MARKoPEDIA

PART 1

2. STP & 7Ps

 S.T.P. Marketing
A 3-step approach in building a targeted market plan

Segmentation
Grouping customers into segments that have common needs or
are expected to respond similarly to marketing action
Demographic: based on consumer characteristics like age,
1 gender, income, education, job & culture
Geographic: based on location such as continent, country,
2 state, province, city or village where consumer resides
Psycho graphic: based on consumer group's lifestyle like
3 social class, personality, opinions & attitudes
Behavioral: based on consumer behavior like online
4 shoppers, brand preference & prior purchases

Targeting
No strategy suits all consumer groups or segments, hence,
identifying target market before developing strategy is important
Undifferentiated: views market as one group,
Three 1 hence, single market strategy. Useful for low
General competition businesses or products.
Strategies Concentrated: marketing efforts are targeted
for 2 towards a market niche. Useful for small firms,
selecting gives them ability to compete with incumbents.
Target Multi-segment: focus on multiple well defined
Market 3 market segments. Usually expensive due to
high managerial, MR and promotional cost.

Positioning
Developing a product and brand image in mind and hearts of
consumer, give them reason to choose you over others
Advantages of positioning include -
competitively positions brand or product
positively influences brand perception
promotes consumer goodwill & loyalty
enhances brand equity
improves percieved differential benefits of product

Target Group Positioning

Females (home-makers & working) of high quality, medium-priced brand, a
upper-middle & upper class families necessity in daily household activities
 Factors for segmentation

Basic Market-Preference Patterns

Factors for
choosing a
market
coverage
strategy

Identifying Possible competitive advantages

 7 Ps of Marketing
Marketing Mix is about putting the right product or a
combination thereof in the place, at the right time,
and at right price.

It is associated with -
4 P's of Marketing
7 P's of Service Marketing
4 C's of Marketing

Intensive Distribution
Design Exclusive Distribution
Technology Selective Distribution Market Penetration
Perceived Usefulness Market Skimming
Retail, Wholesale,
Convenience of use Neutral Pricing
Internet, Direct Sales,
Quality Cost Leadership
P2P, Multi-channel
Packaging Psychological
Brand Utility
Accessories
Warranties

Especially
relevant to
service industries Sales Promotion
Public Relations
Focuses on how Advertising
Smart
the services are Endorsements
Run-down
consumed User Trials
Interface Employees Joint Ventures
Comfort Management Campaigns
Facilities Culture
Customer Service