Markets May Be Segmented Based On

Market Segmentation involves dividing up the market into different catergories based on different needs and producing different goods to satisfy the different consumer needs.

Markets may be segmented based on: Age (Chocolate Co’s)/ Gender (Clothes/Fragrances) Geographic Area (O’Neills sports Jersey’s) Hobby & Interests (Magazine Co/Sports Clothes) Income Levels (Car manufacturer)

Marketing Mix This involves getting the Right Product into the Right Place at the Right Price and having it Promoted correctly.

To be successful a business must have the RIGHT Product  something their target market want and need  It needs to have a good brand name so customers will know it and maybe become loyal to it  It has to be different from the competitors products  It should have its own Unique Selling Point (USP)

Place  It must be sold in the correct place so the target market can get it easily  This might involve selling in through the wholesaler to the retailer  It might involve selling in lots of different types of retail outlets like hotels, vending machines, pubs, restaurants, shops etc  We have to consider how to deliver our G/S to these places maybe we will have to use road, rail, air or sea forms of transport Price  It must have a price that is suitable for our target market  The selling price has to take into account the cost of producing the product and the profit needed for the business to survive  When deciding the price the business also needs to take into account what other similar products by the competition are selling for  Price always affects the image of the product Promotion  This looks at ways of getting the product well-known to the target market  It will include having attractive, eye catchy suitable packaging  It will include advertising the product (eg: on TV/Radio/Cinema/Papers/ at events etc) where the target market will see it  It will include Sales promotion techniques (activities other than advertising used to promote G/S like 50% off special offer)  It will include Merchandising – providing suitable equipment/display stands so that the good becomes well known and encourages people to purchase it  It will include Sponsorship of events to get the product well known