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market segmentation targeting and positioning.
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Part8: Identifying Market Segments Bases of Marketing Segments Sonic should advocate using the needs-based market segmentation strategy. This strategy would be limited to the US according to the specifications mentioned in the marketing plan. Using this strategy, for each of the needs based segments, Sonic should determine which demographic, lifestyle and usage behaviors make these segments distinct, identifiable and profitable. As a startup firm, Sonic would immensely benefit by selecting “Age” and “Generation” as its key variables to market Sonic 1000 PDA to the “professional” segment in the consumer market. This would allow it to build its brand by capturing a sizeable market share and also stay on track to achieve the first-year sales financial goals. Attractiveness of each identified segments In evaluating different market segments, Sonic must look at two factors: the segment overall attractiveness and the company’s objectives and resources (Kotler and Keller, 2009). After evaluating segments, Sonic should identify the most attractive segment based on the following ...
The company first needs to collect demographic and geographic information relevant to potential store location choices in order to segment its market. It is extremely important that the marketing
The first step is to (1) determine which kinds of customers exist, then (2) select which ones we are best off trying to serve and, finally, (3) implement our segmentation by optimizing our products/services for that segment and communicating that we have made the choice to distinguish ourselves that way (Consumer Psychologist, n.d.). •
Figure out the typical customers is the first marketing strategy. Business should find the right customers who would by your product and tailor and focus its marketing effort toward them. Thus, this target market represents the group of customer offering greatest opportunity.
Segmentation, targeting and positioning are the fundament of modern marketing (Proctor, 2002, p. 188, as cited in Harris and Schaefer, 2015).
The biggest boom in the millennium had to be the internet. Since the start, there has been countless number of companies and products have been developed with the use of the internet in every way imaginable. The Blackberry was the pioneer of Smart phones that allowed users to access the internet wherever they were located. They could access applications that were useful in maintaining everyday activities such as E-Mail and Face book.
Many factors should be addressed when defining a target market. These factors include market segmentation, product life cycle, and the four "P's" that make the marketing mix. Market segmentation is the process of dividing a total market into market groups consisting of people who have relatively similar product wants and needs. There are four major segmentation variables: geographic, demographic, psychographic, and behavioral. Geographic segmentation includes world region, country region, city, density, or climate. Demographic segmentation can consist of age, gender, income, occupation, education, race, religion, or nationality. Social class, lifestyle, and personality fall into the psychographic segment. The behavioral segment divides buyers into groups based on their knowledge, attitudes, uses, or responses to a product (Bethel, 2007). Once the market segment is identified, that market can be targeted.
Terrell, E. (n.d.). Market Segmentation. (Business Reference Services, Library of Congress). Retrieved April 6, 2014, from http://www.loc.gov/rr/business/marketing/
Segmentation is a marketing strategy that involves separating a wide target market into small groups of customers who share the common need of using or purchasing the product that needs to be marketed. Market segmentation strategies are utilized to identify these groups of consumers and strategies are designed and implemented to make the product or service appeal to them. Support and also the product will be strategically placed in order to successfully achieve the ultimate marketing goal. Businesses and organizations may come up with different type of strategies involving different products and catchy phrases depending on the product or the target segment.
Caroline and Jennifer said that ‘Market segmentation is a crucial marketing strategy. Its aim is to identify and delineate market segments or set of buyers which would then become targets for the company’s marketing plans.’ (Tynan and Drayton, 1987) There are many ways to segment the market, such as age, region, environment, psychology and wages (Hall, Jones and Raffo, 2010).
Volterman’s product is unable to meet the need of people from all age group so they need to use market segmentation to meet the customer requirement with the common needs and characteristics. (3) Volterman organization are able to determine exactly who is their targeted market such as
Segmentation, targeting and positioning of automotive industry consists of three stages; in automotive industry determine which kinds of customers exists in the market, apply segmentation by optimizing company goods or services for the particular segment and select the customers which is suitable to serve. Segmentation involves finding out different kinds of customers with various needs. In automotive industry, some customers demand speed and performance, while on the other hand they also want safety (Borden, 2006). So in this situation the company can’t be able to think about all the customers and only one condition is fulfilled by the company. There are many other kinds of variables in segmentation; demographic refers to personal figures such as income, gender, education, location, etc. Another basis for segmentation is behavior. Some customers are brand loyal and they remain in touch with their preferred brands even after they have many other options available in the market. After segmenting, companies decide to target one or more segments. After that the industry has to check how big is the segment, and how customer can expect it to grow (Chikweche and Fletcher, 2012). For example, BMW has a great reputation for fast, consistent quality; the customers didn’t know that BMW offers many others after sales services. Positioning takes place after segmentation and targeting, positioning involves implementing our targeting. Many automotive companies had chosen to position itself as a maker of eco-friendly vehicles. Therefore, for promotion of eco-friendly vehicles, automotive industries spend a lot in advertisement.
Despite the short amount of time since the introduction of the smartphone, the rapid development of the software and technology has had a tremendous effect on the everyday life in society today. The concept of communicating through a telephone was developed in the 1870s. Devices to transmit speech electrically were designed by Elisha Gray and Alexander Graham Bell, but Bell's design was patented first. On March 10, 1876, Alexander Graham Bell achieved one of his greatest successes in the making of the telephone. This brought upon a major change in communication and gave leeway to the improvement of the telephone in the days to come (Bellis, 2013b). During the 20th century there were many innovations regarding the telephone. In 1973, the first call from a portable phone was made Martin Cooper, who was a Motorola researcher and executive at the time. Since its inception, the advancement of cell phones has been exponential (Bellis, 2013a). As a result, cell phones have changed how society works in today's world. Many people lack the insight of how cell phones, or in this case, smart phones, affect the people that use them. So the question is, how is the evolution of smart phones impacting our society?
According to Kotler et al 2013 market segmentation is defined as dividing a market into smaller segments of buyers with distinct needs, characteristics or behaviours that might require separate marketing strategies or mixes. As per the industry data which we were operating we used different theories to segment the market one of them is STP process. In this method whole market is sub divided into different segments based on three activities these are segmentation, targeting and positioning. From the market information in case study we identified similar groups of consumer under market segmentation activity. For example market E had consumers travelling between mini hub to medium city that had a new and growing market. While targeting the market we identified which group of consumers to aim for instance market D had major university and service sectors. Lastly in the product and brand positioning we created a concept so as to appeal the target market by running as discount airline. One of the approaches for market segmentation according to Kotler et...
Over the past five years, RIM has changed its corporate name to BlackBerry, been purchased by private equity firm Fairfax Financial, written down over $1 billion in assets and unsold inventory, and laid off more than 40% of its workforce (Connors). BlackBerry’s fall from market leadership and financial success is the result of a corporate structure that failed to foster individual employee creativity and company-wide innovation. Financial distress, upper-management turnover, and loss of strategic direction are symptoms of BlackBerry’s problem: a failure to innovate and remain competitive in the smartphone market. Recent attempts to regain foothold in the smartphone market include the unsuccessful launches of the PlayBook tablet in 2011 and Z10 and Q10 phones in 2013. These attempts to dismantle the iPhone and Android market power have resulted in BlackBerry trying to mimic its competitors rather than producing cutting-edge products that create value for its customers.
The smartphone industry is growing every year, not just in sales but also in phone size. Before 2007 the only smartphones available in the United States were Blackberries and Palm Pilots. When these two brands were the only choice of smartphones, smaller screens were preferred. However that all changed after June 29, 2007 when the first iPhone device was released by Apple. The original iPhone had a 3.5-inch screen and at the time, this was the biggest screen available on a smartphone. In the following years numerous smartphones would be released with a bigger screen. Smartphones might be increasing in size every year because consumers have shown an interest in bigger devices, new features require more space, bigger phone are beneficial to people with poor vision, and a bigger screen allow for more customization.