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Odi - Chicken Population Segmentation by Geography

Autor:   •  March 8, 2011  •  Study Guide  •  624 Words (3 Pages)  •  1,281 Views

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Customer Analysis

As Garrison stated "chicken farmers, even the big ones, are an independent-minded breed of men who might react very unfavorably if they get the idea that they have been taken" It is very important ton understand to chicken farmers and their needs.

Segmentation by Size

There are three different types of farmers based on size. As per Exhibit 3 the information can be summarized as in table below:

Farm Size Number of Farms in the Segment % Share of Farms Number of Chicken % Share of Chicken Average chicken per farm

20000- 49000 2856 76.63% 81547775 41.19% 28553.1425

50000- 99000 557 14.94% 41566445 21.00% 74625.5745

>100000 314 8.43% 74856267 37.81% 238395.755

As ODI has limited resources it will be most profitable for ODI to reach more concentrated farms.

Segmentation by Geography

The total chicken population is distributed as shown in figure below:

The more concentrated chicken population can be found on the South Atlantic and Pacific regions. A further analysis of the regions where these larger farms are located can be done using Exhibit 3. The two large concentrations of the 50,000- 99,000 size chicken farms are located in Pacific region and next in the South Atlantic region. The same is true for >100,000 farm size.

For the Pacific region the state of California is where the chicken farms are concentrated.

Table below shows details on the distribution of the farms for >100,000 farms size

South Atlantic California Total US

Number of Farms 70 87 345

% Share 20.29% 25.22% -

Number of Chickens 12,065,486 22,952,283 74,856,267

% Share 16.10% 30.70% -

Target Market fit

With a good understanding of the market segment (analysis above) ODI can direct to the specific market. The geographic location of the product launch must align with the financial ability of ODI as well as the accessibility for salespeople and technicians. On that basis, and based on the previous test locations, California region would be a good fit. Also, farmers in

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