Fundamentals of Marketing Report of iPhone

Fundamentals of Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
PART A...........................................................................................................................................1
Consumer segmentation..............................................................................................................1
Target segmentations..................................................................................................................1
Importance of segmentation........................................................................................................2
Segmentation for Apple iPhone 7...............................................................................................2
PART B............................................................................................................................................3
Demographic segmentation.........................................................................................................3
Part C...............................................................................................................................................4
Marketing mix.............................................................................................................................4
How marketing mix reflects on demographic segmentation.......................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Segmentation is defined as division of marketplace in several parts or segment that are
accessible, definable and profitable for potential growth. Company usually finds its target market
because of time, cost and efforts restrictions. This assignment is aimed to identify the brand, sub-
brand and strategy of marketing mix of Apple iPhone 7 (Borshalina, 2015). In this report, there
will be discussion about the cell phone because today's generation depends on mobile or they
cannot live without phones. The project will defines about the segmentation and target market
for particular product and what are the characteristics of that segment as well as how marketing
mix reflects on it.
PART A
Consumer segmentation
In segmentation process, it allows a seller to provide products to the needs, desires, uses
and ability to pay of customers. It helps company in concentrating on their resources, money,
time as well as efforts on a profitable market that helps in growing numbers of usage and values.
Consumer segmentation refers to the practice of dividing a customer base into groups of person
which are similar in specific ways related to marketing including age, gender, interest, income,
religion and spending habits, etc.
There are various types of consumer segmentation that helps to reach at potential
customers. Marketers use communication to connect with target audience. Segmentation can be
done according to geography, demographic, psycho-graphic and behavioural.
Target segmentations
In this, marketers defined its target group of individual on the basis of segmentation that
helps to promote or develop products as well as business. As per the product of Apple iPhone 7,
the high usage target segment has been chosen because mobile phones are using throughout the
phone and most probably persons cannot live without their iPhones (Chaffey, 2016). In present
era, consumers are demanding more featured mobiles from the company as it can be said that
telecommunication sector is growing fast. Customers want exclusive feel to their product that has
higher quality as well as unique look so Apple is providing such kind of products to the desired
customers and it have a unique interface and software system.
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Importance of segmentation
Market segmentation is defined as the process of identifying target demographic and
determine the best advertising medium to reach at that audience. Here are some importance of
segmentations which helps in achieving business goals and objective as well as find potential
customers.
Understand customers: it support in identifying and understand consumer behaviour for
particular goods and services (Davis, 2017). It allows for the development of profile of different
kinds of consumer's groups who can buy company's products.
Maximise product potential: market segmentation helps in maximising product growth
as marketers can understand about how a particular product is being used by different groups of
customer. So it is require to defines about an alternate use of products and services which has not
discussed before.
Improve distribution network: with the help of market segmentation, companies can
develop more efficient distribution networks. It can be determine the way that customer prefer
for purchasing of product through study of buying behaviour of various target groups. Market
segmentation also helps in identifying geographical areas where products are popular.
Gain new customers: through segmentation of market, new customers can be attract and
also can be reach at potential buyers by using effective promotional tools and techniques that
helps to create awareness among consumers.
Segmentation for Apple iPhone 7
For this report, demographic segmentation can be suitable for finding end user of this
particular products. Customers belongs from different community or society which reflects on
their buying behaviour. Through the research, demographics represent statistics, characteristics
and qualities of target market (Ivanov, 2016). Demographic segmentation includes several
components such as gender, income level, age, marital status and occupations etc.
For iPhone 7, segmentation according to income level can be help to reach at potential
customers. In this, market segment is done according to customer's salary and income level in
which it can be determine that they can afford or not for buying high value of products.
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