Market Segmentation and Market Positioning

In: Business and Management

Submitted By atswaby
Words 981
Pages 4

With the increase in globalization and travel, many family and friends not only in the United States but all over the world are separated by distances that are too vast to make face-to-face communication possible. Technology is a blessing to long-distance relationships. You can use computers, faxes, telephones and mobile phones to keep in meaningful touch with your loved ones. Cyber communication also makes it a lot easier to stay in touch.
Talking regularly on the telephone is a common and positive way of staying in touch. NetSpeak is an online telecommunication or VOIP phone distributor that provides friends and families in the US with an affordable call rate service that allows subscribers to choose from a wide range of service offerings. Additional product features are added for free to ensure customers high service satisfaction. Membership subscription is offered to customers in order to take advantage of the low rates. NetSpeak provides the lowest phone call rate for friends and families to stay in touch.

Marketing Objectives * Launch new product on January 1, 2012 to target market, achieving sales target of $250,000 by December 31, 2012. * Increase product awareness among the target audience by 35 percent in one year. * Inform target audience about features and benefits of our product and its competitive advantage, leading to a 15 percent increase in sales in one year.

1. Identify the marketing segment for the product and explain why this segment was selected;
The market segment selected for this product was young adults between the ages of 18 to 28. According to Zdnet Research in January 2006, the highest online activity by age group for instant messaging and text messaging were young adults between the ages of 18 to 28. It is believed that this age group spends the most amount of time communicating with each…...

Similar Documents

Company Introduction. Market Segmentation and Product Positioning

...this segment. Discuss the target market and provide a rationale for this target market. The target segment or market segment to exploit for our products include both men and women from upper segments of the society or high net-worth individuals that can afford our premium technology products. The target customers, apart from being financially sound, will also depict characteristics such as interest in owning latest technology products, flair for artistic or premium, sophisticated or one of its kind limited edition products, etc. As the product is not only technologically advanced but also expensive in terms of price and sophisticated or unique in terms of design and appeal, it is aimed at those select individuals in the society that can afford to buy such luxury products. Hence, it is most profitable for a company to target only high end or high net worth individuals for this product. The middle income consumers will not be able to afford this product and thus, do not require special attention. The company would focus on rich entrepreneurs or business people, CEO's or top management of corporations and passionate technology or art lovers who love to invest or indulge in such luxury purchases. 3. Perform a SWOT analysis (strengths, weakness, opportunities, and threats) for the company. Strengths: 1) Technologically superior products with very strong design and luxury appeal. 2) Unique offering with little or no competition in the market. 3) Strong manufacturing and......

Words: 935 - Pages: 4

Company Introduction, Market Segmentation, and Product Positioning

...Company Introduction, Market Segmentation, and Product Positioning MKT500 April 24, 2012 Executive Summary DTPME is a Christian owned and operated health care service company that serves in North Carolina and expanding into the Europe market. We will be serving an exclusive geographic segment of the multi-billion dollar health care industry, and will create value for our clients by offering quality, reliable health care products supported with top notch service and a 100% satisfaction guarantee. DTPME customer base will be individuals and families, which may need additional monitoring in case of an emergency who may be coping with an acute or chronic illness, recovering from surgery or an injury, or assistance with basic everyday living needs. DTPME was formed as an incorporated organization with three owners. DTPME’s current location, with 500 employees in a 150,000 square foot building, is located in Raleigh, NC. DTPME partnered with German institute Fraunhofer to develop this new medical alert pendant and bracelet that has a built-in sensor with a camera. DTPME has kept abreast of the current and future technologies in healthcare equipment and will offer the latest medical alert device to customers. Current market research indicates that within the next year, technology will grow significantly in terms of the devices that will connect the healthcare providers to patients. DTPME will also be positioned as a distributor of this......

Words: 3132 - Pages: 13

Market Segmentation

...Segmentation, targeting and positioning are interrelated activities, which are important to achieving a successful marketing mix. Discuss these concepts in theory and give practical example of how they can be applied to one industry of your choice. Market segmentation is a marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs, and then be designed and implemented to target these specific customer segments, addressing needs or desires that are believed to be common in this segment, using media that is used by the market segment. Today’s generation there are various products in the market. Today I am going to discuss one of them is RADOX BRAND. Radox is helping people unwind for more than a century by creating therapeutic blends of natural ingredients. This product will develop our body and mind. Relax, refresh, and be a little selfish for once with the Radox shower and bath collection – made for those indulgent moments. Running around after others takes it out of you. Radox is designed to help you savour those precious moments to yourself, with a range of shower, bath and cleansing products that make relaxing a joy. Now there are more Radox products than ever before – for the bath and the shower, of course, but also hand washes and scrubs. Radox bubble baths, bath salts, shower gels, spa treatments and even shower smoothies are all formulated to soothe the body and pamper the skin. We think people with busy...

Words: 1727 - Pages: 7

Market Segmentation, and Product Positioning

...Company Introduction, Market Segmentation, and Product Positioning Professor: Gary Smith Sonya R. Byrd April 28, 2013 We are a family owned and operated, full service lawn care and grounds keeping company based out of Raleigh, North Carolina. We pride ourselves in professionalism, quality and affordability. With over 20 years of experience serving the Triangle, we eagerly seek to perform above and beyond other turf care providers. “We started mowing lawns with one philosophy and mission in mind: provide consistent, superior service while building lasting relationships within our community.” The services we offer are as follows: Mowing, Edging, Blowing, 6-Step Fertilizing Program, Aeration, and Over-Seeding, Sod Installation, Liming and Soil Conditioning, Lawn Weed Control and Disease Control, Tree an Shrub Trimming and Pruning, Mulch and Pine Straw, Landscape Design & Installation, Tree and Shrub Care, Insect and pest Control and Fall Leaf Removal, Drainage Installation, Commercial Services, Landscape Edging, Athletic Field Care, Artificial Turf Installation, Custom Stone Work, Patio Pavers, Landscape Lighting, Backyard Water Features, Debris Haul Away, Pressure Washing, Holliday Lighting, Retaining Wall, Sprinkler System, Snow and Ice Management and more. As a student at North Carolina State University studying Turf Grass Science, and graduating 1998 Magna Cum Laude, I’ve grown even more passionate about lawn care and enjoy learning about the constantly......

Words: 1056 - Pages: 5

Company Introduction, Market Segmentation, and Product Positioning

...My company Change Your Life Fitness is a non-typical gym. Our goal at Change Your Life Fitness is to put fun back into fitness. Change Your Life Fitness has been formed to meet a specific need in an ever increasing competitive market. How is Change Your Life Fitness different? We offer a plethora of services, but you only pay a small fee for the services that you want to take advantage of. Our fitness center has no sign up fee(s) and only a ten dollar a month membership fee, which can be cancelled at any time. We offer nutritional assistance for the people that want to lose weight, we offer professional trainers for people that wish to increase muscle mass, we offer yogi for people that want to learn proper stretching and relaxation techniques, we offer different types of Jazzercise as well as Zumba. We offer child care services for single and working parents. Regardless of your fitness level you can find something at Change Your Life Fitness that will appeal to you. Our mission statement at Change Your Life Fitness is- “Change Your Life Fitness- We will help you achieve results that will change your life”. I want to make our fitness center someplace that has something for everyone. Fitness is such an important part in all of our lives, and I want Change Your Life Fitness to be part of that. I am aware that a mere ten dollar a month fee is not enough to get rich with. I plan on selling nutritional supplements, sports drinks, snacks as well as calorie correct prepared......

Words: 1796 - Pages: 8

Market Segmentation

...MARKET SEGMENTATION, TARGETING AND POSITIONING MARKET SEGMENTATION INTRODUCTION: - The market for any product is normally made up of several segments. A ‘market’ after all is the aggregate of consumers of a given product. And, consumer (the end user), who makes a market, are of varying characteristics user and buying behavior. There are different factors contributing for varying mind set of consumers. It is thus natural that many differing segments occur within a market. In order to capture this heterogeneous market for any product, marketers usually divide or disintegrate the market into a number of sub-markets/segments and the process is known as market segmentation. segmentation Thus we can say that market segmentation is the segmentation of markets into homogenous groups of customers, each of them reacting differently to promotion, communication, pricing and other variables of the marketing mix. Market segments should be formed in that way that difference between buyers within each segment is as small as possible. Thus, every segment can be addressed with an individually targeted marketing mix. The importance of market segmentation results from the fact that the buyers of a product or a service are no homogenous group. Actually, every buyer has individual needs, preferences, resources and behaviors. Since it is virtually impossible to cater for every customer’s individual characteristics, marketers group customers to market segments by variables they have in common.......

Words: 9108 - Pages: 37

Market Segmentation and Positioning

...on a company of your choice and discuss the market segmentation within that industry along with the target market for the company and the selection process for that target market.  Required Elements: * No more than 2100 words * Include demographic, psychographic, geographic, and behavioral characteristics for the selected company. * A positioning statement for the company with careful consideration of their brand and strategy * Paper is consistent with APA guidelines. I. Introduction BMW stands for Bayerische Motoren Werke AG, translated means Bavarian Motor Works (BMW). It was founded by Karl Rapp and Gustav Otto. In 1916, the Flugmaschinenefabrik Gustav Otto Company merged into Bayerische Flugzeug-Werke AG (BFW). In 1917, the Rapp Motorenwerke Company merged with Bayerische Motoren Werke. In 1922, BMW AG transferred engine construction operations, company name and brand names to BFW. March 6, 1916 is known as the birth date of Bayerische Motoren Werke AG (BMW) (“Bmw Group”, 2014). BMW is synonymous for luxury, the ultimate driving machine. In the past BMW only targeted the elite, wealthy, successful businessman. BMW has stepped out of the box to target other segments of the market to increase profits and gain an even bigger share of the industry. II. Market segmentation within the industry The market segmentation within the automobile industry that......

Words: 1240 - Pages: 5

Market Segmentation and Product Positioning

...Market Segmentation and Product Positioning Assignment One January 18, 2011 Abstract The key to successful product implementation in today’s national enterprise system is the effective marketing of a new product with the company’s line of existing products. As stated by Iacobucci (2010) (p.3), marketing is defined as an exchange between a company and its customers. In simple terms, the customer wants something from the company or firm and vice versa. In previous times, a company would manufacture a product they thought the customer would want and/or need. The customer purchased that product because of a pending need which basically meant that marketing used to be product oriented. However, marketing today is more that an advertisement for goods and services in an attempt to attract new business. We live in a customer orientated and empowered marketing environment (p.5). We realize the importance and ramifications of having an exchange with our customers and developing a relationship with them. It is this exchange of information between our company and our existing as well as future customers that secures our position in our target market. Our company is a regional tool distributor located in the north eastern section of the United States. Our customer base consists of several major retailers, nationally known in the retail and wholesale tool industry. We use the brand label Steel City Tools for marketing and distribution of our products. This......

Words: 1942 - Pages: 8

Market Segmentation and Product Positioning

...PART I. PRODUCT POSITIONING AND MARKET SEGMENTATION One of the major activities in marketing research entails the dual problem of product positioning and market segmentation. Positioning and segmentation are two sides of the same coin. In product positioning, our aim is to provide our product or service with features that will appeal to various potential buyers. However, our product’s appeal takes place in the context of other suppliers’ features and appeals. Segmentation of markets is the counterpoint of product positioning. We try to match products to market segments and, occasionally, also to develop new segments – again in the context of competitors’ similar pursuits. Part I consists of four chapters. Each of these chapters describes actual cases entailing target market positioning and new segment development. We describe the use of conjoint analysis (and related techniques) in target marketing positioning, line extending, and segmentation, including the case of dynamic modeling where competitors engage in action and reaction sequences over time. CHAPTER I. TARGET MARKET POSITIONING Few marketers would dispute the central roles that product positioning and market segmentation play in today’s economies, national or global. Vignette 1 focuses on various extensions of product positioning strategy. In this case our (disguised) firm is the Epsilon Company. Epsilon is a key player in the consumer credit card industry. Competition in......

Words: 419 - Pages: 2

Market Segmentation and Product Positioning

...Market Segmentation and Product Positioning Juan Snowden 18 July 2010 Market Segmentation The purpose of this market plan is to serve as a living and dynamic guide for the operation of Grey Matter Solutions, LLC. Grey Matter Solutions, LLC is a single location home-based engineering and information technology business offering strategic technical and program management solutions. It is the owner’s intention to expand the business so that it becomes a solid, highly-profitable venture and the operation can be supported year around. The main purpose of Grey Matter Solutions, LLC is to offer a wide range of engineering and information technology services that will meet the needs and offer solutions for individuals, business and government clients. Grey Matter Solutions, LLC will not only collect and process information, but will seek to education its clients at the same time so that the best strategies are employed at all times. Mission Statement Grey Matter Solutions, LLC is a full-service engineering and information technology services business located in Anne Arundel County, MD. The business provides engineering, systems analysis, systems integration and technical services for governmental agencies, and at the federal, state and local levels throughout the United States. From program process improvements, program management to onsite and hands-on engineering consulting, Grey Matter Solutions is committed to being your one-stop quality service meeting......

Words: 1148 - Pages: 5

Market Segmentation and Product Positioning

...Market Segmentation and Product Positioning Market segmentation is the identification of portions of the market that are different from one another. Segmentation allows the firm to better satisfy the needs of its potential customer. Market segmentation also involves dividing a particular market into groups of individual markets with similar wants and needs. Market segmentation can allow a company to identify groups of similar consumers or potential consumers. It can allow a company to pin point different types of consumer behavior in regards to particular products of that company. Due to market segmentation, the company will be able to respond with appropriate marketing strategies that satisfy the different preferences of each chosen segment. Market segmentation can be used in different markets, such as industrial markets and consumer markets. According to, industrial markets commonly use market segmentation to segment their different markets according to “1.) Location 2.) Company type and 3.) Behavioral characteristics” ( In relation as to why industrial markets would use location as a segment would be due to shipping factors for the vendor. It is important for vendors for companies to be geographically positioned near the customers due to “shipping costs may be a purchase factor for vendor selection for products having a high bulk to value ratio” ( Industrial markets would use company...

Words: 1605 - Pages: 7

Market Positioning

... Submitted To: Mr. Umar Mukhtar | | | | Positioning refers to “target consumer’s” reason to buy a brand in preference to others. Whereas, Psychographic segmentation involves dividing market into segments based upon different personality traits, values, attitudes, interests, and lifestyles of consumers. This segmentation is advantageous because it allows the firm to engage in product design and marketing in a focused manner. And positioning helps an organization portray its customers what it wants to achieve for them and what it wants to mean to them. I have chosen the following companies for the analysis of brand positioning and psychographic segmentation: Nestle and Shezan Nestle Positioning: Nestlé is the Pakistan's leading nutrition, health and wellness company. "Good Food, Good Life" is the promise they commit to everyday, everywhere – to enhance lives, throughout life, with good food and beverages. Nestle is well known for the quality and taste of its products. Nestle Believes that “Success is built on Quality”. Nestlé operates in many ways but people, products and brands are the......

Words: 1483 - Pages: 6

Market Segmentation and Product Positioning

...Assignment 1: Market Segmentation and Product Positioning Fabio Micheletto Instructor: Dr. Jean Gordon MKT500 – Marketing Management 10/23/2011 Assignment 1: Market Segmentation and Product Positioning 1. Identify the marketing segment for the product and explain why this segment was selected. 2.1 Company Description WestportAxle Corporation is an U.S. based company with its headquarters in Brazil that focuses in manufacturing and assembly front axles for truck and buses (heavy and light duty). One of the products that WestportAxle plans to introduce in the U.S. market is the new 24K front axle for Trucks Class 8 Fire/Crash (picture 1). Company expects to use its 25 years of expertise to bring new alternatives for the Class 8 Truck builders offering a new product with better maneuverability that can be used in the narrow streets of big cities. Picture 1 – 24K Front Axle 2.2 Market Segment In the front axle business there is a specific market that we call “Niche Market”. This market is dedicated to special vehicle builders such as Fire Trucks, Garbage Trucks, Cement Mixers and so on. These trucks are common identified as “Class 8 Trucks”. The 24K front axle is largely used for these trucks, however there are some limitations. And one of these limitations is the maneuverability of the vehicle, sometimes is really difficult to maneuver the truck in the narrow streets. So, our product will fill this gap offering a 55 degrees wheel cut......

Words: 1166 - Pages: 5

Market Segmentation and Product Positioning

...Assignment #1 Market Segmentation and Product Positioning Firstcup ^ Coffee Shop (Toronto, Canada) Marketing Management Abstract This paper will provide the market research plan for Firstcup Coffee Shop. The store will be located in Toronto, Canada. The objective for the first year of operations is to be selected as the “Best New Coffee Shop” by the local restaurant authorities of the city. Firstcup coffee shop is expected to become a constant necessity for local coffee lovers and active people. It is a place to enjoy while you try to escape from the daily stresses and just a comfortable place to meet your friends, have a conversation, surf the web, or read books and magazines, all in one. Taking into account the growing demand for high quality gourmet coffee and great service in this city, Firstcup will take advantage of a strategic localization in Down Town to build a core group of repeat customers. The following plan will include a report of Firstcup Coffee Shop’s data source implemented, the research approaches used, the research instruments that will be apply to interpret the data, the sampling plan and the contact methods. Furthermore, potential market opportunities and threats have been identified by a SWOT Analysis. All of this information will be absolutely important to continue building an accurate marketing plan for the coffee shop. The results of the plan will be definitely very......

Words: 1075 - Pages: 5

Market Segmentation, Targeting, and Positioning

...CHAPTER 8 Market Segmentation, Targeting, and Positioning CHAPTER OVERVIEW Chapter 8 shows different approaches that companies can take to a market in order to best serve customer and company needs. It begins with a brief overview of three marketing approaches that companies can take: mass marketing, product-variety marketing, and target marketing. A fuller discussion details the three steps of target marketing, beginning with market segmentation: dividing a market into groups that is measurable, accessible, substantial, and actionable. This can be done in different ways by using geographic, demographic, psychographic, behavioral, or other variables. Next, the process of market targeting and the different approaches a company can take are discussed. These include undifferentiated, differentiated, and concentrated marketing. The chapter concludes by covering market positioning strategy and how companies can position their products for the best competitive advantage. CHAPTER OBJECTIVES Students should be able to: 1. Explain market segmentation, and identify several possible bases for segmenting consumer markets, business markets, and international markets. 2. List and distinguish among the requirements for effective segmentation: measurability, accessibility, substantiality, and actionability. 3. Outline the process of evaluating market segments, and suggests some methods for selecting market segments. 4. Illustrate the concept......

Words: 13719 - Pages: 55