Chapter 8: Segmenting and Targeting Markets

 Burberry as a company realizes the great importance of market segmentation and incorporates this strategy with the company. Burberry sells their products to countries all over the world so they must differentiate their target markets and the actual products they sell.  Below shows specific segmentation categories and how Burberry uses them to benefit their company.

Geographic Segmentation- Burberry first started out as a company that only sold outerwear. The reason for this is that in london it was very cold and people needed to shelter themselves from it. Burberry originally created trench coats, its, scarves, gloves etc. As burberry expanded they realized they can't sell all of these items to countries with hotter climates. This is why they expanded to sell fragrances, accessories, bags, etc.


Demographic segmentation- Burberry has to differentiate some customers with others to see who they want to target. Burberrys products are generally high so they usually target 19-35 year old people with a high income. Burberry sells their products to men and women and to any race. An example of how they use Demographic Segmentation is how when they sell their products to the people of japan they had to create two different brands. One is called Burberry Black Label, and one is called Burberry Blue Label. These brands differ because in one of them the clothing are tight fit while the other is loose or regular fit.


Pyschographic segmentation- Burberry tries to use this on their customers a little but usually it happens naturally with a high end brand. Customers who always buy products from one specific brand usually stick with that brand and won't buy any other company. Burberry is trying to make it the next cool and hip thing to do if you are wearing their products. They don't want to be known as the high end company for grandmas ( some companies really are).


Multisegment Targeting- With some of Burberrys products they target several different people. For example the trench coat. A man can be seen wearing one and so can a women. It is a very popular staple in the English communities.


Customers of high end companies take their buying habits personally and they want to be treated in the best of ways. With these type of consumers Burberry will potentially give them a personal shopper to help the person see what they like and to give confidence to that person.