Population growth has slowed

Mo re products are maturing =

Market Segmentation = process competition
by which a market is divided it's becoming more important due
into distinct subsets of to:
customers with similar needs & Customers more varied &
sophisticated needs than before
characteristics
Target Marketing = Evaluating Trends towards
the relative attractiveness of microsegmentation
various segments
1. ID similar segment that differs
from others
3 NB objectives to the market 2. Specify crieria that defines the
segmentation process: segment
Product positiong = designing
product offerings & marketing 3. Determine segment size &
programmes that collectively potential
establish an enduring
competitive advantage
Micro segmentation = divides
market into indivduals who
influence purchase decision
Age
Macro segmentation = divides
market according to
characteristics of the buying Gender
organisation in demographic
terms
Income
Niche Market Strategy
Occupation
Targeting Strategies
Mass Market Strategy
Step 1 - Select criteria to measure Module 9
attractiveness Demographic descriptors Education
Growth Market Strategy
Market Segment Geography
Step 2- Weight each factor
and
Target Marketing Race and ethnic origin
Step3- Rate segments on each
factor
A five step process Choosing attractive market
Divides into different trade areas
Step 4 - Project future position for segments
each segment Geographic descriptors

Step 5 - Choose segments to

target, allocate resources
Choice criteria 1. Segmentation Descriptors
PAGE 111 Consumer needs
Benefits sought
both geographic and
demographic factors

Product usage Geodemographic

How consumers pursue & acquire Product related behavioural

e.g housewives
products descriptors
Purchase influence
Consumers motivated by abstract Self orientated
& principles
Principle orientated
Guided by need for social or
physical activity
Action orientated Lifestyle
Include all pschological, physical, Behavioural descriptors
material means consumers have
to draw on Resource orientated General behavioural descriptors

VALS2 pg 107 Status Orientated

Social Class
degree to which the purchasing
acrtivity is centralised Purchasing structure
Organisation or firm behavioural

Straight rebuy

recurring rebuy Buying structure

Modified rebuy