Professional Custom Accounting Papers: segmentation
Possibly the most important concept/term we’ll address in this course is “segmentation.” According to the text, better-defined segments will generally be discovered by focusing first on needs and then on consumer characteristics associated with those needs” (Hawkins & Mothersbaugh, 2016, p. 14)
Perhaps the most important marketing decision a firm makes is the selection of one or more market segments on which to focus. A market segment is a portion of a larger market whose needs differ somewhat from the larger market. Since a market segment has unique needs, a firm that develops a total product focused solely on the needs of that segment will be able to meet the segment’s desires better than a firm whose product or service attempts to meet the needs of multiple segments.
To be viable, a segment must be large enough to be served profitably. However, it should be noted that technology advances such as flexible manufacturing and customized media are allowing for mass customization such that firms can target smaller segments and even individuals profitably. Behavioral targeting,in which consumers’ online activity is tracked and specific banner ads are delivered based on that activity, is another example of how technology is making individualized communication increasingly cost-effective. (p. 14)
Some consumers buy the newest version of the iPhone as soon as it’s released, even if the new features are very minor. What problem/need does this new version of the iPhone fulfill? For what segment? (Define the segments in terms of characteristics or demographics/psychographics)
Hawkins, D. & Mothersbaugh, D. (2016) Consumer Behavior: Building Marketing Strategy, 13th Edition.
McGraw-Hill, New York, NY.
Response:
Question:
Class,
Chapter 20 discusses regulations, however, it also addresses advertising and values. Provide an example of an advertisement that doesn’t align with your personal values. For example, many feel that McDonald’s contributes to childhood obesity.
Hawkins, D. & Mothersbaugh, D. (2016) Consumer Behavior: Building Marketing Strategy, 13th Edition.
McGraw-Hill, New York, NY.
Response:
Question:
Class,
Eric Holtzclaw’s book “Laddering” suggests that before World War I, people bought only what they needed. After the advent of mass production, primarily to meet the demands of the U.S. military in World War 1. Companies had to market themselves to create a demand for their products and to compete with other products, although choices and competitors were few. .
Propaganda used in Europe let to the discovery that signs and symbols could influence behavior, leading to the creation of “Publicity Direction” (Because propaganda was viewed negatively) This term eventually evolved into “Public Relations”
During this time, few options for entertainment existed, and people spent a great deal of time with their neighbors. This began to create some competition among neighbors for different products and brands known as “Keeping up with the Joneses.” (Holtzclaw, 2013)
Can you think of some brands today that depend upon that “Keeping up with the Joneses” mentality? Many, for example say that Starbucks Coffee is simply a status symbol for some consumers who want to be seen with the Starbucks’ cup!
As you respond to this question, be certain not to “judge” other segments who may behave differently than you behave.
Holtzclaw, E. V. (2013). Laddering. Somerset: John Wiley & Sons, Incorporated. Retrieved from http://www.ebrary.com
Response:
Choose an organization with which you are familiar.
Write a 700- to 1,050-word paper in which you review the impact of consumer behavior on this organization’s marketing strategy.
Review and evaluate a specific example of how this organization utilized its knowledge of consumer behavior to adjust its marketing strategy.
· How did this organization figure out what its target market wanted?
· How was the organization’s marketing strategy (product, price, distribution, promotion, service) impacted by consumer behavior?
Format your paper consistent with APA guidelines.
