GROUP NUMBER 5

Manan Gupta 21
Megha Dhamal 22
Mohan Shinde 23
Mohit Navgaje 24
Mrunalini Sawarkar 25
• Segmentation, Targeting and Positioning(STP) is a strategic approach in modern marketing.

• STP marketing model makes the process of marketing easy.

• The main goal of STP Marketing is not only to attract the customer but also getting the right customer who
will be interested in our product.
 STP PROCESS
• The STP process demonstrates a link between an overall market and how a company chooses to
compete in that market.

• Segmentation is conducted first, followed by the selection of one or more target markets and then
finally the implementation of positioning.

• The goal of the STP process is to guide the organization to the development and implementation of
an appropriate marketing mix.
STEPS IN STP PROCESS
 WHAT IS SEGMENTATION?

• Segmentation means to divide the marketplace into parts, or segments,

which are definable, accessible, actionable, and profitable and have a
growth potential.

• Segmentation takes on great significance in today's cluttered marketplace.

Rightly segmenting the market place can make the difference between
successes and shut down for a company.

• Segmentation allows a seller to closely tailor his product to the needs,

desires, uses and paying ability of customers.
 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.
Countries

Climate/ Cities
Weather

Geographic
Segmentation

Urban/ Villages
Rural
 PSYCHOGRAPHIC SEGMENTATION
Psychographic segmentation is the process of creating clusters of customers who share similar

characteristics and then grouping them together.

Psychographic segmentation along social class is great, but don’t be afraid of change. Being flexible in

this industry is important, especially because a psychographic variable like class is constantly in flux.

Lifestyle Opinions Interest Activities

Social Status
 DEMOGRAPHIC SEGMENTATION
Demographic segmentation divides the market into smaller categories based on demographic factors, such
as age, gender, and income.
Dividing the market into smaller segments, each with a common variable, allows companies to use their
time and resources more efficiently. 
Reaching your customers on a more human level with demographic-based personalized marketing creates
deeper customer loyalty.

Age

Gender
Education

Demographic
Segmentation

Income
Religion

Family Life
Cycle
 BEHAVIOURAL SEGMENTATION
Behavioral segmentation divides consumers according to behavior patterns as they interact with a company. As
the name suggests, this category of segmentation studies the behavioral traits of consumers — their knowledge
of, attitude towards, use of, likes/dislikes of, or response to a product, service, promotion, or brand.

Occasion

Usage
Frequency

Benefits Needs Brand Loyalty

 WHAT IS TARGETING?
Targeting is defined as grouping of people for which an organization designs, implements and maintains
the marketing mix.

WHAT IS A TARGET MARKET?

 A target market refers to a group of customers to whom a company wants to sell its
products and services, and to whom it directs its marketing efforts.

 Consumers who make up a target market share similar characteristics including

geography, buying power, demographics, and incomes.

 Identifying the target market is important for any company in the development of a
marketing plan.

 Not knowing who the target market is could cost a lot of money and time for a
company.
 WHAT IS UNDIFFERENTIATED MARKETING?
Undifferentiated Marketing is basically a marketing strategy where marketers use the
same message for all segments of market. This is similar to mass marketing where
marketers typically create a message that appeals to everyone. So the message is often
general or simple to allow more people to relate.

Advantages: very cost effective, low Disadvantages: ignores segmentation,

marketing complexity, reaches anyone. may lead to disappointing sales, can be
wasteful.
 DIFFERENTIATED MARKETING

• A company decides to target several market segments

and designs separate offers for each.

• By offering product and marketing variations it hopes

for higher sales and a stronger position within each
market segment.

• A company considers differences in customers and

designs offerings for individuals markets.
 CONCENTRATED MARKETING

 Focuses on a single market segment sometimes

marketing one product to one segment .

 More commonly offers one or more product lines to a single market

segment .

 Provides operating economies .

 Limits growth opportunities if the segment size declines .

MICRO MARKETING
Micro marketing means is empower person to person communication with individuals
and small groups important to success for relationship building and fund raising .
 WHAT IS POSITIONING?

It is the act of designing the company’s offering and images to occupy a distinctive place in
the target market mind.
- Positioning is not what you do to the product .
- Positioning is what you do to the mind of the prospect .
- Customer does the positioning .
- A product may have many distinctions which are most important to the customers.
 ATTRIBUTE POSITIONING

A brand can be positioned in terms of a particular attribute or feature, provided that the
attribute represents a competitive advantage and can motivate customers to purchase
that brand rather than a competitive offering.

A company position itself on attribute, such as size or number of years in existence.

Example: LUX
 BENEFIT POSITIONING

• Benefit positioning is generally a stronger basis for positioning because it

answers the consumer question - what will this do for me?

• A well made product would usually offer more than one benefit.
 APPLICATION POSITIONING

• Refers to developing uses or application to expand the product’s

consumption to the consumers or buyers so that they
can achieve customer satisfaction.
• Advertisers use the need hierarchy in positioning their
products .
 USER POSITIONING

The product is positioned in terms of a target user group.

‘LUX SOFT TOUCH’ Target all type group and

not only women but also men .
COMPETITIVE POSITIONING Many firms
position by benefits that provide advantages
over their competitors .

 The product claim to be better in some way

than a named competitor
QUALITY & PRICE POSITIONING

• The price quality approach of positioning uses the relation

between price and quality such that it optimally prices a product according to
the quality of the product to keep the product higher in the customers mind. Lux
soap try to give their product having good quality at cheaper rate.