Pfizer Inc. Case Analysis

Pfizer Inc. Animal Health Products

With seemingly dire circumstances in the beef products industry, the Pfizer Cow/Calf Marketing Team has been given the challenge of implementing a new segmentation plan, with the purpose of grouping customers (Ranchers) into meaningful, and relevant clusters. Because of depressed prices, an increase in consumer demand for pork and poultry, NAFTA, and among other things, an environment of overcapacity, has led to a need in the reevaluation of the beef market’s desires. Individuals within the Pfizer Cow/Calf Marketing team have begun to wonder about their approach to segmenting the market based on herd size. Upon surveying cattle ranchers, many within the industry fear the marketing challenges ahead. Implementing a new segmentation process should revolve around: relying on a vertical marketing approach, and considering brand marketing. Both of these approaches could bode well for ranchers, and lead to identifying a new potential segmentation.

Herd-size segmentation

After reviewing findings from the research survey it is important to notice that herd-size segmentation had little to no effect in capturing differences in behavioral patterns among ranchers. Ranchers in the business and traditionalist segments are putting a lot of value in implementing more consumer focused marketing efforts. These efforts are made up of, but no limited to, producing higher quality, and more consistent beef product. Hobbyists have a similar belief in regards to quality and its potential to increase market share, however they view the task of consistency as futile in comparison to that of the pork and/or poultry industry, due to the shear size of the animals they work with.

The herd-size segmentation approach can be considered inefficient for yet another reason as well; in regard to all segments within this approach none of the segments have confidence in relying on vertical marketing and a branded beef model. These models would ensure an...