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How do Companies
identify their Target
Consumer?
S-T-P
Market Segmentation
Market Targeting
3. Develop measure of
segment attractiveness
4. Select target segments
Market positioning
Sheet
Geographic Segmentation
World Region or Country
Density or Climate
Demographic Segmentation
Dividing the market into groups
based on variables such as:
Age
Gender
Family size or life cycle
Income
Occupation
Education
Religion
Race
Generation
Nationality
Psychographic Segmentation
Divides Buyers Into Different Groups Based on:
Behavioral Segmentation
Dividing the market into
groups based on variables
such as:
Occasions
Benefits
User status
Usage rate
Loyalty status
Readiness stage
Attitude toward product
Accessible
Substantial
Differential
Actionable
enough to serve.
Pepsi Co.
Lipton
Hyundai
Bibliotheca Alexandrina
Renaissance Movie Theater
Discussion Connections
Can you identify specific companies, other
than the examples already discussed, that
practice each level of segmentation?
Using the segmentation bases, segment
the footwear market.
Describe each of the major segments and sub
segments.
Market Targeting
Evaluating each segments attractiveness
and selecting one or more segments to
enter.
Discussion Connection
At the last Discussion Connection, you segmented
the U.S. footwear market.
Now, pick two companies that serve this market and
describe their segmentation and targeting strategies.
Can you come up with one that targets many different
segments versus another that focuses on only one or a
few segments?
Market Positioning
Arranging for a product to occupy a clear,
distinctive, and desirable place relative to
competing products in the minds of target
consumers.
EXAMPLE: Chevy Blazer is like a rock.