Consists of a set of buyers who share common needs or

consists of a set of buyers who share
common needs or characteristics that the company decides
to serve.
Figure 7.2: Market-targeting strategies
Undifferentiated Marketing
Using an undifferentiated marketing (or mass-
marketing ) strategy, a firm might decide to ignore market
segment differences and target the whole market with one
offer.
This mass-marketing strategy focuses on what is common in
the needs of consumers rather than on what is different .
Differentiated Marketing
Using a differentiated marketing (or segmented market-
ing ) strategy, a firm decides to target several market
segments and designs separate offers for each.
It hopes for higher sales and a stronger position within each
market segment. But it also increases the cost of doing
business.
Concentrated Marketing
p. 198
Figure 7.2: Market-
Targeting Strategies
p. 198
Key Terms: Target
market,
Undifferentiated
(mass) marketing,
Differentiated
(segmented)
marketing
p. 199
Photo: P&G
p. 199
Key Term:
Concentrated

p. 200
PPT 7-23
p. 200
PPT 7-24
p. 202
PPT 7-25
p. 203
PPT 7-26
Using a concentrated marketing (or niche marketing )
strategy, instead of going after a small share of a large
market, the firm goes after a large share of one or a few
smaller segments or niches.
It can market more effectively by fine-tuning its products,
prices, and programs to the needs of carefully defined
segments.
It can market more efficiently , targeting its products or
services, channels, and communications programs toward
only consumers that it can serve best and most profitably.
Micromarketing
Micromarketing is the practice of tailoring products and
marketing programs to suit the tastes of specific individuals
and locations.
Micromarketing includes local marketing and individual
marketing .
Local marketing involves tailoring brands and promotions
to the needs and wants of local customer groups—cities,
neighborhoods, and even specific stores.
Local marketing has drawbacks.
 It can drive up manufacturing and marketing costs
by reducing economies of scale.
 It can create logistics problems.
Individual marketing is the tailoring of products and
marketing programs to the needs and preferences of
individual customers.
Individual marketing has also been labeled one-to-one
marketing , mass customization, and markets-of-one
marketing .
Choosing a Targeting Strategy
Which strategy is best depends on:
 Company resources
 Product variability
 Product’s life-cycle stage
 Market variability
(niche) marketing
p. 199
Photo: Stance Socks
p. 200
Photo: Stitch Fix
p. 200
Key Terms:
Micromarketing,
Local marketing
p. 201
Photo: Local
Marketing, Marriott
p. 202
Key Term:
Individual
Marketing
p. 202
Photos: Rolls-
Royce

 Competitors’ marketing strategies
p. 203
Socially Responsible Target Marketing
Target marketing sometimes generates controversy and
concern. Issues usually involve the targeting of vulnerable
or disadvantaged consumers with controversial or
potentially harmful products.
Marketers in a wide range of industries have been criticized
for their marketing efforts directed toward children.