A vertical market is a market in which vendors offer goods and services specific to an industry, trade, profession, or other group of customers with specialized needs. An example could be software that manages services in hotels—amenities solutions. It is distinguished from a horizontal market, in which vendors offer a non-specific, broad range of goods and services to a large group of customers with a wide range of needs, such as businesses as a whole, men, women, households, or, in the broadest horizontal market, everyone.
The activities of participants within any given vertical market are typically similar in that they aim at solving the same or similar problems. These markets are typically competitive, because of the overlapping focuses of the products and services that are provided to the customers.
The single defining characteristic of the participants in a vertical market is competition within a well-defined segment.
Horizontal market participants often attempt to meet enough of the different needs of vertical markets to gain a presence in the vertical market. Their similar products/services tend to be less of a fit but also less expensive than specialized, vertical participant solutions.
Vertical market software is software aimed at addressing the needs of any given business within a discernible vertical market.
Some common vertical markets:
Automotive: General Motors, Hyundai & Audi
Banking: Greater Bank, ANZ BANK – Banking and Capital Markets
Consumer: Sydney Consumer Electronics Conference – Big Island International Events
Engineering: General Electric
Energy: Energy Australia (Gold Cup), Sydney Water
Oil and gas: THE OIL & GAS YEAR,worldoil.com, energyglobal.com, bloomberg.com
Fast-moving consumer goods (FMCG): COLES / Wesfarmers Suppliers & WOOLWORTHS/ Safeway Suppliers: Content & Learning Management Systems; Agribusiness
Financial (Finance): Temenos
FinTech: Rothschild advised Temenos, while Gilbert + Tobin acted for Rubik… World Bank
Food and beverage: Sprite (Global), Allied Domecq (Kahlua – Global), Heineken (Australia); Suntory (Midori /Jose Cuervo/Jaegermeister – Australia); Bacardi (Australia).
Government – federal, state, local: ממשלת ישראל – Israel Government & United States of America, Australian Defence Force: LCMS Learning Content Management Systems, UX, Graphics & Branding, Planning NSW
Healthcare: Graphic Design Manager – TAHPI – Total Alliance Health Partners International
Insurance: Bank South Pacific / Westpac
Legal: National Head of Digital and IT at TGA LEGAL PTY LTD, The Law Society
Manufacturing: ITALIAN CHAMBER OF COMMERCE AND INDUSTRY IN AUSTRALIA MEMBER – G7 Nation
Media: Partnership with GERONIMO / DMG – Digital Media Group: Deloitte Tech Fast 50
Online: Yellow Pages Online
Raw materials: COLES / Wesfarmers & WOOLWORTHS / Safeway: Content & Learning Management Systems; Agribusiness
Real estate: Graphics For Architectural Projects; Construction & Transportation
Religion: Life of Saint Elias – Giovanni Rachiti of Enna
Retail: Woolworths / Australian Safeway Stores: Broadway Retail Products
Jewellery: Fashion Retail: Social Media and Marketing: Good On You – App. UTS Business School
Technology: IBM KENEXA BUSINESS SKILLS ASSESSMENT – SAI GLOBAL
Telecommunications: Telstra Corp, Uniden
Transportation (Travel): Transport for NSW
Electronics: Sydney Consumer Electronics Conference – Big Island International Events
Not-for-profit: Rotary International