In examination of Dell’ and Home Depot’ marketing strategy, I’ve determined they both use a market multi-segmenting approach with two totally separate target markets. A company’ target market is defined by Ferrel, Ferrel & Hirt (2016) as “a more specific group of consumers on whose needs and wants a company focuses its marketing efforts” (p.338). With this definition in mind, Dell appears to target consumers in need of personal desktop and laptop computers for home, work and educational endeavors. Based on the website, student and IT professionals between the age of 18 and 49 appear to be the main marketing focus, where as, Home Depot’ appeal is clearly directed to the do it yourself crowd, made of a diverse group of home owners and professionals …show more content…
Psychographic marketing focuses on “personality characteristics, motives, lifestyles. Soft-drink marketers provide their products in several types of packaging, including two liter bottles and cases of cans, to satisfy different lifestyles and motives” (Ferrel et al., 2016, p. 340). Not only does Home Depot offer a wide array of products and services, but they offer them in a variety of packages and styles. Take for example their selection of framing wood, can be purchased pre-treated, but also provide the options for stained and cut. These options serve the demand of their target market, who range from home owner to professional service …show more content…
Dell attempts to sale products by convincing consumers they are a reliable, forward thinking, PC manufacturer, while, Home Depot aims to influence sales by being the do it yourself one stop shop. Delving deeper into the integrated marketing communications of advertising, personal selling, publicity and sales promotions, there are a lot of similarities. Firstly, both companies ad campaigns take place via the same mediums of television, internet, radio and print publications. Secondly, their personal selling mechanism both leverage the internet, phone and physical locations, though, Dell does not sale directly to their consumers by way of a brick and mortar store. Dell uses third part vendors such as Micro Center and Best Buy to handle face to face sales. Thirdly, Publicity which is Ferrel et al. (2017) describes as “non personal communication transmitted through the mass media but not paid for directly by the firm” (p.380), are largely generated via print publications, television shows…whether “DIY” or technology based and field publications. Buzz marketing would include viral videos with celebrities or popular youtubers. Lastly, sales promotions for both Dell and Home Depot include coupons, demonstrations, contest and trade shows designed as “direct inducements offering added value or some other incentive for buyers to enter into an exchange” (Ferrel et al., 2016, p.
Home Depot company offer a wide range of merchandise and services, and serve three primary customer groups: do-it-yourself customers, do-it-for-me customers and professional customers. A classic Home Depot store stocks approximately 40,000 to 50,000 product items, including variations in color and size. Major product groups include building materials, lumber plumbing, electrical and kitchen; hardware and seasonal, and paint, flooring and wall coverings. To balance the national brand name products it offers, the Company has formed strategic associations with vendor partners to market products under brand names that are only offered through The Home Depot. “As of fiscal year-end 2001, the Company offered products under more than 30 proprietary and other exclusive brands, including Thomasville kitchen and bathroom cabinets; RIDGID power tools; Behr Premium Plus paint; Mill's Pride cabinets; GE SmartWater water heaters, and Vigoro fertilizer.” ("The Home Depot", 2004)
In liasion, the company’s products include services for home improvement professionals and contractors. This marketing mix from Home Depot highlights the quality of service they wish to provide. On the other hand, the majority of the products at the firm’s stores are from third parties, such as equipment manufacturers. Home Depot’s multi-faceted product mix include building materials, lawn and garden products, and home appliances, among other things. Kitchen and garden products accounted for nearly 27% of revenues in fiscal 2014 making them the best-grossing product categories. (Exhibit*- Revenue by product
Home Depot operates in the home improvement retail industry that comprises of retailer that sell appliances, lumber, building material, kitten fittings and other home improvement products aimed at improving existing structures. Companies functioning in the home improvement industry buy products from retailer and manufacturer based all over the world, and then put those products for sale on the market to three types of buyers, generally characterized as: do-it-for-me, do-it-yourself, and professional customers. The home improvement retail industry is well established industry and is highly attractive and there is high level of price competition among the key players of the industry as the products lines are all the same.
In relation to this case, Target Corporation depicts a brand personality among its target audience. Target Corp. is considered as the retail store that caters to the younger and more educated and well-off clientele as to compare with its rival. In a survey conducted, Target Corp. shoppers fall on a 46 years old age median, mostly female, have children at home, and attended or completed college (Target Corporate Facts, 2006). Thus, the target market is perceived to be sophisticated. However, with the corporate values the corporation applies, the brand personality serves as one of its distinguishing pro.
Home Depot is the brainchild of Bernard Marcus and Arthur Blank and came about after both men lost their job in the home improvement industry in 1978 (Parnell, 2014). Home Depot has acquired several smaller home improvement stores in both the U.S. and abroad through the years which enabled it to position itself as the world’s largest home improvement chain (Parnell, 2014). Home Depot focuses on the do-it-yourself segment of the market and sells sells tools, construction products and services. Marketing is a strong point for the company. They are able to maintain a competitive advantage by keeping themselves available to their customers at all times. Home Depot has been using both online and offline marketing efforts. The internet has become a very useful tool for the company and part of the reason that they are leading the market in DIY stores. Home Depot currently provides DIY videos on YouTube and Vine that cover current topics that consumers are likely to be interested in. They also have social media pages on Facebook and Twitter, where they have a huge following. They provide online communities where actual employees answer consumer’s questions and provide assistance on
Once this was determined, we concluded that we wanted to analyze a visual artifact with a producer of home goods that would be aimed at men and women equally. We decided on Home Depot as this store is viewed as being a men’s store, yet sells some products that would be marketed towards women. Home Depot sells a variety of items ranging from lumber, appliances, plants, hardware, tools, lawn mowers, paint and even outdoor furniture. We focused our research on Home Depot commercials. We selected four very different commercials and each analyzed them.
After reading the OD Application on "The Home Depot Corporation", I observed many negatives and positives in the organization. First I would like to mention the fact that Home Depot, was the number one home improvement chain in the United States at one point, so this shows that it was a demand for the business at one point. I 'm sure this was the primary measurement that the business was felling and that they needed to make some changes. This should have been a motivator to the organization to try to regain that spot again. In order to make a drastic change of this sort, they would have needed all hands on deck, throughout all of the layers in the company.
Terrell, E. (n.d.). Market Segmentation. (Business Reference Services, Library of Congress). Retrieved April 6, 2014, from http://www.loc.gov/rr/business/marketing/
My small dome of a backyard is home to many little creatures. Because although I live in the desert, the plants in my yard have made an environment entirely of its own. Tropical plants at every edge of the fence, and large trees, which shade the other plants and critters from the hot Arizona sun.
Once Home Depot’s marketing plan contains a thorough description of the scissor lift, it will then focus on the branding, pricing, and distribution of the lift. The plan will also need to include a product branding and pricing strategy, as well as examine how the pricing strategy supports the branding strategy. In addition, Home Depot will prepare a distribution channel analysis from which it will create a distribution strategy, determine whether the company is going to use a push or a pull strategy, and how the distribution strategy fits the product.
Dickson, P. R., & Ginter, J. L. (1987). Market segmentation, product differentiation, and marketing strategy. Journal of Marketing, 51(2(April 1987)), 1-10. Retrieved from http://www.jstor.org/stable/1251125
The Psychographic segmentation, speaks to the lifestyle of the consumer, what type of person the consumer is that is interested to buy my product.
Relating to psychographic methods, the product marketing will focus on more feminine quality traits, in relation to lifestyle and hobbies. Focusing on dancers, cheerleaders, and the all-around girlie girl. Hobbies will include girls nights, pampering, art, and dancing. Hausman (2017) states according to Entrepreneur, target marketing is: Your target customers are those who are most likely to buy from you. This is why the product marketing is focused on the groups mentioned above.
Dell Inc had very effectively used the direct marketing channel for the sales of computers to the end consumer. When all the other pc makers were selling through retailers and distributors, Dell had started efficient use of the direct channels.
Nevertheless, one of the most important constants among all of us, regardless of our differences, is that, above all, we are buyers. We use or consume on a regular basis food, clothing, shelter, transportation, education, equipment, vacations, necessities, luxuries, services, and even ideas. As consumers, we play an essential role in the health of the economy; local, national and international. The purchase decision we make affect the requirement for basic raw materials, for transportation, for production, for banking; they affect the employment of employees and the growth of resources, the successfulness of some industries and the failure of others. In order to be successful in any business and specifically in today’s dynamic and rapidly evolving marketplace, marketers need to know everything they can about consumers; what they are want, what they are think, how they are work, how they are spend their leisure time. They have to find out the personal and group influences that affect consumer decisions and how these decisions are made. In these days of ever-widening media choices, they need to not only identify their target audiences, but they have to know where and how to reach