Ch. 8 - Segmenting and Targeting Markets

 
Segmentation
 
Subway segmented their market based on the test of different geographic location. For example, they offer mostly halal menu in Middle East countries, mostly vegetable without beef in India, likewise, more sauce for American. And according to subway it majority of customer are concentrated on the age group in between 18 to 39 years mostly the people are either studying or working. Therefore, by providing healthy and fresh food, subway segmented the customer based on the trends or psychological. Besides by offering the reasonable priced food with fast services, subway wants to suits the pockets of the many college going adults as the concept is something related to the value for money.



 
Targeting
 
Subway targets market is young adults between age of 16 & 39, although people of all ages and background enjoy the delicious and healthy sandwiches. Majority of population lies in between these age groups. Subway understand that these target market customer have irregular food habit and are spoiled for the variety of food choices, these customers are intended to choose what they wanted and how structured they want it, they have high expectations with low loyalty. Subway sandwiches offered to its customers as per their specifications, in front of the customer according to his choice. Subway is offering its customers the choice of “point to order”, so that new customers won’t confuse for their selection. It is the exact opposite way of delivering the service by its competitors like KFC, Mc Donald’s, Burger King, Popeye’s and others. 


Positioning
 
Providing a healthy fast food chain for a healthier and hygienic food is a brand value strategy of Subway. The listing of the healthy items includes the fresh and fast food items that reflect the menu The above positioning is further strengthened by maintaining a good relation with the American heart association and getting worldwide recognitions due to its healthy supply of food and offering to all ages. It sends messages to its customer that they are positioned as a fresh and healthy food