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Question: Discuss About The Segmenting Markets Essential Significant? Answer: Introducation Segmenting markets is an essential and significant factor for shaping the strategies within the hospitality industry. This may result into differentiate and develop the hotel properties as well. Within the fast changing landscape of the hospitality industry, the hotels are improving and expanding continuously. While entering a new market, it is very important for the hotels to segment their target market and position the brand. The key of a successful marketing strategy is the STP strategy which is segmentation, targeting and positioning. The approach indicates that the entire market is constituted of few relatively homogeneous sections with their different and distinct cultures and desires (Hennart Slangen, 2015). Therefore this approach attempts to recognize each of the market segments, direct the activities of the organization according to the demand of their targeted market segment and position their brand in an appealing way to the targeted market segments. This section will di scuss the target markets and mode of entries in terms of the multinational hotel, Hilton Worldwide Holdings. Hilton Worldwide Holdings is a global brand with resorts and hotels in around eighty five countries across the world. The company has shown a constant growth over the years and increased around thirteen percent from their previous years growth. The organization aims to provide genuine experiences for their clients. When this hotel entered in the Australian market, the brand had segmented the entire client base in different segments for positioning their brand in a favorable position than the other brands. Segmenting the market involves differentiating the customers on the basis of different variables such as demographic, geographic, and psychographic and many others. While entering the Australian market, Hilton Worldwide Holdings had segmented their market in following ways: Geographic segmentation: This segmentation includes targeting a particular group of customers based on their geographic locations in the global and national levels (Brouthers, 2013). This strategy of Hilton hotels aims to build their hotels in locations which are quite popular for the target market base. For instance, Australia has been a favorable position for the hotel as it is apopular location for ding business and travel. Demographic Segmentation: This segmentation includes different variables such as age, gender, income, lifestyle, social class etc (Samiee, 2013). In this term, the Hilton Worldwide Holdings target the clients who are mostly middle to senior aged and belongs to higher income group and upper class of the society. The organization charges premium price for their quality services. Psychographic segmentation: The hotel targets the ambitious professionals who can express that they can perceive the higher achievements and high status by paying the premium service in the hotels. Benefit segmentation: This segmentation includes the implementation of the market segment based on the benefit of the customers and focus on obtaining the services and products provided by the company (Brouthers, 2013). Therefore Hilton has offered its existing and potential customer base a higher status in the society with luxury and a sense of accomplishment. This segmentation of the market has helped the brand in entering the Australian market where such premium quality hotels existed from before. Since the hotel has targeted the higher class and upscale customers who belong to the higher income group and travel for business, the hotel has considered providing a high level service as a major mode of entry. The marketing team of the organization has executed a regionally relevant and a coordinated strategy that can drive more customers to them. The hotel also applied their revenue management to the segmentation and targeting strategy as this has helped them to reach a varied customer base and matched their budget as well. United backpackers Kraus et al. (2015) has pointed out that backpacking is quite popular in Australia and this industry has made a major contribution in the national economy. The backpackers from all over the world come to Australia. Naidoo Wu (2014) has indicated that the hotels are quite significant for offering the essential facilities for the entertainment and leisure for the urban crowd. However, within this globalized era, the low budget hotels are increasing. There are large shares of the Australian hotels that are budget oriented. As discussed before, the notion of marketing segmentation indicates to the split of the market into different segments of customers. The segmentation is done on the basis of similar requirements of a group of customers. As per the demands of the customers for same choice of accommodations, the backpackers industry has taken adequate steps to target their particular segments and choose their new modes of entry in the market. United backpackers is an organization that mostly targets the youth groups. The segmentation of this tourism industry is generally designed to achieve a certain level of industry development. Targeting the market also provides a clear framework for the potential changes that the industry may make for making effective steps for developing the industry (Hassan Gioeli, 2014). The United backpackers mostly targets the psychographic and demographic segment as they attract more young travelers and the leisure travelers. On the basis of the demographic segmentation, Uni ted backpackers targets its customers. Demographic segmentation: This segmentation refers to the study of the sex, age, education, life style etc. In case of this organization, they target the young market segment that belongs to the average income groups with higher energy for travelling. They opt for the adventure sports and other interesting activities. Furthermore the organization concentrates on finding few specific modes for entry for the young market concentrating on their specifications. For this target group, nature is a tempting and attractive experience (Falk, 2016). Therefore the hotel has chosen its location to be in a place with scenic beauty with the wild fauna and flora which tend to act as a gateway for the urban young crowd. The hotel also arranges tours to the sand, sea, bungee jumping etc. Therefore the hotel can attract tourists along with maintaining the ecology. There are also coastal lifestyle experiences in Australia which is quite popular for the young urban crowd. The hotel maintains offering this lifestyle experience wh ich gives a touch of the classic outdoor lifestyle and provides thrill and fun at the same time. The hotel does not really targets the family market, rather they target the young travelers and the mature market who tend to seek out the experiences of exploratory vacation experience (Richard Richard, 2017). Moreover the organization tends to advertize their organization through the television and printed material as this market segment mostly relies on these media for travel information and opportunities. However, this market segment is limited and it does not offer a huge range of services to the travelers, therefore the hotels do not receive more travelers throughout the year. Psychographic segmentation This segmentation focuses on dividing the market into groups as per the life styles of the travelers. The life style tends to influence the buying attitude, behavior and the activities and expectations of the consumers (Horner, 2016). As the hotel is mostly providing a leisure experience to the average income groups, they tend to provide an experience that is out of the urban crowd and relates to the adventure and indigenous tourism. Coca Cola Hammad (2014) has indicates that it may be difficult for the brands to persuade all the customers in a better way, however, they can opt for a better and smart approach in order to make sure that the marketing strategy in entirely targeted towards a particular groups of consumers. Therefore they tend to develop their global branding strategy in accordance to that. Coca cola is a brand that has already positioned their product in the global market for achieving better success. Nowadays, the consumers are more health conscious; therefore they tend to demand for low calorie drinks which are not as harmful as the previous ones. Therefore, Coca cola has brought new products in the market which contain low calorie. This market segment is a comparatively new one in the soft drink industry. As indicated by Sengupta (2012) as the higher level of sugar consumption can cause the dangerous diseases such as diabetes and heart diseases, therefore now more consumers are looking for adopting a bette r and healthier life style. Therefore this has leaded them to demand products that contain lower level of sugar. Therefore the products of Coca cola which have lower calorie, their demand has gone higher. Coca cola has considered this demand of its customer base and targeted developing the low calorie drinks. Initially, Coca cola has developed the low calorie drinks such as Diet coke and Coke zero which targeted the market segment that demands the soft drinks with less sugar level. For such drinks, while these products were serving the market segment having higher demand for the low calorie drinks, the mother products were from the normal soft drink segment. However, the outcome was not as it was expected before launch. The taste of these soft drinks was not accepted by the consumers. Therefore Coca cola started developing a new soft drink with low calorie with less than thirty percent of sugar. This was developed as a result to targeting the market segment where the customers are more interested in achieving a healthier life. The taste of this soft drink was up to the mark as well. According to Doyle (2012) the brands require finding the position of their products with the determined market segment, so that the requirements of the customers can be served accordingly. The brand also requires gaining competitive edge within the market. Therefore as stated in the previous figure, the soft drink with lower sugar level composition has placed itself as a soft drink with better taste and low calorie. Therefore they have branded the product such a way within the market segment that it could easily compete with the other soft drink products based on the taste of the products. The product was launched with a balance of good taste and lower calorie. Therefore it can be said that the organization has done its branding in an appropriate way and positioned the product which has been beneficial for the brand for achieving success in the market. Nestle Nestle has been an important manufacturer for the consumer goods in a lower price all around the world. The brand has been in a leading position for more than a century which has also marked that the brand has changed its goods according the taste and demands of the consumers. Nestle has been a part of everyday life as the brand mostly focuses on the delivery of different benefits for people through their service, food and beverages (Sengupta, 2012). The brand has understood and anticipated the requirements of the customers which have helped them to adapt the new opportunities that came in their way throughout these years. With the digital disruption, the relationship between the suppliers and customers has changed; therefore the organization has also grabbed the opportunities for addressing the specific challenges faced by the organization. After creating the products, Nestle tends to differentiate the image of the products in an effective and efficient way which can provide a competitive edge within the market place. For global branding, it is very important to differentiate the products of the brand. Nestle has a wide range of customers. There are around twenty five kinds of minerals that are available for children in the market. 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