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Targeting and Segmenting the Market
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Targeting and Segmenting the Market

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Targeting the market, profiling for fictitious computer company

Targeting the market, profiling for fictitious computer company

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  • When it comes to marketing products there are two questions that lay the foundation for your approach: 1)What are we selling? And 2) Who are we selling to? GlobiTech already has one of those questions answered. We sell computers and related accessories. One of the latest components of GlobiTech’s product line includes the GT-5 E-Light Personal Laptop. This specific product is low-cost and carries features such as word processing capabilities, financial organizing programs, and a basic 3-D graphic card (Phase 3, 2011). Now we me must determine who we are selling this model to. The following presentation will outline some of the concepts that will help us to identify the target market of this specific product. We will address determining factors such as culture, social status, psychological behavior, and personal identifying behaviors. Before this presentation closes we will meet our ideal consumer for the GT-5 E-Light Personal Laptop, and we will sell them a laptop.
  • Market research involves studying people and their buying behaviors. The terms used in the retrieval process of this crucial information are demographics and psychographics. Demographic information is data that can be categorized and labeled into statistics. Categories of demographics include features like age, race, gender, income, religion, locationand career. Other factors that demographics consider are memberships the target market may belongto, how many and what credit cards they carry, the type of car they drive, house size, whether they rent or own, and how many people are in the household. Demographic information consists of the facts and nothing else (Albo, 2009). As GlobiTech maintains a goal of reaching every audience, we design products and solutions with every kind of demographic in mind. The GT-5 E-Light laptop is an affordable unit for even median incomes—priced at only $399. It satisfies the needs of men and women of most ages, but offers the financial software solutions of young adults to the elderly. The GT-5 knows no racial or ethnic boundaries because of the multiuser language card that compiles over 100 different languages. In addressing the desires of men and women or boys and girls—the unique design of the GT-5 laptop also allows the user to pick stylish features such as exterior color and personal themes.
  • Once the demographic profile is created, we can see the psychographic elements of our target market. The psychographic data is not measurable by any means as it is indicative of the consumer’s lifestyle. Psychographic data seeks to determine the needs and feelings of the consumer—to identify what the consumer wants by identifying how the consumer lives from day to day. Is our customer educated? Do they love computers or completely hate how the world has become dependent on computers? Do their feelings on computers stem from a lack of knowledge? Knowing what drives our consumers to buy the products that they buy--what makes them want one product over a another—is the force behind understanding how to market our product to a buyer (Albo, 2009). Terms we see used to classify varying psychographic characteristics include: high achievers, makers, doers, strugglers, and so on. These terms are tied to the idea of people with high resources, median resources, and low resources. Who do we want to purchase the GT-5 E-Light Laptop? Who buys laptops? People on the move--students, teachers, business men and women—achievers? Why do they purchase laptops? Because they need the files and capabilities of their computer with them when they move from home to work, or home to school, and so on. Some people purchase computers for the feeling of keeping up with technology. Is this our customer? It very well could be. It is our job to determine who our customer is, show them why they need our product, and to sell our product to them. This is the information that will lead us to our consumer.
  • In our last presentation we addressed the need for disintermediation of certain products in our line. In identifying our market, we must determine the right location for sales of this particular model as well. Is this system one that would do best in the retail stores? T-5 is sold in stores what are we gaining or losing. If we consider the stores in which this model should be sold we might conclude with such retailers as CompUSA, BestBuy, Circuit City, BrandsMart USA, Sears, Wal-Mart or even Target. Our model would be in locations across America, as well as overseas. Unfortunately, not everyone is on-board with the retail giants. In fact, some consumers go out of their way to avoid places like Wal-Mart. By tying our product to one of the most notorious names in retail history, are we dooming our brand with similar distaste? Or are we losing out on a larger market considering the 90-95% of Americans alone that shop at Wal-Mart at least once a year and the 10% of income Wal-Mart receives from overseas alone (Berlin, 2011)? Or is it in our best interest to maintain a strategy of e-commerce with our consumers, with supportive studies indicating the largest online shopping occurring during the holiday season (Greenberg, 2011)? Perhaps our strongest approach would be to market the GT-5 E-Light laptop first in computer retail locations such as CompUSA, BestBuy, and Frys. Once our name is well established on the shelves of reputable dealers, I think, it is feasible to say that we could then bring the product to our online catalog from November 15th to December 31st and expect to see adequate growth in sales. However, I maintain the opinion that our company is best not to associate our products with retailers that market the majority of their items outside of the electronics industry. Retailers like Sears, Wal-Mart, Target and K-mart do not maintain a knowledgeable electronics staff for servicing the clientele we are hoping to attract with some of our other products. Once the holiday sales are passed, we can revisit the statistics and make a determination of where the market for this product lies.
  • Unfortunately, with the knowledge of an ever available product, we approach the situation of the consumer never purchasing. With technology especially, the purchase time for new models does not last long. To motivate the consumer to buy we may find it necessary to host a series of sales throughout the buying year. Some of the most popular sales include the holiday sales. Especially in America a holiday is every excuse to drink a beer and have sales. These sales give buyers a limited time frame to purchase products at a discounted rate. However, in recognition of our growing consumer population overseas, we are considering hosting sales that recognize the holidays of those countries in which we do business (Increase Sales, 2011). Other events which generally produce a motivated buyer include back-to-school savings events. Generally during that time of year Americans enjoy a flexible sales-tax-free weekend. What was once limited to clothing is now open to just about anything that relates to being a student. Fund raising events or promotions that see a portion of proceeds sent to a cause that buyers eagerly want to help are especially significant in increasing sales. The need for the GT-5 E-Light laptop extends to personal and business uses. Sales throughout the year are expected an necessary for the product to maintain an advancing future among the line of products we will continue to offer. When consumers stop purchasing the laptop, it is due to the model being outdated. In assuring the sales of this particular model, we ensure the growth of the laptop as a product and maintain a quality relationship with our customers and their expectations.
  • GlobiTech’s GT-5 E-light laptop brings flexibility to life. We have designed this laptop to fit every budget and have programmed it with software that meets a variety of needs. The financial programs the laptop comes with is a great tool for any small business owner or homeowner to monitor incomes and expenses. Children of all ages have found practicality along with great price in the GT-5 with access to word processing programs as well as features for gaming and art. Students can find appreciation in the whole design that meets not only the needs and budgets of a student, but has a light weight and durable exterior casing for safe and easy transportation to classes. The built in wireless card allows this laptop to be taken anywhere Wi-Fi is available and have instant access to the world wide web. With our compatible program download options on our website this model leaves no one out of the loop.
  • When we look at our consumer, we have to ask ourselves why they are going to choose GlobiTech brand over all the others. We know we have a price that is unmatched by any compatible laptop currently on the market. With the average cost of laptops currently running from $300 to $3,300, we look at the features of these products and see superiority in our own brand. Many of the low costing laptops have a weight of 6-8 pounds. Our GT-5 E-Light laptop weights only 2.5pounds. This ultra-sleek design makes taking this laptop anywhere a commonplace idea. With it’s extended battery life, and 6GB of memory buyers can expect reliability of the GT-5 to last up to 10 hours of speedy processing. Because the GT-5 does not come fully loaded with programs and trial software, we have taken the liberty of providing these programs for download on our website. Customers have the opportunity to try and buy these products with both the trial versions and full versions available. With its 1TB hard drive, the number of programs and files you can keep on the GT-5 is virtually limitless. In fact, we are currently considering an online backup for our customers at no additional charge, making the idea of virtual limitless a reality (Laptop, 2011). Best of all, the GT-5 comes with interchangeable color plates. We currently have over 30 designs for consumers to choose from. These are sold separately from the GT-5 for an unbeatably low price. These plates are as durable as the original plates that come with the GT-5, with rubber padded edges and shock absorbers to keep the laptop safe from destruction. The lap top sells itself with the quality features that are expected from the GlobiTech brand.
  • In a survey soon to be released, GlobiTech is learning not only the demand of its consumer, but who the consumer is. Because we make products that will be used by John, or Sandy or Little Billy, we want them to be happy with their purchase. In order to determine who our customer is, we’ve developed a brief survey to profile our consumer. Some of the questions our consumer answers include:What is your marital status?MarriedWidowedDivorcedSingle2) What is your annual income?$0-$24,000$25,000-$34,000$35,000-$49,000$50,000-$74,0000$75,000+3) Please rate how important each feature is from 1-6, where 1 is least important and 6 is most important.Battery lifeMemoryWeightHard Drive SpaceColorsPre-installed Programs4) When it comes to purchasing computers, would you say you:Share the decision equally with another personHave no decisional powerAre the sole decision-makerHave most of the decision-making power5) What is your employment statusWork full time, outside the homeWork part time, outside the homeWork at homeHomemakerCurrently unemployedFull-time StudentPart-Time Student
  • GlobiTech’s customer has high expectations. They look to GlobiTech to drive quality products with low costs. They don’t want a lot of needless programs pre-installed on their computers. They want the programs that are valuable to their needs. They want their files safe. They are constantly on the move.Our first consumers’ age range is 17-29. They make between $0-$25K a year. They are students. They need durable laptops that are light enough to be carried across campus and store a multitude of information. Because they tend to work while going to school, they need a computer that can withstand a daily regiment without frequent charging. Our next consumer is between 22-35. Their annual income is between $34K and $50K. These are parents of young children. They purchase computers for personal use and child gaming. Their program needs include financial management programs, educational gaming, art programs, and word processing. Our third consumer market is between 29-45. They make between $40K and $60K per year. They are entrepreneurs, small business owners, and employed full-time outside of the home as teachers and nurses. They rely on financial managing programs to keep track of their incomes and expenses. They use the word processing features to make contracts and order forms that fit their business, as well as charts to maintain grades and attendance. They also use their computers for keeping up with current events through web browsing, and because of their busy schedules, they need to have access to the internet randomly throughout their days. These are our customers. They work hard, they play hard. Their satisfaction stems from having their demands met and exceeded. The GT-5 E-Light laptop has those needs in mind and places the results in the palm of our customers’ hands.
  • I hope you have found this presentation informative. In placing our products in the hands of our consumers we provide a win-win situation. Satisfaction, quality, reliability—that’s what GlobiTechstands for.
  • Transcript

    • 1. Know Your Customer MKT250-1103A-05 Marketing Sabrina MergenthalerColorado Technical University Professor Joel Jackson July 25, 2011
    • 2. Who is the CustomerThe demographics of our consumer encompass:
    • 3. The Lifestyle of our Customer
    • 4. The Retail Location Location! Location! Location! •Computer Stores CompUSA BestBuy Circuit City BrandsMart USA •Department Stores Sears Wal-Mart Target LIMITS!!!
    • 5. Timing is Everything! Wheels and Deals Holiday Sales Christmas Thanks Giving 4th of July Memorial Day Labor Day Overseas Holidays Back to School Sales Fund Raising Events
    • 6. Popular UsageFun/Entertainment Travel Learning Business
    • 7. Topping the Competition- Why they choose GlobiTech •Unbeatable Price•Meets the Need of the Buyer •Reliable •Quality •Durable •Light Weight •Stylish
    • 8. Profiling our ConsumerPlease rate how much you agree with eachstatement:4-Strongly Agree | 3-Agree| 2-Disagree| 1-Strongly Disagree
    • 9. Meet the GlobiTech Customer
    • 10. ReferencesAlbo, Bonny. (2009). What Are Demographics and Psychographics? The Two Types Of Marketing Data Needed To Start A Business. Entrepreneurs Suite 101.com Retrieved from http://www.suite101.com/content/what-are- demographics-and-psychographics-a170351Berlin, Loren. (2011). Walmarts How Big? What the Huge Numbers Really Mean. DailyFinance.com. Retrieved from ttp://www.dailyfinance.com/2011/05/28/walmarts-how-big-what-the-huge-numbers-really-mean/Greenberg, K. (2011). How Do Americans Shop? New Survey from SteelHouse Reveals Diverse Online Shopping Personalities, Underscoring Importance of Tailoring Offers Based on Personality to Entice Buyers. BusinessWire.com. Retrieved from http://www.businesswire.com/news/home/20110518005772/en/Americans-Shop-Survey-SteelHouse- Reveals-Diverse-OnlineLaptop Computer Costs. (2011). CostHelper.com. Retrieved from http://www.costhelper.com/cost/computers/computers-notebook.htmlIncrease Sales With a Sales Event? (2011). UPSA – United Professional Sales Association. Retrieved from http://www.upsa-intl.org/eventsPhase 3- Buyer Behavior. (2011). CTU Online Campus. Task List. Retrieved from https://campus.ctuonline.edu/pages/MainFrame.aspx?ContentFrame=/Home/Pages/Default.aspx