Oreo Segmenting markets
Market segmentation
defined as a process of dividing a market into distinct group of consumers who
have common characteristics, needs or behavior to selecting one or more segment
to target with a distinct marketing mix. (TrackMaven, 2016). Oreo have their own
abilities to serve their target market and they putting much effort and
attention on specific segment. First, geographic segmentation is dividing the
market into different geographical units. For example, Malaysia has a good
condition for the cookie industry. That is because coffee stands for cookie
culture. Consequently, Malaysians can go through the coffee to know more about
the cookie culture. Oreo had chosen to focus on psychographics, demographics
lifestyle of consumer.
Psychographics is also
referred as behavioral segmentation, it based on consumer's lifestyle,
interests, activities, expectation and attitude, which mean what customer
preferred, how they spent their time, and the most important is how they feels
about issued and event. Oreo heavily involved and promoted in education,
charity and the environment. They satisfied their customers Oreo provide some
program where their customer can win some goods. Also, Oreo participates in
charity activity. (Gavronski, 2015)
Demographics divided the market into groups based on age, gender,
income, occupation, size of family, education, race, nationality and religion.
Oreo target small children and teenagers 6 - 17 years. Their products are
normally aimed in primary school, high school, and even college. The price for
Oreo's product is affordable and fair. Even if people do not have a big income they
still can buy Oreo products. (Milksfavouritecookie, 2014)
A company can enter one or more of these segments
after they defined market segments. Market targeting involves breaking a market
into segments, and then focused, selecting on one or more segments to enter.
Oreo is focuses on kindergarten kids, primarily school students and family.
Oreo does not target adult directly, but
they have some products like ice-cream, cake and pie. So, Oreo also suits for
family. Nowadays, Oreo is trying to refine and improve their products to
satisfy their customer more. (Gutierrez, 2012)
Position is arranging for product to
occupy a clear, distinctive and desirable place relative to competing products
in the minds of target consumers. Company wants to develop a unique market
position for its product. Therefore, Oreo products always have been perceived
with a high-status image by their advertisement. With their high quality
products, variety of tastes, customers are willing to pay for the products. Oreo is uses the emotional appeal here
in to reinforce its product as a binding force between Parents and their
children (‘Twist-lick-dunk’ game). It helps tap the small children who
would pester their parents to buy them Oreo cookies. (Milksfavouritecookie, 2016)
References
Gavronski, M. (2015, Apri; 11). Oreo campaign
analysis . Retrieved from Prezi:
https://prezi.com/9vkkdr2dny45/copy-of-oreo-campaign-analysis/
Gutierrez, M.
(2012, December 3). The Ethics of Social Media Marketing. Retrieved
from The Huffington Post:
http://www.huffingtonpost.com/mateo-gutierrez/social-media-marketing_b_2206357.html?
Milksfavouritecookie.
(2014, September 12). MARKETING MIX ELEMENTS. Retrieved from The World
of Oreo: https://milksfavouritecookie.wordpress.com/2014/09/12/marketing-mix-elements/
Milksfavouritecookie.
(2016, November 22). Segmentation, Targeting, Positioning. Retrieved
from The World of Oreo:
https://milksfavouritecookie.wordpress.com/2014/09/21/segmentation-targeting-positioning/
TrackMaven. (2016,
November 22). Market Segmentation. Retrieved from TrackMaven:
http://trackmaven.com/marketing-dictionary/market-segmentation/
