5-7 Flashcards
What are the keys to finding new opportunities in the marketplace?
Segmentation, targeting, and positioning.
Who was a key figure in GM’s market segmentation strategy?
Alfred P. Sloan.
What was Sloan’s market segmentation plan?
To provide a car for every purse and purpose.
What is geographic segmentation?
Dividing the market based on differences in geographic regions, population density, population size, or climate.
What is demographic segmentation?
Dividing the market based on differences in age, gender, income, level of education, social class, family composition, religion, or ethnicity.
What is psychographic segmentation?
Dividing the market based on differences in personality, motives, or lifestyle.
What is behavioral segmentation?
Segmentation based on differences in the core benefits customers seek, usage situations, and brand loyalty.
Who are brand-loyal shoppers?
Individuals with high brand sensitivity and low price sensitivity, willing to pay for their favorite brands.
Products like toothpaste, cigarettes, coffee, and soda have a high percentage of brand-loyal shoppers.
Who are deal shoppers?
Individuals with high brand sensitivity and high price sensitivity, purchasing leading brands only when on promotion.
Products like diapers, hand and body soap, and pet food have a high percentage of deal shoppers.
What are price channers?
Individuals with low brand sensitivity and high price sensitivity.
