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Part Three:Market Segmentation

Targeting & Psitioning

Part Three:Market Segmentation

Targeting & Psitioning( Chapter7)( Chapter7)

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Market segmentation

1. Identify bases for segmenting the market .

2. Develop profiles ofresulting segments .

Market segmentation

1. Identify bases for segmenting the market .

2. Develop profiles ofresulting segments .

Market targeting

3.Develop measures of segment attractiveness.

4.Select the target segment(s).

Market targeting

3.Develop measures of segment attractiveness.

4.Select the target segment(s).

Market positioning

5. Develop positioningfor each target segment.

6.Develop marketing mix for each targetsegment.

Market positioning

5. Develop positioningfor each target segment.

6.Develop marketing mix for each targetsegment.

STP Strategies (P.195)

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Major Segmentation Variables for Consumer Markets (P.196)

•

Geographic

RegionCountry size

City size DensityClimate

Geographic

RegionCountry size

City size DensityClimate

Demographic

Age GenderLife cycle

Family size Income

OccupationEducation

…….

Demographic

Age GenderLife cycle

Family size Income

OccupationEducation

…….

Psychographic

Social classLifestyle

Personality

Psychographic

Social classLifestyle

Personality

Behavioral

Purchase occasionBenefits sought

User statusUsage rate

Loyalty status

Behavioral

Purchase occasionBenefits sought

User statusUsage rate

Loyalty status

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Requirement for effective segmentation (P.208)

• Measurable; ( 可测定性 )• Accessible; ( 可进入性 )• Substantial; ( 可获利性 )• Differentiable; ( 可区分性） • Actionable. ( 可操作性 )

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Target Marketing

• Evaluating Market Segments (P.209)

Segment Sizeand Growth

Segment Sizeand Growth

Segment StructuralAttractiveness

Segment StructuralAttractiveness

Company Objectivesand Resources

Company Objectivesand Resources

Target MarketsTarget Markets

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Target market (P.210)

Target market is a set of buyer sharing common needs or characteristics that the company decides to serve.

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Market Segmentation

Target marketing strategies (P.210)

Undifferentiated(mass)

marketing

Undifferentiated(mass)

marketing

Differentiated(segmented)marketing

Differentiated(segmented)marketing

Concentrated(niche)

marketing

Concentrated(niche)

marketing

Micro-marketing(local or individual

Marketing)

Micro-marketing(local or individual

Marketing)

Targetingbroadly

Targetingnarrowly

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Undifferentiated) ( Mass) marketing （无差异营销） A market-coverage strategy in which a firm decid

es to ignore market segment differences and go after the whole market with one offer .

Differentiated ( Segmented ) marketing （差异营销）

A market-coverage strategy in which a firm decid

es to target several market segments and designs sep

arate offers for each.

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Selecting Market-coverage strategies

Undifferentiated Marketing

Company marketing

mix

Company marketing

mixMarketMarket

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Selecting Market-coverage strategies

Differentiated Marketing

Company marketing mix1Company marketing mix1

Company marketing mix2Company marketing mix2

Company marketing mix3Company marketing mix3

Segment1Segment1

Segment2Segment2

Segment3Segment3

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Concentrated (niche) marketing （集中营销）

A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches.

.

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Selecting Market-coverage strategies

• Concentrated marketing

Company marketing

mix

Company marketing

mix

Segment1Segment1

Segment2Segment2

Segment3Segment3

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Micro-marketing ( 精细营销） (P.212)

The practice of tailoring products and marketing programs to suit the the tastes of specific individual and locations.(includes local marketing & individual marketing).

Individual-marketing ( 定制营销） (P.213)

Tailoring products and marketing programs to the needs and preferences of individual customers-also labeled ‘markets-of-one marketing’ ,‘one-to-one marketing’ and ‘one-to-one marketing’.

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The Factors of Choosing a Market-Coverage Strategy (P.214)

• 1.Company resources; • 2.Product variability;• 3.Product’s stage in the life cycle • 4. Market variability ;• 5. Competitors’ marketing strategy.

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Market Positioning

• Product position (P.216)

The way the product is defined by consumers on important attributes ——the place the product occupies in consumers’ minds relative to competing products 。

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Choosing a positioning strategy (P.218-220)

Choosing the right

competitiveAdvantage

Choosing the right

competitiveAdvantage

Selecting anOverallPositionStrategy

Selecting anOverallPositionStrategy

Identifyingpossible CompetitiveAdvantage

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Competitive advantages

ProductDifferentiation

ProductDifferentiation

ServicesDifferentiation

ServicesDifferentiation

PersonnelDifferentiation

PersonnelDifferentiation

ImageDifferentiation

ImageDifferentiation

Channel Differentiation

Channel Differentiation

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Choosing the right competitive advantages

How many differences to promote ?How many differences to promote ?

Which differences to promote?

Important( 重要） Distinctive （特色） Superior( 领先）Communicable( 沟通） Preemptive( 独有）Affordable( 可购） Profitable( 有利）

Which differences to promote?

Important( 重要） Distinctive （特色） Superior( 领先）Communicable( 沟通） Preemptive( 独有）Affordable( 可购） Profitable( 有利）

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　　　　　　　　　　　　　　Selecting a overall positioning strategy(P.22

1)

Value proposition:

The full positioning of a brand — the full mix of benefits upon which it is positioned.

　　

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Possible value propositions （ P.221 ）

More

for

more

More

for the

same

More

for

less

The same

for

less

Less for

much

less

More

More

The same

The same

Less

Less

Price

Benefits

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Positioning statement (P.224)

A statement that summarizes company or brand positioning – it takes this form:

To (target segment and need)

Our (brand)

Is (concept)

That (point-of-difference)

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Communicating & delivering the chosen position(P.225)

CompanyCompany Chosen positionChosen positionTarget

customer

Targetcustomer

Product, Price, Place, Promotion

Communicating

Delivering