Underserved Segments

Another way marketers try to break out of the commodity mess is to tailor the product, channel, and brand message to "underserved" market segments. This is how Wal*Mart had its first success: while Sears and everyone else battled for the suburban market, Sam Walton built stores in small cities away from urban centers. He had less competition in those areas and did not have to unseat entrenched competitors like Sears. The hokiness of the advertising and the stores reflected the fact that Wal*mart was not trying to win over New York "sophisticates", but a more traditional demographic.