Answer to Question #249653 in Marketing for gagandeep

Question

B&G Shoprite Ltd. is a national manufacturer of a range of cosmetics and over-the-counter drugs. It has developed a good reputation in the industry supplying own-label cosmetic products and generic drugs direct to chemist convenience stores. This reputation has been achieved through close attention to quality, excellent service and competitive pricing.

The company is unknown outside the industry. It has never launched any product of its own into the consumer market. As a company, it works very, closely with its retail customers and will develop products to their specification.

s will . importance of market segmentation for a branded product aimed at the consumer.

(b) How might B&G Shoprite Ltd., consider segmenting the market for 'A Close Shave'?

(c) Identify some possible parameters by which 'A Close Shave' might be positioned

Answer 1

Market segmentation is a grouping of customers into different groups based on their needs and wants. The market segmentation will enable the company to understand the specific needs of the particular group of people to target only that group and not wasting time and resources for the entire market.

B. The B& G Shoprite Ltd would segment its brand by considering age which is between 18 to 30 years, sex which is only men, and economic status by targeting wealthy men who can afford its A' close shave product which is higher than the normal razor.

C. For the company to be able to influence the consumer's perception about the A' close shave, it should employ strategies such as promoting it is products to reach more users, packaging, and pricing in the affordable containers and tubes, and placing its a product in the target market with wealthy people who can afford the commodity.