Marketing course at Copenhagen Business School

1. Marketing strategy and planning
Positioning, market segmentation and target marketing
Week 39
Jacob Holm
Jacob.k.holm@gmail.com
Tlf: 24 42 11 32
www.office2go.dk
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2. The marketing management process
Part 1:Marketing Strategy
• Market –led strategic management – chapter 1
• Strategig marketing plannng
Part 2: Competitive market analysis
• The changing market environment – chapter 3
• Customer analysis – chapter 4
• Competitor analysis - chapter5
• Understanding the organizational resource base – chapter 6
• Forecasting future demand and market requirements – chapter 7
Part 3: Identifying current and future competitive positions
• Segmentation and positioning principles – chapter 8
• Segmentation and positioning research – chapter 9
• Selecting target markets– chapter 10
Part 4: Competitive position strategies
• Segmentation and positioning principles – chapter 11
• Competing through the new marketing mix – chapter 12
•Competing trough innovation– chapter 13
• Competing through superior service and customer relationship – chapter 14
Part 5: Implementing the strategy
• Strategic customer management – chapter 15
• Strategic alliances and network – chapter 16
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• CSR – chapter 18 www.Office2go.dk

3. Today subject
1. Positioning
• A further discussion of the subject
2. Segmentation
• Consumer markets
• Business markets
• Case: Office2go
3. Target marketing
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4. Positioning >< segmentation
Competitive positioning: Identifying the positioning of competitors to develop
our own competitive strategy
Market segmentation: Identifying the most productive bases for dividing a
market identifying the customers in different segments and develop segment
descriptions
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5. Positioning
Positioning
• Positioning is the act of designing the company’s offering and
image so that they occupy a meaningful and distinct competitive
position in the target customers minds – Kotler 1997
• Companies >< brands
What is needed to create a winning position ?
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6. Positioning
• Hvilke differentierings-
kriterier er relevante
• Hvilke er de vigtigste for det
valgte segments forbrugere
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7. Positional strategy – how can it help us?
 Which position in the competitive marketplace do we have today.
 Which position do we want tomorrow.
 How do we create an perceptual position map
 Which criteria do we use for the axes
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8. How do we build a sustainable advantage ?
 Build Barriers:
• Physical: Price leader, superior quality, concession, monopoly
• Perceptual: Brand value, design perception , Consumer orientation
 Move position
• Find a more attractive position – segment value, less competition, lower
cost, easier to differentiate etc.
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9. Winning positioning
Create a monopoly!
– This is done by differentiating their products/brands from other companies
• Differentiation criteria should meet following criteria:
1. Importance
2. Distinctive and pre-emptive
3. Superior
4. Communicable
5. Affordable
6. Profitable
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10. Position risk and error
Under-positioning: When customers only have a vague idea about the company or its
products and don’t perceive anything about it.
Over-positioning: When customers have a to narrow understanding of the company’s
product or brand.
Confused positioning: When a company frequently changes and contradictory
messages.
Doubtful positioning: When the claims made for the company, brand or product is not
accepted, whether or not it is true
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11. Positional strategy – Markops
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12. Positional strategy – Markops
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13. Positional strategy – Markops
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14. Positional strategy – Markops
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15. Positional strategy – Markops
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16. Positioning and Segmentation by President
Bush
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17. Market segmentation and target marketing
Market Segmentation is the process by which a market is divided into distinct subsets
of customers with similar needs and characteristics that lead them to respond in
similar ways.
Target Marketing requires evaluating the relative attractiveness of various segments –
in terms of market potential, growth rate, competitive intensity etc. and the firms
capabilities to deliver what each segments wants. This is in chapter 10 which is not in
the syllabus this year.
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18. Why is segmentation important
1. Increase in competition
• Information technology
• Transportation cost are reduced
• Markets don’t develop in the same speed anymore
• Usage of Brands for line extensions: Easy jet
2. Social and economic forces
• Increase in disposable income
• Higher education
• Easier access to information
3. Trend toward microsegmentation
• New technology
• Unit cost down
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19. Consumer Segmentation
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20. Segmentation and target marketing process
• Identify a homogenous segment that differ from other segments
and specify criteria that define the segment
• Determine segment size and potential
– Financial figures in measurable characteristics
• Check if the segment can be isolated from the remainder of the
market.
• Visualize the market for better understanding
• Prioritize the segments
• Target the segment or segments that you want to concur (target
marketing)
“The critical issue is to find an appropriate segmentation scheme that will facilitate
target marketing, product positioning, and formulation and successful marketing
strategies and programs”
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21. Segmentation in homogeneous and
heterogeneous markets
Are markets homogeneous or heterogeneous?
It is all in the mind of the customer !!!!!
homogeneous heterogeneous
Water Tap water Bottled water
Tele communication 2G phoning 3G, “Blackberry”, IP-
Phoning, skype
Electricity Yes Or……..
Shipping It’s a container Speed, delivery, security
White wall paint Yes Coverage, drying time,
gloss
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22. How do we find these homogenous
customer groups
• Demographic segmentation •To define the target market
• Geographic segmentation •To create a new view of the market
• Behavioral segmentation •To position the product
• Psychographic segmentation •To better communicate product
• Individual segmentation attributes
• Motivational segmentation
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23. Is it possible to categories homogeneous
customer segments ?
• Before 1975: Demographic
• 1975 -1995: Physiographic (lifestyle): VALS –
RISK
• 1995 - 2000: Minerva – segmenting
• 2000 -> Motivational segmentation in the
post-modernistic world and
microsegmentation
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24. Demographic segmentation
• Age
• Sex
• Consumer life cycle
• Income
• Occupation
• Education
• Events
• Race and ethical origin
• Subcultures
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25. Psychographic segmentation
VALS 2
• The Values and Lifestyles System
• Three Self-Orientations:
– Principle orientation: Guided by a belief system
– Status orientation: Guided by opinions of peers
– Action orientation: Desire to impact the world around them
• VALS Groups:
- Actualizes (Innovators) – Successful consumers - Believers – have strong principles and favor proven
with many resources, but are concerned with social issues brands
and are open to change.
- Fulfilleds – Satisfied, reflective and comfortable, - Strivers – Like achievers, but with fewer resources.
practical and value functionality They are concerned about the approval of others
- Achievers – Career-oriented and prefer predictability - Makers – Action oriented and tend to focus their
over risk or self discovery energies on self-sufficiency and they will often repair their
things themselves
- Experiences – Are impulse, young and enjoy offbeat - Strugglers – Concerned of meeting the needs of the
or risky experience moment…..
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26. VALS 2 Segmentation System
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27. VALS 2 Segmentation System
Segment Lifestyle Characteristics Psychological Characteristics Consumer Characteristics
Optimistic
Successful, sophisticated Enjoy the "finer things"
Self-confident
Value personal growth Receptive to new products, technologies,
Involved
Wide intellectual interests distribution.
Outgoing
Innovators (8% of pop.) Varied leisure activities Skeptical of advertising
Growth oriented
Well informed, concerned with social issues Frequent readers of a wide variety of
Open to change
Highly social publications
<established & emerging leaders in business &
Politically very active Light TV viewers
government>
Little interest in image or prestige
Mature
Moderately active in community and politics Above average consumers of products for the
Satisfied
Leisure centers on home home
Reflective
Thinkers (11% of pop.) Value education & travel Like educational and public affairs
Open-minded
Health conscious programming on TV
Intrinsically motivated
Politically moderate and tolerant Read widely and often
Value order, knowledge, and responsibility
Look for value & durability
Lives center on career & famly
Moderate Attracted to premium products
Have formal social relations
Goal oriented Prime target for a variety of products
Avoid excess change or stimulation
Achievers (13% of pop.) Conventional Average TV watchers
May emphasize work at the expense of
Deliberate Read business, news, and self-help
recreation
In control publications
Politically conservative
Like the new, offbeat, and risky Extraverted Follow fashion and fads
Like exercise, socializing, sports, and outdoors Unconventional Spend much of disposable income on
Concerned about image Active socializing
Experiencers (12% of pop.)
Unconforming, but admire wealth, power, and Impetuous Buy on impulse
fame Energetic Attend to advertising
Politically apathetic Enthusiastic and impulsive Listen to rock music
Buy American
Respect rules and trust authority figures Traditional
Slow to change habits
Enjoy settled, comfortable, predictable existence Conforming
Look for bargains
Believers (16% of pop.) Socialize within family and established groups Cautious
Watch TV more than average
Politically conservative Moralistic
27 Read retirement, home and garden, and
Reasonably well informed Settled
general interest magazines
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28. VALS 2 Segmentation System
Segment Lifestyle Characteristics Psychological Characteristics Consumer Characteristics
Narrow interests
Image conscious
Easily bored Dissatisfied
Limited discretionary income, but carry credit
Somewhat isolated Unsure
balances
Strivers (13% of pop.) Look to peer group for motivation and Alienated
Spend on clothing and personal care
approval Impulsive
products
Unconcerned about health and nutrition Approval seeking
Prefer TV to reading
Politically apathetic
Enjoy outdoors Shop for comfort, durability, value
Practical
Prefer "hands on" activities Unimpressed by luxuries
Self-sufficient
Spend leisure with family and close friends Buy the basics
Makers (13% of pop.) Constructive
Avoid joining organizations except unions Listen to radio
Committed
Distrust politicians, foreigners, and big Read auto, home mechanics, fishing,
Satisfied
business outdoors magazines
Limited interests and activities Powerless Brand loyal
Prime concerns are safety and security Narrowly focused Use coupons and watch for sales
Survivors (14% of pop.) Burdened with health problems Risk averse Trust advertising
Conservative and traditional Burdened Watch TV often
Rely on organized religion Conservative Read tabloids and women's magazines
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29. Behavioral segmentation
Minerva (eller Kompas)
Minerva-segmenteringen af Henrik Dahl opdeler forbrugerne i livsstils-segmenter
som vist i figuren, hvor ordinaten i diagrammet skiller mellem det moderne og det
traditionelle, men abscissen deler op mellem det fællesskabsorienterede og det
individorienterede.
25 % 25 %
10 %
20 % 20 %
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30. Minerva
Engageret aktivitet: Selvtillid og forbrug:
• Kvinder 40-49 • Mænd 20-39
• Stærkt gruppe orienteret • høj indk. & udd
• Grønt værdisæt • KBH
• Kultur og dokumentar program • Venstre og kons
• SF & Rad. venstre • Teater, biograf
• Ferie: storby & ski
25 % 25 % •Venste & Lib. Aliance
10 %
Tradition, familie og det 20 % 20 % Stabilitet, tradition:
nær miljø: • Mænd 15-19 år
• Kvinde +50 • Arb. For at holde fri
• Små byer & Landet • Ekstra bladet
• ”den lille mand” • Følger Sport på TV
• Mådehold & nøjsomhed • Rejser til Thailand og pakke
• Højt medieforbrug – TV rejser
• DF & Socialdemokratiet • DF, Fremskridtspartiel,
Venstre, kons.
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31. Is it possible to categories homogeneous
customer segments ?
• Before 1975: Demographics
• 1975 - 1995: Psychographics: Vals
• 1995 - 2000: Behavioral: Minerva
• 2000 -> Motivational segmentation in the
post-modernistic world and
microsegmentation
Mere heterogenitet, mindre homogenitet
Årsagen til den begrænsede præcision er i og for sig enkel at forklare. Vi - forbrugerne - er mere og
mere os selv. Vi har råd til (i hvert fald meget mere end tidligere) at tilfredsstille vores egne mindste
ønsker og tilbøjeligheder. Vi kan stadig inddeles i forholdsvis homogene grupper med hensyn til
specifikke karakteristika. Men dels bliver fællestrækkene færre, dels bliver grupperne mindre og
mindre.
Vi motiveres af forskellige ting på forskellige tidspunkter af døgnet, måneden, året og livet –
og segmenteringen går derfor i retning af hvad der motiverer os til at købe en bestemt vare
eller service
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32. Den postmodernistiske æra
Eksempler:
• Situationsbestemt forbrug (Institut for fremtidsforskning 2003)
• Her tager mennesket ikke udgangspunkt i sig selv og den type man tilhører, men mere i den
situation som man står i og den rolle man har i situationen.
• Lad os kigge på et godt eksempel ØL!
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33. Eksempel: øl og det situationsbestemte
forbrug
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34. Den postmodernistiske æra
Eksempler:
• Situationsbestemt forbrug (Institut for fremtidsforskning 2003)
• Her tager mennesket ikke udgangspunkt i sig selv og den type man tilhører, men mere i den
situation som man står i og den rolle man har i situationen.
• DA segmenterne er situationsbestemte er det vanskeligt at lave homogene uafhængige grupper,
da grupperne hele tiden bevæger sig!
• CUBEical Thinking (Henrik Andersen & Thomas Ritter)
• Her arbejdes med tre dimensioner: Kundetyper, Roller og Scener:
• Kundetyper omfatter forbrugernes værdier og adfærd
• Roller ses i forhold til andre mennesker og kan skifte
flere gange om dagen
• Scener er de fysiske forhold der giver anledning til
et behov.
Her arbejdes med Roller og Scener sammen med Kundetyper
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35. Individual segmentation
• Cellestørrelse: 100 * 100 meter
• Antal celler I DK: 413.092
• Antal boligenheder: 2.661.210
• Antal forbrugere: 5.273.095 (99,85 % af befolkningen)
• Antal livsstilstyper: 29
• Bygget på tilgængelig statistik
Geomatic inddeler den danske befolkning
i 29 forskellige typer, som beskriver
segmenter af konsumenter og forbrugs-
mønstre. Geomatic finder de områder
hvor der er flest af de relevante adresser
i klynger af 150, 100, 50 og helt ned til 20
husstande
• Eks: Venstre, ISO,
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36. Segmentation
Kilde: Henrik Andersen & Thomas Ritter
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37. Coffee break
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38. Segmenting business markets
1. Background company characteristics
• Industry type
• Company size
• Customer location
• Company technology
• Customer capabilities
• Purchasing organization
• Power structure
2. Attitudinal characteristics
3. Behavioral characteristics
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39. Attitudional characteristics
Gatekeeper
Infuenten
Bruger
• Buyer – seller similarity
• Buyer motivation
• Buyer risk perception
Beslutningstageren Indkøberen
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40. Behavioral characteristics
Can we predict our competitors moves?
• Laid-back competitor:
– TDC when Telmore was introduced
• The selective competitor:
– Kodak reacted when Fuji Film chance prices but not when digital cameras
where introduced
• The Tiger competition
– P&G products
• The Stochastic competitor
– Typically small businesses without a formal marketing department
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41. Demografisk Segmentering:
70038
70000
Office2go primære segment er virksomheder
60000 mellem 2-40 ansatte. Sekundært 40-200 ansatte
50000
40000
Antal ansatte
30000
20000
10867
10000
3818
2234 1344 1287 415 299 199 381 106 85
0
2 - 10 11 - 20 21 - 30 31 - 40 41 - 60 61 - 80 80 - 100 100 - 120 - 140 - 160 - 180 -
41 120 140 160 180 200
Antal ansatte www.Office2go.dk

42. Adfærds segmentering:
Proces udvikling
Store virksomheder:
over 200 ansatte. Ca
1.000
Konsulenter Enkelthed
Mellemstore
virksomheder: 40 –
200 ansatte: 4.115
Små virksomheder:
2 – 40 ansatte:
87.000
Nystartede
Virksomheder: ca 0
Pris
25.000
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43. Attitudional characteristics
Gatekeeper
Infuenten
Bruger
Beslutningstageren Indkøberen
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44. Target markets
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45. A film about target marketing
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46. Hvorfor er target marketing vigtigt:
Omsætning og indtjening
”head & tail”
% (kr)
Oms
100%
82,6%
Kunder
10 20 30 60 150
DB3
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47. Market target model
This model is adapted from Derek F. Abell’s
work with segmentation.
M arket segmentation The market can be divided into customers
and products. How a homogeneous group of
customers require products to cover their
xx
needs and what are the size of the different
Product (need)
segment.
xx
Identify a homogenous segments that differ
from other segments and specify criteria that
xx
define the segment. This could be by
demographic, geographic, behavioral,
lifestyle, social, product and customer needs
xx
xx xx xx xx We also need to find which products that are
Homogeneous segments of customers relevant to the market:
9
•The attractiveness is based on size,
gross margin, the companies
product range.
• Competitive strength in the
different segments
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48. Market segmentation
xx
• Market size, segment size and growth rate
Product (need)
• Macro trends: PEST
• Micro trends: Porters five forces
xx
• Company capabilities: Managerial, financial,
employee, brand, R&D, manufacturing etc
• Key drivers of consumers
xx
Homogeneous segments
xx
xx xx xx xx
Homogeneous segments of customers
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49. An example
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50. Market – growth 2003 –> 2004
Private-
Large- Local - Private- Prof. /Large Housing houses
contractor Contractor/ industry housing association +(sommer
Carpenter association houses)
Renovation
New Building
Large- Local - Private- Prof. /Large Housing Private-
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
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51. Market value
Total value 5.405 mio kr. – 2003 data (Source: Byggemateriale Industrien: BI, maj 2004)
26% 74% Private-
Large- Local - Private- Prof. /Large Housing houses
contractor Contractor/ industry housing association +(sommer
Carpenter association houses)
9,5% - 513 mkr.
Renovation
3,5% - 189 mkr.
7% - 378 mkr.
2% - 108 mkr.
7% - 378 mkr.
32,4% 3% - 162 mkr.
21,0% - 1.135 mkr.
19% - 1.027 mkr.
13% - 703 mkr.
6% - 324 mkr.
3% - 162 mkr.
6% - 324 mkr.
New building
67,7%
Facts
Est.
Large- Local - Private- Prof. /Large Housing Private-
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
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44% 56% www.Office2go.dk

52. Market Growth
Growth 2003 –> 2004 (Source: Byggemateriale Industrien: BI, maj 2004)
26% 74%
Private-
Large- Local - Private- Prof. /Large Housing houses
contractor Contractor/ industry housing association +(sommer
Carpenter association houses)
Renovation
03/02: Turn/growth. -18,3% 03/02:Turn/growth. +10,2%
128 Mkr 353 Mkr
9,5%
3,5%
32,4% 04/03: Turn/growth. +5,2% 04/03: Turn/growth. +4,7%
7%
3%
7%
2%
+4,8% 05/04: Turn/growth. +8,1% 05/04: Turn/growth. +2,2%
03/02: Turn/growth: -18,7% 03/02: Turn/growth: +6,5%
New building 450 Mkr 570 Mkr
04/03: Turn/growth: -3,2% 04/03: Turn/growth: +3,4%
22,5%
05/04: Turn/growth. +3,6%
4,5%
05/04: Turn/growth. -3,2%
19%
13%
67,7% 3%
6%
+0,5%
Facts
Est.
Large- Local - Private- Prof. /Large Housing Private-
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
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44% 56% www.Office2go.dk

53. Prioritizing of segments
M arket Grow th
Grow t h 2003 –> 2004 (Source: Byggemat eriale Indust rien: BI, maj 2004)
26% 74%
Private-
Large- Local - Private- Prof. / Large Housing houses
contractor Contractor/ industry housing association +(sommer
Carpenter association houses)
Renovation
03/ 02: Turn/grow th. -18,3% 03/ 02:Turn/ grow th. +10,2%
128 M kr 353 M kr
9,5%
3,5%
32,4% 04/ 03: Turn/ grow th. +5,2% 04/ 03: Turn/ grow th. +4,7%
7%
3%
7%
2%
+4,8% 05/ 04: Turn/ grow th. +4,1% 05/ 04: Turn/ grow th. +2,2%
New building
03/ 02: Turn/grow th: -18,7%
450 M kr
04/ 03: Turn/ grow th: -3,2%
03/ 02: Turn/grow th: +6,5%
570 M kr
04/ 03: Turn/ grow th: +3,4% High
22,5%
05/ 04: Turn/ grow th. +4,9%
4,5%
05/ 04: Turn/ grow th. +3,2%
67,7%
19%
13%
3%
6%
+0,5%
Fact s
Est .
Large- Local - Private- Prof. / Large Housing Private-
Maintenance Invest
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
12
44% 56%
Company’s comp. position
Company’s comp. position Seg1
• Capabilities and resources
% af CM2
• Key driver 1
• Key driver 2
• Key driver 3
Leave Evaluate
(relative compared to the competitors and
documented through value curves) Seg3
% af CM2
Market attractiveness
• Profitability Seg2
% af CM2
• Growth (short vs long-term)
• Segment size
Low Market attractiveness
High
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54. Market targeting
xx
Product (need)
Single segment concentration
xx
“Porsche sport scars”
xx
xx
xx xx xx xx
Homogeneous segments of customers
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55. Market targeting
xx
Product (need)
Selective specialization
xx
“DR radio”
xx
xx
xx xx xx xx
Homogeneous segments of customers
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56. Market targeting
xx
Product (need)
Product specialization
“Nikon camera”
xx
xx
xx
xx xx xx xx
Homogeneous segments of customers
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57. Market targeting
xx
Product (need)
Market specialization
xx
“Mange prod til en kundegruppe”
xx
xx
xx xx xx xx
Homogeneous segments of customers
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58. Market targeting
xx
Product (need)
xx
Full market Coverage
“IBM”
xx
xx
xx xx xx xx
Homogeneous segments of customers
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59. How do w e find these homogenous
Segmentation process • Demographic segment at ion
customer groups
• To def ine t he t arget market
• Geographic segment at ion • To creat e a new view of t he
• Behavioral segment at ion market
• Psychographic segment at ion • To posit ion t he product
• Individual segment at ion • To bet t er communicat e product
• Identify a homogenous segment that differ
at t ribut es
• M otivat ional segment at ion
from other segments and specify criteria that
define the segment
• Determine segment size and potential 9
M arket Grow th
– Financial figures Grow t h 2003 –> 2004 (Source: Byggemat eriale Indust rien: BI, maj 2004)
26% 74%
Private-
• Visualize the market for better understanding
Large- Local - Private- Prof. /Large Housing houses
contractor Contractor/ industry housing association +(sommer
Carpenter association houses)
Renovation
03/ 02: Turn/ growth. -18,3% 03/ 02:Turn/ growth. +10,2%
128 Mkr 353 Mkr
9,5%
3,5%
32,4%
• Prioritize the segments
04/ 03: Turn/ grow th. +5,2% 04/ 03: Turn/ grow th. +4,7%
7%
2%
3%
7%
+4,8% 05/ 04: Turn/ growth. +8,1% 05/ 04: Turn/ growth. +2,2%
• Target the segment or segments that you
03/ 02: Turn/ growth: -18,7% 03/ 02: Turn/ growth: +6,5%
New building 450 Mkr 570 Mkr
04/ 03: Turn/ grow th: -3,2% 04/ 03: Turn/ grow th: +3,4%
22,5%
05/ 04: Turn/ growth. +3,6%
4,5%
05/ 04: Turn/ growth. -3,2%
67,7%
19%
13%
3%
6%
want to concur (target marketing) +0,5%
Fact s
Est .
Large- Local - Private- Prof. /Large Housing Private-
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
25
44% 56%
Prioritizing of segments
M arket targeting Large-
contractor
Local -
Contractor/
M arket Grow th
Grow t h 2003 –> 2004 (Source: Byggemateriale Industrien: BI, maj
26%
Private-
industry
Prof. / Large
housing
74%
Housing
association
2004)
Private-
houses
+(sommer
houses)
Carpenter association
Renovation
03/02: Turn/growth. -18,3% 03/02:Turn/growth. +10,2%
128 M kr 353 M kr
9,5%
3,5%
32,4% 04/ 03: Turn/ grow th. +5,2% 04/ 03: Turn/ grow th. +4,7%
7%
3%
7%
2%
+4,8% 05/04: Turn/growth. +4,1% 05/04: Turn/growth. +2,2%
New building
03/02: Turn/growth: -18,7%
450 M kr
04/ 03: Turn/ grow th: -3,2%
03/02: Turn/growth: +6,5%
570 M kr
04/ 03: Turn/ grow th: +3,4% High
xx
22,5%
05/04: Turn/growth. +4,9%
05/04: Turn/growth. +3,2%
4,5%
67,7%
19%
13%
3%
6%
+0,5%
Facts
Product (need)
Est .
Large- Local - Private- Prof. / Large Housing Private-
M aintenance Invest
contractor Contractor/ industry housing association houses
Carpenter association +(sommer
houses)
12
44% 56%
Company’s comp. position
Company’s comp. position Seg1
Single segment concent rat ion • Capabilities and resources
xx
% af CM 2
“ Porsche sport scars” • Key driver 1
• Key driver 2
• Key driver 3
Evaluate
xx
Leave
(relat ive compared to the compet it ors
and document ed through value curves) Seg3
% af CM 2
M arket attractiveness
Seg2
xx
• Prof it abilit y
% af CM 2
• Grow t h (short vs long-t erm)
xx xx xx xx • Segment size
Low M arket attractiveness
High
59 Homogeneous segments of customers
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60. Case
Week 43
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61. Market segmentation modal
M arket segmentation
The market can be divided into
customers and products. How a
xx
homogeneous group of customers
Product (need)
require products to cover their
needs and what are the size of the
xx
different segment.
• The attractiveness is based on
xx
size, gross margin, the companies
product range.
xx
xx xx xx xx • Competitive strength in the
Homogeneous segments of customers different segments
9
61
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62. Nothing more for today
62
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