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Chapter 7
- 1.
- 2. Segmentation, Targeting, and Positioning Chapter 7
- 3. Chapter Objectives 1. Identifythe steps in the target marketing process. 2. Understand the need for market segmentation and the approaches available to do it. 3. Explain how marketers evaluate segments and choose a targeting strategy. 4. Understand how marketers develop and implement a positioning strategy. 5. Explain how marketers increase long-term success and profits by practicing customer relationship management.
- 4. Case Example Which optiondid you choose? [pause here to read if you haven’t already.]
- 5. Case Example Which optiondid you choose? [pause here to read if you haven’t already.]
- 6. Case Example Which optiondid you choose? [pause here to read if you haven’t already.]
- 7. Why is it important?? Market Fragmentation... Caused by a diverse society with many needs and wants
- 8. Why is it important?? Market Fragmentation... Caused by a diverse society with many needs and wants
- 9. Are we candylovers all alike?
- 10. What makes usdifferent?
- 12. Personal preference segments Demographic segments Behavioral Cultural Segments segments Lifestyle segments
- 13. Personal preference segments These do!! Demographic segments Behavioral Cultural Segments segments Lifestyle segments
- 14. Personal preference segments These do!! Demographic segments Behavioral Cultural Segments segments Lifestyle segments
- 15. Personal preference segments Demographic These do!! segments Behavioral Cultural Segments segments Lifestyle segments
- 16. Personal preference segments Demographic These do!! Segmentation Variables segments Behavioral Cultural Segments segments Lifestyle segments
- 17. Personal preference segments Demographic These do!! Segmentation Variables 80/20 Rule segments Behavioral Cultural Segments segments Lifestyle segments
- 18. Personal preference segments Demographic These do!! Segmentation Variables 80/20 Rule segments Usage Behavioral CulturalSituation Segments segments Lifestyle segments
- 19. Target Marketing Strategy Identify,describe differences Targeting Evaluate and specify attractive segments Choose targeting Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 20. Target Marketing Strategy Segmentation Identify, describe differences Targeting Evaluate and specify attractive segments Choose targeting Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 21. A segment: isa set of the market who share meaningful similarities. People who like People who like chocolate and to eat candy at the peanut butter. movies. Kids like “fun” candy Adults prefer “mature” Cultures with indulgence different taste preferences People who are health conscious, or diabetic (lifestyle/psychographic)
- 22. Segmentation Variable: somecharacteristic that divides the total market into homogenous (similar) groups - each group having distinct needs or preferences. Prefer chocolate and peanut butter. Need less messy (or candy with candy, in a “filling”) sealable container. Like to “play” with their food & enjoy novelty Like flavors that are common in their culture Need lower calorie or no sugar
- 24. Demographic segments Ingredient preference segments Lifestyle segments Behavioral Cultural Segments segments
- 25. Demographic segments Ingredient preference segments Might we fit into multiple segments? Lifestyle segments Behavioral Cultural Segments segments
- 27. Of course. But thisis why we TARGET MARKET!
- 28. Common Consumer Segmentation Strategies
- 29. Common Consumer Segmentation Strategies
- 30. Common Consumer Segmentation Strategies
- 31. Common Consumer Segmentation Strategies
- 32. Common Consumer Segmentation Strategies
- 33. Common Consumer Segmentation Strategies
- 34. Common Consumer Segmentation Strategies
- 35. Common Consumer Segmentation Strategies
- 36. Common Consumer Segmentation Strategies
- 37. Common Consumer Segmentation Strategies
- 38. Common Consumer Segmentation Strategies
- 39. Common Consumer Segmentation Strategies
- 40. Common Consumer Segmentation Strategies
- 41. Common Consumer Segmentation Strategies
- 42.
- 43.
- 44. Target Marketing Strategy Segmentation Identify, describe differences Evaluate and specify attractive segments Choose targeting Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 45. Target Marketing Strategy Segmentation Identify, describe differences Targeting Evaluate and specify attractive segments Choose targeting Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 46. Target market strategy:developing products (or messages) to meet the needs of specific customer segments.
- 47. Target market strategy:developing products (or messages) to meet the needs of specific customer segments.
- 48. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. “More Milk, More Achievement”
- 49. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. “Drink Well, Live Well.” “More Milk, More Achievement”
- 50. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. Dara speaks to middle aged women who want to be healthy. “Drink Well, Live Well.” “More Milk, More Achievement”
- 51. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. Dara speaks to middle aged women who want to be healthy. Who do I speak to? “Drink Well, Live Well.” “More Milk, More Achievement”
- 52. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. Dara speaks to middle aged women who want to be healthy. Who do I speak to? “Drink Well, Live Well.” “More Milk, More Achievement”
- 53. Target market strategy:developing products (or messages) to meet the needs of specific customer segments. Dara speaks to middle aged women who want to be healthy. Who do I speak to? “Drink Well, Live Well.” “More Milk, More Achievement”
- 54. Target marketing checklist ✓Are the people in the segment similar to each other, but different from other groups? ✓ Can we measure the segment: how large is it? What it is worth in $$? ✓ Is it worth using? Can it be profitable if the strategy is carried out? ✓ Can we reach the segment? Will they hear us, listen to us, respond to us? Are they willing to? ✓ Can we actually meet their needs? Do we have the right expertise?
- 55. Targeting Strategies Undifferentiated Differentiated Concentrated Customized Segmenting and targeting is minimal. Develops one or Appeals to a wide more products for Offering one or more Tailoring products and variety of customers. several customer products to a single services to each Easy to reach groups with different segment customer promotional product needs. economies of scale L’Oreal sells a variety Spearheaded by Dell of shampoos and conditioners based on Wal-mart You can customize hair type, and desired Target Porshe, Rolex, Dickies your shoes at style (reduce frizz, Gasoline (work wear), Ryobi Nike.com and volumize). Kroger Reebok.com Old Navy/Gap/Banana Back to old school! republic
- 56.
- 57. Target Marketing Strategy Segmentation Identify,describe differences Targeting Evaluate and specify attractive segments Choose targeting Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 58. Target Marketing Strategy Segmentation Identify,describe differences Targeting Evaluate and specify attractive segments Choose targeting Positioning Positioning strategy Use the marketing mix to create competitive advantage in consumers’ minds
- 59.
- 60. Positioning: a marketingstrategy that influences how a specific market segment perceives a good/ service in comparison to competitors. Sugar-free candy often tastes bad and leaves a bad aftertaste because of sugar alcohols or synthetic sugar substitutes Challenge: understand evaluative criteria consumers use (ingredient, usage, calories, etc...) and convince them that their product meets those needs
- 61. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Perceptual map
- 62. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Perceptual map
- 63. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Perceptual map
- 64. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Perceptual map
- 65. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste Perceptual map
- 66. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste No Sugar Perceptual map
- 67. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste No Sugar Bad Taste Perceptual map
- 68. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 69. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 70. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 71. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 72. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 73. What two mainevaluative criteria do you think this segment is using to make their purchase decision?? Good Taste High Sugar No Sugar Bad Taste Perceptual map
- 74. Communicating the Positionto the segment... brand “personality”
- 75. Or Reposition the Product
- 76. The company doesnot ALWAYS create the position....
- 78. wheth eror h ey can chose gment T y want the se not the
- 79. wheth eror h ey can chose gment T y want the se not the nds to that Wh o respo po sition
- 80. Steps in positioning 1.Analyze the competition - what are their positions/competitive advantages? 2. Offer a product/service with competitive advantage (fill an open spot on some kind of evaluative matrix) 3. Create and finalize the marketing mix - match the selected segment with the appropriate messages/ distribution/product/pricing 4. Evaluate - maybe reposition
- 81. BUT: Even good positioning, insightful research, and marketing mix execution will not guarantee success.
- 82. CRM & Mass Customization Firms are moving to one-one marketing, allowing customers to make their own products. Caters to each customers unique needs and wants. Tailoring value propositions!! Thriving via Internet technologies & social media touch-points. Customized Targeting Strategy
- 83. CRM & Mass Customization Requires customer interaction & cost efficiency Firms are moving to one-one marketing, allowing customers to make their own products. Caters to each customers unique needs and wants. Tailoring value propositions!! Thriving via Internet technologies & social media touch-points. Customized Targeting Strategy
- 84. Re-Cap 1. Segment yourmarket 2. Choose a target & targeting stragety 3. Position your product/brand
- 85.
Editor's Notes
- #2 \n
- #3 \n
- #4 \n
- #5 NutriSystem experienced tremendous growth selling 28-day weight loss programs in 2005. The 28 day program provides dieters with all their breakfasts, lunches, dinners, and desserts. The program is designed to place people on a reduced-calorie program and is low on the Glycemic index—meaning customers could eat “good carbs” while on the program. By extending NutriSystem’s media presence beyond an e-commerce only\nstrategy into more traditional media such as direct response television, infomercials, and magazine advertising NutriSystem was able to significantly increase its customer count.\n\nThe majority of its $212,000,000 sales were to women aged 35–55. Sales to men accounted for 13 percent of revenues. When\nfaced with growth prospects for 2006, NutriSystem’s management was concerned that the company couldn’t sustain its triple digit growth rate if the company focused all its marketing activities towards its core group of female customers.\n\nNutriSystem’s research shows that some of the same drivers\nthat pushed women to go on the program resonated with men. These motivators included vanity, energy, and health concerns. Because these drivers were an intrinsic part of the product’s core promise, Tom felt there was a chance the company could grow by targeting male dieters in addition to its core female segment—although chances for success were by no means certain, given the historical resistance of men to diet programs. Also, if the\ncompany did enter this market it wasn’t clear what the best strategy would be to speak to potential male customers.\n\nTom considered three options:\n\n1.Dip a toe into the male market by using testimonials from actual men who had tried the program, and broadcast these spots on cable television stations.\n\n2.Stick with what works; don’t enter the men’s market.\n\n3.Develop a men’s program and launch it with a big splash on national television.\n\nhttp://www.nutrisystem.com/index.jsp\n
- #6 NutriSystem experienced tremendous growth selling 28-day weight loss programs in 2005. The 28 day program provides dieters with all their breakfasts, lunches, dinners, and desserts. The program is designed to place people on a reduced-calorie program and is low on the Glycemic index—meaning customers could eat “good carbs” while on the program. By extending NutriSystem’s media presence beyond an e-commerce only\nstrategy into more traditional media such as direct response television, infomercials, and magazine advertising NutriSystem was able to significantly increase its customer count.\n\nThe majority of its $212,000,000 sales were to women aged 35–55. Sales to men accounted for 13 percent of revenues. When\nfaced with growth prospects for 2006, NutriSystem’s management was concerned that the company couldn’t sustain its triple digit growth rate if the company focused all its marketing activities towards its core group of female customers.\n\nNutriSystem’s research shows that some of the same drivers\nthat pushed women to go on the program resonated with men. These motivators included vanity, energy, and health concerns. Because these drivers were an intrinsic part of the product’s core promise, Tom felt there was a chance the company could grow by targeting male dieters in addition to its core female segment—although chances for success were by no means certain, given the historical resistance of men to diet programs. Also, if the\ncompany did enter this market it wasn’t clear what the best strategy would be to speak to potential male customers.\n\nTom considered three options:\n\n1.Dip a toe into the male market by using testimonials from actual men who had tried the program, and broadcast these spots on cable television stations.\n\n2.Stick with what works; don’t enter the men’s market.\n\n3.Develop a men’s program and launch it with a big splash on national television.\n\nhttp://www.nutrisystem.com/index.jsp\n
- #7 target marketing strategy: Select and enter a market\nUnderstanding people’s needs is an even more complex task today because technological and cultural advances in modern society have created a condition of market fragmentation. This condition occurs when people’s diverse interests and backgrounds divide them into numerous different groups with distinct needs and wants. Because of this diversity, the same good or service will not appeal to everyone.\n\nMarketers must balance the efficiency of mass marketing, serving the same items to everyone, with the effectiveness of offering each individual exactly what they want. \n\n
- #8 target marketing strategy: Select and enter a market\nUnderstanding people’s needs is an even more complex task today because technological and cultural advances in modern society have created a condition of market fragmentation. This condition occurs when people’s diverse interests and backgrounds divide them into numerous different groups with distinct needs and wants. Because of this diversity, the same good or service will not appeal to everyone.\n\nMarketers must balance the efficiency of mass marketing, serving the same items to everyone, with the effectiveness of offering each individual exactly what they want. \n\n
- #9 target marketing strategy: Select and enter a market\nUnderstanding people’s needs is an even more complex task today because technological and cultural advances in modern society have created a condition of market fragmentation. This condition occurs when people’s diverse interests and backgrounds divide them into numerous different groups with distinct needs and wants. Because of this diversity, the same good or service will not appeal to everyone.\n\nMarketers must balance the efficiency of mass marketing, serving the same items to everyone, with the effectiveness of offering each individual exactly what they want. \n\n
- #10 \n
- #11 \n
- #12 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #13 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #14 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #15 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #16 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #17 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #18 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #19 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #20 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #21 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #22 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #23 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #24 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #25 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #26 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #27 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
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- #29 Step 1: Segmentation\nSegmentation is the process of dividing a larger market into smaller pieces based on one or more meaningful, shared characteristic. Segmentation is often necessary in both consumer and industrial markets. In each case, the marketer must decide on one or more useful segmentation variables, that is, dimensions that divide the total market into fairly homogenous groups, each with different needs and preferences.\n\n
- #30 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\n
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- #38 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #39 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #40 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #41 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #42 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #43 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #44 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #45 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #46 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #47 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #48 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #49 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #50 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #51 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #52 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #53 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #54 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #55 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
- #56 Segment Consumer Markets\nA total market can be sliced into smaller pieces in a number of ways, including demographic, psychological, and behavioral differences. \nDemographics are measurable characteristics such as gender and age, family structure, income and social class, race and ethnicity, and geography.\n\nSegment by Demographics\nDemographics are vital to identify the best potential customers for a good or service. Consumers of different age groups have different needs and wants. A focus on such segments is called generational marketing.\n\nAge \nChildren are considered between the ages of 4 and 12. This group has a say in family-related purchases of more than $130 billion a year.\n\nTeens are between the ages of 12 and 17. This is an attractive market segment, spends an average of $3,000 per year and as a group is growing nearly twice as fast as the general population. Much of their money goes toward “feel-good” products such as cosmetics, posters, and fast food.\n\nGeneration Y includes those consumers born between the years 1977 and 1994. They also are known as the baby “boomlet.” Generation Y is made up of the 71 million children of the baby boomers. They are the first generation to grow up online and are more ethnically diverse than earlier generations. Generation Y is an attractive market for a host of consumer products because of their size (approximately 26 percent of the population) and because of their free spending nature. As a group they spend about $200 billion annually. Marketers have had to use creative methods to reach this group as they resist reading and turn off the TV regularly.\n\nGeneration X is the group of consumers born between 1965 and 1976, consisting of 46 million Americans. They are also known as slackers or busters and have a cynical attitude toward marketing. However, one study revealed that this group has mellowed with age and is responsible for 70 percent of new start-up business in the United States. Seven out of ten regularly save some portion of their income. The slacker name may be fading.\n\nBaby boomers are consumers born between 1946 and 1964. Baby boomers never age and invest a ton of money, time, and energy to maintain their youthful image. Because there are so many of them, baby boomers are clogging the upward mobility pipeline in employment. \n\nAmericans, 65 and older are 35 million in number. This is a 12 percent increase in this age segment since 1990. This group is enjoying leisure time and continued good health. More and more marketers are offering products that have strong appeal to active lifestyle seniors.\n\nGender\nStarting with diapers, segmenting by sex occurs at a very early age. Many products appeal to men or women either because of the nature of the product or because the marketer chose to appeal to one sex or the other. In some cases, manufacturers develop parallel products to appeal to each sex.\n\nMetrosexual describes a man who is heterosexual, sensitive, educated, and an urban dweller who is in touch with his feminine side.\n\nFamily Life Cycle\nBecause family needs and expenditures change over time, one way to segment consumers is to consider the stage of the family life cycle they occupy. Consumers in different life cycle segments are unlikely to need the same products, or at least they may not need these things in the same quantities. As family’s age and move into new life stages, different product categories ascend and descend in importance.\n\nIncome and Social Class\nThe distribution of wealth is of great interest to marketers because it determines which groups have the greatest buying power. Marketers, obviously, are often more interested in high-income consumers. In the past, it was popular for marketers to consider social class segments, such as upper class, lower class, and the like. However, many consumers buy not according to where they may fall in the schema but rather according to the image they wish to portray.\n\nEthnicity\nA consumer’s national origin is often a strong indicator of his preferences for specific magazines or TV shows, foods, apparel, and choice of leisure activities. Marketers need to be aware of these differences and sensitivities. Given the United States increasingly ethnically diverse culture, cultural/religious issues must be addressed. \n\nPlace of Residence\nRecognizing that people’s preferences often vary depending on where they live, many marketers tailor their offerings to appeal to different regions. \nUse Web Site Here - PRIZM (geodemographic system): www.claritas.com\nWeb site that classifies zip codes into segments\n\nSegment by Psychographics\nPsychographic data are useful to understand differences among consumers who may be statistically similar to one another but whose needs and wants vary. Web-based services such as GeoCities http://geocities.yahoo.com allow people to sort themselves into lifestyle communities based on shared interests. \n\nPsychographics segments market in terms of shared attitudes, interests, and opinions as well as lifestyles. \n\nSegment by Behavior\nBehavioral segmentation slices consumers on the basis of how they act toward, feel about, or use a product. One way to segment based on behavior is to divide the market into users and nonusers of a product. In addition, users can be segmented into heavy, moderate, and light users.\n\nMany marketers abide by a rule of thumb called the 80/20 rule: 20 percent of purchasers account for 80 percent of the product’s sales. This means that it often makes more sense to focus on the smaller number of people who are really into a product rather than on the larger number who are just casual users.\n\n\n\n
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- #60 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #61 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #62 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #63 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #64 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #65 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #66 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #67 Marketers select a target marketing strategy in which they divide the total market into different segments based on customer characteristics, select one or more segments, and develop products to meet the needs of those specific segments. \n\nStep 2: Targeting\nIn targeting, the marketers evaluate the attractiveness of each potential segment and decide which of these groups they will invest resources against to try to turn them into customers. The customer group or groups selected are the firm’s target market.\n\nDevelop Segment Profiles\nA segment profile is a profile or description of a “typical” customer in that segment. A segment profile might include customer demographics, location, lifestyle information, and a description of how frequently the customer buys the product.\n\n
- #68 the criteria used for determining whether a segment may be a good candidate for targeting.\n\nJust because a marketer identifies a segment does not necessarily mean that it’s a useful one to target. A viable target segment should satisfy the following requirements:\n\n•Are members of the segment similar to each other in their product needs and wants and, at the same time, different from consumers in other segments? \n•Can marketers measure the segment?\n•Is the segment large enough to be profitable now and in the future?\n•Can marketing communications reach the segment?\n•Can the marketer adequately serve the needs of the segment?\n\n
- #69 Choose a Targeting Strategy\nA basic targeting decision is how finely tuned the target should be.\n\nUndifferentiated Marketing\nAn undifferentiated targeting strategy is one that appeals to a wide-spectrum of people. If successful, this type of operation can be very efficient, especially because production, research, and promotion costs benefit from economies of scale—it’s cheaper to develop one product or one advertising campaign than to choose several targets and create separate products or messages for each. The company must be willing to bet that people have similar needs or differences among them that are trivial.\n\nDifferentiated Marketing\nA company that chooses a differentiated targeting strategy develops one or more products for each of several customer groups with different product needs. A differentiated strategy is called for when consumers are choosing among brands that are well known in which each has a distinctive image in the marketplace and in which it’s possible to identify one or more segments that have distinct needs for different types of products.\n\nDifferentiated marketing can also involve connecting ones products with different segments by communicating differently to appeal to those segments.\n\nConcentrated Marketing\nWhen a firm focuses its efforts on offering one or more products to a single segment, it is using a concentrated targeting strategy. A concentrated strategy is often useful for smaller firms that do not have the resources or the desire to be all things to all people.\n\nCustomized Marketing\nIdeally, marketers should be able to define segments so precisely that they can offer products and services that exactly meet the unique needs of each individual or firm. A custom marketing strategy is common in industrial contexts in which a manufacturer often works with one or a few large clients and develops products and services that only these clients will use.\n\nIn most cases this level of segmentation is neither practical nor possible when mass-produced products are sold. However, advances in computer technology, coupled with the new emphasis on building solid relationships with customers, have focused managers’ attention on devising a new way to tailor specific products and the messages about them to individual customers.\n\nMass customization is the modification of a basic good or service to meet the needs of an individual.\n
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- #73 Step 3: Positioning\nPositioning means developing a marketing strategy aimed at influencing how a particular market segment perceives a good or service in comparison to the competition. Developing a positioning strategy entails gaining a clear understanding of the criteria target consumers use to evaluate competing products and then convincing them that your product will meet those needs. Positioning can be done in many ways. \n\nPositioning \nMarketers must devise a marketing mix that will effectively target the segment’s members by positioning their products to appeal to that segment. There are four steps marketers follow to develop a positioning strategy.\n \n1.Analyze competitor’s positions\n2.Offer a good or service with a competitive advantage\n3.Match elements of the marketing mix to the selected segment\n4.Evaluate the target market’s responses and modify if necessary\n\nMarketers must evaluate the target market’s responses so they can modify strategies as needed. Over time, the firm may find that it needs to change which segments it targets or even redo a product’s position to respond to marketplace changes. An example of such a makeover is called repositioning.\n\nRepositioning also occurs when brands once thought to be dead or near-dead get revived. Some brands may ride a wave of nostalgia and return to the marketplace as retro brands such as Oxydol, Breck Shampoo, and Tab.\n\n
- #74 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #75 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #76 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #77 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #78 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #79 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #80 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #81 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #82 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #83 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #84 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
- #85 Bring a Product to Life: The Brand Personality\nA positioning strategy often tries to create a brand personality for a good or service—a distinctive image that captures its character and benefits. Part of creating a brand personality is developing an identity for the product that the target market will prefer over competing brands. How do marketers determine where their product actually stands in the minds of consumers? One solution is to ask consumers what characteristics are important and how competing alternatives would rate on these attributes. Marketers use this information to construct a perceptual map, which is a vivid way to construct a picture of where products or brands are “located” in consumers’ minds.\n\nCreating a positioning strategy is the last step in the target marketing process. \n\n
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- #93 CRM: A New Perspective on An Old Problem\nCRM is about communicating with customers and about customers being able to communicate with a company one-to-one. CRM systems are applications that, through computers, CRM computer software, databases, and often the Internet, capture information at each touch point (or interaction) between customers and companies to allow for overall better customer care. CRM helps firms communicate with and serve customers by better understanding their needs. Firms that practice CRM have found that this level of individualized attention results in a much higher rate of customer retention and satisfaction, so CRM creates a win-win situation for everyone.\n\n6.Customer Relationship Management: Toward a Segment of One\nToday many highly successful marketing firms embrace customer relationship management (CRM) programs that allow companies to talk to individual customers and adjust elements of their marketing programs in light of how each customer reacts to elements of the marketing mix.\n\nDon Peppers and Martha Rogers popularized a term called one-to-one marketing. They identified four steps in one-to-one marketing:\n\n1.Identify customers and get to know them in as much detail as possible.\n2.Differentiate these customers in terms of both their needs and their value to the company.\n3.Interact with customers and find ways to improve cost efficiency and the effectiveness of the interaction.\n4.Customize some aspect of the products or services they offer to each customer.\n\nA CRM strategy allows a company to identify its best customers, stay on top of their needs, and increase their satisfaction. CRM has become a driving philosophy in many successful firms. It is a more efficient way to serve new customers who may have been overlooked by prior marketing efforts. CRM presents a new way of looking at how to effectively compete in the marketplace. This begins with looking at customers as partners. CRM proponents suggest that the traditional relationship between customers and marketers is an adversarial one where marketers try to sell their products to customers and customers seek to avoid buying.\n\nCRM is widely used to strengthen business-to-business relationships as well as end consumers. \n\n
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