The purpose of this report is to analyze the data and determine a potential market for the new company’s product – a portable multimedia center called “Media Popup” with an optional additional screen extension. For this purpose, the factors of the supposed target market will be analyzed, and bases for market segmentation determined, and segmentation descriptors will be identified. A marketing mix appropriate for the promotion of this product in the target market will be elaborated.
This product will be sold in the US consumer market, which is one of the largest in the world and is comprised of 329 million people (The World Bank, n.d.). To determine the target market for this product, four factors will be considered: demographics, geography, economic factors, and social values. Geographically, the product may be sold in all states, as it can appeal to people of any nationality, race, and gender. The product may appeal to people with different personalities and motives. Moreover, it may be beneficial for all types of consumers. So demographic segmentation is the most appropriate for this product. Consequently, the following bases for segmenting the market will be considered: age, income, gender, and family lifestyle.
The following identifiers will be used for segmenting the market. As far as age is concerned, the Millennial cohort is the most numerous age group and the most technology-proficient generation ever. Moreover, innovative new products, like the company’s portable multimedia center, appeal to Millennials. People belonging to this age group love experiences and intelligent, authentic products. Consequently, Millennials will be targeted in the company’s marketing mix. From an economic perspective, the product is rather costly. Not all people can afford to spend so much money just for entertainment. So, the target consumers here will be middle-class families.
As far as lifestyle is concerned, the product may appeal to young married or divorced people with or without children. Since the product is rather costly, single people are more likely to afford it, but married couples with children are more interested in it, for it may be used to entertain their kids. As far as gender is concerned, the product may equally appeal to men and women, though men are more likely to be interested in new technologies. The product will be positioned as exclusive merchandise to be more appealing to its potential customers.
Since target consumers for this product are Millennials, influenced in their choice of products be advertisements, advertising will be used to promote the product. The company may use advertising through social networks as the target audience actively uses them, and advertising there is not as costly as at TV. As far as distribution is concerned, the company may distribute it through retailers and small online shops since the target audience is young people and active computer users. It may be distributed through brand shops alike to attract more customers.
After a thorough consideration of geographical, demographic, economic, and social factors, it can be noted that the target market for the company’s product will be middle-class married or divorced people belonging to the Millennial cohort. The multimedia center will appeal to them because they are interested in technology and new development. The product will be advertised through social networks, as the target audience is active computer users. It will be distributed through retailers and small online shops to attract more consumers.
Reference
The World Bank. (n.d.). Population Total – United States [Data set]. Web.