Chipotle geographic segmentation

Running head: Consumer Behavior, Market Segmentation & Positioning

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Running head: Consumer Behavior, Market Segmentation & Positioning

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Consumer Behavior, Market Segmentation & Positioning

Consumer decision-making process.

Chipotle focused on sustainability, great taste, great value, great nutrition, and support for

families because that is one of their main considerations in coming up with the product. Their

product strategy is unique compared to the other fast-food chain restaurants. It has an Integrity

program that aims to remove any genetically modified organism food from the menu.

The company has a cost-effective mechanism for advertising products. Clients finish and

customize the food orders from their mobile phones, making it possible for them to maximize

their time and prepare meals before the clients get to the restaurant. Their website has many

resources that attract the millennials that appeal. For instance, Chipotle describes the source and

process of food reception or preparation with all the ingredients. That enhances an understanding

of what is being consumed by the customers and the source or condition of the ingredients. They

blanch the onions, lemons, avocados, jalapenos, and limes in boiling water for five seconds to

eliminate any skin germs (Chipotle Mexican Grill, 2015). The company's website has a nutrition

calculator that promptly computes calories, the quantity of sugars, salt … for clients.

Furthermore, they considered most families' eating out habits as seeking convenience and

quality. Therefore, close analysis of the consumers and their decision shows that they recognized

the problem of wanting fast food, yet most were unhealthy and lacking freshness. To satisfy that

Running head: Consumer Behavior, Market Segmentation & Positioning

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demand Chipotle acquires ingredients from farm producers who have humane treatment towards

their animals. By attracting customers seeking fast food with fresh and healthy ingredients, this

very same customers started being advocates of what the company was offering. They helped the

company build authority by giving positive reviews and even becoming partners.

Market Segmentation.

Market segmentation serves significantly in the organization and clarifies the desires and

needs of particular people in a target market. Commercial enterprises utilize market

segmentation to enhance the assessment of markets and ensure a company realizes its goals.

According to Friedman (2011), market segmentation is where a market is separated into

primarily homogeneous groupings for the clients to comprehend their needs (Friedman, 2011).

That allows for understanding the target markets as particulars with mutual interests, priorities,

and needs that enhance the clients' understanding. For instance, once the focus is on a given

segment of people related to income, tastes, gender, or age, a potential business might have a

greater understanding of the products they need to focus on and make it affordable for the

clients.

The implementation of market segmentation demands that an organization ought, to

begin with, the identification of what features a target market is. There are various market

segment features, including behavioural, demographic, geographic, and psychographic aspects.

For instance, in the demographic segmentation, there is ethnicity, age, education, income, gender

and occupation whereas psychographic segmentation focuses on the values, opinions, interests,

attitudes, and activities of the customers (New Charter University, 2016). As soon as the greatest

aspect of the product which is segmentation is determined through the features of the target

Running head: Consumer Behavior, Market Segmentation & Positioning

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market promotion and sales process. It is quite costly to advertise products because that makes it

possible to reach the target markets.

Businesses integrate segmentation features that relate with their products thus establishing the

place, way, and advertisement. Companies which go for all the population and not particular

people hardly thrive.

In the fast-food business, there is a great dependence on the basic principles of

segmentation that build restaurants' success in easy access in the target market. For instance,

Chipotle Mexican Grill is a fast-food restaurant that meets the needs of particular generations

who are the "Millennials". In America, the Millennials add up to 25% of the United States

population and that 50% of such population are more than ready to buy from a firm which

supports a they believe in (Millennials, 2016). Based on another research by The Nielsen

Company (2016), about 66% Millennials ready to buy products from a firm that support positive