Question

Variation in customer needs is the primary motive for market segmentation. When consumer preferences vary, marketers can design a marketing mix program that is tailored toward the needs of the specific segments that the firm targets. Marketers select one or more segmentation bases (e.g., age and lifestyle) and slice up their prospective customer base according to the chosen criteria. Marketing programs are then developed that are in tune with the particular needs of each of the segments that the company wants to serve.

One demographic trend affecting both developed and developing countries is the aging of the population as life expectancy rises. One Euromonitor study predicted that China alone will have an increase of nearly 90 million people aged 65 and above during 2018–2030. Many of these developing countries are lagging behind their developed counterparts in terms of addressing the needs of senior citizens. Many of these countries lack social protection support for the elderly. Many of the over‐60s tend to be cautious spenders.

What do you see as some of the opportunities and challenges targeting the elderly in developing markets for: Coca‐Cola? Apple? Mars? Procter & Gamble?

Answer 1

Targeting the elderly in developing markets presents opportunities and challenges for companies like Coca-Cola, Apple, Mars, and Procter & Gamble.

Step-by-step explanation:

Targeting the elderly in developing markets can present both opportunities and challenges for companies like Coca-Cola, Apple, Mars, and Procter & Gamble.

Opportunities:

• Coca-Cola: It can develop marketing campaigns and products targeting the elderly that focus on health and wellness, such as low-sugar or diet beverages.
• Apple: It can create user-friendly and accessible technology products for the elderly, such as large-button smartphones or tablets with adjustable font sizes.
• Mars: It can produce snacks or candies specifically designed for the dietary needs or preferences of the elderly, such as sugar-free or softer textures.
• Procter & Gamble: It can develop personal care products for the elderly, such as easy-to-use grooming tools or skin care products that cater to specific age-related concerns.

Challenges:

• The lack of social protection support for the elderly in developing countries can hinder market penetration for these companies.
• The cautious spending behavior of the elderly can affect the demand for non-essential products.
• Cultural differences and preferences may require localized marketing strategies and product adaptations.