{"id":3181,"date":"2023-02-19T16:11:50","date_gmt":"2023-02-19T16:11:50","guid":{"rendered":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/chapter\/apply-it-14-2-segmentation-and-targeting\/"},"modified":"2025-06-25T12:57:45","modified_gmt":"2025-06-25T12:57:45","slug":"apply-it-14-2-segmentation-and-targeting","status":"publish","type":"chapter","link":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/chapter\/apply-it-14-2-segmentation-and-targeting\/","title":{"raw":"Apply It 14.2: Segmentation and Targeting","rendered":"Apply It 14.2: Segmentation and Targeting"},"content":{"raw":"<section class=\"textbox learningGoals\">\r\n<ul>\r\n\t<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Define segmentation and targeting&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:4609,&quot;3&quot;:{&quot;1&quot;:0},&quot;12&quot;:0,&quot;15&quot;:&quot;Calibri&quot;}\">Define segmentation and targeting<\/span><\/li>\r\n\t<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Understand why segmentation and targeting are important to marketing strategy&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:15233,&quot;3&quot;:{&quot;1&quot;:0},&quot;10&quot;:0,&quot;11&quot;:4,&quot;12&quot;:0,&quot;14&quot;:{&quot;1&quot;:2,&quot;2&quot;:0},&quot;15&quot;:&quot;Calibri&quot;,&quot;16&quot;:10}\">Understand why segmentation and targeting are important to marketing strategy<\/span><\/li>\r\n\t<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Understand why market research is important&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:15233,&quot;3&quot;:{&quot;1&quot;:0},&quot;10&quot;:0,&quot;11&quot;:4,&quot;12&quot;:0,&quot;14&quot;:{&quot;1&quot;:2,&quot;2&quot;:0},&quot;15&quot;:&quot;Calibri&quot;,&quot;16&quot;:10}\">Understand why market research is important<\/span><\/li>\r\n<\/ul>\r\n<\/section>\r\n<h2>Identifying Market Opportunities<\/h2>\r\n<p>This Apply It continues using the Walmart case study video from earlier in this module. The video is included below in case you want to refresh your memory about specific details, but if you have already watched it, you don't need to watch it again.<\/p>\r\n<section class=\"textbox recall\" aria-label=\"Recall\">Walmart is targeting different customer segments through its various store brands, with Bettergoods specifically aimed at customers seeking higher-quality, trendy products.<\/section>\r\n<section class=\"textbox watchIt\" aria-label=\"Watch It\"><script src=\"https:\/\/www.youtube.com\/iframe_api \" type=\"text\/javascript\"><\/script>\r\n<p class=\"cc-media-iframe-container\"><iframe id=\"tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" class=\"cc-media-iframe\" src=\"https:\/\/www.youtube.com\/embed\/metMoxX9eAw?si=vDu2qxFAA-YWbiM2?enablejsapi=1 \" frameborder=\"0\" data-mce-fragment=\"1\"><\/iframe><\/p>\r\n<div id=\"3p-plugin-target-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" class=\"p3sdk-target\">\u00a0<\/div>\r\n<p class=\"cc-media-iframe-container\"><script src=\"\/\/plugin.3playmedia.com\/ajax.js?cc=1&amp;cc_minimizable=1&amp;cc_minimize_on_load=0&amp;cc_multi_text_track=0&amp;cc_overlay=1&amp;cc_searchable=0&amp;embed=ajax&amp;mf=13387226&amp;p3sdk_version=1.11.7&amp;p=20361&amp;player_type=youtube&amp;plugin_skin=dark&amp;target=3p-plugin-target-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2&amp;vembed=0&amp;video_id=metMoxX9eAw?si=vDu2qxFAA-YWbiM2&amp;video_target=tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" type=\"text\/javascript\"><\/script><\/p>\r\n<p>You can view the\u00a0<a href=\"https:\/\/course-building.s3.us-west-2.amazonaws.com\/Intro+to+Business\/transcripts\/Why+Walmart+Is+Making+Its+Own+Premium+Products+Now+%7C+WSJ_transcript.txt\" target=\"_blank\" rel=\"noopener\">transcript for \u201cWhy Walmart Is Making Its Own Premium Products Now | WSJ\u201d here (opens in new window).<\/a><\/p>\r\n<\/section>\r\n<h3>How does Walmart's approach to private label segmentation compare to Target's strategy as described in the video? What similarities and differences do you observe?<\/h3>\r\n<p>[reveal-answer q=\"68523\"]Click to Show Sample Answer[\/reveal-answer]<br \/>\r\n[hidden-answer a=\"68523\"]Walmart and Target demonstrate similar yet distinctive approaches to private label segmentation. Both retailers use private labels strategically to increase profit margins and customer loyalty while filling specific market niches. The key similarity is their portfolio approach\u2014Walmart has Great Value, Bettergoods, Equate, and Time and True, while Target maintains over 45 private brands.<\/p>\r\n<p>Target appears more focused on creating distinctive lifestyle brands with strong identities (like All In Motion and Wild Fable) that drive traffic and inspire emotional connections, demonstrated by their dedicated brand sections in stores. Walmart seems more product-quality focused, segmenting primarily on price points and quality tiers. Target also emphasizes the importance of \"newness\" and trend-responsiveness, positioning their brands as fashion-forward alternatives rather than just value options. In contrast, Walmart appears more focused on strategic expansion of existing customer relationships.[\/hidden-answer]<\/p>","rendered":"<section class=\"textbox learningGoals\">\n<ul>\n<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Define segmentation and targeting&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:4609,&quot;3&quot;:{&quot;1&quot;:0},&quot;12&quot;:0,&quot;15&quot;:&quot;Calibri&quot;}\">Define segmentation and targeting<\/span><\/li>\n<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Understand why segmentation and targeting are important to marketing strategy&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:15233,&quot;3&quot;:{&quot;1&quot;:0},&quot;10&quot;:0,&quot;11&quot;:4,&quot;12&quot;:0,&quot;14&quot;:{&quot;1&quot;:2,&quot;2&quot;:0},&quot;15&quot;:&quot;Calibri&quot;,&quot;16&quot;:10}\">Understand why segmentation and targeting are important to marketing strategy<\/span><\/li>\n<li><span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Understand why market research is important&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:15233,&quot;3&quot;:{&quot;1&quot;:0},&quot;10&quot;:0,&quot;11&quot;:4,&quot;12&quot;:0,&quot;14&quot;:{&quot;1&quot;:2,&quot;2&quot;:0},&quot;15&quot;:&quot;Calibri&quot;,&quot;16&quot;:10}\">Understand why market research is important<\/span><\/li>\n<\/ul>\n<\/section>\n<h2>Identifying Market Opportunities<\/h2>\n<p>This Apply It continues using the Walmart case study video from earlier in this module. The video is included below in case you want to refresh your memory about specific details, but if you have already watched it, you don&#8217;t need to watch it again.<\/p>\n<section class=\"textbox recall\" aria-label=\"Recall\">Walmart is targeting different customer segments through its various store brands, with Bettergoods specifically aimed at customers seeking higher-quality, trendy products.<\/section>\n<section class=\"textbox watchIt\" aria-label=\"Watch It\"><script src=\"https:\/\/www.youtube.com\/iframe_api\" type=\"text\/javascript\"><\/script><\/p>\n<p class=\"cc-media-iframe-container\"><iframe id=\"tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" class=\"cc-media-iframe\" src=\"https:\/\/www.youtube.com\/embed\/metMoxX9eAw?si=vDu2qxFAA-YWbiM2?enablejsapi=1\" frameborder=\"0\" data-mce-fragment=\"1\"><\/iframe><\/p>\n<div id=\"3p-plugin-target-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" class=\"p3sdk-target\">\u00a0<\/div>\n<p class=\"cc-media-iframe-container\"><script src=\"\/\/plugin.3playmedia.com\/ajax.js?cc=1&amp;cc_minimizable=1&amp;cc_minimize_on_load=0&amp;cc_multi_text_track=0&amp;cc_overlay=1&amp;cc_searchable=0&amp;embed=ajax&amp;mf=13387226&amp;p3sdk_version=1.11.7&amp;p=20361&amp;player_type=youtube&amp;plugin_skin=dark&amp;target=3p-plugin-target-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2&amp;vembed=0&amp;video_id=metMoxX9eAw?si=vDu2qxFAA-YWbiM2&amp;video_target=tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2\" type=\"text\/javascript\"><\/script><\/p>\n<p>You can view the\u00a0<a href=\"https:\/\/course-building.s3.us-west-2.amazonaws.com\/Intro+to+Business\/transcripts\/Why+Walmart+Is+Making+Its+Own+Premium+Products+Now+%7C+WSJ_transcript.txt\" target=\"_blank\" rel=\"noopener\">transcript for \u201cWhy Walmart Is Making Its Own Premium Products Now | WSJ\u201d here (opens in new window).<\/a><\/p>\n<\/section>\n<h3>How does Walmart&#8217;s approach to private label segmentation compare to Target&#8217;s strategy as described in the video? What similarities and differences do you observe?<\/h3>\n<p><div class=\"qa-wrapper\" style=\"display: block\"><button class=\"show-answer show-answer-button collapsed\" data-target=\"q68523\">Click to Show Sample Answer<\/button><\/p>\n<div id=\"q68523\" class=\"hidden-answer\" style=\"display: none\">Walmart and Target demonstrate similar yet distinctive approaches to private label segmentation. Both retailers use private labels strategically to increase profit margins and customer loyalty while filling specific market niches. The key similarity is their portfolio approach\u2014Walmart has Great Value, Bettergoods, Equate, and Time and True, while Target maintains over 45 private brands.<\/p>\n<p>Target appears more focused on creating distinctive lifestyle brands with strong identities (like All In Motion and Wild Fable) that drive traffic and inspire emotional connections, demonstrated by their dedicated brand sections in stores. Walmart seems more product-quality focused, segmenting primarily on price points and quality tiers. Target also emphasizes the importance of &#8220;newness&#8221; and trend-responsiveness, positioning their brands as fashion-forward alternatives rather than just value options. In contrast, Walmart appears more focused on strategic expansion of existing customer relationships.<\/p><\/div>\n<\/div>\n","protected":false},"author":21,"menu_order":13,"template":"","meta":{"_candela_citation":"[{\"type\":\"copyrighted_video\",\"description\":\"Why Walmart Is Making Its Own Premium Products Now\",\"author\":\"WSJ\",\"organization\":\"\",\"url\":\"https:\/\/youtu.be\/metMoxX9eAw\",\"project\":\"\",\"license\":\"arr\",\"license_terms\":\"Standard YouTube license\"}]","pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"part":3168,"module-header":"apply_it","content_attributions":[{"type":"copyrighted_video","description":"Why Walmart Is Making Its Own Premium Products Now","author":"WSJ","organization":"","url":"https:\/\/youtu.be\/metMoxX9eAw","project":"","license":"arr","license_terms":"Standard YouTube license"}],"internal_book_links":[],"video_content":null,"cc_video_embed_content":{"cc_scripts":"<script type='text\/javascript' src='https:\/\/www.youtube.com\/iframe_api'><\/script><script type='text\/javascript' src='\/\/plugin.3playmedia.com\/ajax.js?cc=1&cc_minimizable=1&cc_minimize_on_load=0&cc_multi_text_track=0&cc_overlay=1&cc_searchable=0&embed=ajax&mf=13387226&p3sdk_version=1.11.7&p=20361&player_type=youtube&plugin_skin=dark&target=3p-plugin-target-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2&vembed=0&video_id=metMoxX9eAw&video_target=tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2'><\/script>\n","media_targets":["tpm-plugin-chhhfeaf-metMoxX9eAw?si=vDu2qxFAA-YWbiM2"]},"try_it_collection":null,"_links":{"self":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/3181"}],"collection":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/users\/21"}],"version-history":[{"count":9,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/3181\/revisions"}],"predecessor-version":[{"id":9814,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/3181\/revisions\/9814"}],"part":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/parts\/3168"}],"metadata":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/3181\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/media?parent=3181"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapter-type?post=3181"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/contributor?post=3181"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/license?post=3181"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}