Segmentation Benetton

1558 WordsJan 29, 20087 Pages
Each person has his/her own needs or preferences for a product, services, basket of goods. For this reason companies cannot satisfy to everybody but they look for the way to satisfy to a broad group of people. This is the cause of the existence of market segmentation. Segmentation is a marketing management technique which can help firms to find ways of establishing a competitive advantage. Marketers design a marketing mix program, and also its policy, aims to specific needs of a segment that company has chosen to launch its product. Apparently, it can be easy but it is not. Companies have serious problems when they want to itself in international market, due to wide divergence in cross-border consumer needs and preferences. Consequently,…show more content…
Companies may sometimes operate very well in a declining market segment provided, because there is a close relation between the needs of the segment and the company own capabilities. So that, it is very important that resources and objectives must be considered when selecting segments and these segments give a positioning strategy to the product. Furthermore, there are two stages of international segmentation. First, it is aggregate or macro-level stage, where they are country groups with similar traits. The second stage is the opposite, it is disaggregated or micro-levelled, where there are product-specific bases relate with buying and consumption behaviour, this is focus on consumer needs. Besides, there are three segmentation scenarios:-Universal or global segment this segment extends towards different countries. -Regional segment this segment is concentrate in a local market. -Unique segment this segment its target is each individual. Segment scenario of Benetton is a universal segment which breaks boundaries as a result of these customers of different countries has similar thoughts. Additionally, different variables are used for country segmentation purposes. The most commonly used are: demographics, socioeconomics, behaviour segmentation and lifestyle. -Demographics: they are easy to measure, for this reason, frequently they are used because they give exact data and they always are available. As we mentioned before, Benetton focus on people with less of
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