1. Consumer Profiling

2. Market products to consumers Select products to purchase
How does it work?
Market products to consumers
Consumers
Business
Select products to purchase

3. Who is the market? Why know your target market?
Distribution Methods – how to best deliver product
Advertising – helps create meaningful messages
Product Design – consumers in a target market tend to like similar designs
Media – know which media to use for promotions
Target Market
Entire Market

4. Consumer Profiles - Demographics
Demographics is the study of obvious characteristics that categorize people.
Age
Culture
Gender
Income

5. Age
Baby Boomers (born ) make up the largest age group in Canada
Would you market the same product to a baby as you would an adult?
Examples?

6. Gender
Gender
Some products are no longer exclusively marketed to one gender
Ex: cars, boxer shorts

7. Others… Family Life Cycle Income Level Ethnicity & Culture
Single, married, kids, blended family
Income Level
Ethnicity & Culture

8. Consumer Profiles - Psychographics
“Psychographics is a system for measuring consumers’ beliefs, opinions, and interests.”
Much more difficult to measure than demographics
Religious Beliefs
Musical Tastes
Lifestyle
Attitudes towards health
Personality Traits
Other Psychological Factors

9. Consumer Profiles - Geographics
Geographics – where consumers live.
Urban Consumers
Live within the boundaries of the city.
They usually live in apartments, condos, or houses with small yards.
Spend on cultural events, restaurants, public transportation
Suburban Consumers
Typically owns a car (is a commuter), owns house with larger yards
Spends on household furnishings, BBQs, gardens
Rural Customers
Often farmers with trucks and extremely large properties.

10. Activity: Who’s the Consumer?
Get into your Challenge Groups
Using the advertisement given to your group, identify the target consumer group.
Present to the class both the ad and the proposed consumer group. Don’t forget to explain how you came to your conclusion!
Here is a sample:

11. What is the target consumer for People magazine?
Profile Category
Profile Group
Targeted Consumer
Demographics
Age
25-40
Gender
Female
Income
Middle
Family Life Cycle
Single or Married, No Children
Culture
‘Western’ culture oriented. Hollywood references.
Psychographics
Lifestyle/Values
Watches movies and television. Follows fashion. Buys name brands.
Geographics
Country/City
North America, urban./suburban
Observations
Challenges

12. Prepare a consumer profile for a product/service.
Select an advertisement for a product or service that you think you would use. Explain how the advertising may be geared to the consumer.
Profile Category
Profile Group
Targeted Consumer
Age
Gender
Income
Family Life Cycle
Culture
Lifestyle/Values
Country/City
Observations
Challenges

13. How frequently does the consumer use the product?
Heavy Users
Medium & Light Users
Non-users

14. Heavy Users Often most lucrative segment.
Example: 30% of bottled water market are heavy users who account for 80% of all bottled water sold.
Marketers try to build brand loyalty in this group.

15. Medium & Light Users
Attempt to turn them into Heavy Users with pricing deals, special contests, informative ads.

16. Non-Users
2 Kinds…
1) Those entering category for the first time (ex: new mothers buying diapers).
2) Those who do not plan on using the products.

17. Value Equation Total Benefits – Total Costs = Value
Example: 1990’s parent deciding to buy a cell phone for a teenager
Benefits: emergency aid, ability to contact family, convenience, ability to keep in touch with friends
Costs: high monthly monetary costs, high start up costs, safety issues, time wasting
Value: Costs outweigh Benefits
Result: Not buying the phone!

18. What changed?
Ads in the late 90’s showed teens in a broken down car at night being able to contact their parents only because they had a cell phone.
Benefits all of a sudden out weighed the costs.

19. Consumer Profiles – LEGO
Demographics:
Young children (12 or younger)
Both genders
Psychographics:
Kids who like:
to build things
lots of colours
to touch things with their hands
Geographics:
All Geos

21. Consumer Profiles – Rolex Watches
Demographics:
Adults (30+)
More male oriented
Higher income ($75K+)
Psychographics:
Luxurious lifestyle
Businessmen
Likely to play golf, tennis or polo
Geographics:
Urban & Suburban

24. Consumer Profiles – Mountain Dew
Demographics:
Teenagers/Young Adults (14-25)
Both genders
Middle income
Psychographics:
Extreme lifestyle
Creative
Outgoing
Enjoys punk/rock music
Geographics:
Urban & Suburban

26. Primary vs. Secondary Markets
Primary market is made up of the most likely consumers to buy a specific product.
Secondary markets consist of other or occasional consumers.
Most of a marketing department’s budget is based on targeting the primary market, although some is spent on secondary markets.

27. McDonalds – Who is their target market?
1. Young children who enjoy clowns, small toys and playtowns.
2. Teens/Young adults who are cost conscious.
3. Adults who are cost conscious and are in need of a quick meal.
4. Other/Don’t Know

28. McDonalds – Young Children

29. McDonalds – Teens/Young Adults

30. McDonalds – Cost/Time Conscious Adults

31. Homework! Read p.67-79 in your text books.
Answer Questions 5, 7 and 14 for next class.
Be prepared to share your responses in class!