Marketing Assignment

S.T.P

Presented to Dr. Moshira

Presentation made by

1- Ahmed Mekawy .

2-Amir Heshmat.

3-Hossam Zekry .

4- Khaled Mohamed Hussien.

5- Sherine Sayed Ahmed.

Table of Contents:

1- Market Segmentation
- Geographic segmentation
- Demographic Segmentation
- Physiographic segmentation
- Behavioral Segmentation
2- Market Targeting
- Effective segmentation criteria
- Michael porter analysis
- Evaluating and selecting Market target
3- Market Positioning
- Determining competitive frame of references
- Identifying Optimal POD
- Identifying Optimal POP
- Brand Mantra
- Positioning Statement
STEPS IN MARKETING
MARKET SEGMENTATION

Market segmentation is the process that companies use to divide large

heterogeneous markets into small markets that can be reached more
efficiently and effectively with products and services that match their unique
needs.

Segmentation Variables

1- Geographic.

2- Demographic.

3- Psychographic.

4- Behavioral.
 1. GEOGRAPHIC SEGMENTATION

Geographic segmentation is when a business divides its market on the basis

of geography. There are several ways that a market can be geographically
segmented. You can divide your market by geographical areas, such as by
city, county, state, region, (like the West Coast), country, or international
region, (like Asia). You can also divide the market into rural, suburban, and
urban market segments. And, you can segment a market by climate or total
population in each area.

Geographic segmentation for our product is very important as not all the
areas will be interested in our product , so we will focus on specific things:

• Nation : Egypt as a start.

• Governorates : we will focus on 3 governorates as a start also , Cairo ,

Alex and Giza.

• also we will focus only on the urban areas.

• Regional : we will try to focus our marketing on the areas where

people have a little high standards of living like (New Cairo -
Mohandseen - 6th of October city - Nasr City - Masr El Gedida).
 2. DEMOGRAPHIC SEGMENTATION

Demography is the study of human populations in terms of size, density,

location, age, gender, race, occupation, and other statistics.

 Demographic environment is important because it involves

people, and people make up markets

 Demographic trends: It include age, family structure, geographic

population shifts, educational characteristics, and population
diversity

AGE AND LIFE CYCLE

Mid-twenties to retirement age

Robot vacuum can be used by people that their edges Mid-twenties to

retirement age.

 LIFE STAGE
Life stage Needs And Demand Description

In this stage we will meet

highly need for newlyweds
NEWLYWEDS High as the purchase all electric
home machines for new
House

Wants created when they

MARRIED Medium need to renew the home
electric machines .

Needs exist specially when

DIVORCED Medium she or he come alone with
their Kids or Children's.

For who don't have time or

SINGLE Low want his or her home be
cleaned easily

GENDER

• Female Would have highly demand on the product to do house works

more Easy.

• Male as Gift (Mather's day + wife, mother or sister birthday )

INCOME
 • People Who have High and Medium Income will have the ability to
acquire the product With its benefit.

GENERATION

• High demand will be in mature with 90,s and 80,s and 70,s
generations, and will be expand to 2000,S generation by years(as all
this people can easy use the technology).

3. PSYCHOGRAPHIC SEGMENTATION

• Psychographic segmentation involves dividing your market into

segments based upon different personality traits, values, attitudes,
interests, and lifestyles of consumers. This segmentation is
advantageous because it allows you to engage in product design and
marketing in a focused manner

STRATEGIC BUSINESS INSIGHT VALS

• VALS is a way of viewing people on the basis of their attitudes, needs,

wants, beliefs and demographics.

• By using psychology to analyze and predict consumer preferences and

choices.
STRATEGIC BUSINESS INSIGHT VALS

Consumers are inspired by one of the three primary motivations:

1. Ideals: Thinkers – Believers

2. Achievement: Achievers – Strivers

3. Self-Expression: Experiencers – Makers

 • Our robot vacuum consumers are motivated by Achievement
dimension.

ACHIEVEMENT DIMENSION

• Strivers: our consumer favor new stylish product and are willing to
buy this product with great material wealth which is shown in a
robotic vacuum stylish new machine with valuable material
 4. BEHAVIORAL SEGMENTATION

• Behavioral segmentation divides buyers into groups based on their

knowledge, attitudes, uses or responses to a product. Also marketers
believe that behavioral variables are the best starting point for
building market segments.

BEHAVIORAL SEGMENTATION TYPES

1. Occasion /Timing:

The behavior of buying will be high rate in occasions which will include
special promotions like (Mother day on 21 March, Black Friday ,
Charismas ,and Summer sale season).

2. Benefit Sought :

Product are mainly for women who understand that time is priceless
and they searching for high quality product , and want to save time
,effort and money also they are familiar with the smart technology.
 Vacuum robot will save money as it will be used instead of hiring strange
person to help in the cleaning process.

3. Purchasing Behavioral:

Customer who usually use online internet as purchasing method and they
are financial secured and decision makers will easily find it on online
markets like

(Ecovacs web page, Ecovacs Mobile application , Amazon, Souq , Jumia,

ebay … etc ) or can buy from the electronic outlets/retails.

4. Usage based :

• Heavey usage will be through electronic retails/outlets like ( B-tech,

istore , Salsapil , …) which will carry on the buying process to
costumers.

• Light and Medium usage will be through online internet for individual
customers.

5- Loyalty:

We will segment customers grouped according to the strength of brand

loyalty as who is active and loyal to the brand and we will offer special
programs and discounts for them if they want to buy more pieces of for
the spare parts.

6- User Status:

• We will target Potential users, First-time users, Regular users with

different aspects and programs which will be suitable for them.
Market Targeting

Targeting is about evaluating the segment we have shown before and

selecting the appropriate segments as the target market

Effective segmentation criteria

We decided that we are targeting individuals in the first place specially

working women who aren’t having so much time for house caring and
also housewives to make their life more luxury, according to statistics
women form15 to 64 years old number in Egypt population is 29,839,128
Million, then we focusing in second place on single men or divorced. Men
from 15 to 64 years old are 30,821,562 Million, with less weight in
targeting we target elder people who are having age trouble in moving a
lot. That’s for individuals but we are also targeting hotels and hospitals.

Those types of people will be our target but with the one who’s their
minimum monthly income is 5,000 EGP that they can afford our product
price with their usual lifestyle of living.

Those segments are easy to find we could find them in hyper markets,
clubs, malls, on social media

We could meet each segment differentiate in marketing mix in our

product from the price, shape, luxury, technology

So, we are rating market segment on the five criteria: -

1) Measurable
2) Sustainable
3) Accessible
4) Differentiable
5) Actionable
Michael Porter's five forces Model:

•ECOVACS ROBOTICS company care about innovating solutions to

enhance your lifestyle. Based on deep understanding of use cases
and consumer experiences, we design robots that help you to
“LIVE SMART, ENJOY LIFE”.
•With over 20 years of design and industry-leading research, we
have led the market as homes become more intelligent and
responsive. We are building a world where your home asks less of
your attention, becomes more seamless and powerful, and frees
you to spend more time doing what you love.

Bargaining power of suppliers:

TEK electrical company has very strong bargaining power on

suppliers as there are many suppliers in the market. In Common,
supply risk has been mitigated by the company by holding 345
trademarks and over 1000 patents in China .ECOVCS Egypt can
obtains its product from Mother Company in China as there are
many suppliers in China.

Bargaining power of Customers:

Although the company's market is vast and has huge customer's

segmentations but Consumers have high bargaining power
because substitutes are available.
Buying power is low when consumers purchase products in small
amounts and the seller's product are very different from any of its
competitors.

Substitute products:

ECOVACS Robotics has variable substitute products AS:

But still TEK electrical company Have well-known brand and they
are leading the market as they had more than 60% of the Chinese
market for robots

Potential entrants:

High barriers for potential entrants, the industry have High

operating leverage which is a big advantage for the company. Rest
assured that the leading technological companies in Egypt who
has like LG Electronics, Samsung and El Araby group which has the
ability to try to compete with the new product so they can keep
up with the market

Competition:
The key players in the household vacuum cleaners market focus
on expanding their business operations in the fast-growing
emerging countries with new product launch as their preferred
strategy.

The major players profiled in this report include AB Electrolux,

Haier Group Corp., LG Electronics, Inc., Miele & Cie. KG, Samsung
Electronics Co., Ltd., Dyson Ltd., Bissell Inc., iRobot Corporation,
Panasonic Corporation, and Koninklijke Philips N.V.
The company faces low competition in the Egyptian market as it
will be the first and the only player in the Egyptian.

Marketing intermediaries:

The company will use the marketing intermediaries and may sell
its products directly to the final customer, as is the case with most
industrial capital goods. Or it may use one or more intermediaries
to move their goods to the final user.
Will use direct sales through the company itself and will use the
leading and big hyper markets as retailers such as Hyper One,
Carrefour and
Fathallah market for more distribution and to cover a wide range
geographically.

Publics:

Is the group of people that influence the business activities of a

company or people who have real or potential interest in the
company? This public is responsible for building your company’s
image amongst the customers or the industry.
a. Financial Publics: These are the people that affect a company’s
funding. Banks, investors, brokerage firms, stock holders etc. This
type of publics affects a company’s ability to take loans, favorable
payment terms etc. They also determine how the customers or
other publics perceive a business.
b. Media publics: This type of publics generally use newsletters,
articles, blogs, magazines, radio announcements etc. to make a
perception about a business in the minds of the stakeholders.
Having good media relations can always help a company hide its
faults and highlight its strengths. But if the media relations are not
good, it might lead to heavy losses.
c. Government publics: The Government rules and regulations
need to be followed while operating a business. Any change in the
rules should be noted and corresponding alterations should be
done in the business procedures. A business should always be
updated about the Government policies and may consult a
Government official or advocates etc. for doing so.
d. Internal publics: A company’s employees, managers,
distributors, suppliers, volunteers, stakeholders, Board of
Directors etc. are very important assets of a company. If the
internal public is happy and content, then only they will try to
increase the goodwill of the company, in the outside world.

Suppliers

ECOVCS Egypt will obtain its product from Mother Company in

China as there are many suppliers in China. And will be a line of
assembly for the product and finished and then sold to the
Egyptian market

Evaluating and selecting market segment

Product Specialization: the company Manufactured only one
product and serving many segments, the main benefit is that the
company could built a strong reputation in the specific product
area.
That’s what we will go for as we are not only targeting individuals,
we target working women, house wives, single men, divorced men
and elder people

Single Segment Concentration: The company selects only a single

segment as target market and offers a single product. Here,
product is one; segment is one (N.A)

Full Market Coverage: a company attempts to serve all the

customer groups with all the products they need. Here, all the
needs of all the segments are served. Only very large firm with
overall capacity can undertake a full market coverage strategy
(N.A)

Selective Specialization: the company selects a number of

segments. A company selects several segments and sells different
products to each of the segments. Here, company selects many
segments to serve them with many products (N.A)

Market Specialization: Here, products are many but the segment

is one. The firm can gain a strong reputation by specializing in
serving the specific segment (N.A)

Market positioning
 Positioning is a process of marketing a product to create an image
about the product and company in the consumers mind about it,
we could use positioning in our advantage to show where the
product is and what are we looking to accomplish.

Determining competitive frame of references

Analyzing competitors is very important to know what each

competitor are looking for and what drives each competitor
behavior

company &
target customers Benefits Price Value Proposition
product
El-Araby families with big 1700
efficenty High quality to meet our client trust
(Toshiba) numbers -2600
1150 Take part in creating products that enhance
Fresh low budget families afordable
-1800 lives around the globe 
small familiy 2 years 1100 We Care for our Environment, we care on
Unionaire
members or singels gurantee -1750 you
black& High budget 1800
classy look class is for you, development is for us
Decker families -2900
Value proposition of Competitors

Identify & Analyze competitors

company & selling
customer Awraness product avilabilty Technical assistance
product stuff
El-Araby (Toshiba) B A B A

Fresh C B B B

Unionaire C C B B
black& Decker A C D C
A= Excellent , B= Very Good , C= Good , D= Poor
Identifying Optimal POD
Points of difference are the criteria that consumer would admire it
in our product and not existent in other products

On this point particularly, we are depending on to enter the

market our vacuum has the ability to fly no moving on the floor
with wheels and has camera which can reach places that
consumers couldn’t cover before and have the ability to check on
this spot by the camera

Identifying Optimal POP

Points of Party which shows the main criteria of the product itself
which will be common with the competitors as it define the
product itself (vacuum, Air condition, T.V,……and so on)

A vacuum cleaner is an electrical appliance which makes the

cleaning process in the house easier. One can clean the dirt and
dust as well keep carpets off water and other kinds of liquid spills
from the floor.

The different parts of the vacuum cleaner are as follows:

Motor: The motor is attached to the fan that forces the belts and
the fan of the device to run properly.

Brush-roller: Brush rollers are found with electric power nozzles

which helps to deep clean the rugs and carpets.

Attachments: The attachments include the crevice tool, dusting

brush and upholstery tool.
Headlight: The headlight basically serves the purpose of providing
a clear path to clean the dust and dirt easily.

Belt: This crucial device helps in keeping the vacuum cleaner brush
roll in motion.

Filters: There are 2 types of filters in the vacuum cleaner, one is

which ensures that only clean air is vacuumed out and the other
prevents the dust and debris from

Brand Mantra

ECOVCS Robotic Vacuum Cleaner: efficient worth it assistant

Positioning Statement for ECOVCS Robotic Vacuum Cleaner

For the interested human who need a new technological robotic

Vacuum that provides the ability of flying reaching all the spots
with camera un like Black& Decker the ECOVCS Robotic Vacuum
Cleaner is years ahead in technology and leading to the future.

References

1- https://blog.alexa.com/targeting-in-marketing/
2- https://www.smartinsights.com/digital-marketing-
strategy/customer-segmentation-targeting/segmentation-
targeting-and-positioning/
3- https://marketing-insider.eu/marketing-explained/part-i-
defining-marketing-and-the-marketing-process/market-
targeting/
4- https://www.marketingtutor.net/market-targeting/
5- https://www.cnet.com/topics/vacuum-cleaners/buying-guide/
6- https://www.tutor2u.net/business/reference/market-
positioning
7- https://corporatefinanceinstitute.com/resources/knowledge/st
rategy/market-positioning/
8- https://strategiccfo.com/market-positioning/