Marketing Management Essay Example | Topics and Well Written Essays - 2000 words

Marketing Management - Essay Example A primary marketing research is needed. What does the customer want, what kind of product, which price is he willing to pay for the particular product and how is this particular customer group going to be approached. Who is the customer, what are his habits, what kind of media does he watch. Why should the customer prefer our business instead of the competitor's. How does s/he like to be served. The answers of these questions will provide the company with valuable info which will help it to gain sustainable competitive advantage. The business London Bites (a takeaway sandwich and snacks shop) is not an innovative one, it does not sell anything exceptional so the customers will not come to it without some efforts from the business side. It also works in a market which is at the maturity stage of the life cycle i.e. competition is intense and there is a strong need for differentiation. This differentiation can be achieved through customer focus. The steps needed to be done for the customer focus are the following: customer research, the information of the research will help to develop the product range and finally customer satisfaction is checked and corrective actions will be taken. Due to its nature, London Bites can go even further and adapt the personal marketing orientation approach i.e. ... Ancillary services like food home delivery should be offered. Due to its nature, London Bites can go even further and adapt the personal marketing orientation approach i.e. the product offerings will be designed for individual customers e.g. offering a wide range of sandwiches that could be prepared in front of the customer based on his/her own preferences. 2. How market segmentation can help this business to operate more effectively Market segmentation is when we divide the market into smaller groups. This is done because all people in the market are not the same. These smaller groups we call them segments. People of each segment are similar to each other i.e. in their preferences, attitudes etc. Due to these similarities it is believed that people will respond the same way to a particular marketing strategy (4Ps). A segmentation in order to be successful it require the segment to be homogeneous and the different segments should heterogeneous among them. The segments have to be stable, measurable, identifiable, accessible and actionable. The segments should also be large and profitable. The variables used for segmentation are the following: geographic (region, climate etc.), demographic (age, gender income, socioeconomic status etc.), psychographic (life-style, personality etc.) and behavioral (benefit sought, product usage rate, brand loyalty etc.) When we combine numerous variables in order to understand in-depth a market segment this is what we call depth segmentation. Market segmentation helps the business understands customers better and therefore target the most profitable and the easier for the business to serve and position the products accordingly. This way i.e. by selecting careful the customers, know their preferences and address to