How Yeo Hiap Seng employ Market Segmentation to increase their market share
The Company, Yeo Hiap Seng Ltd, is based in Singapore with three business divisions have sales revenue of S$402,217,000 in 2009 while the Malaysian Subsidiaries, Yeo Hiap Seng (Malaysia) Berhad is based in Jalan Tandang, Petaling Jaya, Malaysia with 2009 sales revenue of M$$546,040,000, 4% sales decrease compared to 2008. (Yeo Hiap Seng's Annual Report, 2009). The sales have been on declining trend from 2006 onward. The project proposal is to find out how Yeo Hiap Seng employs the market segmentation to increase the sales not only in Malaysia but as a company group in the Food and Beverage products for the market.
The soft drink industry remained flat from 2001 to 2006 and is projected to decline as much as one percent by 2011 (Healthmad 2009). In order to compete in the market from the Malaysian manufacturing products, Yeo Hiap Seng has to improvise new trendy and healthy products for the new generation.
In the next two decades, Malaysia will still have a moderately "young" population with those within the age group 0-14 constituting about 30 percent of the total population while those in the age group, 15-24 years will constitute about 17 percent of the total population in 2020. (Commission on population, 2007)
"Market Segmentation" (Theodore Levitt, 2006) is the method of how a company target its products to an upcoming specialize market. The segmenting of a market is to allow the marketing program to focus on the prospects that are 'most likely' to purchase the products offering. Market Segment are becoming important today due to the growing power of the consumers, increased Lifestyle activities, fragmentation of the consumer market and brand proliferation. The research will be Qualitative research, with...