Professional Documents
Culture Documents
SEGMENTATION
Levels of Segmentation
Mass Marketing
Micromarketing
– Segment
– Niche
– Local areas
– Individual
SEGMENTATION
Diffused Preferences
Consumers have scattered preferences i.e. varied
preferences
Clustered Preferences
Consumers have distinct preferences
SEGMENTATION
EFFECTIVE SEGMENTATION
1. Geographic Segmentation
2. Demographic Segmentation
– Age & Life-Cycle Stage
– Gender
– Income
– Generation
– Social Class
SEGMENTATION
3. Psychographic Sementation
– Lifestyle
– Personality
– Values
SEGMENTATION
4. Behavioural Segmentation
– Occasion
– Benefits
– User Status
– Usage Rate
– Loyalty Status
– Attitude
– Buyer-Readiness Stage
SAMPLE SEGMENTATION-
For Cosmetics
DEMOGRAPHICS
PSYCHOGRAPHICS
Lifestyle:
She’s the new age generation, fashion conscious
and takes care of her image. Cosmetics are a feel
good factor for her, which she showcases. She’s
keeps up with the trends and has her hand on
the pulse of the what’s en vogue. She’s a
conformist looking for a unique twist, with a
subtle narcissism about her.
SEGMENTATION- For Cosmetics
BEHAVORIAL
Selective Specialisation
– Firm selects a number of attractive segments.
– There maybe little or no synergy between the
segments.
– Advantage is to diversify the risks.
SELECTIVE SPECIALISATION
MARKET TARGETING
Product Specialisation
– Firm makes a product that sells to different segments.
– The product could have variations for various market
segments
– Builds a strong reputation in the specific area
– Disadvantage is that the product could be replaced by a
different technology.
PRODUCT SPECIALISATION
MARKET TARGETING
Market Specialisation
– Firm focuses on offering products to a single
market segment.
– It gains reputation in serving this customer group
– Addition of different products is possible
MARKET SPECIALISATION
MARKET TARGETING
UNDIFFERENTIAITED MARKETING
Ignore market differences
Designs one product & marketing program
Appealing to broadest number of buyers
Mass production,mass distribution & mass
advertising
Low cost of production, inventory, marketing,
transportation
MARKET TARGETING
DIFFERENTIAITED MARKETING
1. Product Differentiation
Eg. Form, Features, Performance Quality, Conformance Quality,
Durability,Reliability, Repairability, Design
2. Service Differentiation
Eg. Ordering Ease, Delivery, Installation, Customer Training,
Maintenance & Repair
3. Personnel Differentiation
Eg. Courtesy, Credibility,Reliability, Responsiveness
Communication
DIFFERENTIATION
3. Channel Differentiation
4. Image Differentiation:
eg. Symbols, Colors, Slogans & Special Attributes,
Physical Plant, Events & Sponsorships