Targeting the Right Market Segments
Choose one of the new offerings being considered for development and recommend three market segments that company might consider targeting and develop a brief market profile of each. Use combinations of the major segmentation variables from Table 9.1 in your text for each profile. Give a symbolic name to each profile. Explain your choice of market segments to target.
• Soft Tough: a new line of male cosmetics. The products are not visible on the skin, but they help reduce aging effects on the skin and at the same time provide some sun protection.
• GreenDial: a full-featured mobile phone that is solar powered.
• iSense: a smart-phone with an interface that senses hand gestures and voice commands to function from as far as eight inches away.
• Mobile CleanAir: a personal portable air purifier that removes harmful airborne pathogens in the user's air space thereby providing germ-free and contaminant-free air to breath wherever he or she goes.
• Nutrition's Essential Tool (N.E.T.): a product that helps people see what they eat and make informed decisions based on this knowledge. The service is available to anyone who owns a camera-ready cell phone. N.E.T. allows a user to photograph the barcode of a food item and then use recognition software to identify the associated nutritional value of that product as well as its point value on standardized diet programs.
• Transitional Widow Tint: a transitional polarized tint for car windows that adapts to lighting conditions. Sold as an option on new cars.
• Bagnow: a small micro-chip encased in a plastic clip-on device that sticks to the inside pocket of any type of suitcase. Once attached, the baggage can be tracked via a GPS-based application on the owner's smart-phone.
Table 9.1 Marketing Advantages of Strong Brands
Marketing Advantages of Strong Brands
Improved perceptions of product performance Greater trade cooperation and support
Greater loyalty Increased marketing communication effectiveness
Less vulnerability to competitive marketing actions Possible licensing opportunities
Less Vulnerability to marketing crises Additional brand extension opportunities
Larger margins Improved employee recruiting and retention
More inelastic consumer response to price increase Greater financial market returns
More elastic consumer response to price decreases
Product: The product selected is Soft Tough: This is a new line of male cosmetics. The products are not visible on the skin, but they help reduce aging effects on the skin and at the same time provide some sun protection.
Market segmentation is dividing a broad target market into subsets of consumers who are perceived to have common needs, interests, and priorities, and implementing strategies to target them (a). In case of Soft Tough, since the location of the firm is in New York City, the north-east cities have been selected as the main geographical segments. The three segments are:
New York, Male, age ...
This solution explains the process of selecting the right segments. The sources used are also included in the solution.