Market segmentation ppt

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Market segmentation ppt

  1. 1. SlideShare Search… Submit Upload Browse Go Pro Login Signup Email Favorite Save Embed Related More 2011.07 Marketing 1136 views 2011.07 marketing 722 views Chapter8LearningQuestions 478 views 04 marketing segmentation,tar- geting and positioning 4084 views Rural segmentation 2887 views Marketing Segmentation 198 views Chapt 7 stp 112 views Segmentation, Targeting & Po- sitioning 222 views Stp 3098 views Kotler pom13e instructor_07 3387 views Customer-Driven Marketing Strategy: Creating Value for Target Customers 23245 views Module 4 identifying market segments and selecting target- ing markets 30 views Module 4 identifying market
  2. 2. segments and selecting target-«‹›» ing markets18 /66 7749 views Market segmentation PPT marketing mgmt Topic 4 by Aabhas Rastogi on Sep 09, 2011 1584 views + 23,891 viewsFollow 11.the basis of market segmen- More… tation 531 views 11 comments 6.[45 54]the basis of market Post a comment 1–10 of 11 comments next segmentation 64 views Madhu Chaudhary Segmentation, Targeting, and thanks Positioning Building the Right 1 day ago Reply ... 3210 views Dileep Nair Module 3 course1 thanks 906 views 1 month ago Reply Segmentation Tanaya Acharekar, Lecturer at IIHM, International Institute of Hotel Management 20568 views too good!!!! 2 months ago Reply Stp 11 views GCUF at GCUF nice effort 3 months ago Reply Introduction to Market Seg- mentation 32432 views !"# $%&(, University Student at student exellent Identifying Market Segments 3 months ago Reply and Selecting Target Markets 5233 views Bhagwan Kakad, Student at null 330345 634022944265375000 outstanding & usefullness 1071 views 4 months ago Reply Soosiel Khadka, Pharmacist at B & B Hospital Chapter 10 585 views nice presentation 5 months ago Reply Chapter08 Gani Gyle 3472 views good for certain level 5 months ago Reply Market segmentation 79 views Vijay Yadav, Marketing Executive at Lundbeck Excellent presentation with examples Jyoti 7 months ago Reply 2847 views SHINEYRAJAN nice :) thanks Ch8 IdentifyingMarketSeg- mentturinganTop10 8 months ago Reply
  3. 3. 373 views 1–10 of 11 comments next Ch8 identifyingmarketsegment- turingantop10 244 views Market Segmentation 584 views Post Comment Subscribe to comments Segmentation 373 views4 Favorites rajeshrocks Market Segmentation 4 months ago 9718 views gpawan Lesson 24 market segmentation 4 months ago 4812 views XyShan FaruKy Product positioning. by 9 months ago Tipuajnabi. 112 views Jatin Vaid, Manager at Citibank N.A. Segmentation 1 year ago 4234 views M8 L2 Identifying Your Mar- ket 3332 views Market segmentation PPT Presentation Transcript Product positioning. by Md. Shahab Uddin ( Tipu) 210 views 1. MARKET SEGMENTATIONBy- ShaliniMukerjiSandeepSatishchandraAshishBabariaAabhasRastogi Ch07 Express 1 1518 views 2. ContentsEvolving Marketing StrategiesWhat is Market Segmentation? Why segmentation? What are the requirements of Segmentation?Benefits Chapter 7 & Limitations of SegmentationSegmenting Consumer Markets - 2873 views Geographic Segmentation - Demographic Segmentation - Psychographic Segmentation - Behavioural Segmentation ADR GDR 3. Evolving Marketing StrategiesMass Marketing :The term mass market refers to a large, undifferentiated market of consumers with widely varied backgrounds. Products and services needed by almost every member of society are suited for the mass market. Such items as electric and gas utilities, soap, paper towels and gasoline, for example, can be advertised and sold to almost anyone, making them mass market goodsMass Marketing –An attempt to appeal to an entire market with one basic marketing strategy utilizing mass distribution and mass media. Also called undifferentiated marketing.The appeal of mass marketing is in the potential for higher total profits. Companies that employ the system expect the larger profit to result from (1) expanded volume through lower prices and (2) reduced costs through economies of scale made possible by
  4. 4. the increased volume.Henry Ford applied the concept in the automobileindustry. His Model T was conceived and marketed as a "universal" car—one that would meet the needs of all buyers.5. Product VarietyAfter the mass marketing strategy another strategy withsimilar characteristics but overcoming its predecessor’s shortcomingscame into existence. That is product variety strategy.An attempt to appealto the entire market with a huge variety of products produced in mass ismade.However, like Mass marketing in this case also the customers needs& wants are not taken into account while developing the product.6. Target Marketing-Is a market segmentation and market coveragestrategy whereby a product is developed and marketed for a very well-defined, specific segment of the consumer population.Target marketing isparticularly effective for small companies with limited resources becauseit enables the company to achieve a strong market position in the specificmarket segment it serves without mass production, mass distribution, ormass advertising. It enables firms to capitalize on the respective servemarket share7. Requirements of Market SegmentsIn addition to having different needs,for segments to be practical they should be evaluated against thefollowing criteria:Identifiable: the differentiating attributes of thesegments must be measurable so that they can be identified.8. Accessible: the segments must be reachable through communicationand distribution channels.Measurable: It has to be possible to determinethe values of the variables used for segmentation with justifiable efforts.This is important especially for demographic and geographic variables.For an organization with direct sales (without intermediaries), the owncustomer database could deliver valuable information on buying behavior(frequency, volume, product groups, mode of payment etc).9. Substantial: the segments should be sufficiently large to justify theresources required to target them.Unique needs: to justify separateofferings, the segments must respond differently to the differentmarketing mixes.Durable: the segments should be relatively stable tominimize the cost of frequent changes.10. Defining Marketing Segmentation11. ‘Market Segmentation’Market Segmentation is the sub-dividing ofcustomers into homogenous sub-set of customers where any sub-set mayconceivably selected as market target to be reached with distinctMarketing Mix – Philip Kotler12. Segmentation is essentially the identification of subsets of buyerswithin a market that share similar needs and demonstrate similar buyerbehaviour. The world is made up of billions of buyers with their own setsof needs and behaviour. Segmentation aims to match groups of purchasers
  5. 5. with the same set of needs and buyer behaviour. Such a group is known asa segment.13. The process of defining and subdividing a large homogenous marketinto clearly identifiable segments having similar needs, wants, or demandcharacteristics is called Segmentation. Its objective is to design amarketing mix that precisely matches the expectations of customers in thetargeted segment.14. Market Segmentation consists of taking the total heterogeneousmarket for a product & dividing into several sub-market of segments, eachof which tends to be homogenous in full significant aspects – WilliamStanton15. Market Segmentation is the marketing process of identifying andbreaking up the total market into groups of potential customers withsimilar motivations, needs or characteristics, who are likely to exhibithomogeneous purchase behaviour. Undertaking this process allowsmarketing efforts to be targeted at select groups.16. Market segmentation involves the subdividing of a market into distinctsubgroups of customers, where any subgroup can be selected as a targetmarket to be met with a distinct marketing mix. - CIMA17. A marketing term referring to the aggregating of prospective buyersinto groups (segments) that have common needs and will respondsimilarly to a marketing action. Market segmentation enables companiesto target different categories of consumers who perceive the full value ofcertain products and services differently from one another.18. Market Segmentation is the process of splitting customers, or potentialcustomers, in a market into different groups, or segments, within whichcustomers share a similar level of interest in the same or comparable set ofneeds satisfied by a distinct marketing proposition.19. Market segmentation is the process of dividing the whole market ofgoods or services in groups of people with similar needs. By making thisdivision there is a high chance that each group responds in favour to aspecific market strategy.20. Benefits and LimitationsBenefits:The Organisation gets to know itscustomers better.Provides guidelines for resource allocation.It helps focusthe strategy of the organisation.Limitations:Targeting multiple segmentsincreases marketing costs.Segmentation can lead to proliferation ofproducts.Narrowly segmenting a market can hamper the development ofbroad-brand equity.21. Why Segmentation?To develop marketing activitiesIncreasemarketing effectiveness Generate greater customer satisfaction Createsavings To identify strategic opportunities and nichesAllocation ofmarketing budgetAdjustment of product to the market needTo estimate
  6. 6. the level of sales in the marketTo overcome competition effectivelyTodevelop effective marketing programmesTo contribute towards achievingcompany goals22. Bases for Segmentation in Consumer Markets23. Geographic SegmentationThe following are some examples ofgeographic variables often used in segmentation.Region: by continent,country, state, or even neighbourhood.Size of metropolitan area:segmented according to size of population.Population density: oftenclassified as urban, suburban, or rural.Climate: according to weatherpatterns common to certain geographic regions.24. Geographic Segmentation25. Geographic Segmentation26. Geographic Segmentation27. The salt worth its salt.29. Age33. Gender35. Psychographic Segmentation36. AIO Inventories AIO studies envisage a wide variety of variables andmeasures the major dimensions shown37. VALS System Classification:The VALS theory and database werefirst applied to markets in 1978. VALS provides a dynamic framework ofvalues and lifestyles; which helps to explain why people act as they do associal groups and as consumers. VALS, unlike some other approaches,waves together: Demographics, 2. Attitudes, 3. Activities, 4. Consumptionpatterns, 5. Brand preferences. 6. Media graphics. The VALS study leadsto the identification of four major groups: The need drivenThe outerdirectedThe inner directedThe integrated38. Female Lifestyle Types Cathy the contented housewife Cathyepitomises simplicity. She is devoted to her family and faithfully servesthem as mother housewife and cook. She enjoys a relaxed pace and avoidsanything which might disturb her equilibrium. . Candice-the chicsubarbanite Candice is an urban woman.She is well educated and genteel.Socializing is an important part of her life. She is a doer, interested insports and the outdoors, politics and current affairs. Her life is hectic andlived at a fast clip. She is a voracious reader and there are few magazinesshe does not read.39. Eleanor-the elegant socialite: Eleanor is a woman with style. She livesin the city because that is where she want to be. She likes the socio-economic aspects of the city in terms of her career and leisure timeactivities. She is fashion conscious and dresses well. She is financially
  7. 7. secure and hence not a careful shopper. She shops for status and style andnot for price. She is a cosmopolitan woman who has travelled abroad andwants to. Mildred-the militant motherMildred is a woman who gotmarried young and had children before she was ready to raise a family.Now she is unhappy. She is frustrated and vents her frustration byrebelling against the system. Television provides an ideal medium for herto live out her fantasiesThelma-the old fashioned traditionalist: Thelma isa lady who has lived a good life. She has been a devoted wife, a dotingmother and a conscientious housewife. Even now, when most of herchildren have left home, her life is centred around the kitchen. She lackshigher education and has little appreciation for the arts or culturalactivities. Her spare time is spent watching TV.40. Similarly the suggested male lifestyle types are : Ben-the self madebusinessman. Scott-the successful professional. Dale-the devoted familymanFred-the frustrated factory workerHerman the retiring homebody.41. LINK42. ExperiencersThey’re the young enthusiastic, impulsive people whoseek variety and excitement. They spend a comparatively high proportionof income on fashion, entertainment, and socializing.43. ThinkersThey’re mature, satisfied, and reflective people motivated byideals and who value order, knowledge, and responsibility. They seekdurability, functionality, and value in products. Here we’re consideringMont-Blanc45. AchieversThey’re successful, goal oriented people who focus oncareer and family. They favour premium products that demonstratesuccess to their peers. In this segment we can consider most of thepremium timeless luxury watches, such as Rolex, TAG Heuer, andOmega. Neil Armstrong gave Omega speed master the ultimateendorsement when he wore it on his historic moon walk in 1969.46. InnovatorsThey’re usually successful, sophisticated, active, “takecharge” people with a high self esteem. Purchases often reflect cultivatedtastes for relatively upscale, niche oriented products and services. Herewe’re considering the niche market of upscale segmentation bytechnology adaptation.47. BelieversThey’re conservative, conventional, and traditional peoplewith concrete beliefs. They prefer familiar, Indian made products and areloyal to established brands. Here we consider Bisleri. As one of theworld’s most trusted brands. Bisleri is leading the way in bringing aboutpositive change in our daily lives. They believe in being a part of ameaningful movement called the ‘Aqua Green Revolution’48. StriversThey’re trendy fun loving people who are resourceconstrained. They favour stylish products that emulate the purchases ofthose with greater material wealth. They favour stylish products that
  8. 8. emulate the purchases of those with greater material wealth49. MakersThey’re practical, down to earth, self sufficient people wholike to work with their hands. They seek Indian made products with apractical or functional purpose.50. SurvivorsThey’re elderly, passive people concerned about change andloyal to their favourite brands.While to the consumers its a beacon offaith and trust, competitors look upon them as an example of marketingbrilliance.51. Behavioural Segmentation52. UsageCustomers can be segmented on the basis of usage status- heavyusers, light users & non-users of a product category. The profiling ofheavy users allows this group to receive most marketing attention(particularly promotion efforts) on the assumption that brand loyaltyamong these people will pay heavy dividends.53. User statusEvery product has its nonusers, ex-users, potential users,first-time users and regular users. A company cannot always rely on theregular users, it has to attract the other types as well. The key tooattracting potential users, or possibly, even non-users, is understanding thereasons due to which they are not using your product.55. AttitudeAttitude is defined as a learned tendency to respond towardssomething. People’s response towards a product may range from –Enthusiastic, Positive, Indifferent, Negative, Hostile .56. Occasions61. Brand Loyalty63. Benefit Sought66. THANK YOU SearchConnect on LinkedInFollow us on TwitterFind us on FacebookFind us on Google+Learn About UsAboutCareersOur BlogPressContact usHelp & SupportUsing SlideShareSlideShare 101Terms of UsePrivacy PolicyCopyright & DMCA
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