Targeting a market segment
An Australia case study

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Page 2: Market segmentation

Australia 7 Image 1It is generally recognised that marketers cannot develop strategies that appeal to all buyers in all markets: a broad sweep to catch all does not work.  This is because buyers have different characteristics and needs as well as different ways of going about buying. Rather than trying to compete within an entire market in a broad, unfocused way, organisations have to recognise and identify those market segments that they can best serve.  To do this, they need to understand:

  • the nature, attributes and appeal of their own product(s)
  • the buying behaviour of their customers (length of stay, money to spend on    travel)
  • potential size of their market.

They must then develop sophisticated marketing strategies that are carefully aimed at targeted groups of consumers. There are three main phases involved in serving a distinct market:


ATC has maximised the efficiency of its marketing efforts by breaking up the travel market into specific market segments, including:

  • independent adventurers aged 25-34 (primary market)
  • young independent travellers (YIT’s) aged 18-24 (secondary market)
  • independent adventurers aged 45-65.

For the purpose of this study, we will focus on the young independent travellers (YIT’s).

Australia | Targeting a market segment