Describe the advantages of market segmentation to bc4, Marketing Management

Assignment Help:

BC4 is a manufacturer of bedroom furniture with four factories in the south of the country. As a result of declining company financial performance, the Managing Director (MD) engaged a management consultant to conduct an overall review of BC4's activities and highlight the issues of greatest concern. 

The management consultant's main findings are as follows:

  • No systematic Quality Control exists and differing operating efficiencies exist both within and between BC4's factories;
  • There is an enhancing incidence of furniture being returned which requires replacement or reworking. There are also a substantial number of items returned as part of extended guarantee arrangements;
  • Currently BC4 tries to sell its full product range to all potential customers, even though it is geographically difficult to fulfil obligations to customers in the north of the country. BC4 requires to rethink this marketing approach and should undertake careful market segmentation.

Describe the advantages of market segmentation to BC4.

Market segmentation permits an organisation to focus on the subset of a market that has the greatest potential. There are clear advantages associated with the practice for BC4.

Develop appropriate marketing mix

The idea of dividing a market into segments is to recognize groups of potential consumers who have similar needs and will respond to a particular marketing mix in broadly same ways. Unsurprisingly, the management consultant has identified this approach. Segmentation will permit BC4 to concentrate on the right blend of the elements of the marketing mix that best meets the particular needs of its segment. The overall aim is to deliver the right products to the right customers using the right delivery channel at the right price and segmentation can assist this aspiration. A clear focus on a segment can lead Bc4 to get better the suitability of the product in terms of design. It can also improve communication to the target segment(s) using advertising and other promotional activities that are most relevant.


Related Discussions:- Describe the advantages of market segmentation to bc4

Assignment, How should price be set on a product or service for the first t...

How should price be set on a product or service for the first time?

Explain the elements proposed by the framework, Question: (a) Discuss h...

Question: (a) Discuss how information technology has contributed to the expansion of the service sector, illustrating your answer with examples. (b) As a senior bank execut

Market segmentation, one primary segmets and two secondary segments

one primary segmets and two secondary segments

What is pricing in functions of marketing, What is pricing in functions fac...

What is pricing in functions facilitating exchange? Pricing: Determination of price of a product is a significant function of marketing manager. Product’s price is influen

7p, USES OF 7PS IN INDUSTRIES

USES OF 7PS IN INDUSTRIES

Explain the key function of marketing communication, Explain the key functi...

Explain the key function of marketing communication Many organisations have evolved without marketing being recognised as a key function, let alone as a core philosophy. There

Distinguish between quantitative and qualitative research, Question: Ma...

Question: Marketing Research plays a crucial role in any company. However, Marketing research is a time consuming and expensive process and therefore, requires careful plannin

Consumer surplus, Initially supply falls as goods may be destroyed. As the ...

Initially supply falls as goods may be destroyed. As the disaster strikes, the demand also rises in anticipation of more supply disruptions as people want to 'stock up' on the good

What kind of market structure is the automotive industry, There are many wa...

There are many ways to explain the market structure of the automotive industry.: One of heterogeneous purchasers makes up the population and nearly homogeneous sellers. This mea

What is comprised in green or environmental marketing, What is comprised in...

What is comprised in green or environmental marketing? Green or environmental marketing comprised all activities designed to generate and assist any exchanges intended to sat

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd