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Ch 9 Segmentation, Positioning...

Ch 9 Segmentation, Positioning. Skim.. Pay particular attention to… Market Segmentation Procedure p262ff Bases for Segmentation p263ff Selecting Targets p274ff. Identifying Market Segments and Selecting Target Markets. Market Segmentation. Market Targeting. Market Positioning.

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Ch 9 Segmentation, Positioning...

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  1. Ch 9Segmentation, Positioning... • Skim.. • Pay particular attention to… • Market Segmentation Procedure p262ff • Bases for Segmentation p263ff • Selecting Targets p274ff

  2. Identifying Market Segments and Selecting Target Markets

  3. Market Segmentation Market Targeting Market Positioning 1. Identify segmentation variables and segment the market 2. Develop profiles of resulting segments 3. Evaluate attractiveness of each segment 4. Select the target segment(s) 5. Identify possible positioning concepts for each target segment 6. Select, develop, and communicate the chosen positioning concept Steps in Market Segmentation, Targeting,and Positioning

  4. (a) Homogeneous preferences (b) Diffused preferences (c) Clustered preferences Creaminess Creaminess Creaminess Sweetness Sweetness Sweetness Basic Market-Preference Patterns

  5. Market-Segmentation Procedure • Survey • Motivations • Attitudes • Behavior • Analysis • Factors • Clusters • Profiling

  6. Geographic Region, City or Metro Size, Density, Climate Demographic Age, Gender, Family size and Fife cycle, Race, Occupation, or Income ... Psychographic Lifestyle or Personality Behavioral Occasions, Benefits, Uses, or Attitudes Bases for Segmenting Consumer Markets

  7. Bases for Segmenting Business Markets • Demographic • Operating Variables • Purchasing Approaches • Situational Factors • Personal Characteristics

  8. Measurable • Size, purchasing power, profiles of segments can be measured. • Segments can be effectively reached and served. • Segments must be large or profitable enough to serve. • Segments must respond differently to different marketing mix elements & actions. • Must be able to attract and serve the segments. Effective Segmentation Substantial Accessible Differential Actionable

  9. PRODUCT (% USERS) HEAVY HALF LIGHT HALF Soups and detergents (94%) 75% 25% 71% 29% Toilet tissue (95%) 79% 21% Shampoo (94%) 75% 25% Paper towels (90%) 83% 17% Cake mix (74%) 83% 17% Cola (67%) 13% 87% Beer (41%) 19% 81% Dog food (30%) 5% 95% Bourbon (20%) Heavy and Light Users of Common Consumer Products

  10. Single-segment concentration Product specialization Selective specialization M1 M2 M3 M1 M2 M3 M1 M2 M3 P1 P2 P3 P1 P2 P3 P1 P2 P3 Market specialization Full market coverage M1 M2 M3 M1 M2 M3 P1 P2 P3 P1 P2 P3 P = Product M = Market Five Patterns of Target Market Selection

  11. Customer Groups Airlines Railroads Truckers Large computers Product Varieties Mid-size computers Personal computers Company A Company B Company C Segment-by-SegmentInvasion Plan

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