Market Segmentation And Product Positioning
The hypothetical company for the purpose of creating a marketing plan is Healthy Hair, Inc. The company brand name is Boss and its product offering is a unisex shampoo and conditioner in one aimed primarily at African American female and males between the ages of 18-34. According to marketing research company Mintel, sales of black hair care products in 2008 exceeded $165 million. Although a third of those sales went to corporate conglomerates like L’Oreal and Alberto Culver, who own many ethnic product lines from Soft-Sheen Carson to Mizani, there are still many independent African-American players in the hair product game (Humphrey 2010).
This paper will discuss 1) The marketing segment for Healthy Hair, Inc., and why this segment was selected, 2) The target market and why these customers are targeted, 3) Healthy Hair, Inc. strengths, weaknesses, opportunities, and threats (SWOT), 4) The market position for the product.
Identify the marketing segment for the product and explain why this segment was selected;
A market segment is a group of customers whose likes are comparable (Iacobucci, 2010). The marketing segment for the product is based on demographics, geographic, psychological, and behavior data.
The product will be geared toward African American men and women ages 18-34. The education level and income for this segment is intrinsically tied to the age of the consumer. Given this, as an average one will utilize $25,000 to $30,000 as the yearly income for this relatively young market.