Free Essays

Market segmentation

MOUNTAIN DEW
Introduction
Mountain Dew (also known as Mtn Dew as of late 2008) is a soft drink distributed and manufactured by PepsiCo. The main formula was invented in Knoxville, Tennessee, named and first marketed in Knoxville and Johnson City, TN in the 1940s, then by Barney and Ally Hartman, in Fayetteville, North Carolina and across the United States in 1964.When removed from its characteristic green bottle, Mountain Dew is bright yellow-green and translucent.

As of 2007, Mountain Dew was the fourth-best-selling carbonated soft drink in the United States, behind only Coca-Cola Classic, Pepsi-Cola, and Diet Coke. Diet Mountain Dew ranked ninth in sales in the same year.

In the early 1950s the formula of Mountain Dew was flopped then in 1960s the formula of mountain dew was updated by adding more sugar, more caffeine and orange flavor into it.

Marketing Segmentation
Mountain Dew has divided up the total market into distinct subsets of customers with common needs or characteristics, so following are some marketing segmentations that Mountain dew has made.

Demographic Segmentation
Generation
As Mountain Dew is launched as energy drink so it is segmented demographically for the young generation interested in outdoor games the X-Generation.
Income
Mountain dew is mostly low cost beverage so any body can buy it so its price is affordable for the youngsters.
Gender
Mountain dew is mostly segmented its product for the young boys because it is an energy drink which motivates young boys.
Age
According to the age and group Mountain dew is mostly targeted to the young teenagers. This beverage is segmented to all social classes. Life Cycle
Mountain dew segments its product to young singles and teenagers.

Occupation
Mountain dew mostly segmented its market to the school and college going students.
Religion
Mountain dew is segmented for every religion.
Geographic Segmentation
Mountain Dew is geographically segmented into many areas the most consumption of Mountain dew is in the areas of United States, Africa, North America, and Middle East.
So overall Mountain dew has geographically segmented its product to U.S And Middle East. Mountain dew exported from its main head office in United States to different areas in bulk.
Psychographic Segmentation
Personality
Mountain dew has segmented its product for the daredevil personality the generation X.
Motivate
It motivates the youngsters the teenagers of the young generation who have the ability do something there are many slogans of Mountain Dew like;
“DEW OF DIE”
“Think Young Drink Young”
“Give Me a Dew”
“Get That Barefoot Feelin’ Drinkin’ Mountain Dew”
“Do the Dew”
So these are some of the slogans that may motivate the youngsters of today.
Lifestyle
Mountain Dew segmented its product to the people who are leading a sport oriented lifestyle.
Behavioral Segmentation
Mountain Dew first analyzed the demography and other variable and then made the behavioral segmentation on research basis the
behavioral factors of people is to enjoy fitness activities not as means for healthy life, nut as an intrinsically enjoyable activity itself. People are
interested in sport activities so targeting the behavior and attitude of the people and the upcoming generation Mountain dew segmented its product and provided an energy drink which could motivate the young generation for involving in such activities.

Mountain Dew segmented behavioral segmentation into further sub portions.
Benefits
Mountain dew could gain benefit because its product is low cost and easily available and has more sale quantity and is consumable more. User status
As the new generation is mostly interested in sports activities so the youngsters are attracted to the energy drinks that could motivate them. So there is a chance that their would be potential users of Mountain Dew.

Usage Rate
As the mountain dew is not as popular as coke and Pepsi so it has medium usage rate because Pepsi and coke can be used by people of every group age and gender so it is more popular so in this sense mountain dew is mostly popular in youngsters.

USE-RELATED SEGMENTATION
Use rate: Mountain dew has light users because it is new in market and has a unique flavor as compared to coke and Pepsi.
Awareness status: Mountain Dew is targeting young generation so that’s why it has enthusiastic users because mostly customers are looking for new and unique flavor.
Brand Loyalty: Mountain dew has some loyal customers because it has many senior competitors like coke, Fanta, Pepsi etc
USE-SITUATION SEGMENTATION
Time: rush
Objective: personal people use dew personally as they think it as an energy drink, which makes you more motivated and active.
Person: self, friends
BENEFIT-SEGMENTATION
Mountain dew provides targets its market segmentation on basis of convenience sampling system people can take Mountain dew where

ever they want like in ads they go for hiking on mountains, they go for motor boat racing etc.
HYBRID SEGMENTATION
Mountain Dew use Psychographic-demographic segmentation in
hybrid segmentation scheme. Company aware the people about the product by advertising its campaigns on media.

McDONALDS
INTRODUCTION
McDonald’s Corporation is the world’s largest chain of hamburger fast food restaurants, serving nearly 47 million customers daily. At one time it was the largest global restaurant chain, but it has since been surpassed by multi-brand operator Yum! Brands (KFC, Taco Bell and others) and sandwich chain Subway. McDonald’s primarily sells hamburgers, cheeseburgers, chicken products, French fries, breakfast items, soft drinks, milkshakes, and desserts. In response to obesity trends in Western nations and in the face of criticism over the healthiness of its products, the company has modified its menu to include healthier alternatives such as salads, wraps and fruit. MARKETING SEGMENTATION OF MCDONALDS

DEMOGRAPHIC SEGMENTATION
Life cycle
McDonald’s has targeted children, youth singles and the young urban families.
McDonald’s is attracting the young urban families wanting to spend some quality time while their children have fun at the outlet Age
Mostly youngsters and kids are target, so to attract children McDonalds has Happy Meal with which toys ranging from hot wheels to various Walt Disney characters are given.
At several outlets, it also provides special facilities like ‘Play Place’ where children can play arcade games, air hockey, etc.
Mostly target is under age 5-6, 12-15, 15-20 and over.
Gender
McDonalds have segmented its services to males as well as females. Occupation
McDonalds has mostly segmented its market to the school and college going
students.

Income
McDonalds has targeted mostly middle class and upper class urban families who can afford its luxury meal.

Psychographic segmentation
Needs-motivation: The luxury services of McDonalds fulfill the needs of self worth.
Personality: McDonalds mostly segments is market to extrovert people who usually hang out with friends and family in restaurants and other enjoyment places.
Motivation slogans: McDonalds provides motivative slogans to attract its customers and make a good image in the minds of the customers like
“IM LOVING IT”
“EVERY TIME A GOOD TIME”
“PUT A SMILE ON ”
“ENJOY MORE”
“MY MCDONALDS”
“WHAT YOU WANT IS WHAT YOU GET”
These are one of the famous slogans of McDonalds through these slogans McDonalds is attracting its customers and making a good image in the minds of the customers, McDonalds has segmented on basis of making relationship with the customers and making them believe that they are on the rite place.

Geographic Segmentation
Region
In Pakistan McDonalds is giving its services in Lahore, Karachi, Islamabad, Quetta, and Faisalabad and world wide McDonalds is giving

its services to almost more than 40 countries the main host of McDonalds is New York.
USE-RELATED SEGMENTATION
Use rate: medium users
Awareness status: mostly people are aware of McDonalds and are interested to
have services of McDonalds.
Brand Loyalty: McDonalds have strong loyal customers.
USE-SITUATION SEGMENTATION
Time: leisure
Objective: fun
Person: self, family members, friends, peer
BENEFIT-SEGMENTATION
McDonalds provides luxury meals which have value of money.
HYBRID SEGMENTATION
McDonald’s fast food chain (Service company) uses hybrid
segmentation rather then relying on single segmentation base. In psychographic and demographic profiles McDonalds gets powerful information about the people, their thinking pattern and lifestyle. As a result they advertise their campaigns according to the people lifestyle pattern and reach its target customer effectively.

Moreover McDonald using Geodemographic segmentation and they advertise campaigns through Direct-mailing, Local Cable networks, school, colleges, universities, etc. by this they know about the lifestyle of people by grouping based, by Credit-cards (get information about customer and get to know about his neighbors)

REFERENCES

http://en.wikipedia.org/wiki/McDonald%27s
http://www.slideshare.net/kenonizuka/mc-donalds-slides-draft-5presentation http://www.listafterlist.com/tabid/57/listid/8189/Food+
+Dining/McDonalds+Slogans+over+time.aspx