2. Market targeting is the second of three steps in product promotion. The other
two are segmentation and positioning.
Together, these stages are sometimes called STP
Market Targeting:
Target marketing is about attracting customers who will buy what
you’re selling
The process of evaluating each market segment’s attractiveness
and selecting one or more segment to enter
A Target market is a set of buyers sharing common needs or
characteristics that the company decides to serve.
3. Defining your Target Marketing
o Target marketing can segmented into 5 categories Geography,
Demographic, Psychographic, Behavioral and Product Relationship
Geography = Where they live
Demographic = Age, Income, Gender
Psychographic = Similar belief, Attitudes, Life styles
Behavioral = Loyalty, Buying Habits
Product Relationship = How the product is being used
5. Steps in Segmentation Process
Needs-based segmentation
Segment identification
Segment attractiveness
Segment profitability
Segment positioning
Segment acid test
Marketing-Mix
Strategy
6. Five Patterns of Target Market Selection
Single-Segment Concentration
Selective Specialization
Product Specialization
Market Specialization
Full Market Coverage
7. In this case, the marketer prefers to go for single
segment
The company may adopt this strategy if it has
strong market position, greater knowledge about
segment-specific-needs, specified reputation and
probable leadership position.
Examples:
•Mahindra & Mahindra concentrates on tractors
primarily targeted on agricultural markets.
•Zodiac brand concentrates on formal shirts for
executives and professionals.
8. This is known as multistage coverage because
different segments are sought to be captured by the
company.
The company selects a number of segments each of
which is attractive, potential and appropriate.
There may be little or no synergy among the segments,
but this strategy has the advantage of diversifying the
firm’s risk.
Example:
• SONY produces LCD TV as well as Walkman, the two
different types of products obviously for two different
types of markets
• Procter & Gamble launched Crest Whitestrips for
newly engaged women brides-to-be as well as for
gay males
9. It occurs when a company sells certain
products to several different types of potential
customers.
Example:
• Super Precision Components supply small nuts
and screws for use in military, industry and daily
use
• A firm make microscopes for Universities,
Laboratories and for Government.
10. Here the company takes up a particular market
segment for supplying all relevant products to the
target group.
Example:
• SAMSUNG produces home appliances like TV,
washing machine, refrigerator and micro oven for
middle class people - Here the chosen segment is
the middle class and the firm specializes in that
market only
• Sudha Publications Pvt. Ltd. publishes and sells
books for the students and job-hunters that include
competition books (CAT, IIT-JEE, IAS), general
knowledge books and personality development
books
11. The company attempts to serve all customer groups with
all the products they might need. Only very large firms can
undertake a full market coverage strategy.
Large firms can cover a whole market in 2 broad ways:
Undifferentiated Marketing
Differentiated Marketing
12. Undifferentiated Marketing
The company ignores market segment differences and goes after the whole market with
one market offer. It focuses on a basic buyer need rather than on differences among
buyers.
Differentiated Marketing
The company operates in several market segments and designs different products for
each segment. It creates more total sales than Undifferentiated Marketing
Example:
• Microsoft
• Coca-Cola
• General Motors
