The Business: Indian Restaurant

Similar Characteristics: The purpose of segmentation on similar characteristics is that the place where the restaurant is located there is a large number of Indian residents, to attract more and more Indian and other ethnic customers for good Indian food. Similar Characteristic market segmentation helps to make possible the right selection of target market.

Needs: The need of market segmentation is the place where the restaurant is located there is no other Indian restaurant available in that area. So to fulfil the customers need in that particular area the segmentation is necessary. It facilitates effective measure of the chosen market.

Wants: The purpose of market segmentation in terms of want is that time by time Indian customers want to have a traditional meal outside their home and to complete their wish market segmentation of an Indian restaurant is essential. It helps to identify less satisfied segments and focus on them.

Behaviours: Market segmentation in terms of behaviour is to provide the customers a typical Indian behaviour in an Indian environment so that the customers can feel home environment. At the time of Indian festivals (Diwali, Holi, Eid etc.) specials provided to attract more and more customers towards the restaurant. Behaviour makes the marketing effort more efficient.

The implications of segmenting the market with reference to:

Use of resources: The use of resources for promotion are local newspaper, broachers, website, online advertisement etc. by using the following resource the company will be in highlight and will help the company to attract more and more customers.

Understanding and meeting customer needs and wants: To run a successful business, company must ensure that their offers meet the needs and wants of customer. So by understanding what a customer’s choice, company can come up with a promotion which attracts the customer to restaurant and lead company to profit.

Identification of competitor activity: If company are aware of competitor promotion or offer than company can compete in the market by providing same offer but adding some extra benefit on it.

Evaluation of market performance by segmentation: By segmentation of the particular business and evaluation of the market performance, the company is going to make a market strategy and work on it. The benefit of evaluating market performance is that, company remain focused on the market and it helps to increase the company’s competitiveness in the market.

Identification of significant cultural influences: The significant culture effects how society views certain aspect of segmentation. Cultural segmentation gives strong marketing and helps to understand the local environment and it affects the company in terms of promotion and new products.

Assess the potential for segmentation in terms of:

Definability of segment: As the company is trying to attract the Indian customers specifically, there is a potential of definability of segmentation in the business.

Resources Implications: The company can segment the market in terms of targeting the people who are living in the area and by providing the customers good food in a reasonable price.

Relation to its viability and attractiveness: The company has a takeaway menu specifically to target the business people who don’t have enough time to sit and eat as well as the takeaway price would be cheaper as compare to the dine in menu. This promotion and products will attract the particular business people and help the company to make profit and to achieve the goal.

Competitive Environment: The company can segment the market in terms of competitive environment as the company is providing a high quality of food in a very reasonable price. As well as company is providing takeaway menu which no other company is providing in the area.

Element 2

Identifying possible market segments for the business.

Geographic: The restaurant is located in a busy area where most of the residents are Indian and no other Indian restaurant is located in that area. So the company’s products will be for personal use as it is a restaurant business and takeaway menu is available for the non-consumers if they want to treat the office employees or friends.

Demographic: The restaurant is an Indian restaurant so the company’s main target is Indian people of any age and gender. As the company has got various varieties of Indian food to attract Indian customers specifically. Indian food would be especially for the Indian nationality people for their personal use.

Psychographic: The market segments in a way that the consumers and non-consumers will be attracted to the restaurant’s complete traditional style as the restaurant looks are in an old Indian tradition and plays good Indian music all the times. So the attitude of the customers is positive towards the restaurant.

Behaviouristic: The customer’s behaviour towards the products of the restaurant is in a positive manner and during the time of Indian festivals, the restaurant runs a special promotion to attract the customers. As well as customers get various kinds of benefits in food and drinks.

End use: Most of the time the products of the restaurant will be used by the consumers for their personal use and sometimes it’s been used for non-consumers as well because the customer orders for parties, functions etc.

Operational bases: The operational base of the business is the consumers who use the products of the restaurant for their personal use.

2.

(a) Profile for each identified selected market segment:

As a geographic profile of the restaurant, the restaurant is located in a busy area with high Indian residents, so it brings more and more Indian people to the restaurant. The restaurant is targeting the Indian families as the restaurant is dealing with the Indian food demographically. Restaurant is designed in a typical Indian style and traditional music played all the time with the customer’s interests which attract the customers psychographic. The Indian restaurant runs special promotion during the time of Indian festivals in order to attract the customers behaviouristic. The restaurant is running in a profitable way because of the consumers who come to the restaurant in a regular interval.

(b) Define and evaluate their segment potential

Geographic: Geographic segmentation used for segmentation by region, area and climate. The area where the restaurant is located there is no other Indian restaurant and most of the residents in the area are Indian, so the potential target for the restaurant to attract the customers are Indian customers. As it will help the company to grow effectively.

Demographic: Demographic segmentation includes age, gender, family size, nationality and ethnicity. The restaurant’s main target is to attract Indian families and the business people in the area for the product usage and potential.

Psychographic: Psychographic segmentation includes interests, activities and attitudes. Customers nowadays want to be in good environment according to their interest, so the restaurant is providing a traditional Indian style environment to attract the customers and to be step ahead then the competition.

Behaviouristic: Behaviouristic segmentation is based on actual customer behaviour towards products which include occasion, brand loyalty and benefits. The restaurant organise various special promotion on occasions to meet the organisational objectives, to become a top restaurant in the area and to gain customer’s loyalty.

Element 3

The suitable target market from the market segments for the restaurant is Geographic segment. The segmentation strategy which the restaurant will be going to use is differentiated marketing. The restaurant targets to attract Indian customers and business people specifically especially to run an Indian restaurant. The restaurant deals with diverse Indian food and beverages on a very reasonable price and the location of the restaurant is busy and no other competitor is situated nearby. Time by time on various Indian festivals, restaurant offers many promotional deals to the customers in order to become successful in the market.

The strategy that the company is using to become very successful in the market is to attract more and more Indian families and couples to the restaurant as well as the business people in the area as there are so many business people don’t have food options. The restaurant is built in a way it looks like an ancestor palace which attracts the local people. The restaurant is dealing with a wide range of Indian food and beverages. The product quality is very good as the restaurant has got “A” grade certificate and the taste of the food is authentic. The prices are very reasonable and restaurant provides loyalty card for the regular customers. As there is no other Indian restaurant in the area and there will be no competition, so company is trying to earn customer’s loyalty as it will help in a long run to become the top restaurant in the market. Occasionally restaurant is running special promotions to attract more and more customers to become the favourite restaurant of the area.

A provision for communicating market and product positioning strategies to the target market are by various advertising channels. Some of the advertising channels company is going to use are:

Local newspaper

Broachers

Company website

Radio

Billboards

Promotional coupons

Element 4

1.

Market segmentation outcomes: The market mix helps the market segmentation to define the market options in terms of place, price promotion and product. On the basis of the market segmentation, location is very important to run a successful business and by market segmenting the restaurant is running a very successful business as there is no other restaurant nearby.

Marketing positioning strategies: The marketing mix defines to promote the product in order to position the company in a safe place. The company is getting feedbacks from the customers and running various promotions time by time which help the company to hold the position in the market.

Significant cultural influences and impacts: The implications of marketing mix decisions on significant cultural influences is that the Indian restaurant attracts the Indian community and as the location has a large amount of Indian residents which helps the business to run a successful business in the area.

To monitor the restaurant’s market position, restaurant is running the strategy to get the customer’s to fill the feedback form time by time. As well as the restaurant has a complaint box situated near the reception, this helps the company to find the drawbacks of the restaurant. The company is looking into the CCTV cameras time by time to find any consequences. There is a review procedure every 3 months which helps to identify the problems within the restaurant and managers and the staffs tries to solve those problems as quickly as possible.