Market Segmentation and
Strategic Targeting

Why Segmentation
is Necessary?

Consumer needs differs

Differentiation helps products compete

Segmentation helps identify media

Consumer-Rooted Segmentation Bases

Demographics

Geodemographic

Personality Traits

Lifestyles

Sociocultural

Age

Gender

Marital Status

Income, Education and Occupation

Family life cycle

Based on geography and demographics

Entirely focus on cultural

Target Marketing Strategies

Undifferentiated Marketing
(Mass Marketing)

Differentiated Marketing

Concentrated Marketing

Focus target on everyone
(Same Group)

Focus on certain group

Eg: vanila coke is focus on female

Customized the product on several group
( limited number of production but not all consumer can buy it)

Eg: Ferari car they focus their target market to people who are rich only

⭐ Criteria for Effective Targeting ⭐

Identifiable

Sizeable

Stable

Accessible

Congruent

Tally the resources with the company's objectives and resume

Able to reach by marketers in an affordable way

Eg: Yakult sell their product from house to house

Consumers are NOT likely to change very quickly (loyalty)

Eg: Colgate how many generation use it as the brand of their toothpaste

It's must be large enough to be profitable to the marketer

Able to find the consumer characteristic

Positioning

express through promotion,stating the product's or service capacity to deliver specific benefits

Eg: Everyone think about fried chicken it will be KFC