Chapter 7: Individual Assignment #2
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Business 306 Marketing
October 5, 2014
Critical Thinking
1. Discuss the possible reasons for the dismal of the Toyota Tundra and Nissan Titan?
Toyota and Nissan entered an already established and stable market. In America
select makers, such as, Chevy, Dodge, and Ford, dominates the pick up truck line. Toyota
was relying on their name and reputation and underestimated the competition in the
market. For example, the reputation the Toyota Camry has for reliability and long-lasting
customer satisfaction. The timing was a factor as well as the established loyalty for
brands in competition. Unlike the majority of the Toyota line, the Tundra did not stand
for fuel efficiency. When customers buy Toyota, they are under the impression that the
vehicle is fuel-efficient and has technological superiority. This was not the case in the
Tundra and was essentially a key factor in its dismal. The other huge factor is the high
rates of early recalls. On of the main recalls were unintended-accelerators. It seems that
Toyota did not put in the same technological superiority into the Tundra as they have in
the rest of their line.
The Nissan Titan was another pick-up that entered an already established market.
This dismal is similar to the Tundra’s but also had other factors. The Nissan Titan was
very basic, having offering only one engine, and limited cab choices. With the
competitors offering a larger variety of choices, the loyalty lies in those competitors’
pick-ups. Nissan has not given up on the Titan, planning a redesign for the pick up. They
are redesigning hoping to broaden the appeal to the buyers market.
Chapter 7: Individual Assignment #2
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Marketing Technology
2. Research, “augmented reality”. Discuss the appropriate variables for augmenting the
consumer market for the products based on technology?
Augmented reality enhances ones perceptions of reality. This is when virtual
reality replaces the real world. This is through live, direct or indirect view of the physical
world through technology. A computer-generated system with graphics augments real
world elements and environments. This includes sound, video, graphics, and GPS data.
For example, the street view of any place around the world when you search on Google
maps. Augmented reality can be manipulated and interactive. This also can be in real
time, for example, watching a sports game live with live scores.
Marketers use variables for segmenting consumer markets; geographic,
demographic, psychographic, and behavioral.
The most appropriate variable to be used in augmented reality would be
demographic. This is the focusing on gender, family size, income, education, religion,
and generation. It is my belief that generation would be the most important aspect for
marketers. When it comes to technology there is such a large difference in how the
generations view technology. This is essential for marketers to better understand their
consumer. Also, factors like the income, education, and occupation give insight on what
the consumer may be interested in. The demographic is so important because the
dramatic differenced that can be found between rural and suburb areas. Technology has
been vastly developing, but this difference is still a factor when it comes to density. For
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marketers to understand this area would give them an upper hand at where to target
specifically.
The psychographic variables would be the next appropriate for augmented reality
marketers. This focus on the social class, lifestyle and personality play a large role in the
make up of a consumer. This defines which class the consumer is in. Technology is
developing, however the best of the best technology is still more easily accessible to the
upper class because of the prices. This is an example of why social class is important.
Lifestyle is the most important aspect in augmented reality marketing because this is the
key component in understanding what interests the consumer and what will better satisfy
their specific needs based on what they enjoy.
The geographic and behavioral variables are les important to augmented
marketing because they don’t play a large role in determining the satisfaction of
consumers. The location is not a factor because technology rules out that factor.
Consumers use technology and augmented reality to place themselves in another location.
Climate is not an influence in this market. Behavioral is based off of occasions, making
this variable less important because it less stable. Behavioral attributes are not
appropriate for segmenting in this market.
In conclusion, the most important variables for segmenting the consumers in this
market are demographic and psychographic. It is my belief that the demographic variable
is the most important for marketers. This is mainly because of technology accessibility
being a problem.
3. How would you market Google glass in a 30-second commercial?
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I would market Google Glass to a wide range of range of consumers. I would
target youth, but also target adults. These target consumers because this technology is
best use this. I would not have much talking in my commercial, primarily focusing on the
product. I would show how this product could adapt to all different aspect of the
segmented variables. I would appeal to the consumers personality and demand for
products with a personal touch. I would show how the products could be personalized to
your use. This technique is similar to an example shown in class by practicum 1. This
example was a Dr. Dre Beats commercial. This commercial targeted youth who wanted
personalization in their product. This showed specific type of people using the product in
their own way, to fit their lifestyle, and personal taste (color). Apple also is known for
using this in their iPad, iPhone and iPod commercials. I can picture a specific iPod
commercial that uses flashes of color and distinct “style” choices associated with the
consumers that purchased a certain colored iPod. I would use the same approach for the
marketing of Google Glass.
Marketing Ethics
4. What segmentation variables are marketers using in this example?
In this example regarding high-priced children’s clothing, there are multiple
segmentation variables touched. First, demographic segmentation is used to identify the
family size, type, income, and jobs associated with consumers. The generations marketed
in this market would be older generations whom have the money to spend on their
grandchildren. In this high priced market, marketers also use psychographic segmentation
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looking at social classes for lower- to upper-upper class consumers. Behavioral variables
are used to target occasions, and benefits of buying high priced children’s fashion. This
market is looking for consumers who based buying decisions on status symbols. Parents,
who wear the high priced brand, also want their children to wear the high priced brand.
5. It is appropriate that marketers focus on such a young market with high priced
clothing?
There is no defined behavior for marketers, and it is appropriate for the target
market to be young. However, it may not be ethically correct behavior for marketers to
market the high priced fashion in this direction.
An interesting factor in this kind of market is the influence children have on the
buying decisions. I marketing, this is known, that children have a large influence on
buying decisions. “Nearly three out of five parents consult with their kids before they buy
a car — an increase of almost 20 percentage points in just three years.” (Business times,
2013) So it can be assumed that children may have an influence on parents buying high
priced children’s clothing. Also, there is a high rate of teen pregnancy and teen marriage
in the United States, which can be a large factor in this market. Younger generations
drive for status and a perceived importance of brand named products, which gives
marketers an ease of entry into their attention.
Chapter 7: Individual Assignment #2
References:
American Families Increasingly Let Kids Make Buying Decisions | TIME.com. (2013,
January 1). Retrieved October 6, 2014, from
http://business.time.com/2013/04/11/american-families-increasingly-let-kids
make-buying-decisions/
Augmented Reality Software and Solutions by Total Immersion. (n.d.). Retrieved
October 6, 2014, from http://www.t-immersion.com/augmented-reality/what
augmented-reality
HowStuffWorks "Augmenting Our World" (n.d.). Retrieved October 6, 2014, from
http://computer.howstuffworks.com/augmented-reality1.htm
Toyota Tundra, meant to undermine U.S. trucks, has fallen short. (2010, April 1).
Retrieved October 6, 2014, from http://articles.chicagotribune.com/2010-04
01/classified/sc-autos-0404-toyota-tundra-20100401_1_full-size-pickup
assembly-plants-toyota
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