Segment provides customers
Group my customers by factors such as geographical location, size and type of organization, type and lifestyle of consumers, attitudes and behaviour. Because my individual customers have different needs, it will be easier to give what they want if I divide them into groups sharing similar needs, and treat each group differently. I can then customise my products and services according to the needs of each segment, aim my marketing at each group saving me time and money, and focus on my most profitable customers.
There several reasons why my business should attempt to segment the market. Different customers have different needs therefore different choices suit certain individuals. Producing different offers for each segment provides customers with a better solution. Customers have disposable income they are therefore sensitive on what price they are paying. Factors Affecting Demand
Demand, in definition, is “the quantity of goods or services that will be bought at any given price over a period of time and supply is the willingness and ability to sell a good or service”. My business would also need a watch out for the affects on my demands which will eventually take me to a stage were it will not allow me to continue so therefore I would also need to take this as one of my main priority.
There are a range of different factors that would or can affect my business for example finance, how well am I controlling my costs, not a level were I will make a loss and not at a level were it becomes too expensive were either I will make loss of customers therefore I will make my prices competitive. Also on the economy of my business could be an affect on me, how high are similar businesses being valued, how many potential customers are interested in my business.
As being an independent sole trader I will need to be aware of limited liabilities. Demand could be affected by companies such as Orange which provide already a huge variety of different mobile phones and accessories, therefore as Orange already has a high reputation as well as profitable and a successful business they are more likely to take away most customers. I will need to keep steady competitive prices with my services and any other or similar businesses through out my located place.
To avoid such hassle I would need to locate my business further away as possible so that I will not be interfered with any other local businesses. People will buy my products than other similar businesses because I will be cheaper then them and I will have a better after sales service for example my offers on 2 year guarantee will cover everything , but I will not replace it if I find out it was done deliberately, if this problem does occur I will remove insurance to their mobile phone or any other product purchased from my shop.
Also grabbing customers attention I will need to but on advertisement through online internet and if customers wish to purchase a product online there is a discount price of seven percent this a way around in grabbing customers attention. With my offers customers will be able to get free hands free kit, a free memory card, etc. This will attract customers especially teenagers because majority of teenagers intend to use these extras on their mobile phones so therefore this is one of the reason why customers would prefer my product than any other business.
Market Research Results My market research results would come from secondary data, this is research that has already been published in the form of written reports, often on a particular market sector, and is already in the public domain is described as secondary research. These sources include library reference books, newspaper clippings, company reports, standards and online databases. This is a good place to start when looking for quick accessible information, although information from secondary sources can go out of date quickly.