Chpt_8 Segmenting and Targeting Markets

Market segmentation is the process of dividng a market into meaningful, relatively similar, and identifiable segments or groups. Fed ex  definelty had 2 major segments or groups that they target. The most obvious is the shipping part of Fed ex. Any customer needing rapid and reliable delivery of packages knows they need to use Fed ex. It is already embeded in most people needing shipments to arrive when they need it to, to use Fed ex. Fed ex also has another cheaper option targeting people who do not want to spend the extra money for shipments, Their option is to use Fed ex ground.
Fed ex ground offers delivery in the United States and Canada within 3 to 5 buisness days. This would be another sub group targeted by Fed ex.



The other major group Fed ex targets is customers needing printing and office supplies. Fed office has 2 major groups it targets on the printing side as well. Fed ex has almost all printing capabilities. They print posters, indoor and outdoor banners, postcards, calendars, brocures, flyers, logo creation, resume creation , window decals, lighted lettering, bumper stickers, and the list goes on. Fed ex office also has office supplies. Fed ex started to include more retail items in store in order to keep up with the competion Staples.

In every Fed ex office location they have it set up so that the printing counter is always separated from the shipping counter. After reading this chapter my theory is this is a form of market sementation.