CONSUMER BEHAVIOR

ASSIGNEMENTS- 2

BY
VIKRAM PANDYA
MBA MAREKTING 1
2019-1506-0001-0009
 1. NICHE MARKET

IPHONE MARKET

Evolution of STP strategy from the classic mass marketing strategy:

Mass marketing is the advertising or product, good or service to a wide variety of audience with the
expectation of appealing to as many as possible. It is a kind of marketing where there is one particular
brand & one stagey of all. i.e. where market is not segmented & target is not specified. Unlike market
niche where the product is only marketed to specific target of people, mass marketing has no limit & it
targets all the consumers with the aim of maximizing profits.

Dis advantages of mass marketing

 The difference in how it effects geographical areas

 It is extremely expensive
 Change in the marketing environment are not factored in.

Market matching strategy or popularly known as STP strategy is an evolved technique of marketing where
the marketer chose a particular market & decide a particular targeted audience to whom the product isb
been sold. The market segmented on the basics of demographic, geographic, psychographic & behavioral
factors.

1.1Segmentation
Market segmentation looks at the nature & extent of diversity of buyer’s needs &wants in a
market. It offers an opportunity for an organization to focus in business capabilities on the
requirement of one or more groups of buyers. The objective of segmentation is to examine
difference in needs & wants to identify the segments within the products –market of interest.
Each segment contains buyers with similar needs & wants for the product category of interest
to management.
The segments are describe using the various characteristics of people the reasons that they buy
or use certain products, & their preference for certain brands of products. Likewise, segment of
industrial product market may be formed according to the type of industry the use of the
product, frequency of product purchase, & various other factors. segmentation identifying for
the product/services. To be useful segments like:

 Measurable
 Accessible (can you research them)
 Profitable
 Distinct from one another

1.2 Targeting

The purpose of the marketing targeting strategy is to select the people or organizations that
management wishes to serve in the product- market when buyer needs vary the market target
is usually one or more segments of the product -market. One the product is identified & there
relative importance to the firm determined, the targeting strategy is selected. the objective is
to find the best match between the value requirements of each segment & the organizations.
The targeting decision is the focal point of marketing stagey since targeting guides the setting a
objectives & developing a positioning strategy. The option range from the targeting the same
most of the segments targeting one from few segment in the product market. The targeting
strategy may be influenced by the market maturity, the diversity of buyers need & preference
the firm size compared to competition, corporate resource & priorities & the volume of sales
required to achieve favorable financial results. Deciding the objectives for each market target
spells out the results expected by management. Example of marketing target objectives are
desired levels of marketing sales, market, share, customer retention, profit contributions &
customer’s satisfaction. Marketing objectives may also be set of the entire business unit and
for specific marketing activities such as advertising.
 1.3 Positioning

The marketing program positioning strategy is the combination of product, value-chain price &
promotion strategies a firm uses to position itself against its key competitors in meeting the
needs & wants of the target market the strategies and tactics used to gain a favorable are called
the marketing mix or the marketing program in simple words positioning refers to the selection
of the marketing mix the most of suitable for the target customers segment.
Positioning is an essential component & skill in good marketing. perceptual maps are to use to
determine the position of the product, firm, person, service or idea. positioning maps or
perceptual maps can be simple yet very effective marketing tools. It is based on a theory that
strategy can be only planned in the mind of customers not the marketplace

Advantages of STP strategy

 Better matching of customers’ needs

 Enhance profits for business
 Better opportunities for growth
 Retain more customers
 Target marketing communication
 Gain share of the market segment
 Less expansive to the business