Marketing Research and Segmentation Problem
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Marketing Research and Segmentation Problem
Marketing Research and Segmentation Problem
The dynamic nature of the health care industry requires diligent consideration to the preferences and opinions of the consumer. In an effort to provide a health service driven by consumer preferences, marketing research must occur. Marketing research gathers and studies the complex needs and concerns of the consumer to develop a strategy that meets the demands of the consumer. Research might predict demand and increase market share in a time when a marketing dollars need to have high impact on the audience. One way to narrow the market is through market segmentation. Market segmentation allows organizations to target consumers who will value a particular service based on common characteristics.
The marketing director of Jones Memorial Hospital can use target marketing and market segmentation to determine and meet the needs of the consumers. The marketing segmentation process divides the total market into separate and distinct groups based on demographics, socio-economics, psychographics, and behavioral bases. Research and data collection are vital to the segmentation concepts and process. Market segmentation can effectively develop marketing plans for specific groups and focus on subgroups of prospects that have the greatest potential to become customers.
Jones Memorial Hospital (JMH) is a 70-bed facility that provides a full range of services to the small town of Wellsville, one of the greater population concentrations of the county, and several surrounding rural communities. JMH is the only full service hospital in Allegany County. The hospital is small in comparison to many hospitals; however, it is the third largest employer in Allegany County (Jones Memorial Hospital, 2007).
The attitudes, interests, and opinions of the people within the community help to identify lifestyles and behaviors that help determine market segmentation. The population of Allegany County is approximately 49,000, with 48.8 persons per square mile and 96.2% of the group being Caucasian (U.S. Census Bureau, 2011). According to the Allegany County Department of Health Community Health Assessment 2010-2013, 15% of the population is 65 years or older, but based on the projection of the data, the countys population is living longer (2010).
The median age of the counties residents is 34.9 with an annual household income of $39,620, which is among the lowest in the state (Ballengee, 2010). Twelve school districts are within the county, and three colleges. Education levels range from slightly over 11% have less than a high school diploma or general equivalency degree to 8% hold a graduate or professional degree. Most occupational prospects include professional and administrative occupations. Industries providing employment include educational, health and social services (32.4%), manufacturing, (16.7%), and retail trade (10.1%) (City-Data.com, 2010).
Geographically, Allegany County experiences all four types of climates. The rolling hills, laid-back pace, and rural community can contribute to a sedimentary lifestyle. Hunting, fishing, snowmobiling, camping, and hiking are a few of the recreational activities available on the thousands of acres of state land and wildlife preserves throughout the county for those who are interested.
Considering the rural geographic, demographics, and lifestyle profiles of the community, marketing segmentation for the