Egyptian Market Segmentation - Presentation Transcript

1. Market Segmentation “ Market segmentation is a natural result of the vast differences among people.” Donald Norman

2.o The purpose for segmenting a market is to allow your marketing/sales

program to focus on the subset that are "most likely" to purchase your offering.

o This will help to insure the highest return for your marketing and sales expenditures.

Why Market Segmentation?

3. Successful Segmentationo Homogeneity within the segment.o Heterogeneity between segments.o Segments are measurable and identifiable .o Segments are accessible and actionable .o Segment is large enough to be profitable .

4. S A D A Mo S Substantial: the segment has to be large and profitable enougho A Accessible: it must be possible to reach it efficiently.o D Differential: it must respond differently to a different marketing mix.o A Actionable: you must have a product for this segment.o M Measurable: size and purchasing power can be measured.

5. Segmentation Variables Region Country Climate Age Gender Income Education Occupation Personality Lifestyle Value Attitude Benefit Sought Brand Loyalty Usage Rate Decision Making Geographic Demographic Psychographic Behavioral

6. EGYPTo Demographics of Egypt

Egypt is the most populous country in the Arab world and the second-most populous on the African Continent. Population: 70,000,000 (1/1/2005 est ) Age structure: 0-14 years: 35% 15-64 years: 61% 65 years and over: 4% (2000 est.) Population growth rate: 1.72% (2000 est.) Death rate: 7.83 deaths/1,000 population (2000 est.) Ethnic groups: Eastern Hamitic stock (Egyptians, Bedouins, and Berbers) 99 %, Greek, Nubians, Armenian, other European (primarily Italian and French) 1 % Literacy: Total population: 51.4%

7. 70,000,000 Egyptian Segmentation

8. Today’s Variableso Name of Segmento Percentage of it’s Populationo Annual Incomeo Lifestyle Patterno Targeted Product

9. An Overall Glance…10.The Moon Walkers

o Name: The Moon Walkerso Population: 2%o Income:o Lifestyle: Ultra Luxuriouso “ Enjoying the Money”o Products Offered:o Man-Made Islandso Moon Walko Personal Jet Planes

20,000,000 20,000,500 20,001,000 20,001,500 20,002,000 20,002,500

11.The Weekenderso Name: The Weekenderso Population: 8%o Income: 2,000,000o Lifestyle: Reaping the fruit of the Hard Work. Holiday loving people &

Innovators.o Products Offered:o Personal Yachts/Jet Skis/Beach Buggieso Real Estate - Compounds

12.The Rising Starso Name: The Rising Starso Population: 30%o Income: 80 to 150,000o Lifestyle: Well educated & striving for growth. Capitalist mentality.o Products Offered:o Insuranceo Pockets PC’s/Laptops/4X4’so Trainings/International Schools13.o Name: The Hunterso Population: 20%

o Income: 30 to 40,000o Lifestyle: Ambitious but only covering basic and social needs. Earning

for children’s better future.o Products Offered:o Bank Loans / Language Schoolo Subsidized Holiday Package

The Hunters

14.o Name: The Masrawyso Population: 40%o Income: 10 to 15,000o Lifestyle: Focused on life necessities. No priority for Education but

Earning oriented.o Products Offered:o Forged Brand Products ex. Adidabaso Forged Medications

The Masrawys

15.Conclusiono Egypt has high potentiality in Market Segmentation.o This country has differentiating variables to focus on while marketing

like Social Class, Age, Income & Lifestyle.o Marketers in Egypt should ‘avoid’ the mistake of standardizing the

product for all markets.o Egypt does insure high returns if the product is marketed to it’s potential

consumers.