MARKET SEGMENTS Convenience driven consumers These are consumers that are looking to simplify the purchase, or its process, and are primarily seeking the benefit of convenience. Budget conscious shoppers These consumers may make their purchase decision based on the lowest price, or select the product that represents the best value for money. Focus on quality This is a segment of consumers who are interested in higher quality products and services. Many consumers in this segment believe that buying higher quality represents better value over time. Rational, value for money The consumers in this market segment are more involved in the purchase decision and look to make decisions on a “best product solution” basis. Attracted to strong brands This market segment is less involved in their purchase decision, and will rely upon a strong brand to guide their purchase decision. Environmentally aware This is an emerging segment consisting of people who take into account the environmental impact of their purchases. Family focused This market segment is a family or household unit has one main grocery buyer who is purchasing on behalf of themselves and other people in the family unit. Health and diet conscious In various markets, particularly food, beverages, medicines, vitamins, health centers – this is a growing market segment that is quite interested in the health and well-being aspects of the product. Service/relationship focus Particularly in service industries, there would be a market segment that would be interested in quality of service provided and/or developing a relationship with the firm and its staff. Flexibility is important The tailoring of a product offer is becoming more important to some groups of consumers, as highlighted by the needs of this market segment. Social status Consumers in this segment use brands and products as a means to signal their self-identity and social status. This would be quite common in markets such as cars, alcohol, cigarettes, holiday destinations, restaurants, clothing, jewelry, and so on. Variety seekers Many markets will have a group of consumers who seek out variety. Some consumers simply like change and choice, whereas others like to experience new things. Benefit seekers In some markets, there are usually multiple segments that are seeking a particular benefit from a product. The brand should be positioned around a specific product attribute – common in fast moving consumer goods. Just for me The “just for me” market segment of those consumers interested in their own needs and pleasures. They will seek out product solutions that make them feel good, even though they may be expensive or not necessarily healthy. Existing customers The final market segment provided in this list of potential market segments is simply the firm’s/brand’s existing customer base. Although this would need to be segmented down further, as per the above market segments, it is highlighted here as it is sometimes overlooked. Discussion Questions Discuss both consumer segments and how the consumers probably make purchase decisions in the market/product that you have also chosen
MARKET SEGMENTS
Convenience driven consumers These are consumers that are looking to simplify the purchase, or its process, and are primarily seeking the benefit of convenience.
Budget conscious shoppers These consumers may make their purchase decision based on the lowest price, or select the product that represents the best value for money.
Focus on quality This is a segment of consumers who are interested in higher quality products and services. Many consumers in this segment believe that buying higher quality represents better value over time.
Rational, value for money The consumers in this market segment are more involved in the purchase decision and look to make decisions on a “best product solution” basis.
Attracted to strong brands This market segment is less involved in their purchase decision, and will rely upon a strong brand to guide their purchase decision.
Environmentally aware This is an emerging segment consisting of people who take into account the environmental impact of their purchases.
Family focused This market segment is a family or household unit has one main grocery buyer who is purchasing on behalf of themselves and other people in the family unit.
Health and diet conscious In various markets, particularly food, beverages, medicines, vitamins, health centers – this is a growing market segment that is quite interested in the health and well-being aspects of the product.
Service/relationship focus Particularly in service industries, there would be a market segment that would be interested in quality of service provided and/or developing a relationship with the firm and its staff.
Flexibility is important The tailoring of a product offer is becoming more important to some groups of consumers, as highlighted by the needs of this market segment.
Social status Consumers in this segment use brands and products as a means to signal their self-identity and social status. This would be quite common in markets such as cars, alcohol, cigarettes, holiday destinations, restaurants, clothing, jewelry, and so on.
Variety seekers Many markets will have a group of consumers who seek out variety. Some consumers simply like change and choice, whereas others like to experience new things.
Benefit seekers In some markets, there are usually multiple segments that are seeking a particular benefit from a product. The brand should be positioned around a specific product attribute – common in fast moving consumer goods.
Just for me The “just for me” market segment of those consumers interested in their own needs and pleasures. They will seek out product solutions that make them feel good, even though they may be expensive or not necessarily healthy.
Existing customers The final market segment provided in this list of potential market segments is simply the firm’s/brand’s existing customer base. Although this would need to be segmented down further, as per the above market segments, it is highlighted here as it is sometimes overlooked.
Discussion Questions
- Discuss both consumer segments and how the consumers probably make purchase decisions in the market/product that you have also chosen
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