The purpose of this reading is to help develop an understanding of segmentation and targeting as fundamental concepts in marketing. You will learn the primary variables used in both consumer and business market segmentation; how segmentation is done; and why and how organizations choose to target particular segments. The material in this reading draws on seminal academic research, but emphasizes real-world examples.
Following your review, prepare responses to the following discussion questions:
- What is the value of marketing intelligence?
- How many companies do you think conduct marketing research studies before launching a new product? Why?
- What recent developments in the marketing landscape have affected consumer behavior and the buying process? Explain.
- How is communicating with customers via social media similar to and different from conducting marketing research studies? What are the implications for marketing?
- In the crowded market for candy, cookies, and other sweet treats, Estee Foods (www. Esteefoods.com) successfully carved out a niche by offering a wide range of sugar-free products. Estee targeted diabetics as well as other consumers who needed or wanted to restrict their intake of sugar and other ingredients, like carbohydrates. Discuss Estee’s target selection based on the three criteria from Section 2.3 in the reading: segment characteristics, competition, and company fit.
This initial post should be completed by Thursday at 11:00 p.m. EST. After you submit the initial posting, return to the forum and review the findings of your classmates. Post a meaningful comment or question (150 words minimum) to the postings of two (2) classmates. Peer postings should be completed by Sunday at 11:00 p.m. EST.