is a waste of time. Everything in how I approach this is to help people take action that makes the world better.

Simon London: Hence, these are absolutely critical steps. If you don’t do this well, you’ve just got a bunch of analysis.

Charles Conn: We end up in exactly the same place where we started, which is people speaking across each other, past each other in the public square, rather than actually working together, shoulder to shoulder, to crack these important problems.

Simon London: In the real world, we have a lot of uncertainty—arguably, increasing uncertainty. How do good problem solvers deal with that?

Hugo Sarrazin: At every step of the process. In the problem definition, when you’re defining the context, you need to understand those sources of uncertainty and whether they’re important or not important. It becomes important in the definition of the tree.

You need to think carefully about the branches of the tree that are more certain and less certain as you define them. They don’t have equal weight just because they’ve got equal space on the page. Then, when you’re prioritizing, your prioritization approach may put more emphasis on things that have low probability but huge impact—or, vice versa, may put a lot of priority on things that are very likely and, hopefully, have a reasonable impact. You can introduce that along the way. When you come back to the synthesis, you just need to be nuanced about what you’re understanding, the likelihood.

Often, people lack humility in the way they make their recommendations: “This is the answer.” They’re very precise, and I think we would all be well-served to say, “This is a likely answer under the following sets of conditions” and then make the level of uncertainty clearer, if that is appropriate. It doesn’t mean you’re always in the gray zone; it doesn’t mean you don’t have a point of view. It just means that you can be explicit about the certainty of your answer when you make that recommendation.

Simon London: So it sounds like there is an underlying principle: “Acknowledge and embrace the uncertainty. Don’t pretend that it isn’t there. Be very clear about what the uncertainties are up front, and then build that into every step of the process.”

Hugo Sarrazin: Every step of the process.

Simon London: Yeah. We have just walked through a particular structured methodology for problem solving. But, of course, this is not the only structured methodology for problem solving. One that is also very well-known is design thinking, which comes at things very differently. So, Hugo, I know you have worked with a lot of designers. Just give us a very quick summary. Design thinking—what is it, and how does it relate?

Hugo Sarrazin: It starts with an incredible amount of empathy for the user and uses that to define the problem. It does pause and go out in the wild and spend an enormous amount of time seeing how people interact with objects, seeing the experience they’re getting, seeing the pain points or joy—and uses that to infer and define the problem.

Simon London: Problem definition, but out in the world.

Hugo Sarrazin: With an enormous amount of empathy. There’s a huge emphasis on empathy. Traditional, more classic problem solving is you define the problem based on an understanding of the situation. This one almost presupposes that we don’t know the problem until we go see it. The second thing is you need to come up with multiple scenarios or answers or ideas or concepts, and there’s a lot of divergent thinking initially. That’s slightly different, versus the prioritization, but not for long. Eventually, you need to kind of say, “OK, I’m going to converge again.” Then you go and you bring things back to the customer and get feedback and iterate. Then you rinse and repeat, rinse and repeat. There’s a lot of tactile building, along the way, of prototypes and things like that. It’s very iterative.

Simon London: So, Charles, are these complements or are these alternatives?

Charles Conn: I think they’re entirely complementary, and I think Hugo’s description is perfect. When we do problem definition well in classic problem solving, we are demonstrating the kind of empathy, at the very beginning of our problem, that design thinking asks us to approach. When we ideate—and that’s very similar to the disaggregation, prioritization, and work-planning steps—we do precisely the same thing, and often we use contrasting teams, so that we do have divergent thinking. The best teams allow divergent thinking to bump them off whatever their initial biases in problem solving are. For me, design thinking gives us a constant reminder of creativity, empathy, and the tactile nature of problem solving, but it’s absolutely complementary, not alternative.

Simon London: I think, in a world of cross-functional teams, an interesting question is do people with design-thinking backgrounds really work well together with classical problem solvers? How do you make that chemistry happen?

Hugo Sarrazin: Yeah, it is not easy when people have spent an enormous amount of time seeped in design thinking or user-centric design, whichever word you want to use. If the person who’s applying classic problem-solving methodology is very rigid and mechanical in the way they’re doing it, there could be an enormous amount of tension. If there’s not clarity in the role and not clarity in the process, I think having the two together can be, sometimes, problematic.

The second thing that happens often is that the artifacts the two methodologies try to gravitate toward can be different. Classic problem solving often gravitates toward a model; design thinking migrates toward a prototype. Rather than writing a big deck with all my supporting evidence, they’ll bring an example, a thing, and that feels different. Then you spend your time differently to achieve those two end products, so that’s another source of friction.

Now, I still think it can be an incredibly powerful thing to have the two—if there are the right people with the right mind-set, if there is a team that is explicit about the roles, if we’re clear about the kind of outcomes we are attempting to bring forward. There’s an enormous amount of collaborativeness and respect.

Simon London: But they have to respect each other’s methodology and be prepared to flex, maybe, a little bit, in how this process is going to work.

Hugo Sarrazin: Absolutely.

Simon London: The other area where, it strikes me, there could be a little bit of a different sort of friction is this whole concept of the day-one answer, which is what we were just talking about in classical problem solving. Now, you know that this is probably not going to be your final answer, but that’s how you begin to structure the problem. Whereas I would imagine your design thinkers—no, they’re going off to do their ethnographic research and get out into the field, potentially for a long time, before they come back with at least an initial hypothesis.

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Hugo Sarrazin: That is a great callout, and that’s another difference. Designers typically will like to soak into the situation and avoid converging too quickly. There’s optionality and exploring different options. There’s a strong belief that keeps the solution space wide enough that you can come up with more radical ideas. If there’s a large design team or many designers on the team, and you come on Friday and say, “What’s our week-one answer?” they’re going to struggle. They’re not going to be comfortable, naturally, to give that answer. It doesn’t mean they don’t have an answer; it’s just not where they are in their thinking process.

Simon London: I think we are, sadly, out of time for today. But Charles and Hugo, thank you so much.

Charles Conn: It was a pleasure to be here, Simon.

Hugo Sarrazin: It was a pleasure. Thank you.

Simon London: And thanks, as always, to you, our listeners, for tuning into this episode of the McKinsey Podcast . If you want to learn more about problem solving, you can find the book, Bulletproof Problem Solving: The One Skill That Changes Everything , online or order it through your local bookstore. To learn more about McKinsey, you can of course find us at McKinsey.com.

Charles Conn is CEO of Oxford Sciences Innovation and an alumnus of McKinsey’s Sydney office. Hugo Sarrazin is a senior partner in the Silicon Valley office, where Simon London, a member of McKinsey Publishing, is also based.

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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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Extensive Problem Solving - Definition, Importance & Example

What is extensive problem solving.

Extensive problem solving is the purchase decision marking in a situation in which the buyer has no information, experience about the products, services and suppliers. In extensive problem solving, lack of information also spreads to the brands for the product and also the criterion that they set for segregating the brands to be small or manageable subsets that help in the purchasing decision later. Consumers usually go for extensive problem solving when they discover that a need is completely new to them which requires significant effort to satisfy it.

The decision making process of a customer includes different levels of purchase decisions, i.e. extensive problem solving, limited problem solving and routinized choice behaviour.

Elements of Extensive Problem Solving

The various parameters which leads to extensive problem solving are:

1. Highly Priced Products: Like a car, house

2. Infrequent Purchases: Purchasing an automobile, HD TV

3. More Customer Participation: Purchasing a laptop with selection of RAM, ROM, display etc

4. Unfamiliar Product Category: Real-estate is a very unexplored category

5. Extensive Research & Time: Locality of buying house, proximity to hospital, station, market etc.

All these parameters or elements leads to extensive problem solving for the customer while taking a decision to make a purchase.

Importance of Extensive Problem Solving

It is very important for marketers to know the process that customers go through before purchasing. They cannot rely upon re-buys and word of mouth all the time for acquiring new customers. The customer in general goes through problem recognition, information search, evaluation, purchase decision and post-purchase evaluation. Closely related to a purchase decision is the problem solving phase. A new product with long term investment leads to extensive problem solving from a customer. This signifies that not all buying situations are same. A rebuy is very much different from a first choice purchase. The recognition that a brand enjoys in a customer’s mind helps the customer to make purchase decisions easily. If the brand has a dedicated marketing communication effort, whenever a consumer feels the need for a new product, they instantly go for it.

To help customers in extensive problem solving, companies must have clear transparent communication. It is thus very important for marketers to use a proper marketing mix so that they can have some cognition from their customers when they think of new products. With the advent of social media, the number of channels for promotion have hugely developed and they require a clear understanding on the segment of customer that each channel serves. The communication channels should lucidly differentiate themselves from other brands so that they are purchased quickly and easily.

Example of Extensive Problem Solving

Let us suppose, that Amber wants to buy a High Definition TV. The problem being, she has no idea regarding it. This is a case of extensive problem solving as the amount of information is low, the risk she is taking is high as she is going with the opinion that she gathers from her peers, the item is expensive and at the same time it also demands huge amount of involvement from the customer. Similarly, buying high price and long-term assets or products like car, motorcycle, house etc leads to extensive problem solving decision for the customers.

Hence, this concludes the definition of Extensive Problem Solving along with its overview.

This article has been researched & authored by the Business Concepts Team . It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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