MARKET SEGMENTATION<br />-By<br />Aabhas Rustogi<br />Ashish Babaria<br />Sandeep Satishchandra<br />Shalini Mukerji<br />Contents<br />Market Segmentation<br />What is segmentation?<br />Why Segmentation?<br />What are the requirements for market segments?<br />Process of segmentation<br />Benefits & Limitations of Segmentation<br />Segmenting Consumer Markets<br />Geographic<br />Demographic<br />Psychographic<br />Behavioural<br />Case Illustrations<br />Target marketing Strategies: <br />Mass Market- The term mass market refers to a large, undifferentiated market of consumers with widely varied backgrounds. Products and services needed by almost every member of society are suited for the mass market. Such items as electric and gas utilities, soap, paper towels and gasoline, for example, can be advertised and sold to almost anyone, making them mass market goods.<br />Mass Marketing – 1. An attempt to appeal to an entire market with one basic marketing strategy utilizing mass distribution and mass media. Also called undifferentiated marketing. Mass marketing is a market coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer. It is type of marketing (or attempting to sell through persuasion) of a product to a wide range of consumers. The approach results in a single marketing plan with the same mix of product, price, promotion, and place strategies for the entire market. The appeal of mass marketing is in the potential for higher total profits. Companies that employ the system expect the larger profit to result from<br /> (1) Expanded volume through lower prices and<br /> (2) Reduced costs through economies of scale made possible by the increased volume. In order for the system to work, however, certain conditions must exist. One is that the product must have broad appeal and a few features that distinguish it from competing products. Another is that it must lend itself to mass production. In addition, the opportunity must exist, and the marketer must have the ability to communicate and distribute to the aggregate market. Two of the most widely recognized examples are Ford and Coca-Cola. Henry Ford applied the concept in the automobile industry. His Model T was conceived and marketed as a "universal" car—one that would meet the needs of all buyers. By adopting mass-production techniques and eliminating optional features, he was able to reduce costs and sell his product at an affordable price. The combination catapulted the Model T to the top of the market. Also Candler was equally successful at using mass marketing in the softdrink industry. Like Ford, he also viewed his product as being the only one that consumers needed. His initial mass-marketing efforts focused on an extensive national advertising campaign. As product recognition grew, he established a network of bottling operations throughout the county to facilitate sales and distribution. No product in history has matched Coca- Cola's total sales. Other mass marketers of this era achieved success by focusing on one aspect of the approach. Manufacturers such as Quaker Oats, Proctor and Gamble, and Eastman Kodak used refined mass-production techniques to establish consistent product quality. Still other manufacturers, such as Singer Sewing Machine, developed integrated distribution systems to ensure reliable delivery to the market. In general merchandise retailing, Sears and Montgomery Ward developed a mass-marketing niche through mail order. Grocery retailer A&P, on the other hand, established its mass market through private branding and systematic operation of multiple stores. Mass marketers continued their domination in major industries well into the 1960s. Many of them maintained essentially the same mix, while others expanded their use of the strategy. Sears and Montgomery Ward, for example, added store retailing in the 1920s. In the 1930s, supermarkets appeared with a different emphasis than previous grocery retailers—national brands. Over the next several decades, large discount stores came into prominence with a format similar to the supermarkets. <br />Differentiated Marketing- Is a market segmentation and market coverage strategy whereby a product is developed and marketed for a very well-defined, specific segment of the consumer population. The marketing plan will be a highly specialized one catering to the needs of that specific consumer segment. Concentrated marketing is particularly effective for small companies with limited resources because it enables the company to achieve a strong market position in the specific market segment it serves without mass production, mass distribution, or mass advertising. It enables firms to capitalize on the respective serve market share. <br />Niche Marketing- The strategy of developing a single marketing mix aimed at one target market (niche) is called focused marketing or niche marketing. For example- Marketing and promoting a book to a specific group of buyers, such as people in a certain geographical region, or people with a specific hobby or interest. Books published for a niche market may be sold nationally, but mainly are sold through specialized retail outlets. Here is another example of niche marketing: a brand new print magazine, called Magazine Soho. The publication targets not small business — a broad category to be sure. No, it targets a segment of small business: Soho’s — small office, home office workers and with a particular geographic emphasis on southeastern Wisconsin, USA. <br />Customised Marketing- A type of marketing method whereby an advertiser tries to customize the message to the unique needs of a specific customer or specific subset of customers. Custom marketing is usually targeted toward a high net worth niche. A fascinating development in marketinng in recent years has been the introduction of mass customization in consumer markets. This is the marketing of highly individual products on scale. Car companies like Audi, BMW, Mercedes Benz and Renault have the capacity to build to order where cars are manufactured only when there is an order specification from a customer. Dell builds customized computers ordered online.<br /> <br /> Market segmentation<br /> Today the market is not a single homogenous group. Mass markets are breaking up into dozens of mini markets each with its own special needs .This is known as segmentation. It involves using separate marketing programs to sell to different market segments.<br />Definition:-<br />1. Market Segmentation is the sub-dividing of customers into homogenous sub-set of customers where any sub-set may conceivably selected as market target to be reached with distinct Marketing Mix – Philip Kotler<br />2.Market Segmentation consists of taking the total heterogeneous market for a product & dividing into several sub-market of segments, each of which tends to be homogenous in full significant aspects – William Stanton<br />3. Segmentation is essentially the identification of subsets of buyers within a market that share similar needs and demonstrate similar buyer behaviour. The world is made up of billions of buyers with their own sets of needs and behaviour. Segmentation aims to match groups of purchasers with the same set of needs and buyer behaviour. Such a group is known as a 'segment'.<br />4.The process of defining and subdividing a large homogenous market into clearly identifiable segments having similar needs, wants, or demand characteristics is called Segmentation. Its objective is to design a marketing mix that precisely matches the expectations of customers in the targeted segment.<br />5. Market Segmentation is the marketing process of identifying and breaking up the total market into groups of potential customers with similar motivations, needs or characteristics, who are likely to exhibit homogeneous purchase behaviour. Undertaking this process allows marketing efforts to be targeted at select groups. <br />6.Market segmentation involves the subdividing of a market into distinct subgroups of customers, where any subgroup can be selected as a target market to be met with a distinct marketing mix. - CIMA<br />7.Market segmentation is a technique based on the recognition that every market consists of potential buyers with different needs and different buying behaviour. These different customer characteristics may be sub grouped (or segmented) and a different marketing mix applied by an organisation to each target market segment. – CIMA<br />8. A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will respond similarly to a marketing action. Market segmentation enables companies to target different categories of consumers who perceive the full value of certain products and services differently from one another.<br />9. Market Segmentation is the process of splitting customers, or potential customers, in a market into different groups, or segments, within which customers share a similar level of interest in the same or comparable set of needs satisfied by a distinct marketing proposition.<br />10. Market segmentation is the process of dividing the whole market of a good or service in groups of people with similar needs. By making this division there is a high chance that each group responds in favour to a specific market strategy.<br />Segmentation is a form of critical evaluation rather than a prescribed process or system, and hence no two markets are defined and segmented in the same way. However there are a number of underpinning criteria that assist us with segmentation:<br />Is the segment viable? Can we make a profit from it?<br />Is the segment accessible? How easy is it for us to get into the segment?<br />Is the segment measurable? Can we obtain realistic data to consider its potential?<br />There are many ways that a segment can be considered. For example, the auto market could be segmented by: driver age, engine size, model type, cost, and so on.<br />WHY SEGMENTATION?<br />According to the Peter Francese a consultant to Ogilvy & Mather an advertising megalith, & the author of the research report 2010 America – <br />“There is no more ‘Average American’." Fifty years ago, the concept of John Doe, an average American in a relatively even society where vast numbers of people had similar consumer needs, was real. A societal uniformity existed that has not been equalled since. The 2010 census results will put a nail in that coffin.<br />America, or for that matter most of the developed countries, are multicultural nations. In the US no race or ethnicity comprises a majority of the population anymore. No segment forms a majority in their 10 largest cities. Also family life has diversified. Twenty five years earlier, two-thirds of the population consisted of married couples. However same is not the case today, as more & more no. of people prefers living alone.”<br />All this has resulted in a diverse population which makes it almost impossible to sell a product by mass marketing .The right market for your product needs to be selected before making any other move.<br />Choosing the right markets is one of the most important strategic decisions you can make for your business. Resources spent on choosing the wrong markets are resources not spent on choosing the right markets. <br />Grouping customers into market segments is standard business practice. The more a market suffers from over supply and under demand - the new status quo in a relentlessly globalizing economy for both hi tech and low tech goods and services – the more vital it becomes to identify, and perhaps help create attractive sub markets and provide tailor value propositions for them. That is what apple has done with the iPod and iTunes under Steve Jobs leadership. The iPod and iTunes have not only boosted Apples bottom line, and quite separately increased the sales of its Macintosh computers, but have also accelerated the growth of the mp3 player market as a whole. <br />Segmentation is both a science and an art. It demands a high degree of insight into customers and competitors. You can not do it well using only methods based on simple demographics. How, for example, would you segment the dog food market? You might start of, as some have done, on the basis of type of dog – old dogs versus small dogs, big dogs versus little dogs. But think how much greater insight you might gain from examining the relationship between owner and dog, and the emotional relationship embodied in the owners choice of dog food: dog as grand child ( indulgence), dog as child (love), dog as best friend (health and nutrition) and dog as dog (cheap/ convenient fuel). <br />When we accept the fact that average consumers and average people don’t exist, we can use market and consumer segmentation to:<br />increase marketing effectiveness, <br />generate greater customer satisfaction, <br />create savings, <br />And to identify strategic opportunities and niches.<br />Even when a company can afford to target an entire market, it is more successful if products and communications are adapted to individual segments.<br />A company has to evaluate each segment based upon potential business success. Opportunities will depend upon factors such as: the potential growth of the segment the state of competitive rivalry within the segment how much profit the segment will deliver how big the segment is how the segment fits with the current direction of the company and its vision.<br />Segmentation drives conversion and avoids erosion.<br />Requirements of Market Segments<br />In addition to having different needs, for segments to be practical they should be evaluated against the following criteria:<br />Identifiable: the differentiating attributes of the segments must be measurable so that they can be identified.<br />Accessible: the segments must be reachable through communication and distribution channels.<br />Substantial: the segments should be sufficiently large to justify the resources required to target them.<br />Unique needs: to justify separate offerings, the segments must respond differently to the different marketing mixes.<br />Durable: the segments should be relatively stable to minimize the cost of frequent changes.<br />A good market segmentation will result in segment members that are internally homogenous and externally heterogeneous; that is, as similar as possible within the segment, and as different as possible between segments.<br />The Process of Segmentation:<br />Identify the total market<br />Determine the segmenting dimensions<br />Profile each segment<br />Assess segment attractiveness<br />Select target market<br />Determine (marketing mix) for each segment<br />.Benefits of Segmentation: <br />•The Organisation gets to know its customers better.<br />•Provides guidelines for resource allocation.<br />•It helps focus the strategy of the organisation.<br />Limitations of the Segmentation:<br />•Targeting multiple segments increases marketing costs.<br />•Segmentation can lead to proliferation of products.<br />•Narrowly segmenting a market can hamper the development of broad-brand equity.<br />Bases for Segmentation in Consumer Markets<br />Consumer markets can be segmented on the following customer characteristics.<br />Geographic<br />Demographic<br />Psychographic<br />Behavioural<br />Geographic Segmentation<br />The following are some examples of geographic variables often used in segmentation.<br />Region: by continent, country, state, or even neighborhood<br />Size of metropolitan area: segmented according to size of population<br />Population density: often classified as urban, suburban, or rural<br />Climate: according to weather patterns common to certain geographic regions<br />Demographic Segmentation:<br />Demographic segmentation divides the market into groups based on demographic variables including age, gender, family size and life cycle.<br />The following four variables are examples of demographic factors used in market segmentation:<br />1. Age: Consumer needs and wants change with age. The marketing mix may therefore need to be adapted depending on which age segment or segments are being targeted.<br />2. Gender: Dividing a market into different groups based on sex, has long been common for many products including cosmetics, clothing and magazines. In the 1960's car companies such as Toyota began to realise the purchasing power of women, creating marketing campaigns, and then cars, specifically targeted at the female market. Many suggest that the range of interior and exterior colours schemes, and emphasis placed on safety factors by car manufacturers today, is due to in no little part to their desire to market cars to women, as well as men.<br />3. Life-cycle stage: Dividing a market into different groups based on which stage in the life-cycle, presented in the table below, reflects the fact that people change the goods and services they want and need over their lifetime.Life-cycle stagesBachelor Stageyoung, single people not living at home Newly Married Couplesyoung, no childrenFull Nest Iyoungest child under six Full Nest IIyoungest child six or overFull Nest IIIolder married couples with dependent childrenEmpty Nest Iolder married couples, no children living with themEmpty Nest IIolder married couples, retired, no children living at homeSolitary Survivor Iin labour forceSolitary Survivor IIretired<br />4. Income:<br /><ul><li>Income segmentation is a long standing practice in such categories such as automobiles, clothing, cosmetics, financial services and travel. However, income does not always predict tehe best customer for the products.
For example, there is a considerable amount of difference in the PDI’s of USA and India. Levi-Strauss launched premium lines such as Levi’s Capital E to upscale retailers Bloomingdales and Nordstrom, and the less expensive Signature by Levi’s Strauss & Co. lines to mass market retailers Wal-Mart and Target. Signature was positioned as apparel targeted at the middle bracket. Whereas Levi’s Strauss & Co. launched Signature (now Denizen) in India and positioned it as apparel targeted at the upper bracket youth in India.
This example clearly illustrates the effect of income in different countries with different levels of personal disposable income.</li></ul>5. Race and Culture:<br /><ul><li>Multicultural Marketing is an approach that different ethnic and cultural segments have sufficiently different needs and wants to require targeted marketing activities. Race has little importance in India. India however is a country of Multiple Ethnicities. Multicultural Marketing is still in its nascent stages. </li></ul>Some other demographic segmentation variables include: <br />Family size<br />Generation: baby-boomers, Generation X, etc. <br />Occupation<br />Education<br />Ethnicity<br />Nationality<br />Social class<br />Psychographic Segmentation<br />Psychographic segmentation groups customers according to their lifestyle. Activities, interests, and opinions (AIO) surveys are one tool for measuring lifestyle. Some psychographic variables include:<br />Activities<br />Interests<br />Opinions<br />Attitudes<br />Values<br />Psychographics is the science of using psychology and demographics to better understand consumers. Segmentation- buyers are divided into groups on the basis of psychological/personality traits, lifestyle or values. <br />By psychographic variables we refer to any attributes relating to personality, values, attitudes, interests, or lifestyles. They are also called AIO variables (for Activities, Interests, and Opinions). Psychographics provide a useful supplement to demographics. Psychographics focus on general buyer habits, social class, lifestyles, and attitudes as they might relate to a specific product class. Lifestyle is concerned with the activities, interests, and opinions concerning leisure time, work and consumption of the buyer alone or with other with respect to both general behaviour and the specific product class. For example, the buyers of Isuzu Motors line of trooper sport utility vehicles tend to be more environmentally conscious and outdoor minded than other consumers.<br />One of the most common psychographic profiling schemes is the VALS, developed by SRI International, INC. – VALS defined adult consumers into eight segments. They are<br /> 1. Innovators <br />2. Thinkers <br />3. Achievers <br />4. Experiencers<br />5. Believers<br /> 6. Strivers <br />7. Makers<br />8. Survivors <br />Psychographic considers a number of potential influences on buying behaviour, including the attitudes, expectations and activities of consumers. If these are known, then products and marketing campaigns can be customised so that they appeal more specifically to customer motivations.<br />The main types of psychographic segmentation are:<br />Lifestyle – different people have different lifestyle patterns and our behaviour may change as we pass through different stages of life. For example, a family with young children is likely to have a different lifestyle to a much older couple whose children have left home, and there are, therefore, likely to be significant differences in consumption patterns between the two groups. One of the most well-known lifestyle models, the “sagacity lifestyle model”, identifies four main stages in a typical lifestyle:<br />Dependent (e.g., children still living at home with parents);<br />Pre-family (with their own households but no children);<br />Family (parents with at least one dependent child); and<br />Late(parents with children who have left home, or older childless couples).<br />Each group is then further subdivided according to income and occupation. <br />Opinions, interests and hobbies – this covers a huge area and includes consumers’ political opinions, views on the environment, sporting and recreational activities and arts and cultural issues. The opinions that consumers hold and the activities they engage in will have a huge impact on the products they buy and marketers need to be aware of any changes. Good recent examples include the growth of demand for organic foods or products that are (or are “perceived” to be) environmentally friendly.<br />Behavioural Segmentation<br />Behavioural segmentation is based on actual customer behaviour toward products. Some behavioralistic variables include:<br />Benefits sought<br />Usage rate<br />Brand loyalty<br />User status: potential, first-time, regular, etc.<br />Readiness to buy<br />Occasions: holidays and events that stimulate purchases<br />Behavioural segmentation has the advantage of using variables that are closely related to the product itself. It is a fairly direct starting point for market segmentation.<br />Behavioural segmentation divides customers into groups based on the way they respond to, use or know of a product.<br />Behavioural segments can group consumers in terms of:<br />Occasions<br />When a product is consumed or purchased. For example, cereals have traditionally been marketed as a breakfast-related product. Kelloggs have always encouraged consumers to eat breakfast cereals on the "occasion" of getting up. More recently, they have tried to extend the consumption of cereals by promoting the product as an ideal, anytime snack food.<br />Usage<br />Some markets can be segmented into light, medium and heavy user groups.<br />Loyalty<br />Loyal consumers - those who buy one brand all or most of the time - are valuable customers. Many companies try to segment their markets into those where loyal customers can be found and retained compared with segments where customers rarely display any product loyalty. The holiday market is an excellent example of this. The "mass-market" overseas tour operators such as Thomson, Air tours, JMC and First Choice have very low levels of customer loyalty - which means that customers need to be recruited again every year. Compare this with specialist, niche operators such as Laskarina which has customers who have travelled with the brand in each of the last 15-20 years.<br />Benefits Sought<br />It is an important form of behavioural segmentation . Benefit segmentation requires Marketers to understand and find the main benefits customers look for in a product. An excellent example is the toothpaste market where research has found four main "benefit segments" - economic; medicinal, cosmetic and taste.<br />GEOGRAPHIC SEGMENTATION:<br />CASE STUDY <br />TATA SALT <br />The ‘Maine desh ka namak khaya hai’ TATA advertisement campaign in 2002 offered viewers an instant connection. In India, salt and loyalty have been associated from time immemorial. ‘Namak halal” and “Namak Haram” are commonly used terms for honoest and dishonest people respectively. According to cultural connotations, after consuming salt at a person’s house the one who has consumed the salt should not cheat his/her host. The campaign connected with the consumer at an emotional level. <br />TATA Chemicals Ltd (TCL) started manufacturing salt in 1939 after establishing a solar salt works at Mithapur, Gujarat. It pioneered the concept of iodized and vacuum-evaporated salt in India in the early 1980s and created a need that was not felt by consumers before. Interestingly, the opportunity came accidentally, when in 1983, the company needed fresh water for its boilers that produced soda ash at its Mithapur plant in Gujarat. As fresh water was scarce in the area, the company began processing sea water. Salt of high quality was the by-product. Estimated to be worth Rs.10 billion, TATA has a 21% share in the packaged iodized salt industry in India. According to A.C. Neilson in Brand Track 2002-03, 90% of the people surveyed across the country had tried TATA salt at least once. The salt market is pegged at five million tones out of which 1.5 million tones are of the branded variety. TATA salt leads the market with a 40% share. According to analysts, TATA was able to get the leadership position in the category as it had the first mover advantage. Some competing brands include Annapurna from HLL, Dandi from Kumwar Ajay industries, Shudh from the Mirma Group, Captain Cook from DCW Home foods, Ashiwaad from the ITC stable, besides some international brand likeCargil and Congra. From vaccum-evaporated’to ‘iodized’ from ‘free flow’ to ‘danedar’, one does not see much brand differential among competitive brands, hence the need for a strong and memorable advertising plank and better packaging. One finds vigorous advertising by major players in the mass media. Looking at the overseas potential, TATA, according to industry buzz, is exploring the Middle East market and those of neighboring countries like Nepal and Bangladesh. <br />Tetley’s overseas distribution network could come in handy for marketing the salt in these countries. In order to expand the user base, TATA salt that is priced at Rs 8 per kilogram, against un-branded salts at Rs 3-4 per kg. The company has launched its economy brand ‘Samundar’ at Rs 5 per kg. Purity, trust, and value have been the planks of its communication strategy. The earlier catch-line, ‘Namak ho TATA ka, TATA namak’, was changed when more competitors came into the market, and the need for an emotional bond was felt. Besides an aggressive approach to branding, the company improved packaging, sales, and supply chain management. Figure 1.11 (see plate 2) shows its new packaging. According to company sources, consumer research by TATA Chemicals in June 2002 revealed that people had a sense of insecurity and disgust for corruption, which they thought were eroding Indian democracy. The insights that the research provided helped in tapping patriotic and nationalist fervour. TATA took the opportunity to be associated with the universal theme of ‘remaining true to one’s salt and to one’s country’. This was the philosophy behind the ‘Meine desh ka namak khaya hai’ tagline. The new packaging, with the visual of delectable cuisine, backed this. ‘Vacuum evaporated’ and ‘iodized’ were clearly written on the pack a plank that other competitors also used. The advertisement with the visual of a banana leaf and a pinch of salt in a corner (a traditional serving in south India) with the headline (figure 1.12): ‘To Indian housewives, our salt always comes first’ and the catchline ‘Meine desh ka namak khaya hai’ was considered by analysts as amongst the greatest advertisements when it appeared. In order to connect with communities, TATA salt has used public relations to sustain the brand on a long term basis. Since the lauch of the ‘Desh ka namak’ campaign in 2002, during some specified months, a small percentage of money that accurues from the sale of TATA salt is set aside for economcically disadvantaged children. In the twoyears since the lauch, 25,000 children have been provided with one year of education. <br />Ghari Detergent did the Nirma Act<br />Recently Ghari detergent has surpassed several multinational brands to become the second largest-selling detergent in the country. Three years ago, Ghari had a share of 10 per cent which now stands at 17%, second largest in Indian market. Out of Rohit Surfactants’ (Parent Company) Rs 1,940-crore turnover in 2009-10, Ghari contributed as much as Rs 1,825 crore.<br />Question arises how Ghari Detergent, a Kanpur based brand with low advertising and promotional activities managed to defeat brands such as Tide and Nirma.<br />The answer lies in beautifully carfted strategy, but before that let’s have a look on some industry statistics to gain a better understanding<br /> <br /> <br /> <br /> What Ghari Did (The Strategy):<br />Select a Profitable and Force Concentration: In military terminology Force concentration is the practice of concentrating a military force, so as to bring to bear such overwhelming force against a portion of an enemy force that the disparity between the two forces alone acts as a force multiplier, in favour of the concentrated forces. Ghari also realized that it can not beat Giants like HU and P&G due to their financial muscle. So it selected Uttar Pradesh, with a population of 167 million (highest in India) and accounts for over 12% of the country’s FMCG sales. Ghari also implemented extensive dealer network throughout the state. Thus, of the 3,000 Ghari dealers in the country, 900 are in Uttar Pradesh — 25 of them in Kanpur alone. Furthermore, nine of the company’s 18 manufacturing units are in Uttar Pradesh <br />Know your consumer and reason to people consumer your product: Ghari focused on housewives in small town and villages which are extremely value conscious buyer and willing to switch brands. Ghari realized that the only differentiating factor it can offer is the value of money. To offer value for money Ghari management settles the net profit margin of 9% against the industry standard of 12 to 13% for the premium brands. What may work in Ghari’s favour is the higher profit margin of 9% the company offers its dealers; rivals seldom offer better than 6% or 7% <br />Be innovative in reaching the consumers: With only 35 crores of budget allotted to Marketing and promotional activities. Ghari detergent goes to train. <br />The first campaign was the Ghari Detergent Express (a summer special) in 2008 that ran between Lucknow and Guwahati for two months<br />Taking the cue from there, Ghari has now advertised in Pushpak Express that runs between Lucknow and Mumbai. The brand can also be seen on railway crossings in West Bengal and Uttar Pradesh. Advertisements also being displayed inside the bogies of Swarna Jayanti Express (from Trivandrum to Hazrat Nizamuddin in Delhi) last year that cuts across three or four states in south India<br />In addition, Rohit Surfactants promotes Ghari at roadside shows, magic shows and exhibitions in smaller towns and cities. Customers are unlikely to see other brands at these places — an innovative idea to break the clutter. The magic shows have given Ghari good visibility in cities like Jaipur, Indore, Kota, Alwar and Kanpur. About 30 company-owned vehicles are used for out-of-home advertising. Of late, the company has taken some tentative steps towards the popular media. It has sponsored a show, Rakt Sambandh, on NDTV Imagine.<br />Case of Ghari detergent highlights that how a mediocre brand can compete successfully with big brands with a clear strategy and vision.<br />But in the same time sacrificing your margin and competing on the basis of price alone are not the part of sustainable competitive advantage and journey ahead is not going to be a cakewalk for Ghari Detergent<br /><ul><li>DEMOGRAPHIC SEGMENTATION: (Age)
Haagen-Dazs were the pioneers in the market for creating distinctive and indulgent taste experiences by marketing to an untapped segment - the adult ice cream lovers. The Haagen-Dazs brand quickly developed a loyal following. Its early success was created by word of mouth and praise. Without the benefit of advertising the story of an incredibly rich and creamy confection spread rapidly. At first, it was only available at gourmet shops but soon distribution expanded In 1983 Haagen-Dazs was sold to The Pillsbury Company, which remained committed to the tradition of superior quality and innovation on which Haagen-Dazs was founded. Since then, it has become a global phenomenon. Ice Cream lovers the world over now recognize the unique Haagen-Dazs logo as synonymous with the ultimate super-premium ice cream. However, for the company to reach where it is today, a sincere marketing effort was undertaken from its early days to understand customers and their needs. Since the beginning, Haagen-Dazs has kept a keen focus on developing an internal & external marketing orientation. They obtained their current competitive strengths to establish premium pricing from: *Developing the brand with an attached history of perfection and luxury *Using the finest ingredients to deliver product excellence *Invested in consumer research to understand tastes and preferences of customers *Used selective distribution and did not mass market until the minimum critical mass of opinion leaders were established *Did not change their objectives in between *Used creativity and innovativeness to support brand identity This report will discuss in detail the evidence that Haagen-Dazs does, indeed, practise the marketing concept of keeping customers needs as a priority for the rest of the business to follow. COMPETITOR ANALYSIS Year by year, new products and their competing items has entered into the field and has successfully created a slot for them. This phenomenon is greatly supported by the open down policy of the local government to the people coming from other lands for settlement and tourism. Ice creams are a product that has not seen their prime in the U.A.E. Its potential is tapped in a meagre form. Not that the commodity is in short supply. There is ample ice-cream available even at the moment. But, there is great scope of habitualising the inhabitants of this place to consume more of the product, by exploiting the U.A.E. climate to its best potential. The United Arab Emirates has an ice cream market of Dh140 million, yet it has one of the lowest consumption (6.00 per capita/ pints) of ice-cream when compared to Australia which consumes 36.87 per capita / pints and USA 30.04 pints . In spite of these low figures, Haagen-Dazs began its Middle East venture by opening its outlet in Al Diyafa Street in Satwa and from then on rapidly opened up cafes in Deira City Centre, Rigga Street, Palm Strip Shopping Mall and Thunderbowl. However, prior to their entry into this market, a proper industry analysis was undertaken, similar to the one described below using the Porter's Industry Analysis. Rivalry in the Industry - Medium Rivalry is strong due to a number of factors. Ben & Jerry's and Haagen-Dazs dominate the global super-premium ice cream market. Each of these competitors has approximately 42% of the market, with the remaining 15% being divided up between a numbers of smaller firms that compete on either a local or national basis. However, within the U.A.E., Haagen-Dazs made its entry while Ben & Jerry's were still concentrating on Europe. Globally, Haagen-Dazs was competing for a larger slice of what was a shrinking pie. The ice-cream sector has been stagnating in the recent years. In addition to this, new government labelling regulations, a rise in consumer price sensitivity, and other factors have led to further slow growth. In the U.A.E. however, the major competitor at the time was the highest priced ice-cream at that stage, namely Baskin Robbins. Baskin Robbins ice-cream parlours are still not considered direct competitors because they do not portray the image and class associated with a Haagen-Dazs café. Further, industry lead times for copying a new flavour are lowering, making it harder to maintain a competitive advantage in this area. Haagen-Dazs has been facing intense competition from a relatively similar priced entrant 'London Dairy' which has positioned itself as a premium ice-cream but still made itself accessible at every petrol station and convenience store in town. Haagen-Dazs quite readily imitated them and are now available in select petrol pumps and supermarkets. Threat of new entrants - Weak Though there are a significant number of competitors in the market, the largest firms still have such large market shares that they are somewhat "insulated" against smaller competition. Barriers to entry into this market are relatively low, especially since a firm that already competes in the premium or standard ice cream market could easily convert to the super-premium market (though not with guaranteed success). There is not a significant threat for a new firm to enter the market and establish it as a rival to the main competitors though brands like Unikai, Kwality and London Dairy have been introducing ice creams to attract this market. Substitute Products - Weak this is not a significant force, even though there are a number of substitute products for this market. Because this is the super-premium ice cream and yogurt market, and the products have prices that reflect this super-premium standard, the buyer who is interested in this type of product is probably going to be an ice cream lover that is willing to pay the extra price to receive the higher level of quality. One of the driving forces in this industry is the ability to produce a range of flavours, and to keep introducing new ones. Many sales could be attributed to the buyer attempting to satisfy a craving for some unconventional flavour of ice cream. Such a buyer would probably not be satisfied with a substitute product. Though there is sure to be some competition from products such as high quality cakes and cheesecakes, other frozen dessert products, and other snack products such as chips and dips, these products are not a significant factor to this super-premium ice cream market. Power of Suppliers - Weak this force is also weak since, in some cases, Haagen-Dazs is paying well above market prices in an effort to stay true to their mission of producing super-premium quality ice-cream and exotic flavours. Should the need arise; it would be quite easy for them to find a new supplier for any of its products. The advantage the Haagen-Dazs and Baskin Robbins have over the smaller producers are that since they purchase on a global scale, being such a large buyer, gives them more power in the supplier/buyer relationship. Power of Buyers - Strong this is obviously not a product that is necessary to the consumer. There is a declining level of the price elasticity of demand. This puts more of the power in the relationship into the hands of the consumer. Producers in this market must respect this and be sensitive to consumer attitudes concerning their products or face declining sales. Most of this revolves around flavours that they produce and for this reason, Haagen-Dazs is continuously innovating on newer and more exotic flavours to keep their customers continuously attracted to them. FOCUS ON CUSTOMER NEEDS Haagen-Dazs continuously researches its market because this is exactly what got them into the business in the first place. Effective marketing is based on three key elements, the marketing philosophy, and market segmentation and consumer behaviour. Haagen-Dazs has been noted to practise the consumer-driven philosophy whereby they rely on research to discover consumer preferences, desires and needs before production actually begins. This philosophy stresses the need for marketing research to be conducted in order to better understand where or who a market is and to develop a strategy targeted toward that group. The core business they are in is production of ice-cream. This industry primarily focuses on consumer tastes and preferences and only research can help identify these. However, it is not enough that research is conducted only prior to production of a particular flavour. They need to constantly research the movement of this flavour in the market and get feedback from customers about this. Market research has given Haagen-Dazs many advantages, such as, *Unique environmental insight, which they used to spot opportunities others overlooked - Reuben Mattus found a segment in the market he believed to be un-served, namely, the adult ice-cream lover segment. While other companies focussed on enticing kids with ice cream, Mattus decided to tap the older, mature segment that had the disposable income to 'indulge' them. *Are proactive to competitor moves by following them closely - Haagen-Dazs quite readily met all of competitors' Ben & Jerry's moves by continuously introducing new flavours focussing on their niche while others lost focus and were mass marketing heir ice creams. This helps makes them fiercely competitive constantly striving to defend their turf. *Identify customer wants thus focussing energies on giving them exactly what they want - research helped them realise that Japanese love tea and hence introduced the Green Tea flavour which was an instant success in that market . They are not the only ones undertaking market research. The UK Super Premium ice cream market had a retail value of £56 million in the UK in February 2000. Ben & Jerry's accounted for fully 83 per cent of the overall growth in the UK Super Premium market in 2000. Multiple grocers account for 70 per cent of all Super Premium ice cream sold in the UK, and in September 2000 Ben & Jerry's secured parity with Haagen-Dazs in terms of sales through this channel, with Ben & Jerry's securing a 52 per cent share of the market as against 48 per cent for Haagen-Dazs . In the U.A.E. though, despite being of reasonably higher price, the brand established itself quite comfortably as a 'must try' product among the elite and middle-class. This is exactly what Haagen-Dazs had hoped to achieve when it first came here. The management were counting on the expat population of the U.A.E. who were already familiar with the brand to spread word of mouth about its high quality, unique flavours and prestige associated. MARKET SEGMENTATION As simple as it looks; every little detail of the ice cream is meticulously planned for the final consumer to buy the product. Of the money that goes into paying for the ice cream, nearly 80% is returned into marketing costs for the company. The rest of the 20% represents the actual production costs. Consumers are an integral part of the industry and the market research helps identify the core market segments that Haagen-Dazs caters to. Market segmentation is the process of identifying a specific set of characteristics that differentiate one group of consumers from the rest. In respect to ice creams, although many people eat them, the market can quite easily be segmented on bases of taste and price. Some individuals prefer high-quality ice cream made with real sugar and cream because of its taste while others cannot tell the difference in quality and would buy primarily based on price and availability. Lower-priced competitors are into mass marketing while premium priced ice creams makers have followed a niche strategy to target that one single segment consisting of affluent upper-middle to upper class segment. Haagen-Dazs uses a few main segmentation bases for dividing their market, namely, demographic, socio-cultural and psychographic. Under demographic segmentation, they focus on the income bracket of consumers. Their products are mainly aimed at the affluent with higher disposable income to spend on frivolous luxuries like super-premium ice cream. Although they do not segregate flavours by gender they do tend to highlight he romantic and sensuous image of ice-cream by featuring couples in all their international adverts. They tend to link their ice creams directly to sex in order to highlight that the indulgence and pleasure felt is similar in both cases and just as fulfilling for inner desires. This leverage gives it extreme importance among the adult population as they can understand this feeling and hence relate consumption of this product directly to this feeling. The socio-cultural segmentation looks at various cultures and nationalities and their preferences. Certain cultural groups tend to have similar needs especially when it comes to food, confectionery and drinks. For this, Haagen-Dazs has taken into account various national tastes and preferences in their innovative product line by introducing flavours like Cheesecake ice cream for the UK, Green Tea ice cream for Japan, Belgian chocolate for those in East Europe, and so on.
Finally, probably the most important type of segmentation bases in this case is the psychographic segmentation. To be attracted to eating super-premium ice cream, people need to be part of a particular lifestyle segment. They should technically be among those that enjoy the luxury and indulgence associated with the brand. Haagen-Dazs has been portrayed to be a reflection of pleasure and for this reason, the brand creates an ambience behind its cafes too by ensuring that furniture is cosy and in deep shades of browns, burgundy and red to add a feeling of cocooning and intimacy . Using these segmentation means, Haagen-Dazs has narrowed down its business to cater to specifically two main target markets, namely, *Affluent, pleasure seeking adults who are generally brand conscious, innovators & trend followers *Health conscious, young adults who are interested in desserts but prefer natural ingredients and low fat substitutes By identifying only two target segments and focussing on a small but profitable segment of the market, Haagen-Dazs is practising a niche market strategy. They have been fairly successful in identifying and catering to this segment and this can be determined by their growth from gourmet stores in New York City to its global presence now in over 54 countries. Identification which segments is profitable to market to be not enough. Companies need to design a marketing mix to cater to each of these segments. The next section discusses Haagen-Dazs current marketing mix for the mentioned segments. MARKETING MIX INDULGENT & AFFLUENT ADULTSHEALTH CONSCIOUS ADULTS PRODUCT - All products made with exotic ingredients to add to the luxury and fine taste by sourcing nuts from Hawaii, vanilla from Madagascar, and chocolate from Belgium, etc. - Ice cream flavours ranging from Bailey's Irish Cream and Blueberry Cheesecake to Cherry Vanilla and Chocolate Caramel, etc. Velvety Gelato in flavours from Cappuccino to Raspberry. Ice cream, sorbet, gelato bars for the adult palate in all flavours of the tubs - Frozen yoghurts where the fat content is derived directly from fresh cream and fresh egg-yolk. Sorbets are sweetened only with 'pectin' which is derived from fruit sugar thus ensuring no extra artificial sweeteners - All low-fat bars & tubs are marked with accurate calorie counts and fat content on the packaging to ensure that this segment knows exactly what it's eating PRICE - premium priced at AED 7-10 a scoop while regular ice-creams are only priced at a maximum of AED 5 per scoop - no price discounts or special offers to keep in line with the luxury and prestige associated with the brand - for the health conscious, Haagen-Dazs have not reduced price to try and attract them simply because this segment already exists and they are willing to pay the same amount and purchase the product PROMOTION - although initially advertising was only through word of mouth, today Haagen-Dazs uses its print adverts to entice customers worldwide. Due to regulations in the Middle East region, they have refrained from linking their product attributes to sex, intimacy, alcohol, etc. and have focussed on highlighting the pleasure of eating ice cream made from the finest ingredients in the world - advertising for this segment has focussed on the fact that you can still maintain a great body and still treat yourself to an occasional ice-cream and not add on pounds for it - in store displays of the actual number of calories in each scoop and endorsements from fitness conscious stars are evidence enough of how Haagen-Dazs is continuously trying to attract people from this segment.
PLACE - cafes with comfortable seating for couples, bar stools, dim lighting, rich colours all help to create an ambience of intimacy & love - all cafes are located on prime streets or malls where young adults tend to hang out or socialise thus enabling maximum accessibility for the elite - focus for this segment has moved away from actual cafes where they may be tempted by the non-low fat products and towards supermarkets, petrol pumps and other convenient areas where they can pick a scoop while there on go. The current marketing mix does quite effectively meet the needs of the target segment and my only recommendation to Haagen-Dazs would be to start targeting emerging segments such as the affluent teenage segment that would have more time to spend in cafes and who would be more easily convinced to experiment with flavours. Haagen-Dazs major success factor was the way it positioned itself in the minds of the consumer. It took a strategic marketing outlook to achieve this positioning. All said and done, Haagen-Dazs core business is still in the production of ice cream. However, differentiation using the finest products and developing of a premium ice cream brand was the positioning they portrayed. The next section will look into how they achieved this. POSITIONING Superior flavour and texture are principal to Haagen-Dazs and their definition of quality extends much further. From the ingredients they choose to the recipes they develop, from the packaging materials they select to the care with which they deliver the ice creams, from the ambience of each Haagen-Dazs café to the attention with which they serve, the Haagen-Dazs brand quite obviously signifies its commitment to perfection. However, it is not enough that they believe they have done this. At the end of the day, the customers would base their decision on the tangible aspects of the brand such as the taste of the products, the quality of service offered at the cafes and so on.
Product-wise, Haagen-Dazs ensures to maintain the high quality and luxurious taste associated with the brand by using best-selected ingredients from around the world and ensuring that fresh cream is used for a rich creamy flavour, fresh skimmed milk for body and texture and fresh egg yolk for delicate flavour As a matter of differentiation, they advertise that their ice cream is ALL ICE CREAM by ensuring that the ice cream is perfectly rich because it contains no excess air. Further, unlike mass marketed brands, no artificial flavourings or colours are used. Haagen-Dazs prefers to find better natural alternatives and make sure that their customers know about this. Although most companies limit their product quality testing only within their manufacturing process, Haagen-Dazs takes it a step further to ensure that quality tests take place at every stage of production by visiting and testing ingredients suppliers, checking manufacturing processes and equipment daily, tasting ice cream in-store on a regular basis for temperature and taste.
From this we can see how Haagen-Dazs positioning is based primarily on product & image differentiation. For this to be understood by customers, Haagen-Dazs has tried to convey this through every available communication vehicle such as the deep maroon & gold logo, to the Scandinavian name and lettering, and the seductive adverts mentioning the various exotic flavours. The only possible aspect that they need to modify with regards to their positioning would be to start co-branding the product in the U.A.E. with luxury events, shows, etc. Although currently premium ice creams like Godiva and Haagen-Dazs are served at all the major five-star hotels in town, they have not really ventured into sponsoring or conducting events. Locally held international-level fashion shows, horse races and golf tournaments are splendid opportunities to link the brand with the 'best of the best'. Being primarily based on an actual product and its augmented offerings, Haagen-Dazs has not been very successful in differentiating its products from its services. The next section will look at this in further detail. SERVICE VS. PRODUCT ASPECTS Haagen-Dazs product aspects have already been discussed and this section will now concentrate on the services that they offer that acts as evidence of their marketing orientation. Haagen-Dazs has a global website that offers customer information on all the newest flavours, special recipes, current promotions, events, links to other Haagen-Dazs international websites and even access to their loyalty programme called REWARDS. This is a free membership to all their loyal customers who like to enjoy the uncompromising quality and indulgent taste of their products. This gives customers VIP access to all Haagen-Dazs sponsored events, fashion and art shows, early announcement of all new products, trial coupons and free gift vouchers. An excellent means to keep their customers coming back to them time and time again. The website also gives investors information on how to open a franchise outlet and company highlights which gives a better understanding of the company's early beginnings. The primary mode of service at Haagen-Dazs was through their numerous high-street cafes. The website is a feature that was established of late but to actually receive the welcoming, customer-friendly service, one must visit a café. All Haagen-Dazs cafes are staffed with well-trained staff whose primary concern is to keep their customers feel relaxed in the cosy ambience of the outlet. The staff are always impeccably dressed in fine uniforms and are sure to be there at every customer's beck and call whether asked for or not. The feeling is almost as if being served in a five star hotel. Even within the various cafes, club memberships are offered for all regular customers. These customers get free privileges like attending flavour launches, sample testing and focus group meetings. All these features help Haagen-Dazs continuously cater to its niche affluent segment who are willing to pay that extra premium for this high grade of service. Extra services offered at the cafes are the free 'love' postcards and mugs that are given as giveaways to promote the feeling of love, intimacy, sensuousness and passion that the brand is directly linked to.
CONCLUSION Haagen-Dazs' main challenges will be faced from the growing media effect on consumer preferences and tastes. New segments are emerging constantly and they need to continuously innovate and broaden their target market to incorporate these. In the 1980s, the premium brands were faced with intense competition from consumers changing preferences to low-fat, fat free and light ice-creams. Now, the media is actually convincing people that they deserve to indulge and this has resulted in many ice cream marketers to come up with products that are both indulgent, yet not high in calories. Currently, Haagen-Dazs just has frozen yoghurts and sorbets to cater to this segment, but they need to come up with newer recipes and ideas for getting this segment to eat more of their ice-cream. Haagen-Dazs need to realize that the world is moving to a general economic trend of higher earnings, more disposable income and leisure time and they need to understand that its not just the affluent that are eating their ice-creams but also those of the lower and upper middle-income segments. They have focussed on capturing the innovators in the market but need to start developing their marketing strategies to include the early and late majorities into this segment because they pose as a larger market. The brand has repositioned itself from being exclusive to being accessible yet high-class and quality. This needs to be further capitalised on by convincing the market move it from being something to be eaten at the café to something in all family fridges to indulge in when important guests come for dinner. Their clear marketing orientation has given them an established brand. They managed to educate their customers on how they should indulge themselves occasionally even if it means buying a relatively more expensive ice-cream. Now they need to change focus to monitor international tastes and trends to better predict changing customer tastes and preferences.</li></ul>The pivot of its India strategy is the introduction of products designed for the country. Take Power TV, a light and compact range of LCD TVs that profess lower power consumption. Starting at Rs 10,000 for a 19-inch screen, it goes on to a little over Rs 20,000 for the 32-inch variant. The prices have been kept significantly low to achieve the ambitious target of capturing 10 per cent market share by 2012 and 15 per cent by 2015. “We want to get closer to consumers at the earliest as competition is getting intense,” Wu Tengguo, director, digital products, Toshiba India, says. In this market Toshiba will fight with the likes of Sony, LG and Samsung. <br />The second new product from the company’s stable is a first of its kind glasses-free 3D laptop, the Qosmio F750 3D, that is able to display 3D and 2D content on one screen at the same time. Priced at Rs 85,000, it is far from cheap but the company hopes its unique features will drive demand and help it reach its target of 10 per cent PC market share by 2013. Some other products that will be launched soon include a tablet PC and a range of 3D TVs. “We are determined to provide a broad array of high-value products that reflect the changing lifestyles in India and address market requirements,” adds Tengguo.<br />Toshiba is planning to establish an R&D centre in Gurgaon (near Delhi) to localise its new products for India. Some part of the manufacturing may also happen locally. The company will expand its network of exclusive stores to 6,000 from the current 3,500.<br />The company has planned an aggressive marketing and advertising strategy to support the new products. It will drive visibility with billboards and print ads; there will also be two new TV commercials featuring cricket icon and brand ambassador Sachin Tendulkar. Ito says, “Even at the peak of his career, Sachin strives for more. Likewise Toshiba also strives for innovation and better quality. So he was a natural choice.”<br />The tag line, “ready for more”, signifies the company is ready to take competition by the horns. Choosing not to disclose the advertising budget, Tengguo says, “You will be able to guess (the spends) when you see our scale. By August this year, you will see us practically everywhere.”<br />Behavioural Segmentation: (Examples)<br />Occasion: <br />Diwali & Rakhi :<br />Cadbury special combo packs for Diwali.<br />Beautifully decorated and with a lot of options to choose from.<br />Cadbury India Pvt. Ltd is unwrapping a new advertising, branding, product and retail strategy to position its Cadbury.Celebrations gift range on the broader usage plank of year-round gifting, including social visits.Until now, this brand has been narrowly focused on festivals and occasions. The Celebrations gift range exists under the Cadbury Celebrations brand portfolio.<br />The chocolate market is valued at more than Rs1, 600 crore, and growing at 18-20% per annum. By broadening its gifting proposition, Cadbury hopes to outpace category growth. Cadbury India executives say Cadbury as a whole currently commands 70% of the chocolate market in value, and the entire Celebrations range market share is 6.5%.<br />To increase its usage width, the Celebrations gift range has been launched in different package sizes, priced between Rs145 and Rs155. The Celebrations gift range is now also called ‘panned’ chocolate, since it contains nuts, etc. “It will be sold at premium food stores and modern trade formats to achieve ‘differential visibility’,<br />The communication for Celebrations earlier concentrated on occasions like Diwali and Rakshabandhan. Over the last seven to eight years, the brand emerged as a good gift proposition for occasions and enabled people to come closer. Research done by Cadbury also suggested that we extend the plank of occasion-based gifting to social gifting. It is our endeavour to provide our consumers with all-year-round gifting options. We came up with new packaging for the panned chocolate as we feel that it was significant to refresh and revitalize in terms of aesthetics and graphics.”<br />A few facts and figures<br />We make and sell three kinds of confectionery: chocolate, gum and candy<br />We operate in over 60 countries. John Cadbury opened for business in 1824 - making us nearly 200 years young<br />We work with around 35,000 direct and indirect suppliers<br />We employ around 50,000 people<br />Every day millions of people around the world enjoy our brands<br /><ul><li>23 June 2008</li></ul>Brand Loyalty: Johnson & Johnson<br />Everybody knows we think of baby products and only one brand pops up J&J.<br />J & J has a very strong hold on its customers. They believe that the product is best of quality.As no mother would want anything less than the best for her child.<br />Johnson's Baby is the trusted brand of skin care products for mothers the world over. It owes its strength to the trust of mothers, the long heritage of safe and pure superior quality products. Being specially designed for babies, it has earned the trust the trust of professionals who continue to endorse these products. Johnson's Baby Care products helps build the special loving bond between a mother and her baby through the unique set of values that Johnson's Baby stands for. All products are made from mild ingredients, which are suited to the delicate skin of babies. Most of the Johnson's baby products are clinically proven to be mild. This seal of CPM (Clinically Proven Mildness) ensures that the mother and the health care professionals trust our products for her delicate baby. <br />Image-seekers<br />Enhance your mouth and jaw muscles with the Happy Smile Trainer and create the perfect smile. Just by biting on the mouthpiece once a day for five minutes improves the angles and balance of your face and cheeks, strengthening your gums and teeth.<br />The Happy Smile Trainer features: <br />Use once a day for five minutes<br />Size: 8.5 x 5.5 x 3cm (3.3 x 3.3 x 1.2")<br />Materials: silicone<br />Includes case and exercise book (Japanese)<br />Weight: about 11g<br />Made in Japan<br />From the makers of our sleeper hit, the Beauty Lift High Nose, comes the latest beauty gadget to draw attention not only for its very unusual design, but also its simple yet effective functionality. Just slip the Facial Lift At Once into your mouth once a day for three minutes and you will feel the electric buzzing work on your cheeks, chin, lips, mouth and even nose. The pulsing will come in four different levels of strength and in a complete 360-degree spread, pushing and working on your facial muscles little by little every time.<br />Not only will this give your face a boost "at once", exercise and training couldn't be easier than with this gadget. All you do is put on the mouth cover, pop it in your mouth and it does the hard work for you! If only running a marathon could be as easy!<br />The Facial Lift At Once features: <br />Size: 7 x 7.5cm (2.8 x 3")<br />Materials: ABS, elastomer<br />Power: AAA batteries x2<br />Automatic 3-minute timer<br />4 levels of strength at random<br />Use only in mouth<br />Do not place between teeth<br />Note this product is not waterproof<br />Manual: Japanese (but self-explanatory)<br />Psychographic segmentation: (Examples)<br />Innovators:<br />They’re usually successful, sophisticated, active, “take charge” people with a high self esteem. Purchases often reflect cultivated tastes for relatively upscale, niche oriented products and services. Here we’re considering the niche market of upscale segmentation by technology adaptation. <br />For example, let us consider the Apple's iPad. It represents a new mainstream market segment for the technology industry, which will experience considerable growth over the next few years, it has been claimed. Apple's product strategy is a study in market segmentation. In contrast to merely trying to stuff a product, burrito-style, with as many different features as possible, they target specific user experiences, and build the product accordingly.<br />Thinkers:<br />They’re mature, satisfied, and reflective people motivated by ideals and who value order, knowledge, and responsibility. They seek durability, functionality, and value in products. Here we’re considering Mont-Blanc.<br /> For nearly one hundred years the name Mont-blanc has stood for the art of writing, while the snow-covered peak of Mont Blanc has symbolised the high quality status of the brand with the distinctive white star. <br />Mont-blanc’s classic fountain pen, the Meisterstück first produced in 1924, has become a cult object. Not only because of its timeless design, but also because of the unmistakable values which are so characteristic of the entire Montblanc collection. They are established values that take on a new and greater significance as modern life develops faster and faster; values such as tradition, fine craftsmanship and an appreciation of the need to take time for the essentials - for reflection, feelings, beauty and culture. <br />Every Mont-blanc product created over the years bears witness to these values. From the classic Meisterstück fountain pen to desk accessories, hand-crafted Meister-Bütten paper, fine leather and jewellery and the new Meisterstück watch collection - they are the results of traditional craftsmanship which confers a sense of eternity on their owners.<br />Achievers:<br />They’re successful, goal oriented people who focus on career and family. They favour premium products that demonstrate success to their peers. In this segment we can consider most of the premium timeless luxury watches, such as Rolex, TAG Huer, and Omega. Neil Armstrong gave Omega speed master the ultimate endorsement when he wore it on his historic moon walk in 1969. <br />Experiencers:<br />They’re the young enthusiastic, impulsive people who seek variety and excitement. They spend a comparatively high proportion of income on fashion, entertainment, and socializing. For example, we consider, Fossil watches, handbags, wallets and clothing. Founded in 1984, Fossil introduced watches which were trendy as well as The Fossil brand was founded in 1984 and its main focus is on bringing fashion to functionality. Fossil offers separate watch ranges for men as well as ladies. You will come across watches in varied looks and styles such as classic, adventure, acetate, wood, stainless steel and so on. The Fossil watch range is offered in categories such as sports watches, dress watches, digital watches, trend watches, mechanical watches, Stark Watches and so on.<br />They are preferred by men who wish to portray a trendy look and profile. They can check out rugged watches, watches with dials in reverse colours, straps in polycarbonate material and even formal watches.<br />Believers:<br />They’re conservative, conventional, and traditional people with concrete beliefs. They prefer familiar, Indian made products and are loyal to established brands. Here we consider Bisleri. As one of the world’s most trusted brands. Bisleri is leading the way in bringing about positive change in our daily lives. They believe in being a part of a meaningful movement called the ‘Aqua Green Revolution’.<br />Strivers:<br />They’re trendy fun loving people who are resource constrained. They favour stylish products that emulate the purchases of those with greater material wealth. Considering Pierre Cardin- It is the first couturier to bring fashion into the street, revolutionize men's style, apply a brand licensing system in 1960, set up operations throughout the world, and get notable in Japan, China and Russia.<br />Pierre Cardin is known for avant-garde style and space age designs. It prefers geometric shapes and motifs, often ignoring the female form. It advances into unisex fashions, sometimes experimental, and not always practical. Pierre Cardin's empire rapidly expanded past fashion frontiers to accessories, furniture, art and environment. With 900 licenses spread out through 140 countries, the Pierre Cardin trademark is considered one of the most powerful in the world. Pierre Cardin offers fashion and style without sacrificing function, durability and customer service.<br />Makers:<br />They’re practical, down to earth, self sufficient people who like to work with their hands. They seek Indian made products with a practical or functional purpose. Here we take the example of Amul. Amul was set up in 1946 and its full form is Anand Milk- producers Union Ltd. The Brand Amul is a movement in dairy cooperative in India. The management of the brand name is done by the Gujarat Co- operative Milk Marketing Federation Ltd (GCMMF) which is a cooperative organization. <br />Survivors:<br />They’re elderly, passive people concerned about change and loyal to their favourite brands. Parle Products has been India's largest manufacturer of biscuits and confectionery for almost 80 years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular brands, the Parle name symbolizes quality, nutrition and great taste. With a reach spanning even to the remotest villages of India, the company has definitely come a very long way since its inception.Many of the Parle products - biscuits or confectioneries, are market leaders in their category and have won acclaim at the Monde Selection, since 1971. With a 40% share of the total biscuit market and a 15% share of the total confectionary market in India, Parle has grown to become a multi-million dollar company. While to the consumers it's a beacon of faith and trust, competitors look upon Parle as an example of marketing brilliance.<br />