Monday, October 10, 2016

Chapter 6. Consumer Decision Making

Changing Demographic 

Shea Moisture recently sold a portion of there company to an investment firm Bain Capitol. They were looking to broaden it's customer base outside of it's normal core of African Americans. Bain Capitol is aiming to boost growth by taking a brooder approach by marketing outside of ethnicity. Shea Moisture is trying to capitalize off the growth of more Americans using products that are organic and natural. The switch to marketing to a broader audience has been unsettling for Shea Moisture core base. Customers feels that the company has "sold out" and now this base need is being neglected. Co founder Dennis ensures that he will continue to service his core customer while still engaging a broader audience. 



Demographic Make up

Bain Capitol is a world leading private investment firm. Partners with management teams provide and plan resources for growth. They partner with Dunkin Donuts, Nabisco, and Dow Chemical Company. The statistical descriptions of the characteristics include population, race, age, income, etc. Both companies are looking to capitalize on a growing market. Shea Moisture's core demographic is the African American woman. A growing market means more opportunity for profits. A growing margin means more equable opportunity. Now with their new financial backup, Shea Moisture has begun to change it's strategies. They've recently become producing more products, partnering with major retailers, expanding representation in advertisement, growing availability in social networks, and pop up shops. Now instead of just hair products, they've also began making bath and cosmetic products too. The partnerships with major retailers include Target, Ulta Beauty, Walgreens, and Meijer. 

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