Chapter 7j

Chapter 7j

1. SEGMENTATION

   • 1- consumer markets
     • Geographic
       • georgraphic units: nation,region,state,country
     • Demographic
       • Age, gender, income, occupation,education,race, religion,nationality
     • psychographic
       • social class, life style, personality
     • Behavioural
       • knowledge,attitude,uses of a products, occasions, benefit sought,user staues, usage rates , loyalty statues
     • Income
       • affluent middle income , low middle income consumers
     • Gender
       • Male, female
     • Age & life cycle
   • 2- Business markets
     • Variables:
       • 1. Customer operating characteristics
         • 4. purchasing approaches
           • 3. situational factors
             • 2. personal characteristics
   • 3- International markets
     • 1. Geographic location
     • 2. Economic factors
     • 3. Cultural factors
     • 4. political- legal factors

2. Choosing a target market depend on?

   • 1. company resources
   • 2.product variability
   • 3. Market variability
   • 4.Product life-cycle stage
   • 5. competitors marketing strategy

3. Definitions

   • Market segmentation
     • Deviding market into small segments of distinct needs, characarestics or behaviours that require seperate marketing strategies
   • Multiple Segmentation
     • used in identifying smaller , better defined target groups
   • Intermarket segmentation
     • devides consumers into groups with similar behaviours and needs even though they are in different locations
   • Target market
     • Set of buyers sharing common needs /characteristics that the company decides to serve
   • Undifferentiated marketing
     • targets the whole market with one offer
   • differentiated marketing
     • targets several different market segments and designs separate offers for each
   • Concentrated marketing
     • targets a small share of a large market
   • Micromarketing
     • tailoring products and marketing programs to suit the tastes of specific individuals and locations
   • Individual marketing
     • tailoring products and marketing programs to the needs and preferences of individual customers
   • Local marketing
     • tailoring brands and promotion to the needs and wants of local customer groups

4. Requirements for effective segmentation?

   • 1. measurables
   • 2. accesible
   • 3. differentiable
   • 4. substantial
   • 5. actionable

5. Target marketing strategies

   • 2. Undifferentiated
     • Mass marketing
     • Focuses on common needs
   • 1. differentiated
     • Goal is achieving higher sales & stronger position
     • More expensive then Undifferentiated
   • 3. concentrated
     • Limited company resources
     • knowledge of the market
     • More effective & effecient
   • 4. Micromarketing
     • Local
       • Cities, Neighbourhood, stores
     • Individual
       • One to one marketing, Mass customization