Tag Archives: target market

Crocs Launches High-Heels

Crocs casual shoes surround us. The comfortable, resin-based footwear comes in a wide variety of styles for women, men, and children. There are classic clogs, sandals, wedges, sneakers, boots, and more. But until recently, there were no dress-up Croc shoes for more formal and business events. Hmmm….. Is this a new market opportunity? The answer appears to be a resounding ‘yes’.

Crocs heard the need from its loyal female fans and recently launched a new high-heel Croc shoe. Crocs may have started as the shoe for casual outdoor wear, but were quickly adopted by people who are on their feet (such as restaurant and hospital workers) for long periods of time. Made with a closed cell resin called Croslite, the foot beds warm and soften with body heat, molding to the shape of each foot. The shoes use an orthotic heel, built-in arch support, and tarsal bar, making customers’ vocal fans of the comfortable shoes.

While fashion-forward consumers might not be fans of Crocs, the company has sold more than 300 million pairs of shoes in 90 countries, and reached $1 billion in revenue. The shoes have been featured in fashion run-way shoes, and been seen on the feet of Pres. George W. Bush and First Lady Michelle Obama, among others. The shoes have also been a frequent recipient of satire and “worst” lists.

Crocs – love ‘em or hate ‘em?

Group Activities and Discussion Questions:

  1. Poll students: Who has Crocs? What are the opinions of students about the shoes.
  2. Videos can be found on Croc’s: https://www.youtube.com/user/crocs
  3. Crocs’ website: https://www.crocs.com/
  4. Discuss the importance of clearly defining a target market.
  5. Divide students into teams and have each team develop a profile of a target market for Crocs high-heel shoes. Include demographics, psychographics, behaviors, values, attitudes, etc.
  6. Based on the target market profile, what makes this product unique for these customers?

Source:  Fast Company, USA Today, other news sources

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Product Placements on the Screen

If a brand wants to get a customer’s attention, marketers know that there is no substitute for showing the customer how a product fits into real lives in the real world. And to show a lot of prospective consumers this, brands need to show them the product on a large scale such as in a television show or a movie.

Product placement might not be an official component of the four 4Ps (product, price, promotion, place), but maybe it’s time to add it as a fifth P. While there are times that the product is very noticeable (such as BMW cars in James Bond movies), there are many times when products are used subtly (but still get our attention).Companies that are able to get their products shown on the big screen – or even a small screen – bring their products to the attention of millions of viewers, all of whom have opted-in to watching a show or movie.

Some recent placements where the products were included as a part of the show include Apple iPhones on Fox’s “9-1-1,” Anheuser-Busch beers in Netflix’s “House of Cards,” Lavazza coffee on “Comedians in Cars Getting Coffee,” Flaming Hot Cheetos in “Orange is the New Black,” and Pepsi in “Empire.”

Is it worth the cost to marketers? Considering that the average 30-second commercial can easily cost several hundreds of thousands of dollars, then several seconds of airplay of the product in use can easily recover the costs.

What are you seeing on the screen?

Group Activities and Discussion Questions:

  1. Ask students to name their three TV shows and/or movies that they recently viewed.
  2. Next, ask them to name at least three products that they can recall seeing in the show. Were those products there by accident?
  3. Show a video clip of one of the TV shows or movies. The clips can easily be found on hulu.com, www.youtube.com, and other sites.
  4. Divide students into teams. Have each team choose two products they would like to have placed in a TV show.
  5. How would these products be incorporated? What is the desired result?

Source:  Fleck, A. (9 August 2018). 6 product placements on TV so good you didn’t realize you were being sold something. Ad Week.

 

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A Lesson on the ‘Pink Tax’ from Burger King

Price discrimination is illegal, but nonetheless it exists. Previous articles on this blog have discussed the ‘Pink Tax’ that women encounter when buying products that are the same (or nearly identical) to those bought by their male counterparts. Oftentimes, the only difference in the products is simply the color – using pink to attract female buyers.

Research confirms this pricing discrepancy. According to a study done by New York City in 2015, girl’s clothes cost 4% more than boy’s clothes, women pay 7% more than men for accessories such as bags and watches, 8% more than men for clothing, and 13% more than men for personal care products. In total, price differences cost women $1,351 per year more than men. (And yet, women on average are paid only 79% of the wage paid to men.)

To highlight the topic, Burger King took a creative approach and released a 60-second video that shows just how crazy it is to ask women to pay more for a product that is packaged in pink. In the spot, pink-boxed Chicken Fries are sold for $3.09, while regular packaged Chicken Fries are only $1.69. Unsuspecting female customers have some great reactions!

What other examples of the ‘Pink Tax” can you uncover?

Group Activities and Discussion Questions:

  1. Poll students: What is their experience with price discrimination between males and females? Why do they think there is a difference in prices?
  2. Show the Burger King video: https://youtu.be/7rtHmSfYDbs
  3. Vox also has a brief overview of the pink tax: https://www.vox.com/2018/3/30/17179350/pink-tax-beauty-products-gender-inequality-women
  4. Divide students into team. Have each team research products that are similar for men and women (such as clothes, health and beauty products, sports, etc.).
  5. List the products and prices on the white board.
  6. What could be done to correct the price discrimination?
  7. Note: The New York City study report is available at: http://www1.nyc.gov/assets/dca/downloads/pdf/partners/Study-of-Gender-Pricing-in-NYC.pdf

Source: Ad Week; New York City Consumer Affairs

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