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Click to edit Master text styles,Second level,Third level,Fourth level,Fifth level,Click to edit Master title style,CH7 Market Segmentation,Targeting,and Positioning,Ahead,Procter four brands each of liquid dishwashing detergent,toothpaste,and tissues and towels,.P&G has many additional brands in each category for different international markets.For example,it sells 16 different laundry product brands in Latin America and 19 in Europe,the Middle East,and Africa.,why would P&G introduce several brands in one category instead of concentrating its resources on a single leading brand?,The answer,lies in the fact that different people want different mixes of benefits from the products they buy.,Chapter Objectives,In this chapter,we focus on the following questions:,How can one firm segment the market?,How can the firm select the target markets?,How can the firm choose an effective positioning in the market?,1.Introduction,Companies today recognize that they cannot appeal to all buyers in the marketplace,or at least not to all buyers in the same way.Most companies are being more choosy about the customers with whom they wish to connect.Most have moved away from,mass marketing,and toward,market segmentation and targeting.,Buyers are too numerous,too widely scattered,and too varied in their needs and buying practices.They may differ in their wants,resources,locations,buying attitudes,and buying practices.,Moreover,the companies themselves vary widely in their abilities to serve different segments of the market.,sometimes against superior competitors,each company must identify the parts of the market that it can serve best and most profitably.,Mass marketing,mass producing,mass distributing,and mass promoting about the same product in about the same way to all consumers.Henry Ford epitomized this marketing strategy when he offered the Model T Ford to all buyers;they could have the car in any color as long as it is black.Similarly,Coca-Cola at one time produced only one drink for the whole market,hoping it would appeal to everyone.,Market segmentation and targeting,identifying market segments,selecting one or more of them,and developing products and marketing programs tailored to each.Instead of scattering their marketing efforts(the shotgun approach),firms are focusing on the buyers who have greater interest in the values they create best(the rifle approach).,Market Segmentation,1.Identify bases for,segmenting the market,2.Develop segment profiles,Market Targeting,3.Develop measure of,segment attractiveness,4.Select target segments,Market positioning,5.Develop positioning for,target segments,6.Develop a marketing,mix for each segment,Major steps in target marketing,2.Market Segmentation,Through market segmentation,companies divide large,heterogeneous,(,不同种类的,异质的,),markets,(异质市场),into smaller segments that can be reached more efficiently and effectively with products and services that match their unique needs.,we discuss five important segmentation topics:,Levels of market segmentation,Bases of segmenting consumer markets,Bases of segmenting business markets,Requirements for effective segmentation.,(1)Levels of market segmentation,Market segmentation can be carried out at several different levels.,Mass marketing,Segment,Marketing,Niche Marketing,Micro-marketing,No segmentation,complete segmentation,Mass Marketing,Same product to all consumers,(no segmentation,i.e Coca-Cola),Companies have not always practiced target marketing.,In fact,for most of the 1900s,major consumer products companies held fast to mass marketing,mass producing,mass distributing,and mass promoting about the same product in about the same way to all consumers.,Examples:,Henry Ford epitomized this marketing strategy when he offered the Model T Ford to all buyers;they could have the car in any color as long as it is black.,“,Similarly,Coca-Cola at one time produced only one drink for the whole market,hoping it would appeal to everyone.,GM has designed specific models for different income and age groups.In fact,it sells models for segments with varied,combinations,of age and income.For instance,GM designed its Buick Park Avenue for older,higher-income consumers.,Segment Marketing,Different products to one or more segments,(some segmentation),Example,2001年9月21日,卫生部分别以卫食健字(2001)第0271、0275、0276号,批准了珠海康奇有限公司、无锡健特药业有限公司申报的,黄金搭档,儿童及青少年,组合维生素片、黄金搭档,女士,组合维生素片、黄金搭档,中老年,组合维生素片三种产品:,儿童及青少年组合的保健功能是:,补充多种维生素及矿物质;,女士组合的保健功能是,:,补充维生素,a、-,胡萝卜素、维生素,b1、,维生素,b2、,维生素,b6、,维生素,c、,维生素,e、,叶酸及钙、铁、锌、硒;,中老年组合的保健功能是:,补充维生素,b1、,维生素,b2、,维生素,b6、,维生素,c、,维生素,d、,维生素,e、,叶酸及钙、铁、锌、硒。,Niche Marketing,Different products to subgroups within segments,Market segments are normally large,identifiable groups within a market,for example,luxury car buyers,performance car buyers,utility car buyers,and economy car buyers.,Niche marketing,focuses on subgroups within these segments.,A niche is a more narrowly defined group,usually identified by dividing a segment into subsegments or by defining a group with a distinctive set of traits who may seek a special combination of benefits.,Micromarketing,Products to suit the tastes of individuals and locations,(complete segmentation),Local Marketing,Tailoring brands/promotions to local customer groups,Individual Marketing,Tailoring products and programs to the needs of individual customers,i.e.Dell,Individual marketing has also been labeled,one-to-one marketing,customized marketing,or,markets-of-one marketing,.,Drawbacks of local marketing.,It can drive up manufacturing and marketing costs by reducing economies of scale.,It can also create logistics problems as companies try to meet the varied requirements of different regional and local markets.,Further,a brands overall image might be diluted(,冲淡的,)if the product and message vary too much in different localities.,Solutions:,based on new supporting technologies.,(2),Bases for segmenting consumer markets,There is no single way to segment a market.A marketer has to try different segmentation variables,alone and in combination,to find the best way to view the market structure.we look at the major geographic,demographic,psychographic,and behavioral variables.,For details,GO,Consumer and business marketers use,many of the,same variables,to segment their markets.Business buyers can be segmented geographically,demographically(industry,company size),or by benefits sought,user status,usage rate,and loyalty status.,Yet,business marketers,also use some additional variables,such as customer operating characteristics,purchasing approaches,situational factors,and personal characteristics,.,The table,lists major questions that business marketers should ask in determining which customers they want to serve.,(,3)Bases for segmenting business markets,Size,purchasing power,profiles,of segments can be measured.,Segments can be effectively,reached and served.,Segments are large or profitable enough to serve.,Measurable,Accessible,Substantial,Differential,Actionable,Segments must respond differently to different marketing mix elements&programs.,Effective programs can be designed to attract and serve the segments.,(4)Requirements for Effective Segmentation,3.Market Targeting,Segment Size and Growth,Analyze current sales,growth rates and expected profitability for various segments.,Segment Structural Attractiveness,Consider effects of:competitors,availability of substitute products and,the power of buyers&suppliers.,Company Objectives and Resources,Company skills&resources needed to succeed in that segment(s).,Look for Competitive Advantages.,(1)Evaluating Market Segments,(2),Selecting the market segments,Having evaluated different segments,the company can consider five patterns of target market selection.,Five Patterns of Target Market Selection,Single-segment,concentration,Product,specialization,M1 M2 M3,P1,P2,P3,Selective,specialization,M1 M2 M3,P1,P2,P3,M1 M2 M3,Full market,coverage,P1,P2,P3,Market,specialization,M1 M2 M3,P1,P2,P3,P1,P2,P3,M1 M2 M3,P=Product,M=Market,4.Choosing a Positioning Strategy,(1)Definition of positioning,Positioning is the act of designing the company,s offering and image to occupy a distinctive place in the target market,s mind.,Marketers must:,Plan positions to give their products the greatest advantage in selected target markets,Then,design marketing mixes to create these planned positions.,The end result of positioning is the successful creation of a market-focused value proposition,a cogent(,令人信服的,)reason why the target market should buy the product.,Examples of Value PropositionsDemand States and Marketing Tasks,Company and Product,Target Customers,Benefits,Price,Value Proposition,Perdue(chicken),Quality-conscious consumers of chicken,Tenderness,10%,premium,More tender golden chicken at a moderate premium price,Volvo,(station wagon),Safety-conscious“upscale”families,Durability and safety,20%,premium,The safest,most durable wagon in which your family can ride,Dominos(pizza),Convenience-minded pizza lovers,Delivery speed and good quality,15%,premium,A good hot pizza,delivered to your door door within 30 minutes of ordering,at a moderate price,(,2)Base for positioning-the company try to differentiate its offering to achieve competitive advantages.,Differentiation is the act of designing a set of meaningful differences to distinguish the company,s offering from competitors,offerings.,A difference is worth establishing to the extent that it satisfies the following criteria:,A difference is worth establishing to the extent that it satisfies the following criteria:,Important:,The difference delivers a highly valued benefit to target buyers.,Distinctive:Competitors do not offer the difference,or the company can offer it in a more distinctive way.,Superior:,The difference is superior to other ways that customers might obtain the same benefit.,Communicable:,The difference is communicable and visible to buyers.,Preemptive(,优先的,先买(占),):,Competitors cannot easily copy the difference.,Affordable:,Buyers can afford to pay for the difference.,Profitable:,The company can introduce the difference profitably.,Services,Differentiation,i.e.Delivery,Installation,Repair Services,Customer,Training Services,Product,Differentiation,i.e.Features,Performance,Style&Design,or Attributes,Image,Differentiation,i.e.Symbols,Atmospheres,Events,Personnel,Differentiation,i.e.Hiring,Training Better People Than Competitors Do,The ways to differentiate the offerings,(3),How many differences to promote,Many marketers advocate to promoting only one central benefit.Rosser Reeves said a company should develop a,unique selling proposition(USP),for each brand and stick to it.,Number,one positioning including:,Best quality;best service,lowest price,safest,etc.,Double-benefit positioning.,Example:Volvo positions its automobiles as,“,safest,”,and,“,most durable,”,.,Triple or more,benefit positioning,(4)Four major positioning errors,Underpositioning,Overpositioning,Confused positioning,Doubtful positioning,(5),Positioning strategy,Attribute positioning:BMW,Benefits positioning:Example:save your time.,Use or application or usage occasion positioning:Chocolate for Saint Valentines Day,User positioning:Johnson&Johnson:For the cradle.,(Against a)competitor positioning:The product claims to be better in some way than a named competitor.,Product category positioning:the product is positioned as the leader in a certain product category.Example:7-UP un-cola.,Quality or price positioning.,
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