The paper "Eco Shack Marketing" is a perfect example of a case study on marketing. The demand for environmentally friendly products and services has driven the producers to develop products, which fulfill the requirements of consumers. Different products ranging from beauty to airline products and services have been developed with the aim of sustaining the environment. The aim of this report is to analyze Eco Shack, which is an organization that specializes in the development of a portable house and are built with environmental sustainability consciousness. The report analyses the segmentation basis applicable to both products: Urban Eco Shack and Standard Eco Shack.
In addition, the report analyses the positioning and branding applicable to the product. Segmentation Basis – Urban Eco Shack Market segmentation is the strategy that is utilized in dividing a larger market into smaller and different homogeneous groups of customers. This is because a single market consists of buyers who vary from other customers in different ways (Franzen and Moriarty, 2008). Variation among these customers depends on various factors that might include resources, wants, locations, buying attitude and buying practices (Kumar, 2007).
The aim of segmentation is to target larger heterogeneous markets and divide into smaller segments that an organization can maximize to ensure efficiency and effectiveness are achieved with services and products that are applicable to the unique needs for that segment (Dibb and Simkin, 2013). Therefore, market segmentation is important for these companies that service a larger market. Some factors to be considered while selecting market segments include accessibility, measurability, durability, unique needs, and substantiality. However, the most important component that marketers utilize and base their segmentation requirements are geographical variables, psychographic variables, demographic variables, and behavioral variables.
Eco-Shack business also understands this requirement and therefore it has to utilize segmentation into accessing the appropriate market segment. Demographic segmentation utilizes various demographic factors such as social class, gender, income and age in segmenting the customers. The demographic variables bring into consideration factors such as usage rate, wants and consumer and obtaining such information is important in formulating and implementing a market strategy. Urban Eco Shack products would be positioned based on this framework since the disposal incomes and other factors play an important role in acquiring housing (Franzen and Moriarty, 2008).
The utilization of demographic segmentation is the major tool utilized by numerous organizations across the world since organizations can categorize consumers’ needs on the basis of demographic factors such as income. This is because the variables are an issue to obtain and utilize if compared to other segmentation variables (Kumar, 2007).