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Segmentation, Targeting, and Positioning
 

Segmentation, Targeting, and Positioning

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Segmentation, Targeting, and Positioning; Building the Right Relationships with the Right Customers

Segmentation, Targeting, and Positioning; Building the Right Relationships with the Right Customers

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  • You need to conduct a feasibility study in terms of strengths-weaknesses-opportunities-threats, in short have a SWOT scrutiny. Business gurus call it STP- Segmentation, Targeting & Positioning Analysis. ~ Dr. Anupam Acharya (Kurlwal)
    www.dranupamacharyaji.com
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    Segmentation, Targeting, and Positioning Segmentation, Targeting, and Positioning Presentation Transcript

    • Segmentation, Targeting, and Positioning Building the Right Relationships with the Right Customers Chapter 7
    • Learning Goals
      • Learn the three steps of target marketing, market segmentation, target marketing, and market positioning
      • Understand the major bases for segmenting consumer and business marketing strategy
      • Know how companies identify attractive market segments and choose target marketing strategy
      • Realize how companies position their products for maximum competitive advantage in the marketplace
      • Sells multiple brands within the same product category for a variety of products
      • Brands feature a different mix of benefits and appeal to different segments
      • Has also identified different niches within certain segments
      • Product modifications are useful: Tide offers seven different product formulations to serve different niches’ needs
      Case Study Procter & Gamble
    • Steps in market segmentation, targeting and positioning
      • Market Segmentation
        • Identify bases for segmenting the market
        • Develop segment profiles
      • Target Marketing
        • Develop measure of segment attractiveness
        • Select target segments
      • Market Positioning
        • Develop positioning for target segments
        • Develop a marketing mix for each segment
      Goal 1: Learn the three steps of target marketing
    • Definition
      • Market Segmentation:
        • Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes.
      Goal 2: Understand the major bases for segmentation
    • Segmenting Consumer Markets
      • Geographical segmentation
      • Demographic segmentation
        • Most popular segmentation
      • Psychographic segmentation
        • Lifestyle, social class, and personality-based segmentation
      • Behavioral segmentation
      Goal 2: Understand the major bases for segmentation
      • World region or country
      • U.S. region
      • State
      • City
      • Neighborhood
      • City or metro size
      • Density
      • Climate
      Geographic Segmentation Variables Goal 2: Understand the major bases for segmentation
      • Age
      • Gender
      • Family size
      • Family life cycle
      • Income
      • Occupation
      • Education
      • Religion
      • Race
      • Generation
      • Nationality
      Demographic Segmentation Variables Goal 2: Understand the major bases for segmentation
      • Occasions
      • Benefits
      • User Status
      • Attitude Toward the Product
      • User Rates
      • Loyalty Status
      • Readiness Stage
      Behavioral Segmentation Variables Goal 2: Understand the major bases for segmentation
    • Segmenting Business Markets
      • Demographic segmentation
        • Industry, company size, location
      • Operating variables
        • Technology, usage status, customer capabilities
      • Purchasing approaches
      • Situational factors
        • Urgency, specific application, size of order
      • Personal characteristics
        • Buyer-seller similarity, attitudes toward risk, loyalty
      Goal 2: Understand the major bases for segmentation
    • Segmenting International Markets
      • Geographic segmentation
        • Location or region
      • Economic factors
        • Population income or level of economic development
      • Political and legal factors
        • Type / stability of government, monetary regulations, amount of bureaucracy, etc.
      • Cultural factors
        • Language, religion, values, attitudes, customs, behavioral patterns
      Goal 2: Understand the major bases for segmentation
    • Requirements for Effective Segmentation
      • Measurable
        • Size, purchasing power, and profile of segment
      • Accessible
        • Can be reached and served
      • Substantial
        • Large and profitable enough to serve
      • Differentiable
        • Respond differently
      • Actionable
        • Effective programs can be developed
      Goal 2: Understand the major bases for segmentation
    • Target Marketing
      • Target Market
        • Consists of a set of buyers who share common needs or characteristics that the company decides to serve
      Goal 3: Know how companies identify and target attractive segments
    • Target Marketing
      • Evaluating Market Segments
        • Segment size and growth
        • Segment structural attractiveness
          • Level of competition
          • Substitute products
          • Power of buyers
          • Powerful suppliers
        • Company objectives and resources
      Goal 3: Know how companies identify and target attractive segments
    • Target Marketing
      • Selecting Target Market Segments
        • Undifferentiated (mass) marketing
        • Differentiated (segmented) marketing
        • Concentrated (niche) marketing
        • Micromarketing (local or individual)
      Goal 3: Know how companies identify and target attractive segments
    • Choosing a Target Marketing Strategy
      • Considerations include:
        • Company resources
        • The degree of product variability
        • Product’s life-cycle stage
        • Market variability
        • Competitors’ marketing strategies
      Goal 3: Know how companies identify and target attractive segments
    • Target Marketing
      • Socially Responsible Targeting
        • Some segments, especially children, are at special risk
        • Many potential abuses on the Internet, including fraud Internet shoppers
        • Controversy occurs when the methods used are questionable
      Goal 3: Know how companies identify and target attractive segments
    • Positioning
      • Positioning:
        • The place the product occupies in consumers’ minds relative to competing products.
        • Typically defined by consumers on the basis of important attributes.
        • Involves implanting the brand’s unique benefits and differentiation in the customer’s mind.
        • Positioning maps that plot perceptions of brands are commonly used.
      Goal 4: Realize how companies position their products
      • Identifying possible competitive advantages
      • Choosing the right competitive advantage
      • Choosing a positioning strategy
      • Differentiation can be based on
        • Products
        • Services
        • Channels
        • People
        • Image
      Choosing a Positioning Strategy Topics Goal 4: Realize how companies position their products
    • Market Segmentation
      • How many differences to promote?
        • Unique selling proposition
        • Several benefits
      • Which differences to promote? Criteria include:
        • Important
        • Distinctive
        • Superior
        • Communicable
        • Preemptive
        • Affordable
        • Profitable
      • Identifying possible competitive advantages
      • Choosing the right competitive advantage
      • Choosing a positioning strategy
      Topics Goal 4: Realize how companies position their products
    • Market Segmentation
      • Value propositions represent the full positioning of the brand
      • Possible value propositions:
        • More for More
        • More for the Same
        • More for Less
        • The Same for Less
        • Less for Much Less
      • Identifying possible competitive advantages
      • Choosing the right competitive advantage
      • Choosing a positioning strategy
      Topics Goal 4: Realize how companies position their products
    • Developing a Positioning Statement
      • Positioning statements summarize the company or brand positioning
        • EXAMPLE: To (target segment and need) our (brand) is (concept) that (point-of-difference)
      Goal 4: Realize how companies position their products
    • Communicating the Positioning
      • Companies must be certain to DELIVER their value propositions.
      • Positions must be monitored and adapted over time.
      Goal 4: Realize how companies position their products