Uber Segmentation, Targeting and Positioning
Uber segmentation, targeting and positioning can be specified as the essence of Uber marketing strategy.
Segmentation involves dividing population into groups according to shared characteristics, whereas targeting implies choosing specific groups identified as a result of segmentation to sell products. Positioning refers to the selection of the marketing mix the most suitable for the target customer segment.
Uber uses the following positioning methods:
1. Multi-segment positioning. Uber uses multi-segment type of positioning and accordingly, targets several customer segments with different levels of service. The ride-hailing giant offers economy services such as Uber X, Uber XI and Uber Pool for cost-conscious customers. At the same time, Uber PREMIUM consisting of fleet of stylish vehicles is available for customers who don’t mind to pay more.
2. Stop-gap positioning. Stop-gap positioning involves investing in currently unprofitable brands with profitability expectations in long term-perspective. Uber used this positioning method for its Advanced Technologies Group (ATG) business unit. Specifically, the ride-hailing giant invested hundreds of millions of USD in the development of autonomous self-driving cars. However, the project did not generate expected results and ATG unit was sold to Aurora Innovation Inc. in January 2021.
The following table illustrates Uber segmentation, targeting and positioning:
| Type of segmentation | Segmentation criteria | Uber target customer segment | ||
| Uber X, Uber XI, Uber pool, Uber-MOTO, Uber AUTO | Uber Premium, Uber Go, UberEATS, Uber BOAT, UberRUSH | Uber Access | ||
|
Geog-raphic |
Region |
North & South America, Asia, & New Zealand Australia, Europe, Africa
Uber AUTO – Bangalore and Pune Only |
North & South America, Asia, & New Zealand Australia, Europe, Africa
|
North & South America, Asia, & New Zealand Australia, Europe, Africa
|
| Density | Urban/rural | Urban/rural | Urban/rural | |
|
Demog-raphic |
Age | 18+ | 25-65 | 45-65 |
| Gender | Males & Females | Males & Females | Males & Females | |
|
Life-cycle stage |
Bachelor Stage
Newly Married Couples Full Nest I Full Nest II Full Nest III Empty Nest I Empty Nest II Solitary Survivor I Solitary Survivor II |
Full Nest I
Full Nest II Full Nest III Empty Nest I Empty Nest II
|
Full Nest III
Empty Nest I Empty Nest II
|
|
| Occupation | Students, employees, professionals | Employees & Professionals | Retired & Hadicapped | |
|
Behavi-oral |
Degree of loyalty | ‘Hard core loyals’
‘Soft core loyals’ ‘Switchers’ |
‘Hard core loyals’
‘Soft core loyals’ ‘Switchers’ |
‘Soft core loyals’
|
| Benefits sought | cost-efficiency | sense of achievement | convenience | |
| Personality | Easygoing, determined, ambitious | Determined, ambitious | Easygoing | |
| User status | non-users, potential users, first-time users, regular users | potential users, first-time users, regular users | non-users, potential users, | |
|
Psycho-graphic |
Social class | Lower class, working class, middle class, | middle class, upper class | working class, middle class, upper class |
| Life-style[1] | Struggler, Mainstreamer,
Explorer, Reformer |
Aspirer, Succeeder, Explorer, Reformer | Resigned, Struggler, Mainstreamer,
|
|
Uber segmentation, targeting and positioning
Uber Technologies Inc. Report contains the above analysis of Uber segmentation, targeting and positioning and Uber marketing strategy in general. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter’s Five Forces, Value Chain analysis, Ansoff Matrix and McKinsey 7S Model on Uber. Moreover, the report contains analyses of Uber leadership, organizational structure and organizational culture. The report also comprises discussions of Uber business strategy, ecosystem and addresses issues of corporate social responsibility.
[1]According to Cross Cultural Consumer Characterization by Young & Rubican