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Showing posts with the label customer demographics

Wine Review: Tisdale’s Merlot Serves its Market Segment Well

Enjoy Tisdale’s California Merlot without having to worry about the cost. Black cherry, mixed berries, and undercurrents of spices this medium bodied wine is still full-flavored. The wine may cost less than $5 a bottle but offers a solid product in their core market segment. You won’t get kudos for your wine sophistication but you can come home with something versatile and drinkable.  Business isn’t always about offering the most expensive product at the highest price. Price sensitive consumers regularly purchase cheaper priced wines with satisfaction. Pricing strategies should consider the consumer segment and the company’s objectives when pricing their products (Duck, 1994). Are you seeking quality or quantity? Companies will use market segmentation to understand and reach their target market. In the case of wines, this could include multiple bands of prices ranging from the price sensitive shopper to the status oriented shopper. If fewer competitors are in the low pri