Segmentation and Target Market

Segmentation and Target Market

According to Kotler, “a market segment consists of a large identifiable group within a market, with similar wants, purchasing power, geographical location, buying attitudes, or buying habits” (Kotler, 2003, p. 164). Travel Industry of America statistics shows 23% of Americans will choose all-inclusive resort to vacation. (Todd, 2003, p.1). The Sands of Time Resort will focus on potential customers who enjoy being pampered, like playing golf, and having everything at their disposal.

Demographic Segmentation

The all-inclusive Sands of Time Resort will offer a variety of spa services as well as excellent golf packages. According to the National Golf Association, “there are 26.4 million golfers over the age of 12 in the U.S. Approximately 6.1 million are avid golfers and play 25 or more rounds a year. Today's average golfer is 40 years old, has a household income of $68,000+, and plays 19 rounds a year. On average, golfers spend over $2.5 billion on golf related purchases and over $24 billion on golf travel.” (“Golf Demographics”, 2000).

A recent study by the International Spa Association shows the typical resort/hotel spa user as a 44 years old women; married with no children under the age of 18 living in the household; is employed full time; has a college degree or higher, and has an average household income of $122,000. (“ISPA Releases New Industry Statistics”, 2002).

Target Market

Scottsdale has long served as a gracious refuge for those in need of rest, respite, and renewal. With so much to offer to so many people, Scottsdale enjoys playing host to visitors from all over the world. The Sand of Time resort target customer is age 40 and over, college educated, and has a household income of