Segmentation
Our market is the Finnish wine market. In order to segment our market, we have decided to focus on the segmenting method called “behavioral” among the segmentation methods of Philip Kotler.
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Segment |
Demand |
|
Wine for pleasure |
– Segment of the wine lovers, wine specialists : consume and collect wines. – Ready to spend a lot of money on wines they covet, that is to say that it isn’t a problem for them to pay 50 euros for a bottle of wine they would like to taste. – Buy and consume wines very regularly. – Can buy wines compulsively. – Have a prefered type of wine (country or grape specific for example) – Have an extensive knowledge about wine : oenology experts. – Prefer to order wine over beer or long-drinks at the restaurants-bars. – Finns between 30 and 45 years old, with high incomes. |
|
Wine for partying |
– Finns that consume wine only on going out / partying / getting drunk context. – Usually only buy cheap wines : less than 10€ the bottle of wine. – Drink wine, but also beer, cider, long-drinks, spirits. Wine isn’t their favorite alcoholic beverage. – Don’t have any specific knowledge about wine. So they will most of the time buy a bottle of wine based on packaging and price. – Finns between 18 and 30 years old with a low to medium incomes. They tend to prefer quantity over quality when it comes to alcohol. |
|
Wine for dining |
– Finns that like to share a good bottle of wine with a nice meal. – Wine consumed most of the time in groups with friends and family : at home for a diner or at a restaurant. – Know a little about wines. They know the basics such as associating a red wine with red meat. – Usually choose a bottle of wine at Alko on the advice of a friend, a salesman or a magazine and on the advice of the waiter at the restaurant. – Don’t necessarily choose a glass of wine when they are at the bar but they enjoy one from time to time. – Finns between 25 and 50 years old, with medium to high incomes. |
Targeting
The characteristics for an effective segmentation are:
– Measurability: size and purchasing power.
– Accessibility: degree to which segment can be reached and served.
– Substantiality: the segment is profitable enough.
– Actionability: Possible effective strategies to reach the segment.
Thus, according to those, we have decided to target the Wine for Pleasure segment. Indeed, it seems that this segment meets the criteria for effective segmentation stated before.
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Measurability and Substantiality: according to the studies done in the market analysis part, the size of this segment keeps growing and its purchasing power & profitability are really interesting. Indeed Finns in this segment tend to have a standard of living quite high. Moreover, there are more and more Finns that are getting interesting into wines.
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Actionability : this segment keeps up with wine news quite often through wines magazines or wines websites, blogs and social media. Therefore, our segment could be reached using magazines or online strategies, with different types of promotions.
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Accessibility : 2 channels of distribution are available in Finland: mass market with Alko & specialized markets with restaurant-bar-hotel channel. we have decided to use the second channel which is in adequation with the good quality product we have (more information in the Distribution Strategy part).
Thus, according to our strategy of distribution, we think that this segment is also the best target we could have.
All the questions of Positioning will be develop further in our marketing strategy for Finland and will include an analysis of the 4Ps.
French wines & Exportation 