Purchase Solution

Market segmentation of Automobiles

Not what you're looking for?

Ask Custom Question

1. In your opinion, what are the different segments of the automobile market? Discuss the type of people who buy minivans, pickup trucks, sports cars, SUVs, compact cars, and luxury cars. Are there any benefits for the auto companies to segment the market? Give reasons for your answer. Is it possible for a company to attract the customers of a different market segment into their own market segment and still earn a profit? Why?

2. Why is it important for marketers to monitor current trends in marketing? How does a marketing information system identify and measure trends? How would you design a marketing information system for a product of your choice?

663 words plus one reference

Purchase this Solution
Solution Summary

This solution gives detail information on the different market segments of the automobile market in addition to the importance of marketers keeping current on trends in marketing. It is gives advice on designing a marketing information system.

Solution Preview

Hi: This is a good problem. There is a good source on market segmentation on the web that includes the automobile industry, here is the link: http://www.danyankelovich.com/newcriteria.pdf

It states that there are three main segments of buyers:

Economy: lowest cost can see this with compact cars, low-end pickups, SUVs, mini vans

Value: minivans, compact cars, pickup truck (can haul stuff). The vehicle will do what you need it to get done in an efficient manner

Prestige: luxury and sports cars fit here. Some of SUV's/pickups- think Hummer and Cadillac Escalade XLT.
The benefit of segmenting the market is customizing the approach to different purchasers. Many of us may aspire to a prestige vehicle but find ourselves in a value car based on our current lifestyle.

Companies can tailor market strategies to each segment of the market. Stressing safety for families searching for a mini van, off road maneuverability for the man looking at SUV's.

As well within each category is further segmentation: youth, family, and hybrid market. A recent article in the WSJ talked about how Fiat allows for many variations and ...

Solution provided by:
Sally Baldwin, Ed.D
Education
  • BA, University of Southern California
  • MSS, United States Sports Academy
  • Ed.D, Boise State University
Recent Feedback
  • "Thk u"
  • "Thank you!:)"
  • "Thank you!:)"
  • "Thank you!:)"
  • "Thank you!:)"
Purchase this Solution
Free BrainMass Quizzes
Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Academic Reading and Writing: Critical Thinking

Importance of Critical Thinking

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.

View More Free Quizzes
Related BrainMass Solutions

  • Segmentation - SMC Millennium

    61997 Segmentation - SMC Millennium What is segmentation? Identify the segmentation criteria that will impact your target market selection. Identify your target market. a. Segmentation Criteria b.

  • How has the automobile industry segmented the market?

    The automobile industry segment its market along with different kind of segmentation approach as in each and every state needs of consumers differ in regard to the automobiles.

  • Changing Social Forces Related to Eating Habits and Cars

    It requires careful segmentation of different market segments by demographics such as age, economic status, gender, and lifestyle. Proper segmentation is necessary for producers with a wide range of food products.

  • Namibian/South African Firm's Exportation Issues

    In addition, SA must follow the steps to international foreign market entry strategies: 1) Market Identification, 2) Market Quantification, 3) Market Assessement, and 4) Market Segmentation and Targeting.

  • Marketing for demographic, geodemographic, usage rate and benefit

    market repositioning c. cannibalization (As one product is eating sales of another product) Elaine perceives Cadillac automobiles to be for older men, not for young professional women such as herself.

  • Segmentation Strategies to Target Potential Consumers

    Demographic segmentation is one of the easiest segmentation strategies that will enable the company to tap into the target potential market.

  • This posting addresses online consumer market segmentation

    391106 Online consumer market segmentation Describe market segmentation of online consumers. The basic process of market segmentation involves identifying consumers that have been classified into specific groups, all who have similar needs.

  • Relationship between market segmentation and buyer behavior

    81446 Relationship between market segmentation and buyer behavior What is the relationship between market segmentation and buyer behavior? Segmentation involves classifying the market on various parameters such as flavor, age, region etc.

  • Segmentation Criteria

    140655 Segmentation Criteria Identify the segmentation criteria that will impact your target market selection. Identify your target market. the product is a radio receiver for motorcycle helmets. There can be several segmentation criteria.

  • Discuss the benefits of "Marketing Segmentation"

    Definition of 'Market Segmentation'. Retrieved on September 17, 2013 from http://www.investopedia.com/terms/m/marketsegmentation.asp. The Market Segmentation Company (2013). Market Segmentation.

View More Related Solutions