Abstract
Most companies will use Abell's three-dimensional model as one of the core analysis tools to delineate markets. It comprises of three dimensions that are vital in determining the mission of the company and applied in the development of the mission statement or even evaluate the scope of operation of the firm which would enable them to adjust strategies to meet the changes in the market. The primary purpose of the essay is to critically explain Abell three-dimensional model and determine its application in business. Next, the paper will try to apply this model to discover a new product that Reader's Digest might introduce in their mail order channels of distribution. It is an essential tool for those companies that wish to increase their revenues through expanding their brands, similar to the currently produced.
Abell's Three-Dimensional Model
Abell model is merely a company's mission which entails three distinct and critical dimensions. The model can be used to aid the company to spread out and reach out to new and current customers while at the same help in defining the firm's mission statement. These dimensions include customer group, customer need, and technologies. The three aspects are critical since they help in establishing the company's target consumers based on their demand and how they would be able to supply these consumer's needs based on the available technology. The customer needs as one of the legs of the model identifies all the customers' needs relevant to the firm (MOOC Modules Entrepreneurship, 2013). Often the customer's needs are identified on the product offering, and the firm makes a connection to the client's benefits. The second dimensions are technologies and describe those technologies used in creating a product and put them on the market. Some of the issues, in this case, include marketing campaigns used or the market research performed. The customer groups, on the other hand, comprises of individuals purchasing the products. The company should be able to segment the market and identify the specific potential segment to target to successfully sell their products. Based on the three core dimensions, the model augments business professionalism with a well-structured brainstorming which allows for critical outside-the-box thinking for business development opportunities.
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Application of Abell's Three-Dimensional Model
Evidently, Abell's model can successfully be applied by the company particularly in identifying the core demand and requirements of their clients within the modern society. When Reader's Digest understand their customers, they would be able to determine the types of products and services which that would meet the needs of the target consumers. Further, the model might be critical in the company's strategic planning since it might enable the firm to identify and realize the reality that the contemporary customers are primarily passionate concerning the efficiency, technologies, and expediency (MOOC Modules Entrepreneurship, 2013).
Abell's three-dimensional model will thus enable Reader's Digest to find out and adopt the most efficient electric supply chain system. For instance, the company would implement the use of online distribution strategy to supply their digital books with the primary aim of reaching online shoppers who are their new target market segment. Additionally, it will further enable the business to establish core technology that should be adopted in their processes of marketing communications to expand their consumer base. A good example, in this case, is the utilization of the online platforms particular the modern social platforms such as Facebook and Twitter. It is clear that when they venture into the online media, the firm would be able to extend their target market and consumer market base among the rapidly increasing online consumers.
Other Products Reader's Digest Could Send down its Distribution Channel
Reader's Digest is one of the most successful publishers, and global most extensively read magazines. The firm has been reported to have attained a worldwide readership of approximately 100 million. The company has about 19 languages and 48 editions. In this case, the query would be to identify another brand that the company can successfully send down their channels. Currently, Reader's Digest product comprises of condensed books, CDs, and even videos. Further, the description of company's customers is as follows: the average age of consumers is about 49 years with an average income of approximately $55k annually. The company is looking at a middle-class family and consumers within this age bracket often have children or even grandchildren. Using research, Reader's Digest could survey the subscribers of their interests and then determine whether any of such benefits equate to the brand that they might supply to their clients through mail order.
Research shows that majority of the individuals within this age bracket are interested in touring the US historical sites that revolve around the Civil War. Based on the notion that majority of the people share such an interest, then Reader's Digest should offer a brand which entails historical vacations guide to the US which covers diverse subjects. It is evident that outdoors and travel world forms an essential area for the company to invest into by offering related books, videos or discs. They might further focus on branching out and at the same time acquire other core magazines that will give them a broader readership.
References
MOOC Modules Entrepreneurship (2013). Abell Analysis. Retrieved from https://sites.google.com/site/moocmodulesnils/marketing/abell-analysis
