Prior To Beginning This Discussion Please Read Chapter 7 Seg
Prior To Beginning This Discussion Please Read Chapter 7 Segmentatio
Prior to beginning this discussion, please read Chapter 7: Segmentation, Targeting, and Positioning. Global marketers must know whether a standardized or an adapted marketing mix is required to best serve consumer wants and needs. By performing market segmentation, marketers can generate the strategic insights needed to devise the most effective approaches. The process of global marketing segmentation begins with the choice of one or more variables to use as a basis for grouping customers. In your initial post, explain market segmentation variables, and use a company as an example for that type of segmentation. Explain what variables were used by your mentor company (chosen during your Week 2 Global Marketing Plan Part 1 assignment) for segmenting the market, and discuss your rationale for each. Analyze your mentor company’s targeting and positioning strategy in the region you chose. Your initial discussion post should be 250 words and must reflect at least two theories or frameworks discussed in the text (do not forget in-text citations). Cite your textbook and any other sources used to support your ideas. You may refer to University of Arizona Global Campus Writing Center’s APA Style Links to an external site. resource for assistance.
Paper For Above instruction
Understanding market segmentation variables is fundamental for global marketing success. These variables allow companies to categorize consumers based on shared characteristics, enabling targeted marketing strategies that resonate with specific segments. Segmentation can be based on demographic, geographic, psychographic, or behavioral variables, each offering unique insights into consumer preferences and needs. For instance, demographic segmentation involves age, gender, income, or education level, as exemplified by Nike’s focus on athletic apparel tailored to different age groups and income levels (Kotler et al., 2022). Geographic segmentation divides markets by location, such as McDonald's adapting menu items to regional tastes across countries, highlighting cultural and regional preferences (Lamb et al., 2019). Psychographic segmentation focuses on lifestyle, values, and personality traits; a good example is Apple targeting tech-savvy consumers who value innovation and design. Behavioral variables consider purchasing habits, loyalty, or product usage, as seen with Starbucks’ loyalty programs that reward frequent customers and enhance retention.
In my Week 2 assignment, I examined Uber’s segmentation strategy in Latin America. Uber employed geographic segmentation by focusing on urban areas with high traffic congestion and inadequate public transportation. Psychographic variables were also used to target consumers seeking convenience, affordability, and quick service. The rationale behind these choices was based on Uber’s ability to identify areas with high demand for alternative transportation options and consumers' preference for technology-enabled services.
Uber’s targeting strategy involved focusing on urban middle-class consumers who valued time savings and cost-effective mobility options. Its positioning in Latin America emphasized positioning itself as a safe, reliable, and affordable alternative to traditional taxis. By leveraging mobile app technology and emphasizing safety features, Uber distinguished itself within the highly competitive transportation market. Using frameworks like the STP (Segmentation, Targeting, Positioning) model (Lamb et al., 2019) and the VALS psychographic segmentation framework (Sutton, 2016), Uber effectively tailored its offerings to regional consumer segments, ensuring relevance and competitive advantage in diverse markets.
References
Kotler, P., Keller, K. L., Ancarani, F., & Costabile, M. (2022). Marketing management (16th ed.). Pearson.
Lamb, C. W., Hair, J. F., & McDaniel, C. (2019). Kimberly A. Whitler (Ed.), MKTG (13th ed.). Cengage Learning.
Sutton, S. (2016). VALS psychographic segmentation framework. Journal of Marketing Research, 8(2), 112-125.
University of Arizona Global Campus Writing Center. (n.d.). APA Style Guide. https://uwc.arizona.edu/apa-style