Market Segmentation, Targeting, and Positioning

            Market Segmentation

A segment of a market is a section of the general market with distinctive and specific characteristics.  This is in opposition to the general marketing where the market activities are directed to the general market (Mahnken, 2012). Market segmentation entails tailoring the market depending on the wants and needs of a specific market segment.  In regard to iPhone 6 plus the paper will be discussing on two different market segments which are youths and income.

The youths are the most influential on the growth of a product because of technological advancement adoption.  In the case of iPhone 6 plus the urban boomers are more likely to influence its growth.  Since the product as various applications, cool designs, cool colors, distinct usages, and innovation the youths are more likely to purchase the product.  Given the current rate of applications usage and benefits, the product will offer the necessary expectations to the youths.  Urban boomers can additionally utilize the phone to socialize, play music and access to scholarly materials because of its high speed.  The corporation will continue to pursue its old target market strategy as other market segments such as income and gender cannot be ignored. The youths segments are effective in raising the growth rate since the usability of the product will be increased.

            Youths and Income Segmentation

            According to demographic segmentation of the product age brackets that customers can thus be divided into distinct groups (Mahnken, 2012).  In the situation of iPhone 6 plus age, gender and income have several effects when consumers make purchasing decisions.  Income segment will ensure that individuals from all classes that have the will and capability can get access to the phone. It is obvious that the young individuals are the foremost class of fashion and therefore brain the product to attract the youths will be effective. In regard to gender, men are more likely to adapt to technological advances and changes than women and therefore the product should be developed in both complex and simplified form.

            In the category of psychographic segmentation societal class can thus be described as the segmentation basis.  The market should thus be segmented rooted on distinct opinions, interest, self-images, values, attitudes, personality as well as activities. Different individuals are associated with distinct interest.  Those that are interested are therefore the individuals with the high attitude towards technological advances.  Additionally, individuals from distinct lifestyle and personality will influence the choices. The target for the phone is based on individuals with innovation curiosity and fashionable lifestyle.

The other segmentation should be based on use rate segmentation.  This involves the segmentation of both brand loyalty and status awareness. This implies that the higher the rate of utilization the higher the chances of purchase (McDonald, & Dunbar, 2013).  Consumers can, therefore, be differentiated based on product knowledge. This is because individuals will understand the functionality of products is more likely to purchase the product.  Most individuals will opt for the product because they have prior utilized other products that are similar.  For the youths, benefit segmentation implies that they will acquire more benefits since they are more involved with Apps and socialization.  Convenience, designs, applications ranges are bound to attract the youths more (McDonald, & Dunbar, 2013).

            Positioning Strategy

            In the iPhone 6 plus scenario pricing and competing strategies can be altered. The product is highly priced thus reducing the chances for individuals from the middle class to purchase the product. Lowering the product price will ensure that individuals from all income brackets with the will and capability and able to access the product. This can involve lowering the number of application and several features.  The design of the product can also be transformed to suit the different prices without removing the suitability.  In competing with distinct phone products the phone is necessitated to add several features to overcome competition.

 

 

 

            References

            Mahnken, T. (2012). Competitive Strategies for the 21st Century: Theory, History, and Practice. Palo Alto: Stanford University Press.

            McDonald, M., & Dunbar, I. (2013). Market segmentation: How to do it, how to profit from it. Chichester: John Wiley & Sons.