There are two different segmentation options we can use to segment our consumers in PharmaSim. The first is demographic segmentation which refers to young singles, young families, mature families, empty nesters, and retired. The second way we segment consumers in PharmaSim is by illness (cold, cough, and allergy). There are other ways to segment consumers in markets such as: geographic segmentation, psychographic segmentation, and behavioral segmentation.
Geographic segmentation is based on region and city size, and where potential customers live or work. Psychographic segmentation focuses on lifestyle, personality or needs of prospective customers. Behavioral segmenting is built on observing actions or attitudes, such as: product features, usage rate, and where they buy. Looking at these different ways to segment prospective customers, PharmaSim can use behavioral segmenting to be more sufficient.
For example, it could show our prospective customers’ personal preferences as to what form of medications they are looking for such as: pill, gel capsule, or liquid. Adding behavioral segmentation with the demographic and illness segmentation already found in PharmaSim can help better lead us to specific marketing actions. Table of Segmented Market in 3 Different ways: Analyzing Perception of Allround As of right now Allround’s promote benefits are relieves aches, clears nasal congestion, reduces chest congestion, dries up runny nose, suppresses coughing, and helps you rest.
When looking at the perception and brand’s purchased graphs, provided at the end of this report, we see that we are not doing very well with the allergy market or perceived effectiveness of allergy symptoms; however, because Allround isn’t an allergy medication we do not have to worry about how we are perceived in relieving those symptoms. Because we are perceived high effectiveness in fever in all three segments of the market we should promote that in our product as one of the benefits.
In the cold segment Allround is doing better than Besthelp in the perception of effectiveness for fever, cough, and chest congestion, but is behind Besthelp in nasal congestion and runny nose. Besthelp is the next highest brand purchased under Allround in the cold market, so Allround may want to decide that the advertising message should be to improve Allround’s perceived effectiveness against runny nose or nasal congestion. Summary of the Three Segments.
Each segment (cold, cough, and allergy) have different brand leaders and different products are target marketing different consumers. Each segment has some of the same symptoms; therefore perception of the product (by symptoms) and how we market it is very important. For example, if Allround improves a little on the cough suppressant in their product or advertises it just a little more they may improve percentages in the cough segment. Overall, Allstar is sitting in a pretty good position right now with the Allround product.
For the cold segment they are the leading brand purchased, and have the most satisfaction. In the cough segment, although they are under Coughcure and End in brands purchased and satisfaction of product, Allround is ahead of Coughcure in brand perception in everything except cough. Because cough and cold are more closely related than allergy, Allstar should stick to trying to improve in the cold and cough market. Allround is not targeted for allergy consumers so it does not have to worry about the allergy segment.