Segmentation and targeting

Segmentation matrix

·       We assume that all of our customers belong to middle or upper middle class, are open-minded, liberal thinking, have westernized lifestyle.

·       Most of our customers are males aged 25-50 who are either office workers or businessmen belonging to middle or upper middle class, who have high income. They may be alone, engaged or married, nonetheless they are more likely to visit hooters in male only groups or alone.

·       Most of them (except those having business lunch) are attracted by unique Hooters ambience, style and waitresses.

·       Price:

• Price plays least significant role in the customer perception of Hooters (category 7), thus they are ready to tolerate higher prices (although not premium in comparison to gourmet restaurants) in return of ambience and style. This group is Hooters fans, but although they are frequent customers, they make up lower percent of visitors.

•  Nevertheless, other (categories 1,2,4,5) who are making up majority of our customers and groups are also fans of Hooters, but since they are more frequent visitors, they are not ready to pay premium  every time they come to our restaurant. Therefore they should be offered reasonably priced food+beverage bundles or frequent-buyer loyalty programs.

• Customers (categories 3, 6) are seldom visitors, although their average bill is higher.

·       Quality and selection of food and beverages is also significant and cannot be neglected. Nevertheless, food preferences are different, as 3 out of 4 belonging to a category of most frequent customers (1,4,5) are likely to demand food+beverage bundles, or mostly beer and snacks. Only categories 2 and 7 are likely to demand wide selection of menu items including main courses.

Kano model