Segmentation is an integral part of marketing process and it is common to witness many marketing campaigns fail due to improper segmentation strategies. Lack of knowledge of the demographic environment is a main contributor to some of the improper segmentation strategies. Students are supposed to read and understand the demographic environment of Sri Lankan consumers in this study.

Sri Lanka has gone through many significant eras which have shaped up the demographics environment of the country. Introduction of the tea plant to Sri Lanka has contributed to a major change in the demographic environment especially in up country. Thirty years of war has created lot of challenges to the marketer specially in segmentation exercise.
These changes have challenged the way a marketer would handle the market from segmentation exercise to the product, service or experience offered to that market.

You are working for a supermarket chain and are responsible for the customer relationship management. The chain is planning to open exclusive thirst quenching service centers (outlets that sell drinks only). These outlets will be placed adjoining the existing supermarkets. You have been asked to prepare a report with the details of the demographics of the expected consumers and asked to evaluate the habits they show on drinks they take when stay out of home doing shopping or other activities.

In doing this study students are first expected to prepare a detailed report of the demographic details of the Sri Lankans. You may use published reports from central bank and department of census and statistics. All important and relevant demographic variables to be taken in to consideration.

The second part of the study would focus on the new business venture. Taking in to consideration the type of customers who would patronize supermarkets Identify habits, interests, etc towards drinks that may be demanded by consumers when they are thirsty. Consider the variety of needs and wants based on the demographic variables. You may suggest the product types to carry in the outlets based on the identified demographic variables. The first part of the study should be used to do the second part of the study.