Identifying market segment
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The document discusses market segmentation and target selection. It defines different levels of segmentation from mass to niche marketing. Key criteria for segmenting consumers include geographic, demographic, psychographic, and behavioral factors. When selecting target markets, segments should be measurable, substantial, accessible, differentiable, and actionable. Companies can employ strategies like single segment concentration, selective specialization, market specialization, or full market coverage. Effective segmentation involves clustering heterogeneous customers into homogeneous subgroups and developing segment-to-segment plans tailored for specific products.
Identifying market segment
- 1. Chapter 8Identifying Market Segments and Selecting Target MarketsMay 8, 2010Martin Anthony A. Villa, MD“V10- The Power Engine”Ateneo MBA-H Batch 8<www.myvaricosevein.com>
- 3. The Clients…
- 4. Levels of Market SegmentSegmenting ConsumersCONCEPTSEffective Segmentation CriteriaPatterns of Market Target SelectionSegment to segment plan
- 5. Levels of Market SegmentationMass marketingSegment marketingNiche marketingLocal marketingIndividual marketing
- 6. MASS MARKETINGMass production, mass distribution, and mass promotion of one product for all buyers.Levels of Market Segmentation
- 7. MASS MARKETINGMass production, mass distribution, and mass promotion of one product for all buyers.Levels of Market Segmentation
- 8. SEGMENT MARKETINGMarket segment: a group of customers who share a similar set of needs & wants.The marketer’s task: identify (NOT create) the segments and decide which one(s) to target.Levels of Market Segmentation
- 9. LOCAL MARKETINGThe marketing programs are tailored to the needs and wants of local customer groups.Grass root marketing for trading areas, neighborhood and individual storesLevels of Market Segmentation
- 10. NICHE MARKETINGA more narrowly defined group seeking a distinctive mix of benefits.Determine the attractiveness of a nicheDistinctness of needPremiumCompetitorsSpecializationSize, profit and growth potentialThe globalization and internet facilitates have made niche more feasibleLevels of Market Segmentation
- 11. INDIVIDUAL MARKETINGThe ultimate level of segmentationCustomerizationOne on oneLevels of Market Segmentation
- 12. INDIVIDUAL MARKETINGThe ultimate level of segmentationCustomerizationOne on oneLevels of Market Segmentation
- 13. Segmenting Consumer MarketsGeographic segmentation
- 14. Geographic segmentationDemographic segmentationAge and life cycle stage, life stage, generation GenderIncome, social class, occupationSegmenting Consumer Markets
- 15. Geographic segmentationDemographic segmentationPsychographic segmentationSegmenting Consumer Markets
- 16. Geographic segmentationDemographic segmentationPsychographic segmentationBehavioral segmentationSegmenting Consumer Markets
- 17. MARKET TARGETING5 key criteria for a useful market segmentMeasurableThe size, purchasing power and characteristics of the segments can be measured.
- 18. MARKET TARGETING5 key criteria for a useful market segmentMeasurableSubstantialThe segment are large and profitable enough to serve. The objective is to have the largest homogenous group.
- 19. MARKET TARGETING5 key criteria for a useful market segmentMeasurableSubstantialAccessibleThe segment must be effectively reached and served.
- 20. MARKET TARGETING5 key criteria for a useful market segmentMeasurableSubstantialAccessibleDifferentiableSegment are conceptually distinguishable and respond differently. If not they should not be segmented.
- 21. MARKET TARGETING5 key criteria for a useful market segmentMeasurableSubstantialAccessibleDifferentiableActionableEffective program can be formulated to attract and serve the segment.
- 22. Patterns of Target Market SelectionSingle Segment ConcentrationM1M2M3MARKETP1PRODUCTP2P3
- 23. Patterns of Target Market SelectionSelective specializationM1M2M3MARKETP1PRODUCTP2P3
- 24. Patterns of Target Market SelectionProduct SpecializationM1M2M3MARKETP1PRODUCTP2P3
- 25. Patterns of Target Market SelectionMarket SpecializationM1M2M3MARKETP1PRODUCTP2P3
- 26. Patterns of Target Market SelectionFull Market CoverageM1M2M3MARKETP1PRODUCTP2P3
- 27. Patterns of Target Market SelectionMarketing must develop segment to segment invasion plans and choose target market in a socially responsible manner at all times.M1M2M3MARKETP1PRODUCTP2P3
- 28. Patterns of Target Market SelectionMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 29. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 30. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 31. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 32. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 33. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 34. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 35. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 36. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 37. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 38. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 39. Segment to Segment PlanMiddle age Female ElderlyFemale YoungTeen FemaleMARKETMammographyPap smearHPV VaccinePRODUCT
- 40. CONCLUSION:… the customers is a very heterogenous crowd. … there is a need to re cluster them into smaller homogenous group …this is a focus target group in marketing strategic planning for particular product.
- 41. Chapter 8Identifying Market Segments and Selecting Target MarketsMay 8, 2010Martin Anthony A. Villa, MD“V10- The Power Engine”Ateneo MBA-H Batch 8<www.myvaricosevein.com>
- 42. Target Marketing3 activities:Market SegmentationMarket Targeting Market Positioning
- 43. Steps in Segmentation ProcessNeed based segmentationSimilar needs and benefitsSegment identificationIn relation to demographics, lifestyle and behaviorSegment attractivenessSegment profitabilitySegment positioningSegment acid testMarket mix strategy