STP.pptx
- 2. SEGMENTATION Market segmentation is the process of dividing a target market into smaller, more defined categories. It segments customers and audiences into groups that share similar characteristics such as demographics, interests, needs, or location. Population
- 4. BASIS OF SEGMENTATION Segmentation Behavioural Occasions, benefits sought, user status, etc. 01 GEOGRAPHIC 02 Region, state, district, urban/rural,etc. 04 Benefit 05 Psychographic Values, system, belief, interest, attitude, etc. 03 DEMOGRAPHICS Age, gender, status, culture, etc.
- 6. Examples of Demographic Segmentation
- 9. EXAMPLE
- 10. ADVANTAGES 1. Helps distinguish one customer group from another within a given market. 2. Facilitates proper choice of target market. 3. Facilitates effective tapping of the market. 4. Helps divide the markets and conquer them. 5. Helps crystallize the needs of the target buyers. 6. Makes the marketing effort more efficient and economic.
- 11. EFFECTIVE MARKET SEGMENTATION 1. Measurability (In terms of size and purchasing power) 2. Accessibility (Reached and served through suitable means of distribution of promotion) 3. Substantiality (Large and profitable) 4. Differentiability (Clearly distinguishable) 5. Action ability (To be effective makers of segmentation should be compatible with the manpower, financial and managerial resources)
- 12. MARKET TARGETING
- 13. MARKET TARGETING Targeting is a strategy that breaks a large market into smaller segments to concentrate on a specific group of customers within that audience. Instead to trying to reach an entire market, a brand uses target marketing to put their energy into connecting within a specific, defined group within that market.
- 14. TARGETING STRATEGIES Undifferentiated Strategy Concentrated Strategy Differentiated Strategy Micro – marketing Strategy Mass Marketing Niche Marketing Segmented Marketing Individual Marketing Entire Market Target Market Segment 1, Segment 2 Individual
- 15. Mckinsey Matrix
- 17. POSITIONING MARKETING Positioning refers to the place that a brand occupies in the minds of the customers and how it is distinguished from the products of the competitors and different from the concept of brand awareness.
- 18. WHY POSITIONING? 1. To create a distinct place of product & service or corporate in the minds of customer. 2. To provide a competitive edge to a product or an attempt to convey attractiveness of the product to the target market. 3. To give the target market reason of buying our product/service and then formulation of all strategies according to the customer perception.
- 19. STRATEGIES OF POSITIONING 1. UNIQUE SELLING PROPOSITION 2. DUAL BENEFIT POSITIONING • Product features • Services attributes • Channel attributes • Pricing attributes • Product Benefits • Other attributes
- 20. THE FINAL STEPS OF FRAMEWORK • Symbolic positioning • Functional positioning • Experiential positioning
- 21. STP EXAMPLE
- 22. Coca Cola Vs Pepsi 1. Consumers with a positive attitude to the Coke brand and 100% loyal to Coke 2. Consumers with a positive attitude to the Pepsi brand and 100% loyal to Coke 1.3.Consumers with a positive attitude to both Coke and Pepsi, with loyalty to both brands, but switching their purchases between these two brands from time to time POSITIONING - “Choice of new generation” SEGMENTATION - Attitude and Loyalty segmentation approach
- 23. 350$ Million per annum COKE $200 Million PEPSI $150 Million Combined Budget
- 24. Change in Target Market selection of Pepsi - TARGET MARKET • Loyal Coke drinkers • Youth POSITIONING • Reason that Coca-Cola replaced their Classic Coca-Cola with new Coke