In order to have a better market concentration, it is necessary for an organization to have better market capitalization and presence in the mind of the customers. There are many possible aspects to sectionalize one market and make some targeted option on which, the marketers can apply their thoughts and their approach techniques. I would like to tell you the marketing story of my favorite pizza brand – Spiro’s Pizza.
In this case, the company Spiro’s Pizza is going to be taken into consideration and in order to judge the capability of them the management has to consider the necessary steps associated with market requirements. In the following segment, the market is going to be segmented and the target market is going to be derived with logical deduction.
Segmentation and Targeting
Market segmentation is the process in which the heterogeneous market is essentially divided in many homogenous customer segments; the process refers to the division of the market in relatively smaller homogeneous groups. The market segmentation has helped the business in making marketing decisions with helping to partition the market in different customer segments based on their characteristics. The selection of the target market is the subsequent step following the segmentation process(Camilleri, 2018). The targeting approach is based on the identification of the opportunities in a market segment, which are then evaluated,by the organizations and businesses for deciding which ones to capitalize on. The strategies are developed with keeping in consideration the value requirements of the distinct segments and their characteristics. Targeting the segmented market helps in increasing the profit margin of the organization with ensuring that the products and services being offered are customized and tailored to suit the needs of the customers than the generic products.
There are different processes to be considered in order to conduct market segmentation. Some of them are given below to understand the requirement of Spiro’s Pizza.
The geographic segmentation is depending on the area where the company is looking for to make business. For an example, it can be said that a pub can make business in the local territory a destination restaurant can market in different parts of the city. The majority of the cases the price of the offered gods decide thee the organization needs to focus more. If they are considering premium pricing then they have to make sure that they are in the right place where the people can afford the service.
It is considered the most popular process to divide the target market into parts. It is seen that the management of the organizations has had better access to the requirements and in order to conduct a sale, they make sections to the market (Andaleeb, 2016). The demographic segmentation is done based on age, gender, income. Still it is a short-term basis segmentation and in the end, a stimulus can change the market scenario anytime. It is obvious that the young generation is going to like pizza more than the others do then it is obvious that the company should go for them. I case of income, the price is not too high so that the young generation from the students can afford it easily.
The differentiation is made on social class, personality attribute, lifestyle and many other things. Apart from that, the psychographic and lifestyle segmentation is made on the basis of personality traits, attitudes, motivations, activities. The people who are in the same demographic group will have almost the same personality trait and hence it will be easier for marketers to offer their goods to the people. This helps the organization to make sure about the offerings and everything.
There are different things on the basis of which this kind of segmentation is done. The associated factors that are here are occasion, user rate, user status and loyalty status. The behaviour of the customersare not only depending on these factors but depending on the sudden impulses, which they receive from the other people. This is a necessary thing to be taken into consideration because the behaviour of the people depends on the factors that are associated with proper stimulus received from the external environment.
There are different things to be taken into consideration in order to make them more attractive and it is necessary to understand that the target market analysis needs to be done on the basis of the above-mentioned factors. It is essential to make sure that the management of the Spiro’s Pizza is in the hands of the higher authority and they should make sure that the factors they are considering to make business are efficient(Tanner& Raymond, 2015). Depending upon the factors it is necessary to make sure that the majority of the case it is target market’s notion becomes undecipherable for the management to make a proper contribution to the development of the marketing scenario.
In the business and the marketing strategy, the market position essentially refers to the perception of the consumer regarding the products or the brand in relation to the competing products or brand. The positioning in marketing terminology refers to the process of effectively establishing the identity or the image of the brand or the product in a way that the customer perceive it in a certain manner which is appealing and desirable.
For a proper understanding of the market, it is necessary to have an idea of what needs to be done and what should be avoided. The competitive advantage is running on in the market and in the end, it is going to get better in every aspect. The first responsibility of Spiro’s is to find a competitive advantage from the market and in accordance with that; they have to make sure that they are positioning the price to the perfect place.
Apart from that, the pricing should be competitive enough for the people and in this context, it is essential for the people to make sure that they are going for the segment where competitive advantage is higher than rest. It is necessary to make sure that the authority is going for a venture, which might bring them the customer density they were looking for from the market as well. Depending on the market position of the authority, the pricing is going to be determined and in the end, a better financial return is expected from them(Hair & Lukas, 2014). Therefore, it is evident that for Spiro there are many options to consider but they have to go for a precise approach, which will lead to market stability and financial growth.
Apart from that the most important thing for having proper communication. The communication gives an opportunity to understand what people are looking for and what they have. It is necessary to make sure that the majority of the people are looking for a strong market hold from the financial aspect. The communication is going to tell people what the higher authority is thinking and it is essential in every aspect.
This assignment highlights the various targeting and goals for the organization, Spiro’s Pizza, which should be factored in consideration in order to ensure maximum engagement with the customers. This literature presents the importance of selecting a proper target market and builds forth a comprehensive and conclusive marketing plan which will help in understanding the marketing demands for the organization and the various available segments with determining whether they fit in the requisite desires of the company.
- Camilleri, M. A. (2018). Market Segmentation, Targeting, and Positioning.In Travel Marketing, Tourism Economics and the Airline Product (pp. 69-83).Springer, Cham.
- Andaleeb, S. S. (2016). Market Segmentation, Targeting, and Positioning.In Strategic Marketing Management in Asia: Case Studies and Lessons across Industries (pp. 179-207). Emerald Group Publishing Limited.
- Tanner, J., & Raymond, M. (2015).Principles of marketing.University of Minnesota Libraries Publishing.
- Hair Jr, J. F., & Lukas, B. (2014).Marketing research (Vol. 2).McGraw-Hill Education Australia.