Segmentation Analysis for Just Us

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Date Submitted: 02/09/2013 07:47 AM

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Segmentation Analysis

The largest market segment is the ethical customers. The ethical customers are those people that are willing to pay high prices for fair trade products. They are educated and eco-friendly. The ethical consumers are the primary target because they constitute most of the population and the amount of ethical consumers is increasing every year (reference STATcan). The secondary targets are those that buy coffee because they love it or because it is convenient to their different needs. Coffee lovers are those consumers that are willing to pay high prices for a high quality product. The elderly are willing to pay low to medium prices just for entertainment and a comfortable environment. Ethical consumption is less frequent on the elderly (reference statscan). Just Us! has a menu that is vegan friendly. This secondary market segment is willing to pay medium to high prices for vegan friendly products.

The segment that Just Us! needs to target are the ethical consumers because they are the largest segment. Ethical consumers are willing to pay high prices for medium quality products. They are environmentally friendly, thus, they base their decisions on the ethical behavior of companies. Canadians are becoming more aware of their activities impact on the environment.

Positioning Map according to fair trade market and number of stores in Nova Scotia

Starbucks serves fair trade coffee all over the world. They sell high quality coffee from different third world countries at a high price. Starbucks has become one of the largest buyers of fair trade certified coffee in North America (reference). On the other hand Tim Horton’s and Second Cup are also trying to benefit from the fair trade coffee trend that is going around the coffee market. Even though these two major coffee companies don’t have a fair trade certification, and they don’t appeal to the same consumers, they claim that they provide financial help to coffee workers and farmers....