Market Segmentation and Consumer Profile
Market Segmentation and Consumer Profile
Segmentation is sometimes referred to as differentiated marketing. Instead of trying to sell just one product to the whole market as in mass marketing, different products are targeted at different segments. This is a form of niche marketing. To be effective, firms must research and analyses the total market carefully to identify the specific consumer groups or segments that exist within it. Below are some examples of market segmentation:
Computer manufacturers, such as Hewlett Packard, produce PCs for office and home use, including games, but also make laptop models for business people who travel.
Coca-Cola not only makes the standard cola drink but also Diet Coke for slimmer’s and flavored drinks for consumers with particular tastes.
Renault, the car maker, produces several versions of its Mégane model, such as a coupe, saloon, convertible and ‘people carrier’ – all appealing to different groups of consumers.
Sometimes firms only market their goods or services to one segment and deliberately do not aim to satisfy other segments. Gap is a clothing retailer that aims only at the youth market, Nike shoes are only for sports use and Coutts Bank only offers banking services to the seriously rich. These businesses make a virtue out of concentrating on one segment and developing an image and brand that suits that segment. Successful segmentation requires a business to have a very clear picture of the consumers in the target market it is aiming to sell in. This is called the consumer profile. The main characteristics of consumers contained in a consumer profile are income levels, age, gender, social class and region. Marketing mix decisions need to be appropriate for the consumer profile of the target market. A well-targeted product will need less advertising and promotional support than one which does not really meet the needs of the consumers that it is aimed at. Markets may be segmented in a number of different
Segmentation is sometimes referred to as differentiated marketing. Instead of trying to sell just one product to the whole market as in mass marketing, different products are targeted at different segments. This is a form of niche marketing. To be effective, firms must research and analyses the total market carefully to identify the specific consumer groups or segments that exist within it. Below are some examples of market segmentation:
Computer manufacturers, such as Hewlett Packard, produce PCs for office and home use, including games, but also make laptop models for business people who travel.
Coca-Cola not only makes the standard cola drink but also Diet Coke for slimmer’s and flavored drinks for consumers with particular tastes.
Renault, the car maker, produces several versions of its Mégane model, such as a coupe, saloon, convertible and ‘people carrier’ – all appealing to different groups of consumers.
Sometimes firms only market their goods or services to one segment and deliberately do not aim to satisfy other segments. Gap is a clothing retailer that aims only at the youth market, Nike shoes are only for sports use and Coutts Bank only offers banking services to the seriously rich. These businesses make a virtue out of concentrating on one segment and developing an image and brand that suits that segment. Successful segmentation requires a business to have a very clear picture of the consumers in the target market it is aiming to sell in. This is called the consumer profile. The main characteristics of consumers contained in a consumer profile are income levels, age, gender, social class and region. Marketing mix decisions need to be appropriate for the consumer profile of the target market. A well-targeted product will need less advertising and promotional support than one which does not really meet the needs of the consumers that it is aimed at. Markets may be segmented in a number of different
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