Market segmentation is an essential part in today’s business world. It is because not all customers have the same requirement and a market strategy which does not recognize this fact will result business failure. Market segmentation is the process of splitting customers, or potential customers within a market into different groups, or segments, within which customers have the same or similar requirements satisfied by a distinct marketing mix.
Nike has been successful in market segmentation for selling their soccer boots, which resulted in a significant market share in that particular product category in recent years.
Professional soccer players include all the players playing football as their career. This segment is ranging from the players in the top of the world to those who are hardly recognized by people. Their needs for soccer boots is high, most probably the highest in the market. They need soccer boots which can enhance their performance: comfortable when running on the field and playing football and provide them with good ball control.
Price is not a major factor for them when choosing a pair of soccer boots, because they are either having a high salary or they are sponsored by their clubs or even the manufacturers of soccer boots. What they need is a pair of high quality soccer boots which is a combination of well design and good materials. The price of the boots showed that Nike’s major target customer groups are those on a high income level, or those who are willing to spend on expensive items.
So the ranking of the professional and amateur soccer players are high on the KCV table. The need of a pair of good quality soccer boots in the two groups is high and price is not their major considerations. Young people is also a main target customer group for Nike because the brand has been developed into a famous one and it is well-known for it high price and style. Nike’s footwear is said to be an expensive goods today. Consumers like the young people, who emphasis much on brand and identity is more likely to choose Nike…
Cite this Market Segmentation In Today’s Business World
Market Segmentation In Today’s Business World. (2016, Sep 09). Retrieved from https://graduateway.com/market-segmentation-in-todays-business-world/