Targeted for Selected Products
Introduction:This assignment requires me to explain how and why groups of customers are targeted for selected products and so I have used Pret A manger to try and explain. I will include Geographic Segmentation, Demographic Segmentation, Psychographic or Lifestyle Segmentation, Targeting and E-Marketing.
Segmentation:Segmentation is the process of dividing a market up into different groups of customers, in order to create different products to meet their specific needs.
Importance of Segmentation to Pret A Manger:Segmentation is important to Pret A Manger because it allows Pret A Manger to develop plans which fit the needs of customers more effectively by increasing the overall demand. It also allows Pret A Manger to identify the ones where the needs and wants of consumer can be met. Also segmentation techniques allow Pret A Manger divide a market into groups that share the same characteristics.
Different segments require different marketing approaches.
Basis of Segmentation:
Geographic Segmentation: Geographic Segmentation is a simple form of market segmentation. Certain countries, regions, etc are assumed to have common characteristics which influence buying attitudes.
Demographic Segmentation: Demographic Segmentation uses population factors such as age, gender, family, and social groupings to identify and describe segments.
Psychographic or Lifestyle Segmentation: Psychographic or Lifestyle Segmentation seeks to classify people according to their values, opinions, personality characteristics and interests. Lifestyle segmentation deals with the person as opposed to the product, and attempts to discover the lifestyle patterns shared by groups of customers. This offers an insight into their preferences for various products and services. Marketing managers can target products and promotions at particular lifestyle groups. Lifestyle data can be used to place customers in various lifestyle categories which can be targeted appropriately. The Segmentation basis that Pret A Manger uses is Demographic and Psychographic or lifestyle Segmentation.
Targeting:Targeting is when an organisation makes a thing or a group of things to target and to select it or them to be acted upon. When it comes to targeting marketers use the basis of segmentation is to help them target their audiences.
Pret A Manger targets their segments by using branding. The importance of branding to Pret A Manger is that it represents one of the most important and effective ways for Pret A Manger to create and maintain a distinctive and interesting image for the product.
Pret A Manger can demand for products in 2 ways by first getting the customer crowded by a variety of competing advertising claims and selling messages. Reputable brands allow the customer to choose with confidence and reduce risks of associated with choice.
Secondly by looking at how branding strongly associates when it is bought by customers for emotional, psychological and status reasons as well as for functional reasons (what they actually do). Pret A Manger looks at what products customers mostly buy and least buy and look at whether people just buy the product to feel good about them self or just buy a product because it’s well known and like a product just of the looks of it or how it’s packaged which have attracted them to buy that particular product.
E-Business and E-Marketing:The E-business and E-marketing has enabled organisations to deliver individual marketing mixes to customers sometimes called micro-marketing. This is an advanced technique than segmentation.
Databases are able to undertake micro-marketing functions:
By matching new products and new offers to customers who are likely to be interested. For example Amazon takes down notes of those people who have previously bought the books and alerts them when similar titles are published.
By strengthening customer loyalty through, for example,…