Market Analysis

BDI3C

Market Analysis

Market Position

Market Position

Market Niche – small part of an existing market

Market Leader – maintain dominant position in the market?

Market Follower – Follow the lead of the market leader – pricing, product development etc

Market Challenger – Seek to adopt strategies to challenge market leader’s position

Market Objectives

Market Objectives

Will involve/determine some or all of the following:

• Market Penetration

• New Product Development

• Branding

• Diversification

• SWOT Analysis Marketing Objectives for Pepsi?Title: Western goods sell well in China. Copyright: Getty Images available from Education Image Gallery.

Market Segments

Social Class

Institute of Practitioners in Advertising (IPA) Grouping

• A – Higher managerial, professional and administrative

• B – Middle management, professional and administrative

• C1 – Supervisory, clerical and junior management

• C2 – Skilled Manual Workers

• D – Semi and unskilled manual workers

• E – Pensioners, casual workers, unemployed

Which Segment?

Which Segment?

Mass Markets – high volume, low margin goods – confectionary, cars, clothing, food stuffs

Multiple Segments – appealing to wider range of groups – e.g. 4x4 vehicles – town, country, gender, lifestyle, social class?

Single Segment – often a specialised product, e.g. machinery, exclusive goods

Market Structure

Market Structure

Nature of the market structure determines marketing strategy:

• Pricing strategy

• Branding?

• Product Differentiation?

• Market Penetration?

• Market Skimming?

• Direct Selling?