Table of Contents
1.0 Introduction 2
2.0 Discussion 2
2.1 Potential customers and their behavior 3
2.1.1 B2B customers 3
2.1.1.1 Behavior of the B2B customers 4
2.1.2 B2C customers 4
2.1.2.1 Behavior of the B2C customers 5
2.2 Segmentation, targeting and positioning exercise 6
2.2.1 STP for B2B customers 6
2.2.1.1 Segmentation 6
2.2.1.2 Targeting 7
2.2.1.3 Positioning 7
2.2.2 STP for B2C customers 8
2.2.2.1 Segmentation 8
2.2.2.2 Targeting 8
2.2.2.3 Positioning 9
3.0 Conclusion 10
1.0 Introduction
Swani and Iyer (2015) portrays that business to business approach is known as B2B that signifies the products and goods of an organization are marketed to other businesses; whereas B2C resembles the approach of business to customers, where the final customer is the consumer and the company direct sells products to them. However, in order to earn high profitability and targets more customer base, contemporary organization adopts both the B2B and B2C concepts.
In this assignment, the potential B2B and B2C customers are discussed for the organization Darwin Symphony Orchestra, who are liable to perform about 8 concerts a year and has over 60 musicians (Dso.org.au 2017). Their concerts have been presentedplaces like Tennant Creek, Alice Springs, Nhulunbuy, Katherine, Eylandt and Jabiru (Dso.org.au 2017). The artist director and chief conductor of this organization are Matthew Wood and the concerned organizationperformed with renowned artists like Emma Matthews and John Williams (Dso.org.au 2017). The different behavior of their customers that is considered by Darwin Symphony Orchestra will be highlighted. Moreover, the selection of appropriate segmentation, targeting and positioning exercise taken by this company according to their customer’s behavior is discussed.
2.0 Discussion
Darwin Symphony Orchestra (DSO) is a non-profit organization operated by a small professional core and 65 volunteer musicians in Darwin community. This organization performs events like- Opera Gala, Kid’s Classic and Master Series (Dso.org.au 2017). Potter (2015) also portrays that their innovative style of presenting music to everyone attract them for keep listening to this orchestra. Initiatives like telling a story through music, classical music for all the family members and songs composed by the famous musician in Australia, ensures the effective brand recognition of this orchestra.
2.1 Potential customers and their behavior
2.1.1 B2Bcustomers
Mencarelli and Riviere (2015) depicted that B2B customers are those, who exchanges products, services or information between the business and are not the end-users. In the case of Darwin Symphony Orchestra (DSO), the potential customers are the suppliers and all the music retailers, who sell music CD and magazines.
In the context of the suppliers, DSO has several categories of suppliers- approved caterers, approved florists and event producers (Dso.org.au 2017). Jussila et al. (2014) explain that complementary food or quality catering experiences complement an event and hence it is crucial to consider food items apart from the music. Orchestra companies alsohave flower suppliers so that remarkable displays for the event can be attained for making the programs more enjoyable. Moreover, the event producers compromises of stage managers and technicians, who helps for the conducting their events in other locations. In the context of Darwin Symphony Orchestra (DSO), they have a person named Andrew Dudley having a formative 35 years’ experience in the field of corporate theatre, special events, live entertainment, conferencing and corporate theatre to international standards (Dso.org.au 2017). They also have a local logistics called “Meyer Sound, Philips Entertainment Lighting”, which is liable for Trussing- &- Rigging, Site/Venue search, liaison-&- coordination, Drapes- &- Cycloramas, Audio, Visual, Lighting, Audio, Visual, Lighting and Theming-&- decorations. They also have their association with Charles Darwin University, Northern Territory Government, Australia Council for the Arts, Southern Cross University, APA, Darwin Convention Centre and Darwin International Airport (Dso.org.au 2017).
2.1.1.1 Behavior of the B2B customers
These customers’ major value is to gain high profitability through better business relationships. The behavior of the local logistics is to negotiate with the DSO so that they can earn maximum profit. Thus, it can be said that the more the quantity they will provide, the more will be the cost of their supplied materials. Moreover, Gummesson (2014) explains that the more the use of technologies in developing new items the marginal cost will also raise high. Therefore, it is evident that different minimal power of these producershas different power for producing different quantities at different price levels (Amin et al. 2015).Meyer Sound, Philips Entertainment Lighting knows the popularity of the DSO and they continuously innovatetheir products and lightening technologies so that they can remain associated with them and provide quality experienced the people (Dso.org.au 2017). Moreover, it can also be said that, since DSO have music concerts throughout the years, they have less negotiation power with DSO and on the other hand, DSO also intends to obtain a quality arrangement in optimized cost compared to other suppliers. In addition to that, since DSO is a non-profit organization, the major participation is with the governing bodies and academic centres and their behavior is to organize theseevents in minimum costs.
2.1.2 B2C customers
The customers, who individually experience the products and the services from a company and are the end-users, are the B2C customers (Swani and Iyer 2015). In the context of the DSO, the music lovers across the world and all ages of kids are their target customers. The customers base in this aspects are the traditional and cultural music lovers, who prefer to listen to classical melodies compared to the contemporary music.These customers can belong to any places from Australia and can experience their events by paying for their tickets and booking their seats.
2.1.2.1 Behavior of the B2C customers
The most important behavior of the customers is to get experience that can prove to be their value for money. Simkin (2016) also portrays that people intend to visit the place if they get more facility in lesser cost. Moreover, it is also evident that customers also ready to pay little more if they get better quality in other deals. Taken for instance, for the event “Series-III, DSO at the Movies”, DSO offers lesser price through online than door sales values. They also offer combo prices for a concert and supper meals.
Image 1: Tickets value of Series-III, DSO at the Movies and Kids’ Classic
(Source: Dso.org.au 2017)
In this way, more people will buy their tickets and experience their concerts in their affordable prices. Moreover, they also have an arrangement for disabled people in the first row of their events so that people with disability do not have to face and problem during the show. Moreover, the customer can also have the provision to book their tickets for the desirable time and location like the kid’s special show is organizedat Palmerston both at 9:30 a.m. and 11:00 a.m. on Saturday 22 July and Charles Darwin University Theatre at 9:30 a.m. and 11:00 a.m. on Sunday 23 July (Dso.org.au 2017).
2.2 Segmentation, targeting and positioning exercise
2.2.1 STP for B2B customers
2.2.1.1 Segmentation
The prime objective of this section isto efficiently segment the market. The segmentation is comprised of approaches like- demographic, geographic, psychographic andbehavioral (Bickhoff et al. 2014). In the context of B2B customers, DSO has their demographic segmentation as sectors that provide education and knowledge about music and all other non-profit organizations. The geographic segmentation, in this case, is Australia as all the business partners are from Australian territories (Dso.org.au 2017). The physiographic segmentation in this context is to target those who love traditional music and love to listen to classical way for song presentation. Lastly, for the aspect of behavioral segmentation, the business partners intend to attain more profitability through the partnership and desire to deliver the best music to school students and country people. Thus, the business segmentation is especially the governing bodies and academic universities.
2.2.1.2 Targeting
Schlegelmilch (2016) depicts that targeting resembles an approach for finding the most attractive audience for which more profitability can be earned. The prime reason for choosing University and governing bodies is to make more aware of their programs and trust their genuineness. Moreover, the promotion of their programs is accomplished through from their sites as well as the governments and university's sites so that all the students can get aware and book tickets for the desired programs that they want to attained. DSO also targets retailers like food retailers and music retailers for providing a better experience for their programs. Food retailers like Il Lido Bar Pizza, The Precinct Tavern, Trampoline, Hot Tamale and others are availed as a business partners for their shows with whom more profit can be earned that can utilized in payments for the musicians, government trusts and university’s wellness (Dso.org.au 2017).
2.2.1.3 Positioning
Kotler et al. (2015) define that this is the last step to target the audience by positioning the products or services to target the most valuable customer segments. In this aspect, the most important thing is to consider the reason of experiencing a company’s products or service compared to the other competitors. Thus, identifying the needs of the customers is an important factor in this context. Furthermore, for Darwin Symphony Orchestra (DSO), as mentioned again the positioning is majorly the non-profit organizations like university and government, who are liable to research on the recent public demands in music.
2.2.2 STP for B2C customers
2.2.2.1 Segmentation
The demographic segmentation is primarily done based on people, who love music irrespective of their gender and ethnicity (Venter et al. 2015). Education and occupation are another two major aspects that can also be considered in this segmentation aspect. In the case of Darwin Symphony Orchestra, people of all ages are targeted, who have incurred academic knowledge and familiarity in music so that they can understand the importance of their shows and can enjoy the music served in there. People may have any occupation for attending their shows. Since the DSO organizes their show with the partnership of university, the students, staffs and the government employees are mostly targeted. Moreover, in the context of Geographic segmentation, people across the world can book for their seats according to their affordability. However, Australian people are mostly targeted as the orchestra performs events in Australian territories. Andaleeb (2016) on the other hand denoted that psychographic and behavioral segmentation are done based on personality/life- style and the approach for using the products respectively. In this case, it can be said that DSO offers their music to all generation people, who prefer classical music as well as rock music. Kids of all ages are targeted for storytelling.
2.2.2.2 Targeting
Kumar and Zia (2016) portrays that business people often looking for the profitability of each segment that is selected for the growth of an organization and this size and potential growth of the business should be considered. Opera Gala is for middle-aged people, who will love the music serenaded by four of Australia’s leading operatic voices. ConocoPhillips Symphony’s Queen presents rock shows with the bands like Beatles, ABBA, Led Zeppelin and Pink Floyd that targets younger generation (Dso.org.au 2017). Kid’s Classic is majorly offered for kids of all ages and their parents. In this show, the story is represented in the form of music that is enjoyable for both the children and parents. Another programs are Master Series I- Wolf Totem that targets older millennials who enjoys solo double bass and orchestra (Dso.org.au 2017). Master Series II- Kakadu, Master Series III-DSO at the Movies also targets the mostly the people who are above 24 years and can enjoy the spirit of the music. High- income groups are targets who have cars and this is the reason parking option for affordable car parking prices are given like- paid parking for multi- level car parks at $2 for 3 hours & $4 for 4hrs (Dso.org.au 2017). Free parking for students are also available that is only applies to weekends (Dso.org.au 2017).
2.2.2.3 Positioning
As mentioned above Kids special events are there that targets the kids of all ages, as they love stories. Younger millennials love rock and thus DSO performs evets with rock bands so that more of these target groups can attend their shows. Moreover, older millennials are offered with old classical songs. Thus, music is offered for all age group and all income groups. Mostly, the crowded places are chosen for these events and sometimes university theatres are targeted so that maximum people can attend their show without any hassle. In addition to that, the promotions are done through university websites and poster handouts; however, the booking is only available through DSO’s website. Food facility and parking facility are also there that can be utilized by the guests of they desire to use that facility. Taken for instance, in the year 2015, Darwin Symphony Orchestra Master Series 2 - 'Realm-&- Resonance' was organised that is to celebrate the birthday of Jean Sibelius and a tribute is also paid to the brilliance of Peter Sculthorpe along with the music retailer Sun Music IV (Cdu.edu.au 2017). All these information is present in the Charles Darwin University’s website through which the future students, current students, international students, research scholars, staff members, business and government parties are targeted to make them knowledgeable regarding their shows and events (Cdu.edu.au 2017).
3.0 Conclusion
Thus, it can be concluded that Darwin Symphony Orchestra is a non-profit organization that serves music to all age group and is performing their business by adopting both the approach of B2B and B2C. The business partners are different university like Charles Darwin University and Southern Cross University and government bodies like Northern Territory Government. Different food retailers and music retailer are also business partners of DSO that provides additional support to their business. However, their consumer’s segmentation is done based on people who have a liking for Australian music and rock music. Thus, younger and older millennial are targeted. However, kids of all age group are also targetedas music is utilized for telling stories. Parking facility are also available and tickets seats are also available at different prices in order to target every income group people. Lastly, the settings arrangements for disabled people are also there. Hence, it can be said that DSO selected almost all the demographic people and offered their music to everyone who has a likeness for music and creation.
4.0 Reference List
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