Customer Mix and Managerial Decision-Making

Introduction

Companies that provide resources or services often find variations in the way that customers use their offers. Differences among customers can be used by managers to improve and diversify the company’s value proposition. Service companies are particularly sensitive to their customer mix since tailored services and offers can attract more clients and enhance customer loyalty. Molly Maid is an American cleaning company operating in most U.S. states. The organization provides a range of cleaning services to various customer segments. The present paper will look at how different customers may use Molly Maid’s services and how this affects managerial decision-making.

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Cleaning as the type of service

Cleaning is the type of service where differences in customer’s needs and preferences are most apparent. Incidentally, customer’s needs in this sector are usually tied to their segment, meaning that customers belonging to one segment are likely to have similar needs and requests. For instance, working families will young children are likely to require regular house cleaning services. This is because young children can be messy, while working parents may be too busy to maintain a clean house. Similarly, senior citizens may need recurring cleaning services due to their limited ability. Young professionals without children, on the contrary, would be less likely to invest in recurring cleaning.

They usually live alone or with their significant other, and thus can meet their cleaning needs on their own. Still, this customer segment can require occasional cleaning, such as after throwing a party or moving out of an old apartment. Another customer segment to which cleaning companies often cater is stay-at-home parents with children. While these clients have sufficient time to do most of the cleaning themselves, they may request specific, time-consuming services, such as oven cleaning. Hence, different groups of customers are likely to use Molly Maid’s services very differently.

Molly Maid advantages

For Molly Maid to attract and retain clients, managers have to create and support a value proposition that meets the requirements of diverse customers. This entails managerial decision-making on various levels that would take into account different needs and requests based on targeted segments. Strategic decisions at Molly Maid show evidence of this since the company offers multiple types of cleaning. The organization’s services include recurring, occasional, move out/move in, and special event cleaning (“Our Services”). Molly Maid also engages in housekeeping, refrigerator cleaning, and oven cleaning (“Our Services”).

In this way, strategic decision-making considering the types of services offered is in line with the needs of different customer segments targeted by Molly Maid. On a lower level, managerial decisions also consider customers’ needs as part of designing promotional offers. For example, customers ordering recurring cleaning services benefit from lower rates than one-time cleaning and can customize the regularity of cleaning based on their household’s needs. Additionally, other areas of managerial decision-making can be affected by the customer mix, such as marketing or quality control. Customers with children prone to allergic reactions may require the use of higher-quality cleaning supplies, whereas young professionals ordering a post-party clean would require less attention to quality.

Conclusion

Overall, companies must acknowledge the different ways in which customers use their services. Customers from different segments may have diverse needs, thus affecting their service expectations and requirements. Molly Maid is among the companies that have used customers’ differences as part of its managerial decision-making. The range and scope of services provided by the company enable it to target various segments with similar services, thus attracting and maintaining more customers in the long run.

Reference

“Our Services.” Molly Maid, 2020. Web.

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StudyCorgi. (2021, July 21). Customer Mix and Managerial Decision-Making. Retrieved from https://studycorgi.com/customer-mix-and-managerial-decision-making/

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"Customer Mix and Managerial Decision-Making." StudyCorgi, 21 July 2021, studycorgi.com/customer-mix-and-managerial-decision-making/.

1. StudyCorgi. "Customer Mix and Managerial Decision-Making." July 21, 2021. https://studycorgi.com/customer-mix-and-managerial-decision-making/.


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StudyCorgi. "Customer Mix and Managerial Decision-Making." July 21, 2021. https://studycorgi.com/customer-mix-and-managerial-decision-making/.

References

StudyCorgi. 2021. "Customer Mix and Managerial Decision-Making." July 21, 2021. https://studycorgi.com/customer-mix-and-managerial-decision-making/.

References

StudyCorgi. (2021) 'Customer Mix and Managerial Decision-Making'. 21 July.

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