The criteria used to develop the market segment for R.J. Reynolds Tobacco Co.’s new brand of cigarette called “Dakota” is mainly that of demographics, and psyhcographics. The target market in this case appears to be poorly educated, virile white females age 18-20, who enjoy being around their boyfriends and doing whatever their boyfriends are doing, for example going to “Hot Rod shows, Tractor Pulls, cruising, and going to parties”. This target market was most likely selected for two main reasons. The first is because of the enormous profits to be gained from this particular group and the second is because of this group’s lack of education and low self-regard.
The marketing strategies used in this article clearly define demographic and psychographic market segmentation. Demographic segmentation consists of gender, age, income, family size, family life cycle, occupation, and education. The target market in this article consists of females, age 18-20, single, with no more education than high school. This matches most of the criteria for demographic segmentation.Psychographic segmentation consists of identifying certain lifestyles based on the consumer’s values, activities, interests, opinions, and demographics. This article conveys that these women are Strivers, which means they are unsure of self and need approval from others. This group also seems to be search of some type of relief from their current lives (relief seekers). All of this data provides an idea of this groups values as well its activities and interests. Which makes this targeted group so vulnerable to tobacco companies marketing efforts.
This market was selected because of its size and growth, and also probably because of this group’s lack of education. This group of females’ aged 18-20 are the only group of Americans whose rate of smoking continues to increase. The reason why this group’s rate continues to grow is because they really don’t know better and if they do they really don’t care. This creats a wonderful opportunity for lucrative profits from the tobacco companies.
This form of marketing is called concentrated marketing, which focuses on one segment of the market. Marketing companies perform market research by collecting and analyzing data and turning this data into usable information. This Information includes demographics as well as phycographics. These young women already have the desire to consume cigarettes and R.J. Reynolds is making sure they consume their particular brand of cigarettes instead of others.