Lecture 3

Question 1

Explain the steps in STP

Answer 1

Segmentation- divide market into distinct groups of customers with segmentation practices.
Targeting- determine which customer groups to focus on.
Positioning- create product positioning and marketing mix that is most likely to appeal to the selected audience.

Question 2

How do you determine the consumer of your product? (4)

Answer 2

• Cultural
• Social
• Personal
• Psychological

Question 3

Market segmentation (5)

Answer 3

to be useful, market segments must adhere to the following requirements:
1. Measurable
2. Accessible
3. Substantial
4. Differentiable
5. Actionable

Question 4

Geographic segmentation

Answer 4

Geographic segmentation- divides the market into groups such as nations, regions, states, counties, or cities. The most simple-> Country borders.

Question 5

Psychographic segmentation

Answer 5

Psychographic Segmentation- divides buyers into groups based on social class, lifestyle, or personality traits.

Question 6

Demographic segmentation

Answer 6

Demographic segmentation- divides the market into groups based on variables such as age, gender, family size, family life cycle, income, occupation, education, religion, race, generation, and nationality.