Marketing Strategies For Uber In Wellington

Perceptual Map for Uber in Wellington

The paper explains the significance of the marketing strategies. Uber Company has been taken in the task. Uber was incorporated in 2009 having headquarter is located in San Francisco, California United states (Uber, 2018). Here is the discussion about the perceptual map, marketing strategy and 8 Ps of the company to initiate the business activities in Wellington.

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The perceptual map is created by Uber after considering the level of involvement of the customers, competition and preferences of the customers. This perceptual map indicates that Uber needs to improve and enhance the quality of services to be great leader in the global market.

It has been noted that Uber use effective and unique positioning strategy to maintain a dynamic image in the minds of the consumers worldwide. The company uses pricing positioning strategy to attract maximum number of consumers from the different strata of the community. By using the positioning strategy, the company has been able to make difference in eyes of the customers.  The main target market of the company includes those customers who are in need of cars instantly (Solomon et al, 2014). App has been used by the customers to take the advantages of the Uber. Positioning is done by the company after considering the needs and requirements of the customers. On the other hand, the organization uses differentiation strategy to distinguish its services from the competitors. The firm focuses on the prices and services of the competitors to stay in the competitive market. It will help to make a unique and strong financial position in the global market. It is a global player with presence in over 50 countries and 200 cities. By using positioning strategy, Uber has been to enhance and increase the customer satisfaction and experience. By using positioning and differentiation strategy, Uber has been able to create a great and attractive image in the marketplace. This strategy helps Uber to flourish and explore the business activities and operations in Wellington. Positioning and differentiation is an effective strategy to cope and strive with competitors in such market (Weinstein, 2013).

Segmentation is a process of dividing the market into different group to analyze and determine the needs, requirements and desires of the customers in the Wellington. Uber uses multi segment types of strategy to maximize the number of consumers. Uber offers Uber X, Uber pool, Uber XI and Uber premium services to the clients in the marketplace. The segmentation strategy for Uber has been detailed below. Segmentation helps to analyze and measure the buyers for Uber cars in Wellington who mostly prefer cars instantly. The main motive of the segmentation strategy is to identify the need, wants and requirements of the target market. The Uber websites and mobile apps are segmented according to the needs, preferences and demands of the customers in the Wellington. It is stated that company divides its market on the basis of demographic, behavioral, psychographic and geographic areas. The young people who are age group 18-25 come in the list of target market of the company (Alawiyah & Humairoh, 2017).

Type of segmentation	Segmentation criteria	Uber target customer segment
Uber X, Uber XI, Uber pool, Uber-MOTO, Uber AUTO	Uber Premium, Uber Go, UberEATS, Uber BOAT, UberRUSH	Uber Access
Geog-raphic	Region	North & South America, Asia, & New Zealand Australia, Europe, Africa Uber AUTO – Bangalore and Pune only	North & South America, Asia, & New Zealand Australia, Europe, Africa	North & South America, Asia, & New Zealand Australia, Europe, Africa
Density	Urban/rural	Urban/rural	Urban/rural
Demog-raphic	Age	18+	25-65	45-65
Gender	Males & Females	Males & Females	Males & Females
Life-cycle stage	Bachelor Stage Newly Married Couples Full Nest I Full Nest II Full Nest III Empty Nest I Empty Nest II Solitary Survivor I Solitary Survivor II	Full Nest I Full Nest II Full Nest III Empty Nest I Empty Nest II	Full Nest III Empty Nest I Empty Nest II
Occupation	Students, employees, professionals	Employees & Professionals	Retired & Hadicapped
Behavi-oral	Degree of loyalty	‘Hard core loyals’ ‘Soft core loyals’ ‘Switchers’	‘Hard core loyals’ ‘Soft core loyals’ ‘Switchers’	‘Soft core loyals’
Benefits sought	cost-efficiency	sense of achievement	convenience
Personality	Easygoing, determined, ambitious	Determined, ambitious	Easygoing
User status	non-users, potential users, first-time users, regular users	potential users, first-time users, regular users	non-users, potential users,
Psycho-graphic	Social class	Lower class, working class, middle class,	middle class, upper class	working class, middle class, upper class
Life-style href=”#_ftn1″ [1]	Struggler, Mainstreamer, Explorer, Reformer	Aspirer, Succeeder, Explorer, Reformer	Resigned, Struggler, Mainstreamer,

Positioning and Differentiation Strategy for Uber

 Market development approach is used to mobilize the market by adapting the changes to meet all the demands. The aim of this development is to replace the domestic services on a sustainable basis. Market development approach is a strategy that is used to identify the area of growth and then develop a new segment in the market. It also targets the customers by expanding the products and services. The target market of Uber depends upon the demographic and geographic segmentation of the area. Uber targets the customers who have shortage of time and lack of wallet cash (Eshuis, Braun & Klijn, 2013). The expansion of current services includes the broad range of services like Uber Go, Uber X and many more. These are famous and also offer economical pool facilities with GPS tracking system. It will help the company to grow globally in the market by offering facilities to customers by making it convenient to book a cab. The target market for Uber is the customers who are running late for their work or students who want to travel at nominal price and make use of Uber as they choose pool facilities. They mainly focus on the lifestyle of lower and working class as they have main struggle in travelling. Market development is a way to capture the market for all kind of audience and increase the profit margins. This strategy covers the market by getting new customers and then expanding the sale through development methods. Uber targets the market for better revenue and profit margins (Baker & Saren, 2016).

Diversification strategy is used by the company to flourish the business globally. This strategy helps the company to earn a good reputation and goodwill in Wellington. By using diversification strategy, the firm has been able to differentiate its products and services from the competitors. With the help of this strategy, innovation can be done in the rating system for the drivers (Armstrong et al, 2015). It will helps in improving the services of the company in the global market. The various competitors affect the success and growth of the firm adversely. Along with this, the firm needs to provide unique and effective network to explore the business actions globally. The company is gaining competitive advantages just because of its attractive and unique brand and reputation. The organization can easily attract passengers and drivers in the new locations. This reputation also provides a good opportunity to the riders. With the help of diversification strategy, the company uses non-commercial cars, its drivers ignore expensive commercial insurance and other expenses that render Uber service a cost benefit over the traditional taxi services. The unique and favorable organizational culture also provides ample of the competitive advantages in Wellington (Laheri, Dangi & Vohra, 2014).

Segmentation Strategy for Uber

The company wants to change the products and services then it can intimate the consumers by using promotional and advertisement strategies. These strategies help the firm to promote the new products in the existing and new customers as well. Therefore, Uber should focus on the advertisement and promotional strategies to attract and retain large number of customers in Wellington (Johnson, 2016).

B.To differentiate its products from the competitors, Uber can use marketing mix strategy that has been discussed below.

Product: It is stated the company should use effective and unique service strategy to maximize and increase the customers in the new market.

Price: It is one of the significant strategies that can be used by the firm to distinguish its prices from the competitors. Price differentiation shall be done by the organization to set the reasonable prices of the services.

Place: This is an effective and unique strategy which used by Uber to decide the attractive place in Wellington (Lee & Carter, 2011).

People: It is also an effective strategy that helps to run the business activities successfully.

Promotion: It is noted that the firm should use advertisement and promotion strategy to overcome the competitors in the global market.

Process: To expand and explore the business, effective process must be used by Uber.

Positioning: The positioning strategy helps the company to increase and enhance the sale of the firm.

Performance: It is one of the fundamental strategies that help to attract repeat customers.

These strategies can be used by the company to introduce the new services in Wellington. Furthermore, it also helps to stand out against the competitors.

Conclusion 

From the above mentioned analysis, it has been concluded that Uber needs to focus on its differentiation strategy, segmentation, and targeting and position strategy to enter in the new and innovative market. Uber also 8 Ps of marketing mix to increase the sales and demand of the services.

References

Alawiyah, I., & Humairoh, P. N. (2017). The Impact of Customer Relationship Management on Company Performance in Three Segments. Jurnal Ilmiah Ekonomi Bisnis, 22(2).

Armstrong, G., Kotler, P., Harker, M., & Brennan, R. (2015). Marketing: an introduction. Pearson Education.

Baker, M. J., & Saren, M. (Eds.). (2016). Marketing theory: a student text. Sage.

Eshuis, J., Braun, E., & Klijn, E. H. (2013). Place marketing as governance strategy: An assessment of obstacles in place marketing and their effects on attracting target groups. Public Administration Review, 73(3), 507-516.

Johnson, G. (2016). Exploring strategy: text and cases. Pearson Education.

Laheri, V. K., Dangi, H., & Vohra, A. (2014). Green marketing: development of construct and its evolution. Asia-Pacific Journal of Management Research and Innovation, 10(2), 147-155.

Lee, K., & Carter, S. (2011). Global marketing management. Strategic Direction, 27(1).

Solomon, M. R., Dahl, D. W., White, K., Zaichkowsky, J. L., & Polegato, R. (2014). Consumer behavior: Buying, having, and being (Vol. 10). Pearson.

Uber.,(2018). Our story[online], Retrieved from https://www.uber.com/en-IN/about/

Weinstein, A. (2013). Handbook of market segmentation: Strategic targeting for business and technology firms. Routledge.