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Segmentation and Positioning

Segmentation and Positioning. Why do we need to segment?. Because different consumer groups needs are different To maintain focus on the customer target segment To customise advertising according to target segment. Segmentation is a spectrum. Concentrated marketing Differentiated marketing

kathleenjames
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Segmentation and Positioning

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  1. Segmentation and Positioning

  2. Why do we need to segment? • Because different consumer groups needs are different • To maintain focus on the customer target segment • To customise advertising according to target segment

  3. Segmentation is a spectrum • Concentrated marketing • Differentiated marketing • Mass marketing • Niche marketing

  4. Segmentation Strategy • Demographic • Usage • Brand Loyalty • Attitudes and benefits • Psychographic or lifestyle • Culture and ethnic subculture

  5. Reaching Target segments • Controlled coverage • Customer self-selection

  6. Positioning • What the product stands for? • Mind-share Positioning and segmentation strategies must have fit. A brand must be positioned to be maximally effective in attracting the desired target segment.

  7. Positioning strategies • Product characteristics/benefits • Price-quality approach • Use or application approach • Product class approach • Product user approach • Cultural symbol approach • Competitor approach

  8. Positioning strategies • Identify competitors • Determine how competitors are perceived and evaluated • Determine the competitors positions • Analyse the customers • Select the position • Monitor the position

  9. Psychographically Understanding the TV User High Price/ Quality The prestige-seeker Samsung Philips The technology-seeker Sony LG Toshiba The reliance-seeker BPL Conservative Videocon Innovative Onida Akai Sansui I am very interested in new technology and gadgets The economy-seeker Aiwa Sharp Low Price/ Quality

  10. Positioning Decision • Economic analysis should guide the decision • Segmentation commitment • Not change for change sake. To stick with the advertising if it is working. • Make it easy for customers to remember/recall. Use symbols, logos, etc. as a memory aid. • Be honest.

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