Class: BBUS15Group: Pham Ngoc My Hoang Thuy Linh Le Thanh Trang Pham Hoang Yen ChiSubject: Consumer BehaviourCASE STUDYNiche marketing in the Australian music scene: Skinnys RecordsQuestion 1: The segmentation that is rationale for Skinnys products are based on some below variables:Firstly, Demographic variables such as Ages and Social class are considerate. Ages: Skinnys Record has differentiated itself among other competition by targeting a narrow niche market of customers between the ages of 16 and 30 years old Social class: The market also generally includes alternative-music listeners, concertgoers and musicians who love listening to something a little heavier than popular music.Secondly, Personality describes the way a person responds to situations in the environment. It includes Innovativeness, Self-confidence and Sociability. Innovativeness: Customers of Skinnys Record are interested in trying new things that fit their Rock style. Skinnys Record also sells unique clothes and accessories with Rock-chic trends Self-confidence: Rock music and Rock outfit help Rock fans to feel more confidence, reduce stressful in their lives. That makes them happier and more enjoyable; therefore bring the positive bright image of them to people around. Sociability: People who love rock prefer the social activities and communicate with others who have the same hobbies. They are interested in social interaction in fandom community rather than listening to music alone.Lifestyle variable is also used in segmentation. It reflects a persons choices of how he or she spends time and money in purchasing. Rock fans usually join in live show and programs related to Heavy metal and Rock music. Lifestyle as Group Identities: They want to be recognized in group to show others who they are and what they do so they will buy the products to classify themselves.Besides, Skinnys Record segments its customers by using recency, frequency and monetary value (RFM). RFM helps categories customers on the basis of customer purchase frequency, recency and spending patterns. Segmentation by product or product categories can be useful for determining who the best customers are. The positioning of Skinnys Record: convenient and unique

Convenient

SRSHigh

Others

Unique

LowHigh

Low

Convenient: very high Customers can order and purchase products through websites or buy directly from retail stores. Skinnys Records is located in Brisbane on Elizabeth Street and is a stand-alone music store. Because it is easy to recognize, it is now a well-known and popular music store within its target customer and customers may travel from around Brisbane to purchase its products. A variety of products is available and updates rapidly the latest music and trends.Unique: high The products provided by Skinnys Record are not readily available elsewhere. Product diversity such as DVDs, interview and bonus tracks, special edition CDs, posters, T-shirts, hats and concert tickets to local gigs and popular music festival.In our opinion, Skinnys Record have already targeted true customers and have the right way to communicate with them. It has had competitive advance and developed a unique marketing niche strategy that will successfully compete with other music retailers in competitive environment.Question 2:Skinnys Records website help its customers access information about when albums are being release, what gigs are on around Brisbane or the latest industry news and provide convenience for customers to purchase products online. The company also provides the forum where customers can participate in on-line discussion to exchange their views on various topics such as the latest gigs, down-loadable material or even advertise for new band members, and allow customers to sample music online. The forum also helps new customers to be aware of what is available from Skinnys Records. Besides, the staff can interact with customer to provide guidance. Thus, Skinnys Records website creates the convenience for customers as it provides all the information needed and make purchasing process easier. It also attracts customers by providing the place where customers can interact with each other, sharing their same interests. Moreover, it shows Skinnys Records concern about customer retention by show their care of customers in the forum (direct interaction to provide guidance).