Q1: Read the case study and answer the question: How Do You Change Consumer Behavior? The Problem: How do you get consumers to change ingrained behavior? The Solution:Mr.Peterson started Flex car in Seattle in 1999 with just 5 vehicles.His 1st step which he has repeated other cities was partner with local public transportation boards universities &businesses to help market his program.For instance in some cities Flex car has made deals with transit officials that let company offer its customers passes for public buses&trains.&some employers partially subsidize Flex car memberships perk for their employees.Mr.Peterson marketing tried to position car sharing liberating, offering slogans such as"Why buy wheels when u can borrow them?"Flex car’s ads also urge drivers to"Shift ur thinking"about car ownership don't look at car as status symbol but as means of getting around.Don't even look it as property in fact; think of it more as timeshare vacation home.Car sharing "gives u short-term relationship,kind of like getting motel room instead buying house"says Michael Marsden professor at Eastern Kentucky University Richmond, Ky.who teaches about American car culture."We as Americans love our cars, but they certainly drain time&money&this alternative to that."Mr.Peterson also pushed price.average cost of owningor leasing new car including things such as gas insurance depreciation&car payment itself totals $625 a month,according to American Automobile Association.The average member in car-sharing program spends less than $100 a month on car expenses.Flex car members pay 1-time $25 membership fee.Someone needing car only occasionally can pay as little as $10 an hour with 10 free miles, plus 35 cents each additional mile. Those needing car more often can select from 5 monthly plans starting from $45, for up to 5 hours&50 miles, to $725 for 100 hours& 1,000 miles. Members receive an electronic smart card that allows them to access any vehicle in company's fleet after they've called&reserved car. If car thatnmember initially selects isn't available, he or she will've to select another car or switch to different time slot. says the idea wasn't well received by number of potential partners. Some rental-car companies, which he approached about starting car-sharing program, didn't respond to requests. Some small neighborhood car-share organizations expressed their concerns idea just wouldn't work: Car sharing was local niche idea, they felt&they didn't want to be part of national operation."We knew we were taking risk," says Mr.Lindmark, outreach coordinator for King County metro area's Car-Sharing Program in Seattle& partner with Flex car. "But we thought wherever u have urban density, good transit system& marketing opportunities, there's good chance it could work."&Mr.Peterson discovered his customers weren't exactly who he expected them to be.Unlike in Europe he found people in U.S weren't necessarily interested in replacing their cars altogether but rather using car-share program as supplement to public transportation or substitute for second car.Mr.Peterson discovered that biggest growth came not from individuals but from small&midsize companies didn't want to maintain their own fleets vehicles.Mr.Peterson quickly tailored his ad campaigns to attract more businesses as clients, as well as people looking second cars. The work paid off. Flex car remains tiny compared with traditional rental firms, but its network has grown to 10,000 members in six states, covering such markets as Chicago, Los Angeles&Portland Ore.It plans to expand to 30 more markets by 2008. Perhaps even better indication of success: Other car-sharing programs have popped up since Flex car got started, including San Francisco-based City Carshare, Boston-based Zip Car and Chicago's I-Go Car. Question: Q.1a How do you get consumers to change ingrained behavior?(Wordlimit 250) Q.1 b by looking at the solution that people attach their image with their cars, so do you this this solution will help in changing this ingrained behavior? Give your opinion and provide reasoning. (Wordslimit: 250)
Q1: Read the case study and answer the question:
How Do You Change
The Problem: How do you get consumers to change ingrained behavior?
The Solution:Mr.Peterson started Flex car in Seattle in 1999 with just 5 vehicles.His 1st step which he has repeated other cities was partner with local public transportation boards universities &businesses to help market his program.For instance in some cities Flex car has made deals with transit officials that let company offer its customers passes for public buses&trains.&some employers partially subsidize Flex car memberships perk for their employees.Mr.Peterson marketing tried to position car sharing liberating, offering slogans such as"Why buy wheels when u can borrow them?"Flex car’s ads also urge drivers to"Shift ur thinking"about car ownership don't look at car as status symbol but as means of getting around.Don't even look it as property in fact; think of it more as timeshare vacation home.Car sharing "gives u short-term relationship,kind of like getting motel room instead buying house"says Michael Marsden professor at Eastern Kentucky University Richmond, Ky.who teaches about American car culture."We as Americans love our cars, but they certainly drain time&money&this alternative to that."Mr.Peterson also pushed price.average cost of owningor leasing new car including things such as gas insurance depreciation&car payment itself totals $625 a month,according to American Automobile Association.The average member in car-sharing program spends less than $100 a month on car expenses.Flex car members pay 1-time $25 membership fee.Someone needing car only occasionally can pay as little as $10 an hour with 10 free miles, plus 35 cents each additional mile. Those needing car more often can select from 5 monthly plans starting from $45, for up to 5 hours&50 miles, to $725 for 100 hours& 1,000 miles. Members receive an electronic smart card that allows them to access any vehicle in company's fleet after they've called&reserved car. If car thatnmember initially selects isn't available, he or she will've to select another car or switch to different time slot. says the idea wasn't well received by number of potential partners. Some rental-car companies, which he approached about starting car-sharing program, didn't respond to requests. Some small neighborhood car-share organizations expressed their concerns idea just wouldn't work: Car sharing was local niche idea, they felt&they didn't want to be part of national operation."We knew we were taking risk," says Mr.Lindmark, outreach coordinator for King County metro area's Car-Sharing Program in Seattle& partner with Flex car. "But we thought wherever u have urban density, good transit system& marketing opportunities, there's good chance it could work."&Mr.Peterson discovered his customers weren't exactly who he expected them to be.Unlike in Europe he found people in U.S weren't necessarily interested in replacing their cars altogether but rather using car-share program as supplement to public transportation or substitute for second car.Mr.Peterson discovered that biggest growth came not from individuals but from small&midsize companies didn't want to maintain their own fleets vehicles.Mr.Peterson quickly tailored his ad campaigns to attract more businesses as clients, as well as people looking second cars. The work paid off. Flex car remains tiny compared with traditional rental firms, but its network has grown to 10,000 members in six states, covering such markets as Chicago, Los Angeles&Portland Ore.It plans to expand to 30 more markets by 2008. Perhaps even better indication of success: Other car-sharing programs have popped up since Flex car got started, including San Francisco-based City Carshare, Boston-based Zip Car and Chicago's I-Go Car.
Question:
Q.1a How do you get consumers to change ingrained behavior?(Wordlimit 250)
Q.1 b by looking at the solution that people attach their image with their cars, so do you this this solution will help in changing this ingrained behavior? Give your opinion and provide reasoning. (Wordslimit: 250)
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