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So next is the TECHNIQUES USED FOR LOCATION PLANNING AND ANALYSIS

Segmentation Strategy

 Demographic Segmentation
Age gender lifecycle and occupation
 Psychographic Segmentation
Social Class and Lifestyle 7-Eleven focuses on segments of middle-upper and upper social classes
 Geographic Segmentation
Focus of 7-Eleven remains on the urban part of the population
 Behavioral Segmentation
Personality, usage frequency and degree of loyalty of consumers

Market Segmentation

 Mass marketing

7-Eleven uses demographic segmentation strategy with age as the parameter. The main target segments
are adults and youth. They also target mainly the working people or families whom have no time to go to
supermarket to buy groceries. They take children into consideration because the children are more
attract to the freebies and candies. The youth also prefer convenient store to get their prepaid reload or
withdraw money. The busy kinds of people choose 7-Eleven because it is convenient to get anything and
also it is easy to find. 7eleven’s biggest target market is busy shopped at an everyday store. It has tailored
its products and services like speedy transaction to meet the needs of these shoppers.

The company’s other target markets are coffee the beverage lovers. That’s why it has put much emphasis
into making some of the finest fresh-brewed coffee, sloppy and big gulp beverages which it is well known
for around the world. The company also offers smart snacks and to go meals to better target busy people
in fast paced cities or countries. Its customers mostly are male (60-70%) , age 18 to 44 years old . In
addition the company targets low income workers and students as their secondary market, which is why
7-eleven opens 24 hours, provides games and fun at low prices. Thus the company serves a more diverse
market than most convenience stores. As for the teenagers or students, they love the prepaid phone
cards because they make them more independent.

7eleven basically relies there location strategy by analyzing their market segmentation wherein 7 11
focuses on mass marketing and the dongalo branch of 7 11 is located in the places within/near
establishments such as beauty salons, schools, police stations and even along fast food chains. It also
established branches near residential areas such as condominiums and subdivisions, loading zone
wherein there is stoplight, bridge crossing and usually located in intersection where many people pass by
and rushing whether to go to their offices or to their homes. Thus, most of their customers composed of
office employees, condominium tenants, and their household, students from elementary to college,
passersby specially commuters and families living nearby the branch that look for a convenient and
instant store to buy common commodities.
In the convenience store industry like 7 Eleven, what matters a lot are the location and the customer
service. Even stoplights and foot bridges are important considerations in getting the location of the
convenience store. These landmarks ensure that there is constant pedestrian traffic that can potentially
be customers to the convenience store. Customer service greatly affects the “convenience” that is being
offered by the store

That’s all for my part, next reporter Ms. Julie Taperla

6. Segmentation of 7-Eleven
7-Eleven marketing strategy uses different means of segmentation to reach an increase in market
penetration.
6.1. Demographic segmentation
6.1.1. Age
7-Eleven has consumers of age groups
 20-45 years
 45-60 years
6.1.2. Gender

 7-Eleven has a broad product portfolio for both males and females
6.1.3. Life-cycle stage
Consumers for 7-Eleven, according to the marketing strategy, are in the following various life
cycle stages:
 Single students
 Single graduates
 Single people living at home/not living at home
 Young couples without children
 Married couples with one to four children – all at home
 Married couples with one or two children in college
 Old married couples with an empty nest
6.1.4. Occupation
The marketing strategy devises the following occupations for 7-Eleven consumers:
 Professionals
 Students
 House makers
6.2. Psychographic segmentation
6.2.1. Social class

 7-Eleven focuses on segments of middle-upper and upper social classes


6.2.2. Lifestyle
7-Eleven consumer segments have the following lifestyle characteristics:
 They aspire towards a better and higher living standard
 They want to be successful – professionally and socially
 They are not hesitant to try new things, products and services in life
 They are confident in their behaviour and attitude
 They are mainstreamers in their fields
6.3. Geographic segmentation
6.3.1. Region

 7-Eleven has operations spread across the western developed countries such as America, the
united kingdom, and the Netherlands
 It also has operations in emerging markets such as Brazil, India, and China
6.3.2. Density

 The focus of 7-Eleven remains on the urban part of the population


6.4. Behavioral segmentation
6.4.1. Personality
The marketing strategy defines personality characteristics for the consumers of the brand of 7-
Eleven, such as:
 Determined
 Confident
 Ambitious
 Hardworking
6.4.2. Usage frequency

 The consumer segments for 7-Eleven are regular and frequent users of the product
6.4.3. Benefits sought

 Consumers seek functional benefits


 The focus, however, is more on the emotional benefits reaped from the consumption of the brand
6.4.4. Degree of loyalty

 Consumers are very loyal


 Have an emotional attachment with the brand
7. Targeting of 7-Eleven Positioning of 7-Eleven
The marketing strategy of 7-Eleven targets consumer groups based on segmentation as follows:
7.1. Target market

 The target market for 7-Eleven is from middle to upper class


 The target market is ambitious and desires to purchase high-end consumer products
 This target market also seeks affordability
 To meet target market expectations, the 7-Eleven focuses on quality control
7.2. Mass marketing

 The marketing strategy of 7-Eleven focuses on mass marketing


 This also requires unique marketing designs and product promotion programs
 7-Eleven makes use of one strategy to influence all segments
7.3. Undifferentiated marketing strategy

 7-Eleven does not differentiate between market segments


 It uses a single marketing strategy to target all segments and consumer groups
 Based on this, 7-Eleven also created the marketing mix under the marketing strategy as a singular
one for the whole market – regardless of the segmentation divides.
7.4. Focus on quality

 7-Eleven has created, developed, and maintained a brand that satisfies all consumers under the
undifferentiated marketing strategy and mass marketing
 No compromise on quality has been made in the broad product portfolio
 To ensure the influence of a single marketing strategy, the 7-Eleven has also adopted a consumer-
centric approach in its overall marketing strategy and operations as well
 This was used for targeting strategy as well as for maintaining growth

So next, Lets discuss the Process Strategies

A process strategy is a documentation approach that helps a business achieve their goals and transforms
resources into goods and services. In this strategy it defines a specific process, explores its goals and
provides detail on how to bring the desired outcome.
The major processes that are included in process strategy are process structure which determines how
processes are designed relative to the kinds of resources needed while customer involvement are the ways
in which customers become part of the process.

So the process strategies that 7 11 used are the combination of product focus strategy and mass
customisation strategy.

For 7 11 to keep up with the competition since there are many convenience stores that are also open they
keep up with it by updating their goods based on market success rates. They produce, improve and
enhance the existing products rather than focusing on new ones. So if we compare Walter mart
Convenience Store to 7 11, 7 11 have ready to eat food like sandwiches, foods for lunch and etc, you can
also buy snacks like donuts, siopao, and etc that other convenience stores do not have. So while
producing and enhancing their products, 7 11 also uses mass customisation strategy. All of us know that
slurpee is the popular product of 7 11 aside from ready to eat foods. So to have the slurpee, 7 11 uses
specific machine called slurpee machine to make it. So if we look in to it, 7 11 focuses on mass marketing
which helps the business to influence all segments mentioned in segmentation strategy. And also through
the help of segmentation strategy, 7 11 have enough information about the consumers and they can
improve certain products based on the consumers buying behavior and reviews.

That’s all for my part, next reporter Mr. Lance Ladringan.

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