Lenovo Market Segmentation Essay Example

justify">Therefore, ages range between 65 years and older. Most of these citizens are homeowners with self-regulating employed children. The ethnic diversity consists of a collection of African Americans, Caucasians, and other mixed races. Their lifestyles include ordering from the Home Shopping Network, reading the Good Housekeeping magazine, soap opera viewers, and GMC Canyon vehicle owners. Lenovo targets the specific segment categorized as Rustic Living individuals because these are the people who never owned a PC. Lenovo’s strategic proposal states “purchase a PC today and a tablet device tomorrow”.

The market for rural consumers poses as an opportunity in efforts to build a much broader customer base and not solely in larger cities. According to Claritas, the traits of consumers with advanced concepts and high level education is categorized as “Money & Brains”. These consumers are considered wealthy, with high college degrees and an assortment of credentials. Also classified as urban city residents, these are the people with a mix of family sizes ranging from one to three children. Many of these city dwellers are married couples who are also homeowners as well. The ages of this group range from 45-64 years old.

These people shop at Nordstrom, contribute to National Public Radio, read the Sunday newspaper, watch Ebert & Roeper, and own luxury vehicles such as the Jaguar XJL. Known as Urban Uptown, members of this social group tend to be midscale to upscale and ethnically diverse, with above-average concentrations of Caucasians, African American, Asian and Hispanic Americans. Although this group is diverse in terms of housing styles, residents share an upscale urban perspective that's reflected in their marketplace choices. These consumers spend

heavily on computer and wireless technology which is essential to the success of increasing profits.

Over approximately 9. 5 million households in the United States are in this category, and the median household income is over $93,000 according to 2010 statistics from the Claritas website. Lenovo understands that there is a correlation between the benefits of their products and the specific target markets. For instance, Lenovo distributes ultraportable devices in which benefits those included in the “Money & Brains” category, who live a fast pace lifestyle. Ultraportable tablets such as the ThinkPad, serve as the ultimate business tool in the hands of the “Executive Suites” demographics also.

Another benefit that also applies toward “Money & Brains” consumers who majority include business savvy is that of the optional Keyboard Folio. A tablet with keyboard accessibility serves its purpose amongst business employed segments that require the need to type up business plans while away from the office. A benefit that most consumers wished they had is that of the ThinkVantage Active Protection System (APS). Available on many ThinkPad notebook models, the APS can detect sudden changes in motion and temporarily stop the hard drive to protect valuable data from crashes that occur nearly every day due to notebook accidents.

Beneficially to all three segments, Executive Suites, Money & Brains, and Old Milltowns, accidents occur frequently and everybody wants to be insured protection especially when their files are at risk. According to Claritas, hunting is very popular amongst, “Old Milltowns”. However, most cases more than often service connectivity cease to exist in the woods destroying all access to a GPS system. Fortunately, Lenovo’s IdeaPad obtains

a unique offline GPS navigation technology system that allows direct satellite connection whenever and wherever.

Being beneficial towards these types of people in rural areas is what drives Lenovo to create products “For Those Who Do” which is the world renowned slogan. Once you achieve the understanding of who is your targeted market, the next step is to promote the benefits towards the ones you seek. People categorized within the Old Milltown segment enjoy watching soap operas. Therefore, I recommend purchasing a 30-second television commercial slot within the hours of the soap opera. This functions as an effective technique towards the structural plan to upsurge brand awareness amongst markets.

Also since Money & Brains consumers occupational positions consist of high authority figures, an investment partnership deal offered to technology based businesses may be the origin of future innovations. Lenovo should also consider the next generation as the present and offer a bulk shipment package deal to business colleges globally, the sons and daughters of the Money & Brains segmentation. Regarding promotional strategies for Old Milltowns, I believe the expansion of locations throughout rural areas, could be extremely beneficial.

Competition is scarce throughout these rural areas, therefore an opportunity presents its self-amongst the market. Understanding what, who, and where target markets are, provides a company the influence to compose marketing concepts geared towards the overall profitable success. The ability to distinguish how to generate a direct correlation between product benefits and its specific consumer’s, acts as a valuable skillset to attain. Lenovo understands this and that is why their products are “For Those Who Do”.