Understanding Consumer Behavior: A Case Study of Nike's Pro Hijab for Muslim Women
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This report analyzes the behavior of Muslim women as a consumer segment and how Nike's Pro Hijab caters to their needs. It explores the STP theory, marketing strategies, and benefits of customer segmentation. The report recommends effective marketing strategies and emphasizes the importance of analyzing customer behavior.
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Consumer Behavior
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Consumer behavior Table of Contents Introduction......................................................................................................................................1 Consumer segment...........................................................................................................................1 STP THEORY..............................................................................................................................2 Benefits of choosing the customer segment....................................................................................3 Marketing strategy for the consumer segment.................................................................................3 Recommendations............................................................................................................................4 Conclusion.......................................................................................................................................5 References........................................................................................................................................6 2
Consumer behavior Introduction To understand the behavior of the particular segment is considered as an important factor for the company as it helps to boost the overall growth in the competitive market. In this report, the company which will be considered is āNikeā. The company offers Pro Hijab for the specific community segment which is āMuslim communityā. This product is specifically designed by the company for the people of Muslim community. Nike is one of the biggest companies and it is important to focus on the considering the behavior of the Muslim consumer group. It is important to consider the right marketing strategy so that growth can be attained in the market. In this paper the discussion will be made by considering the best example related to āPro Hijabā introduced by Nike in the market. (Source:Nike, 2018). Consumer segment Customer segmentation is necessary to that the company can set the goal to target the selected audience as it can assist in boosting the entire sales.Like For Muslim Segment Nike Company offers Pro Hijab in the market. It is necessary to evaluate the behavior of the customers so that their preferences can be considered (Jaworski, 2018).To focus on the consumer segment it is important to focus on the STP theory so that it can be easy to evaluate the overall activities of the company. STP theory is one of the best theories through which it can be easy to focus on the 3
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Consumer behavior factor related to segmentation, targeting and positioning. This theory is considered by Nike so that proper evaluation can be made in relation to the overall strategies and behavior of the customers. So, the STP can be elaborated by considering the Nike Company. The company considers this approach so that the overall behavior of the customer can be analyzed and also it will help to target the right customer segment in the competitive market. STP THEORY Segmentation In the demographic pattern, it has been seen that company consider the women of Muslim community. The products are designed for the women of Muslim Community as they have their culture to wear hijab. The products of the company are sold on the global platform. Nike designed the product by considering the overall value of the women of Muslim community. This product is used by the Muslim women on the routine basis (Keller, 2016). Targeting Nike targeted Womenās of the Muslim community. This product is designed by the company by analyzing the overall demand of the customers in the market. So, according to this the company focused on implementing the marketing strategy by considering need and requirement of the Muslim women. But the Nike designed the breathable hijab especially for the Muslim Athletes who are not comfortable in using the traditional hijab at the time of competitions. At the time of targeting and launching of the product the company emphasize on the overall behavior of the athletes. They have identified the concept that Athletes also have the desire to get the best and fit apparel. So, they launched Pro Hijab for the women by mainly targeting the athletes (Cook, 2018). Positioning According toBlut et al., (2015)It is important to position the products by considering the right marketing strategy to promote the product in the market. So, it has been seen that Nike market itself as the company offering apparel products in the market. So, they positioned their product for the Muslim women and introduce hijab for the women in the market. The company also introduced the product on their website and also on the social media sites like Facebook and 4
Consumer behavior Instagram. Also the company considered the feedback from the customers in relation to the products sold in the market (Katsikeas et al., 2016). Benefits of choosing the customer segment It has been stated byErevelles, Fukawa and Swayne (2016)that it is important for the company to focus on the customer segment so that it can be easy to promote the products in the competitive market. If segmentation is not done by the company then it will be difficult to boost the market share of the company. Customer segmentation is that which helps the business to precisely focus to reach to the customerās so that their needs and wants can be satisfied. It can also be stated byHillebrand, Driessen and Koll( 2015) that customer segmentation is necessary as it helps to use the corporate resources in an effective manner and also with proper strategic marketing decisions. So, in context to this one of the best theories is Market penetration theory. This theory emphasizes on maintaining the market share of the company and also the demand can be maintained of the customers in the market. According toKozlenkova, Samaha and Palmatier( 2014)the theory is one of the best alternative growth strategies in Ansoff Matrix. The main aim of the theory is to emphasize on selling the products and services into the market so that it can be easy to achieve the large market share (Rodriguez, Peterson and Ajjan, 2015).For example : it can be stated that Nike focused on selling the Hijab for the Women of Muslim community and with this it can be easy for the company to boost the market share. It is easy as Hijab is one of the popular products among the Muslim Women. So, this is also the best strategy that is considered by the company as they focused on analyzing the behavior and needs of the customers and then Nike introduced Hijab for Muslim community (Singh, 2017). Marketing strategy for the consumer segment Marketing strategy is important to be considered so that the company can grow in the competitive market. If effective marketing strategies are not considered by the company in the high level of competition then it can be difficult to compete with the competitors prevailing in the market (Solomon et al., 2014).It can be stated that the marketing strategy which is considered by the company is related with promoting the products on their own website and also on the social media site. Social media platform is the best way that can help the company to boost the overall market share and also it helps the company to analyze the behavior of the 5
Consumer behavior customers. By creating page on the social media sites, the company can get to know about the views and opinions of the customers in the market (Homburg, JoziÄ and Kuehnl, 2017). Also one of the best approaches related to marketing strategy considered by the company is the design of the hijab. The company introduced unique design of Hijab for the women so that it can be easy to attract the women towards the products of the company. It is one of the unique designs introduced by the company which boost the sales of the products in the Muslim community (Kim, Pitts and Zhang, 2017). So, at the time of targeting the Muslim community the company focused on analyzing the overall behavior of the customers so that their needs and wants can be identified. So, by analyzing they focused that Women should use comfortable hijab (Venter, Wright and Dibb, 2015).In 2018, the company launched a breathable hijab. So, in this the company analyzes the requirement of breathable hijab for the athletes women so thy launched the products in various sizes from 1X to 3X. This has tapped the large market share and also it has uplifted the sports fashion industry (Marketing, 2018).The best marketing strategy considered by the company is related with promoting the unique design of hijab in the market and also due to this it can be easy for the company to attain growth and large market share in the competitive market (Kumar, 2015). Recommendations So, it can be recommended that it is important to focus on the behavior of the particular customer segment so that according to that marketing plans can be considered. In relation to this concept it is important to focus on the consumer decision making process.For example Nike should focus on the customer decision making process so that at last customer can prefer the product of the company. The first step is related with āneedā in which the people focus on considering the right decision of individuals. So, the company should focus on considering the need of the customers in the market. Next step is related with gathering the information. Before introducing the product in the market it is necessary to consider the customer base in relation to the product. Like at the time of launching the āPro Hijabā The Company focused on the Muslim ratio on the global platform and also its use. So, in the next step the customer will analyze the alternative, so the main emphasis of the company is to introduce unique product in the market. The last step is purchase of products and services on which the company should emphasize so 6
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Consumer behavior that sales can be boosted. Also at the last stage focus is given on post evaluation which is done by the customers in relation to the use of the product (Marketing, 2018).So, by analyzing these factors the company should market the products in the market. It will help to maintain the large market share and also boost the overall revenue of the company. Conclusion So, it can be concluded that it is important for the company to focus on the overall behavior of the customer group so that the right marketing strategy can be developed by the company. If the needs and wants of the company are considered then it can be easy to achieve growth in the market.Therefore, it is important to consider the best marketing strategy but it can only be done if the behavior or the need of the particular community is identified by the company. In context to the behavior of the customers it is important to consider the marketing strategy related to advertising or offering products which is unique in design. It will help the company to grow in the competitive market and also large market share can be grabbed. Without strategies related to marketing it will not be able for the company to promote the products and services in the market. So, proper marketing strategies should be considered by analyzing the overall behavior of the customers in the market. 7
Consumer behavior References Blut, M., Frennea, C.M., Mittal, V. and Mothersbaugh, D.L., 2015. How procedural, financial and relational switching costs affect customer satisfaction, repurchase intentions, and repurchase behavior: A meta-analysis.International Journal of Research in Marketing,32(2), pp.226-229. Cook, K.J., 2018. Uncovering the Evolution of Hijabs in Women's Sports.The Graduate Review,3(1), pp.62-67. Erevelles, S., Fukawa, N. and Swayne, L., 2016. Big Data consumer analytics and the transformation of marketing.Journal of Business Research,69(2), pp.897-904. Hillebrand, B., Driessen, P.H. and Koll, O., 2015. Stakeholder marketing: theoretical foundations and required capabilities.Journal of the Academy of Marketing Science,43(4), pp.411-428. Homburg, C., JoziÄ, D. and Kuehnl, C., 2017. Customer experience management: toward implementing an evolving marketing concept.Journal of the Academy of Marketing Science,45(3), pp.377-401. Jaworski, B.J., 2018. Commentary: advancing marketing strategy in the marketing discipline and beyond.Journal of Marketing Management,34(1-2), pp.63-70. Katsikeas, C.S., Morgan, N.A., Leonidou, L.C. and Hult, G.T.M., 2016. Assessing performance outcomes in marketing.Journal of Marketing,80(2), pp.1-20. Keller, K.L., 2016. Reflections on customer-based brand equity: perspectives, progress, and priorities.AMS review,6(1-2), pp.1-16. Kim, E., Pitts, B.G. and Zhang, J.J., 2017. Introduction: Sport marketing in a globalized marketplace. InContemporary Sport Marketing(pp. 3-22). Routledge. Kozlenkova, I.V., Samaha, S.A. and Palmatier, R.W., 2014. Resource-based theory in marketing.Journal of the Academy of Marketing Science,42(1), pp.1-21. Kumar, V., 2015. Evolution of marketing as a discipline: What has happened and what to look out for.Journal of Marketing,79(1), pp.1-9. 8
Consumer behavior Marketing.2018.Nike strengthens ties with Muslim market with new āPro Hijabā line.[Online]. Available at:https://www.marketing-interactive.com/nike-strengthens-ties-with-muslim-market- with-new-pro-hijab-line/. [Accessed on 15 December 2018]. Nike.2018.THE NIKE PRO HIJAB. [Online].Available at:. [Accessed on 15 December 2018]. Rodriguez, M., Peterson, R.M. and Ajjan, H., 2015. CRM/social media technology: impact on customer orientation process and organizational sales performance. InIdeas in Marketing: Finding the New and Polishing the Old(pp. 636-638). Springer, Cham. Singh, B.K., 2017. The Commodity Fetish of Modest Fashion.QED: A Journal in GLBTQ Worldmaking,4(3), pp.161-164. Solomon, M.R., Dahl, D.W., White, K., Zaichkowsky, J.L. and Polegato, R., 2014.Consumer behavior: Buying, having, and being(Vol. 10). London: Pearson. Venter, P., Wright, A. and Dibb, S., 2015. Performing market segmentation: a performative perspective.Journal of Marketing Management,31(1-2), pp.62-83. 9