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Target Segments

Our final target segment was derived from the research conducted in Shanghai and secondary research. As a result, our overall segmentation will be as following:

 

  • 16-39 years old

  • Young families

  • Both genders

  • Middle class and up

  • Students and working people

  • â…“ foreigners, â…” Chinese

 

 

As we only enter Shanghai in the beginning we have applied geographic segmentation because of the international environment which our survey confirmed has a need that has not been fulfilled. We also appreciate that a future expansion plan might include us to enter other geographic locations. However, inside Shanghai we have segmented according to demographics such as age, gender and occupation. Based on our results we will approach both genders equally, but mainly customers 16 to 39 years old where a fair proportion will be young families with children. We also found that our price interval limits us to the middle class and up which is why we have placed ourselves in the premium chocolate category. Our preconception was that students would be an important target group and the survey identified them as likely targets that will account for a huge share of our sales along with working people. Lastly, we target approximately one-third foreigners (both expats and tourists) and the rest will be filled by Chinese people. Our findings are also backed by a very successful competitor called Awfully Chocolate who target the same age groups, but slightly different demographics. Based on this we are convinced that we will target a segment that is far from matured and that we can fill a gap of customer needs and benefits that have not been served in Shanghai before.

Porter's Five Forces

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