Principles of Marketing
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1 Principles of Marketing Session 8 Market Segmentation, Targeting and Positioning Text: Chapter 7
2 Outline I. Stages in Market Orientation II. Segmenting Markets III. Market Targeting IV. Positioning
3 I. Stages in Market Orientation Mass Marketing Product-Variety Marketing Target Marketing
4 Steps in Segmentation, Targeting, and Positioning Develop Positioning for Each Segment 4. Select Target Segment(s) 3. Develop Measures of Attractiveness 6. Develop Marketing Mix for Each Segment Market Positioning Market Positioning 2. Develop Profiles of Segments 1. Identify Bases for Segmentation Market Segmentation
5 II. Segmenting Markets Segmenting Consumer Markets Segmenting Business Markets Segmenting International Markets Requirements for Effective Segmentation
6 Bases for Segmenting Consumer Markets Characteristics Demographic Geographic Psychographic Response
7 8-7 Geodemographics 8-7 Characteristics Geographic location: Population by country Popn. by Region Popn. by City size Popn. by SD Popn. by SSD Popn. by LGA Popn. by CD Demographics: Gender Age Income Occupation Marital status Household size Race Religion Education level Socioeconomic status Lifecycle stage Bases for identifying homogenous groups of consumers that are measurable, accessible, substantial and, actionable
8 Bases for Segmenting Business Markets Demographics Operating Variables Purchasing Approaches Situational Factors Personal Characteristics
9 Signode s Segmentation Variables More Profitable Less Profitable Programmed Buyers Relationship Buyers Transaction Buyers Bargain Hunters
10 Segmenting International Markets Factors for Segmenting International Markets Economic Political/Legal Cultural Intermarket Geographic
11 Requirements for Effective Segmentation Actionable Substantial Accessible Measurable
12 Evaluating Market Segments Size and Growth Structural Attractiveness Company Objectives and Resources
13 III. Target Marketing Evaluating Market Segments Selecting Target Markets Market-Coverage Strategy
14 Market Coverage Strategies Company Marketing Mix Mix Market A. Undifferentiated Marketing Company Mix Mix 1 Company Mix Mix 2 Company Mix Mix 3 Company Marketing Mix Mix B. Differentiated Marketing C. Concentrated Marketing Segment 1 Segment 2 Segment 3 Segment 1 Segment 2 Segment 3
15 Choosing A Market-Coverage Strategy Factors Affecting Strategy Decisions Company Resources Product Variability Stage in Life Cycle Market Variability Competitors Strategies
16 IV. Positioning Why do we need to position? 2. Who created the concept, and When? 3. What is Positioning? 4. Position Strategies 5. Steps for Positioning
17 1. Why do we need to position? In the era of information, communication itself is a problem. Why? The society is overcommunicated, e.g U.S Ad consumption, 1980: $ per capita Though $7.72, 2002, China, the lower ad rate. How many messages does each person receive daily? New, effective approach of communication is needed.
18 2. Who & When? Al Ries & Jack Trout First presented in 1969; Published 1. Positioning, 1981; 2. Marketing Warfare, 1986; 3. Bottom-Up Marketing, 1989; Partially updated Positioning, 2001 Jack Trout & Steve Rivkin, Published The New Positioning, 1996
19 3. What is Positioning? Positioning starts with a product/service, a company/ institution/a person. what you do to the mind of the prospect.,, you position the product in the mind of the prospect. by Al Ries and Jack Trout, Positioning:The Battle for your mind, McGraw-Hill.Inc.,1981
20 3. What is Positioning? An inadequate container A A series of product ladders
21 3. What is positioning? " how you differentiate yourself in the mind of your prospect. " by Al Ries,Jack Trout Positioning:The Battle for your mind, McGraw-Hill.Inc.,2001 你 如 何 在 潜 在 顾 客 心 目 中 一 帜 你 如 何 在 潜 在 顾 客 心 目 中 独 树
22 4. Positioning Strategies Areas for Competitive Differentiation Product Service Image Personnel
23 Product Positioning Product Class Product Attributes Away from Competitors Against a Competitor Product Positioning Benefits Offered Usage Occasions Users
24 5. Steps for Positioning Identify the benefits desired by target marketto find the important attributes; Discover your present position vs.your major competitors in in the customers mind; Find the discriminative attribute(s) by competitive analysis (Product, service, personnel, channel,image); Communicate and deliver the chosen position by marketing-mix mix efforts. to
25 * High price Low quality High quality Positioning Map Low price
26 不 同 止 痛 药 品 牌 的 感 知 定 位 图 少 弱 E. 药 效 对 胃 的 刺 激 C. B. A. 强 D. 多
27 Promoting Differences Important Profitable Affordable Criteria for Determining Which Differences to Promote Distinctive Superior Preemptive Communicable
28 Questions Applying the relevant principles, please evaluate the targeting and positioning strategies of Haier, TCL, Lenovo for their major products. 2. What do you think of the positioning strategy of Brain Platina ( 脑 百 金 )?
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