Chapter 8 – Segmenting and Targeting Markets

In business field, market segmenting is defined to help marketers be more precisely to approach consumer needs and wants in the company’s existing products and future product. Furthermore, there are a few elements like geographic, demographic, psychographic, benefit and usage-rate that are essential in successful segmentation. Cartier’s business has been prominently thrived in the past century either in product lines or reputation all over the world. The company is looking to keep its luster in a market which is likely to become tougher for global luxury company.

An enormous international company like Cartier surely establishes its marketing mixes. The worst thing could possibly affect a gigantic company’s growth has to be the stagnant economy. Despite this anxiety, Cartier’s President and Chief Executive Bernard Fornas has addressed in its most recent financial announcement that Cartier can build on its sales because their unequalled creativity in all segments of watch-making, the industrial reactivity, flexibility and speed are all prevailed than the others and to pick up market share. In fact, the Cartier sales in Richmond’s jewelry house has rose to $ 4.67 billion in the first nine months of its 2012 financial year, up 30% from a year earlier. In 2012, the general sales in Cartier had increased 24% in its fiscal year. That’s impressive poll from the luxury daily news website.

The geographic segment is tailored for their main engines which include China, India, France, and America, and so on. Those regions are either have the highest population density or greatest purchasing power in all time. Especially in China, by far is the most rapid aggressively growth economy region. There is a saying in the Chinese “Who knows luxury jewelry, who knows Cartier”. In addition, Cartier is the number one jewelry brand in China. There are already forty two boutiques in twenty two major cities in China and the CEO has declared they will continue to open up to sixty five boutiques in thirty cities throughout the country by 2016. Cartier always spots the best location and it’s the most important step to open a new shop in anytime.

“There is no boundary in Cartier’s beauty innovation”, the slogan of Cartier. In demographic study of Cartier, regardless of where you are from, as long as you love the piece, it’s Cartier’s culture. Being universal is the world of Cartier. There are thirty designers from America, China, Japan, France, India and Italy from young to senior men and woman. They have the substantial varieties of power to enclose the consumers’ needs and wants and that’s the unique beauty of Cartier.

Now to sum up with analyzing Cartier’s psychographic, benefit and usage-rate segmentations in which the company has successfully implemented by all time. Every affluent women desire diamonds and men yearn for perfect timepieces. Cartier has captured the motives and lifestyles of their consumers and they have nailed down the business to this group of wealthy people with psychographic segmentation. Cognitively, Jewelry is representing a person’s status. “Jewelry takes people’s minds off your wrinkles”, people are seeking this solid benefits through their precious pieces and this is from the King of jewelry and jewelry for the King. In Affluent society, expensive jewelry is not only for wearing but also for collecting. Cartier has properly launched new products through holidays and special events or even red carpet seasons. The company has kept in close relationship with their loyalists and special collections have to be reserved for long term used customers. Indeed, Cartier is positioning the King of jewelry and its luxuriant brand all over the world.