Market Segmentation Analysis and Value Proposition (Term Paper Sample)

Market Segmentation Analysis and Value Proposition
Student’s name
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This marketing report was prepared for (course code & title)
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TABLE OF CONTENT
Introduction ………………………………………………………………………pg 3.
Potential market segment …………………………………………………………pg 4.
Company’s value proposition ……………………………………………………pg 5.
Conclusion …………………………………………………………..……….…..pg 6
1.0 INTRODUCTION
This business marketing report will comprise of three sections. The first section describes the proposed retail store brand. The second section highlights the potential market segment, and finally the company’s value proposition.
Vartanian, Schwartz, & Brownell, (2007) claims that students have been complaining of stomach discomforts from the refrigerated juices and beverages sold at school. A study conducted in 2013 in U.S secondary schools on the availability and consumption of sugar sweetened beverages indicated high uptake of theses drinks hence a health risk.
Another study by Valentine & Judith (2002) advocates a healthy lifestyle in schools. They state that taking two sodas in a day can exposes on to a myriad of diseases. These diseases include: obesity, diabetes, blood sugar disorders, teeth decay, osteoporosis, bone fractures, nutritional disorders, heart ailments, eating disorders, neurotransmitter dysfunction from chemicals, adrenal and neurological disorders due to excessive caffeine intake. Therefore this business intends to capture this market gap, and provide a lasting solution to this problem by proposing Juicy Retail Stores.
Juicy Retail Stores is new retail store brand in the market that intends to sell fresh fruit juices to college and university students and staff. This proposed company intends to supply fresh blended fruit juices to the shops within the universities in Detroit city in Michigan. However, it will use the University of Michigan as pilot then gradually roll out the project to other universities within the Great Lakes Region.
1.1 POTENTIAL MARKET SEGMENT
Major Segmentation Variable for Customer MarketsGeographic regionGreat Lakes region of the United StatesCity 5000-20000DensityurbanDemographic 18-38, 39-49, 50-60,61 and aboveGender Male, Female Income Level$ 15,000-20,000; $20,00-30,000; above $30,000 OccupationStudents, Professional and Technical workersReligion  Catholic, Protestant, Muslim, Jewish & HinduRace White, Black, Asian, Hispanic, OtherNationality North Americans, South Americans, French, British, Italian, Japanese, other User statusPotential users, First time users, former users and non users.User RateLight user, Medium user, Heavy user Source: Reed, Harlow, Sen, Edwards, Arato & Haefner, (2012)
1.2 THE VALUE PROPOSITION
This business will sell fresh blended fruit juices. The juice will be made from various fruits such as: mangoes, avocado, passion, pineapple, straw berry and cork tail. These juices will be sold and consumed while fresh without refrigeration. It will be parked as take away and instant consumable.
These juices will be packed in different sizes to meet customer preference and capture the size of their pocket. The juices will be packaged in bright and appealing colors and indifferent shapes. The packets will be disposable and biodegradable. There will also be free music every Friday, where the students will have a chance to request their favorite song.
The students will enjoy the following Self-expressive benefits: This company will erect shades outside the campus shops and cafes where the customers can seat and chat with their colleagues as they consume the products. In addition, Juicy retail stores will also reduce the time and cost spent by students as they travel to the malls to purchase this products. Moreover, this business will provide students with an opportunity to buy fresh blended juice at a pocket friendly price within their convenience. On top of this, juicy retail stores will be offering an extra 300 ml juice for every 500 ml juice bought by a student.
1.3 Conclusion
Juicy retails store is a long term business that can start with a little capital and bring great returns. This is due to the fact that no other business deals in the same product. All the other businesses that deal with beverages sell them at the malls, restaurants, supermarkets and forget to include the academic institutions; which actually harbor high levels of untapped business potential. This means that the business will not meet any competition in its produ...