MARKET SEGMENTATIONMARKET SEGMENTATIONINTRODUCTION: -INTRODUCTION: - The market for any product is normally made up of several segments. A ‘market’ after all is the aggregate of consumers of a given product. And, consumer (the end userthe end user), who makes a market, are of varying characteristics and buying behavior. There are different factors contributing for varying mind set of consumers. It is thus natural that many differing segments occur within a market.

In order to capture this heterogeneous market for any product, marketers usually divide or disintegrate the market into a number of sub-markets/segments and the process is known as market segmentationmarket segmentation.

Thus we can say that market segmentation is the segmentation of markets into homogenous groups of customers, each of them reacting differently to promotion, communication, pricing and other variables of the marketing mix. Market segments should be formed in that way that difference between buyers within each segment is as small as possible. Thus, every segment can be addressed with an individually targeted marketing mix.

The importance of market segmentation results from the fact that the buyers of a product or a service are no homogenous group. Actually, every buyer has individual needs, preferences, resources and behaviors. Since it is virtually impossible to cater for every customer’s individual characteristics, marketers group customers to market segments by variables they have in common. These common characteristics allow developing a standardized marketing mix for all customers in this segment. 

Through segmentation, the marketer can look at the differences among the customer groups and decide on appropriate strategies/offers for each group. This is precisely why some marketing experts have described segmentation as a strategy of dividing the markets for conquering them.dividing the markets for conquering them.

BASES FOR SEGMENTATIONBASES FOR SEGMENTATION

Markets can be segmented using several relevant bases. There are huge number of variables which leads to market segmentation. They comprise easy to determine demographic factors as well as variables on user behavior or customer preferences.

Market can be segmented on the following customer characteristics

1.1. Geographic Segmentation.Geographic Segmentation.2.2. Demographic Segmentation.Demographic Segmentation.3.3. Psychographic Segmentation.Psychographic Segmentation.4.4. Behaviouralistic SegmentationBehaviouralistic Segmentation

1) Geographic SegmentationGeographic Segmentation : - Potential customers are in a local, state, regional or national marketplace segment. If a firm selling a product such as farm equipment, geographic location will remain a major factor in segmenting your target markets since their customers are located in particular rural areas. While for retail store, geographic location of the store is one of the most important considerations, in this case city areas are preferred. Segmentation of customers based on geographic factors are:-

a. Region:Region: - - Segmentation by continent / country / state / district / city.

b. Size:Size: - Segmentation on the basis of size of a metropolitan area as per its population size.

c. Population densityPopulation density: - Segmentation on the basis of population density such as urban / sub-urban / rural etc.

d. Climate:Climate: - Segmentation as per climatic condition or weather.

2) Demographic SegmentationDemographic Segmentation : -: - SegmentationSegmentation of customers based on demographic factors are:-

a. Age : Age : based on different age groupsbased on different age groups

b. Gender : Gender : male or femalemale or female

c. Education : Education : primary,secondary,high school,college,universitiesprimary,secondary,high school,college,universities

d. Income : Income : based on different income groupsbased on different income groups

e. Religion : Religion : Hindu, Muslim etcHindu, Muslim etc

f. Occupation : Occupation : status of a personstatus of a person

g. Family size: Family size: no. of family memberno. of family member

3) Psychographic Segmentation Psychographic Segmentation : - Psychographic Segmentation groups customers according to their life-style and buying psychology. Many businesses offer products based on the attitudes, beliefs and emotions of their target market. The desire for status, enhanced appearance and more money are examples of psychographic variables. They are the factors that influence your customers' purchasing decision. A seller of luxury items would appeal to an individual's desire for status symbols . Psychographic Segmentation includes variables such as:-

a.a. Activities.Activities.b.b. Interests.Interests.c.c. Opinions.Opinions.d.d. Attitudes.Attitudes.e. ValuesValues.

ActivitiesActivities, , InterestsInterests, and OpinionsOpinions (AIO)(AIO) surveys are one tool of measuring lifestyle.

4) Behaviouralistic SegmentationBehaviouralistic Segmentation : The primary idea in buyer behaviour segmentation is that different customer groups expect different benefits from the same product and accordingly, they will be different in their motives in owing it and their behavior in buying it. Variables of buyer behavior are:-

a. Benefit sought: - Quality / economy / service / look etc of the product.

b. Usage rate: - Heavy user / moderate user / light user of a product.c. User status: - Regular / potential / first time user / irregular

/occasional.d. Brand Loyalty: - Hard core loyal / split loyal / shifting / switches.e. OccasionOccasion: - Holidays and occasion stimulate customer to purchase

products

Titan entered the Indian market of wristwatches in 1984, at a time when HMT watches were enjoying a monopoly-situation.The venture took birth from the TATA group and today is India’s market leader in wristwatches and the sixth-largest watchmaker in the world.The constant innovation and effective market segmentation has been the great boon of the company.Today the company has a model for every price segment and every market.Initially when the mechanical technology was the norm, Titan went against the tide and built-up its line with Quartz. Styling was not a factor initially with the Indian watch industry but Titan was there to make a difference and gave a fresh breath of life to the age-old rusty style of wristwatches.Titan is also capturing the rural market very efficiently. Its price range starts fromRs.475-1200 for the basic consumers. It has also appointed Mahendra Singh Dhoni(himself belonging to Ranchi) as the brand ambassador of its Sonata collection to reach out to the rural population. On the other hand, his counter-part

Aamir Khan was capturing the minds of the urban segments.

It brought out the Aqua, a trendy collection for the youth.Raga was for the sophisticated Indian woman. This was a significant move as the women were now more liberal in the society and the corporate culture was establishing its roots in India. The needs of women throughout the nation were changing and the brand was aimed to cater these very needs.

Dash for the kids segment which included watches for boys and girls

DASH for boys and girls

Sonata for the masses and the budget-conscious. It includes watches for both men and women.

SONATA for men and women

Fastrack for the cool and funky fetishes of the youth (girls and boys)while INSIGNIA, STEEL ,NEBULA(Available in 18k gold with leather straps embedded with 'Tanishq

Certified Brilliant Cut Diamonds) and new RAGA DIVA were all aimed at the luxury watches segment.

FAST TRACK for boys FAST TRACK for girls

NEBULA

RAGA DIVA Freya and Isisa

Its brands like BANDHAN were aimed towards couples while EXACTA and SPECTRA towards the common class for office wear.

BANDHAN EXACTA

Designed for men, the all new OCTANE celebrates masculinity and is the perfect blend of style and technology. Its sporty yet urban look is a perfect accessory for the man of independent spirit who seeks to explore new horizons.

OCTANEThe unique designs and price variations enabled it to reach all classes and customers.

Today, the Titan group has its own retail shops throughout the country. One can now see the “World of Titan” in almost every city and town of the India.

Today, Titan has also diversified into the eye-wear market through these retail chains.

Its Titan Eye+ brand is now set to give competition to the established eye-wear companies.

Bases of market segmentation

Titan segments its market on following bases:

a) AGE:-Titan Titan created a sub brand, Fast track. These watches are specifically for young, vibrant, and cool outgoing young generation. While for older person and professional it has created the steel series watches and also the famous, Sonata. For kids it has the Dash range.

b) GENDER :-Titan divides its market based on gender also. In most of the above mentions divisions it has watches for men and women,

girls and boys. It has special watches for men(Octave),women (Raga and Raga Diva),for couples(Bandhan).

c) INCOME :-For luxury segment- Segmentation is done on the basis of income level of a person. Titan offered Insignia and Nebula etc. with price ranges between Rs. 20000 to Rs.1 lakh.

For middle segmentFor middle segment, Titan offered Exacta range in stainless steel, aimed at withstanding the rigors of daily life. There were 100 models in the range. Price ranges within Rs500-700.

For the lower segmentFor the lower segment, Titan offered the Sonata range. The price range was between Rs.350 to 500.

d) OCCUPATION :-Titan offers different watches to students (Fast Track) and office goers (Spectra and Exacta).Thus segmenting the market on occupational basis

e) LIFESTYLE:-Titan offers watch for people of different status. From high class to middle class and lower class.

f)PERSONALITY:-

Titan has a watch suiting every individual’s personality.

g) OCCASION:-This could be another segmentation strategy since Titan has a wide range of watches which could be used as a gift on special occasions.

Conclusion

Thus, we can conclude that Titan has brilliant market segmentation strategy which has covered almost the entire market that too very efficiently. It has definitely carved a world of its own “THE WORLD OF TITAN”

Welcome to café Ritz where we offer you some mouth watering varieties of food and beverages.

Our menu includes a wide range of coffees and teas

COFFEE TEA

Espresso

  Strong black coffee ...no frillsAssam Tea

Espresso Americano   Premium tea from the misty hills of Assam.

 Lighter espresso for mellow moods.

Masala Chai

Macchiato

 For that ethic feel

 

  Espresso topped with milk foam. Lemon 'n Ice Tea

Cappuccino  Chill out

 The hottest selling item, prepared in true Italian style.

Strawberry Ice Tea

Cafe Latte    

 Espresso with milk. A light coffee.

Hot Lemon Tea

Chococinno

 A sinful combo of chocolate ice & hot coffee.

Cafe Mocha

 Hot coffee with a swirl of chocolate.

Irish Coffee

 

Whipped cream tops the flavour of your choice.Plunge deeper and discover light espresso. Ethiopian QahwahDelightfully flavored and aromatic with dark chocolate overtones

   

We welcome kids also to our café since we have special chocolate snacks and beverages for them like Hot Chocolate, Chocó Frappe (frappe +ice cream +choc

sauce), Cold Chocolate in beverages and Banana Chocolate Mousse, Butterscotch Gateaux (100% veg), Black Forest Gateaux, Chocolate /

Walnut Brownie, Cookies(100% veg), Chocolate Fantasy and much more delicacies...

We are well aware of the lifestyles of our customers and thus we offer different sitting areas Music Cafés provide customers with the choice of playing their favourite music tracks on the Digital Audio Jukeboxes installed at the café!

Book Cafés offer the perfect solution to people who think that the coffee experience is incomplete without browsing through the bestsellers or reading a classic.

Lounge cafés combines the style and luxury of a lounge with the lively ambience and comfort of a café.

Garden cafés combine the joy of rejuvenating amidst verdant landscapes and pots of coffee.

Trendy cafés is an sitting area with bean bags and a coffee table for the youth who enjoy home style outings with friends

These are of course just milestones. Do watch out for sports café, singles café, fashion café…

We know the market condition due to the recession thus we have recently introduced different affordable meals for our customers

First class meal - 1 choice of espresso, coffee or tea/2 pieces French toast or cheese sticks/1pieceof assorted pastries or 2 pieces cookies.

Economy meal -1 choice of coffee or tea/toast bread with butter or jam/cheese cake or strawberry pie

Kids meal -1 choice of chocolate drink or any juice/cheese sandwich or fries/chocolate fantasy or Ritz special chocolate cake (100% veg)

We love parties and especially the ones which give us a chance to serve you. Thus we offer special catering services and party halls too. We have the following types of halls for you’ll to celebrate

Party halls – for you to celebrate every special occasion of your life

Meeting rooms – for you to have some time out of the office but still continue with your work

Kids party hall- for the little ones to celebrate special occasions

We understand our kid’s customers too and so have recently added the soft play area where they can enjoy themselves thoroughly.

We ensure our customers an ultimate coffee experience which will last for lifelong…

Bases for market segmentation used by Café Ritz

a) AGE:-Ritz has different goodies for different age groups tea for oldies coffee for youngsters and chocolate drinks for kiddies

b) INCOME:-Our different types of meals ensure that the coffee is not a burden on your pocket.

c) REGION:-We know how much people miss their countries when they live in foreign countries thus we offer regional specialties such as Irish coffee, Ethiopian Qahwah, Assam tea.

d) LIFESTYLE:-We have different sitting areas depending on different lifestyles of our customers Garden areas, Trendy area, Lounge area etc.

e) OCCASSION:-We have special party halls for you to celebrate your special occasions. And also our café gives you the perfect opportunity to take rest from your daily tiring chores and enjoy our vareties.

OUR MISSION