Market segmentation means that offers are tailored to specific target groups. Each segment shares similar traits enabling the firm to anticipate the response of the segment to the firm’s marketing activities. Firms must trade off customer needs against the costs of meeting those needs. As mentioned by Stephen Shaw, airlines tend to base market segmentation on the following:
1. Purpose of journey
2. Length of journey
3. Origin of country or culture
Choose any passenger airline and address how the airline uses each of these variables to segment its market. Be specific and provide examples.
Reference: From Chapter 2 The Market for Air Transport Services in Shaw, S. (2011). Airline marketing and management. (7th ed.) Ashgate Publishing Company.
Limit your paper to 400 words, excluding references (no cover/title page is necessary). Format and cite your paper in current APA style, including Times New Roman, 12-point font size, and double-spaced. Your paper must be grammatically sound and free of spelling errors.