Marketing segmentation (clarins) (Coursework Sample)

Marketing segmentation (Clarins)
Professor
Institution
Course
Date
Introduction
Marketing is a significant process of every organization and involves relaying the value of produced goods or services to the consumers majorly for purposes of making sales. It entails making choices of target markets through market segmentation and market analysis as well as analyzing scientifically the consumer behavior (McDonald, & Keegan, 2002 P.22). In view of the various concepts that organizations choose to operate, a good strategy ensures successful marketing management, which shapes the market offerings, create a long-term growth and deliver a communication value. Here we are going to discuss the market segmentation within the cosmetics industry and the target market for the Clarins company and the selection process used for the target market.
Marketing strategies of Clarins
Good Marketing strategies make an organization successful and vice versa. It is a creative field that drives a company's revenue. Strategic marketing organizes several subjects into a few categories, which include developing the strategy, creating tools and processes, generating, and managing customers (Jeannet & Hennessey, 1995, P.242). In a given market, different price offers outweigh competitors making it easier to persuade more customers. This comes with a well-calculated plan, which may be achieved by differentiation, branding, packaging and discounts rather than always competing on price, which is expensive to sustain in the long term. A key step is giving an organization a competitive position, which defines how to differentiate the offering and create value in the market. It makes a spot in the competitive landscape and gives specific strategy to focus on, which is based on factors like; market profile, customer segments, competitive analysis, positioning strategy, and value positioning. Marketing strategy focuses on achieving competitive advantage on a sustainable basis built through availability of resources and capabilities.
Clarins embraces both product and service marketing. It has ensured the essential types of value are put in place which include; operational excellence, product leadership and customer intimacy. They focus on operational excellence to endlessly continue selling at low prices in the market. This records more sales in volume at lower cost because extra costs of innovations to make new or better products are not incurred. CLARINS product leadership is seen in the dedication of efforts to ensure quality. With firsthand knowledge of their competitors, they are completely focused on leading by a step for reasons of capturing greater market share. More so, customer intimacy ensures great service and more customized solutions. It is the company's mission to ensure that its team delivers on the value propositions in all interactions with the customers. Marketing strategies are focused and functional in all marketing activities and cannot be developed in isolation. The marketing strategy has to support the strategic plan/ corporate strategy. More so, a business is a system built up of several functional areas that have to support one another in pursuit of success for the general business. In the development of the marketing strategy, various key concepts are considered. First, product positioning and product differentiation will influence how consumers will view or perceive a brand's characteristic in comparisons to those being offered by competitors. It aims at attracting demand by creating a product with specific attributes and a clear image that differentiate it from competitors hence achieving a brand equity. The second step is environmental analysis, which assesses the external forces and how their changes will influence the firm, its products/services, customers and that which create threats and opportunities. Thirdly, there is a market research, which is majorly applied to provide managers with required information on relevant. The next development step is the marketing –mix development that involve analyzing, and coordinating activities that include product, promotion, pricing, and distribution. Lastly, there is market segmentation, which takes aspects of subdividing the market into distinct subsets of customers that have common interests.
Here we will focus on market segmentation on the cosmetic industry with the major focus on Clarins group.
Market Segmentation of Clarins group
This company was first incorporated in France, but over the years, it has spread worldwide. Its first branch was in the United States, but currently it distributes its products to over 150 countries worldwide. According to Gitman et al (2000), market segmentation is the process of identifying, analyzing, and separating the layers of the market so that a target market is identified. The target market might also end up being subdivided.
Demographic (population statistics)
According to Gitman et al (2000), demographic segmentation makes use of age, gender, income, household size among other factors in the population. The products which this company deals with mainly targets people between the age of 20 to 50. In France the company had a lot of target customers and over the years, this has increased as it went worldwide. There are a large number of persons who fall under the target group so the company has a wide range of customers taking population of the area that it operates into consideration
Geographic (location details and a map)
The geographic segmentation which the company uses is market density. Market density refers to the number of people who will be willing and able to buy a certain product in a given place.
Owing to the fact that the company operates worldwide, there are a lot of people who are ready to buy the products. Let's take for instance the United states Of America where the company had its first subsidiary. The products from Clarins were received well in the United states and the same can be said of the other countries where the company operates
Psychographic (personality or lifestyle)
The lifestyle of any population is significantly influenced by their income. In the United States, the unemployment rate is low with many residents working in the sales service, manufacturing industries, finance administration, utility industry among other sectors.A big part of this population is made up of young adults. These are people considered by marketers as early adopters. This means that they are not afraid to try new products. In other countries unemployment might be higher, but most of the people who are targeted (mainly the young people) are always ready to use the products
Benefit (product features)
The products which clarins sell have been known to have good benefits to the users. Most of the customers are loyal to Clarins as they believe in the benefit of using their products. They have branded themselves as manufacturers of high quality products and this has won the loyalty of many customers.
Volume (amount purchased)
Clarins target people from 20 years and above and this has seen the number of products which are purchased go higher every year. This population forms the largest percentage of the world's population and therefore ensuring that the company sells a lot of products.
Develop a Positioning statement for Clarins company
Clarins gives a wide range of products which ensure that their customers are always satisfied. The guiding principle here is the quality of our products. Clarins puts a lot of emphasis on the quality of their product to ensure that the clients get value for their money. Here, the satisfaction of the client is always in mind whenever the products are being manufactured and always goes out of their way to ensure that each and every cust...