Segmentation and Target Market

Segmentation and Target Market PaperJonathan GraceMKT/571October 21, 2014Dr. Johnny MorrisSegmentation and Target Market PaperThis plan was put into in 1936, establishing the Government Employees Insurance Company, the company known and respected today as GEICO. GEICO was primarily directed toward federal employees and certain groups of enlisted military officers. Lillian Goodwin actively marketed the company to this group of consumers and within a year, GEICO had written over 3,700 policy holders and employed 12 staff members.

The Gap Inc. is a global specialty retailer that operates stores selling casual apparel and accessories for men, women, and children (Yahoo Market Guide, 2001). Under the Gap, are the Old Navy and Banana Republic brands (Yahoo Market Guide, 2001).

For our initial strategy we wanted to choose a product line that would be most intriguing to customers in this poor economy. To initiate this we focused our products around better gas mileage, safety, and quality. In order to do this we needed to evaluate consumers’ needs and desires when making a high involvement purchase such as a car. We believe the best target market for this type of car would be a middle class family that does not have as much disposable income due to the recession in our economy.

Deardorff, J. (2012, January). Fitness: A rare health club beckons the obese. The Charleston Gazette,. Retrieved from http://search.proquest.com.ezproxy.apollolibrary.com/docview/914947863?accountid=458

Moreover, a customer’s connection to their vehicle is not explainable to anyone other than themselves. A good vehicle will be with the owner through many years of experiences and truly becomes a part of the family. Good or bad, everyone remembers their first vehicle and a connection to that vehicle, and that feeling, can transcend rational thought when purchase a new type of vehicle. Because of this, it is required to present the customer with targeted marketing providing the customer with adequate information to sway their opinion towards a Nighthawk Motors vehicle.

McDonald’s is a fast food giant and is one of the best known burger chains in the world. McDonald’s builds its brand equity by listening to its customers and continually adjusting its communication and marketing methods. Because McDonald’s faces stiff competition around the world from other fast food chains it must continually adapt. This paper will show how McDonald’s is segmented in the fast food industry, its target markets, and the selection process for that target market. Developing a marketing strategy is very important and to do that it is important to understand the

From a psychographic point of view where activities, interests, buying habits, attitudes, and opinions are concerned, Costco

The new car product is the core of Autobytel’s automotive business. In a nutshell, Autobytel helps customers with making choices about the type of car they want to buy without the pressure of a sales force. Once a customer has determined the exact type of car they want to buy, the service then directs these motivated buyers to participating retailers. In essence, Autobytel has two customers, car buyers and car sellers and needs to work at pleasing both. In order to continue to attract more car buyers, Autobytel needs to focus its marketing and understand the marketing plan’s effect. Not only will this bring more interested

The main way to show reliability is by helping school districts when they have vacancies. We will ensure immediate coverage if the SLP is terminated or has to go on leave.

Market Segmentation – How & Why As well as the physical aspect of our store changing we have to look at the market differently. Where it was once possible to take a pile it high sell it cheap approach, to achieve broad appeal to the population we need to cater to the needs of the population. This is achieved by breaking the population into groups and then releasing products and services that meet the needs of these groups. This is known as target marketing. Although we all appreciate the theoretical economies of scale given by mass marketing a single product, there are few products that appeal to everyone.

Demographic segmentation divides the market into smaller categories related to age, family, size, family life cycle, gender, income, occupation, education, religion, race, generation, nationality, and social classes. Apple phone and iPad owners tend to be younger, better educated, live in urban areas, and have an annual average income higher than $60,000. In addition, Apple customers choose to buy premium products and are attracted by style, fashion and form (MetaFacts, 2009).

Market segmentation is the division of a market into different groups of customers with distinctly similar needs and products or service requirements (Croft, 1994). Its major purpose is to pull scarce resources and ensure that the elements of the marketing mix, price, distribution trends, products and promotion are premeditated to satisfy the particular needs of the different customer groups. City Grill’s main approaches to market segmentation, could include using the breakdown method where they can view the market as to consist of consumers who are in essence the same, having similar tastes, and so forth. Their duty could only be to identify groups which share particular differences. Alternatively they

Since their beginning, Richard’s Hobby and Sports Store rely on customer relationship, fulfilling their wants and needs has been their goal, such as after a few years in the market they have segmented their business into Hobby and Sports Goods.

Tesla Motors founded their brand on appealing to the needs and wants of consumers in the auto-industry, their success can be linked directly to effective marketing techniques utilized when designing products. The business recognized a need for luxury and 'eco-friendly ' cars that are capable of driving reasonable distances without requiring lengthy recharges. Elon Musk outlines his reasons for deciding to appeal to the premium end of the auto market as “where customers are prepared to pay a premium”, but

Segmentation means to divide the marketplace into parts, or segments, which are definable, accessible, actionable, and profitable and have a growth potential. As per the data given above it can be estimated that total no. of people who can consider buying the product can be the ones who lie in high income or medium income group, as the product is a bit costly and low income group cannot be targeted for the same. We are basically targeting the people who are fitness freaks or the people who are suffering from obesity or other diseases due to which they are advised to do exercise by the doctor so as to lose weight. Considering Manipal where people (Students) have sufficient time to do exercise, and Udupi which has a sufficient population of young