The market segmentation strategy for the manufacturer of the washing machine - Essay Example

Marketing: Market Segmentation The market segmentation strategy for the manufacturer of the washing machine targeting the “Silver Market” orthe Baby Boomers’ market would take the following form (Kahn, 2005). 1. Target marketing process Susan Ward defines target marketing as “breaking a market into segments and then concentrating your marketing efforts on one or a few key segments” (Ward, 2009). Thus target marketing involves splitting the market into manageable segments. The choice as to which market segment is to be focused on depends on the manufacturer’s requirements. Many writers have suggested a variety of approaches to understanding the target market process. a. Identifying the specifics about the target market. When making an effort to identify the characteristics of the target market demographics such as age, age group, gender, marital status, location of the business, incomes of consumers and their preferences matters (Kotler, 1976). Next psychographics such as cultural values, mores, lifestyles, tendencies, propensities, choices and personal concerns matters. In the same way the kind of industry and typical market structure matter. In this instance the industry is the white goods manufacturing industry and the market structure is oligopolistic in nature (Bonoma & Shapiro 1984). The latter means there are only a few sellers or rather brand names. Other specifics include what kinds of regulations are applied to the industry by authorities. For instance consumer electronics and electrical goods industry is subject to EU regulations that seek to ensure minimum safety standards. The incorporation of these safety measures would require a lot of research work and costs. Thus the target market would be approached with a greater degree of conviction and certainty (Smith, 1956). b. What is to be carried out by the firm in the chosen target market? Next in the target marketing process the firm must identify certain actions to be performed in the chosen target market. For example surveys will have to be carried out and questionnaires given to potential customers to determine the customers’ likes and dislikes. Product samples would have to be given out in order to determine the potential customers’ response. Different types of market segments have different types of customer proclivities (Beane & Ennis, 1987). For instance the Silver Market with those Baby Boomers born between 1946 and 1964 might need to be investigated with greater focus on its psychological ramifications concerning the demand for washing machines. In fact Baby Boomers are highly influenced by the “technology gap”. c. Defining the process The final step involves the setting down of guidelines or principles. In other words it’s the step that requires defining methodology. The company might adopt a well tested formula in this stage to serve its customers. It’s here that the company focuses on its core resource capabilities to identify the potential approach to customers. The Silver Market requires to be approached with caution because washing machines come in different brands and all those manufacturers have been involved in some form of marketing effort in this market segment (Buil, de Chernatony & Hem, 2009). Therefore it’s possible that a new entrant into the market would have to face some problems related to attitudes. 2. Describe the segmentation process and the bases for segmentation. Silver market segment for white goods such as LCD television sets, laptops and washing machines comes under demographic segmentation. The other most common two market segmentation strategies are the geographic segmentation and psychographic segmentation (Assael & Roscoe, 1976). a. Demographic segmentation strategy Demographic segmentation refers to the practice in which the company focuses on age, gender, marital status and similar characteristics. It’s the most popular strategy or basis for segmenting the market though its complicated nature at times necessitates fist hand information about customer behavior (Elrod & Winner, 1982). While variables associated with demographics can be easily obtained and the related metrics would readily lend to interpretations, there is still a very demanding process of data gathering and storage to be retrieved when needed for a variety of purposes such as cross checks and extrapolation studies. Consumer demographics also involves age and lifecycle studies. For instance the Silver Market has consumers who were born as far back as 1946, i.e. just after the WW II and still they have memories of a flatter economy then. Their lifecycle has begun to reach the last phase of decline. Demographic segmentation has also some far reaching consequences for the whole marketing campaign of the average company. While very few strategies might be adopted by a company in demographically segmented markets, the outcomes related to the whole marketing process would be diverse and complicated for the sole reason that the lifecycle centric approach demands tracking the customer’s changing needs and accordingly mapping the future requirements (Christopher & Ballantyne, 1991). b. Geographic segmentation Geographic segmentation is based on identifying the market according to its geographical characteristics. For example the West End of London is more affluent than any other part of London. Similarly, Baby Boomers who are mostly pensioners now might not live in affluent neighborhoods in large numbers. A company that is going to sell washing machines locally might identify these segments where they are more likely to occur and then target those potential consumers (Kamakura & Russell, 1989). Thus one of the most inevitable outcomes would be that the company would concentrate on the suburban segments where there are many such people living. c. Psychographic segmentation Psychographic segmentation is based on such characteristics as cultural values, societal mores, attitudes, interests and lifestyles. A company seeking to market a washing machine among Baby Boomers would focus its attention on one or more of these characteristics in order to successfully create a niche market capability (Fennell, Allenby, Yang & Edwards, 2003). Psychographic segmentation is essentially connected with the evolving personality and thus the firm might target the most vulnerable character traits of the target group. In fact the Baby Boomer Generation requires not demographic segmentation but psychographics segmentation because the evolving personality is associated with time and not space. Baby Boomers are scattered in every part of the world. Therefore it’s pertinent to know how they have been varying their purchasing habits over the years and how they would respond to modern changes in marketing as adopted by new market entrants. Psychographic segmentation is very important in respect of the unknown behavioral patterns rather than the known ones (Frank, 1967). 3) Critically analyse and evaluate the selected target group A considerable amount of attention has been focused on what root causes underlie the type of behavior among an increasing number of Baby Boomers in purchasing and using consumer electronic and electrical products; the determination of their behavior in this manner; addressing the questions how do they get hooked on these products?; in which context, when and where do they find them to be necessary in addition to their daily routine?; and who are these consumers, i.e. consumer typology? In other words what theoretical constructs and empirical evidence would be required to build up the contingency model for the study of this behavioral tendency among Baby Boomers, including their socio-economic and cultural backdrop? (Sudbury & Simcock, 2009). This researcher was influenced by the existence of a clearer growth pattern of the purchasing behavior of those consumers particularly in the UK. An increasing number of Baby Boomers have been profiled by firms selling electronic and electrical goods. The theoretical constructs that have been studied increasingly in this respect are based on psychographic segmentation strategies while demographic segmentation strategies have also been used. However, as noted earlier, psychographic segmentation strategies are the most appropriate for this market segment (Cherón & Kleinschmidt, 1985). Strategic marketing initiatives related to psychographic profiling of customer segments such as Baby Boomers are highly characterized by typical characteristics-based approaches. Contingency frameworks of analysis that in turn are based on exogenous and endogenous variables are just near approximations of these strategic perceptions of consumer behavioral patterns. Thus the causative a priori elements that underlie these models are less likely to be focused on the dynamic psychographic variants as found in the UK market for washing machines (Doyle & Saunders, 1985). These variants are particularly concerned with Baby Boomer purchasing behavior and therefore structural dynamism of the market matters much more than any other variable. Behavioral tendencies of Baby Boomers haven’t been profiled with any success so far though there have been a few serious studies particularly in the US on the subject that delineate the correlations between and among variables to draw some highly significant conclusions on an otherwise difficult to understand phenomenon. The primacy and immediacy of modern lifestyles in the developed world in particular and the developing world in general are basically determined by a series of endogenous and exogenous factors. The Silver Market has not been an exception to this rule (Day, 1980). Among endogenous factors attitudes and family life occupy a very important place while exogenous factors include social, economic and cultural transformation. The Silver Market as it is with intricate social, economic and cultural interlinks acquires a modern dimension in purchasing habits in general and technology consciousness in particular among an ever-rising influential middle class. It’s against this backdrop that the current study would focus attention on the primacy and immediacy of lifestyles and associated concerns about transformation (Kahn, Morrison & Wright, 1986). The psychological dimension of the study would focus on the attitudinal perspectives of Baby Boomers nowadays on the need to look smart in purchasing decisions. Expensive lifestyles are not necessarily determined through a priori behavioral patterns. Neither do they occur as a result of predetermined individual choices. In fact they are the outcomes of contingency living, i.e. a random emergent process of evolution in lifestyles and technology consciousness. In fact it’s the inevitable response to extraneous socio-economic pressures (Davidson, 2009). The rising demand for new more efficient electronic and electrical gadgets is just the inevitable outcome of these collective behavioral tendencies. Baby Boomers’ response to these catalytic processes is quite the norm-based economic behavior that presupposes the existence of an awareness that technology brings about a change in lifestyles at much lower cost than otherwise is desirable. 3.1. Demographic segmentation-based analysis The demographic characteristics of the Silver Market are essentially determined by the age related convergence/divergence patterns of Baby Boomers (Kalyanam & Putler, 1997). In other words demographics of the Silver Market is basically centered on the primary correlation between the age and the income. Assuming a greater percentage of pensioners and social benefits recipients among Baby Boomers in the UK, the inevitable conclusion is that their incomes have a greater impact on the purchasing decisions. There is a secondary correlation between age and purchasing decisions though. It’s a fallacy to assume that demographic segmentation alone plays a decisive role in determining the Baby Boomers’ demand patterns. In fact age does not acquire a uniform characteristic in the process. For instance according to a recent study on demographic segmentation strategies, age related dimensions are not obvious enough for distinct interpretations (McKenna, 1988). Demographic segmentation of the market is also highly influenced by the existing socio-economic variances. For instance apart from the impact of lifestyles on purchasing habits socio-economic situations also would affect the purchasing decisions of Baby Boomers. If the Silver Market were targeted at a rising rate based on the available market statistics, then the Baby Boomer population would inevitably play a very significant role in influencing the production decisions of firms (Grover & Srinivasan, 1987). Washing machines are considered to be semi-luxurious by some and essential by others. The current literature on the subject has also been concerned with the problem of ageing population in Britain. Despite the fact that Baby Boomers are increasingly being marginalized economically there is a considerable amount of debate on the government’s rising social benefit package (Trout & Rivkin, 1996). The British government in particular and other EU member country governments in general have not failed to cushion the dependent population above 65 at an ever increasing rate. The net result is seen in somewhat inflated government budget deficits. In fact the rising figures among the Baby Boomer population have forced EU member country governments to adopt social security benefit programs far above what can be condoned as acceptable under target inflation policy measures. Manufacturers of electronic and electrical goods have invariably realized the significance of the demand patterns of Baby Boomers as specifically determined by the age factor (Wedel & Kamakura, 2000). The theoretical and conceptual frameworks used to build contingency models to explain the behavior of endogenous and exogenous variables concerning the Baby Boomers purchasing behavior cannot be particularly applied to understand the demand patterns for washing machines. According to the definition of Silver Market the minimum age for the average Baby Boomer is 45 while the maximum age is 63. According to this definition and the statistics available for the year 2007 in the UK roughly there are 24 million Baby Boomers. According to projections for 2033 this figure would be much higher coming closer to 28 million. The retirement age for men is 64 while for women it is 59. As a result the demographic element in targeting Baby Boomers for washing machines can be regarded as one of the most effective marketing strategies for new firms (West, Fulford, Reed, Story & Saker, 2008). But nevertheless the purchasing capacity of each sub group is determined by the level of unemployment and social security benefits paid by the government. In times of an economic recession it is natural for those above 45 to be unemployed in large numbers. The only category of employees whose skills are in demand will be those doing white collar jobs such as teachers, accountants, bankers and engineers. The demographic factor is also influenced by the net migration figure i.e. the number of immigrants versus the number of emigrants. In fact in the UK the number of immigrants has fallen for the first time between 2008 and 2009 due to both the global economic downturn and tougher immigration policies adopted by the government (Wind, 1978). These variables would definitely have a substantial impact on the demand for washing machines. However it must be noted here that the British government in particular and other governments in general do not encourage Baby Boomer immigrants unless they are highly qualified. 3.2. Psychographic segmentation based analysis Psychographic segmentation is considered to be the most significant basis for the Silver Market primarily because Baby Boomers are highly influenced by a desire to catch up with the technology gap between them and the younger generation. Thus lifestyle based approach to psychographic segmentation analysis is probably the greatest approach in understanding the demand patterns for washing machines by this particular age group (Dennis, 2006). In fact according to statistics the tendency to buy a new technical gadget by a Baby Boomer is determined by three factors. They are psychological reasons, social reasons and economic reasons. Psychological reasons include the so called desire to keep up with the Joneses. A few recent surveys point out that the Baby Boomers’ demand patterns tend to form a histogram which is skewed to the right in favor of upwardly mobile social classes such as highly paid executives. This trend can be attributed to the strong motivation associated with the psychological phenomenon of conspicuous consumption. In other words they have a tendency to buy Veblen goods even though washing machines do not come under the category of Veblen goods (Dickson & Ginter, 1987). Strictly speaking Veblen goods are those highly expensive little needed luxury goods such as diamonds. However washing machines when purchased by Baby Boomers acquire an identical dimension for the sole reason that they are purchased on credit which is diminishing in amount and rising in cost (e.g. high interest). Social factors that these researchers have identified include increasing assertion of independence and a very strong desire to purchase utility goods. In the first instance when Baby Boomers purchase goods like washing machines there is a strong desire to be independent and as a result the demand for such goods has increased. On the other hand those high utility goods such as washing machines, LCD television sets and 3G mobiles have also made an impact on the purchasing decisions of Baby Boomers (Gupta, 2005). In other words attitudes play a big role in their purchasing decisions. Attitudes are subject to change but nevertheless they remain constant overtime till new ones take their place. Economic factors include the relative value for money concept. For example economically a washing machine in the eyes of a Baby Boomer represents an economic asset that would save time and energy. However, as already pointed out above, the age group between 45 and 64 is less likely to be hired by employers on the first interview because many blue collar jobs don’t need special skills. As for white collar jobs only those skills in great demand would enable Baby Boomers to land a well paid appropriate job. Therefore it is obvious that economically speaking Baby Boomers are influenced by a strong desire to save on time and money. Further there is another economic consideration. For instance Baby Boomers have a tendency to purchase private insurance policies on their own. This needs a continuous stream of monthly contributions. Such financial obligations based on term payments can be successfully met when time is saved by purchasing a washing machine (Jarvis, Rungie, Goodman & Lockshin, 2006). Thus their demand patterns for washing machines are essentially determined by the degree of necessity to save time here in order to make more money there. This economic proposition is said to be much stronger than many other concerns. This argument has been put forward by some market analysts as a stage of transformation that ultimately leads to copied lifestyles. In the literature on the subject of psychographic segmentation of markets, lifestyle argument is probably the most articulate and analytically incisive (Gordon, 1989). For example behind the purchasing decisions of Baby Boomers a particular trend has been noticed, viz. that they make their purchasing decisions taking in to consideration the type of lifestyle that they would desire as against what they have now. Indeed this is common to all age groups including those between 5 and 10. However such age groups might not be able to clearly define their needs. The theoretical and conceptual contingency model is based on these outcomes. The above variables have been delineated on the line of a qualitative shift in the socio-economic circumstances of Baby Boomers. This qualitative shift is characterized by both an upward mobility and a lateral divergence from the established purchasing behavior (Collins, 1971). However the technology argument mentioned above presumes that Baby Boomers have been influenced by an equal desire to keep up with changing times. Norm-based behavioral tendencies concerning buying habits as displayed by Baby Boomers in Europe and elsewhere have been subject to analysis over the years ever since their purchasing power parity (PPP) showed a marked improvement. 3.3. Geographic segmentation-based analysis As it has already been pointed out some researchers have focused greater attention on demographic segmentation in analyzing the trends in the Silver Market (McKenna, 1991). This is based on a wrong conclusion. Similarly even a geographic segmentation based analysis of the Silver Market to study the possible buying patterns for white goods in general and washing machines in particular can be of little relevance. Despite this it is essential to consider how Baby Boomers are concentrated in the UK and elsewhere. For example as already pointed out Baby Boomers have reached a phase of decline and therefore their earning capacity has reached a peak with imminent decline in performance for those who born closer to 1946. On the other hand those who were born closer to 1964 are more likely to experience a little more demand for their skills. Thus the former category of Baby Boomers are less likely to live in posh neighborhoods like the West End in London due to their economic incapacity while the latter category of Baby Boomers are equally unlikely to fritter away their savings on posh living. This argument is in fact based on a generalization of the economic behavior of individuals. Therefore hard and fast conclusions about geographic segmentation of the Silver Market cannot be made. Many scholars on the subject have pointed out that for any firm intending to market new products such a segmentation strategy is less likely to produce substantial gains (Johnson, 1971). 4. Recommendations In conclusion it must be stated that the Silver market in the UK has to be targeted by using mainly psychographic segmentation strategies. One such strategy would be to focus attention on the ever increasing tendency among Baby Boomers to depend on technology for economic gain. In fact this aspect has received much less attention from marketers. Modern day marketing strategies based on targeting the Baby Boomer segment are determined by the extent to which the average firm is able to capture a niche market and keep it in the future (Cook, 2007). Basically the washing machine manufacturer must adopt a psychographic segmentation strategy based on the Baby Boomers’ preference for high tech gadgets. In other words an ordinary washing machine boasting about versatility is less likely to be in greater demand in the Silver Market. In the first place the washing machine is a utility good and therefore the economic principle says that utility goods tend to be in greater demand only during specific time periods in the life cycle of the consumer while at other times the demand tends to be general. Changing lifestyles have been cited as one of the most promising in the psychographic segmentation process for a producer launching a new product. However changing lifestyles have to be studied with reference to a high-pitched sales campaign targeting the Silver Market. The campaign strategy ought to be focused on the psychographic elements especially such things as Baby Boomers’ preference for time saving gadgets. Product specifications in the media campaign must be given priority above others. The choice of the media must be made with reference to cost and effect on the audience. For instance prime time television slots for advertising can be more effective in big cities (Andrews, 1989). Similarly news papers and magazines could serve as a better medium to approach the Silver Market. However it must be noted that internet based advertising campaigns have a better chance of success nowadays. Viral marketing in which a single email message is sent out to multiple recipients at one and the same time is less costly and more effective. Similarly advertising on search engine portals like Yahoo and Google is much more effective though it can be costly because repeat postings require more money (Belch & Belch, 2004). Advertising in e-zines can be equally effective in cost and effect. In fact it has been well known that many Baby Boomers subscribe to e-zines online. The product positioning strategy of the washing machine manufacturer must be based on the following approach. The product placement can be carried out within London and other big cities in the UK for example big cities like Birmingham, Liverpool and Manchester have sizable concentrations of Baby Boomers. The washing machine manufacturer would be able to adopt a completely different philosophy that places emphasis on the functional smoothness and facilitation of otherwise difficult-to-learn simple tasks like drying and re-drying for the Baby Boomer folks. This methodology approach would enable the company to focus on the essentials of the approach rather than haphazardly target the selected segment (Eckrich, 1984). The pricing strategy must be based on market penetration and psychological pricing simultaneously. Market penetration pricing strategy requires the seller to adopt a cost plus pricing approach so that he will be able to sell a greater number of units in the long run. Washing machines come in various sizes and capacities and therefore for a strategically advantageous approach the manufacturer should not think of making big profits in the short run. Keeping a margin on sales would be the best pricing strategy in the short run due to the prevailing stiffer competition (Monroe, 2003). Finally a set of market based metrics can be used to review the success of the whole media campaign. For instance sales volumes and net profits can be used to identify how the overall media campaign has been performing over a certain period of time (McDonald & Dunbar, 2004). As for the maintenance of a company website, the number of clicks or visits can be taken as a measurement to determine the relative success of the campaign. As for advertising in newspapers and magazines the number of inquiries can be taken as a common measure of the success of the media campaign. The same principle can be applied with regard to television advertising. It is obvious that Baby Boomers are still in the economically active age group between 45 and 64 and therefore would definitely have an impact on the demand patterns for washing machines. REFERENCES 1. Assael, H & Roscoe, AM 1976, ‘Approaches to market segmentation analysis’, Journal of Marketing, vol. 40, no. 4, pp. 67-76. 2. Andrews, JC 1989, ‘The dimensionality of beliefs toward advertising in general’, Journal of Advertising, vol. 18, no.1, pp. 26-35. 3. Beane, TP & Ennis, DM 1987, ‘Market segmentation: a review’, European Journal of Marketing, vol. 21, no. 5, pp. 20-42. 4. Belch, G & Belch, M (ed.) 2004, Advertising and Promotion: an integrated marketing communications perspective, McGraw-Hill/Irwin, New York. 5. Bonoma & Shapiro 1984, Segmenting Industrial Markets, Lexington Books, Maryland. 6. Buil, I, de Chernatony, L & Hem, LE 2009, ‘Brand extension strategies: perceived fit, brand type, and culture influences’, European Journal of Marketing, vol. 43, no. 11/12, pp. 1300 – 1324. 7. Christopher, P & Ballantyne 1991, Relationship Marketing: Bringing Quality, Customer Service and Marketing Together, Butterworth Heinemann, Oxford. 8. Cherón, EJ & Kleinschmidt, EJ 1985, ‘A review of industrial market segmentation research and a proposal for an integrated segmentation framework’, International Journal of Research in Marketing, vol. 2, no. 2, pp. 101-15. 9. Cook, GR 2007, ‘Marketing to Leading Edge Baby Boomers: Perceptions, Principles, Practices, Predictions’, Journal of Consumer Marketing, vol. 24, no. 7, pp.447- 448. 10. Collins, M 1971, ‘Market segmentation: the realities of buyer behavior’, Journal of the Market Research Society, vol. 13, no.3, pp. 3-14. 11. Doyle, P & Saunders, J 1985, ‘Market segmentation and positioning in specialized industrial markets’, Journal of Marketing, vol. 49, pp. 24-32. 12. Day, G 1980, Strategic Market Analysis: Top-down and bottom-up approaches, Marketing Science Institute, Cambridge. 13. Davidson, EF 2009, ‘Unintended consequences of race-based segmentation strategies’, Journal of Consumer Marketing, vol. 26, no. 3, pp. 141-142. 14. Dennis, C 2006, Lifestyle Market Segmentation (Haworth Series in Segmented, Targeted, and Customized Market), Routledge, New York. 15. Dickson, PR & Ginter, JL 1987, ‘Market Segmentation, Product Differentiation, and Marketing Strategy’, Journal of marketing, vol. 51, pp.1-10. 16. Eckrich, DW 1984, ‘Benefits or problems as market segmentation bases’, Journal of Advertising, no. 2, pp.57-9. 17. Elrod, T & Winner, RS 1982, ‘An empirical evaluation of aggregation approaches for developing market segments’, Journal of Marketing, vol. 46, pp. 65-74. 18. Fennell, G, Allenby, GM, Yang, S & Edwards, Y 2003, ‘The effectiveness of demographic and psychographic variables for explaining brand and product category use’, Quantitative Marketing and Economics, vol. 1 no.2, pp. 223-44. 19. Frank, RE 1967, ‘Is brand loyalty a useful basis for market segmentation?’, Journal of Advertising Research, vol. 7, pp. 27-33. 20. Grover, R & Srinivasan, V 1987, ‘A simultaneous approach to market segmentation and market structuring’, Journal of Marketing Research, vol. 24, pp. 139-53. 21. Gupta, S 2005, Managing Customers as Investments, Wharton School Publishing, Pennsylvania. 22. Gordon, I 1989, Beat the Competition: How to Use Competitive Intelligence to Develop Winning Business Strategies, Basil Blackwell Publishers, Oxford. 23. Jarvis, W, Rungie, C, Goodman, S & Lockshin, L 2006, ‘Using polarization to identify variations in behavioral loyalty to price tiers’, Journal of Product & Brand Management, vol. 15, no.4, pp. 257-64. 24. Johnson, RM 1971, ‘Market segmentation: a strategic management tool’, Journal of Marketing Research, vol. 8, no.1, pp. 13-18. 25. Kamakura, WA & Russell, GJ 1989, ‘A probabilistic choice model for market segmentation and elasticity structure’, Journal of Marketing Research, vol. 26, pp. 379-90. 26. Kahn, KB (ed.) 2005, The PDMA Handbook of New Product Development, 2nd edn, John Wiley & Sons, New jersey. 27. Kahn, BE, Morrison, DG & Wright, GP 1986, Aggregating individual purchases to the household level’, Marketing Science, vol. 5, no. 3, pp. 260-8. 28. Kalyanam, K & Putler, D 1997, ‘Incorporating demographic variables in brand choice models: an indivisible alternatives framework’, Marketing Science, vol. 16, no. 3, pp. 166-81. 29. Kotler, P 1976, Marketing Management, 3rd edn, Prentice Hall, New Jersey. 30. McDonald, M & Dunbar, I 2004, Market Segmentation: How to do it, how to profit from it, Butterworth-Heinemann, Oxford. 31. McKenna, R 1988, ‘Marketing in the age of diversity’, Harvard Business Review, vol. 88, no. 5, pp. 88-95. 32. McKenna, R 1991, ‘Marketing is everything’, Harvard Business Review, vol. 69, no. 1, pp. 65-79. 33. Monroe, KB 2003, The Pricing Strategy Audit, Cambridge Strategy Publications, Devon. 34. Sudbury, L & Simcock, P 2009, ‘A multivariate segmentation model of senior consumers’, Journal of Consumer Marketing, vol. 26, no. 4, pp. 251-262. 35. Smith, WR 1956, ‘Product differentiation and market segmentation as alternative marketing strategies’, Journal of Marketing, vol. 20, pp. 3-8. 36. Trout, J & Rivkin, S 1996, The New Positioning: The latest on the worlds #1 business strategy, McGraw Hill, New York. 37. Ward, S 2009, Definition of target marketing, retrieved from www.about.com on November 10, 2009. 38. Wedel, M & Kamakura, WA 2000, Market Segmentation: Conceptual and Methodological Foundations, Kluwer Academic Publishers, Massachusetts. 39. West, PT, Fulford, H, Reed, G, Story, V & Saker, J 2008, ‘Familiarity, expertise and involvement: key consumer segmentation factors’, Journal of Consumer Marketing, vol. 25, no. 6, pp. 361-368. 40. Wind, Y 1978, ‘Issues and Advances in Segmentation Research’, Journal of Marketing Research, vol.15, pp. 317-337. Read More