Understanding Target Markets

Understanding Target Markets

MKT/571

Understanding Target Markets – Research

Consumer Analysis

The Amazon Fire TV target customers are those who want a more fun TV experience and want to be more appealing than just traditional TV shows. In contrast to regular TV programs, viewers can catch up to shows that they might miss during the week with pre-loaded apps such as Netflix and Hulu from Amazon Fire TV. A further audience targets those persons who do not have or choose not to buy cable television. All you need is Wi-Fi with Amazon Fire TV and viewers can play TV and sport, like AMC, HGTV, EPSN and FOX. Through buying a set-top box, like a fire TV or a streaming device, users are likely to save thousands of dollars a year on cable and satellite television bills. While broadcast TV has always spent a great deal of money on marketing, digital technology offers new technologies, such as tracking, and more granular calculation. As the consumer’s adoption of smart TV and set-top boxes increases and cord-cutting is increasing, advertisers are increasingly interested in investing in connected TV. (Sweeney, 2018)

Current Threats to the Amazon Fire TV

TV Streaming services have long been on the market and include Google, Samsung, Sony, Roku and Amazon products. Google announced Chrome cast for the very first time in the summer of 2013, selling around 3.8 million devices (Brustein, 2014). Then there’s the Apple TV, which is still very similar to the Chrome cast. You can preload all phones with applications like Hulu, HBO Go, twitter, ESPN, etc., and also stream content from your mobile devices. Chrome cast and the iPhone, and other devices from Apartment will connect to Apple TV from Android platforms. Amazon Fire TV often includes several of these apps but, unlike the competitors, the user does not have to explicitly favor or own Amazon products to use the Fire Stick. Gaming consoles such as Sony’s PlayStation 4 and Microsoft’s Xbox One are other existing risks to be aware of. Amazon also has a Fire TV Gaming Edition, a far better alternative than the average Game Console, which for some models costs over 400 dollars. The Fire TV Gaming Edition has a $130 price and a 32 GB Micro SD Card controller with two games and the Fire TV platform. Of course. It is a device that the whole family can utilize, not only the young boy who wants to play video games the whole day. Parents will buy the Fire TV Gaming Edition more often.

Potential Future Threats to Amazon Fire TV

Amazon’s only current competitors are not many media streaming devices such as the Fire Stick In retail giants like Wal-Mart and Target that sell Smart TVs, Amazon is also competitive. These are TVs that feature Wi-Fi and streaming platforms embedded into the Television with similar apps like Netflix and Hulu, removing the need for separate streamers. More than 120 million smart TVs were sold in 2015 according to Mattera (2016). So 120 million TVs without a streaming device are possible. But it is crucial that the media content can be viewed, media content downloaded and movies rented and purchased as you like (Morrison, 2014). You can only use what is loaded on TV on a smart TV, such as apps; there are no mobile apps or technology which could allow you to stream media content directly to TV from your cell phone or computer.

Target Markets

Between the ages of eighteen and thirty-five, our ideal customer enjoys watching their favorite TV shows and movies. Many people know about streaming services, like Netflix and Hulu, but search for more alternatives such as downloading or streaming media on other platforms, with your phones or computers. This product is great for all and offers entertainment for all ages, either single or married to children. We have a large range of income and could be in any class of finance (low revenue, middle class, etc.). Several people are adolescents, others are university students or families like several kids who enjoy watching cartoons. The objective is to create a product that is user friendly, so that it is easier for children and not so technical consumers to understand and understand the software. Parental controls, including cable, must also be carried out so that adults can track how much their kids have access on their own.

References

Brustein, J. (2014, October). Amazon’s fire stick is a challenge to google and a threat to roku. Bloomberg. Retrieved from https://www.bloomberg.com/news/articles/2014-10-27/amazons-fire-stick-challenges-google-threatens-roku

Mattera, S. (2016, July). The biggest threat to the amazon fire TV is…Wal-Mart? The Motley Fool. Retrieved from https://www.fool.com/investing/2016/07/16/the-biggest-threat-to-the-amazon-fire-tv-is-wal-ma.aspx

Sweeney, E. (2018, December 17). Report: Amazon targets TV advertisers for Fire TV, builds dedicated sales team. Retrieved from MarketingDive: https://www.marketingdive.com/news/report-amazon-targets-tv-advertisers-for-fire-tv-builds-dedicated-sales-t/544480/