【市场营销英文版】08Market Segmentation and Targeting1课件.pptx

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1、Market Segmentation and TargetingMarket SegmentationMarkets can be huge and diverse entities made up of individuals.Since individual wants and needs tend to differ,trying to mass market to a whole market often is inefficient.Costing too much time and money,and hurting profit potential.Therefore,a co

2、mpany should focus or target specific groups or segments of individuals to enhance profit opportunities.Market SegmentationSome will argue that mass marketing is better,because lower overall production costs are achieved.Lower expenses then leads to higher profits.However,unless almost everyone is b

3、uying your product/service,the lower expenses will not necessary mean higher profits.Market SegmentationAs a marketer,defining and identifying groups of individuals who will pay for your product or service is an important task.Think of this task as trying to take advantage of the cost savings of mas

4、s marketing,but on a smaller scale.Or,conducting mass marketing to groups instead of the market as a whole.Market SegmentationDefinition:A market segments are groups of high-potential prospective customers with common characteristics and needs that distinguish them from other high-potential market s

5、egments.Market SegmentationTypes of Segmentation:Segment(general):focuses on customers who share a similar set of wants.Niche:focuses on customers who seek a distinct set of benefits(often called sub-segmentation).Local:focuses on the wants of customers in a specific location.Customerization:focuses

6、 on customizing the product or service to fit the customers specific wants(the ultimate in segmentation).Market SegmentationBases for Segmenting Customer Markets:GeographicDemographicPsychographicBehavioralMarket SegmentationGeographic Segmentation:This basis for segmentation calls for dividing the

7、market into different geographic units(i.e.provinces,counties,cities,towns,neighborhoods,etc.).Market SegmentationDemographic Segmentation:This basis of segmentation calls for dividing the markets into groups based on age and/or other variables.Demographic segmentation is popular,because the variabl

8、es are easier to measre.Market SegmentationSome of the variables considered in Demographic Segmentation:Age and life-cycle stageLife stageGenderIncomeSocial classGenerationEthnicityMarket SegmentationPsychographic Segmentation:This basis of segmentation groups potential customers according to psycho

9、logical/personality traits,lifestyles,or values.Market SegmentationBehavioral Segmentation:This basis of segmentation divides customers into groups according to their knowledge of,attitude toward,use of,or response to a product or service.Market SegmentationVariables considered in Behavioral Segment

10、ation:Occasions(need/use)BenefitsUser StatusUsage RateBuyer-readiness stageLoyalty statusAttitudeMarket SegmentationIn the end,there are many different ways to segment a market.How you segment the market is your decision!Always keep your product or service in mind when you segment,or else your segme

11、ntation activities will be a waste of time and money.Market TargetingAfter you have identified the possible market segments and opportunities,which segments and how many segments to target or focus on is your next step.Market TargetingEffective Segmentation Criteria:To be useful in your marketing ef

12、forts,market segments must rate favorably on five key criteria.The segments must be:MeasurableSubstantialAccessibleDifferentiableActionableMarket TargetingWhen evaluating different market segments,two factors must be considered:The segments overall attractivenessThe companys objectives and resources

13、Market TargetingTypes of Targeting Decisions:Single-segment concentrationSelective specializationProduct specializationMarket specializationFull market coverageMarket TargetingSingle-segment concentration targeting:This choice involves concentrated marketing.The company gains a thorough understandin

14、g of the chosen segments needs and achieves a strong market presence(i.e.most luxury goods).Market TargetingSelective specialization targeting:A number of segments are selected,each objectively attractive and appropriate.Little or no synergy may exist among the segments,but each segment promises to

15、make money for the company(i.e.car manufacturers).Market TargetingProduct specialization targeting:Under this arrangement,the company specializes in making a certain product for several segments.The product might be further specialized for each segment(i.e.Texas Instrument calculators).The risk is t

16、echnological change might end the need for the product.Market TargetingMarket specialization targeting:Focus is on serving the needs of a particular customer group(i.e.defense contractors).The risks are budget cuts and group shrinkage.Market TargetingFull market coverage targeting:A attempt is made

17、to serve all customer groups with all the products they might need.Only a few large companies can employ this targeting method effectively,but sometime even they fail.Market TargetingFull market coverage targeting:Undifferentiated versus differentiated marketingUndifferentiated:ignores segment diffe

18、rences and offers only one productDifferentiated:operates in several segment and offers different products for eachSales tend to be higher for differentiated marketing,but so are costs.Market TargetingAdditional considerations:Segment-by-segment invasions:entering one segment at a time and avoiding

19、letting rivals know which segment is next,good planning required.Updating segmentation arrangements:segmentation analysis needs to be on a regular basis.Ethical choice of target markets:sometimes a choice can cause controversy,consumers can be concerned if vulnerable groups are taken advantage of or

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