Question
Consider demography (age, income, ethnicity), geography, psychographics, and behavioral segmentation and describe a specific target market statement for the corporation's product(s) or service(s). A general
Consider demography (age, income, ethnicity), geography, psychographics, and behavioral segmentation and describe a specific target market statement for the corporation's product(s) or service(s). A general statement or "everyone" won't earn points.
- Demography: The average Target customer is statistically shown to be a white suburban mother between 35 and 44 years old, with a household income of $80,000. Furthermore, over 60 percent of Target's customers have an annual income of $50,000 or more. As for ethnicity, 60.5% of Target shoppers are white, 18.2% are hispanic, 11.3% are black, 6.3% are asian, and 3.7% are other.
- Geography: Target has 1,948 stores located in the United States, and 75% of the U.S. population lives within 10 miles of a Target store. Most Target stores include products that are most convenient to the customers in that area. For example, the Target store in Flagstaff, Arizona sells warmer clothing, NAU merchandise, college essentials, and others to make shopping convenient for local shoppers.
- Psychographics: Since over 60 percent of Target's customers are women, they try to equip their stores with many products and services that are likely to appeal to women. For example, many Target locations provide an in-store Starbucks location. They also have large sections for women's beauty products and has just made a deal with Ulta Beauty to start putting mini Ulta stores inside of Target stores. Target also includes many products for men to try and appeal to as many consumers as possible.
- Behavioral: Target is very successful at bringing their customers back through the use of their loyalty program, Target Circle. This loyalty program allows their customers to earn 1% back in rewards each trip, get access to offers and discounts, and get 5% off when it's their birthday. Furthermore, customers can sign up for Target's RedCard, which lets customers save 5% every shopping trip.
2. Does the company tailor their digital content by buyer?
Target tailors their digital content by buyer with the use of Interest-Based Advertising. When customers shop online at Target, third party advertisement companies keep track of how customers browse and shop online. In doing so, they are able to display ads that are personalized to each individual's interests. Customers allow this by clicking 'Accept' when a pop-up asks permission for the site to use cookies. Clicking accept on this will also allow the third party advertisement companies to display ads personalized to each individual even when they are on a different site. For example, if I were to browse Target's online store for shoes, but ended up not buying any, I may later on receive an advertisement about the pair of shoes that I was looking at earlier."
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started