WEEK 5 Flashcards
groups, or segments that
have common needs and respond similarly to a marketing action.
Market Segmentation
Three (3) Criteria to Identify Market Segments:
- Homogeneity
- Distinction
- Reaction
common needs within a segment
Homogeneity
being unique from other groups
Distinction
similar response to the market.
Reaction
Markets can be segmented in a number of ways:
Geographic (region or area)
Demographic (age, gender, family size, income or life
cycle)
Psychographic (social class, life style or personality)
Behaviorally (benefit, uses or response)
Is a market strategy in which a firm decides to ignore market segment differences and appeal the whole market with one offer or one strategy,
Mass Marketing (Shotgun Marketing)
is more like a high-precision rifle that accurately hits a specific target.
Market Segmentation
TYPES OF MARKET SEGMENTATION:
- Demographic Segmentation
- Behavioral Segmentation
- Psychographic Segmentation
- Geographic Segmentation
DEMOGRAPHIC SEGMENTATION:
1.1 Age and Life-Cycle Segmentation
1. 2 Gender Segmentation
1.3 Income Segmentation
1.4 Generation Segmentation
1.5 Social Class Segmentation
BEHAVIORAL SEGMENTATION:
2.1 Occasions
2.2 Benefit Segmentation
2.3 User Status
2.4 Usage Rate
2.5 Buyer-Readiness stage
2.6 Loyalty Status
2.7 Attitude
Two (2) Approaches to Segmenting Markets:
- Breakdown Method
- Build-up Method
the set of marketing tools that the
firm uses to pursue its marketing objectives in the target.
Marketing Mix
divide the total market into manageable groups
Segmentation
identify which groups offer the best chance of success
Targeting
