Despite customers using cell phones to tell the time, the U.S. watch market is still worth about $ 10 billion. A new watch company that manufactures classic American watches in the style of the Elgin and Hamilton brands has identified five main segments in the U.S. watch market, using a combination of demographic, psychographic, and behavioristic variables.

Carrie is a 25 - to 40 -year-old woman. She might be single or married, with or without children, but she values her independence. She is a professional, living an urban lifestyle. She is brand conscious and makes wellinformed purchasing decisions. She is often a fashion leader. Her annual household income exceeds $ 100,000 .

She enjoys jazz, opera, ballet, and more “intellectual” popular music. She dines out often, usually at the most fashionable restaurants. She watches television, especially PBS, Discovery Channel, and HGTV. She has three watches, each of which is priced around $ 500 : a stylish daytime watch for the office, a glamorous watch for evening events, and a sporty watch for weekends and recreational pursuits.

Brittney is a 12 - to 18 -year-old female. She is all about fashion. She has about $ 50 to spend per week, either from a part-time job or as an allowance from her parents. She enjoys spending time with her friends and can often be seen at malls or cafés, chatting or texting. She is very aware of different brands and tries to imitate the latest fashions from her favorite celebrities. Her musical taste is mainstream, and she is addicted to reality programs and MTV. She has six watches, each of which costs less than

$ 100 . Watches to her are an accessory, and she replaces them frequently when fashion changes.

Skater Boy is a 12 - to 23 -year-old male. He is a selfdescribed

“individual.” He thinks of himself as being different, and his style and activities are beyond the mainstream.

He often buys clothing at “underground” shops, and his favorite clothing items are often not branded at all or are from anti-establishment brands. He has a part-time job or receives an allowance but spends the majority of this money on music, games, and other lifestyle pursuits.

He watches some television, mostly extreme sports, cartoons, and comedy programs. He has one watch, which he wears as a statement of his personality. It is rugged and clunky and costs less than $ 200 .

Executives are men and women, age 45 and above. They are married with children and consider themselves elite, with annual household incomes of more than $ 400,000 .

They belong to exclusive clubs and sit on boards of notfor-

profit organizations. They have a high regard for quality and often buy products that are somewhat exotic. They watch little television, preferring evenings out at the opera, ballet, or symphony, for which they have season tickets.

Like Carrie , they have three watches (daytime, evening, and weekend), but each is worth more than $ 1,000 .

Joe Lunchbox is a 25 - to 65 -year-old man. He is married with two children and earns about $ 40,000 per year. He is very family-oriented and spends his spare time camping, attending sporting events, and working on do-it-yourself projects. He often buys American and prefers the basic casual style of jeans, T-shirts, and running shoes. His music tastes range from country to classic rock. He loves television, especially sports. He has one watch, which was received as a gift. It serves only one function—telling time.

Develop a rating scale of 1 – 5 , with 1 as the most desirable market segment and 5 as the least desirable. If you decided to market a watch that was under $ 100 and would compete against lower-priced Swatch or Timex watches, rate the attractiveness of each market based on these criteria. What will be the unique features that will give your watch a competitive advantage?

What if you wanted to develop a higher-priced watch that targets those individuals with an active lifestyle? Which market segment would you choose, and why?