Definition of Mass Market
As the name suggests, mass market is a general public market consisting of consumers belonging to various age groups, lifestyles and preferences. If a company manufactures a product which is useful to a variety of consumers across various sectors then it is said to have a mass market appeal. Products focusing on a particular demographic often have too many limitations and are restricted by certain boundaries; such products form ‘segment market.’
Mass market explained With Examples
To explain ‘mass market’ more effectively, we will take into account its exact opposite, the ‘niche market.’ Markets that sell products that are useful only for certain section of people are known as niche markets. They have a limited customer base and their market segment is very small compared to mass market.
- For example, let us take the markets that sell tractors, earth moving machines, etc. Their market is limited. Such markets can and will only have to target farmers, agriculturists, construction workers, contractors, etc., that need their product. General public has nothing to do with these market segments.
- On the other hand, let us take a company that manufactures and sells two wheelers or cars as an example. Now try to understand the kind of reach this general market has and how discreet and huge is it from the niche market where only a selected few products are available for people belonging to a particular segment.
In a mass market, people belonging from all sectors and demographics, irrespective of caste, creed, culture, sex and heritage tend to relate with other as far as their common needs are concerned. Cars and two-wheelers have now become a common part and parcel of everyday life and are not governed by any age group, demographic or preferences any more. Owning an automobile has now become a necessity for most us. Mass markets are filled with such kind of products which are of interest general public.
Target Market – A Smaller Segment of Mass Market
Owing to its large customer base and diversity, mass markets can further be divided into smaller market segments known as ‘target mass markets.’ To be successful in a target mass market, companies might have to follow diversified marketing strategies in an attempt to lure various customer types. In the above mentioned example, if an automobile market is considered as a mass market, then the smaller part of the same market that sells economy class automobiles can be considered as target mass market.
Hence, automobile companies manufacturing various types of models, from luxury to middle class to economy models, must plan their marketing strategies in such a way that they attract as many of these smaller segments as possible along with targeting the customer base that has the best buying potential.
Targeting the Mass Market – Where To Concentrate?
A point that is noteworthy here is, if a product in particular domain is manufactured by multiple companies within the same price range, then the company that targets the market segment that has the largest customer base is bound to succeed. For example, both Coke and Pepsi manufacture soft drinks within the same price range. But of these, Coke is much popular and has better sales compared to Pepsi. The reason being, Pepsi concentrates much on youth which forms only a small segment of the mass market, whereas, Coke on the other hand concentrates on families which forms the major chunk of the market by promoting family values.
In conclusion, to be successful in a mass market, the companies should get smarter and try to reach the target mass market that forms the major chunk of the entire mass market. Simply put, the organization that is capable of attracting the largest group of customer base from the mass market, for a specified product, will lead its competitors by example.