Marketing Strategies DQ Responses

Q1. Please read the below paragraph and write your opinion on it. Do you agree or Disagree?

Note: 150 - 200 words minimum with intext citations with references

Market segmentation refers to the process used by an organization to determine what groups of customers are more likely to buy its products. The most important thing about market segmentation is that it helps organizations to determine which among the available groups of customers is the most appropriate to serve (Wedel & Kamakura, 2012). Companies that use market segmentation divide their customers depending on their interests, behavior, and demographics. This helps in designing a marketing strategy that will be used to market to specific customers who have the same needs.

One of the excellent examples of market segmentation is the one used by Victoria secret to target teenage girls. With its brand Pink, the company has been able to capture the attention of young girls who buy and use it in large numbers. Also, large banks in the United States, such as Wells Fargo and JP Morgan, use market segmentation for marketing their services to a group of customers. Overall market segmentation has helped companies to save a lot of their resources that they could have used to in marketing their products and resources to wrong groups of people.

 

Q2. Please read the below paragraph and write your opinion on it. Do you agree or Disagree?

Note: 150 - 200 words minimum with intext citations with references

Few main benefits of market segmentation are stronger marketing messages, targeted digital advertising, developing effective marketing strategies, better response rates and lower acquisition costs, attracting the right customer and increasing brand loyalty etc. It is also important to understand types of marketing segmentation with regards to education, age, income, family, size, race, since all these factors come under the first set of categories which is demographic segmentation. Followed by geographic segmentation. Behavioral segmentation can separate the market from decision making to behavior. Here things like purchase, consumption, lifestyle and usage play key role. Finally separating markets based on purchase behaviors enables marketers to develop more targeted approach, because you can focus on what you know you know they, and are therefore more likely to buy.