MB03 – 02 : MARKETING MANAGEMENT

3. As a consultant suggest a suitable market segmentation strategy for the manufactures of
a) Bicycles
b) Cosmetics
c) Wick –stoves

a ) Bicycles:
The modern marketing concept starts with the definition of target markets. The target marketing has its roots in the marketing age. Target marketing helps the marketer to correctly identify the markets – the group of customers for whom the product is designed. Here two alternative different needs: One, to treat the target market as a single unit – one aggregate market and draft one marketing-mix for them. This approach is known as the ‘shotgun’ approach. Today, the shotgun approach works only if different products satisfying different needs, so far, are combined in one product. Two the total market is viewed as consisting of small segments and the consumer differences necessitate different marketing-mixes for each of them. Based on the capabilities of a company, the selection of the segments takes place. This is known as the ‘rifle’ approach – separate marketing programs with specific targets.

b) Cosmetics:
Once it is learnt that consumers would not accept standard products, the marketer might try to provide different sizes, colors, shapes, features and qualities to attract them. The product variety approach satisfies a customer more than standardized one model products. For example, when Maruti 800 was introduced into Indian roads, it was a variety product (variety compared to Premier Padmini) because it used two versions Standard and Deluxe with different colors. This type of philosophy might satisfy a customer for the moment, soon the customer discovers that the offered product does not fit into different needs, car for sports, family, commercial purposes long travel and hilly areas. The product-variety approach does not call for proper segmentation of the market. This is carried by the target marketing.

c) Wick stoves:
Before the onset of the marketing age, there was widespread adoption of mass marketing. mass production, distribution and promotion. That is, offering the same product and applying the same marketing-mix to all consumers assuming that there is no significant marketers felt that the consumer differences in education, income, offering them standardized product without suitable modifications. The Coca Cola company follows this approach. It designs its marketing program to appeal to all buyers. The Company feels that no segmentation is necessary. This is undifferentiated marketing strategy. But if a toothpaste of standard size is offered to a student (living in a hostel) a nuclear family (having three to-four persons) and a joint family (having more than 4 persons), the offered toothpaste might last many months for a student some months for a nuclear family, and last for about a month for a joint family. There seems a need to demulsify the marketing efforts. This type of marketing is well-suited for fruits, vegetables, Over- The-Counter (OTC) drugs, chocolates, bakery items, stationery items etc.