Marketing Case Study Essay Example | Topics and Well Written Essays - 1000 words

Marketing Case Study - Essay ExampleSome of the most central issues concerned Gaps segmentation and targeting strategies with view to mart size, growth potential and appropriate marting mix.Gaps segmentation model is a combination of demographic, psychographic and to some extent geographic characteristics (Etzel et al, 2001). For utilisation the GapKids and babyGap branches target commercialize segments based on their age, whereas Old Navy targets consumers with limited incomes (p. 196) and whole families. Specific market segments, identified by Gap are based onIncome lower income groups with annual income between $20,000 and $50,000 were initially targeted by Old Navy. This group comprises mostly of teenagers who represent a limited market potential for the company. raiment products tend to be commodity-like (Datamonitor, 2005), and for most companies differentiation is based on competitive pricing strategies to win market share. In targeting market segments, Gap follows the mul tiple-segment model (Etzel et al, 2001), meaning that each market segment is targeted with a item marketing mix.The Gap brand is targeted at the 20- to 30-year olds (p. 196) who prefer the classic line of khaki pants and bourgeois shirts both for business and casual clothes. The positioning of the brand is further completed by the large sorting of colors and sizes for all-cotton apparel. The companys attempt to reposition the Gap brand into the fashion-oriented segment lead to market share loss, because the company alienated (p. 196) their core customers and failed to attract the fickle (p. 197) teenage consumers. Repositioning back to its root, along with other measures, improved Gaps market position in 2001.Banana Republic, which was acquired by Gap in 1983 (p. 196) was positioned as an upscale Gap, extending the previous adventurous positioning of the brand. Unlike Gaps success in specialty clothes