3-1 Discussion Market Segments PDF

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3-1 Discussion: Market Segments Hello, My chosen zip code is 97007 (Beaverton, OR). It is the suburb of Portland. The commute to Portland downtown could vary from 30 minutes to one hour. The area has a feeling of a small town with big town amenities that is very up and coming thanks to the nearby located newly expanded NIKE headquarters. People who live here tend to be more progressive and green with a healthier lifestyle. Young Digerati: Their average household size is 3. Age ranges are 35-54 and median household income is $113,995. Geographic: Young Digerati consumers live in the suburbs of a large city in a more familyoriented neighborhood. They don’t mind the long commute to get to work in the city. They live in single-family style houses that they own. Demographic: Young Digerati: consumers are middle-aged, well-educated, career professionals with a great yearly median household income of $113,995. They are mostly married couples with at least one child who is school aged. They work in the fields of science, law, technology and finance. They have investment in stock markets and 401(k)s. They are mostly white with 78%, the second largest ethnic group is Asian Americans with 12%. Psychographic: Young Digerati: consumers have an upscale lifestyle they are pride to show off with their new and renovated big houses and several cars. They tend DIY small home improvement projects (Home Depot, Bed Bath & Beyond), but contract out the bigger renovations. They are well-educated, career and goal oriented, but they also prefer family life. Their life is well-organized, and routine is key to balance their career and family lives. They like to invest into the stock market. They read financial magazines and browse banking transaction websites. Because of their busy and professional lifestyles, they prefer shopping online (Amazon.com). They like to travel and have loyalty programs with airlines/ hotel chains. They also have a healthy lifestyle (gym and spa visits). Housewives tend to read home improvement, cooking and lifestyle magazines. They are tech savvy (newest tech gadgets). Strategy: Young Digerati consumers make up a relatively small market segment (1.6% of the U.S. households), but they are very attractive to our TruPet marketing strategy for several reasons: Due to their residences (large house and big yards), they tend to have one or more pets in the household. They might not make up a big population, but their stable financial situation allows them to buy the more expensive pet food option and to stay a loyal costumer for a longer time. Their healthy lifestyle indicates that they pay attention on the ingredients and sources of the foods for themselves and their pets which is fits to our healthy and clean pet food product. They live in an upscale, suburb location where specialty stores (pet food stores, upscale grocery store) are present. They are well informed due to their tech savvy nature and lengthy internet usage.

To target these consumers, we need to reach out to them using different advertisement channels: via direct mail, health and upscale magazines, late night TV ads, but most importantly online/social websites. We should consider partnering up with local upscale grocery stores, other pet food stores and Amazon.com to widen the distribution and availability of TruPet. Soccer Moms (15.3% of the zip code): Their average household size is 2.97. Their median age is 37 and median household income is $90,500. Geographic: Soccer Moms live outside a more residential, suburban areas around a bigger city. The proximity to a metropolitan location is important to reach the big city amenities and commute to professional job centers. They live in single-family style houses in newer neighborhoods. Demographic: Soccer Moms are middle-aged, well-educated (72% with some college) and family-oriented consumers. They are married couples with children. Their median income is $90K. They have a high rate (68%) of mortgages and auto loans, but also savings, insurances and bonds. They work in management or administrative positions, healthcare or education. They are 78% Withe, 11.7% Hispanic and 8.7% African American in this area. Psychographic: Soccer Moms are affluent and live a family-oriented lifestyle. Due to the suburban calm lifestyle, their lives are less hectic and focused on raising children. They prefer time-saving devices (smart phones), apps, websites (online banking, online pay bills and shopping) that make their lives more convenient. They seek family oriented and outdoor activities like: outdoor sporting events, parks and zoos – and indoor activities like watching rented/bought movies or TV shows. Their purchases are also family oriented with large grocery, child apparel and toys purchases. They like to spend their weekends on improvement projects around the house. Strategy: Soccer moms make up about 2.8% of U.S. households which is not significant, but they are also very attractive market segment to our new pet food product, TruPet. Considering their family-oriented, suburban lifestyle with larger homes, they tend to own one or more pets. They make larger purchases for their family which indicates that they go to big-box stores. They also like online shopping. Our goal is to partner up with local big-box stores to distribute TruPet there. Also, our product will be available on Amazon.com website for fast and convenient accessibility. They associate purchases with the value of the product, so it is important to stress the benefits of our new pet food product. We can reach out to “soccer moms” in different ways: primetime TV ads (lifestyle and news channels), social media websites, YouTube and home improvement websites and magazines.

https://sproutsocial.com/insights/data/q1-2017/ https://www.packagedfacts.com/Millennials-Pet-Consumers-9858011/

https://claritas360.claritas.com/mybestsegments/#segDetail/PZP/04 https://factfinder.census.gov/faces/nav/jsf/pages/community_facts.xhtml...