This document discusses market targeting, which is the process of evaluating potential customer segments and selecting specific segments for a company to focus its marketing efforts on. It defines key terms like target market and target marketing. It outlines the benefits of market targeting such as allowing a detailed analysis of segments and proper resource allocation. The market targeting process involves evaluating the market's feasibility, size, and structure, then selecting segments based on clear definitions and marketing strategies. Finally, it describes three approaches to market targeting: undifferentiated targets the whole market, differentiated targets multiple segments separately, and concentrated targets a small share of a large market.

1. Market Targeting

2. Market Targeting
• Identifying Groups of Consumers
• Likely to Purchase a specific good or service
• Actual Selection of Segment a firm wants
• Defined as” The process of Evaluating each market segments
attractiveness and selecting one or more segments to enter”

3. Target Market
• The specific market focused by a firm to carry out its marketing
activities.
• Set of Buyers who share common needs or characteristics that the
company decides to serve

4. Tarket Marketing
• Overall marketing efforts taken by company to meet the requirements
of the target market.

5. Market Targeting
• Process whereby one or more of the market segments previously
identified are evaluated are selected.
• First essential step is Segmentation
Collectively called STP (Sementation , Targeting and Positioning)

6. Benefits of Market Targeting
• A firm can conduct a detailed analysis of different segments
identified and can select the best.
• Comparative Study b/w diff mkt segments.
• Helps to determine where and how to market its products and
services
• Nature and course of the marketing strategies can be decided
• Proper allocation and utilization of the resources (men, material,
money etc)

7. Market Targeting Process/Steps in Market
Targeting
Evaluation of
the Market
• Economic Feasibility (financial return)
• Size (volume of sales and growth)
• Structure (competitors, substitutes, buyers, sellers)
Selection of
the Segments
• Clear definition of target markets
• Formulates Marketing Strategies

8. Types/ Approaches of Market Targeting
1.Undifferentiated marketing targets the whole market with one offer
• Mass marketing
• Focuses on common needs rather than what’s different
• Objective is to cover large area.
One Product Entire Market

9. Cont…
2. Differentiated marketing targets several different market segments
and designs separate offers for each
• Goal is to achieve higher sales and stronger position
• More expensive than undifferentiated marketing
COMPANY
Segment 1
Segment 3
Segment 2

10. Cont..
3.Concentrated marketing targets a small share of a large market
• Limited company resources
• Knowledge of the market
• More effective and efficient
COMPANY
SEGMENT 1
SEGMENT 2
SEGMENT 3

11. Types/ Approaches of Market Targeting