Miranda has a great idea for a new shoe store. When she first conceived of the idea, she believed her target market would be the entire shoe market. However, as she learned more about marketing, she realized that different types of consumers were looking for different types of footwear. She also learned that some segments of the population would be much more profitable than others. Miranda has used a number of variables to divide the market into different groups, including those that use shoes as a status symbol, those that use shoes for sports, and those who wear shoes simply because they are comfortable. At what stage of the target market selection process is Miranda currently?
A)Step 1: Identify the appropriate targeting strategy
B)Step 2: Determine which segmentation variables to use
C)Step 3: Develop market segment profiles
D)Step 4: Evaluate relevant market segments
E)Step 5: Select specific target markets

Question

Quizplus · Accepted Answer

Miranda is at the stage where she is developing market segment profiles, as she is dividing the market into different groups based on variables such as the purpose of the shoes (status symbol, sports, comfort), which is indicative of creating profiles for each segment.

Miranda Has a Great Idea for a New Shoe Store