SEGMENTATION, TARGETING & POSITIONING
Segmentation
Targeting
Positioning
Process
- Use segmentation methods
- Evaluate segment attractivness
- Select target market
- Identify & develop a positioning strategy
- Establish strategy/objectives
mission
current situation
derived from
SWOT
consistent with
Psychographic
segmentation methods
Benefits
Demographic
Behavioral
Geographic
Country
grouped by
Region
Areas within region
State/City
Zip codes
companies
useful for
products satisfies needs
whose
region
varying by
age
gender
income
education
family life cycle
variables such as
most common
easy to reach
is
easy to identify
Personality
Social Class
Lifestyles
Attitudes & Opinions
variables such as
richest picture
provide
customer segment
of
needs & wants
product benefits
best satisfied by
where
Occasion
Loyalty
types
when a product/service
based on
consumed
is
Clothing
example
Snack foods
loyalty
encourage
S'bux reward programme
airline mileage
example
identifiable
based on
substantial
reachable
responsive
profitable
criterias
who is in the market?
are segments unique?
is unique marketing mix needed?
too small
too big
own store
might need
insignificant
is
knows the product exist
knows what it can do
recognise how to buy
react positively to firm's offerings
market growth
market competitiveness
market access
Targeting strategies
Concentrated
micromarketing
Mass Marketing
Differentiated
products are tailored
when
to suit
an individual customer's wants/needs
single, primary
target market
focuses on
rare
is
Market Positioning
clothespins
rice
example
Kellogg's breakfast cereals
example
Organic Grocer
exmple
NikeByYou
example
Value Proposition
marketing mix variables
define
clear understanding
to have
what the product does
of
customer benefits
communicates
product/service
from
Positioning Methods
Value
Salient Attributes
Symbol
Competition
Perceptual Mapping
using
position of products/brands
displays
consumer's mind
in
two or more dimensions
in