this video will explain how market segmentation as a marketing strategy links with the Qantas case study market segmentation is the strategy used by Qantas to identify its target market market segmentation is defined as the process of dividing up the total range of potential or current customers into smaller discrete groups to facilitate analysis and planning through market segmentation Qantas is able to better meet the needs of all its customers compete more effectively in the marketplace and to meet its marketing objectives market segmentation at Qantas also allows it to customize its marketing mix in order to meet
the different needs of its target market customer groups Qantas targets various customer groups including economy business and first-class travellers customizing the marketing mix to these groups allow Qantas to refine its products set prices determine the place of sale and focus promotional techniques to better cater for the needs of each market segment the four main types of market segmentation include Geographic psychographic demographic and behavioral segmenting the market into groups of customers allow the business to design and implement various marketing strategies that suit the needs and interests of that particular group of people Qantas mainly uses behavioral
segmentation to select its target markets by is a distinguished according to trick purpose for example business and leisure or non-business travellers there are many different reasons for travelling within the broad categories of business and leisure the business segment is further broken down into routine business conferences or seminars and emergency business all these reflect passenger needs and benefit sorts the leisure segment is broken down into holiday which includes a tour segment multi destination touring segment week in the segment and visiting family and relatives these categories are also further segmented demographically into the type of traveler based
on age gender family life cycle and income while Qantas is a full-service premium carrier it has taken advantage of changing customer requirements and has established a number of new airlines each within its own target market these highly differentiated brands appeals different customer segments the first of these brands is jet star domestic which targets cost sensitive travelers primarily on low-cost leisure routes to Australian destinations like the Gold Coast Sunshine Coast Cannes and Alice Springs to name a few the next brand is jet star International which targets leisure travelers to destinations like Bangkok Ho Chi Minh City
Bali and Honolulu that were previously unprofitable for Qantas operation in more recent years Qantas has taken advantage of the growing intra Asian travel market by establishing Jetstar Asia Jetstar Pacific and Jetstar Japan it is important to realize that market segmentation at Qantas is complex because each segment has distinctive and different needs and expectations based on a different target markets Qantas caters for if you liked this video and found it informative please subscribe and give it a thumbs up thank you for watching educate
