STP -
1. Segmentation - Market segmentation is the process of
dividing a target market into smaller, more
defined categories.
It segments customers and audiences into
groups that share similar characteristics
such as demographics, interests, needs, or
location.
2. basis of segmentation - a) Demographics b) Geographic c) Psychographic d) Behavioral e) Benefit segmentation.
3. Advantages of segmentation - Helps distinguish one customer group from another within a given market.
Facilitates proper choice of target market.
Facilitates effective tapping of the market.
Helps divide the markets and conquer them.
Helps crystallize the needs of the target buyers.
Makes the marketing effort more efficient and economic.
4. Examples -
5. Effective market segmentation - Measurability (In terms of size and purchasing power)
Accessibility (Reached and served through suitable means of distribution of promotion)
Substantiality (Large and profitable)
Differentiability (Clearly distinguishable)
Action ability (To be effective makers of segmentation should be compatible with the manpower, financial and managerial resources)
6. Targeting - Targeting is a strategy that breaks a large market into smaller
segments to concentrate on a specific group of customers
within that audience.
Instead to trying to reach an entire market, a brand uses target
marketing to put their energy into connecting within a
specific, defined group within that market.
7. Targeting strategy - Undifferentiated Strategy
Concentrated Strategy
Differentiated Strategy
Micro – marketing Strategy
8. Mckinsey matrix
9. Positioning - Positioning refers to the place that a brand occupies in the minds of the customers and how it is distinguished from the products of the competitors and different from the concept of brand awareness.
10. Why positioning? - To create a distinct place of product & service or corporate in the minds of customer.
To provide a competitive edge to a product or an attempt to convey attractiveness of the product to the target market.
To give the target market reason of buying our product/service and then formulation of all strategies according to the customer perception.
11. Strategies of positioning
12. Final steps of framework - Symbolic positioning
Functional positioning
Experiential positioning
13. example of coca cola vs pepsi
2. SEGMENTATION
Market segmentation is the process of
dividing a target market into smaller, more
defined categories.
It segments customers and audiences into
groups that share similar characteristics
such as demographics, interests, needs, or
location.
Population
3.
4. BASIS OF SEGMENTATION
DEMOGRAPHICS GEOGRAPHIC
Behavioural
Benefit
Segmentation
Region, state, district,
urban/rural, etc.
Occasions, benefits
sought, user status,
etc.
01 02
04 05
Psychographic
Values, system, belief,
interest, attitude, etc.
03
Age, gender,
status, culture, etc.
10. ADVANTAGES
1. Helps distinguish one customer group from another within a given market.
2. Facilitates proper choice of target market.
3. Facilitates effective tapping of the market.
4. Helps divide the markets and conquer them.
5. Helps crystallize the needs of the target buyers.
6. Makes the marketing effort more efficient and economic.
11. EFFECTIVE MARKET
SEGMENTATION
1. Measurability (In terms of size and purchasing power)
2. Accessibility (Reached and served through suitable means of distribution of promotion)
3. Substantiality (Large and profitable)
4. Differentiability (Clearly distinguishable)
5. Action ability (To be effective makers of segmentation should be compatible with the
manpower, financial and managerial resources)
13. MARKET TARGETING
Targeting is a strategy that breaks a large market into smaller
segments to concentrate on a specific group of customers
within that audience.
Instead to trying to reach an entire market, a brand uses target
marketing to put their energy into connecting within a
specific, defined group within that market.
17. POSITIONING
MARKETING
Positioning refers to the place that a brand
occupies in the minds of the customers and how it
is distinguished from the products of the
competitors and different from the concept of
brand awareness.
18. WHY POSITIONING?
1. To create a distinct place of product & service or corporate in the
minds of customer.
2. To provide a competitive edge to a product or an attempt to
convey attractiveness of the product to the target market.
3. To give the target market reason of buying our product/service
and then formulation of all strategies according to the customer
perception.
19. STRATEGIES OF POSITIONING
1. UNIQUE SELLING PROPOSITION
2. DUAL BENEFIT POSITIONING
• Product features
• Services attributes
• Channel attributes
• Pricing attributes
• Product Benefits
• Other attributes
20. THE FINAL STEPS OF FRAMEWORK
• Symbolic positioning
• Functional positioning
• Experiential positioning
22. Coca Cola Vs Pepsi
1.1.Consumers with a positive attitude to the Coke brand and 100% loyal to Coke
1.2.Consumers with a positive attitude to the Pepsi brand and 100% loyal to Coke
1.3.Consumers with a positive attitude to both Coke and Pepsi, with loyalty to both
brands, but switching their purchases between these two brands from time to time
POSITIONING - “Choice of new generation”
SEGMENTATION - Attitude and Loyalty segmentation approach
24. Change in Target Market selection of Pepsi -
TARGET
MARKET
• Loyal Coke drinkers
• Youth
POSITIONING
• Reason that Coca-Cola replaced their Classic Coca-Cola with
new Coke
