Marketing analysis of Marlboro cigarettes

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Executive Summary

Marlboro is one of the most famous brands of cigarette among the world. The first launch of Marlboro cigarette is to target female consumer. By 1950s, a new Marlboro is launch again but with a new manly image with an icon of ‘Tatooed Man’. Today, Marlboro brand may not be ranked at top anymore but it still retains a value in excess of 21 billion USD.

Marlboro cigarette is to targeting adult consumers and prevent from underage group. Marlboro Company had their own target market segment and doing consumer analysis in order to implement their marketing strategies.

In advertisement analysis, smoking caused a lot of health problem so the company is paying effort to create a strong, cool independence, ruggedness, strength, and adventure image for Marlboro cigarette. Advertising is the strong tools to promote Marlboro cigarette within the country which the law is allow cigarette advertisement.

For personality and self section, Marlboro are developing good product personality as the Marlboro products give consumers a masculinity and cool image to target male customers. Besides, different flavor and packaging of Marlboro cigarette also form customization for different type of customer with different buying behavior.

In addition, the target audience of Marlboro is focus on adult which having variety of psychographics and lifestyle. Well, for Marlboro cigarette consumer they are mostly smoke under great pressure, socialism as well as influence of community.


Introduction

As we know, Marlboro is a well known brand of cigarettes. Marlboro cigarette is created by Philip Morris USA within US and by Philip Morris International. Both the company is actually the own by a parent company, Altria Group, Inc and is one of the world's largest tobacco corporations. On January 6, 2009, Altria Group, Inc. completed the acquisition of U.S. Smokeless Tobacco Company, the world's leading moist smokeless tobacco manufacturer. By now, Philip Morris International is a company separate from Altria Group, Inc outside the US.

Marlboro brand cigarette is named after Great Marlborough Street which is the location of the original Marlboro cigarette factory. Today, the largest location of the Marlboro cigarette manufacturing plant is at Richmond, Virginia. By 1924, Marlboro was advertised as a woman’s cigarette based on the slogan “Mild As May”. Marlboro brand was sold in until World War 2 when the brand faltered and was temporarily removed from the market. Until 1950s, a series of articles that showed the smoking caused lung cancer had begun the filtered cigarette market. By this, Philips Morris takes the chance to launch the new Marlboro with a filtered end in 1955. At the time, the majority of cigarettes being sold were non-filtered. Marlboro was a filtered cigarette, so this clearly was an attempt to win over the health conscience crowd. With the new launching of Marlboro, the company decided to dump the targeting of women and began promoting Marlboro as a man's cigarette. The new Marlboro had come out with the new icon ‘Tatooed Man’ (refer to appendix 1). In 1954, the now well known 'Marlboro Man' was introduced, and by 1963 was the sole representative of Marlboro ads. Around 1972, Marlboro cigarette became the most famous brand while Marlboro brand may not be ranked at top anymore but it still retains a value in excess of 21 billion USD.

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Mission

The company of Marlboro cigarette is an operating company of Altria Group, Philip Morris USA is guided by Altria Group's Mission   to own and develop financially disciplined businesses that are leaders in responsibly providing adult tobacco consumers with superior branded products.

The company’s mission is guided by the following factors:

  1. Invest in Leadership: Investment in the management of company and external stake holders that important to business success.
  2.  Align with Society: Take consideration and participate in societal concern that related to business.
  3.  Satisfy Adult Consumers: Provide the best, creative and more satisfying product to consumers.
  4. Create Substantial Value for Shareholders: Execution of business plans to create sustainable growth and generate substantial return for shareholders.

Vision

The vision of Marlboro Company is to prevent underage tobacco use as Youth Tobacco Prevention Department is set up. They are committed to this effort because they are firmly believed that kids should not smoke. Youth tobacco use is a complex issue for which there is no one simple solution. There is no single reason why young people engage in risky behaviors, such as experimenting with cigarettes, alcohol or drugs. Besides, Marlboro company is also implementing vision that to develop and create a new reduced-risk cigarette for consumers. "As Chief Operating Officer of the company, I can assure you that we're doing our best to develop cigarettes that might reduce the health effects of smoking."(Our Research Program, 2009)


1.Target Market Segment and Consumer Analysis

Segmentation

Market segmentation can be defined as the process of diving a market into distinct subsets of consumers and selecting one or more segments to target with a distinct marketing mix. Marlboro Cigarettes uses few types of market segmentation strategy. First is demographic segmentation which is based on age and sex. They segment based on sex which is male. Next is age which is from 21years old and above because this group consists of young men adults who like to take cigarettes. Besides that, the government defined at age 21 years old as the legal ages who take cigarettes. Second is psychographic segmentation which is based on lifestyle. Nowadays, young adults wanted to be look smarter from outlook impression, so they will follow the trend like the cowboys of Marlboro Cigarettes advertisement. The way they take cigarettes will make them look good and smart.

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Criteria for Effective Targeting Of Market Segments

Identification:

To divide the market into separate segments on the basis of a series of common or shared needs or characteristics that are relevant to the product or service. Marlboro Cigarettes targeted some segmentation such as demographic are relatively easy to identify or are even observable. Marlboro Cigarettes contain a unique formula and a few different types of Marlboro Cigarettes were use to target the group with different characteristics.

Sufficiency:

        For a market segment to be worthwhile target it must consist of sufficient number of people to warrant tailoring a product or promotional ...

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