Cellc South Africa - Marketing

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Question One:

Cell C segmented its market profile according to the different needs and preferences and appropriate market offerings.
Introduction
Definition of Target Marketing and its Importance in telecommunications
This focuses on selling a product or service to a current market. However a strategic market embraces the potential market for the product or service. (Kotler and Keller; 2009: 86). An organization that markets directly to their end users to sell their products and services are benefitting from the concept “direct marketing”. Therefore there is an interactive communication with the end user, thus the most effective direct marketing takes place when there is a clear connection to reach its target market. (Berry and
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(Kotler and Keller; 2009: 270). Apart from increasing its sales it also increases the cost of doing business. Companies have been cautioned though about over segmenting their markets, this could lead to the organization wanting to counter segment, in order to broaden its customer base.

According to the corporate report on Cell C 2008; as a means of improving its infrastructure and positioning in order to yield good results. The organization had resorted to turning its attention to defining its target market, having performed intensive research and tested various offers that could provide all-important differentiation. They had also realised that before any of the offering could be made, they had to fix the basics first, i.e. Improving the performance of the network and its ability to interface with its customers,

THE MARKET

Figure 3: Differentiated Marketing

Markets are targeted at four levels: segments, niches, local areas and individuals.
Hereunder the market segments will be elaborated on.
There are two bases for segmenting the consumer market: these are bases on consumer characteristics as well as consumer responses.

The market segments variables are broken down in to the following:
 Geographic- this classical method of segmentation divides people, potential customers and businesses based in a local,

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