Generalities / summary Flashcards
Segmentation-targeting-positioning process
SEGMENTATION
step 1: strategy or objectives
step : Segmentation base
TARGETING
step 3: evaluate segmenting attractiveness
Step 4: Select target market
POSITIONING
step 5: Identify and develop positioning strategy
step 1: strategy or objectives
Seg. strategy. must be consistent with firm’s mission and objectives.
Aligned current situation
Step2: segmentation Base
Description of target market segments (needs, wants and charact)
Help understand the profile of each segment
Distinguish similarities within a segment and dissimilarities across segment
Segmentation bases
Geographic ( countries, urban…)
Demographic (age, gender, race, education, income..)
life style( Innovators, thinkers,achievers, experiences, believer, strivers, makers, survivors)
behavioural (benefits sought, usage, loyalty)
demographic segmentation
who they are
(age, gender, race, education, income..)
Generation cohorts
Sometimes geographic segmentation is not good for a company.
Psychographic segmentation
How consumers describe themselves - how they live
Self values -life goals (self respect-self fulfillment-sense of belonging)
self concept (image people have for themselves)
Lyfe styles (way we live to achieve goals)
VALS Upper segments ( innovators, thinkers,achievers, experiences) -more innovators Lower segments (believer, strivers, makers, survivors)
Primary motivations ( ideal, achievement and self expression)
Behavioural segmentation
Why they buy, how often, how they plan to use product or service
Occasion segmentation
when a product is consumed
Benefits segmentation
benefits a product is purchasing
Loyal segmentation
investment and retaining loyal customers.
Most profitable in the long term
Usage rate( heavy users, regular uses, occasional users)
Geodemographic segmentation
Combination of geographic, demographic and lifestyle characteristics
An example is a neighborhood
