Market Segmentation of Skin Care Products

1106 WordsApr 10, 20115 Pages
Market Segmentation of Skin Care Products Introduction The quest for beauty is an endless endeavour at all times. Despite the old saying cautioning us that beauty is only skin deep, billions of dollars is spent on skin care products every year for men and women, young and old alike. In this multi-million-dollar industry, every company tries hard to maximize their profit. One of the most common methods they apply is market segmentation. As every customer has unique needs and expectations towards certain products, the ultimate goal of market segmentation is to organize customers into groups which allows targeting of customers with similar needs of and response to the products. The key is to minimize differentiation within each segment and…show more content…
The REGENERIST, on the other hand, highlights its highly defined anti-aging function which attracts women from 30s-50s. The promotion strategies are also diversified for different lines. For instance, Maggie Cheung was invited as the spokesperson for the REGENERIST. The Olay skin care products are fairly priced around a hundred to less than two hundred dollars, varies across different product lines. Their products can be easily found in supermarkets and convenient shops. In addition, Olay is gradually becoming an international brand with the development of different lines across the globe. The QUENCH is designed for women in North America, WHITE RADIANCE for Asian women and the OLAY VITAMINS for the Americans. SKII SKII sells prestige and high-end skin care products. The target group is definitely women with high purchasing power and high expectation towards skin care products as its products usually command a price above five hundred to around a thousand dollars. It has developed the unique ingredient of Pitera from sake which has an excellent moisture retention capacity. Thus, it also targets women above 30 who want to look younger than they actually are. Carina Lau (劉嘉玲) and Sophia Kao (琦琦) have been chosen as spokespersons to demonstrate the unique features of SKII. SKII products are usold in special stores in large shopping malls only to reach the prestige customers. This is an example of a “niche strategy”. SKII is an international
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