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Case Analysis: Harvey Norman

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Segmentation
As we know Harvey Norman is an international retailer of multiple household goods. To design a customer driven marketing strategy, Harvey Norman starts with market segmentation which they divide consumer, business and international markets into smaller groups so that they can reach customers more efficiently and effectively with products and services that match their preferences.
Harvey Norman applies demographic segmentation which they segment their consumer markets according to age and life-cycle stage. For example, the company segments their consumer market into Baby Boomers, Gen X, Millennial and Gen Z. To give another example is that the company also segments customers to four different income groups (lower, lower-middle, …show more content…

Lastly, we talk about how Harvey Norman positions their products for maximum competitive advantage in Mid Valley Megamall. Harvey Norman’s product position is “Everything to everyone in profitable manner” (MBA SKOOL-STUDY.LEARN.SHARE., n.d).
How Harvey Norman choose a Differentiation and Positioning Strategy?
1. Identifying a set of possible competitive advantages to build a position For Harvey Norman to differentiate along the lines of :
Product
Variety features, high performance and attractive design from trusted brand product such as FitBit Charge 2 Special Edition.
Services
“New Customer Promise”- exchange within 10 days of purchases made.
Products delivered on the same day once the purchase is confirmed before 2pm.
Free easy pick up from nearest store (“STAR MEDIA GROUP BERHAD”, 2014).
Channels Provides smooth functioning direct channels.
People Hire and train employees proficient in product knowledge and customer service.

2. Choosing the right competitive …show more content…

The company designs marketing mix which are product, price, place and promotion. The company also hire and train more knowledgeable staff to serve their customers. They work hard to increase sales and promote its superior products such as publishing catalogues and having advertisements. This can help communicating the chosen position to target market. They also maintain their position with consistent performance and information. They should keep close monitor and adapt the position all the time to satisfy consumers’ needs and competitors’

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