Market Flashcards
Niche market goods and bads
Goods, higher price can charge
Customer loyalty
Low competition
Bads ,potentially low profit(smaller market)
If works ,could be targeted by bigger mass market business
Changing consumer tastes could make niche dissappear
Mass market goods and bads
Goods-more potentia sales(whole market)
Large scale production,economies of scale possible
Unit costs can be kept lower to push prices down
Less risky-more customers to target
Bads ,more competition
Need to be able to operate on larger scale-highr costs
Product harder to personalise
Demographic segment
Age social class gender income eg banka offer diff accounts to diff people
Psychographi segment
Groups on personality ,behaviour ,opinions, lifestyles eg cars with diff features, safety ,capacity.
Geographic segment
Regions of country rural ,urban,suburban eg mcdonalds coca cola diff ingredients in diff countries.
Positives of business segmentation to business and ita customers
More info on customers,allow business to vary products to suit their needs
Allows to target groups of customers with particular products
Customers may feel needs better targeted -loyalty
Market wider range of differentiated prods
Negatives to importance ,impact of segmentation to business
Risky ,change in customer tastes lead to loss
Marketing campaigns done multiple times in diff ways
.arket research needed.
Benefits of segmentation to customers
Fit to budget and lifestyle
Superior to competiton
Feel they get more value for money
Market segmentation
A process of splitting market into identifiable subgroups
That have similar needs,wants ,characters.
Provide them goods n services meetin there needs n wants
Market seg
Splitting market into identifiable subgroups
Similar needs n wants n characters
Provide em with goods or services thatt meet needs n wants.
