Sunday, May 1, 2011

Ch 8- Segmenting and Targeting Markets

“Marketers use segmentation bases, or variables, which are characteristics of individuals, groups, or organizations, to divide a total market into segments.”  The key is to identify significant and assessable segments that attract different marketing mixes. Geographic segmentation is important when you are thinking of opening up a McCafe restaurant. We need to know what consumers are appealed to and arrange our McCafe to their taste. Marketers often use demographic segmentation because it is available and it is related to consumers buying behavior. Age, gender, income, ethnic background and family life cycle are all taken into effect when it comes to a new McCafe.  Young children, tweens and generation y are all likely to go to a mcdonalds, while generation y and x are more likely to visit the environment of a McCafe. I believe the most beneficial segmentation bases we should focus on are benefit segmentation. The one intention a marketer should have is to know your consumer is satisfied with the product they purchased. This focuses more on what the consumer needs and wants instead of focusing on their age or gender. When targeting consumers for McCafe we know what they want is a quick and affordable tasting coffee and that’s what they will receive.

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