This Chapter covers and gives you the idea of terms related to Market Segmentation, Target marketing & Competitive Market Forces along with the examples to make the idea more clearer. The blank slides contains the commercials, Which might not be visible. Instead the links for commercials will be provided on requests.
5. • Market segmentation is the division of A
market into different groups of customers with
distinctly similar needs and product/service
requirements.
• Market segmentation is the division of a mass
market into identifiable and distinct groups or
segments, each of which have common
characteristics and needs and display similar
responses to marketing actions.
6. Market segmentation Activities
3
Selection Of Segmentation
2 Strategy
Evaluation Of The Market Segments
1
Formation And Profiling Segments
7. Needs or Desired and benefits
Purchase Behavior
Values/ Lifestyle Measure
Classifying Characteristics
8. 1. Needs/ Benefits Sought
• Needs and benefits are the characteristics
or attributes of product that consumer
seeks or consider important.
Example:
• Nokia Mobiles
9. Needs/ Benefits Sought
i. Multi-Item Scale: To know how important or
unimportant each benefit is to consumer.
ii. Conjoint Analysis: the qualities of product or
service that are most desired by the
customers.
a) Identification of Relevant Behavior
b) data Collection
c) Data Analysis
10. Conjoint Analysis
Identification of Relevant Behavior
1 To specify which attribute is important to study; e.g: Pizza Hut (Price, Delivery
Time, Type of Crust or Split Toppings)
Data Collection:
2 Collect the data by given level
Data Analysis:
3
Analyze the Data.
11. • When and where consumed
• The nature of situation
• What type
• The quantity consumed
• Brand color, and size
12. Rooh Afza in Ramazan
EXAMPLE: BEHAVIORAL
MEASURES
13. 3. Values/ Lifestyle Measure
Analyzing consumers’ activities,
interests, and opinions, we can
understand individual lifestyles and
patterns of behavior, which in turn
affect their buying behavior and
decision-making processes. On this
basis, we can also identify similar
product and/or media usage patterns.
14. 4. Classifying Characteristics
Demographic • Key variables concern
age, sex, occupation, level of
education, religion, social class, and income
characteristics, many of which determine a
potential buyer’s ability to purchase a product
or service.
15. • Geographic • In many situations the needs of
potential customers in one geographic
area are different from those in
another area. This may be due to
climate, custom, or tradition.
17. Evaluate the Market Segments
The market segments are studied against the five criteria:
1 Uniqueness
2 Responsiveness
3 Actionability
4 Stability and
5 Profitability
18. Uniqueness
• Uniqueness refers to large between-
group differences in the segments.
• The best basis for forming market
segments is to creates segments that
are more unique.
• The objective is to achieve competitive
power.
• The more unique the segments are, the
easier It is to translate the
segmentation result into strategic and
tactical actions.
19. Responsiveness
• If specific strategies and tactical
actions are made for the specific
segment, it is expected that the
segment would be more responsive to
those actions than other segments.
• For example
Pleasure travelers may respond to price
change whereas business travelers may
not.
20. Actionability
• Actionability is the extent to which the
manager can take action on the results
of the segmentation analysis.
• Actionability expresses the notion that
the segment targeted must be of an
appropriate size for the company.
For Example
• A need-based segment is made to cater
a particular group of patients.
21. Stability
• The segment should be stable over
time with respect to desired end
benefits and classification factors.
• It is not necessary that same people
remain in the segment.
• People with the needs identified by the
segment should have same
classification characteristics.
22. Profitability
• The segment should have enough
potential to contribute towards the
organization’s objective and purpose of
existence.
23. Segment Strategy
• The last step in segmentation is to select a
segmentation strategy.
• It must be decided whether to take mass
marketing approach or segmented approach.
• Segmented approach is further divided as
single segment approach or multiple
segment approach.
• Single segment: Porsche
• Multiple segment: Chevrolet, Toyota
25. Examining Competitive Market Forces.
(Emphasis on first three)
• What are the fundamental characteristics of my industry?
Creating a
market
profile
• Who are my competitors?
Perceptual
• What are the current positions of my competitor?
mapping
• What moves are my competitor most likely to make?
• What moves can we make to achieve a sustainable competitive advantage?
26. Examining Competitive Market Forces.
Creating a market Profile: Deals with industry
characteristics such as:
– Size and growth rate of the industry
– Substitute products
– Suppliers to the industry
– Principal customers
– Manufacturing and distribution
– Barriers to entry
– Social and economic conditions affecting the industry
Perceptual Mapping: Also known as product positioning
map. Who are my competitors & what are their current positions?
27. Perceptual Map (Fig 4-6)
• Large • High Quality
portion • Quiet
Dave’s
Hill Top West View
• Low Price • Pleasant
• Fast Service atmosphere
• Accessibility
Rusty • Wide
Scupper selection
Perceptual mapping most likely ask consumers to rate brands with more than two attributes
28. Perceptual Map (Q# 10)
• Night life • Weather Miami
• Sports
New York
• Shopping
• Dining Las Vegas
• Culture San • Safety San
• Museum Francisco Antonio
• Sightseeing
CITY TOURISTS
Las Vegas 8,756
Miami 2,620
New York 17,411
San Antonio 840
San Francisco 9,375
29. Perceptual Map (Q# 10)
Conclusion:
Further create similar attributes as in the City
New York, San Francisco. Such as:
Shopping facilities
Sigh seeing
Museums
Sports & Nightclubs
Falling pictures(Intermediate)To reproduce the picture effects on this slide, do the following:On the Home tab, in the Slides group, click Layout, and then click Blank.On the Insert tab, in the Images group, click Picture. In the Insert Picture dialog box, select a picture, and then click Insert. Select the picture. Under Picture Tools, on the Format tab, in the bottom right corner of the Size group, click the Size and Position dialog box launcher. In the Format Picture dialog box, resize or crop the image so that the height is set to 2.93” and the widthis set to 4.41”. To crop the picture, click Crop in the left pane, and in the Crop pane, under Crop position, enter values into the Height, Width, Left, and Top boxes. To resize the picture, click Size in the left pane, and in the right pane, under Size and rotate, enter values into the Height and Width boxes.Under Picture Tools, on the Format tab, in the Picture Styles group, click More, and then click Beveled Matte, White (first row, second option from the left). Under Picture Tools, on the Format tab, in the bottom right corner of the Size group, click the Size and Position dialog box launcher. In the Size and Position dialog box, on the Size tab, under Size and rotate, in the Rotation box, enter 5°.Under Picture Tools, on the Format tab, in the bottom right corner of the Picture Styles group, click the FormatPicture dialog box launcher. In the FormatPicture dialog box, click Shadow in the left pane, and then do the following in the Shadow pane:Click the button next to Presets, and then under Outer click Offset Diagonal Bottom Left (first row, third option from the left).In the Distance box, enter 20 pt. Drag the picture into the top right corner of the slide.Select the picture. On the Home tab, in the Clipboard group, click the arrow to the right of Copy, and then click Duplicate.Drag the second (duplicate) picture to the left middle of the slide.Select the second picture. Under Picture Tools, on the Format tab, in the bottom right corner of the Size group, click the Size and Position dialog box launcher. In the Format Picture dialog box, on the Size tab, under Size and rotate, in the Rotation box, enter 0°.Right-click the second picture and click Change Picture. In the Insert Picture dialog box, select a picture, and then click Insert. Select the second picture. Under Picture Tools, on the Format tab, in the bottom right corner of the Size group, click the Size and Position dialog box launcher. In the Format Picture dialog box, resize or crop the image so that the height is set to 2.93” and the widthis set to 4.41”. To crop the picture, click Crop in the left pane, and in the Crop pane, under Crop position, enter values into the Height, Width, Left, and Top boxes. To resize the picture, click Size in the left pane, and in the right pane, under Size and rotate, enter values into the Height and Width boxes.Under Picture Tools, on the Format tab, in the bottom right corner of the Picture Styles group, click the FormatPicture dialog box launcher. In the FormatPicture dialog box, click 3-D Rotation in the left pane, and then do the following in the 3-D Rotation pane:Click the button next to Presets, and then under Perspective click Perspective Relaxed (second row, third option from the left). In the X box, enter 0°.In the Y box, enter 320°.In the Z box, enter 10°.In the Perspective box, enter 80°. On the Home tab, in the Drawing group, click Arrange, and then click Send to Back. Select the second picture. On the Home tab, in the Clipboard group, click the arrow to the right of Copy, and then click Duplicate.Drag the third picture to the bottom right corner of the slide, under the first picture.Right-click the third picture and click Change Picture. In the Insert Picture dialog box, select a picture, and then click Insert. Select the third picture. Under Picture Tools, on the Format tab, in the bottom right corner of the Size group, click the Size and Position dialog box launcher. In the Format Picture dialog box, on the Size tab, resize or crop the picture as needed so that under Size and rotate, the Height box is set to 2.93” and the Width box is set to 4.41”. Resize the picture under Size and rotate by entering values into the Height and Width boxes. Crop the picture under Crop from by entering values into the Left, Right, Top, and Bottom boxes. Under Picture Tools, on the Format tab, in the bottom right corner of the Picture Styles group, click the FormatShape dialog box launcher. In the FormatPicture dialog box, click 3-D Rotation in the left pane, and then do the following in the 3-D Rotation pane:Click the button next to Presets, and then under Perspective click Perspective Relaxed (second row, third option from the left). In the X box, enter 0°.In the Y box, enter 300°.In the Z box, enter 0°.In the Perspective box, enter 60°.On the Home tab, in the Drawing group, click Arrange, and then click Send to Back. To reproduce the background effects on this slide, do the following:Right-click the slide background area, and then click Format Background. In the Format Background dialog box, click Fill in the left pane, select Gradient fill in the Fill pane, and then do the following:In the Type list, select Linear.Click the button next to Direction, and then click Linear Down (first row, second option from the left). Under Gradient stops, click Add gradient stops or Remove gradient stops until two stops appear in the slider.Also under Gradient stops, customize the gradient stops that you added as follows:Select the first stop in the slider, and then do the following:In the Position box, enter 70%.Click the button next to Color, and then click Black, Text 1, Lighter 5% (sixth row, second option from the left). Select the second stop in the slider, and then do the following: In the Position box, enter 100%.Click the button next to Color, click More Colors, and then in the Colors dialog box, on the Custom tab, enter values for Red: 87, Green: 78, Blue: 51.
This template can be used as a starter file for a photo album.
This template can be used as a starter file for a photo album.
Refer page 92
Refer pg # 98
Q: You have been hired by the city of San Antonio to recommend strategies to increase foreign tourism.