STP Flashcards
Segmentation: most important insight
Not all customers are the same
Segmentation: mass market strategy
very efficient, not effective
Segmentation: customized strategy
very effective, not efficient
Segmentation: why segment?
- Competition
- Different needs (Aggregation bias)
- Limited resources
Segmentation: criteria for segments
- geographic
- demographic
- purchasing
- situational
- beliefs
- needs
Segmentation: variables are called
descriptors
Segmentation: when (>)
incremental value from customizing> costs of developing separate offerings
Segmentation: criteria for segmentation
- distinctive (different 4Ps)
- operational (identified)
- substantial (profitable)
Segmentation: segments should be
mutually exclusive and collectively exhaustive
Targeting: definition
evaluation and selection of segments
Targeting: “Importance-Performance” model
- Benefits
- Importance
- Performance
- Segment attractiveness
Positioning: definition
designing the company’s offering so that it occupies a meaningful position in the target mind.
Positioning: Perceptual Map
- Identify competing brands
- Identify important attributes for consumers
- Conduct quantitative marketing research where consumers score each brand on key attributes
- Plot brands on a two-dimensional map
Positioning: Statement Structure
To (target audience), our (brand) is (the concept) that provides (what the main/dynamic variable is or does) because (reason). (Brand character).
Positioning: Repositioning
changing target market
changing differential advantage
changing both
