Step 4 Specify future approach to market segmentation

5 Step 4 Specify future approach to market segmentation 

AutoCo customer B uncertain demand, lower volumes Product quality and delivery reliability are most important 

How much of the supply chain is customer order driven  

A and B both want 100 per cent on time in full on quality delivery. However, customer A places priority on higher volumes on shorter delivery lead times with higher delivery frequencies. Customer B places priority on AutoCo s capability to meet uncertain demand, and on higher levels of customisation. It is now possible to describe the segments typified by customers A and B in terms of  

It is then necessary to evaluate all other major customers at AutoCo in similar terms to develop and refine an overall segmentation strategy for the focal firm. 

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