Soy Milk Target Market
Based on the assessment of the market segments, the target market for soymilk is the growing pool of health conscious consumers. A study on grocery baskets to determine health consciousness showed that around twenty percent of households are health conscious (Prasad, Strijnev & Zhang, 2008). Specific characteristics of the health conscious segment include those in the older age groups, parents or non-parents in the middle age groups assuming a healthy lifestyle for the family or for themselves, and those in the younger age groups who are health conscious or undergoing weight loss or bodybuilding.
The health conscious market is attractive because of expected growth in the future (Prasad et al. , 2008). Competition depends on the distinctive value of products instead of price (Kotler & Keller, 2008) because of lesser sensitivity of this market to price. With appropriate marketing techniques, the product can gain a sizable market share. The target market also becomes sustainable by offering high value to consumers. The wide distribution channel also ensures market reach (Kotler & Keller, 2008).
The strategy for targeting the health conscious market is through product specialization (Kotler & Keller, 2008), which means particularization of soymilk product to fit the requirements of sub-groups within the segment such as pure soymilk for lactose intolerant, weight conscious and vegetarian consumers and flavored soymilk or mixes for children, families and younger more adventurist groups. Value proposition with differentiation
The value proposition for soymilk is as a healthy alternative beverage that comes at an affordable price and in a variety of selections for the enjoyment of children, young people, and adults alike. As a healthy alternative, soymilk is a fat-free direct alternative to high calorie dairy milk and indirect alternative for sodas and other sugar-laden beverages. It comes at an affordable price because soybeans are not easily available and does not cost much (Dhar & Foltz, 2004). Even flavored soymilk, mixes or shakes would not cost much.
Although the price of dairy milk could seasonally decrease, the health benefits of soymilk still justify the relative cost (Dhar & Foltz, 2004). Consumers receive high value for their money. Although majority of the population are used to the taste of dairy milk, the taste of soymilk is easily adoptable especially with the varieties targeting different age groups in the pool of health conscious consumers. Product positioning in the market The positioning of soymilk is as a market leader relative to a follower (Kotler & Keller, 2008) because the product constitutes a category in itself.
Although the product name soymilk appears linked to milk products, its name emerged because of its position as an alternative to dairy milk products before becoming an alternative to other non-dairy beverages. As a market leader, product marketed as product parallel and at par or even better than dairy milk and other beverages in some ways. Symbolic positioning (Kotler & Keller, 2008) would influence the targeted market segment to align with the product by developing or reinforcing the sense of belongingness to the health conscious group by consuming the product.
By developing an identity as a health conscious consumer, the customers of soymilk improve their self-esteem and build-up their ego by consuming the product. Doing so, repositions other beverages within the market where soymilk competes. Conclusion Highlighting the strengths of soymilk as its differentiating value and offering these to the market segment whose demands the product meets ensures the fit of the product with the market segment, the competitiveness of the product, and the likelihood of achieving sustained sales.
References Dhar, T. , Foltz, J. (2004). Is soy milk? The economics of the soy milk market. Retrieved 8/4/2009, from http://ageconsearch. umn. edu/bitstream/20337/1/sp04dh02. pdf. Armstrong, G. , Kotler, P. (2006). Marketing: an introduction. Upper Saddle River, N. J. : Prentice Hall. Prasad, A. , Strijnev, A. , Zhang, Q. (2008). What can grocery basket data tell us about health consciousness?. International Journal of Research in Marketing, 25(4), 301-309.