Market segmentation for automotive in Canada
The automotive industry in Canada is robust with most players founds in assembly plants; besides, it is ranked 10th among the largest producers of automobile in the world. As the result, practice of market segmentation will best apply in this case because of the various dimensions available for segmenting the market. Among the choice for dimension, to be used in this case, include behavioral, geographic and demographic (Berkowitz, 2003). From these dimension, the picture of the various segments comes out.
Geographic segmentation
With booming of agricultural sectors, it comes out that tractors manufacturers mainly focus on regions where agriculture is considered prime. The target is on the agriculturists with sizeable holdings of land and enough resources for buying tractors.
Companies dealing in manufacturing of commercial vehicles apply segmentation based on industries’ concentration in different areas of Canada.
Luxury carmakers, such as Felino Cooperation and Magnum Cars, majorly focus on the metropolitan regions where sales is prime.
Demographic segmentation
Small two-wheeler manufacturers have primary concentration on middle class individuals while the luxury car manufacturers base their focus on high income personalities.
Bike manufacturers, such as Honda Canada, mainly target youths and middle aged individuals to buy their products.
Based on age, the manufacturers of automotive model various color to attract different segments; for instance, bright flashy colors meant for the youth.
Behavioral segmentation
Based on this, the Canadian automotive market can be segmented in terms of benefits required by consumers and loyalty status.
The manufacturers of automotive focus on customizing their cars based on the requirement by the consumers. For instance, Ford Motors Canada is a good example of a car manufacturer who makes use of customization to have effect on consumers.
References
Berkowitz, E. N. (2003). Marketing. Toronto: McGraw-Hill Ryerson.
