Malone's Maternity has identified two distinct attractive market segments. The first segment includes expecting and just delivered mothers. The second segment encompasses family, friends, coworkers, and others purchasing gifts. Malone's Maternity operates within the large maternity industry, which offers a wide range of products for mothers and children. Malone's Maternity will compete within the upper echelon of this market.
Malone's Maternity has identified two particularly attractive market segments.
Parents - This segment is primarily the expecting mother, and also includes the father.
Family & Friends - This segment is buying gifts for the new parents and child. They are looking for something upscale, something that would be really enjoyed.
Malone's Maternity has chosen parents, and family and friends, as the two most attractive segments to target. These segments are the most desirable because they have high levels of disposable income, and they spend it. The parents are used to having fashionable clothes and accessories and it is totally consistent with their purchasing patterns that this preference would remain unchanged once they get pregnant. Many expecting parents like to reward or pamper themselves with nice gifts when they're pregnant.
Family and friends are interested in buying nice gifts for their expecting friends. This segment recognizes their friend's appreciation for nice things and are looking for something that they know they will enjoy. The gifts are meant to be something nice, and luxurious. Much of the current maternity wear and accessories are utility based, and while they serve their purpose, they are not the most engaging gift. Family and friends are looking for something that will stand out, that the new parents will truly enjoy.
The retail maternity and child industry is made up very specific retailers that generally do not have much crossover. This means that a retailer will concentrate on either maternity or children; it is rare for a retailer to offer products for both mother and child in the same store. While this is somewhat intuitive because it allows the retailer to remain focused on one thing, Malone's Maternity believes that there are many lost opportunities in that case since maternity and children go hand in hand. Malone's Maternity will capitalize on these missed opportunities and allow one-stop shopping for both mother and child.
Malone's Maternity faces competition from several sources.