Identifying Target Markets Flashcards
What are the four factors of market segmentation?
- Geographic
- Demographic
- Psychographic
- Behavioral
How is geographic segmentation helpful?
- Outlines a consumers location (urban, rural, specific city/region)
- Often too broad to be meaningful on their own
What are the variables of demographic segmentation?
- Age
- Gender
- Ethnicity
- Family-Status
- Income
- Level of education
- Occupation
- Socio-economic status
- Race
- Religion
What are the variables within psychographic segmentation?
- Lifestyle (go out/homebody/health-conscious)
- Personality (Show-off wealth/wine knowledge)
- Values/beliefs (organic/vegan/fair-trade)
- Interests (styles, grapes, regions)
What are the considerations of behavioral segmentation?
- What benefit do they want from wine?
- When/where do they buy?
- How often do they buy?
- In what volume do they buy?
- Level of brand loyalty?
- Level of interest in wine?
- Early/late adopters of new products?
Behavioral and psychographic variables have more overlap in consumer behavior than demographic
What are consumer “portraits”? How are they helpful?
An effort by Wine Intelligence to build consumer archetypes in various markets
- They breakdown nuances between the segmentation variables
Why is market research important?
- Confirms/challenges information gained from market segmentation
- Better understanding of local demand, desired features, maximum pricing
What objectives must be outlined before conducting market research?
- What information is needed?
- From who will the information be taken?
- How will the information be taken?
What are different options for conducting market research?
- Survey (highest quantity of responses)
- Focus groups (most expensive, most subjective, but most detailed)
- Interviews
- Observing consumer behavior
- Secondary research
What are the 6 US portraits outlined by Wine Intelligence?
- Engaged Explorers
- Premium Brand Suburbans
- Contented Treaters
- Social Newbies
- Senior Bargain Hunters
- Kitchen Casuals
What are key characteristics of Engaged Explorers?
- Younger, confident wine drinkers
- Wine is part of their lifestyle/social life
- Buy from wine shops and wineries
- Highest spenders on and off premise
- Broadest repertoire, enjoy exploring new wines
What are the key characteristics of Premium Brand Suburbans?
- Mid to Older age
- Lower spending
- Knowledgeable about preferences
- On-premise, casual social occasions
- Buy in bulk from supermarket/familiar wineries
- Broad repertoire, but stick to what they know
What are the key characteristics of contented treaters?
- Infrequent, high spending
- Know what they like, don’t explore
- Drink in social situations/dinner pairings
- Buy from wine shops/wineries
What are the key characteristics of Social Newbies?
- Youngest drinkers, not confident
- On-premise w/friends and family
- Buy from most convenient channel
- Exploring wine generally, enjoy trying new things
What are the key characteristics of Senior Bargain Hunters?
- Older Age
- Knowledgable but low confidence (stick to what they know)
- Infrequent buyers
- Off-premise for casual occasions
- Buy from supermarket, price sensitive
