Segmentation, Targeting Positioning - BMSbms.lk/download/GDM_Tutorials/batch-37/Marketing Management/week 3... · Resource Person MATHISHA HEWAVITHARANA MBA (Col),BBA Sp.Mktng (Col),

Segmentation, Targeting&

Positioning

ResourcePerson

MATHISHA HEWAVITHARANA

MBA (Col),BBA Sp.Mktng (Col), PPG DIP.In Mktng (UK), MCIM (UK), Chartered

Marketer (UK), Practicing Marketer (SL),ACMA, CGMA CIMA (UK), DBF (IBSL),

AIB (IBSL), MSLIM(SL),

Head of Marketing - Siyapatha FinancePLC

Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation fromthe United States edition of Marketing Management, 14e.

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Chapter Contents

Segmentation & Segmentation Variables

Targeting Strategy

Positioning Strategy


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Chapter Contents


Targeting Strategy



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What is Segmentation ?


A market segment consists of a group of customers whoshare a similar set of needs and wants. Segmentation is….


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Segmenting Consumer Markets

Geographic

Demographic

Psychographic

Behavioral


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Segmentation variables in ConsumerMarkets


Refer : Page 190 - 191 ( Marketing Management 14th edition)

o Geographic Segmentation

Geographic segmentation divides the market intogeographical units such as nations, states, regions,

counties, cities, or neighbourhoods.


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o Demographic Segmentation

Demographic segmentation divides the market based on anumber of demographical factors.


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Demographic Segmentation

Age and life cycle

Life stage

Gender

Income

Generation

Social class

Race and Culture


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o Psychographic Segmentation

Psychographic segmentation divides the market based onpsychological factors such as Personality, Lifestyle or

Values & people with in the same demographic group canexhibit different psychographic profiles.


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o Behavioral Segmentation

In behavioral segmentation, marketers divide buyers intogroups on the basis of their knowledge of, attitude toward,use of, or response to a product. Following three aspects

are used in assessing behavioral segmentation.

Needs and Benefits

Decision Roles – Initiator / Influencer / Decider / Buyer / User

User and Usage – Occasions / user status / User rate / User readiness


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Loyalty Status

Hard-core loyals

Split loyals

Shifting loyals

Switchers


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Behavioral Segmentation Breakdown

Refer : Page 201( Marketing Management 14th edition)


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Segmenting for Business Markets

Demographic (Industry / Company size / Location)

Operating variable (Technology / Capacity)

Purchasing approaches (Purchasing Policies / Criteria)

Situational factors (Urgency / Size of order)

Personal characteristics (Risk Appetite / Loyalty)

Refer : Page 202 ( Marketing Management 14th edition)


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Steps in Segmentation Process

Need-based segmentation

Segment identification

Segment attractiveness

Segment profitability

Segment positioning

Segment acid test

Market mix strategy


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Effective Segmentation Criteria

Measurable

Substantial

Accessible

Differentiable

Actionable


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Chapter Contents


Targeting Strategy



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What is Targeting ?

Targeting is ……


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Targeting


Targeting includes following;

Ranking the market segments according to the marketpotential

Selecting the target segments accordingly

Targeting decision will be basically taken after considering thefollowing two dimensions.

Market attractiveness – profitability, market growth rate, entrycosts, economies of scale, price competition etc.

Business strength – relative market share, company image,learning curve effect, product quality, R&D, financial strength,patent rights etc.


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Targeting Strategies


Undifferentiated Targeting

(One product to the Entire market)

Concentrated Targeting

(One product to One segment)

Differentiated Targeting

(Different products to Different segments)


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Chapter Contents


Targeting Strategy



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What is Positioning ?

Positioning is ……


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Positioning process

o Identifying Competitors

o Analyzing Competitors

o Defining POP & POD

Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation fromthe United States edition of Marketing Management, 14e.Refer : Page 241 - 244 ( Marketing Management 14th edition)


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Defining Associations

Points-of-differenceAttributes or benefitsconsumers stronglyassociate with abrand, positivelyevaluate, and believethey could not find tothe same extent with acompetitive brand

Points-of-parityAssociations that arenot necessarily uniqueto the brand but maybe shared with otherbrands


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Re-positioning

Re-positioning is ……


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Positioning MapsHigh service quality

Bank A

Bank E

Diverse product Bank C Limited number of

Offers offers

Bank B Bank D

Poor service quality


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Chapter Contents


Targeting Strategy


Thank You !

0773 – 29 20 [email protected]

Documents

Segmentation, Targeting Positioning - BMSbms.lk/download/GDM_Tutorials/batch-37/Marketing Management/week 3... · Resource Person MATHISHA HEWAVITHARANA MBA (Col),BBA Sp.Mktng (Col),