Market Segmentation

Adidas is a major German sports apparel manufacturer, which was founded in 1948. It is the largest sportswear manufacturer in Europe and the second biggest sportswear manufacturer in the world,. The company's clothing and shoe designs typically feature three parallel bars. The market segmentation; targeting and position play an important role in this company. This essay will use the market segmentation to analyze this company. A segment is a group among the groups which have resulted after subdividing the total market. Market segmentation is subdividing of the market into those groups which can be attacked by specific marketing strategy. It include grouping of customers according to their common needs and wants. The objective of market segmentation is to select from all possible potential customers those groups which are mostly likely to need and want to buy a product. For the market segmentation to be useful it must be definable, sizeable, reachable and relevant, there are two different approaches which can be used to segment a market, the first concentrate on the characteristics of the buyer which include demographic, geographic and psychographic and the second concentrates under benefits and behavioral segmentation. Adidas as one of the giant fashion designs and clothes distributing company of the world using and applying market segmentation skills in its business activities as follows Demographic segmentation refers to dividing the market into groups based on demographic variables, such as sex and age, which this method has long been used in clothing market. They branded products into range of male, female and kids, according to age and life cycle segmentation and gender segmentation, after all they can have products that can fit to almost every demographic possible. Adidas has a branded range of male and female clothing, shoes or body-care and eyewear, which all three brands of Adidas; Performance, Originals and Style