POTATO CORNER

DEMOGRAPHIC SEGMENTATION

Since Potato Corner is commonly a stall franchise that is on the go, their target market are

mainly local students, professionals and casual passersby that are actively and casually hanging

out around the location, with a special focus on young adults with a 500 to 1,000 budget and a

desire for laid back and fascinating on the go foods. Potato Corner generally know the

characteristics of their clientele with their available demographics of the area, their personal

crowd would consist of young adults (ages 20-29) and adults (ages 30-50), both male and

female. Their geographics include people from the local area. The psychographics of their

clientele include “yuppies, big spenders, club hoppers, baby boomers, sunset rats, etc.” The

buying patterns of their clientele will be people who like to spend money on pampering

themselves, on quality food, feeling special, projecting an image of wealth, trying new things,

and thrill seeking.

Locals Students Big Spenders Adults

Age Distribution 18 – 40 y/o 18 – 25 y/o 30-50 y/o 30 – 50 y/o

Income 5k -10k 500k-1k 50k-100k 20-30k

Distribution

Social Class working class upper middle upper class middle class
class
Primary Social Facebook Facebook, Facebook, Facebook
Network Instagram, Instagram,
Twitter Twitter

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 POTATO CORNER

Lifestyle Work-chill- leisure- work-business- Work-retired-

celebration adventure-travel leisure-travel relax-chill

PRICING STRATEGIES

 LOSS LEADER STRATEGY

- It is Potato Corner’s pricing strategy that used by many retail stores to bring in
customers. In this strategy, they offer products or services at below market price to
attract the customers with an assumption that once the customers are inside their
store, they will end up buying other normally priced products and services as well.
Potato Corner’s typical customer often buys other items along with the loss leader,
and the seller expects to make an overall profit from this purchase. Their same
strategy is also used by e-commerce sites to attract customers to their website. To use
their loss leader pricing, they need to figure out their best seller. All they have to do is
choose the dish or drinks that will be marked down. Although it sounds contradictory,
this greatly helps the strategy of Potato Corner’s business itself.
 PSYCHOLOGICAL PRICING
- Potato Corner based on their idea that certain prices psychologically affect their
consumers in different ways. Simply marking a price down isn’t enough to maximize
profits. That’s why Potato Corner mark employ psychological tactics to gain an edge.
One of the most common examples of our psychological pricing is ending a price.
Psychological pricing is the practice of Potato Corner which setting prices slightly
lower than a whole number. This practice is based on the belief that customers do not
round up these prices, and so will treat them as lower prices than they really are.
 COST PLUS PRICING
- Potato Corner’s selling price in their product is determined by adding a specific fixed
percentage to the product's unit cost. Their strategies will be used for calculating the
total cost and added a desire amount to gain profit depending on the need of their
business. Included all the expenses also this will justify the total coverage and higher
the desire amount to be return in their business. Essentially, the markup percentage is
Potato Corner's way to generate a profit margin that reaches their target rate of return
and maximizes their overall profits.
 BUNDLE PRICING

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 POTATO CORNER

- This is Potato Corner’s concept of putting multiple items together and selling them
for one price. When their consumers scan a menu, it is far easier to identify and
account for the cost of one item versus many within a bundled purchase. They are
likely already using price bundling on our menu by offering meals that include more
than one product.

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