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Demographic Segmentation Benefits: 8.1.1 Demographics

The document discusses demographic and psychographic segmentation performed by Uniqlo. For demographics, Uniqlo targets customers aged 18-24 who are students with incomes of RM500-RM1500. Psychographics reveal that Uniqlo's target customers perceive it as affordable and high quality, learn about the brand from friends and social media, have trendy and stylish personalities, and prefer casual lifestyles. Uniqlo's most important segments are teenagers aged 18-24 and adults aged 25-50.

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Puja Prasad
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0% found this document useful (1 vote)
2K views

Demographic Segmentation Benefits: 8.1.1 Demographics

The document discusses demographic and psychographic segmentation performed by Uniqlo. For demographics, Uniqlo targets customers aged 18-24 who are students with incomes of RM500-RM1500. Psychographics reveal that Uniqlo's target customers perceive it as affordable and high quality, learn about the brand from friends and social media, have trendy and stylish personalities, and prefer casual lifestyles. Uniqlo's most important segments are teenagers aged 18-24 and adults aged 25-50.

Uploaded by

Puja Prasad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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8.1.1 Demographics
         Age                                        : 18 - 24 years old
         Gender                                                : Both male and female
         Education                           : Undergraduate and above
         Occupation                        : University Student
         Income Range                  : RM500 – RM1500
         Race & Ethnicity               : All races
         Geographic Location    : Urban area

8.1.2 Psychographics
         Perception                         : Affordable brand which is well-known and provides 
                                                  wide and good quality of product lines up
         Learning                              : Friends and siblings, social network, promotions and
  events 
         Motivation & Needs       : Desire on trendy stuff and apparel for attractive looks
         Attitude & Personality  : Young, passion, stylish and trendy
         Lifestyle                              : Casual, active and free

Demographic segmentation benefits


If you use demographic segmentation as part of your marketing strategy, you’ll benefit
from the following:

1. Improved personalization. A segmented market allows you to present different


messaging to different demographic segments. The same product can be shown in
different ways – for instance, a car might be marketed as a family-friendly vehicle to
parents, whilst couples who don’t have children are shown other benefits, like its
suitability for long driving holidays. So your marketing strategies should resonate a lot
better.

2. Improved product relevance. As a result of this, you can ensure people seeing your
marketing are presented with products more relevant to them. Demographic marketing
is particularly useful for advertising kosher or halal products to the right audience. An
advert showing a non-halal meat product to a Muslim could risk isolating the customer
and putting them off making future purchases from you.

3. Improved advertising effectiveness. To take the above example further, you’ve also
wasted your marketing budget in advertising that non-halal product to a Muslim, as
they are never going to be a buying customer. Demographic segmentation allows you
to target the most relevant customers, and ensure that there is minimal waste in your
advertising budget, higher ROAS, and lower CACs.

Advantages of psychographic segmentation

1. Creates better understanding of the consumers

Psychographic segmentation helps to build a more holistic picture of consumers


when used in conjunction with other forms of market segmentation.

2. Reveals hidden attitudes

It uncovers unseen motivations and attitudes behind buyer decisions.

3. Allows for more targeted messaging


Creating psychographic segments enables clearer, more targeted messaging as
“fuller” insights into consumers’ lives are uncovered.

To test consumer attitudes towards claims based on different segments,


Conjoint.ly’s Claims Test reporting can be displayed segment by segment.

4. Creates opportunity for product repositioning

Consumer profiles created through psychographic data can allow businesses to


reposition the same product to various audiences.

Furthermore, psychographic segmentationalso can find from Uniqlo.


The variables ofpsychographic segmentation are customers’ perception, learning,
personality and lifestyle.From perception of customers, Uniqlo product price
make them feel affordable and thoseproduct quality is very good. The Uniqlo also
learns that their customers who purchase theirproducts are from learning
experience, the customers have received information about Uniqlothrough word
of mouth from their friends and relatives. Besides, they get to know
theinformation of Uniqlo via social network and promotion event. Uniqlo also
provides theirproducts to the customers who are young, stylish and trendy to the
market. It means that Uniqlo has divided the market into psychographic
segmentation based on the personality ofcustomers. Lifestyle of customers also
segments by Uniqlo which the customer group likescasual and free style dressing
pattern.

Uniqlo had selected few groups of customers that they feel they can serve well as
theirtargeting. Below is the rank of customers from more important to least
important:

1.TeenagersUniqlo had target teenagers that they age are between 18 to 24 years
old, regardlessmale and female, income RM1500 and below and all races in
demographicsegmentation. For geographic segmentation, they are both winter
season countries andsummer season countries. Furthermore, they have famous
affordable brand and goodquality of product in perception and casual, vivacious
and free in lifestyle. At last butnot least, they contain young or trendy personality
and learn the wearing from theirfriend, family, social network and previous
purchase experience.

2.AdultBesides the teenagers, Uniqlo also had target adult with age between 25
to 50 yearsold. The gender of adult are both male and female, they contain
RM1500 and aboveincome per month and all races are target by Uniqlo in adult
group. They areperceived casual wear brand and clothing can towards pleasant
appearance. Moreover,they will learn from friends, family, environmental factors,
newspapers and previouspurchase experience. In additionally, they casual and
challenging in lifestyle andsensitive in fashion trends in personality

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