Case:

“Yuva” is a fitness band catering to Indian youth in lower price segment. There is a vast
market who are health conscious and wants the latest tech in wearable device category. There
are currently two fitness band that is being sold by the company.
Given below are their prices.

Yuva Basic Rupees 899/-

Yuva Pro Rupees 1199/-

The product quality is good given the price range. It has all fitness feature supported by
colourful design. It has a bigger display as compared to their competitors. The company has
purposely kept the display bigger for the youth audience as they want the feel of a
smartwatch at the price of a fitness band. The company has a plan to sell only through an
online platform. The product is available on the major e-commerce platform as well as on the
company’s website. It has just been 15 days that the product is launched but it doesn’t have
any demand from consumers. There is no problem with the product but there are no
promotions done by the company. You have been hired as a Marketing head of the brand
Yuva.

1. Suggest various types of segmentation for brand Yuva.

Answer:

INTRODUCTION
Marketing in simple terms means creating awareness of any product within consumers
through different sources like Television, Branding etc. It is a management process through
which products and services move from concept to the customer. It includes identification of
a product, determining demand, deciding on its price, and selecting distribution channels. It
also includes developing and implementing a promotional strategy. Marketing refers to the
activities of a business related to buying and selling a product or service. It involves finding
out what consumers want and determining whether it is possible to produce it at the right
price. The company then makes and sells it.

CONCEPT AND APPLICATION:

Below are four different types of the marketing segmentation which would help to promote
brand Yuva.
 1. Demographic segmentation
Demographic segmentation is one of the simplest and widest type of market segmentation
method used. Most companies use it to get the right population in using their products.
Segmentation generally divides a population based on variables. It has its own variables such
as geography, age, education, income and occupation. Here brand yuva should also divide the
potential market according to geography, age, education, income and occupation.
2. Behavioural segmentation
This type of market segmentation divides the population on the basis of their behaviour,
usage and decision making pattern. As the name suggests, this category of segmentation
studies the behavioural traits of consumers their knowledge of, attitude towards, use of,
likes/dislikes, or response to a product, service, promotion or brand. In case of brand Yuva
this would be one of the important segments as dividing market into smaller segments and
each with a common variable would allow brands to use valuable time and resources more
efficiently. Because if every consumer experience the same marketing technique then it
would only work for some of them. But by understanding the prospective market better and
dividing them accordingly one would help to meet the need.
For example – Young people will always prefer Dove as a soap, whereas sports enthusiast
will use Lifebuoy. This is an example of behaviour-based segmentation. Based on the
behaviour of an individual, the product should be marketed.
3.  Psychographic segmentation
Psychographic segmentation is one which uses lifestyle of people, their activities, interests as
well as opinions to define a market segment. Psychographic segmentation is quite similar to
behavioural segmentation. But it also takes the psychological aspects of consumer buying
behaviour into accounts. It is mainly conducted on the basis of “how” people think and
“what” do they aspire their life to be. Any organization which intends to understand their
consumers’ thought process can divide their target market according to this segmentation
method. Psychographic market segmentation is one of the most effective segmentation than
other segmentations. In case of brand Yuva referring to this segmentation could cater to
consumers with similar likes and needs and offer them something they value.
4. Geographic segmentation
It is the market segmentation strategy in which the market is divided on the basis of
regions or geographies. Geographic segmentation can be classified by parameters like
countries, states, cities, villages, urban / rural, climatic conditions, density of population.
 This type of segmentation helps to reach out to customers living in a similar region or
area and have identical needs. Your potential customers will have different needs based
on the geography they are located in. Hence need could vary from location to location.
Referring to this segmentation brand Yuva should understand the need, requirement of
different cities or geographies and do marketing accordingly as fitness band is mostly
used by people living in cities comparing to villages.

CONCLUSION:
Brand Yuva could use all above four types of marketing segments to understand and
segregate the market. It would also give brand Yuva an idea which marketing method
would be best and profitable depending upon the need, requirement of consumers for that
particular state or city. This would help brand Yuva to provide the products to customers
which they are looking for also it would lead to higher response rate.

Question:
2. How will you promote the brand Yuva online? Suggest a minimum of five online
platforms through which you will promote the brand and increase the sale.
Answer:

INTRODUCTION:

In business, promotion is any communication that attempts to influence people to buy

products or services. Businesses generally promote their brand, products, and services by
identifying a target audience and finding ways to bring their message to that audience.
Promotion is a vital aspect of any business. Without at least some level of promotion, a
business can't get customers and without customers business would never survive and might
get closed. Online promotion is one of the best ways nowadays to promote or sell any
products to customers as billions of customers now prefer to purchase products online by
sitting at home. Also, this would help any business to reach large number of customers
globally within very less cost.

CONCEPT AND APPLICATION:

Below are five online platforms through which Brand Yuva could be promoted and sales
could be increased easily –

1. Facebook

Facebook is an ever-growing platform which keeps incorporating changes to cater

larger audiences. There are many ways through which brand Yuva can sell directly on
Facebook. The very recent Facebook marketplace is a great platform for people who
want to sell their products locally. It connects buyers and sellers easily and almost
 anyone on the platform can sell. Facebook also has an option of Facebook groups.
These are groups formed by individuals with a purpose to buy and sell. Thus, this is
where brand Yuva can sell the products and even market them. By sharing pictures,
answering people’s queries, It can showcase the brand to a passionate segment of
people who will further promote goods through word of mouth. Facebook pages are a
great way to promote the brand’s identity and direct customers to the store. It is one of
the best ways to reach people and market our brand as this is one of the leading
applications which is used by billions of people globally. This would help brand Yuva
to reach people globally also would increase the sales.

2. YouTube

YouTube cannot be directly used for selling but it is a great platform for marketing your
brand and bringing more users to your store. By posting authentic videos of customer
testimonials, know-hows, upcoming sales, and current offers, a larger set of users can be
directed to your store. If you are looking out to sell through social media, make sure you
adapt to these platforms and make use of all the features. These features help you connect
with the customer. Rich content and proper information shall go a long way in generating
leads for your e-commerce business. While you’re out there selling your product, it will only
reach the customer once it is shipped through secure channels. So in the hustle of selling, do
not ignore shipping. Make sure you go through channels which offer features like integration
with the marketplace, Inventory management and shipping at reduced costs so that you can
easily manage your business without spending time coordinating with one courier partner.

3. LinkedIn

Unlike other social media platforms, LinkedIn is especially focused on professional people. If
someone is active on LinkedIn that means he or she is using this platform to connect with the
like-minded professionals of his or her fields. LinkedIn has a highly sophisticated
marketplace and it needs to be utilized accordingly. Brand Yuva could use below steps to
start selling on LinkedIn:
 Create a professional-looking profile for yourself, with a clear profile picture and
mention your field of work as well as your business.
 Create a business page for your business and link your website there.
 Search for relevant people who could use your products or services using specific
keywords like ‘digital marketing’ if you are selling any SEO tools.
 Add those people in your connection by sending a personalized connection request.
 Research about the potential buyer. Find out their interests by looking at their
activities.
 Send a personalized sales pitch to them and patiently wait for their response.
 If they start a conversation and show interest, educate them further and redirect them
to your website.
 If they don’t show interest, don’t force them and simply move on to the next prospect.

4. Pinterest
Like Instagram, the Pinterest app also provides a buyable pin option to the businesses, where
we can tag your product and redirect the user to your online store. This tag is available for E-
commerce platforms such as Shopify and BigCommerce. While buyable pins are limited to
only the US merchants, there is one more way to promote your business online using
Pinterest- Rich Pins. These pins are specific to the kind of content we are promoting our
business with like products, articles, recipes, or app. This way our audience knows what
exactly to expect from the redirect.

5. Twitter

Twitter is one of the older social media platforms, and it has 336 million monthly active
Twitter users. We can post photos and videos along with character-limited copy, but Twitter
is most known for its feed of real-time updates. Twitter is also great for engaging new
potential customers through its use of hashtags. Similar to Instagram, we can search a hashtag
and find other posts from consumers and businesses alike that have used that hashtag. This
means we can find consumers searching for something that our company offers and vice
versa. For example, Brand Yuva is fitness company, then we can literally find people
tweeting about how they need to get fit depending on how they’ve used hashtags in their
tweet. We can then tweet them with a discount for our fitness products, and then we might
get a new customer.

CONCLUSION:

These are some of the online platforms which brand Yuva could use to reach people globally
and promote its product within very less cost, also brand Yuva could easily sell fitness
products during this COVID-19 situation by creating an eye-catching video or image as
majority of people are working from home and have become fat or lazy. This would help
brand Yuva to increase the sales easily by focusing more online promotion through online
platforms and delivering products at customer’s door step.

3. Question

a. Explain any five factors that will influence the consumer behavior for the purchase of Yuva
Fitness Band.

Answer

INTRODUCTION:

Consumer behaviour can be defined as the study of psychological, physical and social actions
when individuals buy, use and dispose of products, services, ideas, and practices. In other
words, consumer behaviour is the study of how consumers will make their buying
decision and what those factors which support or influence these decisions. Consumer
behaviour has become very important for businesses by understanding this concept it
becomes very easy to identify which product is in demand and which is obsolete so that
marketing strategies can be designed accordingly. It refers to the study which analyses how
consumers make decisions about their wants, needs, buying or act with respect to a product,
service or organization. It is very critical to understand the behaviour of consumers to analyse
the behaviour of potential consumers towards a new product or service. It is also very useful
for companies to identify opportunities which have not yet been met. On the other side, those
companies which failed in monitoring consumer behaviour could not manage to fill this void
in marketplace and were left behind. Understanding the behaviour of consumers allows pro-
active companies to increase their market share through anticipating the shift within
the consumer choice.

CONCEPT AND APPLICATION:

Below are some of the factors which affects the behaviour of consumer, which are as follows
–

1. Cultural Factors

Consumer behaviour is influenced by cultural factors like social class, buyer’s culture, and
subculture. There are three types of cultural factors include social class, culture, and
subculture. Culture can be different by region, different groups and even countries. Cultural
shifts are always important for marketers whether marketing a new products or existing
products with new features and attributes. For examples nowadays cultural shift towards
health and fitness has created a huge demand for exercise equipment, low calories and
organic food and other fitness services. This cultural shift greatly influenced the consumer
behaviour throughout the world.

2. Social Factors

Social factors greatly influence the purchasing behaviour of consumers. Social influencers are
diverse and include family, school or work communities, social interaction or any group with
which an individual interacts. It also includes an individual’s social class which comprises of
education level, living conditions, and income. Social Reference. For example, Last month I
decided to go for early morning walk or cycling but late I joined the gym, what factors affect
my decision and I joined gym. It was because my closest friend already had joined gym and
he lost his fats.

3. Personal Factors

Personal factors impact buying decisions and include age, economic situation and occupation.
In considering personal factors, buying behaviour is also influenced by habits, opinions and
interests along with other personal issues. Human Life Cycle Stages is another example, here
marketers target markets based on the human life cycle. They will target teenagers with
bright colours, loud music and fast food. A young couple will prefer to buy a retirement plan
and secure their future. Lifestyle means how a person lives in a society. For example, you are
living in a posh area and people have expensive watches, branded clothes and luxury cars.
You have to maintain your status and image.

4. Psychological Factors
Psychological factors that impact buying decision includes perception, motivation and beliefs
and attitudes. Every consumer will respond to marketing message based upon their attitudes
and perceptions.

CONCLUSION:

The above-mentioned factors would have a great influence on consumers of the Yuva brand.
Hence should keep all factors in mind before targeting any customers or business. If brand
Yuva is able to understand and considers all these factors then it would be able to
successfully increase the sales.

Question:

b. Explain various stages that a customer will go through in the purchasing decision of the

Yuva fitness band.

Answer:

INTRODUCTION:

The buying decision process is the decision-making process used by consumers regarding the
market transactions before, during and after the purchase of a good or service. It can be seen
as a particular form of a cost–benefit analysis in the presence of multiple alternatives.
Common examples include shopping and deciding what to eat. When it comes to marketing
of goods or services, understanding your customers buying decision-making process matters.
Many small businesses fail to recognise how important it is to understand their customers
buying decision process. The good news is, it’s quite a quick and simple task. It just requires
placing yourself in your customers’ shoes and applying some logical thought.

CONCEPT AND APPLICATION:

Below are five stages which customer would go through in purchasing decision of Yuva
fitness brand: -

1. Problem recognition:
This step is also known as recognizing of unmet need. The need is a source or force of buying
behaviour. Buying problem arises only when there is unmet need or problem is recognized.
Need or problem impels an individual to act or to buy the product.

2. Information Search:

Once problem or need is understood, the consumer start searching for the product and service
they are actually looking for. Interested consumer will try to seek information. Now, he will
read newspapers and magazines, watch television, visit showroom or dealer, contact
salesman, discuss with friends and relatives, and try all the possible sources of information.

3. Evaluation of Alternatives:

In the former stage, the consumer has collected information about certain brands. Now, he
undergoes evaluation of brands. He cannot buy all of them. Normally, he selects the best one,
the brand that offers maximum satisfaction. Here, he evaluates competitive brands to judge
which one is the best, the most attractive.

4. Purchase Decision:

This is the stage when the consumer prefers one, the most promising band out of several
brands. The former stage helps consumers evaluate various brands in the choice set. The
brand that offers maximum benefits or satisfaction is preferred. Simply the most attractive
brand, that can offer more benefits in relation to price paid is selected by comparing one
brand with others. Comparison shows superiority or inferiority of the brands.

5. Post-purchase Decisions:

Consumer buys the product with certain expectations. Though he decides very systematically
but there is no guarantee of complete satisfaction. There is always possibility of variation
between the expected level of satisfaction and the actual satisfaction. His subsequent
behaviour is influenced by degree of satisfaction or dissatisfaction.

CONCLUSION:

Above mentioned are the various stages that a consumer would go through before purchasing
decision of Yuva fitness brand. By keeping all these stages, the Yuva brand should decide on
fitness brand's marketing and sales. If these stages are not taken into consideration, then there
is a possibility that company may face a huge loss also would lead to customer
dissatisfaction.