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Segmentation, Targeting, Positioning

(STP)

Mass Marketing • ‘Undifferentiated Marketing’ • Offering a standardized product to all the consumers or the entire market .

Target marketing • ‘Market Segmentation’ • Identifying distinct groups of buyers who are homogenous within but heterogeneous between each other • B2C. B2B .

Levels of Segmentation • • • • Single Segmentation Differentiated segment marketing Niche/Concentrated marketing Micro-marketing – Local marketing – Individual marketing/Customization .

Rin Advanced. Surf Excel • Service segmentation: Taj and Ginger hotels • Niche marketing: plus-size apparel.Dell .Caselets Discussed • Product segmentation: Wheel. religious channels • Local marketing: 3-idiots in China • Customization .

Segmentation .Types .

Demographic Variables • • • • • • • • • • • • • Age Gender Income Education Occupation Family size Family life cycle Generation Social class Religion Nationality Culture Sub-culture .

Geographic Variables • • • • • • Location / Country Region State Population density Climate Terrain .

Srishant) • Personality (Scooter vs Bike) • Involvement (Lux soap. Interests. Sunfeast Dark Fantasy) • Attitude (MS Dhoni. Fair & Lovely) • Perception (Parle G. Opinions .Psychographic Variables • Needs and motivation (umbrella. BMW car) • Lifestyle – Activities.

Behavioural variables • • • • • • Buying occasions Buying/usage frequency Buying readiness stage Loyalty status Usage rate Shopping orientation .

Targeting • Evaluating the viability of each segment and and then selecting one or few market segment (s) to serve better and in a superior way • Viability of a Segment – Measurable – Substantial – Accessible – Differentiable – Actionable .

Patterns of Target Market Selection .

– the consumer can perceive a brand’s characteristics relative to those of competitive offerings.Positioning • Designing the product and service offering of a company in the minds of the customer’s so that – the consumer can relate the product and service offering to a need or want – the marketer can create a distinctive image of himself. • Brand Personality: Marlboro caselet .

What to Position? • • • • • • • • • • Product Attributes Benefits. Problem Solutions Quality Product User Product Usage Specific use Services Price Distribution Competitors .