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Segmentation, Targeting and Positioning - Coggle Diagram

- - - - Geographic
        
        By country, region, state, city, or neighborhood.
      - Psychographic
        
        By personality, risk aversion, values, or lifestyle
      - Demographic
        
        By personal attributes such as age, marital status, gender, ethnicity, sexuality, education, or occupation.
      - Behavioral
        
        By how people use the product, how loyal they are, or the benefits that they are looking for
- - - - brand to associate it with a specific use or application.
    - - The product is positioned against others that, while not exactly the same, provide the same class of benefits
    - - use price/quality characteristics for positioning is to focus on the quality or value offered by the brand at a very competitive price.
    - - Positioning a product by associating it with a particular user or group of users is yet another approach.
    - - It is to associate a product with an attribute, a product feature, or a consumer feature. Sometimes a product can be positioned in terms of two or more attributes simultaneously. The price/quality attribute dimension is commonly used for positioning the products.
    - - Competitors may be as important to positioning strategy as a firm’s own product or services. In today’s market, an effective positioning strategy for a product or brand may focus on specific competitors.
    - - cultural symbols are used to differentiate the brands. Examples are Humara Bajaj, Tata Tea, and Ronald McDonald. Each of these symbols has successfully differentiated the product it represents from competitors.
- - - - Reachable
        
        The best product or service cannot have any impact if that market is not easily accessible or reached through persuasive communications and product distribution. Consumers in the segment must be able to receive your marketing messages to know the product or service exists, understand what it can do for them, and recognize how to buy it.
        
        Responsive
        
        For a segmentation strategy to be successful, the customers in the segment must react similarly and positively to your firm’s offering. Even if a segment meets all the other criteria for a successful segment, you should not pursue it if the market probably won’t be responsive to your product due to the competitiveness in the market
        
        Identifiable
        
        Your firm must determine who is within your market to be able to design products or services to meet their needs. It is equally important to ensure that the segments are distinct from one another in terms of needs because too much overlap between segments means that distinct marketing strategies aren’t necessary to meet segment members’ needs.
        
        Substantial
        
        Once the firm has identified its potential target markets, it needs to measure their size and growth potential. If a market is too small or its buying power is insignificant, it won’t generate sufficient profits or be able to support marketing mix activities. You must focus your assessment on the potential profitability of each segment, both current and future.
        
        Profitable
  - - - Mass marketing, also called undifferentiated marketing, involves marketing to the entire market the same way. Mass marketing effectively ignores segmentation and instead generates a single offer and marketing mix for everyone. The market is treated as a homogeneous aggregate. Mass marketing aims to reach the largest audience possible, and exposure to the product is maximized. In theory, this would directly correlate with a larger number of sales or buy-in to the product.
    - - Niche marketing (also called concentrated marketing) is a strategy that targets only one or a few very defined and specific segments of the consumer population. The goal is to achieve high penetration among the narrowly defined target segments. For example, the manufacturer of Rolex watches has chosen to concentrate on only the luxury segment of the watch market.
    - - A differentiated marketing strategy is one in which the company decides to provide separate offerings to each different market segment that it targets. It is also called multisegment marketing. Each segment is targeted in a particular way, as the company provides unique benefits to different segments. The goal is to help the company increase sales and market share across each segment it targets. Proctor and Gamble, for example, segments some of its markets by gender, and it has separate product offerings and marketing plans for each: Secret-brand deodorant for women, and Rogaine (a treatment for hair loss) for men.[1]
    - - Micromarketing is a targeting strategy that focuses even more narrowly than niche marketing. It caters to the needs of individuals (“individual marketing”) or very small segments in a targeted geography