DSMMCM1617 ASSIGNMENT 2

OUR WORK – 1) Target market blog post


Segmentation

SEGMENTATION tick red-cross-clip-art-xzjtgc-clipart RISKS PRIORITY
Occasional segmentation – customers plan to purchase for a specific occasion e.g. Birthdays. Increases demand and conversion.

Increases profits and revenue in all business sectors

Provides an understanding of the individual customers’ needs, behaviour and value under different occasions of usage and time.

‘One off’ purchases as customers will buy products without knowing anything about Glendowen, forgetting the business entirely

Increase workload as surges in traffic can put a strain on Glendowen

Customers may buy periodically. Therefore, need to convert buyers to repeat customers 1
Psychographic segmentation – takes the psychological aspects such as interests, lifestyle and attitudes of consumer buying behaviour. Increases customer loyalty providing greater insights into consumers values and beliefs

Distinct competitive advantage

Psychographics are intangible = difficult to measure

Requires market research to determine the various market segments

Take more time and money 2
Behavioural segmentation -customers’ behaviour habits e.g. what they’re searching for on Google. Wider approach giving an insight to why consumers do what they do

Marketing efforts will be more effective and efficient 

Data on behaviour can be difficult to obtain

Behavioural habits change over time

Distracting and spam; customers are less likely to click 2
Locational segmentation –
the split of the market according to different geographical location units e.g. WIFI locations.
Increase ROI – focusing advertising to find right customers e.g. tourists

Checking in on Facebook advocates word-of-mouth

Doesn’t tell Glendowen why consumers buy what they do

Repeat purchase unlikely unless online, Glendowen is situated rurally

Risk of location stereotyping 4

(252 words)

Justification

Just last year alone online sales during holiday occasions increased by 13%, urging Glendowen to create a transactional website as selling more is priority. There’s no doubt that the demand is there  as shoppers go to great lengths to try to delight and satisfy the recipient of the gift, thus spending more money. Also, Glendowen’s products are gift-based; consumers are anticipating a 7% increase in gifting spend! However, we can’t disregard psychographic and behavioural segmentation as they are equally important. BUT, Glendowen is a small business with a limited budget; the company may struggle to do the research for these approaches efficiently. Lastly, locational segmentation isn’t priority as Glendowen’s shop is rural and not accessible to a wider audience. Furthermore, locational doesn’t provide a strong enough insight as the above do.

(132 words)

Target Audiences

psychographic

 

 

 

 

 

 


1)

BIRTHDAY INFO DSMMCM1617
(64 words) Referenced (See opportunity HERE for disadvantage)

2)

CHRISTMAS INFO DSMMCM1617
(51 words) Referenced

3)

MD INFO DSMMCM1617
(40 words) Referenced

dsmmcm1617-occasion

Justification

Unlike other occasions, birthdays are unique and constant, with the British spending an estimated 1.6 billion on celebrating birthdays.

TA1 will be priority for birthdays as behavioural searches will be easier to achieve as psychographic requires more market research to properly determine the segments. Also, targeting Google key search terms fits with our third DSMC objective.

(57 words)

REFERENCES

Name ID Email
Hannah Magean 13115738 hannah.magean@stu.mmu.ac.uk
Katey Poutch 12085898 Katey.l.poutch@stu.mmu.ac.uk
Revina Sahota 13142256 Revina.sahota@stu.mmu.ac.uk
Emilia Gates 13132347 Emilia.gates@stu.mmu.ac.uk
Callum Ellerton 13119019 Callum.ellerton@stu.mmu.ac.uk


Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s