MARKETING ESSAY Example | Topics and Well Written Essays - 1000 words

MARKETING - Essay Example Segmentation constitutes the first step in Brand Development; it is referred to as the process of dividing and sub-dividing the entire population into ‘meaningful segments’. The word meaningful can be elaborated upon to mean segments that have distinct needs and characteristics, which different products can cater to (Kotler, Armstrong, Saunders, Wong, 1998, pp. 185). This segmentation is not done arbitrarily rather it initially was done on the basis of the demographics that match with those of the ideal consumer of the product, however over the years the focus of segmentation has changed from demographics to more qualitative measures such as psychographics. Unilever Ltd, one of the leading Fast Moving Consumer Goods Company has developed its own model of psychographic segmentation, that is, VALS (Values and Lifestyles). Market Segmentation is done in order to channelize the Organizations resources towards a targeted population instead of aimlessly squandering them on the whole population, majority of which does not form a part of its target market. A few years ago market segmentation was taken to be an unquestionable theory of marketing. Recently however, its validity has come into question by many researchers and critics such as Yankelovich and Meer (2006, pp. 1-10), Hoek, Gendall and Esslemont (1996, pp. 25-34). Amongst a few of the arguments presented by the afore mentioned researchers against market segmentation was the fact that market segmentation involves a lot of subjective judgment that is practiced on behalf of the researcher, the psychographic market segmentation tactics have led to all the advertising emphasis on the emotional appeal, thus rendering product functionality as insignificant as a result of which product innovation is declining and so forth. Yankelovich quoted the example of Miller Lite as an example to state that the emotional appeal used due and lack of focus on the product functionality led to an unsuccessful advertising campaign,