Market Analysis Summary
The primary target customers of Chicano Stylez are the adult Chicano/Hispanic. CS offers clothing and accessories from the top Latin markets of the world, therefore we assume they are most appealing to people from or familiar with this culture. We believe that the Chicano/Hispanic customers will increasingly grow as the population in Oregon does.
The secondary target customers of CS are teenagers. We offer unique products to this area, and expect an increasing interest amongst young people who generally like to experience new things. CS also drives to be very competitive with prices and on top of the latest styles around the world. Teenagers tend to keep up with the latest fads, therefore, we expect to see a steady increase in this customer segment.
The last target customers of CS is listed as Other. We expect to see a wide variety of people interested in something new and different, from business people to international students. CS believes that we offer great customer service and an overall welcoming, warm, and educating atmosphere, which will keep a variety of customers coming back.
4.1 Market Segmentation
The Chicano/Hispanic population in the Whittaker Eugene area is dominant, therefore leading to a high percentage of our expected customers.
CS offers a wide variety of items from Latin markets around the world. Teenagers are amongst the largest group of trend setters and consumers in today’s market. CS feels that by offering a unique product to the Eugene area, many teenagers will be attracted, therefore leading to the second highest percentage of our customer based population.
The last area of potential customers is labeled as Other. Chicano Stylez offers a high-quality product that is new to many different types of people, both young and old. Our cultural ambiance will attract many interested shoppers, and our customer service will keep people both coming back, and spreading the word to others. This last segment is quite diverse, however we do not expect it to be overwhelming in numbers.
|Year 1||Year 2||Year 3||Year 4||Year 5|
|Chicano/Hispanic 21-35 yrs. old||10%||2,000||2,200||2,420||2,662||2,928||10.00%|
4.2 Target Market Segment Strategy
Chicano Stylez has three major trends that help its potential success tremendously.
- Within the last two to three years there has been world-wide media attention regarding the “Latin Explosion.”
- The population increase in the city of Eugene over the past ten years has been exponential.
- The downtown Eugene Whittaker area envelops a high population of the Hispanic/Chicano population, as well as other small stores, restaurants, and a latino center for career and social help.
According to the latest studies, Latin American awareness has increased dramatically, a well as an interest in this cultural lifestyle, clothing, religion, etc.
The three market segments each have their own specific needs, CS intends to target each segment’s needs individually.
Chicano/Hispanic 21-35 years old: CS provides the population with a variety of products expressing the Latin culture.
Teenagers: Young people strive on uniqueness and trendiness, which we offer in the latest styles from around the top Latin markets.
Other: The Hispanic culture is amongst the fastest growing sub-culture in the United States today. People of all races are drawn to elements of the Hispanic culture and it’s peoples.
4.3 Main Competitors
Our competitors share our Whittaker community population. La Tiendita/Taco Loco, Carneceria Lupita, and La Fiesta offer a variety of products, however none of these retailers offers free education to children, or such a wide variety of products from the top Latin-American markets.
- La Tiendita located in Taco Loco combines the atmosphere of a restaurant with shopping. They do not promote their retail products as much as they do their restaurant, which is their biggest weakness.
- Carneceria Lupita is a meat store primarily, although it offers several food products from different countries as well as in bulk quantity. In addition to selling meat, they sell spices, candles, some clothing, and other accessories. The biggest weakness for this store is the small size in which it has to operate.
- La Fiesta is located in the restaurant Las Brasas which adds to its flow of customers. La Fiesta offers some clothing and accessories, but the bulk of the success of the store stems from its focus on video rental and selling jewelry. One of the greatest weaknesses of this retailer is that it has a small operating space and no real defined product.