MARKETING STRATEGIES Segmentation, Targeting and Positioning

needs and desires (not identical) and address them as a

group.
e.g: pizza

Conventional vs Unconventional wisdom
identifying general consumer identyfing particular patterns consumer patterns

e.g football

Global Segmentation begins by choosing variables which serve to group customers.

Demographics Psychographics Behavioral

Benefit Ethnic

distribution, gender, education, occupation
Q 1:Look at these global trends:
-Fewer

married couples
-Smaller family size
-Changing roles of women
-Higher incomes and living standards
Now take one of them to explain the possible implications in terms of market opportunities.
Q 2: What was the opportunity sized by big supermarkets like carrefour or walmart?

is more important than the income for low per unit

cost products

While the income should be more important for luxury items

demographic data should not be used as the only indicator

of presence (absence) of a market opportunity especially in emerging markets. e.g: TV market
Puchasing power parity should be calculated to understand if the difference of income really indicades a low purchasing power.
Q 3: Why customers in China should not be regarded as an homogeneous mass?

major languages and several dialects and other minor languages. behind

each language variation there are differences in taste, activities and aspirations.

marketers lets look at some commonly used groups:
Global teens: Young

people 12-18 whose share interest for fashion, music, lifestyle and consumption habits.
Global telecommunications revolution was the driving force behind the emergence of this group.
e.g. MTV, internet, satelited western shows.

and exclusivity.Old business men, musicians, elite athletes,

movie stars, entrepreneurs, young business innovators
e.g. durables: luxury cars
non durables: Drinks
Financial services

other sexual orientation groups to focus on, and among them

subgroups.
e.g. LGBT (lesbian, gay, bisexual, and transgender)

Q4: (opinion question)
What kind of products may be popular among tomboys?

lifestyles. Usually measure by using likert scales.
The mind set of

consumers is usually more relevant than their age group.
e.g. extreme sports enthusiasts

Q5. What is another example of products in which the mindset is more relevant than the age?

as well as how often and how much they use

it or consume it.

Consumers can be categorized according to:
-Usage rates: heavy, medium, light, non user

-Status: potential, non users, ex users,regulars, first-timers
and users of competitor´s products
Q6: Let´s choose a product and determine its usage rate and status

of a company revenues must be generated by the 20%

of its products or services.
e.g. Mc Donalds

Q6: (opinion question)
Which kind of modern business are succesful are generating major revenues with minor investment?

a product solves, the benefit it offers, or the issue

it adresses regardless of geography.

cavities
e.g. tooth paste whitening
sensitive teeth
gum desease

Q7: What is the focus given to pet food that made it more appeling to pet owners?

ethnic groups or appeals to their ethnic identity.
Ethnic identity is

stronger in nations where different ethnic groups voluntarily or not do not integrate to the majority population group.
e.g. USA main ethnic groups are:
-African/ black Americans
-Asian Americans (Thai, Vietnamese, Chinese)
-Hispanic Americans (Mexican, Puerto Rican, Cuban)
Q8: What are some of the characteristics of Hispanic American Segment?

Segments
Assessing the attractiveness of the identified segments.

3 criteria to

assess correctly market opportunities:
-Current size of the segment and anticipated growth potential
-Competition and compatibility with the company´s overall objectives
-Feasibility of successfully reaching the designated target market
Pitfalls:
Overstating the size and short term attractiveness of individual country markets
Targeting countries due to shareholders or competition preassures.

Q9: Why BMW did not launched its own minivan?

data and begins at the product-market level (market defined by

a product categoty).
e.g. Luxury car market, SUV market, Minivan Market

It incorporate 2 core concepts:

A framework for selecting target markets

-Marketing model drivers
Key elements or factors required for a business to take root and grow in a partucular business environment.

It differs depending on whether it is consumer or Industrial oriented.

-Enabling conditions
Structural market characteristics whose presence or absence can determine whether the marketing model can succed.

e.g. Nestle Chocolats in India

the estimated costs of entry must be weighted on the

basis of short and long term strategies.
Timing is essential to avoid failure and generate advantage over existing or future competitors.
e.g. Jollibee vs Mc Donalds in Philippines.
Create a product maketing profile which will allow you to identify the model drivers and enabling conditions.
Q10: What are the advantages and disadvantages of first movers in contrast to late movers?

country or market segment? Use a market product grid to

look at it:

The intersections represent the possible market segments in which the product may be marketed

what are some entry strategies suitable for Nestle Chocolats?

go ahead companies must develop a targeting strategy.

There are 3

basic categories of TMS:
-Standarized Global Marketing
-Concentrated Global Marketing
-Differentiated Global Marketing

Q12: Give an example of a product for each marketing strategy?

mind in relation to competitors (what attributes and benefits does

and does not offer).
e.g: Uniliver detergents
Colgate total variants

General positioning strategies:
-Attribute or benefit
-Quality and price
-Use or user
-Competition
-Global, foreign and local culture positioning

people relate to high touch products?
Q15: Why is english used

for advertising in non english speaking countries?
Q16: Why do these brand symbols contribute to the global image of the products they represent?