Ch._6 - 6 Segmentation, Targeting, and Positioning:...

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Unformatted text preview: 6 Segmentation, Targeting, and Positioning: Building the Right Relationships with the Right Customers Steps in Market Segmentation, Targeting, and Positioning 6-2 Market Segmentation Geographic World Region or Country Region of Country City or Metro Size Density or Climate 6-3 Market Segmentation Demographic Age, gender, family size, income, occupation, etc. The most popular bases for segmenting customer groups. Easier to measure than most other types of variables. 6-4 Market Segmentation Age and LifeCycle Stage P&G has different toothpastes for different age groups. Click to See Crest Products for Adults and Kids Avoid stereotypes in promotions. Promote positive messages. 6-5 Market Segmentation Gender Women make 90% of home improvement decisions. Women influence 80% of all household consumer purchases. 6-6 Market Segmentation Income Identifies and targets the affluent for luxury goods. People with low annual incomes can be a lucrative market. Some manufacturers have different grades of products for different markets. 6-7 Market Segmentation Psychographic Social Class Lifestyle Personality 6-8 Market Segmentation Occasions: Behavioral Benefits Sought: Special promotions and labels for holidays. (e.g., Hershey Kisses) Special products for special occasions. (e.g., Kodak disposable cameras) Different segments desire different benefits from products. (e.g., P&G's multiple brands of laundry detergents to satisfy different needs in the product category) 6-9 Segmenting Business Markets Consumer and business markets use many of the same variables for segmentation. Business marketers can also use: Operating Characteristics Purchasing Approaches Situational Factors Personal Characteristics 6-10 Segmenting International Markets Factors Used: Geographic Location Economic Factors Political and Legal Factors Cultural Factors 6-11 Requirements for Effective Segmentation Measurable Accessible Substantial Differentiable Actionable 6-12 Target Marketing Strategies 6-13 Choosing a Market Coverage Strategy Factors to Consider: Company Resources Product Variability Product's LifeCycle Stage Market Variability Competitors' Marketing Strategies 6-14 Positioning for Competitive Advantage Product's position is the way the product is defined by consumers on important attributes. The place the product occupies in consumers' minds relative to competing products. 6-15 Selecting Market Segments Market Coverage Strategies 6-16 Choosing a Positioning Strategy #1 Identify a set of possible competitive advantages on which to build a position #2 Choose the right competitive advantages #3 Select an overall positioning strategy 6-17 Identifying Possible Competitive Advantages (e.g., consistency, durability, reliability, repairability) Product Differentiation (e.g., speed, convenience, careful delivery) Services Differentiation (e.g., convey benefits and positioning) Image Differentiation Channel Differentiation (e.g., hiring, training better people than competitors) 6-18 People Differentiation Choosing Right Competitive Advantages Important Profitable Distinctive Affordable Superior Preemptive Communicable 6-19 Possible Value Propositions 6-20 Communicating and Delivering the Chosen Position Company must take strong steps to deliver and communicate the desired position to target consumers. The marketing mix efforts must support the positioning strategy. Must monitor and adapt the position over time to match changes in consumer needs and competitors' strategies. 6-21 ...
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