Pacific Brands: Segmenting Australian Brassiere Consumers

Case study - Pacific brands: Segmenting Australian brassiere consumers

1. What are the key segments of brassiere shoppers, according to differences in consumers’ physical, psychological, and retail experience needs?

To segment the PBG market to identify different customer needs and wants, I used the segmentation and classification tool to figure out the key segments of brassiere shoppers. I divided the market in four key segments.

Segment 1 – Has 6% market share. This segment is over 55 age group and they prefer convenience of shopping over price and style. They are not style conscious and are not the first to try any new fashion. They do not take any efforts to know what is in trend. They expect a good sales assistance and rely on them during purchase. So, sales assistance impacts their purchase decision.

Segment 2- Has a 52% market share. This segment falls in the age group between 25-39. This segment is made up of fashion forwarded female consumers who are usually first to try new trend. People consider them fashionable and ask their suggestion during purchase. These women value the brand and they even pay higher price on an average $50-$150 per month for popular brands or designers. They follow magazines, news paper and ads to be updated on fashion trends.

Segment 3 – Has a 31% market share. Their age group is 40-54. They are a very calm customer base. Very neutral when it comes to spending. They spend an average of $50/month on clothing. Not very fashion forward or they don’t follow trends. At the same time, they will not settle for poor quality. They are the neutral customers.

Segment 4- This segment covers 10% of market share. These customers focus mainly on the utility of the brassiere, and they are very particular about the shape of the bra when on body. Other than that, they don’t have a knowledge on the style and trend and depend greatly on the sales assistance to decide their purchase. They usually have higher income and they are not too price conscious. They are young at heart.

2. Does it make sense for PBG to target specific segments to increase sales for Timeless and Infinity? If so, summarize the strategic rationale for the segmentation strategy and specify the segments that PBG should target. If not, explain why not.