1. Diploma of Graphic Design
BSBMKG402B Analyse consumer behaviour for specific Markets
Assessment 3: 30532/01

2. Instructions
Page 2 of 11
Once you feel confident that you have covered the learning materials for this
unit, you are ready to attempt this assessment.
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file naming convention: [student number]_[assessment]_[assessment
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3. Assessment overview
In completing this assessment you will provide evidence that you are
competent to confirm a product or service market. You must be able to
identify and gather relevant information about your market segment and
consumers.
You must satisfactorily complete the activity identified in the table below.
Activity description Submission
Presentation 10 – 15 slides.
Grading information
Your trainer will use your assessment submissions to judge whether you have
satisfied the assessment requirements for the unit of competency
BSBMKG402B Analyse consumer behaviour for specific markets.
Activity: presentation
This assessment requires you to gather information and develop a
presentation that includes the following:
1. A market segment profile.
2. A preliminary profile of consumers in that segment.
3. A product or service profile.
4. An explanation of the alignment between the product/service and the
consumer profile.
In undertaking this assessment you are to identify a product or service that
you want to market. It may be an existing product or service or one that you
want to create. You are free to make this choice.
You are to identify and describe your market segment and identify and apply
relevant information gathered from a number of sources to develop the above-
listed profiles and descriptions. One of the sources you will need to access is
your organisation’s marketing plan.
In the event that you are unable to do this, the following site may be useful in
providing an alternative: MPlans, viewed January 2012,
<http://www.mplans.com>.
You should create your presentation in Adobe In Design as industry
standard, though other technologies may be used if resultant in a
professional level PDF. Your final presentation must be uploaded to Open
Space as a PDF, where it will be sent to your trainer for marking.

4. Instructions
Page 4 of 11
1. Select a product or a service you want to market.
2. Provide a brief description of the product and/or service being marketed.
3. Provide a description of the target market for your product or service,
including the key demographics of current and potential consumers.
4. Investigate consumer need for the product or service through analysis of
trends and past performance
5. Develop a preliminary or untested profile of your consumers which
includes:
a. a description of the area where your typical customer lives
b. a profile of the typical household income of your customer
c. a brief description of the social class of your typical customer and how
you define this class status
d. a summary of your customer’s typical family status (i.e. single, married,
divorced)
e. A summary of any lifestyle or psychographic details that apply to
your typical customer.
6. Provide a description of the current market and, in particular, its current
size in dollars and/or volume units.
7. Develop a statement explaining the alignment between your selected
product or service and your consumer profile.
8. Identify and test features of the product/service in accordance with the
marketing plan.
9. Develop a presentation containing the outcomes of the above steps.

5. Your assessor will be looking for:
identification and use of appropriate information for these tasks
application of analytical processes to the processing of the information
gathered
use of appropriate market segmentation criteria
use of segment descriptors and categories to describe the segment
use of appropriate consumer profiling criteria
identification of both current and potential consumers
application of demographic and other descriptors to the consumer profile
Understanding of a marketing plan and its role and function in
the organisation.

6. Page 6 of 11
Page 6 of 11
Definition of market segmentation
According to the Business Dictionary1
, market segmentation is the breaking
down of a larger, more homogenous market into smaller segments which have
similar needs, wants, or demand characteristics for a product or service. Four
basic factors that affect market segmentation are
1. a clear identification of the segment,
2. measurability of its effective size,
3. its accessibility through promotional efforts, and
4. Its appropriateness to the policies and resources of the company.
A company can then base its segmentation strategies on behavioural,
demographic, geographic and psychographic (lifestyle) differences.
Select a product or a service you want to market.
I have chosen a B2B (Business to Business) marketing service – Direct Mail
Marketing - with Australia Post2
. In this instance, Australia Post divides (or
segments) its market into two categories: Business to Business and
Business to Consumer, and Direct Mail Marketing is one service available for
B2B customers.
Provide a brief description of the product and/or service being
marketed.
The nature of this service is direct mail marketing: the business creates an
advertising campaign, gets a mailing list, works out who are the most
‘attractive’ customers, decides which customers they wish to include (or not),
works out a budget and time frame, whether or not they want to do use the
services of mailing houses and print shops, and posts the letters off.
Provide a description of the target market for your product or
service, including the key demographics of current and potential
consumers.
All kinds of businesses and franchises use direct mail. Restaurants
and takeaway franchises use it. An example of Australia Post’s B2B
customer is the Domino’s Pizza franchise3
.
Investigate consumer need for the product or service through
analysis of trends and past performance.
1
Business Dictionary (2016): ‘What is market segmentation? Definition and Meaning, in
Business Dictionary, http://www.businessdictionary.com/definition/market-segmentation.html;
accessed Wednesday, 2 March 2016 at 22:19;
2
Australia Post (2016): http://auspost.com.au/business-solutions/direct-mail-marketing.html;
accessed Monday, 7 March 2016 at 8:22:41 PM
3
Australia Post (2012): Domino’s Pizza Case Study (Unaddressed and Addressed Direct Mail) -
How we helped Auhttp://auspost.com.au/media/documents/aus-post-case-study-dominos.PDF;
accessed Monday, 7 March 2016 at 8:22:41 PM

7. Again, being a Business-to-Business customer, Domino’s franchisees
face the challenge of gaining new customers while retaining existing
ones. Australia Post’s strategy is to send out unaddressed mail to both
new and existing customers, and send direct (addressed) mail to existing
ones. While some customers will receive communications from Domino’s
via their email and through social media, most of them still continue to
receive communications via the Post. And according to Australia Post’s
statistics, most people will read their mail4
:
about 82% of customers will check their letterbox daily
an additional 11% of customers will check their letterbox every two
days,
54% of customers will store their mail for later reference.
Develop a preliminary or untested profile of your consumers which
includes:
A description of the area where your typical customer lives:
Being a business customer, a corporation like Domino’s is likely to have
franchises in many different locations – they have 447 stores Australia wide
(most towns and suburbs) and is one of the world’s (and Australia’s) leading
pizza franchises5
which enables them to satisfy their own customers within
their own region
A profile of the typical household income of your customer:
The typical ‘household’ income could be seen in terms of profits, share
prices, dividends and the like (see below)6
(as in the case of Domino’s):
A brief description of the social class of your typical customer and how
4
Op cit
5
Domino’s (2015): Domino’s Corporate, https://www.dominos.com.au/inside-dominos/corporate;
accessed Monday, 7 March 2016 at 10:10:38 PM
6
Domino’s (2015): Annual Report for the Financial Year Ended 28th
June, 2015, in
http://dominosinvestors.com.au/; accessed Monday, 7 March 2016 at 10:36:27 PM; page 18

8. Page 8 of 11
Page 8 of 11
you define this class status:
Domino’s state that their ‘core customers’ are men between 18 and 39,
though overall, their own target (consumer) market is basically ‘anyone
who eats’7
.
However, among Domino’s investors or shareholders (and likely B2B
customers of direct mail) would be its franchisees – the people who own
and run the Domino’s stores. Their income and/or savings would need to
be pretty substantial if they are to invest in a franchise in the first place8
.
A summary of your customer’s typical family status (i.e. single, married,
divorced)
– Prospective franchise owners can be of any marital status, though it says
they must have family members (i.e. husband, wife – if married) or
business partners present at the interview.
A summary of any lifestyle or psychographic details that apply to your
typical customer
Domino’s makes no mention of any psychographic or lifestyle factors of
it’s franchisees, though as a business customer of Australia Post, they
would be committed to growing the business and increasing their profits,
and if the results of their direct mail campaign is anything to go by, then
that would be a good motive for any business to employing this type of
campaign.
I would expect that many business owners, like Domino’s franchisees
for instance, could be categorized as ‘Achievers’ if they see technology
as a ‘productivity boost’9
. Though they may send unaddressed mail to
potential customers, a lot of these print-based communications will
include information about their own company website and will actively
encourage online ordering.
Provide a description of the current market and, in particular, its
current size in dollars and/or volume units.
For Domino’s, the results were as follows10
:
7
Australia Post (2012); page 1
8
Domino’s (2015): Franchising with us – Requirements,
http://www.dominosfranchise.com.au/prospective-franchisee-requirements.aspx; accessed
Monday, 7 March 2016 at 10:56:17 PM
9
Strategic Business Insights (2012) ‘US framework and VALS™ types’, Strategic business
insights, viewed February 2012, Link 9,
http://www.strategicbusinessinsights.com/vals/ustypes.shtml; accessed Friday, 4 March 2016 at
12:41:27 PM; in particular -
http://www.strategicbusinessinsights.com/vals/ustypes/achievers.shtml; accessed Saturday, 12
March 2016 at 5:14:20 PM
10
Op cit (Australia Post, 2012)

9. ROIs (returns on investments) were up by 10%
Australia Post was able to deliver 81 million direct-mail items
annually.
This is one example of how Australia Post can meet the needs of its
business customers through direct mail.
There are a few other examples:
Bambini Pronto: an online retailer of baby goods whose sales
skyrocketed after delivering print catalogues via Print Post and
produce 50,000-60,000 copies of two print catalogues a year, to
complement their online catalogues11
;
Letterbox Deals: went from producing 8-page catalogues in 2009 to
24-32 page ones in 2012; they used the unaddressed mail service to
deliver these communications and were so successful that two-thirds
of their customers are repeat advertisers12
.
Advantedge: a financial services company that is part of the National
Australia Bank group was able to use Australia Post’s high-speed
print production process to send out notices of rate changes13
.
I could include more examples; however, the gist is that print
communications and direct mail work best for Australia Post and
their customers when it comes to marketing communications.
Develop a statement explaining the alignment between your selected
product or service and your consumer profile.
As customers most prefer print communications to email or any other
media channel14
, this means franchisees can further channel their
communications to customers in their particular territories15
.
Quote from this report
For personally addressed mail
11
Australia Post (2013): How we helped Bambini deliver the real thing in
http://auspost.com.au/media/documents/aus-post-case-study-bambini.pdf; viewed Saturday, 19
March 2016 at 5:47:40 PM
12
Australia Post (2012): How we helped create a win-win situation with Australia Post in
http://auspost.com.au/media/documents/aus-post-case-study-letterbox-deals.PDF; viewed
Saturday, 19 March 2016 at 5:48:16 PM
13
Australia Post (2014): How Australia Post helped Advantedge save time and money, in
http://auspost.com.au/media/documents/advantedge-mail-marketing-case-study.pdf; viewed
Saturday, 19 March 2016 at 6:16:43 PM
14
Australia Post (2014): Better Connections – Mail Continues to Deliver, in
http://auspost.com.au/media/documents/better-connections-report-feb2015.pdf; viewed Monday,
7 March 2016 at 11:36:45 PM
15
Ibid, Australia Post (2012), * Australia Post Consumer Omnibus Mail Findings, April 2012

10. Page 10 of 11
Page 10 of 11
Australians received an average of 7.5 pieces of personally addressed mail a
week in December 2014, compared with 7.0 pieces in November 2013.
There was also a seasonal fluctuation – the higher number of mail pieces
received in December 2014 reflects the start of the Christmas period. In
comparison, Australians received a lower average of 6.4 pieces of personally
addressed mail in July 2014. This is a pattern we have previously observed
with unaddressed mail
Unaddressed mail
Australians received an average of 10.8 pieces of unaddressed mail in
December 2014, compared with 10.7 in November 2013, indicating that mail
volumes have remained stable year-on-year. As we observed previously,
unaddressed mail is strongly affected by seasonal fluctuations. In July 2014,
people reported receiving an average of 8.7 pieces of unaddressed mail.
The mid-year drop in mail volumes provides a great opportunity for your
message to stand out and be read
4 key observations:
Over 50% of Australians prefer personally addressed mail for magazines,
important or sensitive information, and brochures and catalogues.
Over 50% prefer email format for brief information.
People still prefer to receive bills and statements in printed mail format.
Around a quarter of Australians would like to receive bills and statements,
vouchers or coupons and detailed information in both mail and email
formats.
Identify and test features of the product/service in accordance with the
marketing plan.
So, because most customers preferred to receive actual mail from
particular organisations, rather than just emails, then it would follow
that these organisations would expect a better response rate from their
customers.

11. References
Australia Post (2012), * Australia Post Consumer Omnibus Mail Findings, April 2012
Australia Post (2012): Domino’s Pizza Case Study (Unaddressed and Addressed
Direct Mail) - How we helped Auhttp://auspost.com.au/media/documents/aus-post-
case-study-dominos.PDF; accessed Monday, 7 March 2016 at 8:22:41 PM
Australia Post (2012): How we helped create a win-win situation with Australia Post in
http://auspost.com.au/media/documents/aus-post-case-study-letterbox-deals.PDF; viewed
Saturday, 19 March 2016 at 5:48:16 PM
Australia Post (2013): How we helped Bambini deliver the real thing in
http://auspost.com.au/media/documents/aus-post-case-study-bambini.pdf; viewed Saturday, 19
March 2016 at 5:47:40 PM
Australia Post (2014): Better Connections – Mail continues to deliver, in
http://auspost.com.au/media/documents/better-connections-report-feb2015.pdf; viewed Monday,
7 March 2016 at 11:36:45 PM
Australia Post (2014): How Australia Post helped Advantedge save time and
money, in http://auspost.com.au/media/documents/advantedge-mail-marketing-
case-study.pdf; viewed Saturday, 19 March 2016 at 6:16:43 PM
Australia Post (2016): Business Solutions – Direct Mail Marketing,
http://auspost.com.au/business-solutions/direct-mail-marketing.html; accessed Monday, 7 March
2016 at 8:22:41 PM
Business Dictionary (2016): ‘What is market segmentation? Definition and Meaning, in Business
Dictionary, http://www.businessdictionary.com/definition/market-segmentation.html; accessed
Wednesday, 2 March 2016 at 22:19;
Domino’s (2015): Annual Report for the Financial Year Ended 28th
June, 2015, in
http://dominosinvestors.com.au/; accessed Monday, 7 March 2016 at 10:36:27 PM;
page 18
Domino’s (2015): Domino’s Corporate, https://www.dominos.com.au/inside-dominos/corporate;
accessed Monday, 7 March 2016 at 10:10:38 PM
Domino’s (2015): Franchising with us – Requirements,
http://www.dominosfranchise.com.au/prospective-franchisee-requirements.aspx; accessed
Monday, 7 March 2016 at 10:56:17 PM
Strategic Business Insights (2012) ‘US framework and VALS™ types’, Strategic
business insights, viewed February 2012, Link 9,
http://www.strategicbusinessinsights.com/vals/ustypes.shtml; accessed Friday, 4
March 2016 at 12:41:27 PM;
Strategic Business Insights (2012): ‘Achievers’, in
http://www.strategicbusinessinsights.com/vals/ustypes/achievers.shtml; accessed
Saturday, 12 March 2016 at 5:14:20 PM